A:Ameba is the smallest unit in a business operation & administration, bywhich we can measure the performance/ output and also the expense to deliverthat outcomes. Usually an Ameba is identified as the group of 4-5 people.
Q :How does this Ameba system work?
A:Each ameba is encouraged to deliver the best output and the lower expense, inother words, each ameba is supposed to perform well to bring the bestefficiency model. This efficiency model is measured under certain benchmarks:the efficiency ratio, per hour per head productivity. For instance, the laborcost for a staff working in an amba is 30 USD, and the per head and per houroutput is 50 USD, this ameba added 20 USD value to the company. Each Amebaworks hard to achieve the best ratio in a company.
Q:So those amebas have to compete each other to deliver the best performance?
A:Yes they do. However, the competition does not have any monetary values intheir reward s. Even though the ameba you belong to delivers the bestperformance, this record has nothing to do with your salary.
Q:So it does not work to motivate people. Why Kyocera doesn’t give them a sort ofbonus according to their performance?
A:If the ameba efficiency ratio is associated with the monetary measurement, theworking environment of entire company would become worse. Under a certainmarket cycle, some department perform well, while others not. If the companykeeps rewarding the best performers in terms of money, other would accumulatecomplaints and best performers get arrogant. This would negatively affect to creating a harmony, that’s why Kyoceradecided to separate monetary rewards-salary- and the efficiency ratio.
Q:How come do people get motivated without any financial compensation?
A:In Kyocera, best performing ameba is announced in front of others. All thehonor and gratitude are going to be sent to the best ameba. Peoplespontaneously thank that ameba members for working very hard and leading peopleto secure the good financial result for all of the employees.
Q:Does this actually work, to maintain high financial result?
A:Some people are skeptic towards such motivation management strategy, othersbelieve that people can perform well with only the reliance and trust fromother colleagues. In Kyocera case, this did work. Mr.Inamori delivered thisameba to KDDI, as well as JAL after its bankruptcy. He mentioned, together withthe philosophy, ameba system actually worked to achieve the remarkableperformance. The lessons learned from this episode is that people can getmotivated when they realize that they are trusted, counted, and respected asimportant talents.
