Japanese innovation has long been synonymous with craftsmanship and design excellence, from the Sony Walkman and Nintendo game consoles to hybrid cars, futuristic toilets and high-speed rail.

But a new and less tangible form of innovation is quietly taking hold – one that could transform Japan into one of the world’s most important drivers of the global technological revolution.

Japan has a proud history of innovations that it has offered the world. There are numerous examples of Japanese prowess at monozukuri (the art of making things) and these innovations – backed by high levels of technical expertise and production efficiency – have been drivers of Japanese soft…