Study for service business of manufacturing industry in Japan

Abstract

The Manufacturing Industry of Japan in the 20th century was the main player for contribution to GDP and ever supplied eminent quality of products with outstanding productivity. The products "made in Japan" dominated the global market as prestigious trade mark. In this glorious tide, service functions in the manufacturing companies were however, treated subordinate to the products in spite of its importance. Now that the third industry accounts for 70% of GDP and labor force in Japan, manufacturing industries are also changing in order to supply not only the products but also the solutions towards customers amid this 21 <sup xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink">st</sup> century. Service business increases its importance in accordance to this changing. Business procedure and the evaluation seem to have quite different aspects between manufacturing products and supplying services. There might raise issues for conducting service business in manufacturing companies as the following points; a)Service business model, b) Quality and productivity of service, c) Estimation and valuation of service, d) Building management system of service business, e) Developing curriculum of business planning and managing for service business. These subjects are discussed in this paper. The Japan MOT Association instituted research committee of service business in the manufacturing industry. This paper also intends to report recent activities of this committee and the current status of service business in Japanese manufacturing industry.