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Society 5.0: Aiming for a
New Human-Centered Society

By Mayumi Fukuyama

The rapid evolution of information and communications
technology (ICT) is bringing drastic changes to society and industry.
Digital transformation will create new values and is becoming a pillarof industrial policy in many countries. In anticipation of such global
trends, “Society 5.0” was presented as a core concept in the 5th
Science and Technology Basic Plan, adopted by the Japanese Cabinet
in January 2016. It was identified as one growth strategy for Japan.
Society 5.0 is also a core part of “The Investment for the FutureStrategy 2017: Reform for Achieving Society 5.0”. The basic conceptand typical activities for Society 5.0 in Japan are discussed below.

Digital Transformation
We are now in a new era, one in which globalization and rapid
evolution of digital technologies such as the Internet of Things (IoT),
artificial intelligence (AI) and robotics are bringing significant
changes to society. The environment and people’s values arebecoming increasingly diverse and complex.
Chart 1 shows activities targeting new digital technologies
throughout the world, which include Industry 4.0, also known as the“4th Industrial Revolution”, the Industrial Internet, and Made in
China 2025. The wave of digital transformation is the common
element that is driving such activities, and thus digital transformation
becomes a pillar of industrial policy.
At the same time, the world is increasingly faced which challenges
of global scale, such as depletion of natural resources, global
warming, growing economic disparity, and terrorism. We are now ina challenging age of uncertainty, with growing complexity at alllevels. Thus it is critical that we leverage ICT to its fullest to gain new
knowledge, and create new values by making connections between“people and things” and between the “real and cyber” worlds, as aneffective and efficient means of resolving issues in society, creating
better lives for people and sustaining healthy economic growth. Inorder to realize such a society through digitalization, it will be vital to
overcome these challenges through the inclusion of various
stakeholders at multiple levels to share a common future vision.
In September 2015, the United Nations adopted the 2030 Agenda
for Sustainable Development, with Sustainable Development Goals(SDGs) as its core. It is a challenge to achieve a comprehensive
system in which all nations work together toward a sustainable worldthat hopes to achieve both economic development and solutions tosocietal issues. The key guiding principle is to realize peace andhttps://www.jef.or.jp/journal/

AuthorMayumi Fukuyama

prosperity for all people and the planet, by responding to thechallenges with an inclusiveness that “leaves no one behind”.

Challenges Facing Japan
Turning our attention to Japan, there are many societal challenges
that Japan will need to overcome from now on. With a declining birthrate coupled with an increasing senior population, Japan faces ashrinking labor force and increased social security costs. The current
labor force, which is greater than 77 million people, is expected toshrink to about 70%, 53 million people, by the year 2050. On theother hand, the cost of social security will increase due to an aging
population from 120 trillion yen in fiscal 2015 to 150 trillion yen in
fiscal 2025.
Looking at social capital in Japan, much of the basic infrastructure
was established as part of large-scale development during a periodof high economic growth from 1950 to 1970. Now over 50 years
later, much of that infrastructure such as roads, bridges, and water
pipes is deteriorating, and it is expected that a total budget of 190
trillion yen will be necessary over the 50 years from fiscal 2011 tofiscal 2060 to replace them.
These societal challenges that Japan faces are challenges thatmany other countries will eventually face as well. From thisperspective, Japan has been called “an advanced country withadvanced issues”.

Society 5.0
Society 5.0 put forward by the Japanese government is a clear
concept. It was drafted in the 5th Science and Technology Basic Planby the Council for Science, Technology and Innovation, and approved
by Cabinet decision in January 2016 (http://www8.cao.go.jp/cstp/english/basic/5thbasicplan.pdf).
Looking back on human history, we can define different stages ofsocieties. Society 1.0 is defined as groups of people hunting andgathering in harmonious coexistence with nature; Society 2.0 formedgroups based on agricultural cultivation, increasing organization and
n a t i o n - b u i l d i n g ; S o c i e t y 3.0 i s a s o c i e t y t h a t p r o m o t e s
industrialization through industrial revolution, making mass
production possible; and Society 4.0 is an information society thatrealizes increased added-value by connecting intangible assets asinformation networks. In this evolution, Society 5.0 is an information
Japan SPOTLIGHT • July / August 201847

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CHART 1

Digital transformation.

.

Industry 4.0

Source: Compiled by the author

society built upon Society 4.0, aiming for a prosperous humancentered society (Chart 2).
It is the goal of Society 5.0 to create a human-centric society inwhich both economic development and the resolution of societal
challenges are achieved, and people can enjoy a high quality of lifethat is fully active and comfortable. It is a society that will attend indetail to the various needs of people, regardless of region, age, sex,
language, etc. by providing necessary items and services. The key toits realization is the fusion of cyber space and the real world(physical space) to generate quality data, and from there create newvalues and solutions to resolve challenges. This national vision
raised by Japan is to strive for a new, human-centered society, at thesame time resolving a variety of societal issues.
While Society 5.0 is Japan’s growth strategy, it is not limited toJapan, as its goals are the same as those of the SDGs. The
challenges that Japan faces, such as an aging population, declining
birthrate, population decrease and aging infrastructure, arechallenges that many other countries will eventually face. Japan is
one of the first nations to face these challenges. By the early
resolution of such challenges through Society 5.0, and by sharing
those solutions with the world, Japan can contribute to resolving
similar challenges worldwide and the achievement of the SDGs.
48 Japan SPOTLIGHT • July / August 2018

Enhancement of Society 5.0
After the Cabinet decision on the 5th Science and Technology
Basic Plan, the Headquarters for Japan’s Economic Revitalization
established a “Council on Investments for the Future” aiming topromote a growth strategy and accelerate structural reform toincrease “investment for the future” (https://www.kantei.go.jp/jp/singi/keizaisaisei/kettei.html). In June of last year, the “Investmentfor the Future Strategy 2017” to realize Society 5.0 was adopted bythe Cabinet as a concrete measure to achieve Society 5.0. (http://www.kantei.go.jp/jp/singi/keizaisaisei/pdf/miraitousi2017_summary.
pdf). According to this strategy, the key to achieving mid- and longterm growth is to realize Society 5.0 that resolves various societal
challenges by incorporating into every industry and social life theinnovations of the 4th Industrial Revolution (e.g., IoT, big data, AI,robotics, sharing economy and so on) which have rapidly occurred.
Five strategic fields were selected as being able to leverage
Japan’s strengths and appeal to the world: “Extension of healthylifespan”, “Realization of mobility revolution”, “Creation of nextgeneration supply chains”, “Building and development of pleasantinfrastructure and towns”, and “FinTech”. Taking “Extension of ahealthy lifespan” as an example, Japan is among the very first in theSpecialArticle 2

CHART 2Society 5.0

Source: Prepared by the author based on material from the Japan Business Federation (Keidanren) “Japan’s initiatives — Society 5.0”; Y. Harayama, “Society 5.0: Aiming for a New Humancentered Society”, Hitachi Review, vol. 66, no. 6, 2017, pp. 556–557

world to head towards an aging society but have rich data from a
universal healthcare system and nursing care insurance system.
Therefore the establishment of a “new system of health” to further
extend a healthy life span will be realized through medical care,nursing care with an emphasis on health management, prevention ofsickness, and self-support. Specific activities have already begun
incorporating important cross-cutting themes such as humanresource development and value creation through promotion ofdigitalization.
In December 2017, the “New Economic Policy Package” wasadopted in order to implement measures in the “Investment for theFuture Strategy 2017”. This includes a human resource development
revolution and supply system innovation as key policies. By
promoting human resource development, the Japanese government
aims to build a society in which all citizens, including the young andelderly, women and men, people with disabilities, and people withintractable diseases, can lead a fulfilling life and demonstrate theirabilities to the full, that is, a society in which all citizens aredynamically engaged. In the supply system revolution, target fields inwhich new value will be created by innovations such as IoT, big data,robots and AI are automated driving, health, medical care, long-termcare, financial and commercial transactions, construction,transportation, agriculture, forestry and fisheries, and tourism,s p o r t s , c u l t u r e , a n d a r t ( h t t p : / / w w w5. c a o . g o . j p / k e i z a i1/
package/20171208_package.pdf).
Japan is promoting Society 5.0 by introducing digital technologies
in a variety of systems, as well as accelerating its implementation toachieve a society in which all citizens are dynamically engaged.

Industry Initiatives
Keidanren (Japan Business Federation) is Japan’s most importantfederation. It is well aligned with this game-changing initiative. OnNov. 8, 2017, Keidanren revised its Charter of Corporate Behavior,including a section on the “Realization of a Sustainable Society”, withthe primary aim of proactively delivering on SDGs through thecreation of Society 5.0 (http://www.keidanren.or.jp/en/policy/csr/charter2017.html). Chart 3 summarizes the concept of “Society 5.0for SDGs” and the image of key technologies and systems for 5.0
and the 17 SDGs.
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CHART 3

Sustainable development goals

17 SDGs

Utilization ofremote sensing
and oceanographic
data
Utilization ofmeteorologicaland otherobservationdata
Smart cities

1615

CivicTech

MR13 FoodTech
BioTechi-Construction

VR

EnviTech Cloud
AgriTech
CareTech

11

AutoTech

AIRobot

TransTech
DPTechSociety 5.0 Drone UrbanTech
Sensorfor SDGs
IntraTech

Edge

3DPrint

ConTechPKIEdTech
Sharing
SportsTech
On DemandMobile

HealthTech

MediaTech

10

IoTHomeTech

AdTech987Earlywarning
alert system

3TourTech

AR

5G

Smart
agriculture andSmart food

2RETechBig Data

JobTechLegalTech

Globalinnovation
ecosystem

1FinTech
GovTech14121764

e-Learningsystem

5
Empowermentof woman

Smart grid system

Source: Prepared by the author based on material from the Japan Business Federation (Keidanren) “Society 5.0 for SDGs”.

It is often pointed out that digital transformation has had a drastic
impact on conventional industries, and it has also increased social
complexity, and some negative aspects of a digital society, such assecurity risks and privacy issues, are now becoming apparent. At thesame time, the trend towards creating new value through digitaltechnologies and contributing to future society can now be seen
throughout the world. The evolution of digital transformation is not apath that can be avoided. Therefore, these negative aspects should
be shared and recognized, and we try to accelerate the participationof multi-stakeholders and share best practices. Society 5.0 is able toaddress and provide approaches to reduce these negative aspects.
However, this will require, in the words of the position paper, a
breaking down of the “five walls” of the ministries and agencies,
legal system, technologies, human resources, and social acceptance(“Toward Realization of the New Economy and Society”, April 19,
2016, http://www.keidanren.or.jp/en/policy/2016/029_outline.pdf).
This will be our global challenge — in which not only government
but also industry and academia are expected to play a leading role,
involving the creation of innovation and ecosystems.

50 Japan SPOTLIGHT • July / August 2018

Conclusion
The goal of Society 5.0 is to realize a society where people enjoylife to the fullest. Economic growth and technological development
exist for that purpose, and not for the prosperity of a select few. In
accordance with this concept proclaimed by the government, various
activities have begun in Japanese academic circles and in industry.
And, although Society 5.0 originates in Japan, its purpose is not justfor the prosperity of one country. The frameworks and technology
developed here will no doubt contribute to resolving societal
challenges worldwide.

Mayumi Fukuyama is a general manager and chief information officer of theTechnology Management Center, Technology Strategy Office, Research &Development Group, Hitachi, Ltd.