

In the Daikin Group, we believe that by having employees act based on our group philosophy and by building an environment where employees can grow by implementing People-Centered Management, we can achieve sustainable development and growth. As we accelerate business expansion on a global scale, we will have a greater number of employees of differing nationalities and values, and we will have more locally-hired management members. Against this background, we will implement our group philosophy and People-Centered Management and coordinate the direction of our worldwide Group companies so that we can become a truly global and excellent company.


Implementing People-Centered Management (PCM)
AAF of the U.K. Starts PCM Activities
American Air Filter International (AAF) of the United Kingdom is a member of the OYL Group, which joined the Daikin Group in 2006. In January 2009, the company started a PCM (People-Centered Management) initiative with the full support of Daikin and OYL. In this model case for the Daikin Group, ten project members from various divisions lead the implementation of People-Centered Management through organizational reform involving all employees.


Stimulate Both Vertical and Lateral Communication
The focus of the phase one of PCM activities is communication between employees and management and between employees of different departments. Management personnel strive to provide information on business policy and the current state of management. In response, employees give their opinions, which are reflected in company management, creating a virtuous cycle that helps the company grow and allow employees to raise job satisfaction.
More active dialog was realized through an in-house newsletter and workplace discussion, and this created greater individual enthusiasm and consent. A questionnaire showed that 94% of employees feel that their opinions are being reflected in company business, and employees are now more eager to take action to contribute to the company.
A range of established activities promote in-house communication
Step up CSR to Raise Employee Pride and Job Satisfaction
The phase two of PCM activities began in February 2010 and involved reforming the development system in order to raise employee pride and job satisfaction. For employees who wanted to make greater contributions, the company offered measures that included recognition of individual talent and career paths in line with this talent. It also created an occupational safety and health system and stepped up community service activities. As a result of these efforts, employees felt more a part of the company, and AAF successfully realigned its organization so that employees were eager to solve problems.
These efforts were recognized in November 2010 by the Chartered Institute of Personnel and Development (CIPD), which awarded AAF with the Investors in People (IIP) Silver standard to honor outstanding human resource development. In April 2011, AAF was awarded the Investors in People Gold standard and soon after the company was invited to become the Investors in People Champion organization.
What Our Stakeholders Are Saying
Helping Employees Want to Get Involved
Lynne Jackson
Strategic Planning Associate AAF
A key to the success of the PCM activities is having employees and management engage in frequent and earnest dialog to understand each other's desires. AAF has striven to raise employee motivation to get involved by ensuring that everyone understands the significance, goals, and merits of PCM activities. I believe that it is precisely because of the participation of all employees that AAF was awarded the IIP Silver, Gold and Champion standards.
A Complete Foundation for Implementing People- Centered Management
Ryan Noble
Project Manager AAF
Employee participation is crucial to the success of PCM activities. Over the past two and a half years, we have built a complete foundation for implementing People-Centered Management by having employees think, speak up, and act on their own initiative. We plan to continue making PCM an even more integral part of the corporate climate of AAF.

Making PCM an Integral Part of Worldwide Group Companies
Putting Individual Philosophy into Action Leads to Company Growth
Based on the AAF model, Daikin's worldwide Group companies are putting into action the Daikin group philosophy and People-Centered Management, and at the March 2011 Group Management Conference, worldwide companies agreed to work towards this goal. Under the strategic management plan FUSION 15 beginning in fiscal 2011, one of the key themes is to further instill our group philosophy in the global group. Plans call for having management of Daikin bases develop a greater understanding of the group philosophy, holding training for leaders, and equipping companies with tools such as case study collections and training videos.
By having employees implement group philosophy and by creating an atmosphere conducive to employee growth through rewarding work, we strive to become a truly global and excellent company.