October 31, 2025

Progress of Recurrence Prevention Measures Taken at PID Based on Recommendations from the External Investigation Committee

Panasonic Industry Co., Ltd. (Headquarters: Minato-ku, Tokyo; Representative Director, President, and CEO: Masato Ozawa; “PID”) announced in the November 1, 2024 release “Investigation Results on Quality Irregularities by the External Investigation Committee and Endeavors Taken at PID” that PID would be taking “recurrence prevention measures” formulated based on the recommendations of an external investigation committee, and subsequently, PID has steadily endeavored to implement those measures. PID hereby reports on the progress of those endeavors.

Status of Endeavors

Item Details of Endeavor Activity Status
1. Insufficient understanding of the essence of quality assurance (1) Strong determination and unstinting effort on the part of management executives, ensuring that an understanding of the essence of quality assurance permeates the company
  • ・Education to foster the proper mindset at each level (top management, business unit directors, general managers, managers)
  • ・To develop a deeper understanding of the essence of quality assurance, implemented tiered training for every level ranging from executive management down to general managers.
  • ・Implemented quality-related compliance education for all employees, based on specific examples of quality irregularities.
2. Organizational culture that does not encourage speaking up (1) Visualizing and sharing concerns and problems
  • ・Workplace support through WIP (Work In Progress)*1 and HELP boards
  • ・Enhancing mechanisms for early detection and remedying of inappropriate acts early
  • ・Introduced a WIP board as a management tool to promote a culture of helping each other, and created an environment that facilitates communication between supervisors and their subordinates and enables them to engage in consultation regarding any problems.
  • ・Completely overhauled the site design for EARS (PID's internal compliance hotline) for improved user-friendliness.
(2) Transparency and strengthening of project management and gates to include management executives Using a development dashboard*2 to visualize and follow up on the development process, and to enhance management decisions
  • ・Started the test operation of a development dashboard that provides an at-a-glance display of the progress status of high-difficulty development projects.
  • ・Finished implementing a framework enabling the headquarters departments to conduct special management depending on a project's level of difficulty or any safety-related requirements.
3. Limitations in the structure and operations of the quality departments and inadequacies in quality compliance systems (1) Strengthening of check functions and ensuring their effectiveness Eradicating the risk of quality irregularities through lines of defense under business divisions, business units/plants, and headquarters
  • ・Established independent Audit Departments and conducted field audits.
(2) Quality personnel development and creation of systematic rotations Establishing rules that define promotions and roles, and clarifying terms of office
  • ・Established the "Quality Personnel Development Career Standards," which specifically prescribe training and career planning initiatives for personnel in quality-related positions, and finished systematizing rotations.
(3) Constructing a system to check conformity with customer-requested specifications and regulatory certification at each step Introducing an evidence-based check system for preventing omissions and reducing workloads using IT systems
  • ・Finished constructing an oversight mechanism using a "customer-requested specifications management chart" that enables central management of customer-requested specifications.
  • ・Planning to deploy an IT system for regulatory certification management in all departments.
(4) Preventing the reoccurrence of irregularities relating to official standards for UL certification Creating a mechanism for quality departments with enhanced check functions to ensure a reliable sample production process based on certification specifications and performing sample management that prevents opportunities for irregularities to occur
  • ・In order to ensure sample quality, implemented revisions of the companywide standards, including those for clarifying the roles of all relevant departments.

*1: A task management tool using Kanban visualization boards
*2: A digital dashboard making it possible to observe the progress status of high-difficulty development projects at a glance

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