Denmark-based Novo Nordisk is a leading global healthcare company, especially in the area of diabetes care. With six production bases globally, the products are sold in 179 countries. It has a Japan arm, which is Novo Nordisk Pharma Ltd.
Production in Japan originally started in 1984. At that time, the factory was located in Atsugi City, Kanagawa Prefecture, near Tokyo. Along with the growth of business, the company decided to move its factory to Koriyama City, Fukushima Prefecture. The Koriyama Factory started its operation in January 1998. Currently about 130 people are working at the factory.
According to Mr. Masahiko Sato, Factory Director, the factory places importance on the following four items as Novo Nordisk’s sole production base in Japan; quality control, stable supply, cost competitiveness and social responsibility. Among others, quality maintenance/improvement and production management/stable supply directly relates to the safety of our patients. A full understanding of these missions leads to enhancing the work delicacy of each employee. “Most people in Tohoku are very earnest,�Eaccording to Mr. Sato so it was very good place for a human capital infrastructure.

When we asked the reasons why Koriyama was selected as the site for the factory, Mr. Sato mentioned that it lies near Tokyo, which is a hub for logistics and all transportation infrastructures (e.g., Shinkansen bullet train, highway, airport and port) were already established. Compared to other locations at same distance from Tokyo, Koriyama’s land price was very much lower than areas located west of Tokyo. Koriyama has a rich environment and there are few natural disasters. The education level is a highly competitive edge in hiring and advances in R&D are expected. There were promotion and invitation activities with preferential treatment from the prefecture and city. Because Koriyama City had cleared all necessary conditions, it was evaluated as “an excellent factory location�Eand can be cited as a model textbook case.
As the medical equipment industry aggregation project led by Fukushima Prefecture is proceeding, tie ups with research institutes in Fukushima Prefecture would be also another future possibility.
President Eilersen described Koriyama City as “a beautiful city.�EKoriyama has great nature and people enjoy a great view of Mt. Bandai from the factory. “It is not too hot and not too cold,�Esaid Mr. Sato and there are countless leisure activities available around the site through four seasons. It seems Koriyama already gained high satisfaction as an employees�Eliving location.

Novo Nordisk, the parent company, is highly evaluated in Global 500 in Newsweek. It is always ranked within the 5 best companies (3rd in 2007) as a result of an overall evaluation including Corporate Social Responsibility (CSR), environment, treatment of employees and so on. Novo Nordisk Pharma Ltd., of course, inherits such advanced corporate culture and eagerly conducts various initiatives to adjust itself to the latest global standard, such as attaining ISO 14001 for protection of the environment as well as OHSAS 18001 from the Occupational Health and Safety Management Systems. The attitude of the Koriyama Factory has been highly evaluated and recognized publicly three years in a row by authorities in Fukushima Prefecture for workplace sanitation, work environment and gender equality. This Factory thinks a great deal of exchanges with local communities including accepting internships from the College of Engineering of Nihon University and the Department of Pharmacy of Ohu University. These various CSR activities are perceived in the factory as quite common things.

With this heritage there was something that the Koriyama Factory conveyed to Novo Nordisk. It was a high level of quality control. As President Eilersen mentioned, the factory is now becoming the global standard for the Novo Nordisk Group. Mr. Sato said, “It is expected that types of products will increase and the shape may be changed in the future. We have to improve quality control and maintain a stable supply system to catch up to these changes.�EThe manpower of Tohoku will have a major role in the improvement. “It would be really hard to fully understand the missions for quality of this company unless a person has a sturdy mindset with a sense of our responsibility to patients. Most people at the Koriyama Factory are locally employed. Fortunately there are many candidates for jobs and we are succeeding in hiring good people,�EMr. Sato said.
Koriyama is just one local city but one in which a global company has firm roots. Koriyama is now showing its human capital to the world.
There is a lot of idle land at the site for future expansion. Mr. Sato lastly mentioned, “It would be really great if the business and production expanded to support lives of patients.