Takeshi Sano has addressed Dentsu's global workforce for the first time as president & global CEO, to deliver a message on disciplined execution, client-centricity and cultural transformation.
Sano, assumed the role on March 27 following the departure of Hiroshi Igarashi, told staff that the pace of change in technology and society demanded more than vision alone. "What is required of companies and society is not only vision or ideas, but the ability to execute," he said. "Those that stand out will have the capability to reliably translate ideas into tangible outcomes which create economic value and generate long-term value for society. We firmly believe that compassion for others, combined with a strong commitment to execution, is essential to building a better future."
In FY2025 full-year results, Dentsu posted a record net loss of ¥327.6 billion ($2.18 billion) for FY2025, driven by a ¥310.1 billion goodwill impairment largely tied to its underperforming international operations. The group also suspended its annual dividend, the first time it has done so, with no payment forecast for FY2026 either.
Sano was direct about where Dentsu's priorities must now lie. "Client-centricity is our new mantra," he told staff, outlining two capabilities he intends to sharpen above all else: agility—"anticipating client needs and leading with speed and flexibility"—and deep cross-capability collaboration, which he described as a "differentiating multiplier" when genuine integration is achieved
Framing Dentsu's ambition around its global brand proposition, Innovating to Impact, Sano said the group would "integrate creativity, media, data, and technology to support our clients' business growth while generating lasting impact for society." He committed to taking "end-to-end responsibility from strategy development and operational execution to delivering measurable impact across society."
Running through the address was a consistent emphasis on execution as a cultural shift, not merely an operational one. Sano acknowledged that the world is being "driven by rapid technological innovation such as generative AI, increasingly diverse values, and global-scale challenges" and argued that in such conditions, compassion and commitment to follow-through were inseparable. "We firmly believe that compassion for others, combined with a strong commitment to execution, is essential to building a better future," he said.
To that effect, the shop has already restructured its global management hierarchy and eliminated the roles of global COO and global president and placed regional CEOs and global practice presidents in direct reporting lines to Sano. The flattened structure, he said, was designed to enable "greater clarity and faster responsiveness to the pace of business and our industry."
Sano was candid about the scale of the challenge facing the shop internationally. "We will swiftly rebuild our management foundations, aiming for an early recovery of competitiveness and profitability. At the same time, our Japan business will maintain and strengthen its growth momentum," he said of the overseas business, which he identified as "one of our key management priorities."
In February, the group announced its decision to abandon plans to sell or comprehensively partner its international arm—a process that had dragged on since reports of bankers being hired in August 2025 made headlines, and which ended without a deal after prospective buyers like Apollo and Bain Capital stepped back. The group has since said it remains open to selective local-market partnerships or divestments on a case-by-case basis, while refocusing energy on internal transformation.
The international portfolio recorded organic revenue declines across the Americas (-3.0%), EMEA (-1.8%) and APAC ex-Japan (-6.8%) for FY2025, though the group said there were early signs of stabilisation, with APAC ex-Japan returning to positive organic growth in the fourth quarter for the first time since Q4 2022.
Sano will continue to serve concurrently as CEO of Dentsu Japan, framed the domestic business as a catalyst for the international arm, promising to "drive transformation across our business and our culture to generate greater synergy between our Japan and overseas businesses."
Sano closed his address with a personal pledge to staff, committing to lead the transformation from the front rather than from the boardroom. "I am committed to transforming our environment so that both management and every individual employee can advance these changes with the highest level of integrity," he said. "I commit to standing at the forefront of this change, dedicating my full efforts to ensuring that dentsu continues to grow sustainably alongside society."
Source: Campaign Asia-Pacific
