Global Corporate Information

In 1998 Olympus substantially amended its qualification-centered human resource management system. This change was accompanied by a transition to a new goal management and evaluation system known as "Management by Objective and Self-control" (MBO^Note1).

However, the management environment has changed radically over the past 10 years as a result of accelerating business expansion, and there has been a growing tendency to focus on the achievement of short-term results through measures that emphasize localized optimization and the development of resources capable of immediate deployment.

"We adopted a new human resource management strategy in 2006, but as we were developing this strategy it became apparent that we would need to reform the MBO system at the same time," says Kenya Mori, acting deputy section manager of the Human Resources Planning Group.

"There wasn't sufficient sharing of our vision within the organization, and we felt that we were not helping every individual to reach his or her full potential, because our goal management and evaluation mechanisms were limited to assessment systems. That is why we started to think about ways to establish a true results-based structure that would encourage individuals to achieve personal growth while working toward shared aspirations."

Note1: Under the MBO system, organizational goals are broken down into personal goals that are carefully managed by individuals. This management system enhances organizational goal attainment while also contributing to human resource development.

Olympus Group employees set personal goals based on policies set at higher levels within the organization. These goals are determined through negotiation between employees and their supervisors. To ensure that organizational goals are achieved, supervisors must communicate policies clearly to their subordinates, who must in turn have to work toward strategic objectives with a sense of personal determination.

This is not possible unless employees and their supervisors can share their ideas through close communication. The Human Resources Department believes that the answer can be found in the workplace. It reviewed the new system after canvassing views in the workplace with the cooperation of divisional managers and the union, as the organization representing employees.

The core focus of the new human resource management system is the reinforcement of communication between individuals. Priority was given to this aspect during the reform process. In December 2007, when the framework of the new system was beginning to take shape, a labor-management roundtable meeting was convened by the Human Resources Department.

This meeting was held immediately after the conclusion of the union conference and was attended by approximately 100 union representatives. A variety of views and questions were put forward at the meeting. "Someone said that the systems would not function properly because most of executives act as not only managers but busy players" recalls Kenya Mori.

"However, others thought that while the new system might be difficult to implement throughout the organization, we should all work together to drive the reform process. I realized that there were still issues, but when I heard these and other views, I felt a strong sense of personal involvement and became determined to confront and overcome any problems."

Basic Policy on Human Resource Strategy