Higashimaru Soya Company



Higashimaru Shoyu Co Ltd was a manufacturer of
Soy Sauce



The company was established in 1942 by merger of Kikuichi Shoyu Goshi Gaisha and Asai Shoyu
Gomei gaisha companies



by 1992, the firm produced over 200 different products in approximately 650 packaging forms.



Third largest firm in the industry with 5% Market share  By

the early 1980’s supply significantly exceeded demand and prices fell

 Profit
 With

ratio dropped to about 8% from 10%

increase in variety, fixed cost increased thus reducing the profitability ratio.

 Toshio

Okuno was promoted as the Plant
Manager in 1974 with a permission to revitalize the Corporation.
 Implemented a gradual step wise process
 Identified the need of change in worker behavior.  Emphasized on increasing overall communication till the lowest levels of the firm. • MONTHLY GROUP LEADER MEETINGS
• Reduced a group’s natural resistance to change
• Increase in Inter and Intra group Communication
• THE PRICE CONTROL SYSTEM
• Developed a profit making attitude in groups
• Generate Cost and Quality awareness

• THE DRAFT SYSTEM
• Created a more efficient Job Rotation Program
• Corrected deficiencies in the job rotation program
• TATSUMAKI PROGRAM
• Improved management skills of group leaders
• Increased the group leader’s awareness of the issues faced by entire firm

• THE HANGEN GAME
• Designed to reduce head count
• Also motivated the groups for improvements



Toshio Okuno displayed a Transformational Leadership

style


Realized the vision through small planned steps and small successes in the path for its full

implementation


Tried to enhance the morale, performance and

motivation of the employees


Challenged the employees to take greater ownership for their work through the Price Control System

program



Tried to inspire the employees and make them interested in the work by various activities like