Gallery: INTERVIEW: Inhabitat Talks to Panasonic’s Katsumi Tomita About...

 

Inhabitat: At your presentation last month in Japan, you mentioned that Panasonic will be implementing CO2 reduction quotas for its employees where if they do not reduce the amount of CO2 that is expected of their departments, it will be reflected in their salaries. Could you explain this system to our readers? In your experience, does this type of performance-based pay system generally work?

Tomita: Panasonic Corporation is made up of several division companies. Our headquarters uses various criteria to evaluate each division company’s performance and reflect this in terms of compensation. Ordinarily, for us and other companies, those criteria include sales, profit and other indicators of the actual business. Panasonic’s particular innovation is to add the achievement of CO2 reduction by each division company to the traditional factors in performance evaluation criteria. I believe this is a fairly unique approach in this industry as I have not heard of other such examples in the electronics business.

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