A Look Into the Life of Konosuke Matsushita
In 1964, LIFE Magazine introduced Konosuke Matsushita as a man with five faces.
He was a top Japanese industrialist, philosopher, money maker, magazine publisher, and best-selling author. Most people know him as the founder of Matsushita Electric, which we now call the Panasonic Corporation.
Konosuke Matsushita
Konosuke Matsushita lived a long, fulfilling life. He touched and inspired many through his company, leadership style, training institutions, and contributions to Japan’s postwar economy.
His philosophy on business management earned him the title “the god of management,” which still stands in Japan.
Let’s explore the story of this legend, who at one time was the leading supplier of three essential items for every Japanese household: a television, refrigerator, and washing machine.
Childhood
Konosuke Matsushita was born on November 27, 1894, in a farming village called Wasamura, currently part of Wakayama city. He was the youngest of seven other siblings.
His father, Masakusu Matsushita, was a well-off landowner and a distinguished member of society.
Matsushita lived a pleasant early childhood until age four, when his father lost the family’s fortunes due to poor rice speculation in the commodities market. The family had to relocate from the farm to a small house in the city.
Matsushita enrolled in Ono Elementary School in 1901 at the age of six. He studied there until 1904, when he had to leave school and find work to support his family.
By this time, three of his siblings, two brothers, and a sister had passed away due to illnesses. Matsushita took up an apprenticeship at a Hibachi store in Osaka. He was nine at the time.
Matsushita left the Hibachi store in 1905 after it went out of business and began another apprenticeship position at a bicycle shop in Higashi Ward, Osaka.
He worked in this entity for five years, where he learned to use metal tools and machines such as a lathe. His father passed away in 1906 after having instilled in him a desire to pursue entrepreneurship.
Rumor has it that Matsushita’s father discouraged him from leaving his apprenticeship to return to school. Instead, he encouraged him to keep learning and gaining skills at the bicycle shop and then use them to pursue entrepreneurship.
Matsushita left the bicycle shop at 15 years and applied for a position at the Osaka Electric Light Company. Something inside him told him that electricity was the new future.
He worked in this company for seven years and rose to the position of inspector, the highest he could get. Matsushita worked on designing and building a better electrical socket during his free time.
He tried to present it to his supervisor, but seeing his lack of interest, Matsushita opted to pursue his idea alone.
Adult Life
Konosuke Matsushita married Mumeno Matsushita in 1915 when he was 20 years old. Back in those days, arranged marriages were commonplace in Japan. The couple only knew each other for a couple of months before tying the knot.
Two years later, in 1917, Matsushita resigned from Osaka Electric Light Company to establish his entity. Using only 100 yen, he set up operations in his tiny house and hired his brother-in-law, Toshio Lue, and two colleagues from Osaka Electric Light Company.
Seeing the lack of sales in the entity’s first year in business, the two colleagues from Osaka Electric Light Company pulled out, leaving only Mumeno and Toshio Lue.
Matsushita and his two remaining staff struggled to keep the business afloat throughout 1918.
The company almost went bankrupt until one customer placed a sizable order for electric fan parts. Matsushita used this money to establish Matsushita Electric and set up business operations in his two-story house.
Matsushita set up the company’s operations on the ground floor. He spent most of his time experimenting until he came up with the company’s first two innovative products: an attachment plug and a two-way socket.
He priced these two products at a sum cheaper than most competitors despite being of higher quality.
Sales started to grow, and his company employed more staff. In 1922, Matsushita built the company’s first factory and head office. By this time, his company had 50 employees.
Successes
Konosuke Matsushita realized that the bicycle lamps in the market were inefficient and unreliable since their battery life lasted only three hours.
In 1923, he invented a battery-powered bicycle lamp that eventually became the industry standard. Matsushita’s bicycle lamp could last 40 hours without changing batteries and had an appealing bullet design.
After six months of perfecting his invention, Matsushita took his bullet-shaped bicycle lamp to wholesalers, but they were skeptical and reluctant to market it.
Being the bold entrepreneur he was, Matsushita decided to bypass the wholesalers and take his invention directly to bicycle shop owners.
Orders began to pile up, and wholesalers who had previously rejected his lamp returned wanting to distribute it.
Matsushita’s bicycle lamp was such a success that customers also used it in their homes in place of kerosene lamps.
Following its success, Matsushita added more products to the company’s catalog, starting with radios, televisions, electric motors and lamps, irons, audio equipment, refrigerators, and washing machines.
By 1950, his company was the preferred supplier of black and white televisions, washing machines, and refrigerators, the three appliances that most Japanese households desired.
Failures
Konosuke Matsushita suffered a setback in his company when the Pacific War broke out between Japan and China.
The Japanese authorities pressured companies, including Matsushita’s corporation, to divert their focus to manufacturing military equipment.
Matsushita eventually cooperated and formed the Matsushita Airplane Company and Matsushita Shipbuilding Company, even though he had no experience in this field.
The move to produce military equipment cost Matsushita’s company immensely after the Japanese government defaulted on its payments to suppliers.
The war also devastated the nation’s economy. By the end, the Panasonic Corporation had lost 32 offices and manufacturing factories in Osaka and Tokyo, and the number of employees reduced from 26,000 to 15,000. Matsushita had to rebuild his company again.
Lifetime Achievements
Konosuke Matsushita achieved many things in his lifetime, but the two most significant achievements, besides the Panasonic Corporation, are The PHP Institute and Japan at the Brink.
Matsushita founded the PHP Institute in 1946, a year after the Pacific War ended. Japan began working on reviving itself, but the country’s economy suffered inflation, dishonest business practices, and periodic food shortages.
Matsushita founded the PHP Institute to address these issues and help Japan achieve Peace and Happiness through Prosperity (PHP). A year later, he started publishing the PHP Magazine.
Japan at The Brink is one of the books that Matsushita wrote after retiring from his company’s active service. He retired in 1973, during the company’s 55th anniversary, and published this book a year later.
The book expresses his ideas and philosophy to help Japan recover from the recession caused by the 1973 oil crisis. The book sold more than 600,000 copies, thus becoming a bestseller.
Besides these two achievements, Konosuke Matsushita also received multiple awards and recognitions from accredited institutions. He was featured in TIME magazine in 1962 and LIFE magazine in 1964.
In 1958, Matsushita was also decorated Commander in the Order of Orange-Nassau by the Queen of the Netherlands, the highest award any foreign national could achieve in the Netherlands. He received this award for helping promote a good relationship between two nations.
Later in 1968, Matsushita got decorated with the Medalie De Honra Ao Merito Cultural Award by the President of Brazil, the Panglima Mangku Negara, and Tan Sri titles by the King of Malaysia (1979), and the Commandeur de L’Ordre de la Couronne Award from Belgium (1972).
The Death of Konosuke Matsushita
Konosuke Matsushita succumbed to pneumonia on April 27, 1989, at 94 years. He left $3 billion in personal assets and $42 billion in company revenue.
Character Traits
Below are the character traits we can observe in Konosuke Matsushita:
- Visionary
We can see Matsushita’s visionary character when he created a five-year expansion plan for his company in 1956. He achieved this plan in four years.
- Daring
Matsushita possessed a fearless attitude, desirable in most entrepreneurs. He started his company with less than 100 yen. He was bold enough to bypass wholesalers when they rejected his bicycle lamps.
- Resilient
Matsushita didn’t quit his company after suffering the setback caused by the Pacific War. He developed a plan to resume production and reconstruct his company.
- Altruistic
Matsushita showed concern for the well-being of his employees and the Japanese economy. He was not quick to lay off his employees during a crisis.
Management Style
There is a reason why Konosuke Matsushita got nicknamed “the god of management.” His approach to management put more value on human beings than processes and systems.
Matsushita respected and admired the stakeholders of his business, from his employees to his customers. He never laid off or dismissed employees when a crisis occurred in his company.
Matsushita established Hoichi-kai (standing for one-step society) that organized sporting and recreational events for his employees. He also introduced employee health insurance programs to his company and instituted an employee training facility in 1934.
Lessons Learned From Konosuke Matsushita
Here are the lessons we can learn from Konosuke Matsushita:
- Empower your employees
Many benefits come from empowering employees, including increased employee retention and higher job satisfaction, to name a few. Konosuke Matsushita valued his employees so much that he established a training facility for them.
- Seize opportunities
Matsushita recognized that the bicycle lamps in the market were inefficient and worked on developing better ones. He seized this opportunity, and so should we whenever we discover opportunities in our business or industry.
- Have a risk management plan
In 1956, Matsushita encouraged, during a seminar, the importance of having a dam management plan. This essentially meant that businesses should have a plan to counter unexpected changes in the business industry. He metaphorically said that entities should have a dam and reservoir in their management to overcome undesired changes and ensure stable business growth.
Konosuke Matsushita Timeline
Konosuke Matsushita Timeline1894
Konosuke Matsushita is born in Wasamura Village, now part of Wakayama City.
1904
Matsushita starts an apprenticeship at a Hibachi store in Osaka.
1910
Matsushita takes up a job at Osaka Electric Light Company.
1917
Matsushita resigns from Osaka Electric Light Company to start his entity.
1918
Matsushita establishes Matsushita Electric, now the Panasonic Corporation.
1922
Matsushita relocates his company to its first factory and head office.
1923
Matsushita invents a bullet-shaped bicycle lamp, which eventually becomes a success.
1933
Matsushita relocates his company to a new factory and head office in Kadoma, Osaka.
1934
Matsushita opens an employee training institute.
1946
Matsushita establishes the PHP Institute.
1951
Matsushita goes to the United States for the first time to see how he can bring his business to this part of the world.
1958
Matsushita gets decorated Commander in the Order of Orange-Nassau by the Queen of the Netherlands.
1961
Matsushita resigns to become chairman of his corporation.
1962
Matsushita gets featured in TIME magazine.
1973
Matsushita retires from active serving in his corporation.
1974
Matsushita publishes Japan at the Brink.
1989
Matsushita dies at age 94.
Quotes From Konosuke Matsushita
“Anything is possible if approached with conviction.” ~ Konosuke Matsushita
“One must be cautious of tempting offers that may not derive from the best of intentions.” ~ Konosuke Matsushita
“Private enterprise is ultimately a public endeavor.” ~ Konosuke Matsushita
“It is a kind of law of nature. The goal one aims for can rarely be reached by a direct road.” ~ Konosuke Matsushita
“It is during the bad times that the skilled manager lays firm foundations for future growth.” ~ Konosuke Matsushita
“A business is only as good as the people in it. Even a promising business will flounder if it is not well-managed.” ~ Konosuke Matsushita
“I believe a manufacturer’s most important responsibility to the customer is to make defect-free products.” ~ Konosuke Matsushita
For more see the latest search results for Konosuke Matsushita quotes.
Books
A few books will give you much more information about the life of Konosuke and his management techniques. I found a few listed below you may be interested in.
1. Matsushita Leadership by John P. Kotter · 2012
2. Practical Management Philosophy by Konosuke Matsushita.
3. Japan at The Brink by Konosuke Matsushita.
You’ll also come across books related to Panasonic, which give you an overall understanding of the life of Konosuke Matsushita.
View the most recent Google search results for books related to Konosuke Matsushita.
News
Even though Mr. Matsushita passed away many years ago, you can still find news stories about his life.
Using Google News allows you to view the most popular and latest news stories covered by the media. In addition, you can set up a news alert for any stories published and picked up by Google News.
See Google’s news search results related to Konosuke Matsushita.
YouTube Videos
YouTube has many videos about Konosuke Matsushita’s life, philosophy, and the company he built, Panasonic.
The video I included in this post offers a summary of his life and his philosophy.
As you are watching a video on YouTube, related videos will show up on your screen, and I look at those because many offer corresponding topics I hadn’t considered.
See the most recent videos related to Konosuke Matsushita.