Daiichi Jitsugyo India Pvt Ltd. (DJK), a famend provider of commercial manufacturing merchandise, is making its mark globally with a presence in over 18 international locations. In a current technical interview, Rahul Chopra and Sharad Bhowmick from EFY sat down with Shigenori Yuki, the Managing Director of DJK India, to delve into the dynamic world of electronics manufacturing. With Yuki’s in depth expertise within the business, the dialogue revolved across the methods employed by DJK to navigate the ever-evolving panorama, deal with world market fluctuations, and handle buyer calls for. Moreover, Yuki make clear the popular manufacturing gear within the Indian market and provides helpful insights into the challenges and developments shaping the realm of electronics manufacturing.
Q. How did you evolve into electronics manufacturing merchandise?
A. Really, initially we began promoting injection moulding machines in Saudi Arabia, catering to clients who wanted plastic components manufacturing. From there, we expanded our operations and started manufacturing plastic components ourselves. About 30 to 40 years in the past, we ventured into meeting companies positioned in Japan, producing consumable merchandise. Over time, our clients began increasing to the US, and so they expressed a necessity for digital chip mounters. Round eight years in the past, we established a enterprise partnership with Panasonic, and began promoting chip mounters in India. Our collaboration with Panasonic led us to diversify past chip mounters and likewise give attention to peripherals and different buyer necessities. This marked the start of our journey into electronics manufacturing.
Q. At present, what’s the profile of the agency? What number of international locations are you in?
A. We’re at present current in 18 international locations, with our fundamental operations concentrated in thirty-six places.
Q. Are you primarily concerned in reselling gear or manufacturing digital gear? How do you outline DJK now?
A. We now have six enterprise segments and one of many enterprise segments is electronics. At present, about 30% of Panasonic’s chip mounter gross sales are coated by DJK. Other than that, we’ve publicity to the Chinese language market, Southeast Asian market, US market, and European markets, together with the Indian market.
Q. Since Panasonic additionally sells in some international locations immediately, are you their unique distributor, or are there different distributors in numerous geographies?
A. There are different distributors as properly. We collaborate with Panasonic by means of a number of methods, however we even have our personal manufacturing capabilities.
Q. What’s the distinctive energy of DJK, and the way have you ever maintained your dealership?
A. One in all our key strengths is that a lot of our world clients are increasing their manufacturing places worldwide. Consequently, DJK has established subsidiaries in varied international locations, permitting us to supply direct engineering and gross sales help to our clients. We now have engineers positioned in numerous areas who can help clients on-site. This mix of technical experience and direct help has been a major consider sustaining our dealership relationships. To summarise the reply, we’ve an excellent buyer base that’s increasing, and our help staff ensures a seamless expertise for our clients.
Q. Does most of your clients from Japan, or do you serve world clients as properly?
A. We now have clients from varied areas, together with China, Taiwan, and Korea, along with Japan. Our buyer base extends globally.
Q. How lengthy has DJK been in India?
A. We established DJK in India in 2006. Initially, our fundamental buyer was Samsung, as they started manufacturing cell phones by means of knockdown operations. Since then, we’ve been supporting them and have witnessed important development in our buyer base.
Q. How has DJK India grown since 2006? What’s the development trajectory you could have noticed?
A. In 2016, we had two to 3 clients for electronics and in 2017 we had round 27 clients. Nonetheless, over time, the quantity elevated to 68 clients within the electronics sector. Regardless of the challenges posed by COVID-19, we’ve skilled substantial development. We consider that extra clients will enter the Indian market, and we’re dedicated to supporting them.
Q. If a worldwide buyer asks you whether or not they need to put money into India, what can be your message to them?
A. At this time, I might strongly comply with put money into India. The Indian economic system is increasing, and the federal government is targeted on bettering infrastructure. Prior to now, infrastructure was a weak level for India, however the authorities’s initiatives have caused important enhancements. This makes it a beneficial time to ascertain a manufacturing unit in India and manufacture merchandise.
Q. Are there any main areas in India the place you see excessive demand?
A. We at present have three places in India: New Delhi, Bangalore, and Ahmedabad in Gujarat. We at the moment are establishing our new workplace in Chennai. Andhra Pradesh and Tamil Nadu are additionally selling buyer funding. Northern aspect, Delhi, and Southern aspect, Chennai are significantly attention-grabbing for us because of the buyer curiosity and authorities initiatives selling funding in these areas.
Q. Do you could have staff members positioned in Pune?
A. Sure, we’ve a gross sales employees member from Maharashtra and an engineer from the northern aspect. They’re devoted to offering help and constructing relationships with clients in India.
Q. Does DJK promote solely new gear, or do you additionally deal in used gear?
A. We cope with each new and used gear. We now have a marketplace for used gear in Southeast Asia and Japan as properly.
Q. In India, do you observe extra demand for brand spanking new gear or used gear?
A. The mindset is shifting in the direction of new gear in India. Whereas previously, clients most well-liked buying used machines, they now need to put money into new machines.
Q. If a buyer asks whether or not they need to select used or new gear, how do you assist them decide?
A. The choice is determined by the precise necessities of the shopper. In the event that they want the most recent know-how, we advocate new machines. We assess their wants and counsel the best option accordingly.
Q. These days, new machines usually include options like IoT that may scale back labour prices.
A. That’s an attention-grabbing query. Whereas labour prices are decrease in India, there may be important curiosity in IoT and machine-to-machine communication. Many individuals in India are intrigued by IoT and its potential advantages. Due to this fact, they search the most recent know-how, together with IoT options, within the gear they put money into. As DJK, we all the time introduce the most recent IoT know-how to our clients, and their response has been optimistic.
Q. Do you additionally assist in coaching their staff members?
A. We now have options for that. We now have our technical centre in Noida. Generally we offer coaching to clients on know-how. There are occasions when 5 to 10 individuals from a buyer’s staff come to our know-how centre, and we give them hands-on coaching on the machines and clarify the structure to them.
Q. So, the coaching you present is hands-on coaching the place they really use the machines and get educated on them, or is it extra of a principle?
A. Sure, they get hands-on coaching on the machines. We cowl operation coaching, upkeep coaching, and troubleshooting as properly.
Q. Panasonic chip mounter is your primary product. What are the opposite two or three merchandise or manufacturers which can be additionally well-liked?
A. The Panasonic chip mounter is certainly one of our key merchandise. Second involves Keysight ICT & FCT gear’s. We even have the Board Dealing with Unit, SPI (Solder Paste Inspection) machine, Automated Optical Inspection (AOI) machine, Reflow Oven and printer. These are a few of the merchandise which can be in demand.
Q. Are all of those machines made by Panasonic, or are there different manufacturers you characterize?
A. These merchandise are from completely different manufacturers. Whereas Panasonic manufactures chip mounters & printers, we’ve a number of different manufacturers as sources for the opposite gear.
Q. Are many of the manufacturers you characterize Japanese, or are there additionally Korean or Chinese language manufacturers?
A. We primarily characterize Japanese manufacturers, however we additionally collaborate with Korean and Chinese language manufacturers. Some clients have particular excessive specs and necessities, so we offer options for the center and low-end vary as properly.
Q So, you may cater to clients who need to do each high-volume manufacturing and low-volume manufacturing.
A. Sure, precisely. We offer options for purchasers throughout the spectrum, from high-volume manufacturing to low-volume manufacturing. We now have choices for all sorts of consumers.
Q Do you additionally obtain inquiries from clients who solely need to do prototype-level manufacturing? Do you could have gear for them as properly?
A. Sure, we do. Some clients particularly need to give attention to prototype-level manufacturing, and we are able to accommodate their wants. We now have suppliers who cater to those necessities.
Q. How would you just like the DJK model to be recognized within the minds of your clients?
A. It’s a key issue for us. We organise webinars and seminars ourselves to advertise DJK. We now have held our personal seminars a number of instances, we additionally collaborated with Panasonic and had a number of bodily seminars in locations together with in Gurgaon, Chennai and in Bangalore and on-line. It helps us set up a robust presence.
Q. Are the audio system at these seminars your staff members or consultants from the services you characterize?
A. Sure, many of the audio system at our seminars are our staff members or consultants from the services we characterize. We be certain that our seminars present helpful insights and information to our clients.
Q. What are some widespread misconceptions that folks have, particularly concerning chip shooters and different gear?
A. I usually attend joint conferences with executives and high administration of organisations. I all the time emphasise the important thing level that CPH (Chips Per Hour) isn’t just concerning the value but in addition about efficiency. It’s necessary to not overlook the efficiency facet. I request clients to think about this facet fastidiously.
Q. How do you clarify this to them, particularly to leaders who might focus solely on the worth?
A. I clarify it to them based mostly on the fabric and knowledge we offer. We now have world key clients who perceive this level. Whereas value is a consideration, a low value with low efficiency doesn’t make sense. We need to help our clients’ manufacturing, so we emphasise the significance of efficiency and the worth we offer by means of our merchandise and after-sales help. This can be a key issue for us.
Q. What’s manufacturing help?
A. Manufacturing help includes serving to clients optimise their manufacturing processes. For instance, we work on lowering downtime and minimising changeover time to enhance General Gear Effectivity (OEE) and maximise productiveness. This can be a key focus for our clients.
Q. So, while you promote a machine, your staff displays its OEE, utilization and assists clients in lowering downtime and bettering productiveness, proper?
A. Sure, precisely. We now have a variety of consumers, and so they usually examine their productiveness to remain aggressive. Our engineers and gross sales employees have the information and expertise to assist maximise productiveness and supply ongoing help to clients. It’s an integral a part of our firm’s strategy.
Q. Do you additionally assist clients in lowering wastage?
A. Sure, we are able to technically assist in lowering wastage. We will focus on particular specs and options to handle wastage issues.
Q. With the developments in know-how, similar to synthetic intelligence, there are machines that may detect counterfeit parts and carry out inspections.
A. Sure, this know-how is coming to India as properly. Panasonic, for instance, is already utilising these capabilities. A few of our clients can even profit from applied sciences that may detect counterfeit parts and enhance productiveness. It’s an thrilling improvement. These firms are utilizing AI to maximise productiveness.
Q. Are there any future applied sciences that you just consider can be coming quickly, globally or in Japan?
A. Sure, I consider Trade 4.0, IoT, and M2M (Machine-to-Machine) applied sciences are important traits. Manufacturing processes will proceed to shift in the direction of adopting extra superior applied sciences. Automation and the usage of robots will possible enhance, even changing sure guide duties. Our headquarters is already exploring and introducing these applied sciences to clients.
Q. Have there been any deployments of robots in India for manufacturing?
A. Sure, robots are getting used within the automotive sector in India as properly. A few of our clients are utilising this know-how for sure processes, however not for every little thing.
Q. So, guide labour remains to be predominant in India?
A. Sure, there are situations the place guide labour remains to be prevalent. Nonetheless, I’ve an attention-grabbing story to share. For instance, in a single case, the gear needed to work 24 hours and the operators needed to carry out changeovers throughout nighttime, which led to a 30% lower in productiveness. By implementing automated specs and utilizing robots, the changeover time was decreased, resulting in improved productiveness.
Q. I recall listening to about one other model that showcased a 28% enhance in productiveness utilizing robotic know-how.
A. Sure, know-how performs an important function. In such instances, system integrators utilise robotic know-how and design the system accordingly.
Q. So, if a buyer requires the involvement of a system integrator, do you’re employed with different firms or companions?
A. Sure, we collaborate with system integrators when vital.
Q. In India, do you promote on to clients, or do you even have resellers or brokers?
A. We promote on to clients in India, however we’re open to having companions who can promote our merchandise immediately sooner or later.
Q. If somebody desires to develop into your accomplice, do you could have plans in place for that?
A. Sure, we’re open to having a number of distributors in India. We consider it should contribute to our development.
Q. What are your development plans for the subsequent 5 years?
A. Our objective is to attain 5 instances the gross sales income of the present 12 months. To perform this, we plan to ascertain satellite tv for pc places of work in numerous international locations and areas, with gross sales employees, engineers, and web site managers.
Q. Do you could have particular targets when it comes to the variety of purchasers or income?
A. Our goal is to attain 5 instances the gross sales income of the present 12 months.
Q. Once you have been requested to come back to India, what was your response?
A. It was very attention-grabbing and I used to be extraordinarily excited. I’ve been supporting our enterprise in varied international locations, together with Japan. Once I got here to India, I used to be shocked by the potential of the Indian market. It’s an enchanting place.
Q. So, you’re nonetheless enthusiastic about India residing in India?
A. Sure, after all. In actual fact, my household has additionally relocated to India. We now have been right here for six years already, and we discover it to be a fantastic alternative for each private and enterprise development. We plan to reside in India for a very long time.
Q. Which a part of India are you staying in? How are you discovering it?
A. We’re staying in Gurgaon and having fun with our time right here. It has been an excellent expertise for my household, and we recognize the market alternatives India provides.
Q. Because the previous few years world economics has taken an enormous toll. So, what modifications did you make in your technique when it comes to procuring and gross sales?
A. Prior to now two years, we additionally confronted important challenges and struggled loads. The worldwide electronics market skilled a downturn, and it was tough for our headquarters to know what was occurring. We held brainstorming periods with our gross sales staff to give you new methods and visions. One profitable end result was our give attention to the Indian market, the place we collaborated (with DG Calles and Chipper) (Verify with the speaker), which proved useful through the tough instances. This technique will proceed to profit us sooner or later.
Q. Are there any main challenges you foresee in attaining the 5 instances development goal?
A. As I discussed earlier, establishing the DJK model in India and making our clients conscious of us are necessary challenges. We additionally plan to ascertain a brand new manufacturing subsidiary in India, following our technique for electronics.
Q. Are you dealing with all companies of DJK or focusing solely on electronics?
A. I belong to the electronics division in Japan, so my focus is totally on electronics however right here I cowl all enterprise segments.
Q. Are you witnessing extra development within the automotive section or some other section when it comes to demand?
A. Sure, we’re seeing development within the automotive part, significantly in promoting clients with out electronics. We now have noticed a major demand from automotive clients.
Q. Historically, Japan has been betting on hybrid autos. What’s your tackle that, and do you see India transferring in the direction of hybrid autos or battery-only autos?
A. We’re observing each hybrid and non-hybrid options in India. We now have options to supply in each areas, and we are going to introduce them accordingly.
Q. Do you could have any particular options for battery administration that differentiate you from conventional electronics producers?
A. We now have options for battery administration, and we’ve acquired over 100 inquiries from Indian clients previously two years. Nonetheless, they have a tendency to want less expensive options, which makes it difficult for us to satisfy their necessities.
