Philosophy

The Daikin Group believes that practicing the principle of "People-centered Management" is essential to the growth of the group. Our philosophy states that the cumulative growth of all group members, regardless of nationality or company, serves as the foundation for the group's development. Based on the belief that people grow through work experience, the Daikin Group develops employee capabilities through on-the-job training (OJT)^*1.

We also supplement this with off-the-job training (Off JT)^*2, such as the Daikin Leadership Development Program for training executives who can work at the front line of global business operations, the Daikin Business School for executive management of overseas bases. We offer provide opportunities for independent learning through language training and correspondence courses.

*1 OJT: Employees learn and acquire the skills, knowledge, and degree of commitment required of their positions while performing their jobs.

*2 OFF-JT: Employees study outside of their workplaces in order to acquire the knowledge and skills needed for their jobs.

Education Systems

Raising up Personnel through Work Experience to Take the World Stage

With the Daikin Group's business spreading worldwide, it is crucial that we train people to be leaders with the management skills to guide employees with a diverse range of values in a common direction. To this end, in May 2008, we established the Daikin Ales Aoya Global Training Center in Tottori Prefecture, Japan. Here, new intensive courses for all worldwide Daikin employees are geared to the changing needs of the times, such as Skills Leader Training for people leading our overseas production bases, and Bridge Person Training for people who will promote understanding and practice of the Group Philosophy worldwide. In fiscal 2010, over 10,000 employees made use of the training center.

Starting from fiscal 2011, under the "FUSION 15" strategic management plan for 2015, we are implementing a variety of measures to boost human resources and facilitate mutual communications between the headquarters and branch offices, such as greater global recruitment, career path structuring, inter-regional and international deployments, and creation of competitive assessment and reward systems.

See Key Activities of Fiscal 2009: Global Human Resource Development.

Daikin Ales Aoya Global Training Center		Bridge Person Training

Education System

New Employee Training

The goal of new employee training is to foster business people capable of frankly expressing their own opinions and communicating with people with differing opinions. Trainees learn what it takes to be a company employee, and about the past, present, and future direction of the Daikin Group. There are also five days of English-language training as part of efforts to help new employees become global citizens and understand other cultures.

New employees also spend five nights and six days at the Daikin Ales Aoya global training center in Tottori Prefecture, Japan. There, hands-on, participatory training has new employees holding discussions and practicing concepts focusing on Daikin's People-centered Management and how to become an ideal employee.

Fast and Flat Training

This training focuses on improving the levels of leadership demonstrated by managers based on Daikin's concept of People-centered management. It is to facilitate Fast and Flat management of people and organization appropriate to each workplace.

Overseas Base Practical Training

To ensure we have internationally minded employees who can lead our global business in future, we send young employees (who have been with Daikin between two and nine years) to work at overseas bases for two years. Unlike other Daikin employees working overseas, these people make the most of their time in a foreign country, as they learn the practical side of all aspects of business by working with local dealers, suppliers, business partners, and universities, and acquiring firsthand the job skills and knowledge they need and learning about local cultures.

This program started in 1999 and as of the end of fiscal 2010, 93 employees had taken part.

Bridge Person Training

This training gives participants the work knowledge, experience, and networking and people skills that will make them a bridge between overseas bases and their Daikin divisions in Japan. Trainees learn to improve communication skills in English, and to gain a deeper understanding of foreign culture and Daikin Group's Philosophy.

This training began in 2008 and by the end of fiscal 2010, 51 employees had completed it.

Study Trips in Japan

Daikin sends young employees in Japan to universities such as Toyota Technological Institute and the International University of Japan in order to improve their technological skills, widen their perspective, and build human resource networks. There are currently six Daikin employees studying at Toyota Technological Institute.

Daikin Leadership Development Program, Daikin Business School

Both the Daikin Leadership Development Program and the Daikin Business School foster the next generation of Daikin Executives; the former is for managers in Japan while the latter is for local nationals who are managers at Daikin's overseas bases. Centered on Our Group Philosophy, the program turns out executives who can lead and manage their company for the common good of the entire Daikin Group.

Passing on Skills

Meister and Expert Systems Foster a New Generation

In 2001, Daikin Industries introduced a system to pass on advanced skills to young workers. This system ensures that we give the next generation of technical leaders the advanced skills that form the foundation of manufacturing.

In the air conditioning divisions, workers with advanced skills are designated as "Meisters". As of March 2011, there are 18 designated "Meisters" in the skill areas of brazing, lathing, sheet metal working, arc welding, die making, and tooling. These Meisters teach their skills at Daikin bases worldwide, thus fostering future engineers and technical leaders.

The Chemicals Division has since 2006 had a system to designate Experts, who pass their advanced skills on to others. As of March 2011, there are five designated Experts working in plant operations.

Passing on Skills at Overseas Bases

Fostering Global Trainers to Play Active Roles Around the World

Starting in 2002, Daikin Industries began designating distinguished veteran technicians as "Meisters" and sending them overseas to help raise the skill levels at overseas Group production bases. However, due to a lack of personnel to provide technical support for manufacturing at overseas bases, in April 2010 we established a new trainer system to foster future Meisters. Under this system, there are 3 categories of trainer—global trainers, regional trainers, and base trainers—and there are currently nine personnel undergoing this training.

In fiscal 2009, we started the Global Trainer Program in which foreign employees assigned to take up technical leader posts at their bases receive technical training in Japan from Meisters. Under this system, participants who have obtained technical skills return to the Daikin base in their own countries to provide technical leadership for their colleagues. As of fiscal 2010, a total of 16 technicians from foreign bases have participated in the Global Trainer Program.

We will strengthen technical support at foreign bases by advancing personnel training and increasing the number of qualified trainers to achieve globally consistent quality at the increasing and expanding bases in developing countries.

Fostering Young Engineers and Technicians

Experienced Workers Pass On Techniques and Skills

Since 1994, the Shiga Plant of Daikin Industries has worked to boost the level of its manufacturing by having a Kaizen Team of experienced workers lead training for young employees in the production division. The system began with training for mid-level employees but now focuses on passing on skills and techniques to young employees. As of fiscal 2010, a total of 96 employees have taken this training.

During the four-to-six-month training, each young employee is led by two or three experienced workers. Participants get practical work in the main aims of the particular session, taking classroom lectures in subjects like electrical circuitry, as well as applied learning in sheet metal working, arc welding, and circuitry.

While young workers pick up technical knowledge, they get a chance to interact with experienced workers, which help young workers develop a sense of professionalism.

Spurring the Creation of Intellectual Property

Two Systems Stimulate Creation of Intellectual Property

Daikin Industries has two systems for stimulating employees' motivation to invent and for spurring the creation of intellectual property.

The first is the Compensation System for Employee Inventions, a system in which Daikin pays employees for inventions created on the job that result in patent applications as well as successful uses of the patent. In fiscal 2010, Daikin compensated employees for 1,095 patent applications (submitted before the end of March 2010) and 467 successful uses of the patent (investigated in fiscal 2009 and paid in fiscal 2010). The second is the Incentive System for Valuable Patents, which gives employees incentive bonuses for valuable patents. In fiscal 2010, we awarded incentive bonuses to the creators of 84 patents.

These systems have been gradually taking root and employees are increasingly interested in discoveries and patents. However, we cannot say that there has been an increase in number of patent applications or the number of patents in force (early incentive bonuses). In fiscal 2010, due to the decrease in air conditioning patent applications in fiscal 2009, development leaders and members of the Intellectual Property Department got together to follow-up on the progress of key development themes on a monthly basis and promptly submit new ideas.

We will strive to enhance intellectual property management in order to increase both the number and quality of patent application, and we aim to devise ways to stimulate enthusiasm for inventions in a wider range of fields, as well as create a system of rewards that appropriately compensate employees for their success.

We are also addressing possible incentives for outstanding activities such as the building up of patent portfolios and for outstanding inventions produced at overseas bases.

Number of Patent Applications (Daikin Industries only)