[Baketech]

Interesting story for it's technical aspects...fascinating for it's social ramifications....

With Japan aging, Toyota to staff factories with robots

Thu Jan 6, 1:36 AM ET Top Stories - AFP

TOKYO (AFP) - Toyota Motor will introduce robots which can work as well or better than humans at all 12 of its factories in Japan to cut costs and deal with a looming labor shortage as the country ages, according to a press report.

The robots would be able to carry out multiple tasks simultaneously with their two arms, achieving efficiency unseen in human workers and matching the cheap wages of Chinese laborers, the Nihon Keizai Shimbun said.

Japan's top automaker currently uses 3,000 to 4,000 less advanced robots at its domestic factories but their use has been confined mostly to welding, painting and other potentially hazardous tasks, the economic daily said.

The new robots would also be used in finishing work, such as installation of seats and car interior fixtures, that have been too complex for conventional robots up to now, the daily said.

Toyota plans to become the first in the automobile industry to use the advanced robots in all production processes in the future, it said without giving the timeframe.

"We aim to reduce production costs to the levels in China," the daily quoted an unnamed company official as saying.

Toyota also took into account the looming labor shortage in Japan due to a declining birthrate, the report said.

Japan's population is forecast to peak by 2006 with the average number of children a woman has during her lifetime standing at a post-World War II low of 1.29, according to the latest government data.

Japan has so far rejected calls to open up to large numbers of unskilled immigrants, fearing the effects on the country's social framework.

Toyota has been increasingly turning to robot development and plans to welcome visitors to its pavillion at the World Expo in Japan in March with humanoid robots jamming in a brass ensemble and performing hip-hop.

[ND4SPD]

The question is...will they lower their vehicle costs?

[oldfogey]

Toyota will also be one of the biggest producers in China, so it can truly compare like with like. The aim is to produce low value added components and assemby in China and high value added components and top of the range vehicles in Japan (at least for Asian sales). Toyota is the world leader in cost effective production of cars. Its market capitalisation and profits are huge. The comments make economic sense. Don't expect your Lexus to be Made in China just yet....

[luvtolean]

Originally Posted by oldfogey

Toyota will also be one of the biggest producers in China, so it can truly compare like with like. The aim is to produce low value added components and assemby in China and high value added components and top of the range vehicles in Japan (at least for Asian sales). Toyota is the world leader in cost effective production of cars. Its market capitalisation and profits are huge. The comments make economic sense. Don't expect your Lexus to be Made in China just yet....

I think that's part of it. But Baketech's comments about xenophobia are dead on based on my experiences. Also the realization it's important to keep manufacturing skills at home. Especially in regards to comparing to China.

BTW, I think it's smart. I wish the US could do something like this. But our antiquated tradition of unions would never allow it.

[oldfogey]

"Japan has so far rejected calls to open up to large numbers of unskilled immigrants, fearing the effects on the country's social framework."

This comment certainly speaks to a Japanese characteristic much different to the US or UK attitudes. Export the task rather than import the worker!

[Baketech]

Originally Posted by oldfogey

"Japan has so far rejected calls to open up to large numbers of unskilled immigrants, fearing the effects on the country's social framework."

This comment certainly speaks to a Japanese characteristic much different to the US or UK attitudes. Export the task rather than import the worker!

That's the thrust of my post....

While most evolving economies shift less desireable jobs to immigrant labor, the Japanese have taken a technological approach.

We all know the pluses and minuses of the immigrant approach, what do you thing they will be for the tech route?

[colryn]

Originally Posted by ND4SPD

The question is...will they lower their vehicle costs?

I can answer that for them. NO!!!

[oldfogey]

Originally Posted by Baketech

We all know the pluses and minuses of the immigrant approach, what do you thing they will be for the tech route?

Japan has a declining,ageing population. Economies grow on three main factors: population growth, "catch-up" investment and productivity growth. In the books you will often see the latter two factors combined as productivity growth, but I distinguish between finding a new way of doing something and building a more efficient factory that duplicates the way someone else is making something. Per capita growth comes from the latter two, but each national economy also grows if the number of inhabitants grows.

Japan is investing at too high a rate, inefficiently, compared to the US. It needs to invest in more productive ways, either by importing cheaper labour, by investing overseas in more productive factories replicating Japanese levels of productivity at lower cost, or by better management of resources in its commercial enterprises. It will continue to save at high rates for some years because its ageing population will need savings to live on, though this will reverse as these people actually retire and start drawing down their savings having stopped work. The excess investment in Japanese factories is down to apprarently cheap cost of capital, declining labour force and high labour costs plus cultural response to crisis.