One of the most important things for a globally operating company is to gear management at each overseas base to the characteristics of that locale by addressing the challenges and needs of the region. In emerging countries, besides offering quality products affordable to local consumers, a company must create steady jobs for the local workforce and teach them technological skills that will help stimulate the economy and advance progress in that society.
Overseas employees account for over 70% of Daikin's global workforce, and sales outside Japan are on the increase. Daikin is focusing on giving local employees higher levels of manufacturing skills. We are also training local employees to take on company management positions, because management by local personnel for local employees will better equip local bases to meet market challenges and needs, and allow Daikin companies to grow and prosper with the communities in which they operate.
Global Employees (by Region)
Under its PDS system, Daikin Industries trains manufacturing employees to carry on the philosophy and tradition of Daikin style manufacturing.
Essential to PDS is finding wasted energy, resources, and inconsistencies hidden in the work process, and then dealing with these through a PDCA cycle. For example, imagine some kind of dirt gets on products while they are being assembled on the lines. In this case, employees are trained to notice such problems, stop the production line, and check on the problem in detail. If it turns out that the problem is due to wasted energy, a resource, or an inconsistency somewhere, the concerned divisions immediately get together and work to remedy the problem. By continuing to do this in a coordinated way, the company can come out with high-quality products in an effective manner.
To this end, Daikin believes that employees must be trained not just to conduct work according to their superior's instructions or a manual, but also to keep a constant watch for even the smallest variation, to take the initiative to find new challenges in their jobs, and to involve the employees around them in solving problems.
Training Employees for Global Manufacturing
* SSM: Stress Strength Model; framework for preventing problems by predicting them.
Checklists for finding wasted energy, resources, and inconsistencies
The Daikin Group is making PDS an integral part of its worldwide production bases. PDS is spread across the Daikin Group as Daikin representatives, called "PDS expert," gather and train the next generation of leaders, who then return to their companies to teach their own employees PDS.
Disseminating PDS in this way also fosters a new generation of workers who will carry on Daikin-style management into the future. PDS is a method for fostering employees' awareness and initiative so they can improve production lines. But PDS cannot function if it is only understood by workplace leaders. All concerned employees, no matter what their jobs are, must understand and jointly implement the principles of PDS. The leaders are not supposed to force PDS upon their employees; rather, they must pool everyone's knowledge and enthusiasm in making workplace improvements; in doing so they will give employees the power to find and solve problems on their own. This is what is meant by localizing a company.
Daikin Thailand began PDS training immediately after its establishment in 1990. Trainees become workplace leaders specializing in improvement. With PDS expert conducting periodic follow-up, the PDS training system makes for efficient manufacturing. In the more than 20 years since, PDS graduates have gone on to become managers and workplace leaders, and PDS as a whole has fostered the human resources that run Daikin Thailand.
PDS training passes on Daikin-style manufacturing ideas to employees at worldwide production bases
To disseminate PDS, Daikin has trained PDS expert, who in turn have trained employees to be workplace leaders at worldwide production bases.
PDS training and on-site improvement practice at Daikin Airconditioning India Pvt. Ltd., where production capacity is increasing
India is projected to experience a dramatic increase in air conditioner demand, and the country is positioned as a key market under Daikin's Fusion 15 strategic management plan. Daikin Airconditioning India Pvt. Ltd. started production in the spring of 2009, and PDS training was introduced with the start of full-scale production in late 2010. A total of 50 production managers and workplace leaders took part in two-week classroom and on-the-job improvement training at the company factory.
Training covered issues unique to Daikin's Indian factory, such as how to handle increased production capacity with increasingly fewer workers. Although all participants thought this impossible at first, they began timing how long it took to do their jobs and watched videos of how work is done at Japanese factories. This prompted them to notice and eliminate wasted energy, resources, and inconsistencies, and take it upon themselves to do things like standardize the amount of work they do and re-think the details of their jobs. The result was that one production line improved production efficiency by 145% over a three-month period.
What Our Employees Are Saying
Production Division, Daikin Airconditioning India Pvt. Ltd.
In PDS training, we perfected methods for recording job details and using these records to find where time and effort could be saved. Doing this helped me find small problems that I could not see before. Following the training, I taught all my subordinates about PDS. Thanks to this I can really see improvements in productivity and safety on our production lines.