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BackgroundandObjectivesofResearch
Thisresearchispartofafive-nationjointstudycalled“Globalisationand
EmploymentRelationsinAutoandBanking（GERAB）”thatwasconductedatthe
initiativeofRussellLansbury,professorattheUniversityofSydney,Australia.
ResearchersfromJapan,Australia,theUnitedStates,GermanyandSouthKorea
participatedintheinternationalcomparisonstudymadebetweenFiscal2003and2005.
InJapan,welookedintotheautomotiveindustry,focusingonitsthreesectors--
production,developmentandproductiontechnology.ResearchtargetsareCompaniesJ1
andJ2whicharetheautomakersrepresentingJapan.
OutlineofResearch
2
Inthefirstyear（fiscal2003）,weconductedinterviewsfromheadofficesoflabor
unions.Mainlyoncompanyprofilesandchangesinpersonnelmanagementand
labor-managementrelations,weconductedatotalofsixinterviews--threeinterviews
ateachcompany.
Infiscal2004,weconductedasupplementaryinterviewattheheadofficeofeach
laborunionbeforeatotalof11interviewsatthetwoautomakers'
laborunionbranches
forproduction,developmentandproductiontechnologysectorstograsproles,functions,
managementandlabor-managementrelationsateachsector.
Infiscal2005,weimplementedafollow-upsurveythroughatotalofnineinterviews--
twoateachsectorofCompanyJ1andoneateachsectorofCompanyJ2.
OutlineofReport
Thefollowingsummarizessurveyfindingsinthedescriptionof1.WageManagement
（Chapter2）,2.DevelopmentandProductionTechnologySectors（Chapters3and4）and
3.ProductionSector（Chapter5）.
1.WageandPersonnelManagementSystemReforms
Overthepastdecade,Japan'
swageandpersonnelmanagementsystemshavegone
throughastormof"
performance-related"
reforms.Howhaveoldsystemschanged
throughthereforms?
Wespecifychangesinthesesystems'
cores--①employeegrades,
②wages（basicwages）and③evaluation--throughthelatestreforms.
（1）EmployeeGrades
A.SimplificationthroughReductioninNumberofGrades
CompanyJ1revised"
jobranks"
into"
rolegrades"
andsimplifiedthegradesystemby
reducingthenumberofemployeegradestoathree-to-fiverangefromaseven-to-eight
range.Inasimilarsimplification,CompanyJ2cutthenumberofemployeegradestosix
fromaneffective10.
B.EmergingConceptof"
Role"
Thestandardforgradationofemployeesshiftedto"
roles"
from"
jobperformances."
C.PriorityGiventoTrainingofEmployeesatMiddleorLowerLevels
CompanyJ2hasspecificallypositionedthreeemployeegradesformiddleandlower
levelsasthe"
developmentstage"
inwhich"
priorityisgiventocapacitybuilding."
CompanyJ1,thoughfallingshortofmakingtrainingassystematicasCompanyJ2,
3
hasnochoicebuttoemphasizeacquisitionof"
knowledgeandskills"
in"
competency
evaluation"
forlower"
rolegrades."
（2）BasicWages
Thesimplifiedwagesystemdeterminesaframeworkwageaboveacertainlevelfor
eachrolegradeandsetsawagerangeincludingaceiling.Withinthewagerange,a
zone-by-zonewagehikesystemisadoptedtoallowperformanceevaluationratingsto
haveagreaterimpactonwagesthanthelengthofstayinazone.
（3）Evaluation
Inresponsetotheabovechangesinemployeegradeandwagesystems,evaluation
systemshavechangedasdescribedbelow:
-Settingtheevaluationsystembasedon"
roles."
-Oneevaluationpillaris"
performanceevaluation"
tocheckwhetheremployees'
performancesmeettheir"
（The"
atCompanyJ1and
the"
roleperformanceevaluation"
forthe"
atCompanyJ2）
-Anotherevaluationpillaris"
competencyevaluation"
toutilizeperformancesto
checkwhetheremployeesfilltheir"
at
CompanyJ1andthe"
role-performingactionevaluation"
development
stage"
2.Operations,ManagementandLabor-ManagementRelationsatDevelopmentand
ProductionTechnologySectors
Recentglobalizationhasledtoaracetospeedupandqualitativelyimprovethe
processesfromdevelopmentanddesigningtoproductiontechnologyandproduction.
Majorfindingsregardingthedevelopmentandproductiontechnologysectorsare
summarizedbelow:
（1）DevelopmentSector
A.Operations
Thedevelopmentsector'
soperationscoverfromconceptualdevelopmenttostepsjust
beforefactorytestproductionatCompanyJ2andtofactorytestproductionatCompany
J1.
B.Organization
Thesectorisverticallydividedbyautomotivefunctionorpartinto"
permanent"
4
sectionsconsistingofsubsections.Sectionsincludethosefor"
enginedevelopment,"
"
autobodydevelopment,"
"
transmissiondevelopment"
and"
electricalcomponent
development."
Inaddition,horizontal"
projectteams"
existforspecificvehiclesfor
development.Eachpermanentsectionincludesadepartmentdirector,sectionchiefs,
leadersandemployeesinchargeofspecificduties.Ateachhorizontal"
projectteam,"
function-by-functionleaders"
（oremployeesinchargeofspecificduties）aresupervised
bya"
projectleader."
The"
projectleader"
controlsfunction-by-functionprogressand
totalcosts.Dutiesforthesectormanagerofeachpermanentsectionincludethe
following:
①The"
projectleader,"
whiletakingtheinitiativeinselectionof"
projectteam"
members,mustconsultwiththe"
sectormanager"
ontheselection.Iftheyare
dividedovertheselection,the"
mayprevailagainstthe"
project
leader."
②The"
isresponsibleformanagingprogressoftheoverallproject.But
isauthorizedtoflexiblydistributehumanresourcesfor
progressmanagement.
③The"
alsomakesdesignplansforongoingprojectsandmanages
theirprogress.
④The"
isinvolvedincostcontrol.
⑤The"
isalsoresponsiblefordevelopingdesignengineers.
C.Jobs,AttributesandCareersofDevelopmentEngineers
The"
scope"
depth"
ofdevelopmentengineers'
careersareobservedasfollows.
Thescopeisstrictlylimited.Anautobodyengineermaynothandleanythingotherthan
theautobody.Onlyafewautobodyengineersmayberesponsiblefortheeverypartsof
autobody.Asforthe"
depth,"
anengineermaybeassignedtodesigningspecificparts
aftersomethreeyears'
service.Withinfourtofiveyears'
service,anengineermay
experience"
specifications,"
costs"
planning”whichrequireexperiencemost.An
engineermaybeinvolvedinprojectsforvarioustypesofvehiclesbeforebecoming"
a
function-by-functionleader"
aftersome10years'
service.
D.GeneralManagement
permanentsections"
shareresponsibilitiesasfollows:
areresponsibleformediumtolong-termschedules,supportedby
dailymanagementbythe"
permanentsections."
aremoreresponsibleforqualitycontrolbeyond
5
boundariesbetweenvehicletypes.
③Costcontrolorplanningisexplainedbelow.
E.CostPlanning
Costplanningrepresentsdevelopment-phaseoperationstoachievetargetcostsfor
commercialproductionofvehiclesfordevelopment.
Inaremarkablechangeoverrecentyears,costprojectionshavebeengivengreater
priorityatanearlierstage.Beforespecificvehicledevelopmentprojectsareapproved,
eachsection'
smembersrangingfromthechieftoemployeesinchargeofspecificduties
areinvolvedinestimatingfeasiblecostsstrictly.Estimatedcostsforanyapproved
projectmaybemodifiedlittleduringthedevelopmentprocess.
Suchcostplanninghasagreatimpactonlaborattheproductionsector.Cost
planningworkstosetstandardoperationhoursforplants.AtCompanyJ1,thedirect
laborcostamongkeycostsforplanningisgivencompany-wideapprovalinthe
ApprovalII"
phaseofthedevelopmentprocess.
F.ChangesinDevelopmentSectorOperations
Automobiledevelopmentperiodshavebeenshortenedremarkablyoverrecentyears.
Thishasbeenprimarilyattributabletodevelopmentprocesschanges.Thelatest
developmentprocessiscalled"
simultaneousengineering."
Soonafterconceptual
planningbegins,designingiscommenced.Thisispromptlyfollowedbydesigningof
productionequipment（attheproductiontechnologysector）.
Atechnologicalfactorenablingsuchsimultaneousengineeringhasbeendigitization
ofoperationsassymbolizedbythethree-dimensionalcomputeraideddesignsystem.
Organizationalfactorsincludedistributionofpersonnelandflexiblemanagementto
allowthedevelopmentsector'
sdesignprocesstocoincideandcooperatewithdesigning
andfabricationofproductionequipmentattheproductiontechnologysector.Intermsof
humanskills,designersaresupposedtohavebeentrainedtopredictfutureconditions
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