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Monozukuri for sustainable development

Interview - January 18, 2022

We sat down with Hamada-san president of Hamax to discuss their three main technologies of thread rolling, forging and automation, and how they combine them in various ways depending on market needs. We cover everything from new international ventures to ongoing renewable energy projects in this exciting sit down.

KOHHEI HAMADA, PRESIDENT OF HAMAX CO., LTD.
KOHHEI HAMADA | PRESIDENT OF HAMAX CO., LTD.

The Japanese manufacturing spirit, or ‘monozukuri’, traditionally emphasizes constant improvement in all aspects of production - but nowadays it's also about responding to customer requests and meeting new market demands. As a bolt and nut manufacturer, can you give us your take on monozukuri?

The Japanese culture itself lies at the core of monozukuri. There's a philosophy in the Japanese mindset that says you pursue one path, such as the way of tea ceremonies, the way of flower arrangement or the way of martial arts. I believe the reason why we call them ‘ways’ or ‘paths’ is because you're not just learning the techniques and the technology involved, but you're improving yourself as a human being.

There are many Japanese companies which value this history and tradition, with many having histories over 100 years - 30,000 such companies, which is the most in the world. These companies with their traditions, have valued mastering a single path, and passed it down to subsequent generations, empowering them in the process. By pursuing this path, you become known as a company with traditions and over time, you acquire skills by accumulating experience and know-how.

After joining this company, I had many opportunities to visit countries like Italy, Germany, Russia, United States and China, and saw their manufacturing processes.

I also realized that the reason why Japanese manufacturing is still accepted around the world is because of its meticulous attention to detail, diligence, and flexibility. For Japanese companies, it is a source of pride that their natural characteristics and culture are integrated into their work.

I truly believe that the essence of monozukuri is to pursue what you're doing. An example is with Sony, who have pursued camera technology and have developed new sensing technology for iPhones as a result, so it's important to maintain what you're doing and keep pursuing you're goals.

 

Can you tell us, as a manufacturing company, how you are adapting to industry 4.0 and what kind of technologies have you adopted to help alleviate the declining population issue that Japan is facing?

We introduced robotic systems 20 years ago and we are now trying out a system to remotely control our manufacturing line at an overseas factory.10 years ago, we introduced the smart factory system to our facility in the US and now we don’t have engineers at that location.



We have the same equipment in the US as in Japan, but we create the program and jig in Japan, then use them in the US, so we can produce the same kind of items.

 

Modern machining centers are highly automated environments. What is the role of the engineer in such environments?

We are aiming to build a remote-control production system that can be operated remotely from within Japan using a robot system that incorporates IoT for production at overseas sites collaborating with a Japanese machine tool manufacturer, operating without the need for local engineers, and managing manufacturing and quality processes through real-time communication.

Therefore, the manufacturing industry needs engineers who are familiar with the higher level of Ai/IoT.

 

You have identified the wind power industry as a growth area. Government incentives are making the cost of wind power much more accessible. Are you looking for partnerships for co-creation to get a foothold in the wind power industry?

Our company, Hamax Europe, is a joint venture with a local company.

We would like to establish the new business model mentioned above  and promote networked factories with a database of shared information in cooperation with not only our own factories in Japan and overseas, but also factories in various locations overseas.

Now the wind turbine business is growing rapidly and speed is crucial here. Currently, we have our facilities in Europe, and North America, but we also want to focus on India, Brazil, and other parts of the world. Our goal is to have a packaging system for manufacturing with all the devices so we can locate ourselves close to our clients who manufacture wind turbines.



Could you highlight an example of how you flexibly responded to market needs?

Our approach is to pursue our basic technology of thread rolling, forging and automation and combine these in various ways depending on the market. We flexibly respond to different market needs by combining our technology in different ways very quickly.

I can't disclose too much about our clients’ requirements, but commonly you take raw material and heat it after processing to add strength to it. However, our unique technology involves materials that are already heated during the process of thread rolling, so it has more strength to it and depending on the material we use, the structure is different. So, the manufacturing process varies in, for example, the amount of forging done or the amount of thread rolling done, and this depends on the nature of the product and material involved. We take these factors into account when we look at which industries to target.

 

You have a range of products from stay bolts used in ship engines, to socket and head bolts, used in power generation, in addition to anchor bolts for bridge building and barrel nuts, which are used in renewable energy projects. Which are your best-selling products currently and which products do you see having the best future potential for your company?

First, screws are the most widespread fastening components in the world and are used in a variety of industries.

Screws are used in the assembly of structures as fastening components that connect objects rather than as end products.

Although the structure of screw products is quite simple, there are many specifications such as material, strength, shape, size, and surface treatment depending on the application.

Our company is positioned in the category of "special bolts," and we excel in manufacturing products that meet our customers' specifications.

Looking back on the history of the Himeji factory, Hamadaya Shoten Co., originally manufactured products mainly for the shipbuilding area in Nagasaki.

In 1990, Hamax Corporation was spun off as an independent manufacturing division of Hamadaya Shoten, and the factory was built here in Himeji, where major shipbuilding companies are within two hour’s distance.

We have been able  to secure an 80% market share thanks to show our sincere attitude and respond immediately to customers from major shipbuilding companies such as Mitsubishi, Hitachi, IHI, Mitsui and Kawasaki etc.

As a result, marine diesel engines used to be our major target and it was our best-selling sector, however there's been a shift in the market - it's stagnating now. The wind turbine is currently the growing market we are focusing on, and which are changing to newer types as they become larger,so what's important is to cater to the needs of the market in a very quick manner.

 

As part of your mid-term strategy, where do you see those locations being in order to be close to those European manufacturers? Do you see any new countries that you need to pursue your business in in the medium term?

The Turkish factory is a joint venture, being a 50/50 collaboration. This company makes large components for wind power generation and is a very good company.

 

What do you consider the best way to expand your business internationally?

Different regions have different preferences. For example, in Japan, there is a preference for small convenience stores in every location, whereas in the US, there are fewer, but larger general stores, like Costco or Walmart. What I want to do is focus on providing the attention to detail and the care that's given from Japanese monozukuri to major European companies which have the biggest share and the biggest demand for us.

Our strategy is to have our factory close to their manufacturing plants and warehouses so it is convenient for them, and then turn this into a package, which we can roll out anywhere in the world. Of course, IoT and robotics will play a crucial role in our new facilities.

Joint ventures are the best way to expand our business.

 

Imagine we come back to interview you again in a few years' time. What would you like to tell us about your goals and dreams for the company in that timeframe, and what would you like to have achieved by then?

My biggest goal for the next ten years is to achieve sales of 10 billion yen as a group by the 100th anniversary of our founding. In order for the group to grow, it is important for us to add new value to our management and to diversify.

As a new initiative to achieve this goal, we are planning to establish a satellite office in Nagasaki, the place where we started our business, using a natural hot spring and plan to start it in April next year. The attraction of this facility is that it overlooks the ocean and allows us to work while enjoying nature and the unusual. The goal of this new business is to provide comfort to people.”Mukava" is the Finnish word for comfort, and we base our philosophy on it. We hope that the people we meet here will feel true human comfort in nature, and that they will foster a strong aspirations to achieve a sustainable society.

Environmental business such as wind power generation is a growth industry in the future, and by expanding this field, we would like to contribute indirectly to carbon dioxide reduction and global warming issues, and at the same time, we would like to develop our company through hybrid business activities that provide people with a place to relax.

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