Japan's forests provide a lot of social benefits, such as land conservation and water source protection, and in recent years the importance of their role in absorbing carbon dioxide has been recognized. However, changes in the environment around these forests mean that previous forest management techniques are no longer effective, and new solutions are needed to deal with this. This research aims to restore the social benefits of forests, enable sustainable timber production, rejuvenate rural villages, preserve forests as cultural assets, and implement forest management initiatives in partnership with urban communities by creating a 'Japanese' forest management and administration model tailored to Japan's unique situtation. Specifically this involves researching the conditions needed to form forestry enterprises as economic activities, and the evaluation methods and regulation needed for these, as well as considering the conditions required for forestry enterprises in Japan to conduct effective operations. We will then draw up the necessary factors for building a Japanese forest management and administration model, such as manpower, yield, and operational scale, and review forest policy and make new policy recommendations aimed at realizing this model.