Established “Kubota Works,” the company’s first Special Subsidiary
The company is aware that the employment of persons with disabilities is a social responsibility, and has developed many measures, in addition to ensuring that the legal minimum employment rates are met. However, as suitable workplaces were limited, Kubota was faced with the problem of not being able to employ some people, no matter how much they wanted to work. This is why the company established a Special Subsidiary, “Kubota Works.”
A Special Subsidiary is a subsidiary which is recognized as giving special consideration to the employment of persons with disabilities. The company promotes participation in society and social independence through work such as cleaning, printing and mail sorting.
(Clockwise from top left) Vegetable gardening, Cleaning Department (Osaka),
Printing Department (Osaka),Mail Department (Amagasaki City, Hyogo Prefecture)
Integrated the housing materials business with Matsushita Electric
Japan’s mature economy and aging population have meant that the number of new houses being built is continually falling. To deal with this situation, Kubota integrated its roofing and siding business with Matsushita Electric (currently Panasonic Electric) and established a new company, called Kubota Matsushitadenko Exterior Works Ltd. (KMEW). This enabled the company to achieve the top share in roofing materials in Japan, and the second largest share for siding.
In addition to improving management efficiency, for example through joint purchasing and joint deliveries, the company will exploit the strengths of each of the partners’ human resources, technological skills and equipment, etc., as it continues to take measures to create a strong company that can survive the difficult business environment.
Extended the construction machinery business in China
The demand for large pneumatic shovels in China rose sharply due to the preparations for the Beijing Olympics in 2008 and the Shanghai Expo in 2010, and the demand for mini back-hoe excavators also rose with it. The company set an objective of developing business in China to be the third overseas pillar for the company, along with Europe and North America, and established the “Kubota Construction Machinery (Shanghai) Co., Ltd.” as a sales base for mini excavators.
In addition to preparing a dealer network to meet the requirements of the customers, the Shanghai company is working to develop uses for the products which exploit the strengths of compact construction machinery, for example water and gas pipe construction work and landscape gardening, and is working hard to establish the Kubota brand in China.
Honored with the title “Outstanding Company in the Waigaoqiao Free Trade Zone, Shanghai in 2008”
Great success with the multi-purpose 4-wheel
drive UV (utility vehicle), a new product in North America
The RTV900 UV went on sale in the United States and Canada with an original sales plan of 5,000 vehicles for the first year. However, it proved immensely popular and greatly exceeded its target, actually selling nearly 15,000 vehicles in the year. It developed into a major item for sales in the North American market and was later also introduced in Europe and Australia.
Although Kubota had been late entering this market, it was successful with the UV because it was able to utilize technologies from tractors, its main field of expertise, to create a strong and easily controllable product. The use of the compact diesel engine, which is highly evaluated overseas, and the full use of the tractor sales network were also factors contributing to its success.
Started the “manufacturing 5-gen” training
The “5-gen principle,” from the five Japanese words “genba” (location), “genbutsu” (actual object), “genjitsu” (reality), “genri” (principle) and “gensoku” (rule), is a principle that says improvements should be made by going to the “location” of the trouble, looking at the “actual object” to see the “reality” (the current capability) and then comparing it with the yardstick of “principles” and “rules” about what should really be the case, and making improvements to close any gap found.
The company introduced “5-gen improvement activities” based on this principle, in order to eliminate waste and improve the manufacturing workplace. The activities originally started from assembly related plants, for example in agricultural machinery manufacturing, but later spread to process related plants such as casting manufacturing, and to plants overseas. The improvement activities have now become company-wide, and are making a great contribution to management efficiency improvements.
(From left) The “5-gen principle” slogan and a report of improvement activities
at the Kubota Agricultural Machinery (Suzhou) Co., Ltd. plant"
Integrated composite pipe business with C.I. Kasei
Kubota’s composite pipe division and C.I. Kasei Co., Ltd.’s synthetic resin department were integrated to create “Kubota C.I. Co., Ltd.” The move gave the company a yearly production of 220,000 tons and a 31% share of the market, making it the largest such company in Japan.
Furthermore, it became possible to improve the efficiency of production and logistics as bases were now located evenly throughout the country, and also rationalization was achieved through centralized purchasing, overall making it a very effective move.
Contributed to waste disposal at Teshima, Kagawa Prefecture
In 1997, Kagawa Prefecture advertised for processing technologies from waste disposal plant makers throughout Japan to respond to the incident of unlawful dumping of industrial waste at Teshima, which had become a social problem much-discussed throughout Japan. Over 70 companies responded, but Kubota’s rotary melting furnace was selected, and the processing business began from September 2003.
The company’s processing system was able to safely and steadily process and recover raw materials from roughly 600,000 tons of illegally dumped waste, and was highly evaluated as a pointer for the next generation of large-scale waste processing systems. In June 2005 it was awarded the top “Minister of Economy, Trade and Industry Prize” in the “31st Excellent Environmental Equipment Awards.”
Total tractor production reached 3 million units
Ever since the first Japanese tractor, the T15, went on sale in 1960, Kubota has continued to advance the tractor in response to farmers’ requests, for example by introducing original technologies such as the “monroematic” system (an automatic leveling system for the implement), double speed turning (a rotation method using 4-wheel drive), driver cabs with air conditioning, and “power crawler” tracks for increased stability and reduced soil compaction.
As a result, they are favored by customers not just in Japan, but throughout the world, and at the end of December 2005, Kubota achieved a total of 3 million tractors produced, at 45 years since their initial introduction.
Completed a new factory for implements in the United States
The “Kubota Industrial Equipment Corporation” (KIE) was built in Jackson County, Georgia. This formed the second manufacturing base in the United States, after Kubota Manufacturing America (KMA). In addition to producing 70,000 tractor “implements” per year, such as loaders to scrape and carry earth and back-hoes to dig holes and trenches, KIE also performs the final assembly for tractors sent from Japan. KMA transferred all its implement production to KIE and concentrated on compact tractors, lawn mowers and UV.
Started the “Kubota E-Project” social contribution activities
Japan’s agriculture is facing many serious problems, such as a reduced and aging workforce and depopulation of agricultural areas. Kubota has long developed its business in agriculture, and wanted to do something to help. This is why the “Kubota E-Project” was started. It aims to revitalize agriculture and farmers, for example by recovering abandoned farmland, supporting farming experiences for children and promoting local brands and goods sold directly from the farms. Since its beginnings, the scope of activities tackled by the project has been repeatedly expanded, for example to global environmental protection and support for disabled persons.
Completed the first tractor production plant for a Japanese company in Thailand
The main plant of the “Siam Kubota Tractor Co., Ltd.” was completed in Chonburi Province, Thailand, as a joint venture between Kubota and the Siam Cement Group, a company of the Thai royal family. It started the mass-production of new model 30-horsepower and 36-horsepower tractors for the Thai domestic market. In addition to meeting the rapidly growing demand for tractors in Thailand, it also hopes to export to the surrounding countries in the future.
Completed a ductile iron pipe plant in India
“Tata Metaliks Kubota Pipes Limited” (TMKPL) was established in 2007 as a joint venture between Kubota, Tata Metaliks Limited from India and the Metal One Corporation from Japan. The company’s Kharagpur plant was completed in March.
It began the production of ductile iron pipes for the Indian market, where rapid economic growth has made the construction of water and sewer services an urgent issue. In addition, Kubota receives an OEM supply of products from TMKPL, which is used to meet the vigorous demand for water infrastructure construction in various countries in the Middle East and South East Asia.
