A Paper on "CEO Business Meetings with Indonesian Manufacturers"
CEO Networking Program Indonesia Report
In collaboration with Ministry of Cooperative and SME, Indonesia, SME Support, JAPAN hosted 1 on 1 Business Meetings and Mixer Events on October 27th and 29th, 2015, in Hiroshima and Tokyo for CEOs from companies operating in automotive, molding, and medical equipment manufacturing industries.
19 Indonesian businesses that seek collaboration, technology and/or products from Japanese SMEs were invited to Japan.
Mainly from the auto-parts industry, 105 Japanese companies participated and engaged in 307 business meetings. Also, each venue provided seminars on entering Indonesian market and hosted mixer events in the evening as well.
“I hope for industries in both countries to prosper”
Mr. I Wayan Dipta
Deputy Minister For Production
Ministry of Cooperative and SME
Republic of Indonesia
Indonesia has the 4th largest population in the world. Especially the youth and mid-age group is on the rise and now account for 60% of the population, brightening up our business forecast fueled by future market expansion.
And, we are particularly focusing on developing automotive and auto-parts industries. Among the 1.2 million automobiles sold annually in Indonesia, Japanese automobiles make up large portion with major Japanese companies accounting for 80 – 90% of the sales. However, we depend largely on imports for parts that are provided to those auto-makers, mainly from Japan and also from Taiwan, Korea and Thailand as well.
People of Indonesia are very fond of Japanese cars. Therefore, I hope that auto-parts industry that supports those cars will prosper by linking it to automobile industry.
Furthermore, Indonesian government is also heavily focusing on medical equipment industry. The industry is potentially high demand market but domestic companies are limited to few. I believe that we could expect growth in the future in this field by having Indonesian companies collaborate with Japanese companies to co-develop and manufacture.
The main goal of this business networking event was to spur mutual growth on both sides by having Indonesian companies collaborate with Japanese companies that possess high level of technology.
As the world continues to globalize, the importance of investing overseas continues to grow. Our current President Ir. H. Joko Widodo is very active in his efforts to attract overseas investments. We will look closely into every detail and when we find obstacles we will respond immediately.
I ask that Japanese companies to expedite the decision making process in regards to investments and technological collaboration. In order to achieve prompt decision making, we will not hesitate to cooperate. Our arms are open so please inquire at any time.
Voices from Participant Companies
FUJI DIE CO., LTD.
Export Department Chief, Asean Group
Mr. Noritaka Takahashi
“We had four promising responses”
Our company is a manufacturer of metal molding products using “FUJILLOY” to produce various molds for auto-parts. Currently, we have a plant in Indonesia but in addition to Japanese companies, we are considering expanding our services to local Indonesian companies as well, so with that in mind we decided to participate in this CEO Networking program.
The 5 companies we met at the event had never used “Fujilloy”, so after providing an introduction to our molds and its long life expectancy, lesser need for replacement and the cost merit from these features, we were able to receive enthusiastic responses from four Indonesian companies to contact our local factory in Indonesia. We hope for them to visit our factory and provide samples to meet each needs for their evaluation.
I was able to meet all of the companies I had requested largely due to the tireless preparation by the management staff to arrange the schedule effectively. As I have attended many events where I did not get to meet everyone that I request to see due to scheduling difficulties, I greatly appreciate the dedication to pre-arranging the schedule.
FUJITA Medical Instruments Co., Ltd.
Mr. Hironobu Maeda
“We had offers to be partners for collaboration!”
Our company manufactures, distributes and imports medical equipment. We mainly handle surgical equipment and manufacturing of machines for neurosurgery, but we had not dealt with electronics in the past. We took the opportunity after receiving a grant from Ministry of Economy, Trade and Industry and began developing medical products linked with smartphones in collaboration with manufacturing industry.
The completion of the product will take a bit more time, but I participated in this event to cultivate overseas markets as it will be necessary moving forward. Participating in this networking program is a great help since our company does not possess sales force nor the know-how to market overseas.
Through this event, many companies found our products to be of high quality and have a great cost-performance ratio, and we received responses saying, “we want to be your partner and collaborate.” For a company that does not currently have overseas market, this business meeting event was a very valuable and beneficial outing.
Also, by having SME Support, JAPAN act as an intermediary, it lowered the hurdle tremendously to find potential partner companies. I was also deeply grateful that advices were given on topics covering cautions on when exporting products and national and cultural traits which were all specific and practical.
Okatsune Gears Manufacturing Co., ltd
Director, Finished products division
Mr. Yoshiyuki Takabe (left)
Manager, Tokyo branch
Mr. Yoshinobu Kani (right)
“I participated in the event with a decision to expand market in Indonesia with Vietnam as our base”
Our company mainly design, manufacture and distribute washers and also operate in automobile maintenance product sector as well.
We are currently pro-active in expanding markets not only in Japan but overseas as well. Actually, our company has participated in several business networking events sponsored by SME Support, JAPAN for various Asia and ASEAN regions.
Last year, we established a plant in Vietnam to reduce production cost and SME Support, JAPAN provided us with great support with helpful advices. In moving forward, we would like to strengthen our sales and marketing department as well. Given our situation, we participated in last year’s business matching event with Vietnamese companies, and we met a very valuable distribution company based in Hanoi. We signed a contract with that company and have ongoing projects at this time.
I decided to participate in this event to cultivate Indonesian market with Vietnam as our base point. I often hear concerns stating, “Aren’t Japanese products expensive?” but we believe that we offer advantageous quality, function, long life cycle and detailed after-care maintenance work, which gives our products competitive cost merit as a result.
These business matching events are unique opportunities to meet many overseas companies without having to go abroad. Our company will continue to participate pro-actively in these events.
KINKI ROENTGENINDUSTRIAL CO., LTD
Mr. Kenji Katsube (right)
General Manager and Technical Dept.
Mr. Yuichi Katsube (left)
“We were able to establish an indispensable network”
Our company was founded in 1946 and specialize in X-ray devices.
We manufacture and distribute mainly X-ray devices used for diagnosis in otolaryngology and dental fields, and in addition we also manufacture and sell industrial X-ray generation devices, shoes, and non-destructive testing equipment for semiconductors.
In the future, our company is considering overseas development in Indonesia, Vietnam and Thai among other ASEAN countries, so we looked forward in finding partners who would be our distributors through this event.
The import company which handle mainly medical equipment also deals X-ray diagnosis devices which is our specialty so I felt a big opportunity. This particular company happens to hold the Chairman position in the Medical Equipment Association so we feel that we have gained an indispensable network. We look forward in working on actual projects. Prior to this business matching event, we were provided with information on Indonesian companies which allowed us to prepare well for the meetings.
KYOWA SEISAKUSHO CO., LTD
Director and Group Manager, Sales Group
Mr. Hitoshi Togawa
“I was able to collect industrial information and confirm technological level of local companies”
We manufacture construction machine and robotic parts mainly with durable ductile and gray cast iron. Customers seek not only quality but also price for this material, so we have set up a company in China for manufacturing and sales.
For this CEO networking event, we wanted to meet companies from our industry and was able to collect industrial information and confirm technological levels of respective companies. In the past when we participated in the ASEAN CEO Networking Program, the companies we met from Indonesia, Thailand and Singapore were not a direct technological match, but in this event we met companies with promising technology. The excellent aspect about this networking event is that it is held often and support from expert advisors are available to accompany the meetings.
NIHON PARKERIZING HIROSHIMA WORKS CO., LTD.
Mr. Masahiko Dai
“The technology level and enthusiasm towards business both exceeded my expectations”
We were founded in 1940 and since then we have been involved in metal surfacing, manufacturing and sales of road signage, etc.
We regularly and pro-actively participate in SME Support, JAPAN’s CEO Networking events, and we are maintaining business relationships with the company we met at “CEO Networking Event” with Thailand’s auto-parts makers last May and have visited their company in July.
We are currently operating in Thailand and we are interested in developing businesses in Indonesia, Malaysia and ASEAN countries. We participated in this event to find business partners in Indonesia and to analyze local companies’ technology standards.
All the companies we met possessed the equal standard of technology as those from Thailand and the enthusiasm about business far exceeded my expectations, which gave me confidence for further development potential.
We were able to confirm information on Indonesian companies prior to the networking event, so we were able to focus and effectively conduct our business meetings.
Scene from the Mixer Event
After the 1 on 1 meeting sessions, Mixer events were held in the evening, which offered a support desk to help find optimal matching, and furthermore, every Indonesian representatives were provided with interpreters. In this particular event, tables were strategically assigned with pre-arranged groups to help facilitate seamless exchange of information among suited Indonesian and Japanese companies. Due to this set up, a robust mixer session was held.
Indonesia Seminar & Business Meeting Outline
Event Date: October 27th, 2015
Venue: Hotel Granvia HIroshima
Event Date: October 29th, 2015
Venue: Hyatt Regency Tokyo
SME Support, JAPAN will continue to strive in providing valuable business networking events for overseas companies and SMEs in Japan. For those who could not participate in this event, please consider joining us next time.
We look forward in meeting you in the future.
Organization for Small & Medium Enterprises and Regional Innovation, JAPAN
37th Mori Bldg. 3-5-1, Toranomon, Minato-ku, Tokyo 105-8453, JAPAN
Phone 81+3-5470-2375 FAX 81+3-54701527