Inside Panasonic’s Gigafactory: No Blame, Big Results

Register NOW for the UHY 2026 Annual Automotive Supplier Outlook - click here

Inside Panasonic’s gigafactories in Nevada and Kansas, machines never stop running. Every second, 70 batteries roll off the line, powered by thousands of people working 24/7. At the center of it all is Allan Swan, a Scotsman who left aerospace to lead one of the most ambitious manufacturing operations in America.

Allan begins by explaining what a gigafactory really is and what it takes to manage a workforce of almost 8,000 people while producing billions of batteries a year. 

At Panasonic, Allan flipped the hierarchy, putting his name at the bottom of the org chart to remind everyone that leaders exist to serve their people. For him, leadership isn’t about hitting KPIs; it’s about getting the people side right first. When communication is clear and employees have what they need to do their jobs, the results follow naturally.

He shares how Panasonic built a no-blame culture, where problems are met with curiosity rather than fear. Through a system called CIG — Control, Influence, and Gravity — issues are quickly directed to the people who can resolve them, with no hierarchy or politics in the way. 

One of his favorite examples is the “door story,” where a small request from a team led to significant changes in trust and teamwork across the plant.

Allan also explains how recognition helps maintain high morale in an environment that never stops. Teams celebrate wins every day through thank-you cards, high-five points, and open conversations that connect everyone to the company’s mission. The focus isn’t just on electrification and sustainability, but on providing people with meaningful work that can change their lives.

Allan’s approach to leadership is anything but distant. He spends time on the factory floor every day, talking with teams, asking questions, and seeing problems firsthand. For him, leadership means being present and approachable, not hiding behind emails or titles. 

In the end, Allan’s message to other leaders is simple: real change doesn’t come from massive initiatives or slogans. It begins with small, consistent actions that show people that you care. Fix one problem. Listen to one person. Keep showing up. That’s how culture and performance grow together.

Watch the full video on YouTube - click here

This episode is sponsored by Lockton, click here to learn more

Themes discussed in this episode:

• The shift from aerospace to EV manufacturing and what it taught Allan Swan about leadership
• The evolution of leadership from command-and-control to people-first management in large-scale manufacturing
• How Panasonic’s gigafactories produce 70 batteries every second with a people-driven approach
• Why focusing on people before KPIs drives long-term performance across Panasonic’s gigafactories
• How Panasonic’s Control, Influence, and Gravity (CIG) system helps teams escalate issues and make faster decisions
• How recognition programs such as “Did You Win Today?” and “High-Five Points” help sustain motivation in 24/7 production environments
• The value of hiring people for energy and mindset rather than industry experience in a new manufacturing sector
• How daily visibility and “gemba walks” keep leaders connected to people and grounded in real operations

Featured guest: Allan Swan

What he does: Allan Swan leads Panasonic Energy’s battery manufacturing operations in the United States, overseeing the company’s gigafactories in Sparks, Nevada, and De Soto, Kansas. Under his leadership, Panasonic has grown into the leading global producer of cylindrical lithium-ion batteries, powering much of today’s electric vehicle industry. With a focus on people, innovation, and performance, Allan has helped transform the Nevada facility from a startup into a world-class smart factory producing over two billion cells each year. His work drives Panasonic’s mission to advance clean energy, create thousands of American jobs, and build a more sustainable future.

On Leadership: “We've got one job as leaders, that's to make sure our people have got the right tools to do their job. They're accountable for doing the job. We are accountable to make sure they've got the right tools to do their job. And that's what we hone in on every single day. And by doing that, we created a really amazing culture that, quite frankly, KPIs are irrelevant because you just keep blowing past them all the time. And everybody wins.”

Episode Highlights:

[07:18] People Before Numbers: Success isn’t measured by spreadsheets but by how well leaders equip and support their people to win every day.

[11:44] Resilience Through No Blame: Of the 21 traits of authentic leadership, Allan connects most with resilience, built through a no-blame culture where people feel safe to make mistakes, learn fast, and keep moving forward.

[17:33] Wrong Question, Right Answer: Instead of playing pricing games, Allan builds trust with EV customers by focusing on transparency; aligning cost curves, solving gaps together, and keeping speed at the center of every partnership.

[21:03] Mindset Over Resume: Allan shares why even the most impressive credentials don’t matter if a leader can’t roll up their sleeves, stay adaptable, and thrive in a fast-moving, disruptive culture.

[24:56] The Door Lesson: A manager’s request to add a door turned into a real test of leadership, showing how solving even small issues can build trust, prove accountability, and strengthen a high-performance culture.

[30:07] Celebrating the Wins: From “Did you win today?” scoreboards to handwritten thank-you cards and high-five points, Allan keeps thousands of employees motivated through simple, constant recognition.

[33:37] Leading with Presence: Allan defines authentic leadership through daily visibility; rolling up his sleeves, walking the floor, and listening so every employee knows they’re seen, heard, and supported.

[34:40] One Language, One Team: By aligning every level of the factory around the same daily metrics and transparent communication, Allan built a culture where shop floor employees feel heard, valued, and proud to power America’s clean energy future.

[37:39] Beyond the Factory Floor: Allan opens up about his life outside work, from his love for America’s can-do spirit to the morning habits and simple routines that keep him grounded and ready to lead.

[42:46] Start with Small Steps: Allan’s advice for leaders facing change is simple: skip the big leaps, take one step at a time, and start by showing up where it matters most: on the floor with your people.

Top Quotes:

[07:48] Allan: “I don't look at KPIs, I look at how we operate with the people. Because if we get the people right, and we get the communication right, and we get working with them right, any KPI in the world will look after itself. That's what I believe in.”

[12:02] Allan: “We never blame anybody ever. Nobody gets to blame. So, if we have a problem, we accept it with a grateful heart. That is our message. Then, we go about looking at that problem, understanding what happened, getting to the countermeasure, fixing it, and then we eliminate that particular problem.”

[21:28] Allan: “I've met some amazing people from around, the auto industry, and others, and they are just amazing. I mean, their resumes are to die for, quite frankly, but their mindset isn't right. And unfortunately, we haven't chosen them because the mindset won't work. Because you can't be in an ivory tower somewhere sending emails. That's not, you gotta have your sleeve rolled up and go on the floor and do the thing. And, as I said, go and talk to the teams and really spend a lot of time there. And if you don't have that mindset, it won't work.”

[43:22] Allan: “Small steps are good. People talk about this leap. I don't believe in that. I actually believe just one small step at a time, and just make a difference and engage. So, for example, if there are leaders listening, go to the floor. Go to the floor, see some of those problems. See that door issue that I talked about earlier, and fix it. And you'll be amazed. The catalyst effect that will have will be huge.”