Video summary

2025年度中小企業論第12回授業・ゲスト講演（東京の製造業中小企業）

Main summary

Key takeaways

Educational

Main ideas & lessons

1) Purpose of the course / guest lecture (host message)

  • The “Small and Medium Enterprise Theory” course invites guest speakers to:

    • Analyze SMEs (their history and how they function)
    • Use SME analysis to understand and internalize modern society and the economy
    • Continuously test whether theories/perspectives match real-world practice

  • Session flow (as described):

    • Today: Guest talks by representatives from two Tokyo-area manufacturing SMEs (each ~20–30 minutes)
    • Next segments (mentioned): SME resource management (people/money) and additional “SME management” content
    • Upcoming weeks: focus on small and medium-sized businesses

  • A key program is introduced: “Passionate Internship” (Moeru Internship), aimed at:

    • Attracting talent to manufacturing/SMEs
    • Supporting their HR strategy

2) Guest 1: Watanabe (Shibahashi Co., Ltd.) — SME survival through transformation + human-resource systems

Background / company identity

  • Speaker: Watanabe (Hajime), CEO of Shibahashi Co., Ltd.
  • Company profile (highlights):
    • Founded 1905 → ~120th anniversary referenced
    • Small workforce: about 11 employees, average age around 49, with efforts to hire younger people
    • Located in the Shibahashi area near Haneda Airport (Tokyo region)

How the company evolved (history)

  • Origins: metal processing / “cutting” work
  • Expansion (second generation): shifted toward designing/manufacturing/selling letterpress printing presses
  • Major shock: offset printing made the old letterpress method obsolete; sales reportedly stopped after the transition
  • Third-generation pivot:
    • When new equipment acquisition stalled, the company focused on repairing parts for imported printing-related machines
  • Father’s decision (labor strategy):
    • During Japan’s rapid growth era, the father joined/continued the business to secure workers
    • Anticipated future needs for labor-saving solutions (e.g., labor-saving machinery/robots)
  • Modernization: moved to the current location and renovated/built new facilities

Current operations: “one-stop manufacturing”

Shibahashi claims it can cover end-to-end work, including:

  • Sales + design (office)
  • Washing/assembly of small machines
  • Factory machining (NC cutting, milling) and assembly for larger systems (using cranes)
  • Maintenance support after customer use (around 3 years mentioned)

Lesson emphasized: many firms don’t fully cover mapping-to-delivery-to-maintenance; Shibahashi presents itself as capable of doing so.

Product pillars (examples)

  • Printing-industry-related:
    • Mixing devices for inks that produce precise mixtures based on data
    • Applications mentioned: textbooks, candy packaging, stamps, wallpaper, and formulations connected to cosmetic contact lenses
  • OEM pillar:
    • Producing products under customers’ brands
    • Collaboration with major and smaller partners (e.g., Hitachi, Mitsubishi, Sumitomo)
    • Example technologies:
      • Polishing reaction materials for flatness
      • Cutting to create circuit-board chips
      • Heating plastics in molds; laser/light-based material removal (e.g., ABS)
      • A fountain actuator prototype: the customer deal was cancelled, but the prototype’s value remained—showing “opportunity creation” even when deals fail

Major challenges for Japanese manufacturing SMEs (diagnosis)

  • Labor shortage / aging workforce
    • Technical school graduates not entering technical roles
    • Fewer students interested in manufacturing
    • Fewer successors due to aging skill holders
  • Technology leakage overseas
    • China / Southeast Asia recruiting skilled people to teach skills
  • Market stagnation
    • Sluggish domestic demand and declining population
    • Equipment sales depend on whether customer factories invest
  • Engineer shortage
    • Fewer engineering people
    • Knowledge-transfer problems (drawings/specs not understood by new staff)
  • International competitive pressure
    • China/Korea improving; Japan’s “best in world” advantage eroding
  • Rising costs/inflation
    • Parts cost increases erode profits between installation and delivery
  • Rural factory survival risk
    • Workforce decline especially outside cities
  • Environmental/regulatory constraints
    • Carbon neutrality rules restricting previously usable materials/processes
  • Cybersecurity / DX skill gaps
    • Small-team, family-management style in some SMEs
    • Expensive PC software upgrades; limited DX/IT/AI skills
    • IT personnel could be valuable
  • Succession problem
    • Watanabe’s son studying occupational therapy stated he will not take over

How Shibahashi responds (methodology / practical approach)

  • The core approach is described as “basic but essential”:

    1. Clarify company direction
    2. Share it with employees
    3. Build a business plan collaboratively
    4. Refresh a yearly vision and communicate it based on what was learned the previous year

  • Philosophy / values:

    • Emphasis on contributing to a “brighter future” through honest, sincere “craft/work” (the subtitle’s wording appears slightly off, but the meaning aligns with sincerity and proper work)
    • A referenced VALU value system (management policies inherited from the father)
    • Emphasis on “doing things properly”

  • HR strategy: internships as a cultural bridge

    • Problem: older skilled craftsmen were reluctant to teach young hires (“too much trouble”)
    • Solution:
      • Start Moeru Internship as a trial so young people can enter the workplace gradually
      • After repeated visits, older staff become comfortable—and begin to enjoy teaching
      • Over time (3–4 years), hire young people becomes feasible
    • Overseas hiring example:
      • Interviews held in Vietnam using a Japanese-company approach
      • Jobs offered on the spot; hiring conducted during a vacancy created by COVID timing
      • Candidate example: now in year 5; married with children; intended as a future “face” of Shibahashi

  • Workplace improvements driven by employee feedback

    • Remodel cafeteria into a meeting room plus break/lunch space
    • Update uniforms for the 120th anniversary and update the logo
    • Improve performance evaluation and training rules to match current laws
    • Goal: employees feel proactive and find purpose in Shibahashi products

  • Lesson framing

    • Japanese manufacturing “will never disappear”
    • Employees must understand why maintaining support for production sites matters
    • Internship goal: show young people manufacturing is interesting and increase the number of manufacturing entrants

3) Guest 2: Miyazaki (San Electric) — SME strengths through global niche tech + people-centered management + opportunity mindset

Background / company identity

  • Speaker: Miyazaki Yuji, Representative Director/President of San Electric
  • Personal path:
    • Liberal arts student initially with little interest in manufacturing
    • Grew into the role and found it meaningful and globally scalable
  • Company scale:
    • Sales ~90 million yen (last year); possibly 1 billion yen this year (uncertain)
    • Team of just under 100 people
  • Business:
    • Manufacturing parts for:
      • Lighting
      • Medical equipment
      • Industrial machinery
  • Organizational strategy:
    • Located in Shinagawa; many SMEs are closing
    • Works to bring companies into a group to grow together
    • Mentions decreasing number of “electric/tech” associations in Tokyo and notes government support
    • Talent-development system recognized by Tokyo Metropolitan Government and business organizations

Innovation / recognition example

  • Challenge: create a distinctive employment-branding message to attract young recruits
  • Attempted Guinness World Records (2022) for the smallest commercially available metal microcoil
  • Claims world-level specialized microcoil technology
  • Global reach:
    • Business across 20+ countries
    • Speaker visited many countries for selling (about 230 mentioned)
  • Key message: customers recognize Japanese craftsmanship/trust—small companies can still have global credibility

Definition & structure of SMEs (numbers and meaning)

  • Explanation of SMEs in Japan:

    • Japan has a very small number of “large corporations” (about 1300 from an external source, as stated)
    • SMEs are 99.7% of companies
    • Yet job seekers often picture large firms; actual large-company share is small (0.3% mentioned)

  • Productivity gap (conceptual lesson):

    • Added value and profit per person can vary by up to ~3x depending on the metric (average vs median, top vs median within groups)
    • Even within SMEs, variation is huge (top performers vs barely surviving)
    • As firms scale up, efficiency pursuit becomes easier; San Electric aims to increase scale

Manufacturing’s importance to national strength

  • Manufacturing GDP share cited:
    • ~113 trillion yen, ~20% of nominal GDP (as stated)
  • Supply chain viewpoint:
    • Material manufacturers → final products → logistics → retail → end users
    • Emphasizes students should understand their “connection” in that chain

Global competition & harsh environment

  • International pressure:
    • China ~40% (as stated) and sets global standards, expanding even in autos and space-related fields
    • Japan’s manufacturing share ~20%; Switzerland nearly 30% (comparative framing)
  • Political/economic context:
    • Mentions “Trump pushing revival of manufacturing” and tax competition abroad (framed as influencing countries’ strength)

SME survival isn’t “all fail”—a two-tier outcome

  • Closures are increasing mainly among smaller firms
  • Larger SMEs increase in number
  • Therefore, outcomes form a two-tier system: not uniform collapse, but different results depending on capability

San Electric transformation strategy (methodology / steps)

  • Core idea: seize adversity as opportunity
  • Business transformation:
    • Took ~67–78 years to change from disappearing “flat end of light bulb” to industrial components

  • Scaling and diversification:

    • Seek more business partners even in small markets to sell overseas
    • Aim to become a globally recognized core parts manufacturer for medical and industrial equipment
    • Expand “smelting” operations (related capability) overseas
    • Diversify because sales channels and markets are limited

  • People-centered management (explicit methodology)

    • “It’s all about people”
    • President invests time in questions like:
      • What is the company’s purpose?
      • What roles are expected of each person?
      • What kind of work does each individual want to do?
    • After building comprehensive strength:
      • Development, sales, improvement activities
      • Socially meaningful initiatives like internships
      • Growth strategy can be drafted on a stable foundation

  • Financial lesson:

    • Operating losses for around 4 years early in presidency
    • Recovery during COVID with sales/profit growth, then back toward long-term growth

  • Workplace culture:

    • Protect profits and employees with an essential system
    • Cultivate motivation, work ethic, and purpose; then company gradually strengthens

  • Work-life harmony concept

    • Not strict “balance” by separation
    • When work friendships overlap with personal life, life becomes more fulfilling
    • “Boundary” becomes blurred, framed as enriching rather than separating

Personal recruitment/jobhunting advice

  • Job hunting is about mentality and action

    • Large corporations have fewer roles than total new graduates; many must find living paths elsewhere
    • Early mindset matters: skills alone aren’t the biggest differentiator (except rare geniuses)

  • “Red ocean / blue ocean” marketing analogy:

    • Red ocean: trends attract many entrants → competition rises → profits shrink
    • Blue ocean: less-known markets where businesses thrive without wasteful competition

  • “Shoe-in-Africa” interpretation:

    • The same situation looks “impossible” to one person (no customers), but “opportunity” to another (few wear shoes yet)
    • Lesson: values and interpretation shape your perceived world; opportunities exist nearby if you view them differently

  • Encouragement:

    • SMEs contain “hidden gems”—broaden horizons beyond only popular companies

4) Internship segment: “Passionate Internship / Moeru Internship” (overview + schedule + learning goals)

Speakers in the internship portion

  • Announcement by the organizing group / a student leader:
    • Introduces student representative Sasaki (appears later as the announcer; Ms. Sasaki mentioned)
    • She is part of the organizing committee focused on project planning/promotion
  • The later part includes a student from Ritsumeikan University providing details

Purpose of the program

  • To show young people the appeal of manufacturing, countering stereotypes of it as:
    • “dirty / tough / dangerous”
  • Each year the program sets a theme; students are assigned to companies to:
    • Discover challenges
    • Propose solutions
  • Students gain a student perspective and produce output (final presentation/contest)
  • Past results mentioned:
    • A survey showed the number of students who would join increased by 21.5%
    • Stereotypes shifted after experiencing internships

Program logistics

  • Name: Passionate Internship / Moeru Internship
  • Duration: Two weeks / 10 business days (excluding Sat/Sun)
  • Dates: August 25 to September 5
  • Organization: jointly organized by multiple SMEs and students
  • Participation scale:
    • Nine companies participating
  • Theme this year: “SBG Management Global”
  • Final output:
    • Contest-style presentation at Juntendo University
    • Judges participate and also read submissions

Schedule (detailed)

  • Day 1 (Aug 25): Orientation

    • Gathering at Juntendo University Ochanomizu Campus
    • Includes:
      • “SBG game”
      • Introductions between students and participating companies

  • Days 2–N: Company placement

    • Students go to assigned companies
    • Assessment/improvement guided by three points:
      • S: SBG
      • M: Management
      • G: Global operations
    • Students identify insights/challenges through the placement

  • Final day (Sep 5): Contest-style presentation

    • Gather again at Juntendo University
    • Present findings in a contest format (not only a normal presentation)
    • Judges evaluate submissions and presentations

Additional activities

  • Included one-day company tour fund:
    • Students visit a company different from their assignment to compare
    • Comparison supports refining a main proposal
  • Company-by-company internship design:
    • Each company sets its own internal schedule (example mentioned for “Misawa Electric”)

Example internal schedule (from speaker’s example)

  • Shared structure:
    • First and last days are similar for everyone
  • Middle period includes:
    • Students come to the office and receive explanations
    • Factory tour
    • Practice manufacturing at headquarters
    • Meet employees close to the president (short distance hierarchy)
    • Interview employees and discuss to identify issues
  • Factory visit example:
    • If the company has a factory in Mobara, students go there, interview local staff, and do additional tours
  • Week 2:
    • Students prepare contest presentation materials
    • Present to presidents/executives and receive feedback
  • Final day:
    • Contest presentation

Learning goals and outcomes

  • Two-week format advantage:
    • More than “surface-level understanding” compared to one-day internships
    • Students see internal workings and company reality
  • Student-only access:
    • Some knowledge/trade secrets can’t be shared with outsiders, but are accessible during the internship period
  • Strength/weakness discovery:
    • Students try various tasks and learn where they shine
  • President behavior lesson:
    • Presidents challenge people; success comes from challenges, not just answers

  • Network impact:

    • Relationships continue via other internships even after the model internship

  • Emotional themes from feedback mentioned:

    • “Comprehensive and fun”
    • One student who initially disliked SMEs later became interested
    • Students worried about fitting in, but became friends and kept participating
  • Closing motivation:
    • Companies want students to take first steps and gain confidence

Actionable advice / requests to participants

  • Flyers distributed:
    • “Please feel free to take one”
    • Multiple flyers prepared

Speakers / sources featured (identified)

  1. Host / instructor (unnamed) — introduces the course and speakers; frames methodology connecting theory and reality
  2. Mr. Watanabe Hajime — President/CEO, Shibahashi Co., Ltd.
  3. Mr. Miyazaki Yuji — Representative Director/President, San Electric
  4. Ms. Sasaki — student/organizer announcer for Passionate Internship (Moeru Internship) (student at Ritsumeikan University mentioned)
  5. Program/organizing references (non-individual):
    • Juntendo University (venue for orientation and final contest)
    • Guinness World Records (mentioned as a recognition context)
    • Government/business entities (e.g., Tokyo Metropolitan Government and business organizations) that praised San Electric’s talent development system

Original video