Quality and Productivity Improvement
Experience of JICA’s project in Indonesia

Toru Homma

Ethiopia-Japan High Level Forumfor Industrial Development
Addis Ababa, 2 June 20091Outline
1. Introduction
2. JICA Project on Supporting Industries
Development for Casting Technology in Indonesia
3. Related JICA’s programme in Indonesia
4. Conclusions

2Part 1
1. Introduction

2. JICA Project on Supporting Industries Development
for Casting Technology in Indonesia
3. Related JICA’s programme in Indonesia
4. Implications and Conclusions

3

Industries in Indonesia㪈㪐㪐㪍㪈㪐㪐㪎㪈㪐㪐㪏㪈㪐㪐㪐㪉㪇㪇㪇㪉㪇㪇㪈㪉㪇㪇㪉㪉㪇㪇㪊㪉㪇㪇㪋㪉㪇㪇㪌㪉㪇㪇㪍㪉㪇㪇㪎㪉㪇㪇㪏㪘㫌㫋㫆㫄㫆㪹㫀㫃㪼㩷㩿㫋㪿㫆㫌㫊㪸㫅㪻㩷㫌㫅㫀㫋㪀

Most severely affected by Asian Economic Crisis inlate ’90s; and then economic recovery and development
Manufacturing㪎㪇㪇
sector㪍㪇㪇
development to㪌㪇㪇meet 230 mil.
㪋㪇㪇
population
㪊㪇㪇
demand㪉㪇㪇FDI-ledindustrialisation
㪈㪇㪇㪇
Necessity forsupportingindustries
Automobile sales in Indonesia
development

4Supporting Industries
Supporting Industries: “industries which supply variouscomponents, parts and materials for assembly makers in suchmechanical industries as the automotive, electric andelectronics industries” (Urata, 2000)
Key for sound industrial structure and attracting foreigndirect investment
Could be much broader meaning: supplier for i.e. agriculturalmachinery, textile machinery and others
Metal Industries: core of the supporting industries

5Structure of the Supporting Industries
in Indonesia

Assemblers and “Potential” Supporting Industries(Source: JICA (1997))
6

Metal Industries
Most fundamental manufacturing industries
Metal processing technology…
Casting, Forging, Metal Stamping, Powder Metallurgy…and related industries
Mould and Die, Machinery, Heat Treatment(Source: Materials Process Technology Center (2009))

Supply parts and components to manufacturing industries
such as automobile, machinery and any other industries
Contribute to agricultural development: i.e. agricultural
machineries, pumping system, food processing equipment etc.
---ADLI

7

Quality and Productivity Improvement/ Kaizen in these industries
Quality and productivity improvement is the key for potential
supporting industries / metal industries
Should be reliable supplier: Quality, Cost, Delivery
Should supply reliable product: durable, safe, constantEtymology of “Metal” is “metallan” (to search) in oldGreek: how difficult to find and make – and now how tocontrol quality

8

Part 2
1. Introduction
2. JICA Project on Supporting Industries
Development for Casting Technology in Indonesia
3. Related JICA’s approach in Indonesia
4. Conclusions

9

Project Outline
TechnicalCooperation Project
Project Period: 19992004 (full project),
2004-2006 (Followup expert)
Metal Industries
Development Centre(MIDC) and JICA
Casting Technology (Cast Iron): Casting Design, Patternmaking, Moulding, Melting, Examination and Quality
Control
Target client: small and medium scale foundry industries

10

MIDC
Metal Industries Development
Centre (MIDC) / Institute for
Research and Development ofMetal and Machinery Industries(IRDMMI)
Ministry of Industry (and Trade)
Technology: Casting, Machining,Welding, Heat Treatment,Testing and Calibration etc.
ISO 9001: 2000 certified (2006): ”MIDC has established andapplies a quality management system for Engineering Design, Ferro &Non Ferro Casting, Investment Casting, Machining with Conventionaland CNC, Mould and Dies, Agriculture Machineries, Dimension
Metrology, Testing for Casting and Machining Products”

11Project Concept
Assembly Industries
MOIT
Final Users
RelatedOrganizations

Small & Medium
Scale Foundry
Industry

JICA
Other Schemes

MIDC
JICA Experts

and otherInputs

Technology
TransferMIDC

TechnicalServices

Staff12

Timeframe
1st year

2nd year

3rd year

4th year

5th year

Project
Set-upTechnology
TransferPrototypeServiceExtension
Services
Training
ServiceSeminar
Technical services
13

Technology Transfer

Lecture on Melting Theory

Moulding Technology(Source: JICA & MIDC (2002))

14

Casting Production Process
Summarisation of Customer Requirements
Casting Design
Gating System Design, Pattern Design, Moulding Design

Sand
Preparation

Pattern Making
Melting Request
Preparation of Moulds
Cope, drag & cores to be moulded andassembled

Raw Materials
Preparation
Melting

ChemicalAnalysis,
Mechanical test
& MetallurgicalTest

Foundry Test:
Chilling Test, CE
Value & Temp.
Measurement

Pouring
Sanding OffFettling
Final Inspection
Visual Inspection, Dimensional Inspection(& Liquid Penetrate Test, Magnetic Particle
Test, Ultrasonic Test, Radiographic Test)

Ex-Work(Source: JICA & MIDC (2002))

15

Casting Production Process

Casting Products

Pouring molten metal into moulds(Source: JICA & MIDC (2002))

16

Reject Ratio in MIDC Foundry㪈㪇㩼㪐㩼㪏㩼㪎㩼
㪍㩼
㪌㩼
㪋㩼㪊㩼
㪉㩼
㪈㩼㪇㩼㪩㪼㫁㪼㪺㫋㩷㪩㪸㫋㫀㫆

㪈㫊㫋
㫐㪼㪸㫉

㪉㫅㪻
㫐㪼㪸㫉

㪊㫉㪻
㫐㪼㪸㫉

㪋㫋㪿
㫐㪼㪸㫉

Reject ratio has been decreased, while required quality levelhas been increased.
Source: JICA (2003)17㫉㫀㫅㫂㪸㪾㪼㪚㫉㪸㪺㪪㫃 㪩㫌 㫅 㫂㪸㪾㩷 㪠㫅 㪄 㫆 㫌㪺 㫃㫌 㫋㪤㫀 㫊㫀㫆 㫅㫊㫊㪤㫆 㪄 㫉㫌㪪㪸 㫃㪻㩷 㫅㫅 㪻 㪪㪿㩷㪙 㫀 㪽㫋㫌㪤㫆 㫉㫅㫀 㫅㪾㪪㪿 㫃㪻㩷㪛㫆㫉 㫉㫆 㫇㪤㫆 㫋 㩷㪧㫆㪪㪸 㫌㫃㪻 㩷 㫌 㫉㫊㫅 㪻 㪚㫉㪮㫆 㩷㪠㫅 㪺 㫌㫊㪿㫉㫂 㫃 㫌㫊㩷㪩 㫀㫆㪼㫁 㪼 㫅㪺㪞㪸 㫋㫀㫆㫅
㫊㩷㪚㫆 㪟㫆㫃㫃㪻㩷 㪼㪪㪿㫌㫋㪚㫆㫉㪼 㪪㪺 㪸㩷㪙㫌㫉 㪹㫅 㫀㫅㪦㫋 㪾㪿㪼㫉㫊㪪㪿㪥㫆㫄㪹㪼㫉㫊㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㩼㪀
㪈㪍㪈㪉㪇

㪈㪋
㪈㪉㪈㪇㪇㪈㪇
㪏㪏㪇㪍㪇㪍㪋㪋㪇㪉㪇㪉㪇㪪㫌㫄㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㩼㪀

QC - Kaizen Tool:
Pareto Diagram of Defects㪧㪸㫉㪼㫋㫆㩷㪛㫀㪸㪾㫉㪸㫄㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㪉㫅㪻㩷㫐㪼㪸㫉㪀㪇

(Source: JICA (2003))

Cause of defects in 2nd year – Shrinkage (inappropriatecasting design)18

QC - Kaizen Tool:
Pareto Diagram of Defects㪌㪇㪈㪇㪇㪋㪇㪏㪇㪊㪇㪍㪇㪉㪇㪋㪇㪈㪇㪉㪇㪇㪇㪪㫌㫄㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㩼㪀㪈㪉㪇㪦㫋㪿㪼㫉㫊㪍㪇㪛㫀㫄㪤㪼㫅㫀㫊㫇㫋㫀㫆㫃㪸㪺㫅㪼㪻㩷㪧㪸㫋㫋㪼㫉㫅㪪㪿㫉㫀㫅㫂㪸㪾㪼㪪㪿㫆㫉㫋㩷㪧㫆㫌㪮㫆㫉㫉㫊㫂㩷㪩㪼㫁㪼㪺㫋㫀㫆㫅㪞㪸㫊㩷㪟㫆㪪㪸㫃㪼㫅㪻㩷㪠㫅㪺㫃㫌㫊㫀㫆㫅㪚㫆㫃㪻㩷㪪㪿㫌㫋㪩㫌㫅㪄㫆㫌㫋㪚㫆㫉㪼㩷㪚㫉㫌㫊㪿㪤㫀㫊㫊㪄㫉㫌㫅㪥㫆㫄㪹㪼㫉㫊㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㩼㪀㪧㪸㫉㪼㫋㫆㩷㪛㫀㪸㪾㫉㪸㫄㩷㫆㪽㩷㪛㪼㪽㪼㪺㫋㫊㩷㩿㪋㫋㪿㩷㫐㪼㪸㫉㪀(Source: JICA (2003))

Cause of defects in 4th year –Decrease of shrinkage as a causeof defect19

QC - Kaizen Tool:㪫㪸㪹㫃㪼㩷㪈㩷㩷㪫㪿㪼㩷㫉㪼㫈㫌㫀㫉㪼㪻㩷㫄㪼㫃㫋㫀㫅㪾㩷㫋㫀㫄㪼㩷㩿㫄㫀㫅㪆㪺㪿㪸㫉㪾㪼㪀㩷㫀㫅㩷㪺㪸㫊㪼㩷㫆㪽㩷㪉㪇㪇㫂㪾㪟㪝

Melting time(min/charge)
and deviationin 200kg HF
highlydecreased andmet target in 25
months (lessthan 60 min.)㪈㫊㫋㪋㫋㪿㪈㪈㫋㪿 㫄㫆㫅㫋㪿㪈㪍㫋㪿 㫄㫆㫅㫋㪿㪉㪇㫋㪿 㫄㫆㫅㫋㪿㪋㪇㪉㪌㫋㪿 㫄㫆㫅㫋㪿㪆㪆㪆㪌㪇㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪎㪇㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪏㪇㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆㪆

㪆

㪍㪇

㪆㪐㪇
㪈㪇㪇

㪆

㪈㪈㪇

㪆

㪈㪉㪇㪆㪈㪊㪇㪆㪈㪋㪇㪆㪆㪈㪌㪇

㪆

㪆㪈㪍㪇
㪈㪎㪇
㪈㪏㪇
㪈㪐㪇㪉㪇㪇

㪆㫅㪎㪉㪉

㪊㪌

㪊㪌㪉㪎

㪊㪇

㫏

㪈㪋㪈㪅㪋㪎㪉㪅㪋

㪍㪎㪅㪋

㪍㪋㪅㪋

㪍㪉㪅㪉

㪌㪏

㱟

㪊㪍

㪈㪎㪅㪋㪈㪈㪅㪏

㪈㪈㪅㪐

㪈㪇㪅㪍

㪏㪅㪏

(Source: JICA (2003))

20

Kaizen in MIDC㩷㩷㪢㪘㪠㪱㪜㪥㩷㪎㩷㪑㩷㩷㪠㫄㫇㫉㫆㫍㫀㫅㪾㩷㫋㪿㪼㩷㪤㪼㫃㫋㫀㫅㪾㩷㫇㫉㫆㪺㪼㫊㫊㩷㪸㫋㩷㪤㪠㪛㪚㪄㪉㪉㪇㪇㪊㪅㩷㪐㩷㪤㪠㪛㪚㪈㪅㩷㪠㫄㫇㫉㫆㫍㪼㫄㪼㫅㫋㩷㩿㩷㪢㪘㪠㪱㪜㪥㩷㪀㩷㩿㪈㪀㪅㩷㪩㪸㫇㫀㪻㩷㪿㪼㪸㫋㫀㫅㪾㩷㪸㫅㪻㩷㪿㫀㪾㪿㩷㫋㪼㫄㫇㪼㫉㪸㫋㫌㫉㪼㩷㫄㪼㫃㫋㫀㫅㪾㩷㩷㪙㪼㪽㫆㫉㪼㩷㩷㪤㪸㫋㫋㪼㫉㫊㩷㫋㫆㩷㪹㪼㩷㫀㫄㫇㫉㫆㫍㪼㪻㩷㪸㫅㪻㩷㪢㪘㪠㪱㪜㪥㩷㩷㪠㫋㩷㫋㪸㫂㪼㫊㩷㪸㪹㫆㫌㫋㩷㪈㪋㪇㩷㫄㫀㫅㩷㪽㫆㫉㩷㪺㪸㫊㫋㩷㫀㫉㫆㫅㩷㫄㪼㫃㫋㫀㫅㪾㩷㫀㫅㩷㪉㪇㪇㩷㫂㪾㩷㪽㫌㫉㫅㪸㪺㪼㪅㩷㪫㪿㫀㫊㩷㫄㪼㪸㫅㫊㩷㫋㪿㪸㫋㩷㫆㫏㫀㪻㪸㫋㫀㫆㫅㩷㫆㪽㩷㫄㪸㫋㪼㫉㫀㪸㫃㫊㩷㫎㫀㫃㫃㩷㪹㪼㩷㫃㫀㫂㪼㫃㫐㩷㫋㫆㩷㫆㪺㪺㫌㫉㪃㩷㪸㫅㪻㩷㪸㫃㫊㫆㩷㫄㪼㫃㫋㫀㫅㪾㩷㪼㪽㪽㫀㪺㫀㪼㫅㪺㫐㩷㫀㫊㩷㫃㫆㫎㪅㪘㪽㫋㪼㫉㩷㩷㪤㪼㫃㫋㫀㫅㪾㩷㫇㫉㫆㪺㪼㪻㫌㫉㪼㩷㫎㪸㫊㩷㪺㪿㪸㫅㪾㪼㩷㫋㫆㩷㪽㫆㫃㫃㫆㫎㫀㫅㪾㩷㫊㪼㫈㫌㪼㫅㪺㪼㩷㫊㪿㫆㫎㫅㩷㫀㫅㩷㪝㫀㪾㩷㪈㪅㩷㩷㪩㪼㫋㫌㫉㫅㪚㪸㪹㫌㫉㫀㫑㪼㫉㪪㫋㪸㫉㫋㫀㫅㪾㩷㪹㫃㫆㪺㫂㪚㪸㪹㫌㫉㫀㫑㪼㫉㪝㪼㪄㪪㫀㪝㪼㪄㪤㫅㫆㫋㪿㪼㫉㩷㪸㫃㫃㫆㫐㪪㫋㪼㪼㫃㩷㫊㪺㫉㪸㫇㪫㪼㫄㫇㪼㫉㪸㫋㫌㫉㪼㩷㩷㷄㪈㪃㪌㪇㪇㪩㪼㫋㫌㫉㫅㪪㫋㪼㪼㫃㩷㫊㪺㫉㪸㫇㪩㪼㫋㫌㫉㫅㪪㫋㪼㪼㫃㩷㫊㪺㫉㪸㫇㪪㫋㪸㫉㫋㫀㫅㪾㩷㪹㫃㫆㪺㫂㪈㪃㪉㪍㪇㪚㪸㪹㫌㫉㫀㫑㪼㫉㪝㪼㪄㪪㫀㪝㪼㪄㪤㫅㫆㫋㪿㪼㫉㩷㪸㫃㫃㫆㫐㪍㪇㫄㫀㫅㪈㪋㪇䌭䌩䌮㪫㫀㫄㪼㩷㩷㩷㫄㫀㫅A sample of“Kaizen” sheet of
MIDC: Improving
the melting process
Team meeting
Voluntary proposals㪝㫀㪾㪅㩷㪈㩷㪫㪿㪼㩷㫇㪸㫉㫋㫀㫆㫅㩷㫎㪸㫃㫃㩷㫎㪸㫊㩷㫀㫅㫊㫋㪸㫃㫃㪼㪻㩷㩿㪉㪀㪅㩷㪛㪼㪺㫉㪼㪸㫊㫀㫅㪾㩷㫋㪿㪼㩷㫊㫃㪸㪾㩷㪻㪼㪽㪺㫋㫊㩷㫀㫅㩷㫀㫉㫆㫅㩷㪺㪸㫊㫋㫀㫅㪾㫊㩷㪙㪼㪽㫆㫉㪼㩷㪘㪽㫋㪼㫉㩷㩷㪤㪸㫋㫋㪼㫉㫊㩷㫋㫆㩷㪹㪼㩷㫀㫄㫇㫉㫆㫍㪼㪻㩷㪸㫅㪻㩷㪢㪘㪠㪱㪜㪥㩷㩷㪪㫃㪸㪾㩷㪻㪼㪽㪼㪺㫋㫊㩷㫀㫅㩷㫀㫉㫆㫅㩷㪺㪸㫊㫋㫅㪾㫊㩷㫎㪸㫊㩷㫄㪸㫀㫅㩷㪻㪼㪽㪼㪺㫋㫊㩷㫀㫅㩷㪤㪠㪛㪚㪅㩷㩷㪫㪿㪼㩷㫊㫃㪸㪾㩷㫀㫅㩷㪸㩷㫇㫆㫌㫉㫀㫅㪾㩷㫃㪸㪻㫃㪼㩷㪺㫆㫄㪼㫊㩷㫀㫅㫋㫆㩷㪺㪸㫍㫀㫋㫀㪼㫊㩷㫀㫅㩷㫋㪿㪼㩷㫄㫆㫌㫃㪻㩷㪻㫌㫉㫀㫅㪾㩷㫇㫆㫌㫉㫀㫅㪾㩷㫇㫉㫆㪺㪼㫊㫊㪅㩷㩷㪟㫆㫎㪼㫍㪼㫉㪃㩷㪪㫃㪸㪾㩷㫀㫅㪺㫃㫌㫊㫀㫆㫅㫊㩷㪺㫆㫌㫃㪻㩷㫅㫆㫋㩷㪹㪼㩷㫇㫉㫆㫋㪼㪺㫋㪼㪻㩷㪹㫐㩷㪤㪠㪛㪚㩷㫃㪸㪻㫃㪼㫊㩷㫎㪿㫀㪺㪿㩷㪸㫉㪼㩷㫆㫇㪼㫅㩷㫋㫐㫇㪼㩷㫊㪿㪸㫇㪼㪅㩷㩷㪪㫃㪸㪾㩷㫀㫅㪺㫃㫌㫊㫀㫆㫅㫊㩷㫎㪼㫉㪼㩷㪸㪹㫃㪼㩷㫋㫆㩷㪹㪼㩷㫇㫉㫆㫋㪼㪺㫋㪼㪻㩷㪹㫐㩷㫌㫊㫀㫅㪾㩷㪺㪼㫉㪸㫄㫀㪺㩷㪽㫀㪹㪼㫉㩷㪸㫊㩷㫊㪿㫆㫎㫅㩷㫀㫅㩷㪝㫀㪾㩷㪉㪅㪣㪸㪻㫃㪼㪚㪼㫉㪸㫄㫀㪺㩷㪽㫀㪹㪼㫉㪚㪼㫉㪸㫄㫀㪺㩷㪽㫀㪹㪼㫉㪤㫆㫌㫃㪻㫊㪤㫆㫃㫋㪼㫅㩷㫀㫉㫆㫅㩷㩷㩷㪝㫀㪾㪅㪉㩷㩷㪫㪿㪼㩷㫇㫆㫊㫀㫋㫀㫆㫅㩷㫆㪽㩷㪺㪼㫉㪸㫄㫀㪺㩷㪽㫀㪹㪼㫉㩷㫀㫅㩷㫇㫆㫌㫉㫀㫅㪾㩷㫃㪸㪻㫃㪼㩷 㩷㩷㩷㩷㩷㩷㩷㩷㪝㫀㪾㩷㪊㩷㩷㪧㫆㫌㫉㫀㫅㪾㩷㫎㫀㫋㪿㩷㪺㪼㫉㪸㫄㫀㪺㩷㪽㫀㫍㪼㫉㩷㫀㫅㩷㫋㪿㪼㩷㫇㫆㫌㫉㫀㫅㪾㩷㫃㪸㪻㫃㪼㩷㪉㪅㩷㪜㪽㪽㪼㪺㫋㩷㫆㪽㩷㪢㪘㪠㪱㪜㪥㩷㪠㫋㪼㫄㫊㩷㪈㪅㩷㪩㪸㫇㫀㪻㩷㪿㪼㪸㫋㫀㫅㪾㩷㪸㫅㪻㩷㪿㫀㪾㪿㩷㩷㩷㩷㩷㫋㪼㫄㫇㪼㫉㪸㫋㫌㫉㪼㩷㫄㪼㫃㫋㫀㫅㪾㩷㩷㪉㪅㩷㪛㪼㪺㫉㪼㪸㫊㫀㫅㪾㩷㫋㪿㪼㩷㫊㫃㪸㪾㩷㪻㪼㪽㪺㫋㫊㩷㫀㫅㩷㩷㩷㩷㩷㫀㫉㫆㫅㩷㪺㪸㫊㫋㫀㫅㪾㫊㩷㪨㫌㪸㫃㫀㫋㪸㫋㫀㫍㪼㩷㪜㪽㪽㪼㪺㫋㩷㪨㫌㪸㫅㫋㫀㫋㪸㫋㫀㫍㪼㩷㪜㪽㪽㪼㪺㫋㩷䊶㩷㪫㪿㪼㩷㪻㪼㪺㫉㪼㫊㪼㩷㫆㪽㩷㪺㪸㫊㫋㫀㫅㪾㩷㪻㪼㪽㪼㪺㫋㫊㩷㫃㫀㫂㪼㩷㫊㪿㫉㫀㫅㫂㪸㪾㪼㩷㩷㩷㩷㩷㩷㪸㫅㪻㩷㪾㪸㫊㩷㪿㫆㫃㪼㫊㩷䊶㩷㪫㪿㪼㩷㫀㫅㪺㫉㪼㪸㫊㪼㩷㫆㪽㩷㫄㪼㫃㫋㫀㫅㪾㩷㪼㪽㪽㫀㪺㫀㪼㫅㪺㫐㩷㫃㫀㫂㪼㩷㪼㫃㪼㪺㫋㫉㫀㪺㩷㩷㩷㩷㩷㩷㪺㫆㫅㫊㫌㫄㫇㫋㫀㫆㫅㩷䊶㩷㪫㪿㪼㩷㪻㪼㪺㫉㪼㪸㫊㪼㩷㫆㪽㩷㫊㫃㪸㪾㩷㫀㫅㪺㫃㫌㫊㫀㫆㫅㫊

Source: JICA (2003)

21

5S in Indonesia – “5K”

22

5SClarification ofsafety passages

23

5S

“Seiton” Inspection tools in good order with name plates

24

5S

Area for rejected products

25

Visual Control

Visual control board
26

Services for SME Foundries

Training course in MIDC

Extension Service in a factory(Source: JICA & MIDC (2002))

27

Services for Client Foundries
Type of Service

Expectation

Satisfaction

Information service (Seminar, Publication etc.)

62%

4.0

Extension service (Visit and consultation)

56%

4.0

Training service (Training at MIDC)

46%

3.8

Trial prototyping service

26%

2.5(Engineer station service) (out of pjt mission)(38%)---(Testing & Calibration, R&D, ISO) (ditto)

(37%)

3.6

---3.8Average (0-5 scale)

Source: Homma (2002)
28

Extension Services (Visit andConsultation)
visited 71 foundry industries, 12 of which were as identified
target companies
Visited by a team composed of JICA Experts and MIDC
Engineers
Diagnosis andpractical technicaladviceHomework andreporting
Best practices:
dramatic decrease of
defect ratio; access tonew customers
29Company A: Cylinder Liner Production㪩㪼㫁㪼㪺㫋㩷㪩㪸㫋㪼㩷㫆㪽㩷㪚㫐㫃㫀㫅㪻㪼㫉㩷㪣㫀㫅㪼㫉㩷㪚㪸㫊㫋㫀㫅㪾㫊㪈㪍㪩㪼 㫁㪼 㪺 㫋㪧㫉 㫆 㪻㫌 㫋 㫀 㫍㫀 㫋 㫐㪁 㪈 㪆 㪈 㪇㪩㪼㫁㪼㪺㫋㩷㪩㪸㫋㪼㩷㩷㩼㪈㪋㪈㪉㪈㪇㪏㪍㪋㪉㪇

1st year㪉㪇㪇㪇

2nd 㪉㪇㪇㪈
year

3rd㪉㪇㪇㪉year

4th㪉㪇㪇㪊year

Capacity 300T/M, Medium-sized
Decreased reject ratio to 1/3
Increased productivity to double
Source: JICA and MIDC (2004)

30

Company A: Cylinder Liner Production㪈㪉㪇

㪈㪉㪇

㪈㪇㪇

㪈㪇㪇㪏㪇㪏㪇

㪍㪇㪚㪸㫌㫊㪼㩷㫆㪽㩷㪻㪼㪽㪼㪺㫋㪍㪇㪋㪇㪪㫌㫄㩷㫆㪽㩷㪻㪼㪽㪼㪺㫋㫊㩷㩿㩼㪀㪋㪇㪾㩷㪠㫅㪺㫃㫌㫊㫀㫆㪪㫃㪸㪦㫋㪿㫊㩷㪡㪚㫉㫆㫊㫅㪇㪼㫉㫊㪇㪣㪼㪸㫂㪸㪾㪼㪞㪸
㫊㩷㪟㫆
㫃㪼

㪉㪇

㫆㫀㫅
㪪㪸
㫋
㫅㪻
㩷㪜㫉㫆
㫊㫀㫆㫅㪤
㫀㫊 㫊㩷㪩㫌㫅㪪㪿
㫉㫀㫅
㫂㪸㪙㫉
㪾㪼
㫆㫂
㪼㫅
㩷㪤
㫆㫌
㫃㪻

㪉㪇

Analysis of causes of defectGood record but less usage
Advice on full utilisation of data
Source: JICA (2002)31

Company A: Cylinder Liner Production㪧㫉㫆㪻㫌㪺㫋㫀㫆㫅 㩷㩷㪫㪆㪤㪈㪉㪇㪈㪇㪇㪜㫏㫇㫆㫉㫋㪘㫊㫊㪼㫄㪹㫃㫐㪘㪽㫋㪼㫉㩷㪤㪸㫉㫂㪼㫋㪏㪇㪍㪇㪋㪇㪉㪇㪇
0th㪈㪐㪐㪐year

1st㪉㪇㪇㪇yearnd year 3rd year2㪉㪇㪇㪈㪉㪇㪇㪉

4thyear㪉㪇㪇㪊th year5㪉㪇㪇㪋Achieved delivery to a Japanese assembler
Started export
Source: JICA and MIDC (2004)

32

Company B: Brake Drum Production㪊㪇㪙㫉㪸㫂㪼㩷㪛㫉㫌㫄㩷㪘㪙㫉㪸㫂㪼㩷㪛㫉㫌㫄㩷㪙㪙㫉㪸㫂㪼㩷㪛㫉㫌㫄㩷㪚㪩㪼㫁㪼㪺㫋㩷㫉㪸㫋㪼㩷㩷㩼㪉㪌㪉㪇㪈㪌㪈㪇
㪌
㪇
㪡㪸㫅㪅

㪝㪼㪹㪅

㪤㪸㫉㪅

㪘㫇㫉㪅

㪤㪸㫐

㪡㫌㫅

㪡㫌㫃㫀

㪘㫌㪾

㪪㪼㫇

㪦㪺㫋

㪥㫆㫍㪅

Medium-scale foundry
The high reject ratio during the machining process was decreased
Source: JICA and MIDC (2004)

33

Company C: Brake Drum Production

Importance of quality control: sieve analysis, sand property etc.
Target setting
Improvement of process: sand preparation, pouring etc.
Reject ratio: 10% -> 5% -> 2%Source: JICA (2002)

34

Training Services for SMEs
Technical courses whichcontains quality control:
Casting Design, Pattern
Making, Sand Preparation andMoulding, Melting
Quality Control Course

19 Training courses for244 Trainees
Normally for 3 weeks for
15 trainees
35Training Services for Clients
Tailor-made training: requested by manufacturing and casting
industries including top-level Japanese companies
Third Country Training for Ghana on Casting Technology atMIDC based on the experience of the Project (as a part ofAsia-Africa cooperation) (2008): Trained 4 personnel (2 frompublic sector and 2 from private sector)

36

Other Services for MIDC ClientsPrototyping Services: support in developing products andprototyping; in total 260 kinds of products
Seminars: 6 times in total 1180 persons; contributed as aforum of foundry engineers
International seminar
held in Jakarta (speakersfrom 6 countries)
Workshops (Seminars inother cities)
Information Services:“Metal Indonesia”,
Casting Technology
Handbook etc.
37Technical services: key messages for
quality improvement
Get data and fully utilise
Do analysis and reflect to quality improvement
Top management should have a keen awareness ofimportance of quality and productivity control
Visual Control and Teamwork
Incremental improvement and sustainability
A major finding from a quantitative study on impacts of theproject based on firm-level evidence (285 firms surveyed
including 88 participant firms in the JICA-MIDC project):the technical assistance programme helped local participant
firms improve their technology, as the reject ratio wassignificantly decreased at 10% level, in particular thebeneficiaries of extension services (Todo, 2008)38

Part 3
1. Introduction
2. JICA Project on Supporting Industries Development
for Casting Technology in Indonesia
3. Related JICA’s programme in Indonesia
4. Conclusions

39

Private Sector Development: SME &Supporting Industries Development
Programme of JICA in Indonesia
1: Supporting Industries Promotion
JICA-MIDC Project, Development Study for Supporting Industries
Development, Silver Experts for small-scale foundry industries

2: Local Industries Promotion
SME Cluster Development, Design Promotion, Regional Industries
Development

3: SME Human Resources Development
Registered SME Management Consultant, SME Training System

As a part of All-Japan Approach
From the viewpoint of quality and productivityimprovement40Registered SME Management
Consultant (Shindanshi) System
Government certified management consultant for
SMEs: diagnosis, advice and consultation(Ministerial Decree 2006)
Japan’s model: transferred to Thailand, then fullytransferred to Indonesia through JICA projects
250 consultants have been registered in 3 years as“Shindanshi” who were qualified as candidates,
completed 6 months intensive government training
programme and passed examinations

41

Registered SME Management
Consultant (Shindanshi) Systemand Quality/Productivity Improvement“Production Control” (QC, Process Control, IE,Inventory Management etc.) and its practicaltraining in factory are the core of the curriculum(40% of the total time devoted)
Providing regional SMEs with managerial andtechnical advice in all over Indonesia
MIDC contributed: as a technical contributor to thetraining programme; as resource of consultants

42

Part 4
1. Introduction
2. JICA Project on Supporting Industries Development
for Casting Technology in Indonesia
3. Related JICA’s programme in Indonesia
4. Conclusions

43

IMPLICATIONS AND
CONCLUSIONS
Quality and productivity improvement: a key forindustrial development
Team work – participation and cooperation,continuity, comprehensivenessSustainable effort for quality and productivity
improvement – Kaizen: there is no end
Advice from veteran engineers who actuallyexperienced history of quality improvement andmodernisation of manufacturing industries in Japan44

IMPLICATIONS
Supply chain – drive for improving quality andproductivity in supporting industries vis-à-vis clients
Supporting industries development as a part ofinvestment climate improvement“NEPAD-OECD Africa Investment Initiative”
Private sector development as an engine forsustainable growth and development

45

Thank you very much.

46