Strategic Approach 3

Maximize the Power and Potential of Employees​

To make our company stronger, we need the drive and enthusiasm of engaged employees. Kao endeavors to become an organization with diverse employees who respect and motivate each other and earnestly take on challenges with great ambitions.
To this end, we are working to create environments and introduce systems which realize a cycle of sustainable growth for our employees and the company—a cycle in which employees are asked to take on tasks, are encouraged to take on challenges and raise challenging goals themselves, share their struggles through conversations, and are fully appreciated for the results they achieve.

Goal of Human Capital Development

An organization with diverse employees who respect and motivate each other and earnestly take on challenges with great ambitions

Policies at the base of human capital development

  • The Kao Way which is challenge- and future-oriented
  • DE&I to utilize diversity based on integrity

Our targets as a corporation

  • Double the productivity of employees’ activities by 2025

Environment for employee growth

  • Support for Individual Growth through selfeducation and inspiring each other
  • Career Development for spontaneous and proactive challenges
  • Development of Working Environment for efficient and flexible work styles
  • Lifelong Career Advancement through full use of specialist skills

Systems that encourage challenges

  • OKRs (Objectives and Key Results) which is Growth- and collaboration-oriented
  • 0★1 Kao for bottom-up proposal

Operation resilient and flexible

  • Respecting Conversations to stay close to people in the field and encourage growth

Encouragement for sustainable vitalization

  • Compensation System that is fair and growth-oriented
  • Recognition system to maximize motivation

Introduction of “OKRs” Suitable for Kao

Objectives and Key Results (OKRs)—introduced in January 2021—is a system to encourage employees to form one team where they learn from each other, help each other and rely on one another as well as to motivate each employee to be more willing to tackle ambitious challenges. OKRs has become a common language, and the incentives and a corporate culture to maximize the power and potential of employees got off to a favorable start, as major challenges in various areas and collaboration across workplaces and borders have been initiated.

The OKR Framework

We will accelerate our contribution to realizing a sustainable society and enhance Kao’s corporate value by interlinking the aspirational objectives of each employee, its divisions, and the company.

figure:The OKR Framework

Introduction of 0★1 Kao as a System of Bottom-up Proposals

0★1 Kao was introduced in July 2021 and is an open recruitment program for revolutionizing ideas (covering new business, products, services and companywide structural reform activities), which supports employees tackling challenges that go beyond their job descriptions and roles.
In the half year since its introduction, close to 100 ideas have been created and there has been a continuously lively exchange of ideas for the realization of a majority of them. Since the first idea meeting with the President was held in October 2021, 27 themes were proposed at these meetings within half a year. Of which 19 proceeded to the next step, including getting investment approval.

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