In the seat pad business
Promotion of structural reforms
Project Overview
- Project Name
- Project directly under the Global CEO: Building a growth foundation and creating corporate value in the seat pad business.
- Project Period
- 2022-2024
- Project Background
- Since the days of our predecessor, Bridgestone Corporation, which focused on chemical solutions, our seat pad business has needed a restructuring of its business foundation with a view to medium- to long-term growth. In 2022, with the opportunity of becoming an independent new company, we implemented a fundamental structural reform with the aim of upgrading to a more sustainable business operation cycle as a specialized urethane manufacturer.
Project Members
Domestic seat pads
Business management section manager
(Transferred from Bridgestone)
Since joining the company as a new graduate, I have consistently been involved in the seat business, gaining experience in sales, establishing overseas offices, and reorganizing offices. While balancing work and childcare, I was promoted to section manager, and currently I am in charge of managing the overall performance of our domestic business, utilizing the knowledge I have gained so far.
Main Materials Procurement Section Manager
(Transferred from Bridgestone)
My main career has been in development, where I was responsible for designing polyurethane foam formulations and evaluating new raw materials. After transferring to my current department, I was in charge of price negotiations with suppliers and cost improvement work, and I am currently a section manager.
Head of domestic seat pad manufacturing
(Transferred from Bridgestone)
After joining the company, I started my career in materials development. Since then, I have gained manufacturing experience at factories in Japan, as well as in the United States, China, and Mexico, serving as the head of overseas branches. Currently, I oversee the manufacturing operations of the domestic sheet pad business at headquarters.
Seat Pad Sales Manager
(Transferred from Bridgestone)
Since joining the company, I have built my career solely in sales. I gained experience as a sales representative at the head office and the Nagoya branch, and after being assigned to Guangzhou, China and serving as a section manager at the Hiroshima branch, I have been serving as the sales manager for the seat pad business since the establishment of Archem in August 2022.
Project Flow (JOB ROTATION)
This project, launched directly under the global CEO, is a case study of how the company created value by building a growth foundation for the sheet pad business, a flagship business of Archem Group. Below, we will introduce specific improvement measures implemented in each functional department, starting from the business management department, and the background behind them.
PHASE 01 Creating a system that will be the "starting point" for building a growth foundation
~Introduction of "Monthly Performance Monitoring" by the Business Management Department~
Previously, our company managed performance based on actual results, but with the company's independence in 2022, we aimed to shift to a system that "looks one step ahead" and introduced a monthly performance monitoring system. This involves creating performance forecasts for the next three months each month and proactively taking measures against anticipated changes and challenges. As this was a project directly under the president, a great deal of speed was required at the time, but through this initiative, we succeeded in centralizing numerical information such as sales and costs within the company, leading to greater transparency in the overall revenue structure of the business and accelerating profit improvement. These initiatives were initially operated on a trial basis in Japan, and based on their effectiveness and results, they have now been widely expanded overseas, becoming a good example of value creation for Archem Global. Below, we will introduce the specific initiatives that each functional department has implemented under the leadership of business management.
PHASE 02 Specific Initiatives in Each Functional Department
[ development ]
Restructuring of the manufacturing system
With the establishment of the new company, Archem, and the resulting more compact organization, we have made a significant shift from relying on manpower to a "front-loading system *" where development and manufacturing work closely together from the upstream processes. This has allowed us to thoroughly identify and resolve technical challenges from the prototyping stage, and by collaborating with our customers on prototyping from an early stage, we have minimized rework by going back to earlier processes and reduced total costs, enabling a smooth transition to mass production and improved organizational productivity.
*Front-loading approach: A method of reducing rework and overall costs by prioritizing the consideration of anticipated issues in the early stages of a project (the development and prototyping stages in this case).
[Manufacturing]
Optimization of the manufacturing process
In the manufacturing process from mass production onward, we thoroughly implemented a system to prevent non-conformities. Managers themselves entered the manufacturing floor and focused on creating a comfortable and highly accurate working environment from the perspective of the on-site staff. We thoroughly eliminated stressors on the factory floor by changing the layout to consider workflow, refreshing inspection rules between processes, and appropriately allocating personnel. Through this "workplace-first" environment, we are establishing a strong manufacturing foundation where workers can concentrate on their tasks without hesitation.
[ sale ]
Strengthening partnerships with our customers
By becoming an independent company and transforming into a "specialized urethane manufacturer," Archem has gained direct insight into fluctuations in raw material and manufacturing costs. This allows us to provide our customers with highly transparent information based on concrete evidence, enabling us to maintain a reliable supply system and set appropriate prices. While we initially faced challenges in scrutinizing information, we believe this has ultimately led to a deeper mutual understanding with our customers and the establishment of strong partnerships.
[Procurement/Purchasing]
Purchasing power improvement based on BCP (Business Continuity Plan) *
From a BCP (Business Continuity Plan) perspective, we promoted a shift to a "multiple purchasing system" that does not rely on a specific supply chain for raw material procurement. By selecting the most suitable supplier each time through fair and advantageous transactions, taking into account quality, supply capacity, and cost, we are contributing to the overall business. This initiative required collaboration across departments and companies, such as having additional tanks installed at the factory to store multiple raw materials, but all stakeholders worked together to build a readiness to accept the changes. As a result, we feel that we have established a purchasing system that can ensure stable manufacturing even in times of emergency.
*BCP: A plan to minimize damage and quickly restore and continue core business operations in the event of an emergency.
PHASE 03 Beyond Transformation
The Business Management Department's performance monitoring led to fundamental structural reforms and swift action in each functional department, which bore fruit and enabled our seat pad business to build a robust growth foundation as a core business of the new company, Archem. This project was extremely challenging, requiring completion in a short period of two years under the direct supervision of the Global CEO. However, the persistent efforts of all stakeholders involved in Archem Group enabled us to achieve fundamental organizational reform. We believe this is a prime example of the strong unity that the new company, Archem, has demonstrated.
Having restructured our business foundation in this way, we are now shifting to a growth phase aiming for further leaps forward. Moving forward, each functional department will continue to work closely together as "One Archem" to strive for the creation of new value.
Message from project members to job-seeking students
Our company has a positive corporate culture that encourages teamwork across departmental boundaries to tackle ambitious goals. In the procurement department where I work, we collaborate with overseas bases in the United States, China, and Southeast Asia, leveraging our global network to select high-quality and competitive suppliers. The most rewarding aspect of our work is not just the selection process, but the ability to work together with development, manufacturing, and sales teams to move projects forward, utilizing the expertise of each team member, with the goal of mass-producing polyurethane foam that will delight our customers.
Archem 's seat pad business has three locations in Japan and six overseas, with a field of activity spreading all over the world. Through my own repeated overseas assignments, I have not only acquired technical and business skills, but also met many colleagues from across borders and seen many "amazing views" that can only be seen by those who have been to those places. At Archem, if you raise your hand, you can challenge yourself on the world stage. Come and experience the world with us and create new value.
Having taken a new step forward as Archem in 2022, we still approach our daily work with a fresh perspective. With a strong belief that "the future of the company and our own futures depend on us," we have built strong unity and collaboration not only within our departments but also across departments. This latest activity is a result of us working together as one to challenge ourselves to achieve "faster and higher goals" against the backdrop of such an environment, and we feel a great sense of accomplishment and a realization of Archem 's strength and momentum. In today's rapidly changing market environment, Archem, with its strength, speed, and solidarity to overcome various difficulties, is truly a "company that is resilient to change."
During the turbulent period of being spun off from Bridgestone, we transformed our uncertainty into energy to forge our own future. What we realized while tackling the challenge of restructuring our domestic business is that Archem is comprised of colleagues who can envision a positive future even in difficult circumstances. I myself respect them and am greatly inspired by them every day. In today's rapidly changing world, surviving and continuing to grow as a business is by no means easy. That's why we want to work with people who don't just go through the motions, but who constantly think about "what is necessary to continue growing" and act proactively. Let's create a new history for Archem together.