Amoeba Management Explained
Amoeba is a Management System[1] [2] designed by the creator and the late Kyocera honorary chairman, Kazuo Inamori. This management system was established in Kyocera and DDI (now KDDI)
Summary
Amoebas are in general groups of 5 to 50 people, composed of personnel in a company, with a clearly defined purpose of making profit for itself. Profit is measured using this simple formula: ("Profit per hour = (sales - cost) รท working hours"). It is calculated in each amoeba with the goal being to identify and maximize profitability per hour.
Amoeba profit is usually calculated on a monthly or annual basis. The aim is to target plans into action, and create a system of metrics which can lead to increased efficiency working hours.
Amoebas keep changing from time to time, and the roles inside an amoeba are changed as well.
Advantages
- The number of members of an Amoeba is small, so the results appear immediately, thus it is easy to give personnel a sense of ownership.
- It is easy to develop and identify leaders with management skills using the amoebas.
- Since the profitability metrics of an amoeba are unified, it is easy to weed out the competition between amoebas.
Drawbacks
- Amoeba is too focused on its own profitability, thus making it easy to pursue the interests of the amoeba over those of the company as a whole.
- It takes time to calculate the "profit per hour." If not calculated fairly, this method cannot be used as an adequate evaluation of profitability, or as a comparison against other amoebas.
Adopters
References
- Web site: Archived copy . 2013-09-08 . https://web.archive.org/web/20130312181556/http://global.kyocera.com/ecology/report/pdf2012/17_20.pdf . 2013-03-12 . dead .
- Amoeba Management: Lessons from Japan's Kyocera . MIT Sloan Management Review . 18 September 2012 . Adler . Ralph W. . Hiromoto . Toshiro .
