Rlchard Pettlnger

SONY: THE CREATION OF STRESS-FREE CORPORATE CONDITIONS

Introduction

Sony Inc. began life as the Tokyo telecommunications engineering company. It was founded by Masaru Ibuka and Akio Morita.

The company’s founding ideals were:

» the establishment of an ideal factory, dynamic and pleasant, where technical personnel of sincere motivation can exercise their skills to the highest levels;

» the creation of dynamic activities in technology and production for the resurrection of Japan;

» prompt application of highly advanced technology for the good of the general public; and

» the conversion of technical expertise into commercial and pro fitable products.

Ibuka and Morita also established a philosophy of management.

» Concentration on the long term rather than short-term pro fiteering.

» Compact size and subdivision of operations through which it would be possible to capture and enhance the pro fitability of product specialization and market niche concentration, in order to be able to go where larger mass production companies were not.

» Accentuation of the relationship between product and value to society as well as individuals.

STRESS MANAGEMENT IN PRACTICE 79
» Concentration on the quality of working life of those employed.

» Concentration on enduring product quality and excellence in both established and pioneering areas.

The company started out by trying to commercialize the potential of audio magnetic tape. In the 1950s it diversi fied into the production of transistor radios; in the 1960s it went into video equipment production (during the course of which it made its notorious decision to produce its own Betamax rather than a generic VHS machine); in the 1970s it diversified into film and music production; in the 1980s it moved into mini and micro cassette, CD, and mini-disc; and in the 1990s it added product portfolio consolidation, television and film produc- tion, and computer games and equipment. In the early twenty- first century the company has markets in 146 countries, offering a clear and distinctive brand and perceived quality advantage in music and video entertainment, and electrical and electronic goods.