Dentsu’s New Global CEO Takeshi Sano Vows to ‘Turn Change into Strength
In a landmark address to approximately 67,000 employees worldwide, Dentsu’s newly minted Global CEO, Takeshi Sano, has set a defiant and ambitious tone for the advertising giant. Stepping into the role on March 27, 2026, Sano signaled an end to the uncertainty surrounding the group’s international operations, pledging to “turn change into strength” through a rigorous, execution-led transformation. The address comes at a critical juncture for Dentsu, which recently reported a historic net loss for FY2025 and scrapped plans for a potential sale of its international business in favor of a radical internal overhaul.
A New Era of Execution-Led Transformation
Sano, who is credited with leading Dentsu Japan to 11 consecutive quarters of revenue growth, is now bringing that same operational discipline to the global stage. His message was clear: vision alone is no longer enough in an era of rapid technological disruption and shifting client needs. In such a complex and uncertain era, what is required of companies and society is not only vision or ideas, but the ability to execute,” Sano stated. “Those that stand out will have the capability to reliably translate ideas into tangible outcomes.”
Key Pillars of Sano’s Vision:
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Client-Centricity: Realigning every part of the organization to anticipate and lead with speed.
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Agility via Flat Hierarchy: Eliminating management layers to speed up decision-making.
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Multiplier Collaboration: Breaking down silos to ensure integrated solutions across media, creativity, and technology.
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Integrity and Human Capital: Treating “people” as the group’s primary capital and driving a culture of accountability.
Radical Structural Changes: The “Flatter” Dentsu
To back his pledge of agility, Sano has immediately implemented a sweeping reorganization of Dentsu’s global management structure. The most notable shift is the removal of several high-level intermediary roles to create a direct line of sight between regional performance and the Global CEO.
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Elimination of Global COO & Global President: These roles have been removed to foster faster responsiveness.
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Direct Reporting: Regional CEOs and practice leaders now report directly to Sano.
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Focus on Overseas Recovery: With the Japan business performing at record highs, Sano is prioritizing the rebuilding of management foundations in the Americas, EMEA, and APAC.
Financial Context: The Road to 2027
The CEO’s address wasn’t just about vision; it was a response to a sobering financial reality. In February 2026, Dentsu reported a record-breaking net loss of ¥327.6 billion, largely due to massive goodwill impairments in its international divisions.
Dentsu Performance Snapshot (FY2025)
| Region | Organic Growth | Status |
| Dentsu Japan | +6.2% | Record revenue and 11th consecutive growth quarter. |
| Americas | -3.0% | Challenging environment; focus on CXM turnaround. |
| EMEA | -1.8% | Stable media; decline in creative and CXM. |
| APAC (ex-Japan) | Significant Decline | Hit by regional economic headwinds. |
Despite these losses, the underlying operating margin of 14.4% exceeded previous guidance, giving Sano a foundation to build upon. The group aims to return to a net profit in FY2026 and hit a 16% operating margin by 2027.
The Pivot: Internal Overhaul Over International Sale
Perhaps the most significant strategic shift under Sano’s early leadership is the definitive move away from selling the international business. Throughout 2025, rumors swirled of potential private equity buyouts, but Sano has doubled down on internal consolidation. This “international overhaul” involves a 3,400-person workforce reduction (roughly 8% of the international staff) and the optimization of real estate and operational efficiencies. The goal is clear: rebuild profitability from within rather than offloading assets at a discount.
Forward Outlook: Turning the Tide
Sano’s appointment marks the first time in years that a leader with such deep operational success in Japan has taken full control of the global network. By leveraging Japan’s “Holistic Transformation Model”—which integrates business transformation (BX) with traditional advertising—Sano hopes to export a winning formula to the struggling Western markets. As Dentsu enters the second phase of its Mid-Term Management Plan, the industry will be watching to see if Sano’s “execution-led” approach can stabilize the ship. For now, the message to staff and shareholders alike is one of resilience: Dentsu is no longer just adapting to change—it is intent on owning it.
