Hitachi, Ltd. today announced that head office is to be reorganized, effective July 1.
Based on the reorganization, head office staff will be divided into personnel whose
function is to support strategic decision-making by top management, and corporate support
personnel involved in day to day parent company functions. This will create a flat
organization directly under the president, helping to speed up decision-making.
In conjunction with the reorganization implemented on April 21, this will reduce the size
of the head office staff to around 400, a decrease of some 700.
In April 1999, in order to speed up the decision-making process, head office authority was
largely delegated to the various business groups, which became virtually independent
companies. At the same time, the head office workforce was reorganized into a corporate
staff whose function was to support strategic decision-making by top management and
handle everyday parent company tasks, and a business staff to support the operations of the
business divisions.
In April, the business staff was reorganized as a separate profit center built around a
contractual system with payment based on services rendered to the business divisions and
Hitachi Group companies.
In line with this latest reorganization, the role of the corporate staff will be focussed
more on providing high-level support for top management, and decision-making will be speeded
up by implementing a flat organization that is directly under the president.
Hitachi, Ltd., headquartered in Tokyo, Japan, is one of the world's leading global electronics
companies, with fiscal 1998 (ended March 31, 2000) consolidated sales of 8,001 billion yen
($75.5 billion*). The company manufactures and markets a wide range of products,
including computers, semiconductors, consumer products and power and industrial
equipment. For more information on Hitachi, Ltd., please visit Hitachi's Web site at
URL:http://www.hitachi.co.jp.
* At an exchange rate of 106 yen to the dollar.
< Corporate management staff >
A corporate management staff has been defined whose functions are divided into five
categories: 1. Management strategy; 2. Corporate communications and legal affairs; 3.
Financial affairs; 4. Human resources development; and 5. Audit and overview functions.
The departments in each category are listed below.
In overall terms, within the context of consolidated management, the focus is on supporting
the decision-making process of the Senior Executive Committee and executives, and
achieving the mission based on policy decisions.
1. Management strategy
Corporate Planning ¡õ Development Office, Group Strategy Office, Affiliated Companies
Office, Corporate Strategic Planning Office, Investment Planning Office, Information
Technology Strategy Office, Procurement Strategy Office, Sales Management Division,
International Business Planning ¡õ Development Division
2. Corporate communications and legal affairs
Legal Division, Corporate Communications Division
3. Financial affairs
Finance Department 1, Finance Department 2, Finance Department 3
4. Human resources development
Human Resources Strategy Office, Human Resources Management Department,
Education Planning Department, Labor Administration Department
5. Audits and overview functions
Internal Auditing Office
< Corporate support staff >
A corporate support staff has been defined, which is responsible for external liaison in such
areas as export administration, environmental matters and quality assurance, and for handling
matters relating to day to day head office operations. The departments concerned are listed
below.
Special Review Office, Corporate Export Regulation Division, Corporate Environmental
Policy Division, Quality Assurance Division, Customer Satisfaction Promotion Center,
Occupational Health Promotion Center, Overseas Offices, New Business Promotion Center
Note: Preliminary names are in italics.
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