Human resource allocation and development
Approach of human resource allocation and development
Recognizing that long-term career development is fundamental to our sustained growth, Murata's human resource management focuses on fostering enduring careers. We believe that providing employees with rich experience and opportunities for education and training will promote employees growth. Therefore, we carefully align company needs with individual career plans when allocating and developing talent.
We have also formulated the basic policy for human resources development that serves as a basic approach for supporting employees’ growth and career planning. We aim to provide fair opportunities based on each employee's skills and expertise, and will realize a corporate culture of mutual nurturing and development by heightening three abilities – the ability of the individual to grow, the ability of superiors and the work environment to nurture, and the ability of the company to foster.
- Scope: Consolidated (domestic)
Human resource allocation and development initiatives
The initiatives include job rotations, educational opportunities tailored to each level/allocation, management capability development, and career path diversification.
Development of human resources through job rotation and allocation
- Promotion of global job rotation
- Onboarding interview for assigned posts, follow-up interview, and fifth-year Career Development Plan (CDP) interview
- Factory training program for new employees (including overseas factories): As of fiscal 2024, 411 new employees participated. A cumulative total of 3,854 employees have participated since fiscal 2009.
- Overseas Trainee Program: a one-year, on-the-job training program provided to employees at global sites beyond their main locations (as of fiscal 2024, 177 employees participated)
- Recruitment system that includes reskilling for specific job types
- External secondment
- Venture Study Abroad: self-nomination training course for a six-month participation in a venture company. A total of 10 participants during four sessions.
One example of training by level is the practical factory training program provided to new employees. This program started in fiscal 2009. New employees experience the actual manufacturing processes in this five-month program. Through this program, new employees learn Murata’s commitment to safety, quality, cost, and lead time, as well as the importance of teamwork, while working both day and night shifts. These experiences help them understand both the rewards and challenges of Monodukuri while fostering an awareness to contribute to society through products. They may initially find the unfamiliar work environment or tasks challenging; however, through repeated on-site work and improvement proposals, they gain an understanding of the workflow and work ethics required at manufacturing sites. In particular, improvement proposals aimed at enhancing cost competitiveness, quality, and safety directly strengthen on-site capabilities and lead to the development of new employees’ proposal skills. In a questionnaire given after the practical plant training, around 90% of the participants responded as being satisfied. We believe that this experience not only leads to deeper understanding of the company, but also helps increase employee engagement, thereby reducing early turnover rate (within three years of hiring). In addition, a hands-on training program that started at overseas manufacturing sites in fiscal 2023 as part of our global talent development is planned for expansion. The practical on-site experiences, together with the connections formed with the manufacturing division, other related departments, and peers who joined Murata in the same year, will become valuable assets in developing one’s career at Murata.
Number of participants in factory training program (per fiscal)
Strengthening management development
Murata has defined human resource requirements for global leaders and has consistently aligned its leader talent development with these requirements. Murata has implemented a range of assessments, including 360-degree evaluations, and introduced a mentorship system that incorporates feedback from both inside and outside the company to drive self-transformation. These initiatives are being strengthened to accelerate leadership development.
Link: Developing leaders who can change the future
In addition to developing management executive candidates, Murata also actively conducts initiatives aimed at enhancing the general management ability of all its managerial positions.
One of these is Murata Management Basics (MMB) training, a program spanning approximately eight months that involves group training and repeated practice in the actual workplace. Members of our management team from across the entire range of job types and departments in the Murata Group participate. The program aims for them to learn the basics of management and to mutually enhance one another by discussing the various challenges they encounter while practicing management. Training participants also learn the importance of developing a mindset that recognizes that the responsibility for fostering future management candidates is their own, and of consciously providing subordinates with work and encouraging self-reflection and introspection. Since launching the program in 2008, a total of 2,245 individuals have participated as of the end of fiscal 2024.
Various training programs and educational opportunities
Even after completing human resource allocations, Murata continues to offer its employees specialized functional training, including training by function and technical training, to foster an environment where they can perform at their best.
Furthermore, to foster DX talent, Murata provides foundational DX education for all employees, as well as specialized training for those who will act as DX champions within the organization.
Link: To make DX a corporate culture through human resource training
Murata’s career development support
At Murata, we believe that self-driven career development support is key to achieving a virtuous cycle between individuals and the organization (personal growth and revitalization of the organization).
We aim to achieve consistent career development support while also aligning it with individual attributes.
Multi-track career paths
Murata is promoting an expert development system to ensure that personnel contributing to the company with skills developed through advanced expertise and experience are appropriately promoted, assessed, and rewarded.
In Japan, in addition to the “contribution course system” for career-track employees engaged in core operations, we established new higher-level expert managerial positions in 2019 as a framework. At present, many individuals in expert managerial positions are making significant contributions. We are also working toward establishing career paths where employees can perform core operations without having to transfer and change residence, so that our diverse employees can continue to challenge themselves.
At Murata, we seek to foster diverse perspectives and promote trust and collaboration across departments and offices.
In 2021, Murata also established global guidelines for specialist employees (experts) at its overseas Group Affiliates, defining their roles, career paths, and job requirements. In 2023, training program trials for experts were conducted at the company's four overseas business sites in Europe. There are plans to broaden the program's scope to include North America, Japan, Asia and ASEAN regions.
Implementation of an age 65 mandatory retirement system
Starting in April 2024, Murata Manufacturing and its major affiliates in Japan have implemented an age 65 mandatory retirement system (60 was the age of mandatory retirement age until then) to maximize employee engagement and provide a secure environment in which employees can work with peace of mind until that age. Under this system, employees aged 60 and over remain on the wage scale previously applied up to age 59, with their treatment adjusted to reflect each individual’s level of contribution and role responsibilities. Additionally, we have instituted an “optional retirement system,” which allows each employee to opt for retirement between the ages of 60 and 64, supporting them to make autonomous career decisions.
- Career management training/Career seminar (for employees upon reaching age 50)
- Job matching (internal recruitment system for employees aged 50 and above)
- Workstyle survey (age 57)
- Career change support service
Evaluation and compensation
Concept of fair evaluation and compensation
Murata employs fair and objective evaluation processes paired with appropriate compensation and treatment linked to the results. This approach helps us globally achieve “employee development and motivation”, “acquisition and retention of diverse human resources,” and “utilization of human resources.”
- Murata is committed to instilling its corporate philosophy company-wide by embedding the qualities and behaviors it values into its evaluation criteria, establishing standards free from bias related to age, gender, ethnicity or other personal attributes, and making those criteria fully transparent to every employee.
- Fair system operation is guaranteed through continuous improvement, which is supported by periodic evaluator training and mutual feedback mechanisms between labor and management, involving the Murata Manufacturing Workers Union.
- Murata has implemented a standardized employee goal-setting process, requiring employees to meet with their supervisors at the start of each term to set measurable individual goals for the term and ensuring that these goals are aligned with organizational policies.
- During the term, the supervisors track the progress of individual goal achievement and provide timely feedback and guidance on the progress to ensure the fulfillment of both organizational and individual goals.
- Murata evaluates individuals based not only on their job performance, but also on their job conduct and the processes they follow, to ensure that adherence to the corporate philosophy and the Code of Conduct is an integral part of the criteria for their achievements and compensation.
- Evaluations are finalized through multi-faceted performance appraisals conducted by multiple evaluators, ensuring enhanced accuracy and credibility.
- The evaluation process for each employee incorporates feedback meetings with their supervisor, which offer them support for skill development and opportunities for career discussion.
- A performance-linked bonuses system, which combines organizational performance by region or business site with individual achievements, is being implemented across all levels from management to general staff.
- Murata Manufacturing and its Group Affiliates in Japan have established long-term incentive programs, including restricted share-based remuneration and individual performance-linked retirement benefit, to promote a higher degree of engagement and foster a stronger sense of participation in management among employees.
Global leadership competency
Murata has identified eight talent requirements for its leaders (managers), defined as global leadership competencies (GLCs), to drive future innovation. Managers establish annual policies for the organization, and are evaluated based on their progress on these policies and achievements. The GLCs, applied uniformly across all managerial positions, serve as standardized benchmarks to evaluate managerial conduct. Murata is leveraging the GLCs not only to instill its desired talent requirements company-wide, but also to drive its global talent-management initiatives, including development, selection and promotion.
Initiatives related to evaluation and compensation
Male-female workers’ wage difference
The male-female worker’s wage difference represents the ratio of female wages to male wages.
- FY2024 Murata Manufacturing alone
There is no wage difference for the same work, and the gender wage gap among regular workers is mainly due to differences in the composition of job types.
- FY2024 Murata Manufacturing alone
For reference, when male and female regular workers are of the same age and occupation, the wage gap between them tends to narrow. The calculated gender wage gaps among regular workers aged 30 are as follows. The wage gap in field staff labor positions is due to the higher proportion of male workers engaged in shift work.
- FY2024 Murata Manufacturing alone
To resolve the wage gap, we are undertaking the following efforts.
Engagement
Engagement concept
To foster cultural development with the participation of all employees, Murata has embraced “CS and ES” as core values in its management approach. Murata defines ES as “every employee achieving satisfaction and continuing growth through the performance of their work duties,” and the ES status of individual employees is assessed using engagement metrics collected in our annual global survey. Murata aspires to create a virtuous cycle of organizational growth, where improved ES drives higher CS.
Actual performance values
Since 2004, Murata has continued to reform organizational cultures in order to establish a company culture that provides both meaning and opportunities for growth to employees. At Murata, we believe that it is important for employees to feel that their work is meaningful and continue to grow. We therefore have continually been conducting employee surveys at each site in order to determine and analyze issues. Since fiscal 2021, we have been conducting global surveys and running through a global PDCA cycle. The global survey measures aspects such as trust in the company, job satisfaction (including elements like individual development opportunities, access to resources, and learning opportunities), internal motivators (including loyalty and a sense of purpose), as well as respect & recognition. The favorable rate for “employee engagement” has been set as a medium- to long-term benchmark, with a goal of 71% by fiscal 2027 and 76% or higher by fiscal 2030. We have also changed our implementation schedule from once every two years to once a year starting in FY2024 to check and promote activities in shorter cycles and continue taking steps towards achieving our positive employee engagement response ratio targets.
Please refer to the ESG briefing materials for details on the results of the FY2023 global survey.
Link: ESG Meeting 2024
Specific initiatives
Murata is conducting initiatives to promote the understanding of our corporate philosophy and encourage dialogues in order to increase employee engagement and strengthen overall organizational capabilities.
Promotion of dialogues between management and employees
At Murata, we believe that it is important to obtain the understanding and agreement of our employees with regard to the company's philosophies, reason for being, and business goals, in order for the company to continue to grow. We will continue to promote dialog between management and employees in order to foment an organizational culture in which employees agree and are satisfied with organizational reform initiatives. Some of these efforts will include:
- Policy explanation sessions conducted by the President
- Dialogues with employee representatives: representatives from 16 domestic sites, the president, and the executive officer responsible for human resources participate in discussions on management policies
- Chitchat with the president (via in-house SNS): shared approximately weekly, with 44 editions distributed in fiscal 2024 encouraging mutual communication
- Training programs led by executive officers: executive officers share Murata philosophy (creed) as lecturers and engage in direct dialogue with employees.
- Began also being implemented at our sites overseas in FY2023
- For our sites overseas, training sessions are a hybrid of in-person and online sessions
- A cumulative total of approximately 400 sessions had been implemented by FY2020
Inter-organizational collaboration initiatives
Managers in each organization not only apply the PDCA cycle to improve their own organizational outcomes, but also actively collaborate with other organizations to jointly drive cross-organizational initiatives.
- Department head workshop: dialogue to enhance collaboration among departments. A domestic participation rate exceeding 90%.
- Networking events for inter-organizational initiatives
A shared understanding of the corporate philosophy to unite diverse individuals
Murata’s organizational and human capitals have been nurtured through a management approach rooted in its corporate philosophy.
It is more important than ever to ensure that all employees share the values that Murata has cultivated.
- Murata Philosophy Month: every October, the month of our founding, is designated as the ‘Murata Philosophy Month’ during which both domestic and global sites organize opportunities for workplace dialogues.
- Murata Philosophy workshop for new employees
- Murata Innovation Museum: a training center where both domestic and global employees deepen their understanding of Murata’s history, corporate creed and management philosophy, and core values, thereby promoting their professional growth. VR and online tours are also available.
- Discover Murata! : a training program offered at the company's headquarters or production sites to help both overseas or local employees understand its corporate creed and philosophy. In fiscal 2024, we held the training twice, with a total of 50 participants.
Work styles and WLB support system that promote challenges and growth (Murata Manufacturing and its major Group Affiliates in Japan)
We are working to develop various systems that help employees achieve a healthy work-life balance.
- Balance support plan that exceeds statutory requirements.
Building a framework that allows employees to achieve work-life balance regardless of gender
We have continued to expand systems to provide employees with support both at the home and the workplace, create environments that allow employees to autonomously develop diverse abilities and play an active role, and support the career development of employees.
At the same time, there are differences between men and women in the use of the work-life balance support system. Based on the intention to have all employees who request the use of the balance-support system to be able to select a work style that aligns with their values and achieve work-life synergy, we are working on maintaining the average number of days taken and improving the ratio of leaves intended for childcare with a target of raising the ratio of men taking childcare leaves to 85% by the end of fiscal 2026.
Ratio of employees taking childcare leaves (men/women)
- Murata Manufacturing alone
- Average number of days of childcare leave taken by men 53.6 days in fiscal 2024
- Ratio of men taking childcare leaves or paid leaves intended for childcare (childcare leave for spouse giving birth): 87.3% in fiscal 2024
[Major initiatives]
| Publicizing the policy and systems |
- Publicizing the policy and internal systems for balance support
- Improving the explanation of the social insurance system to alleviate income anxiety
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| Expanding the balance-support system |
- Alleviate income anxiety by making paternity leave following birth and maternity leave eligible for receiving bonuses
- Grant paid leaves intended for childcare (childcare leave for spouse giving birth)
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| Creating workplace culture |
- Have interviews, give questionnaires, and hold talk sessions with experienced employees along with the trade union
- Give briefing sessions to supervisors eligible for the systems
- Distribution of interview sheet upon returning to work for supporting work-life balance
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Diverse employees playing active roles
Concept of D,E&I
According to Murata philosophy, our reason for existing is to contribute to the advancement of society, we continue to create innovative products and solutions together with our colleagues and stakeholders by enhancing technologies and skills applying scientific approach. Innovation arises from diverse individuals building trust and working to co-prosper with all stakeholders. At Murata, we have always valued sharing the process of growth and expressing our thanks.
In addition to diversity that can be seen, such as ethnicity, nationality, gender, and age, we recognize that there is diversity that cannot be seen, such as thought, knowledge, experience, and perspective (Diversity at Murata). It is not enough to merely have people of various backgrounds, each with their own perspectives and ideas. We must bring those perspectives and ideas out into the open and actively clash them with differing viewpoints and opposing opinions. In environments where majorities and minorities exist, there are often hurdles to expressing diverse ideas and opinions. At Murata, we are committed to creating working environments and support systems that allow all of our diverse employees to stand side by side at the starting line. We also endeavor to foment an awareness of this among our employees (Equity at Murata). Through engaging in diversity and equity, Murata aims to create an environment where diverse individuals can fully demonstrate their abilities, share a common vision, co-prosper with collaborators (Inclusion at Murata).
Specific initiatives
Initiatives to promote diversity of opinions
To foster a D,E&I climate through employee-driven initiatives, we established the Murata Diversity & Inclusion Plaza (M-DIP), a working group formed by employees selected through open recruitment. The members are continuously working on cross-organizational and cross-site activities. It started in 2016 and has now been active for seven terms. A total of 148 individuals have contributed to date. Although it is an employee working group, it has appointed the executive officer in charge of Human Resources as its owner to strengthen collaboration with management, and it actively drives the company’s D,E&I initiatives. The initiative’s mission is “to increase the number of workplaces where people can challenge and appreciate differing ideas and perspectives.” Members drawn from a wide variety of workplaces learn D,E&I-related knowledge and skills, then take them back to their own workplaces to put them into practice.
Examples)
- Graphic recording course at workplace
- Production of workplace learning videos on topics such as unconscious bias and assertive communication.
- Practice of D,E&I dialogue at multiple workplaces utilizing facilitation skills
SOGIE
At Murata, based on the concept of D,E&I, we are creating an environment where people can work comfortably regardless of their SOGIE (Sexual Orientation & Gender Identity, Expression) status.
| Basic policy |
In our Human Rights Policy, Corporate Ethics Policy, and Code of Conduct, Murata declares prohibition of discrimination and harassment based on sexual orientation, gender identity, and expression. |
| Training and seminars |
Murata has been continuously providing basic knowledge training/training programs for managerial positions since fiscal 2020. In fiscal 2023, more than 800 employees participated in the optional training.
In addition to company-wide seminars, many dialog meetings are being held at workplaces and business sites on the topic of gender diversity.
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| Internal HR regulation |
Since April 2022, Murata has clearly stated to apply the same internal regulation, including welfare and benefit programs, as those for legal marital relationships, to same-sex partners and common-law partners, which have already been used by some employees. |
| Accessible internal equipment and supplies |
We have universal use toilets. The gender-distinguished uniform is changed to a unitary design. |
| Approachable contacts |
In addition to the consultation desk at each business site, each contact accepts consultation requests regarding SOGIE.
An event hosting individual consultations with external specialists was held during fiscal 2023.
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| Dialogs with stakeholders |
In fiscal 2023, a dialog meeting was held with NPO Nijiiro Diversity for the purpose of establishing an environment based on reasonable accommodation as an enterprise. |
Promotion of participation of persons with disabilities
Murata is committed to expanding employment opportunities and improving workplace environments to create an inclusive atmosphere where diverse individuals, with or without disabilities, can thrive and continue working with vitality.
Proportion of Disabilities Employed at Murata Manufacturing Co., Ltd
- Actual employment rate: based on the Ministry of Health, Labor and Welfare’s results of the statistics on the employment of disabilities
In 2020, we established a special subsidiary called Murata Cosmos. With offices in our group companies, we aim to expand work opportunities outside of manufacturing work, such as cleaning offices, washing cleaning uniforms, and operating company cafés. We also continue to offer seasonal hiring and other opportunities that enable individuals to play an active role in a manner which is both mentally and physically healthy.
Alongside expanding employment opportunities, we are making concerted efforts to hold regular meetings and to provide reasonable accommodations tailored to each individual’s circumstances, as part of creating a work environment in which all employees, with or without disabilities, can work with confidence and peace of mind. We have implemented workplace adaptations designed to foster a supportive environment where individuals can better focus on their work. Tailored to individual characteristics or insights gained from interviews, these adaptations include displaying daily schedules and introducing color-coded zones for pathways and work areas.
Additionally, the employment rate of people with disabilities at our overseas group companies is 0.2%, and we are undertaking initiatives in accordance with the applicable laws and regulations in each country and region.