Signature Move1 book · 4 highlights

Ten-Person Teams with Daily Profit Closing

Books Teaching This Pattern

Evidence

Son's Square Law (translated) by Hidenori Itagaki — book cover

Son's Square Law (translated)

Hidenori Itagaki · 4 highlights

  1. "Basic Management: Combination of “Team System” and “Daily Financial Closing” This combination of “daily financial closing” and “team system” forms the cornerstone of SoftBank’s management know-how, relying on computer assistance. Currently, SoftBank Group has approximately 23,000 employees and likely more than 2,000 teams. Each team constantly analyzes its profit and loss, and underperforming teams “go bankrupt.” Mergers and acquisitions (M&A) between teams also occur. If a team’s number exceeds ten, they split, leading to spinoffs from rising teams. Teams are automatically divided if they surpass ten people due to strong performance."

  2. "The “team system” is a system that Masayoshi Son confidently boasts as “worthy of a Nobel Prize.” Specifically, it divides the internal organization into teams of less than ten people, adopting an independent accounting system with each team acting as its own company, in other words, a “virtual company.” Why ten people? Both your hands and feet have ten fingers each. Even if you lose one finger, it becomes difficult to work or walk. Similarly, if each business unit has ten people or fewer, they can quickly detect any changes."

  1. "Each team is analyzed through “daily financial closing” and also creates balance sheets. Since all information is open to employees, everyone can know the status of any team. Evaluation is based on how much profit increased compared to the previous year, not just how much was earned."

  2. "Additionally, all data is graphed for clarity. Numbers alone may not reveal what is significant or important, but graphing them makes them “visible.” Collecting various indicators from each team produces a vast number of graphs within the company, analyzed regularly for issues."

Related Patterns