HIDA Journal 2016 AUTUMN No.9

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HIDA JOURNAL4Examples of HIDA’s Training Programs for Human Resource Development As a case example of using the training program in Japan, we will introduce NISHIYAMA SEISAKUSHO Co., Ltd. The company manufactures precisely drawn small-diameter carbon steel tubes used in motor vehicles and industrial equipment. With the launch of the production facility in the Philippines, the destination for the company’s rst overseas expansion, it carried out training in Japan by inviting human resources who will play a central role in launching the facility. We asked about the background on their overseas expansion, how they think about the program after using it for the rst time, and the results of the training.Head ofce:979, Naruda, Odawara-shi, KanagawaAkita Production Facility: 50, Tsutsumizoe, Yachishinden, Omonogawa-machi, Yokote-shi, AkitaEstablished:1959 (founded in 1949)Capital:95 million yenEmployees:153 (as of July 2016)Description of business: Manufacturing of precisely drawn small-diameter carbon steel tubesThorough Preparation for the Company’s First Overseas Expansion—Empathetic Instruction at Akita Production Facility to Personnel for the Launch of Philippines Production Facility—NISHIYAMA SEISAKUSHO Co., LtdCan you give us some background on why you expanded into the Philippines?One of the goals of our company, which will mark its 67th year in business this year, is to become a 100-year old company. We would like to make further progress towards a 100-year old company. We manufacture precisely drawn small-diameter carbon steel tubes used in motor vehicles and industrial equipment and export them to Indonesia, Malaysia, Thailand, China, and other Asian countries. For our further growth, we have decided to challenge overseas production.After visiting some overseas industrial complexes and consid-ering all the various factors such as the transaction share, transporta-tion costs, and expansion of competitors, etc., we nally decided to expand into an industrial complex called First Industrial Township (FIT) located in Tanauan City in the Philippines and established PHILIPPINE NISHIYAMA PIPE MFG. INC. (PNPM) in August 2015 as our rst overseas expansion. Currently in July 2016, the facility building has been completed and manufacturing stations are being carried in. Commercial production of precisely drawn small-di-ameter carbon steel tubes for motor vehicle engines is scheduled to be started in November.What did you prepare within the company for your rst overseas expansion?In addition to the establishment of a preparatory committee, we received advice from experts of Japan External Trade Organization (JETRO) and used other JETRO’s support menus in terms of infor-mation collection and procedures for overseas expansion. As I men-tioned earlier, commercial production is scheduled to be started in November this year. Therefore, there are many preparations such as installation of equipment, recruitment of local employees, and start of trial production, etc. Under such situation, we have to teach our technology to the site leaders who will play a central role in launch-ing the production facility, and secure human resources to instruct and supervise local employees at the time of full-scale operation.As we need human resources who can give instruction to local employees as right-hand men of the facility director assigned from Japan, we decided to hire a total of six leaders for six main processes of carbon steel tube manufacturing (drawing, cutting, annealing, n-ishing, quality control, maintenance) and carry out training in Japan for them. We took the time for interviews and hired university-edu-cated four men and two women aged between 27 and 33 as leader candidate trainees to be dispatched to Japan. All of them are excellent human resources having practical experience.Meanwhile, in Akita Production Facility that accepted the trainees, internal standard operation procedures were translated into English so that the manufacturing know-how and the idea of management standards can be instructed in each process during the training in Japan, and guidance on the idea of standardization can be provided in the Philippines by using the translated procedures. In addition, in order to have communications with the trainees, we had training instructors and employees in concerned departments of the production facility take English lessons once a week by inviting an external teacher. They have been continuously taking lessons for more than two years.You steadily made preparations for your overseas expansion while using JETRO’s support menus.HIDA has been implementing human resource development programs over the years. How did using HIDA’s program work out for you?Since we had not expanded our business overseas, we did not have know-how on the development of local employees. Then we looked at HIDA’s website and attended the program orientation session as well as consulted with a JETRO expert. As a result, we decided to use the program of HIDA having a lot of experience. After applying for HIDA’s training program in Japan, HIDA’s staff visited our Akita Production Facility and provided us with the following specic and detailed advice concerning the importance of prior preparations, re-cord of the training contents, feedback to trainees, and consideration on living environments.

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