For differing social reasons, smaller machines need to become both simpler to use and more autonomous. That’s the verdict of Ryu Kudo, president of Yanmar Compact Equipment’s Japan region.
Question: When it comes to construction equipment, what do advanced societies have in common with developing economies?
Answer: They are both struggling with a lack of skilled machine operators. But the reason for this is very different. In advanced countries like Japan a shrinking-and-ageing population means that the industry struggles to attract and retain operators, while in developing markets the rapid transition from manual labor to the use of compact equipment isn’t keeping up with the training required to produce skilled operators.
“The answer to both challenges is to produce machines that are simple to operate and safe, with clever but not overly costly technology that can automate key functions, such as digging.” So says Ryu Kudo, the new president of Yanmar Compact Equipment’s Japan region.
Kudo may be new in the role, but he’s been with Yanmar since 2019 – and spent a lifetime in construction. Following a childhood in Hokkaido in Northern Japan watching his parent’s building business prosper, he then studied mechanical engineering at Niigata University. Mr Kudo spent 21 years working for a major US construction equipment manufacturer. His first role was to design a small wheel loader, for which – due to a lack of resources – he had to do everything himself, from the original market research to the design all major features. At the other end of his time at the company, his last role was as head of customer support for a major dealer, where he often first met customers once their machine had broken down.
“I met with over 200 customers, and I always had to start by apologizing for the machine breaking,” smiles Mr Kudo. “But relationships soon flourished and once we had fixed the problem the customer was happy – and generally bought another machine from us. It was then that I realized that designing a good machine was not enough – we really had to look after the customer from start to finish.”
Easy-to-use – and affordable
Despite the broad span of customer types in both advanced and developing economies, they often share surprisingly common needs. Mr Kudo is committed to leveraging technology to enhance the Yanmar product offering. He envisions a future where compact equipment is fitted with simple automation systems that facilitate ease-of-use, while maintaining affordability. Safety remains a top priority, and obstacle-avoidance and anti-collision technology will become standard features in the machines of tomorrow. But as mentioned above, the product is only part of the story.
“Like our tagline ‘Building with You’ suggests, establishing close customer relationships is incredibly important,” says Mr Kudo. “We intend to collaborate closely with customers, develop new service offerings and provide comprehensive training, so operators can get the most out of our machines. We need to be active partners in building our customers’ success.”
The Yanmar brand is in a leading position in its home market of Japan, and – thanks to the ubiquity of small Yanmar engines around the world – starts its entry into developing markets with the brand already considered high quality. But while the company knows how to sell machines in mature markets, it is having to develop a new approach when it comes to rapidly developing, price sensitive – but huge – developing nations.
“Yanmar CE is of course excellent at innovation, but new features need to be introduced at a pace the customer can absorb,” he says. “Fully autonomous operation, for example, is currently possible, but expensive. So, what is needed is simple and affordable automatic systems, where an unexperienced operator can, for example, press a button and the machine will conduct a simple digging operation. The features need to be appropriate and affordable for the target markets.”
Channeling the pioneering ethos of the founder
Mr Kudo is also fostering a new mindset among his colleagues. “Yanmar may be an old and traditional company, but that doesn’t mean we have to act like one,” he says. “Change is in our DNA – our founder Yamaoka Magokichi, was the ultimate innovator. He saw an unserved customer need and developed a totally new small, practical, diesel engine – an innovation that became a global benchmark. More than ever before, we need to channel our founder’s innovative spark to serve our customers’ needs.
“Having a mindset that constantly challenges us to answer the question: ‘What does the customer really need?’ is more important now than ever before,” Kudo concludes. “Yanmar CE has grown into a big business – but we must not lose sight of the exciting ‘Let’s-do-things-differently! mentality of our founder. I’m happy to encourage my team to embrace change and the innovative, pioneering, rule-breaking roots we came from.”
