Strategic Management Aspects of the KAO company

Michael Jasniak

Jun 2012 · GRIN Verlag

About this ebook

Seminar paper from the year 2012 in the subject Business economics - Business Management, Corporate Governance, grade: ohne Bewertung, University of Sunderland, course: Strategic Management, language: English, abstract: Executive Summary The given report on Kao’s strategy formation process provides detailed insights in the organizational structure and values pursued within the company. Further aspects covered are the establishment and management of a learning organization influenced by Dr. Maruta’s vision, regarding its actuality and effectiveness. Strategy emergence signifies thinking and acting at the same time, in order to allow flexible adaptations for following market needs. Opportunism, flexibility, support, entrepreneur and learning are major aspects of Kao’s learning organizational strategy, which turned out to be successful in Japan as well as on a global level, in form of nearly doubling total net sales and acquiring further 10 percent of sales on the worldwide market, of own sales figures. The former president of Kao Dr. Maruta strongly believes in collective, initiative and equalitycoined principles that promote synergy, problem solving and the creation of innovative ideas and solutions on the market, through actively participating employees. Strong commitment and cultural integrity in each business activity of Kao and its newly acquired firms are of fundamental value for maintaining a proactive learning organization. Global competitors are Proctor and Gamble as well as Unilever, which currently face easy expansion due to a weak US-dollar. Simultaneously the strong Yen provides cost-intensive measures to maintain successfully on a foreign market for Kao. Native competition from Japanese companies is relatively calm. Kao’s complete vertical integration along the supply chain and its strategy management approach provided stable figures at times of the financial crisis and the earthquake in recent years. Progression is apparent from the published figures and Dr. Maruta’s principles and vision is still considered to be the moving power throughout the employees of Kao.