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Founder of both blue-chip electronics conglomerate Kyocera and Japan's No. 2 wireless carrier KDDI, as well as part-time Buddhist monk, Kazuo Inamori recently described the key to success which he is currently using to reconstitute troubled Japan Airlines (JAL).
Kazuo Inamori founded the Kyoto Ceramic Co., Ltd. in 1959 with $10,000 and 28 employees, and today the company (since renamed Kyocera Corp.) has more than 65,000 employees and sales of nearly $13 billion. Then in 1984, Inamori proved his success was not a fluke, by repeating it when he founded DDI to go up against telephony giant NTT, and today the wireless carrier (since renamed KDDI) has more than 14,000 employees and grosses more than $30 billion. Last year, Forbes magazine named Inamori the 28th richest man in Japan with a net worth of nearly $1 billion.
The key to his stunning business successes, according to Inamori, is what he calls the Kyocera Philosophy, which was adapted to become the KDDI Philosophy, and which Inamori, currently serving as CEO of Japan Airlines, is retreading to resurrect (JAL) after its bankruptcy last year.
"I strongly believe that corporations should have a philosophy on which to base their management...such philosophies affect the employees and the performance of the company," said Inamori in an exclusive interview. "Having the right mindset is very important, not only for research, but also for life."
Kazuo Inamori addresses the Kyoto Prize gala where three laureates are chosen each year for outstanding contributions in science, technology, philosophy and arts that have also contributed to humanity. (Source: Inamori Foundation)
Instead of recruiting employees with the most talent, Inamori encourages employee loyalty by pronouncing a formula by which hard work and a positive attitude can overcome lack of talent. Trained as a scientific researcher at Kagoshima University, Inamori later expressed this mathematically in a formula where ability and effort are measured on a scale of 0-to-100 percent, but attitude is measured on a scale of -100 to +100, thereby gating the product of ability and effort. In other words, a bad attitude can negate both effort and ability, but a positive attitude can multiple them: Success = Attitude x Effort x Ability.

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