Official Website of Kazuo Inamori


Reflections on Kazuo Inamori's Practical Study: Management and Accounting
― Seeking the essence of things by adhering to fundamental principles ―
Kyocera Management Studies Course at Kagoshima University, Faculty of Engineering (December 11, 2002 & July 7, 2003)

The concepts behind my accounting method

When I founded Kyocera, I was just a 27-year-old engineer with no management experience. I did not know the first thing about 'accounting.' Yet I was the person everyone looked to for decisions on all kinds of company matters.

On what basis should I make decisions? How should I approach management? These questions put me in a state of anxiety that kept me awake at night. However, on thinking about it, I began to see that the business could not possibly do well if my actions in management were irrational or contrary to basic morality and ethics. I therefore decided to make all decisions in the light of fundamental rules and principles. I would strive to confront each new issue that arose from a thorough understanding. In determining to take this path in all aspects of management, I began to reconsider what management should be. I deliberated constantly about the essence of management.

The exact same thinking applied to accounting. I was constantly thinking about the essence of accounting. Whenever my expectations differed from the numbers in the actual accounts, I immediately had the person in charge of accounting give me a detailed explanation. I did not want a textbook-style reply. I wanted answers relating to the true nature of accounting and the principles it reflected. The person in charge of accounting was often unable to give that kind of response, so I just kept asking questions until I was convinced.

In the process of Kyocera's growth and development, I encountered continual problems relating to accounting and taxation. I tackled each one directly, based on my personal management philosophy. Eventually, I arrived at a way of thinking that I considered reasonable, concerning the state of accounting and finances, the ideal form of management accounting, and so on. That way of thinking permeated the company alongside the management control system I began to refer to as Amoeba Management.

Kyocera Management Studies Course at Kagoshima University, Faculty of Engineering (December 11, 2002 & July 7, 2003) Summary

What is the Purpose of Life?
Why Do We Need Philosophy in Management?
What Guides People and Enterprises Toward Growth and Development?
Learning about the Ideal State of a Leader from Nanshu Saigo
Reflections on Kazuo Inamori's Practical Study
Amoeba Management Brings Sustainable Corporate Growth