Indonesia Automotive Industries' Situation and Challenges Toward IR 4.0

Size: px
Start display at page:

Download "Indonesia Automotive Industries' Situation and Challenges Toward IR 4.0"

Transcription

1 Indonesia Automotive Industries' Situation and Challenges Toward IR 4.0 0

2 Contribution from Automotive Industry Manufacturing is one of the key industries to support Indonesia economy growth, and inside manufacturing industry, automotive related industry contribute 6% of total GDP. (Trillion IDR) GDP by Industry (2017 Q3) Breakdown GDP of Manufacturing (2017 Q3) 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 Source: BPS Others 3.31% Electricity, Gas & Water Supply 1.14% Services 5.98% Finance, Real Estate, Business Services 9.03% Transport and Communication 9.45% Trade, Hotel & Restaurants Construction Manufacturing Industry Mining and Quarrying Agriculture, Livestock, Forestry and Fishery % 10.17% 22.05% 8.21% 13.81% Others Manufacturing Industry Including Oil and Gas 42% Manufacturing Industry GDP (2017 Q3) *Chemical Industry 9% Food & Beverage 30% Transport & Equipment 9% *Metal Goods Industry 10% Related Automotive Industry and Supply Chain ( 28%) Equal to 6% of Total GDP * Some of the chemical and metal goods are related with Auto Industry 1

3 GDP per Capita (USD) Potential of Indonesia Automotive Industry Consider from the car ownership number per 1000 person, Indonesia automotive market still has the huge potential to develop in future. GDP per Capita x Car Ownership Ratio of Each Country (2016) 60,000 50,000 40,000 30,000 20,000 10,000 0 Source: Marklines, JAMA, EIU Argentina Phillipines China Turkey Mexico Vietnam 90 Brazil 223 India Thailand Indonesia Developing Countries Developed Countries Russia Korea Malaysia Sweden Netherlands Belgium Germany Austria UK Canada 594 France Japan Spain Poland Car Ownership per 1000 person Italy USA 2

4 FTA EPA Condition Surrounding Indonesia Expansion of globalization trend provides opportunity for other countries to increase their export product to Indonesia, Indonesia is facing the challenge of competition. FTA condition around Indonesia TBA (2018) EU 5% (2017) India China Thailand Malaysia 25% (2018) Vietnam Korea 5% (2016) Japan 20% 5% (2017) Challenge In front of Indonesia How Indonesia to survive the global competition Singapore Indonesia ASEAN 0%* (2010) Source: JETRO, FOURIN, ASEAN 3

5 Challenges Toward IR 4.0 (Example for using IR 4.0 technology into operation) 4

6 Our Challenges for Shifting to IR 4.0 Toward IR 4.0 to improve Productivity, Supply Chain Productivity and Trace Ability to win the competition both domestic and export Concept of IR 4.0 Initiative for Applying IR 4.0 A Productivity Improvement Improve the productivity by reducing down time with adding the sensor to the machine B Supply Chain Network Improvement Realize efficient Supply chain with the One End to end integrated system from customer to supplier C Trace Ability Improvement Trace the history of defective parts quickly and make necessary corrective action and share experience 5

7 A Productivity Improvement IR 4.0 can help manufacture to change from Preventive to Predictive Maintance to achieve Zero Down Time with adding the sensor and machine learning. Current Operation Concept W T A Production Line (inside the production plant) W T A Production Line (inside the production plant) Assembly Staff (Fix the machine after the machine broken) Before Data Tell the machine condition before broken After Line Down Time Sensor Machine Broken Machine Fixed Maintain the machinery before broken to avoid the Line down 6

8 A Productivity Improvement Toyota Indonesia already start the initiative for Zero Breakdown by IoT application and targeting to realize it in PLANT #3 ENGINE PROD. DIVISION TOYOTA MOTOR MANUFACTURING INDONESIA ZERO BREAKDOWN by IoT APPLICATION 2020 Zero Breakdown Interfacing machine and Internet prototype Concept, interfacing method and prototype making for : 1. Production Machine with Internet 2. Quality check equipment with internet Starting IoT for Quality Gate Quality gate automation, grasping initial data, creating database for analysis : Frequency Analysis Process Capability Index Cpk Trace ability with Edge Computing Enhance IoT for Deterioration monitoring Deterioration Machine check, grasping initial data, creating data base for analysis : Insulation Motor Resistance CNC battery Motor servo temperature Motor load Using cloud camera for inspection Smart Breakdown prediction system using IoT Smart Predictive System Smart prediction analysis from mechanical & electrical sensor Root cause finding self Auto scheduling for maintenance / countermeasure Proactivie alert for countemeasure progress onward

9 8 ZERO BREAKDOWN ACTIVITY UTILIZE IoT

10 B Supply Chain Production Improvement: Background TOYOTA Group has more than 50% of market share and exports accounts for almost 90% of all vehicle exports from Indonesia which currently facing tough competition. (K units) TOYOTA Group Sales Number TOYOTA DAIHATSU HINO 出所 : GAIKINDO, Internal information More than 50% M/S (x1,000 Vehicles) % 77% 80% 84% 87% 87% 87% TOYOTA Brand Source: GAIKINDO Export Number and Destination DAIHATSU & HINO Brand Indonesia Export Market Share (TOYOTA Group) 9

11 B Supply Chain Production Improvement Huge number of sales and export over 80 countries is supported by our complicated domestic and international supply chain. 10

12 B Supply Chain Production Improvement With IR 4.0, manufacturing company can monitor the total sales- production process from customer to supplier with Real Time End to End Sysytem to realize optimum operation. Current Operation Concept Production Sales Production Sales Current E-Kanban Digitalize Order System (3.0) Supplier-A Order Order Monitor Order Supplier-A Supplier-B Delivery Shorter Lead-time Logistic Monitor By GPS Order Supplier-B Supplier-C W T A Manufacturer Before Distributor & Dealer Customer Supplier-C W T A Manufacturer After Distributor & Dealer Customer System-C System-B System-A Best order allocation 11 Production Logistics Demand Supply Managed by different system (system is not linking) Customer Managed by One End to End System Integrated System Realtime Progress Checked

13 Due to the Complexity of Supply Chain, it is very cruisial to have good ability for traceability Materials Local Suppliers FORTUNER 233 TYPE DOMESTIC 2nd Tiers +700 Jabodetabek Area 130 Suppliers > items TOYOTA INDONESIA INNOVA 127 TYPE 317 DEALER Suppliers Component and Material Imports VIOS 102 TYPE YARIS 8 TYPE EXPORT 60 COUNTRY Exporters 7 Countries >2300 items SIENTA 21 TYPE

14 C Trace Ability Improvement IR 4.0 help us to trace detail production information from defective parts, like which supplier, time, operator and production lot to support speedy corrective action. Current Operation Concept Production Sales Production Sales Data Base Recording for trace ability (3.0) Report Report Report Report W T A Supplier Manufacturer Before Distributor & Dealer Report Market problem (@ Customer) Supplier Identify W T A Manufacturer After Distributor & Dealer Check Market problem (@ Customer) Need the lead time to identify the parts, supplier and Issue Improve point in production process Other Supplier Reflexion Quick Action to trace back Defective parts history - Which supplier - Which time and operator - Which production lot And make corrective action and Reflexion

15 Human Resources Development Toward 4.0 IR Human resource is the most important asset for Industry, human resource need to catch up the new skill of IR 4.0 in addition with the mastering existing skill. Necessary Skill for Human Resource by each Step Current Industry 2.0 Industry 3.0 IR 4.0 Basic Skill Communication Teamwork Discipline Compliance Task Efficiency Task understanding Effective way for implementing task Basic tool skill Productivity Operation Review Ability Machinery Engineering Skill of machine using, maintenance Data Analysis Basic knowledge of internet, technology Software using skill Data reading skill Data analyzing skill Existing Skill New Skill

16 D Human Resources Development Activities Venue We conduct HR development activities in TOYOTA Indonesia Academy not only for its own company but also for local students for long-term development of auto industry. TIA TOYOTA Indonesia Academy TIA Overview Develop HR skill to prepare future technology & production process TIA TLC & Plant Main initiatives Lecture (TOYOTA way, etc) OJT in plant Free tuition + allowance + accommodation Total Recruitment : 64 Students Graduation : 32 Graduate Subject: Maintenance : 1 year (2015) Production & Logistic : 2 year (2017) Next to support the readiness of Human Resources for Industry Revolution 4.0, we need to develop competency related Data analysis skill 15

17 Thank you!!!!!!!!