As introduced at the beginning, the option management of Kato Spring provides a system where company members can choose their own working style and pace. Of course, as will be explained later, just because everyone has their own values and way of life, the concept of the company letting each company member do only what they want simply isn't realistic. Instead, the company provides several different work options. The essence is that company members, taking into account their own suitability (or lack thereof), personal preferences, etc., select the most appropriate option mode for themselves.
  In addition to manufacturing every type of spring, we have expanded our business scope to include microshafts, spring probes, IC sockets, insert moldings and assembly units. Even within each of these areas, we are experiencing rapid changes in products due to new technologies and type diversification. The severity of the marketplace has resulted in customer needs that require fine-tuned care from us.

  How does Kato Spring's option management handle such market needs? Are we providing quality goods and services? It is true that many people have doubts concerning this? The question is often posed, "Customer satisfaction or staff satisfaction?" This is a critical management issue. One thing that is clear, Kato Spring places company needs first.
  At Kato Spring, the use of the word "employee" is forbidden. We use "staff satisfaction" (staff is used here, but commonly employees are referred to as Katoites) instead. However, the philosophy "Staff satisfaction takes precedence over customer satisfaction" is our basic policy.
  At first glance, this is opposite of the idea held at large. Konosuke Matsushita said, "The customer is always right." During the postwar recovery period, Toyota Motor followed the policy of "Sell to demand, manufacture to sell." All of the model Japanese manufacturers focused on end users in their operations.
  I really think that is the way it should be. When the customer comes first, product quality improves and costs are reduced as much as possible. Consequently, Japan came to be called the leading manufacturing country in the world because of high-quality production. Factory facilities were upgraded, advanced marketing theory was incorporated, and using various market education tools, we approached users and customers. Such efforts were fully rewarded.

  The reason I introduced the slogan "Staff satisfaction takes precedence over customer satisfaction" is because it is my belief that we need to perceive matters from this point of view. That is, whether a company member works in the manufacturing section or deals with customers directly, the issue is whether or not the work really involves the motivation of company members in the frontline. If a company member thinks work is uninteresting or boring, or they are unhappy, they cannot make a good product; morale soon falls, the defect rate jumps and productivity plummets. Furthermore, if staff members unwillingly handle customers by the book, the company won't be able to sell anything, deadlines cannot be met and the company will have to spend more and more time on calls from dissatisfied customers.
  I personally know of many such dismal, unpleasant workplaces, and have experienced them myself. A negotiation that would have gone smoothly with only one more phone call for confirmation, a production line that stopped because of a slight insufficiency in regular inspections and other such developments often have their roots in workplace morale. The same can be said in the case of development teams, desk work and so on.
  Is this just a transient abnormality that happens to occur? Is it just a matter of morale?

  Kato Spring's concept of option management gave birth to a venture called Strawberry Corporation in 1996. Mr. Oizumi, president of Strawberry Corporation, made the following comment to a business newspaper just after the establishment of the company: "Among the companies that have recovered their performance in recent fiscal settlements, have there been any companies that did not sacrifice company members? Companies will not survive with symptomatic remedies such as production technologies."
  This reveals an attuned sense of crisis, and although he volunteered to be president of the venture firm, I think it was a keen perspective.

  Our staff members all work hard in a lively and cheerful work environment. They enjoy their work wholeheartedly. If a company can get to this state, shouldn't it be able to handle customers from the heart as a means of ensuring customer satisfaction. I am not just talking about making quality products. I am talking about company members putting their hearts into their product. That creates true customer satisfaction.
  But what is the mental state of such people? How can a company achieve this?
  We have provided various opportunities over the years to develop not only the skills but the brainpower of our staff members as well. Various small measures have been implemented to date, but they may only have a limited effect in activating the staff and organization. We focus on the "minds" of all Katoites so that everyone can work in a "cheerful, fun and vibrant manner enjoying their work with a sense of accomplishment." It is in such an environment that each Katoite can demonstrates his or her real skills. This helps them to grow even further. I believe that such breakthroughs are indispensable for the management of the future.