Investment Guide to Tohoku

Yamagata 3M Ltd.: Yamagata Prefecture

Combining existing technologies, and striking out in a new direction

Yamagata 3M is the largest domestic production base of 3M™ products and manufactures a variety of products from electrical/electronic products to stationery/office supplies, and health care products. The plant consists of seven sections and manufactures as many as 30,000 kinds of products. It has created innovative products one after another since it started. “When asked about our main products we are at a loss because of our extensive business area. There is a company climate to create innovative products by combining existing technologies,Esays the president Kumada. We asked Mr. Kumada about the business outline and the manpower of Tohoku that supports the company’s climate.

Yamagata 3M Ltd.
Kunihiro Kumada, Representative Director & President

Expectations for talented people; background factor to move into Yamagata

Yamagata 3M started by manufacturing reflective materials and audiocassettes, and has enlarged the production line to thermal insulation materials for garments, optical films and so on meeting the needs of customers and society. Currently, the main forces are luminance increasing films used for liquid crystal displays for TVs and mobile phones, signs and displays, and strong adhesive tape for cars.
In 1970, the parent company, Sumitomo 3M Ltd. founded Yamagata 3M as an affiliated company of the large-scale production base in Higashine City, Yamagata Prefecture. “In addition to the merits such as taxation incentives and a low land price, I think, Sumitomo 3M had great expectations that there were many tenacious people in Tohoku and they could recruit researchers who make steady efforts,Esays Mr. Kumada. He also said that they came into here anticipating the traffic network to be developed.E
As expected, the Tohoku Chuo Expressway Higashine Interchange, JR Yamagata Shinkansen Sakuranbo-Higashine Station and Yamagata Airport are near Yamagata 3M, which provide ideal conditions as a physical distribution base. Although about ten percent of the products are exported to overseas 3M companies from Tokyo Port now, they are considering using Sendai Port in the future. From the company to Sendai Port, it takes about 1 hour and 45 minutes by truck. If the materials are landed at Sendai Port, their physical distribution system will become more rock-solid.

Complete view of Yamagata 3M located in a place ideal as a physical distribution base

Complete view of Yamagata 3M located in a place ideal as a physical distribution base

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More items by combining existing technologies

How they can efficiently manufacture no less than 30,000 items? The secret is hidden in the renewal of a production line function following the idea of ‘addition.E“We do not throw away our old equipment, and continue to use it by adding the necessary functions to it. So we can increase our items without big investment,Esays Mr. Kumada. They have over 40 Technology Platforms, as base technologies. As they combine these technologies well, they think, if the existing line is modified only a little, they can manufacture more items.
Their flexible business structure is supported by their unique system of ’The 15% RuleEthat the employees may freely do their research activities other than their regular work using 15% of their working time. The company leaves it to an individual until the research begins to sprout, and a team will be formed to warrant full-scale development if the management judges that it is a business with good prospects. This management style of the company serves as a driving force of continued technological innovation.

Environment-friendly double-sided adhesive tapes that do not contain a volatile organic compound

Environment-friendly double-sided adhesive tapes that do not contain a volatile organic compound

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To raise further technological capabilities

About 90 percent of the more than 500 employees come from Yamagata Prefecture. Although when established, for important engineering and equipment work Sumitomo 3M people were dispatched from Tokyo. Workers from Sumitomo 3M are small in number now. In recent times, some employees of Yamagata 3M have taken important posts in Sumitomo 3M. “Many people here firmly follow a rule and diligently do their best.EPresident Kumada highly evaluates the employees from Tohoku.
Furthermore, President Kumada, since he took over three years ago, has focused on collaboration between the sections because he thought that it was necessary to create an environment where the employees can share technologies, equipment and information distributed in each section, company-wide.
As a part of this, he carried out the "Plant Forum" where the engineers introduce their technologies, and bold personnel rotation. “A means to overcome a severe situation is only through technological capabilities. Now is the time we should again tackle training the personnel who support technology,Esays Mr. Kumada.

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Not only a product but also a "person" to the world

President Kumada has two dreams: One is to establish a technical center in the plant to have an environment to create a new product while the engineer confers with the customer. Sumitomo 3M has a Customer Technical Center at the Sagamihara Plant that is the central base of Sumitomo 3M. If there is a similar center at Yamagata 3M, which is the largest domestic production base, more hot-selling products can be produced.
The other is to send talented people to the management classes at U.S. 3M from Yamagata 3M. He wants to not only make a product but also a person sent from Tohoku to the world. Although President Kumada is from Hiroshima, he is completely pleased with Tohoku’s rich humanity and nature. He is also impressed by the disposition of the employees who sincerely strive for the given theme. When President Kumada's dreams become real, Yamagata 3M will grow up to be a core business that supports the worldwide network of 3M.

A digital printing press currently used for large-sized graphics such as wrapping a bus

A digital printing press currently used for large-sized graphics such as wrapping a bus

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Covered, Jan 2009

Yamagata 3M Ltd. (Japanese Only): URL: http://www.mmm.co.jp/Yamagata/
3M Worldwide: URL: http://www.3m.com/