In 1958, the government of Japan announced that it would liberalize trade five years hence.
"What will become of us when American cars are imported?"
This was a major threat not just for domestic automakers, of course, but for DENSO as well.
Amid this, various experiences led us to one conclusion.
"We will compete globally on quality, not price."
From just after our establishment, DENSO has pressed ahead with implementing quality control (QC).
We would refine our strengths and win out in intensifying international competition.
To this end, we set our sights on a target that was clear-cut and ambitious.
It was a name of global authority in quality management: the Deming Prize.
The judgment criteria are extremely rigorous, and mastering the world's highest levels of knowledge and technology is essential.
From this point the company came together as one and began expending tremendous effort.
To start with, we visited companies that were past winners, and interviewed them exhaustively to learn what preparations and efforts they had made.
We also solicited guidance from prominent university professors, and actively participated in outside seminars as well.
We had not a bit of overconfidence regarding
our own knowledge and experience.
We even created our own original textbooks and established level-based education plans for management, supervisors, and staff members.
Study sessions were held at worksites practically every day.
Every one of the 5,136 employees at the time devoted effort to learning about quality control, and, from the ground up, revised the way they accomplished their own tasks.
"It's clear at a glance who works for Nippondenso."
These were the words of a nearby resident at that time.
He said that during the train commute for work, they were the ones intently reading books on quality control.
There is even a story about how one boy heard his father muttering "QC...QC..." in his sleep every night.
One instructor is held to have let it slip that "this company scares me. Even if what I teach them is off the mark, they follow through completely. I have to be careful what I tell them."
This tremendous effort paid off.
In October 1961, DENSO became the first company in the Toyota Group to win the Deming Prize.
We also contributed in a major way to developing a control system that raised the level of quality control in Japan.
Our experience in uniting the company as one conveys the essence of research.
It does not matter whether one is a researcher by occupation.
Pursuing quality in one's own work and staying sharp – for us, this is research.