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Friday, 9 May 2014

History of Toyota. Part 4 (1918-1925): Establishment of Toyoda Boshoku Sho and Other Companies

On March 10, 1918, Kikui Boshoku was established, funded by Sakichi Toyoda, Kamenosuke Fujino and Ichizo Kodama. The new company was created less than two months after the establishment of Toyoda Boshoku Corporation in order to expand the spinning and weaving business during the wartime production boom.
To rationalize its operations during the cotton industry slump which occurred during the Great Depression, in 1931 Kikui Boshoku was absorbed into Toyoda Boshoku and its name changed to Toyoda Boshoku Minami Plant. In 1942, following the merger between five spinning and weaving companies, it became Chuo Spinning Company Aichi Plant, and after the merger with Toyota Motor Corporation in 1943 became the company's Aircraft Aichi Plant.

British imports of cotton products to the Chinese market were halted due to the outbreak of the First World War, leading many Japanese spinning and weaving companies to expand into China. On August 1, 1919, Chinese import tariffs were raised from 3.5 percent of cotton thread prices to 5 percent, a move which pushed many Japanese manufacturers to commence local production in China. To put the situation in context, 17 Japanese companies accounted for 33 of the 87 spinning and weaving plants established in China between 1914 and 1925.
Under these circumstances, in 1920 Sakichi Toyoda began construction of a spinning and weaving plant in Shanghai. The plant was completed in May 1921, and opened in November that year as Toyoda Boshoku Sho.

Kiichiro, who graduated university in July 1920, submitted "Design Specifications of Power Facility for Shanghai Spinning Plant" for his graduation project, and was already involved in engineering side of his father Sakichi's business while he was studying.
When Kiichiro started his automotive business, Toyota Boshoku Sho provided funding support and played a central role in expanding the company's business in China, and also supported the establishment of Hokushi Jidosha Kogyo in 1940, and Kachu Toyoda Jidosha Kogyo in 1942. In 1944 the company adopted the Toyoda Boshoku name, changing from Toyoda Boshoku Sho to Toyoda Boshoku. After Japan's defeat in the Second World War, the company was seized by China.


Kiichiro Toyoda Starts Working for Toyoda Boshoku
Kiichiro Toyoda
Sakichi Toyoda's eldest son, Kiichiro Toyoda, was born on June 11, 1894, in the village of Yamaguchi (now part of the city of Kosai) in Shizuoka Prefecture.
Around this time, as Sakichi devoted his time to studying power loom and went back and forth between Toyohashi and Nagoya, Kiichiro lived at his grandparents' house in the village of Yoshizu. It was not until he was about three years old that he began living with his father.
Kiichiro spent his childhood in company housing located on the premises of the factories of the various companies his father operated, such as the Buhei-cho and Shimasaki-cho plants of Toyoda Shoten (Toyoda Shokai Office), or the Toyoda Jido Shokufu Plant (Sako-cho), so he grew up seeing people designing, creating and fixing machines all around him. Later in life, Kiichiro alluded to that time when speaking to engineers who were part of Toyota Motor Co., Ltd.:

I went to the United States with Okabe where we visited Crompton Corporation and Northrop Corporation, and tried our hands at assembling and test running looms. Although I had never done that before, I had constantly been around machines as a young child so I managed to succeed at the task without any problem at all. Engineers must think of the machines in their care as close friends and be forever giving them attention1
It would be fair to say that Kiichiro's close contact with machines as a young child allowed him to confirm for himself how things worked and ultimately gave rise to the genchi genbutsu (go to the source to find the facts) thinking that plays such an important role in Toyota's approach to operations today.
In 1908, Kiichiro graduated from an Aichi Prefecture prefectural elementary school and entered Meirin Middle School. One of the school's other students in the same year as Kiichiro was Kaoru Ban2, who later as a section manager in the Engineering Bureau of the Ministry of Commerce and Industry would be involved in the formulation of Automobile Manufacturing Industries Law.

In 1914, Kiichiro entered a high school in Sendai that had a specialty course in engineering, which is what Kiichiro studied. Many of the friends Kiichiro made at this school would later help him in his automobile business.
After graduating from high school in 1917, Kiichiro entered Tokyo Imperial University (current University of Tokyo) along with several of his classmates: Takeo Akahira, Seigo Ito, Hideo Kobayashi, Kichizo Tanabe, Shiro Nukiyama, and Daizo Nukiyama. At university Kiichiro became acquainted with Kazuo Kumabe and Tokushichi Mishima, who would also play a part in Kiichiro's future automobile business. These university friends also introduced Kiichiro to a number of their friends, such as Ryonosuke Yamada, and Masao Naruse, and it was through this widening circle of friends that Kiichiro was able to receive the advice of well-known academics such as Dr. Kotaro Honda.

Kiichiro graduated from university in July 1920 and returned to Nagoya with the intention of helping out Toyoda Boshoku.
Kiichiro wanted to take over the business from his father, Sakichi, but at the time Kiichiro's brother-in-law, Risaburo (who had married Kiichiro's younger sister Aiko in 1915) held a senior position at Toyoda Boshoku. Risaburo had been appointed as a managing director and was charged with running the company while Sakichi was abroad in Shanghai overseeing the construction of a new plant there. Having just finished his studies, the timing wasn't right for Kiichiro to make a play for the company's reins.

Instead, Kiichiro decided to return to university to study law and social systems with respect to business management, enrolling in the Faculty of Law in September 1920.2 However, Kiichiro's time at the Faculty of Law ended much sooner than he had expected, at the end of March 1921. Sakichi and Toyoda Boshoku's chief engineer Akiji Nishikawa were tied up with the construction of the spinning mill in Shanghai, which meant that there was no one in charge of engineering in Nagoya. Kiichiro's recall to Nagoya was in all likelihood due to the fact that Toyoda Boshoku didn't have an engineer at the time who was sufficiently versed in spinning technology.
The entry in Kiichiro's diary for Friday, April 8, 1921, reads: "Leave for Kikui at midday. Take gear to Nakamura plant; will stay there several days." This entry indicates that within a few days of returning from university Kiichiro was already fully engaged in the company's plant operations.
The "Kikui" in Kiichiro's diary entry refers to the Kikui Boshoku, where at the time an engineer from the U.S. company Whitin Machine Works was installing a number of new spinning machines. Kiichiro probably visited the Kikui plant to learn what he could from the engineer.

Kiichiro referred to the Toyoda Boshoku plant in Nakamura, Aichi-gun, as the Nakamura plant. He would stay overnight there, learning how to spin thread and weave cloth, as well as studying the workings of automatic looms.
In 1921, the Toyoda Boshoku plant in Shanghai (Toyoda Boshoku Sho) was completed, and a ceremony was held at the beginning of May to mark the occasion. Kiichiro Toyoda's mother, Asako, and his sister Aiko and her husband Risaburo had left for Shanghai to attend the ceremony, while Kiichiro remained in Japan to continue learning the ins and outs of the Nagoya plant.
It was in Shanghai that it was decided that Kiichiro and Risaburo, accompanied by his wife, should visit the United States and Europe on a study tour.1 Later, Kiichiro would say of this trip, "When I went overseas a few years back, I wanted to find a good automatic loom, but despite all my searching and investigations, I came back empty handed," alluding to the fact that one of the purposes of the trip had been to investigate automatic looms in England.

On July 29, 1921, Kiichiro, together with his sister and brother-in-law, set off for the United States from Yokohama, after having been sent off the day before by four of his close friends from his high school and university days, including Hideo Kobayashi and Shiro Nukiyama.
They arrived in San Francisco some two weeks later on August 14. Once in the United States, Kiichiro, Aiko and Risaburo spent the rest of August visiting cotton plantations and related facilities, as well as textile factories. The group then left for England, arriving in London on October 1.

Research memo for a cop-changing automatic loom
In England, they again devoted their time and energy to visiting cotton production facilities and textile factories. Kiichiro organized to receive training at A. Platt and Company for two weeks from January 15, 1922, so he left his sister and brother-in-law to take up his training at Oldham, outside Manchester. While at A. Platt and Company and studying the processes and methods for manufacturing spinning machines, Kiichiro also studied cop-changing automatic looms.
At the end of February 1922, Kiichiro, Aiko and Risaburo boarded a Japanese ship in Marseille and returned home after a brief stop in Shanghai.
The training Kiichiro's received at A. Platt and Company was, certainly valuable when it came time to establish Toyoda Automatic Loom Works.

Creating the first automatic loom prototype
Sakichi Toyoda, as previously explained, established Toyoda Boshoku Sho in Shanghai and moved to the city in 1921. He directed Kiichiro Toyoda and other personnel to continue their research and development of automatic looms and frequently traveled between Shanghai and Japan to oversee their work.
After returning back from his tour of the United States and Europe in 1922, Kiichiro promptly began research and development of automatic looms together with Rizo Suzuki1 and Risaburo Oshima.2
At first, Kiichiro built the same automatic loom that Sakichi had developed and added a few modifications. By around the summer of 1923, Kiichiro had approximately 30 automatic looms up and running.

For its part, Toyoda Boshoku was constructing a new plant in Kariya-cho, not far from Nagoya, in order to cope with a future expansion in business. For the time being, the premises was designated to be used as an experimental automatic loom plant, and was essentially completed by the end of December 1923. Ahead of the commencement of trial operations, the company placed an order for 200 looms with Toyoda Loom Company, which the latter declined. This situation forced Kiichiro and the rest of his team to outsource production of parts to external suppliers. The various parts were then assembled into automatic looms at the Toyoda Boshoku workshop.

The new automatic loom was essentially the same as the existing regular loom (manufactured by Toyoda Loom Company), but was fitted with an automatic shuttle changing mechanism (made by the Toyoda Boshoku workshop). Trial operation was carried out at the Kariya plant from March to May 1924, and involved 200 looms. Trial operation of 20 looms resulted in two to three breakdowns a month, but with 200 looms, the number of breakdowns increased more than 10-fold, an unsustainable level for actual production. However, this large-scale trial allowed the research and development team to gain early insights into the failings of the new looms, which ultimately led to a faster development time.
The mechanical faults were quickly rectified, and in mid-May 1924 work began on a newly redesigned automatic loom prototype that incorporated an automatic shuttle changing mechanism. By the end of June, the wooden molds for the metal cast parts had been made, and in July the first prototype of the new automatic loom was completed. The prototype was then tested and modifications were made before the final machine was completed.

As mentioned previously, Sakichi had sold his original patent to Toyoda Loom Company in January 1913 for 80,000 yen. This meant that designs covered by that patent could not be used, which in turn meant that the new automatic loom had to incorporate new devices and mechanisms. New patents were filed for the shuttle-change automatic loom3, a warp let-off motion device4, and a warp tension adjuster5, under Kiichiro's name, and for a warp halting device6 under the names of Kiichiro and Akiji Nishikawa, in November and December 1924. Through the efforts of Kiichiro and those under his supervision who struggled with Sakichi, numerous automatic loom-related new devices were invented.
Later, in March 1925, in order to prevent human error, Kiichiro made a further improvement to the new automatic loom after he invented a Shuttle Magazine for Automatic Loom.7 This meant that when the shuttle needed to be reloaded, it couldn't be inserted into the magazine by the operator unless it was in exactly the right position. By preventing damage to the loom through human error, this device can be seen as one of the first examples of a failsafe mechanism.


In a little over 20 years since Sakichi first began his study into an automatic loom, the fruits of Kiichiro's efforts had made Sakichi's dream a reality.

Source: TOYOTA MOTOR CORPORATION

For more on theory and case studies onhttp://expertresearchers.blogspot.com


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