Today we are doing better than we were yesterday. Tomorrow we will be growing ahead of where we are today.
Daifuku India Pvt. Ltd.
Corporate Excellence Category
Daifuku India Pvt. Ltd.
Daifuku India Private Ltd. is a wholly owned subsidiary of Daifuku Co. Ltd., headquartered in Japan. It was established in 1937 and has since grown into a global company with a network of offices and subsidiaries across the globe that offer design, engineering, sales, installation and after sales service of automated storage and materials handling systems. Daifuku has a global manufacturing network, and has been ranked as the world’s No. 1 materials handling system supplier for the past four years (source: Modern Materials Handling magazine). Daifuku India Private Limited (“DIL”) was established in 2005 and currently has offices in Gurugram, Mumbai, Bengaluru and Gujarat. It has close to 100 employees across India and is a key solutions provider covering not only the automobile manufacturing sector, but also factory automation and distribution.
Challenges and How They Were Overcome
India is one of the most cost competitive markets in the world. This along with an abundance of low-cost human resources makes it increasingly difficult to justify Return on Investment for the capex Daifuku’s systems demand. Further, Daifuku’s core technology is new to the market place, and requires customers who have a long-term vision to be able to justify such a capex while being comfortable to embrace and trust their factories to something that is nothing short of a paradigm shift.
Whilst Daifuku is a well-known name in advanced global economies such as the U.S., China and Europe, the first challenge was to spread the Daifuku name and create a brand image. The second challenge was to solve the issues customers face while understanding time constraints and budget among other areas. The last and most important challenge was to win customers’ trust. It is a huge leap of faith to understand and approve something based solely on power point and CAD files.
- Brand Image: Via participation in trade shows, marketing and highlighting its global portfolio and success, Daifuku was able to create a brand image in India.
- Solution: In automation, standardisation is key, but this itself becomes a major challenge when the ecosystem is anything but standard. India is a large country and the requirements are very different depending on the customer, their location and industry. To be able to solve unique challenges using Daifuku’s modular products requires a thorough understanding of the customers’ operations and going beyond just the problem statement to find the right solution. This needs an abundance of patience, due diligence and the commitment to get it right.
- Winning Trust: This is fundamental to any business. It is vital to create and maintain relationships at all the right levels to have buy-in. By truly understanding the issue at hand, going beyond just the problem statement and showcasing its competence either by logical reasoning or visits to Daifuku Japan and some of its reference sites, Daifuku was able to build trust. By executing the project flawlessly and keeping the commitments of time, budget and expectations, Daifuku was able to win long term trust.
Daifuku India Pvt. Ltd.
Main Chandivali Farm Rd.
Near Powai, Andheri(E), Mumbai, 400072, India
- Founded as Sakaguchi Kikai Seisakusho Ltd.
- First AS/RS in Japan > Matsushita Electric Industrial (PANASONIC).
- First refrigerated AS/RS (-40 degree Celsius) in Japan.
- Develops a super-Fast mini load AS/RS with the world’s fastest speed of 500 m/min.
- Establishes Daifuku India Pvt. Ltd.
- Expands business by acquisition of companies in US, Europe, Korea and New Zealand.
- Delivers Myanmar’s first AS/RS.
“To continue to provide the latest cutting-edge technology to the industry, and to be an enabler for society and mankind – all of Daifuku’s business operations and divisions are expanding in line with current social changes.”
Corporate Values and Principles
The corporate values and principles held across the company are as follows:
- Provide the best solutions to benefit the global markets and the development of society.
- Focus on healthy, growth-driven global management under a diverse and positive corporate culture.
Daifuku’s brand message Is ‘Always an Edge Ahead’ and it conveys its desire to create and provide best solutions to give customers a competitive edge. It also symbolises its flexible and outstanding workforce, possessing both expertise and a commitment to taking on new challenges and making changes for the better.
Achievements and Impact
Daifuku Co., Ltd. was established in 1937, and the Group history stretches back to 1919. In India, the Company started its first office in 2005 and this was primarily for the Automotive Factory Automation (AFA) division. In September 2016 it established a new office in Mumbai specially for the India Factory and Distribution Automation (FA&DA) division.
In less than five years Daifuku India can claim to be India’s #1 Automated Storage and Retrieval System (ASRS) company. The Company’s revenue has consistently grown and its references are found in wide range of sectors. Apart from just storage systems, Daifuku has introduced to the Indian market various picking and sorting solutions as well. Most of its customers are repeat customers, which is a testament to its commitment of customer first. Further, Daifuku India has won several accolades year after year from the TATA Strategic Management Group & CNBC TV18 or CII logistics, which further ratifies its leadership position in the market.
Company Strategy to Achieve a Sustainable Future Growth
To continue to provide the latest cutting-edge technology to the industry, and to be an enabler for society and mankind – all of Daifuku’s business operations and divisions are expanding in line with current social changes, be it automotive (electric vehicles), logistics (e-Commerce), Cleanroom (cloud storage and smart phones) or airport (baggage handling and smart airport technologies).
To have a sustainable model, along with enhancing global leadership and establishing new local manufacturing bases as and when needed, Daifuku aims to embrace and lead the Internet of Things (IoT) and Artificial Intelligence (AI) revolution.