EFFICIENCY

Greymouth Evening Star, 21 December 1934, Page 10

EFFICIENCY

■ OF JAPANESE FACTORIES An all too short period of time spent in visiting factories and observing workers .'in Japan, convinced me that either we in Australia are ill-informed, or that there are influences not disinterested in ‘trade, who prefer that the general public shall remain in ignorance. Were it'otherwise how could erics of “sweated labour,” "the menace of. Japanese dumping,” and other catch phrases maintain their place in the condemnation of Japan’s efforts to support herself? Sir Harry McGowan, chairman of Imperial Chemical Industries, Ltd., England, .states: “Protection is no substitute for efficiency,” and one of the most definite impressions I formed -after- visiting many factories .in Japan and Manchukuo, was this very efficiency (writes W. J. R. Scott, in the “Sydney Morning Herald").

The recruiting of labour in Japan differs entirely from our own methods. The large factories employ what arc known as recruiting agents. These mon go out into the country districts where the struggle of the farmer and his family to exist is a very real one. The individual holdings are very small, and in many cases the family large. The agent approaches the farmer, and if the farmer is willing, contracts with him to find employment for his daughter or daughters, in the’facl.ory. The term of employment is, on the average, of two years’ duration. The agent-binds his principals on I heir part to pay wages, to clothe, house, feed, educate, and education includes a training in the domestic arts, provide medical and dental attention and treatment, sport and recreation, and a definite responsibility for Die moral welfare of the girl. At the end of the term, the girl is escorted by the agent back to her home 1 inspected in many factories the living quarters, schools, hospitals, tennis courts, basket Ball grounds, etc., and could wish that space would permit of my giving a more . detailed account of the comfort and excellence of these facilities for the workers within the factory grounds. . . .. Their conditions, both financially and physcialiy, are better than those known in their own homes. The workers generally, are happy and contented in appearance, and a majority have savings bank accounts. Their working hours average nine a day; Standards of living differ to a greater or lesser extent in different parts of the world. Between East and West they can hardly be compared. For instance, the factory worker in Japan would consider his standard of living definitely lowered were he or she asked to eat roast beef and potatoes. An Australian worker would have the same feelings towards raw fish and rice. The diet of the worker in Japan is cheaper to produce than is that of the Western worker. Ah important point this, as it has a definite bearing on production costs. • Then again there is not tho difference in Japan as in Western countries between the food served to rich and poor. It is still fish and rice, the only difference being in the quality and service.

A COTTON EXAMPLE,

Two examples of efficiency—one giving some comparisons of the English and Japanese cotton industries, and the ether showing what can be done by really efficient workers in a railway workshop They are quoted in a work entitled “The Secret of Japanese Commercial Expansion,” whose author, Mr Isoshi Asahi, was Vice-Consul for Japan in London from 1929 to 1933. The first shows Japan in 1933 as having 8,000,000 spindles. These con-

sumed 2,760,000 bales of raw .cotton. England with 50,000,000 spindles, or one third of the total spindles of the world, consumed 2,250,000 bales of raw cettop. According to figures published by the International Association of Cotton Spinnehs, the raw cotton consumed during the year ended January 31, 1934, was, England 2,440,000 bales, and Japan 3,094,000 bales. In equipment Japan has 96 per cent, of the most up-to-date plant as against 24 per cent, in England. Japan has only 300,000 looms, but o'nerhalf of that number are automatic, while of England’s 650,000 looms only of that number are automatic. In England the trades unions object to the installation of automatic looms. In Japan there are no middlemen who receive commission. In England, Australia, and in America, the middleman’s commission adds substantially to the marketing costs.

A further very important comparison is to be found on the business capital side. In Japan there are, in the cotton trade, 71 establishments with a capital per establishment of 7,680,000 yen. In England there are 207 establishments with a capital per establishment of 2,550,000 yen. But whereas in Japan each establishment has abundant reserve funds, in England, owing to the increase of capital during the boom period after and during the Great War, the production of interest and dividends is absorbing all reserves. This also explains the difficulty in replacement of obsolete equipment and plafit. RAILWAY REPAIRS. The other example deals with railway. steam and electric locomotives. A steam locomotive in Japan is taken down and thoroughly overhauled every three venrs. In 1917 4.his work look 30 days Io complete. This year, using (he same number of workers, the time taken is five days. This is unrivalled by any other country in the world, America taking 14 days, while in England and Germany it is said to take four weeks.

In Soviet Russia the Lime taken to overhaul a steam locomotive used to be 45 days. After the introduction of the five year plan Soviet Russia arranged with the Japanese Government for one of their chief engineers, with a staff of assistants, to proceed to Russia to organise the Russian railway repair shops. Under the instrujtion of these Japanese experts the Russians shortened the time of overhaul to seven days. But when the Japanese technicians left Russia, the Russians could not keep up this record, and now take 11 days.

In 1922 it look two weeks to overhaul one electric locomotive. In 1932 only eight days were required, the costs showing a decrease, of 57 per cent.

The truth seems to be. as Mr G. B. Sansom, the Commercial Counsellor at the British Embassy in Tokio, says, that “to-day in many fields the Japanese manufacturers produces a better articles than ever and at a less cost,” and that “the chief reason for this success, its underlying cause, is increased efficiency.”

My own conclusions were that the worker in Japan is neither sweated nor oppressed, he is both keen and intelligent, his living conditions are, according to his standards, quite good. His loyalty to his employer and his country must be ’ observed to be understood. These qualities play a very important part in the life of the nation.