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YNU 1 Roles and Responsibilities of Manufacturing Engineering in Japan and Europe Understanding Japan„s current and future automotive industry The Univ. of Michigan, sponsored by Doshisha Univ. © D.A. Heller, 2013 Is M.E. the lynchpin of a lean productive enterprise? Daniel Arturo Heller ([email protected]) Yokohama National University Inside Japan: April 19, 2013

Roles and Responsibilities of Manufacturing Engineering in Japan

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Page 1: Roles and Responsibilities of Manufacturing Engineering in Japan

YNU

1

Roles and Responsibilities of

Manufacturing Engineering

in Japan and Europe

Understanding Japan„s current and future automotive industry

The Univ. of Michigan, sponsored by Doshisha Univ.

© D.A. Heller, 2013

Is M.E. the lynchpin of a lean productive enterprise?

Daniel Arturo Heller

([email protected])

Yokohama National University

Inside Japan: April 19, 2013

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Agenda 1. Introduction: What is M.E.?

2. System Integration: Necessary & Difficult

3. Int‟l Comparison of System Integration

“Japan” = Key role played by M.E.

“Europe” = Key role played by development

(i.e., product engineering)

4. Overseas expansion of Japanese companies: Doing Japanese-style M.E. abroad (or not?)

Roles and Responsibilities of Manufacturing Engineering in Japan and Europe

© D.A. Heller, 2013

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© D.A. Heller, 2013 3

What is M.E.?

• Manufacturing Engineering sits between product development and manufacturing in the value chain

• Roles of M.E.

– Set plant layout & production process flow

– Establish standard operating procedures

– Design production equipment

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M ←M.E.→

Manufacturing Engineering

D

© D.A. Heller, 2013

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Agenda 1. Introduction: What is M.E.?

2. System Integration: Necessary & Difficult

3. Int‟l Comparison of System Integration

“Japan” = Key role played by M.E.

“Europe” = Key role played by development

(i.e., product engineering)

4. Overseas expansion of Japanese companies: Doing Japanese-style M.E. abroad (or not?)

Roles and Responsibilities of Manufacturing Engineering in Japan and Europe

© D.A. Heller, 2013

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System Integration Example

Lynchpin

(=System Integrator)

In Japanese: 「扇(おおぎ)の要(かなめ)」 (ogiwa no kaname)

(Photo Source:http://japan.osu.edu/culture_box_program.html) © D.A. Heller, 2013

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Integration is often Difficult

• Integration is made difficult by:

– Uncertainty in user needs

– Trade-offs among a product‟s functions

– High complexity of structural component

interactions

• Automakers faced with great challenges in

all three of these areas

© D.A. Heller, 2013

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Difficult System Integration

Examples…

• Piston and Piston Ring

• Car Door

• Car

© D.A. Heller, 2013

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Piston and Piston Ring

(出所: Riken Corporation, 2008 Corporate Outline)

(出所: Aisin Seiki, 2009 Company Profile)

© D.A. Heller, 2013

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Car Door

(出所: Aisin Seiki, 2009 Company Profile) © D.A. Heller, 2013

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Car

(Mazda Familia 1966; 出所: Toyota Automobile Museum brochure 2005) © D.A. Heller, 2013

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12

RX-8

(2003)

(Source: Mazda Motor) © D.A. Heller, 2013

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Agenda 1. Introduction: What is M.E.?

2. System Integration: Necessary & Difficult

3. Int‟l Comparison of System Integration

“Japan” = Key role played by M.E.

“Europe” = Key role played by development

(i.e., product engineering)

4. Overseas expansion of Japanese companies: Doing Japanese-style M.E. abroad (or not?)

Roles and Responsibilities of Manufacturing Engineering in Japan and Europe

© D.A. Heller, 2013

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System Integration in Automotive

Product Development (Clark & Fujimoto, 1991; Higashi & Heller, 2012)

• Integrate movement of information

• Maximize the time spent on value adding activities

• Two Types of Integration

– External integration (achieving fit w/ customer needs)

– Internal integration (coordinating divisions & suppliers)

• Key complicating issues : Uncertainty in…

– User needs, user interface

– Product‟s structural interactions

– Product‟s functional interactions

• Principal system integrator (the lynchpin):

HWPM (Heavy-Weight Product Manager)

© D.A. Heller, 2013

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Integrative Role of HWPM

• Heavy-Weight Product Manager (HWPM) is the

cornerstone of lean development for products:

– With high complexity, and

– Equivocal user needs

• HWPM leads both external and internal system

integration (i.e, plays the role of both a planner

and an engineer)

© D.A. Heller, 2013

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Automotive Lean Manufacturing (Womack et al., 1990; Koike, 2008)

• Whole plant optimization to minimize waste

– Integrating the movement of…

Material Work Activity Information

…to get smooth flow from input to output.

• Key complicating issues: Uncertainty in…

– Market demand

– Manufacturability of product design

– Parts/component delivery

• Principal system integrator (the lynchpin):

Shop-floor worker

© D.A. Heller, 2013

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But, who integrates Product Development (D)

and Manufacturing (M)?

• For complex assembly products, there is

often a vast chasm between D and M

© D.A. Heller, 2013

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© D.A. Heller, 2012 18

Development

Manufacturing

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Role of M.E. in (Toyota-style) Japan

• Strong capability in Manufacturing

Engineering can be the bridge between

product development and manufacturing

• M.E. can be the principal system integrator

for the whole productive endeavor

© D.A. Heller, 2013

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© D.A. Heller, 2012 20

Development

Manufacturing

←← M.E.

→→

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Why give M.E. this role?

• An unlikely candidate to be key player

– M.E. neither develops nor manufactures the

product

© D.A. Heller, 2013

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M.E.

?

© D.A. Heller, 2013

D M

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Why M.E.?

• M.E. can occupy a neutral position

– Because it neither develops nor manufactures the product

• M.E. is positioned to “look both ways”

– For problem solving M.E. is independent of the local interests of D and M

– M.E.‟s neutrality frees it to be the guarantor of the customer‟s interest

• M.E. can translate, mediate and adjudicate:

– Between product development and manufacturing

– Across development and manufacturing functions

– Within development and manufacturing functions

© D.A. Heller, 2013

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Tend to see…

D M

or

But with PE as mediator/adjudicator…

Customer!

© D.A. Heller, 2013

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Two-way System Integration

• This role for M.E. is typical of Japanese management:

A focus on the key role played by the middle

• “System thinking” needed

– Systems knowledge = systems thinking

– “Connection knowledge” (Sobek‟s term)

– System-level design (Sobek, 2006)

• The aim is full-system optimization

– Products that are complex systems require organizations

that efficiently manage complex management systems

© D.A. Heller, 2013

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M.E. in (Toyota-style) Japan

• Role = System Integrator of Productive Enterprise

• Responsibility = 1st be customer‟s guarantor

2nd be active internal mediator

26 © D.A. Heller, 2013

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M.E. as Lynchpin

M.E.

© D.A. Heller, 2013

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Impact of M.E. as Lynchpin

On Product Development…

• Less “designing”

• More “choosing”

…driver of strategically focused design work?

On Manufacturing…

• Less capital investment

• More skill development of workers

…driver of improved market responsiveness?

© D.A. Heller, 2013

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The result…

© D.A. Heller, 2012 29 Photo Source: wikipedia

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The result…

© D.A. Heller, 2012 30 Photo Source: wikipedia

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The result…

© D.A. Heller, 2012 31 Photo Source: wikipedia

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The result…

© D.A. Heller, 2012 32 Photo Source: wikipedia

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M ←M.E.→

Does M.E. play such a system

integrating role in European Companies?

D

In most cases

NO

Way!

© D.A. Heller, 2013

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D M (M)E

M.E. in Europe

new production equipment

By closely linking M.E.

with Development, M.E.‟s

Output can be clearly

defined. © D.A. Heller, 2013

Page 35: Roles and Responsibilities of Manufacturing Engineering in Japan

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© D.A. Heller, 2012 35

Development

Manufacturing

+(M)E

In Europe, rather than Japanese (Toyota) style two-way,

one-way (upstream to downstream) integration seen.

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M.E. in Europe (typically?)

• Role = Designer of new production equipment

• Responsibility = Make high-spec equipment

(but not responsible for actually achieving the high specs on a

day-to-day basis)

36 © D.A. Heller, 2013

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The result…

© D.A. Heller, 2012 37 Photo Source: http://www.autoexpress.co.uk

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The result…

© D.A. Heller, 2012 38 Photo Source: http://www.autoexpress.co.uk

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The result…

© D.A. Heller, 2012 39 Photo Source: wikipedia

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Agenda 1. Introduction: What is M.E.?

2. System Integration: Necessary & Difficult

3. Int‟l Comparison of System Integration

“Japan” = Key role played by M.E.

“Europe” = Key role played by development

(i.e., product engineering)

4. Overseas expansion of Japanese companies: Doing Japanese-style M.E. abroad (or not?)

Roles and Responsibilities of Manufacturing Engineering in Japan and Europe

© D.A. Heller, 2013

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Empowerment of M.E. in

Overseas Subsidiaries • To get global optimization, become truly lean, must

strengthen M.E. in the overseas subsidiaries of

Japanese automotive companies

• But M.E. is not a natural repository of power and

influence. This is especially true outside of Japan.

• Special organizational initiatives needed.

• For example in Toyota, Japan:

– High % of top management w/ M.E. background

– As of 2007, in Toyota City there were more than 8,000

Manufacturing Engineers (called “production engineers”)

(not including plant-based manufacturing technicians) © D.A. Heller, 2013

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Capabilities needed for

Japanese-style M.E. to work

• “Systems thinkers” w/ connection knowledge

– Deep understanding of development

– Deep understanding of manufacturing

– Strong working knowledge of CAD/CAM

• Interpersonal skills (negotiation)

• Organizational memory

• Understanding of customer‟s interest

Not easy to find (develop) such manufacturing

engineers outside of Japan. © D.A. Heller, 2013

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A Long-Term Challenge

• More standardization of development needed

• Shared priorities facilitate standardization

– Getting agreement on what are the right priorities takes

time and effort

– Everyone must buy-in to these priorities

• Cultural transformation needed

– Empowering overseas M.E. function

– Career path management; top-level people into M.E.

– Only possible when the whole enterprise values and

rewards “systems thinking”

• Recruiting & retaining appropriate persons

© D.A. Heller, 2013

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© D.A. Heller, 2012 44

How to keep your star talent

(Cover of Harvard Business Review, May 2010に筆者加筆)

(Keeping them

in M.E. is

even harder…)

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A concluding word on doing

Japanese-style M.E. overseas

• Japanese-style M.E. all begins with understanding

one‟s neighbors (the upstream & downstream

processes you interact with)

• Best way to diffuse it = just do it (yourself)!

– Do your own job considering your neighbor

• Value “connection knowledge” (Sobek) and reward it

…and the lean results will naturally follow.

© D.A. Heller, 2013

The problem is such diffusion takes time. (Can it be accelerated?)

For the foreseeable future, expensive & supply-constrained Japanese

expats and short-term assignments must continue to shoulder the

burden of doing Japanese-style M.E. overseas. (Is there enough time?)

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© D.A. Heller, 2012 46

Selected References Clark, K. B., & Fujimoto, T. (1991). Product Development Performance, Harvard Business School Press,

Boston, MA.

Higashi, H., & Heller, D.A. (2012). Thirty Years of Benchmarking Product Development Performance:

A Research Note. The University of Tokyo Manufacturing Management Research Center, Discussion

Paper Series, No. 395. http://merc.e.u-tokyo.ac.jp/mmrc/dp/pdf/MMRC395_2012.pdf

Koike, K. (2008). "Kaigai Nihon Kigyo no Jinzai Keisei", [Human Resources Development of Japanese

firms overseas], Tokyo: Toyo Keizai Shinbunsha (in Japanese).

Marinov, M. & Heller, D.A. (2013) Manufacturing Management Research Center, F-202 Discussion

Paper. http://merc.e.u-tokyo.ac.jp/mmrc/dp/pdf/MMRC431_2013.pdf ←Today’s focus

Shibata, H., (2009), "A comparison of the roles and responsibilities of manufacturing engineers in Japan

and the United States", The International Journal of Human Resource Management, Vol. 20, No. 9, pp.

1896–1913.

Sobek, D.K., II (2006) “System-Level Design: A Missing Link?” International Journal of Engineering

Education, vol. 22, no. 3, pp. 533-539.

Whitney, D.E., Heller, D.A., Higashi, H., & Fukuzawa, M. (2007) “Production Engineering as System

Integrator? A Research Note based on a Study of Door Engineering and Assembly at Toyota Motor

Corporation” Manufacturing Management Research Center, F-169 Discussion Paper. http://merc.e.u-

tokyo.ac.jp/mmrc/dp/pdf/MMRC169_2007.pdf ←Today’s focus

Whitney, D.E. (2008) “Design and Manufacturing of Car Doors: Report on Visits Made to US, European

and Japanese Car Manufacturers in 2007” Manufacturing Management Research Center, F-202

Discussion Paper. http://merc.e.u-tokyo.ac.jp/mmrc/dp/pdf/MMRC202_2008.pdf

Womack, J.P., Jones, D.T. & Roos, D. (1990), The Machine that Changed the World: The Story of

Lean Production, Rawson Associates, New York, NY.

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ご清聴有り難うございます

Thank you!

Q&A

© D.A. Heller, 2012 47

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Appendix

© D.A. Heller, 2012 48

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Tasks of Manufacturing Engineering

(1) Line design - designing production lines or

production processes;

(2) Method development - developing production

methods, and/or equipment;

(3) Production preparation - setting up new

production machinery or equipment, making

jigs, tools and dies;

(4) Production improvement - improving existing

production lines and processes, with the aim

of getting productivity increase.

Shibata (2009)

49 © M. Marinov & D.A. Heller, 2013

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Focus on

analytical tasks in

the phase

Key: Blue indicates holder of overall responsibility; “Lead role” means coordinate, strongly influence

decision making, and execute the majority of the tasks in the phase; “Informational support” means focus

on providing feedback from the point of view of the line operators; At both Supplier E and Supplier J, ME

provides various forms of technical and informational assistance to MT in the production preparation

phase. Figure Source: Marinov & Heller (2013), p. 18; see also, Shibata (2009)

(Europe)

(Japan)

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Types of work organization in

manufacturing engineering – JAPAN

In assembly and part-processing shops –

automobiles, car components, electronics

51 © M. Marinov & D.A. Heller, 2013

MT

ME

Method

development Line design

Production

improvement

Production

preparation

ME - manufacturing engineers

MT - manufacturing technicians Shibata (2009)

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Types of work organization in

manufacturing engineering – the U.S.

In assembly and part-processing shops –

automobiles, car components, electronics

52 © M. Marinov & D.A. Heller, 2013

ME - manufacturing engineers

Shibata (2009)

ME

Method

development Line design

Production

improvement

Production

preparation

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Key Differences between Japan and the US

1. Overlapping or not Compared to the U.S. companies, the Japanese companies exhibited downstream personnel who are much more heavily involved in upstream processes

Shibata (2009, p. 1907)

2. Hierarchical or not

Japan: Horizontal relationship between ME and MT

US: Vertical relationship between ME and MT

12

3. Localized or not

US: MT localized to plant

Japan: Inter-divisional

tasks and functions of MT

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Why is ME in Japan and the US different?

(1) Integration (suriawase) orientation - higher

integral capabilities in Japan.

(2) Production workplace orientation - employees

are heavily oriented to:

• production

• production workplaces

• on-site probelm solving Shibata (2009) 54

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Segregation of work in U.S Companies

In the U.S., Engineering drawings are not “tangible

objects”, separating the engineers, and to a lesser degree

the technicians, from the assemblers.

Bechky (2003a, 2003b)

In Japan, engineering drawings are “tangible objects”

and serve as common ground that can reconcile

differences among groups.

Shibata (2009)

55

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Middle-Up-Down figure

56 出所:野中・竹内(1996)『知識創造企業』、191ページ

Middle-up-down

Management

(Source: Nonaka

& Takeuchi, 1996,

Knowledge Creating

Company)

© D.A. Heller, 2013

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Middle-Up-Down vs. top-down/bottom-up

57 出所:野中・竹内(1996)『知識創造企業』、192ページ © D.A. Heller, 2013

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西洋/West 日/Japan

58

top

middle

bottom

middle

bottom

top

© D.A. Heller, 2013

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西洋/West 日/Japan

59

top

middle

bottom

middle

bottom

top

© D.A. Heller, 2013

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西洋/West 日/Japan

60

boss

worker worker worker worker

boss

© D.A. Heller, 2013

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西洋/West 日/Japan

61

出所Source:成沢俊子氏(Lean Enterprise Instituteの月刊ニューレター)より

成沢(2008)『英語でkaizen!トヨタ生産方式』日刊工業新聞社を参照。

© D.A. Heller, 2013

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応(受)援無し

62 © D.A. Heller, 2013

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応(受)援有り

© D.A. Heller, 2012 63

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応(受)援の問題点

© D.A. Heller, 2012 64

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What‟s a lynchpin?

Pin inserted through an axletree to hold a

wheel on

(Source: http://www.thefreedictionary.com/lynchpin)

© D.A. Heller, 2013

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A lynchpin

– pin inserted through an axletree to hold a

wheel on

–a central cohesive source of

support and stability

(Source: http://www.thefreedictionary.com/lynchpin)

© D.A. Heller, 2013