APO News November 2009 Issue
APO News November 2009 Issue
APO News November 2009 Issue
Volume 39 Number 11
APO news November 2009
S
ecretary-General Shigeo Takenaka began ity professionals; and two-tiered projects. Three
his statement to the 50th Workshop Meeting pilot in-country projects were held in IR Iran,
of Heads of NPOs (WSM) by conveying India, and Pakistan in 2008, similar ones in Fiji,
sincere gratitude to the Government of the Philip- Indonesia, and Cambodia this year, and others are
pines for its generous support and cooperation in scheduled toward the end of 2009 for Thailand,
hosting the meeting, singling out Executive Sec- Lao PDR, and Bangladesh. Thus, by the end of
retary Eduardo Ermita for gracing the inaugural this year, more than 200 productivity practitioners,
session and delivering the keynote address, APO 60% from NPOs, will have been trained.
Director for the Philippines Margarita Songco, and
Development Academy of the Philippines (DAP) Two-tiered projects combine a multicountry
President Antonio D. Kalaw, Jr., for particular ap- project with follow-up national programs in mem-
preciation. The Secretary-General remarked that it Secretary-General Shigeo Takenaka ber countries. The APO first experimented with
had been a “hectic year” for the Philippine NPO, this in 2006 in a project on energy efficiency and
since the DAP had also hosted the Eco-products 2004, we had a combined total of 64 seminars, renewable energy for SMEs organized jointly with
International Fair (EPIF) in March. symposiums, and workshops on various topics the ASEAN Foundation, when a regional train-
but only 12 training projects. While I do not deny ing workshop was followed by national seminars
Takenaka pointed out that the 50th WSM was the usefulness of the former three, they were sim- in five ASEAN members. In 2007, the idea was
expected to finalize the APO Program Plan for ply too numerous.” He gradually made training tested with a One Village, One Product movement
2010, reconfirm the hosting of projects, and report courses the main vehicle for imparting skills and project in the Mekong region financed with a
the schedules to enable the Secretariat to start knowledge and by 2008, seminars, symposiums, special cash grant from the Government of Japan.
preparations. He warned, however, that “given the and workshops totaled 24 and training courses, After those successful experiences, the two-tiered
persistent yen appreciation, more adjustments, including e-learning, also totaled 24. In quality scheme was officially launched in mid-2008 with
probably by taking a few projects off the list” may terms, training courses now include examinations three multicountry projects followed by nine
be needed. The Secretary-General pledged that to gauge learning, courses leading to certification national-level follow-up programs in 2009, at-
the priority would still be to maximize benefits to are offered, and manuals, which are available on tended by 464 participants. Nine to 12 national-
member countries. the Web site, are published to accompany many. level training courses as follow-ups are planned
for 2010, noted the Secretary-General.
Another important task was reviewing the pro-
posed priority list of 2011 and 2012 projects to “...we must think ahead “The second area I would like to report on is our
assist Directors in determining total member- initiative to make full use of IT. Our star per-
ship contributions for the next biennial budget at
and explore new actions former here is e-learning courses,” said Takenaka.
the Governing Body Meeting (GBM) in Kuala to make our organization While acknowledging that some member countries
Lumpur. The same procedure was to be followed had been “caught off-guard” at first as they were
as at the Hanoi WSM in 2007, when prioritization more effective and relevant unfamiliar with the new mode, acceptance quickly
criteria were new topics, contents, or outreach; in the next half-century.” followed because e-learning attracts numerous
proposed at the GBM/WSM; proposed by re- participants impossible to reach otherwise. In
source persons and participants; and supported by 2008, the APO organized five e-learning courses,
the survey results received from member coun- Secretary-General Takenaka then summarized each in three phases involving five countries in
tries. The Secretariat had added two additional achievements since joining the APO in 2004, the same or neighboring time zones. Theoretically
criteria this year: projects that member countries focusing on efforts to: 1) enhance the capacity 1,500 participants can be trained annually; the
are committed to hosting; and training courses, building of NPOs; 2) take advantage of new op- figure for 2008 was around 1,450.
explained the Secretary-General. “APO resources portunities provided by IT; and 3) undertake more
are limited, especially with the constraints result- projects that generate visible, measurable impacts. Expressing his pride in the contents and delivery
ing from the global financial crisis continuing to To enhance the capacity building of NPOs, the of e-learning courses, Secretary-General Takenaka
affect member countries. Therefore, it is gratifying emphasis had shifted from Category A to Catego- credited APO officers for developing “a successful
to see member countries volunteer to host APO ry B projects, he said. “Delays in achieving this recipe for interactive, lively e-sessions” blending
projects and bear all local implementation costs in had been criticized either directly or indirectly at lectures by experts with observational visits to
a genuine spirit of mutual cooperation. Under the both GBMs and WSMs until just a few years ago. local facilities, group discussions, and country
current circumstances, we believe that we should I am very glad that the issue has been settled in a presentations, followed by face-to-face courses
make the most of their generosity,” he added. way that satisfies the needs of member countries,” on advanced versions of the topics. A total of 331
Takenaka stated. participants from 14 member countries enrolled in
The Secretariat emphasizes training courses be- the e-learning course on energy auditing conduct-
cause of their tangible, measurable contributions Two new initiatives bolster Category C projects: ed earlier this year, of whom some 60% were from
to member countries. Takenaka recalled that, “In in-country programs for developing productiv- the private sector. Almost 95% rated the course as
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APO News ● November 2009
either “as expected” or “more than expected,” despite occasional technological and quality awards was being compiled, and the Secretariat was conducting
glitches. a survey on the impact of quality awards on business. “With the cooperation
of all interested parties, I am sure that we will see good results soon,” the
The third area addressed by the Secretary-General was efforts to generate vis- Secretary-General anticipated.
ible, measurable impacts. He believed that the EPIFs had contributed more
to the visibility of the APO and host NPOs than any other project, with the “In my first appearance as Secretary-General at the GBM in Tokyo back in
latest in Manila attracting more than 80,000 visitors. Takenaka cited the APO 2005, I emphasized the need to strengthen ties with other international or
Productivity Databook series as an important breakthrough in providing com- productivity-related organizations. In line with this thinking and in search of
parable productivity data on member countries. “We are continuing to make new knowledge and insights, we have increased the number of study missions
improvements in its methodology and coverage and will soon release the Asian to North America and selected countries in Europe,” commented Takenaka.
Growth Map on the APO Web site which will give the most updated quarterly He pointed to good working relationships with the OECD and ADB and the
growth statistics on member countries’ GDP. We are hoping that the data will new relationship with PAPA and other organizations in Africa, but added that,
provide useful information for analyzing regional growth and identifying po- “Looking back at our record, I cannot help feeling that we could have done
tential investment opportunities,” he reported. To strengthen the institutional more.” He hoped to explore that possibility during the rest of his second term.
capacities to compute total factor productivity, the Secretariat is now assisting
the Mongolian Statistics Office, with previous such missions sent to Indonesia Many of the initiatives the Secretary-General described were only two or three
and Fiji. “When all these efforts bear fruit, their impact on member countries years old, partly because under the two-year rotating budget system many new
will be significant,” predicted Takenaka. initiatives could not be introduced until projects proposed two years earlier
were completed and partly because organizational and administrative reforms
The Secretary-General was pleased to note that since 2004, the number of took precedence earlier. Takenaka allowed that there was room for improve-
projects on food safety and number of participants had increased substantially ment in the initiatives and therefore hoped that for another two years or so,
in response to member countries’ concerns. He expected that participants at- the main features of program composition would not change. Those initiatives
tending the 50 related projects from 2004 would surpass 1,600 by the end of originated from ideas expressed at WSMs and GBMs, including shifting em-
2009. After hiring an expert on food safety with five years of experience at phasis from Category A to Category B and C projects and making more use
the Codex Alimentarius Commission as a Secretariat Agriculture Department of IT. “The point I want to make,” emphasized the Secretary-General, “is that
program officer this year, he was confident that the APO’s impact on member WSMs as well as GBMs have been a source of good ideas and inspiration for
countries in this area would increase. all of us in the APO and particularly for the Secretariat.”
Project impact evaluation and the pilot center of excellence (COE) were still Secretary-General Takenaka concluded his report by reminding all delegates
very new and the results had not been confirmed, Takenaka granted. However, of the 50th anniversary of the APO in 2011: “That means that we must think
the evaluation team’s tentative findings show that APO projects generally ahead and explore new actions to make our organization more effective and
benefited participants, their departments, and their organizations, as presented relevant in the next half-century. I am sure that this WSM will provide a good
in another session. A two-year plan for a pilot COE on business excellence in opportunity to share views among yourselves and with the Secretariat on this
SPRING Singapore was in place, a database of experts on business excellence issue.”
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APO News ● November 2009
Productivity methodologies, tools, and techniques
Work sampling—Kok Seong Lee
Work sampling is a widely used basic industrial engineering technique 7. Conduct observations.
designed to determine the rate of occurrence of a certain activity through 8. Perform analysis and evaluation.
random or fixed-interval observations. It can be applied in manufactur- 9. Take corrective actions and follow up.
ing, service, and office operations to a group of workers and/or machines.
Analysis of the data collected will show how well the workers and ma- Case study
chines are utilized and help to identify areas for improvement. Work sampling was used to determine the productivity of a fruit juice
production line of a beverage manufacturing company.The activities of
Work sampling is used to: 24 workers and technicians were observed for five continuous workdays
1. Determine the time spent by each worker or machine on productive or over two shifts. The results, based on 2,200 observations, showed that on
nonproductive activities such as delays or interruptions during working average, the workers spent only 50.2% of their working time on produc-
hours; and tive activities. They spent a large proportion of their time on unproductive
2. Establish a standard time for each manual task or operation. The activities such as waiting for materials or performing tasks that were not
standard time can be used for manpower planning, work distribution, related to their work. The average overall equipment effectiveness (OEE)
production planning, and costing, among others. of the production line was only 32%.
When carrying out a work sampling study, a sufficient number of obser- The study revealed that the low worker utilization rate and OEE were
vations must be made to ensure that the results accurately reflect the work mainly due to the long setup time for the production line and stoppages
performed. The following statistical formula is used to help determine such as machine downtime and other delays due to poor planning. After a
how many observations should be made: detailed analysis of all the contributing factors, an action program includ-
ing rearrangement of the work sequence, elimination of all unnecessary
activities, and standardization of work procedures was drawn up and
N = 4 p (100–p) implemented. As a result, the OEE of the production line was increased
A2 by 24% to 56% and the total crew size was reduced from 24 to 15 workers
for the two shifts.
where p is the estimated percentage of time spent on the activity, A is the
limit of error expressed as a percentage, and N is the number of observa- Contributed by Managing Director Kok Seong
tions to be made. For A in most situations, a 95% confidence limit with a Lee, QMC Resources Center Sdn. Bhd., Malayisa,
±3–5% limit of error is required. Observations should be recorded over a resource speaker for the APO training course on
period of days or weeks so as to reduce work variations during the period the Development of Productivity Practitioners:
of study. Basic Program.
“I try to get them [employees] to think beyond addressing the immediate “We in South Asia are custodians of an ancient civilization and a rich
task to how we may help this client be more competitive in a globalized heritage. The South Asian tapestry is a wonderfully vibrant and colorful
world. They see I love thinking about the issue, they start thinking cre- weave of races, religions, ethnic communities that bear testimony to the
atively, they imagine their work having a big impact—and they see the great variations of history which the region has experienced.”
link between this future and what’s right in front of them.” Shaukat Aziz
Kris Gopalakrishnan
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APO News ● November 2009
Private-public partnership in the 3Rs
As a part of its Green Productivity (GP) initiatives, the APO, in col- Second, a 3R program is best implemented through a comprehensive “resource
laboration with the Japan Productivity Center, organized a workshop on recycling model plant” comprising a private recycling plant, privately financed
The 3Rs in Japan, 28 September−2 October. It was the fourth of its kind thermal recycling plant, landfill sites, and research facilities. These are clus-
to impart knowledge of 3R approaches and their applications in Japan tered to achieve both economy of scale and efficient recycling. This was evi-
and the region. The following article was contributed by one of the 18 dent at the Sai-no-Kuni Resource Recycling Factory, where thermal recycling
workshop participants from 14 member countries, Chief Strategist of by Orix, food waste recycling by I’ll Clean Tech, and recycling of fluorescent
Kairos Management Technologies Reylito A.H. Elbo, the Philippines. tubes by Um-Welt Japan are integrated.
T
he fundamental relationship between Third, another good business model is the integrated operation of recycling
the 3Rs (reduce, reuse, and recycle) and facilities at Re-Tem Corporation, which performs “urban mining” of used
sustainability deserves special attention. metal and electronic/electrical equipment. Used products are disassembled to
If the 3Rs are the “trees,” sustainability is the recover materials. Re-Tem is known as the cost-effective operator of the Japan
“forest.” The United Nations defines the 3Rs as Recycle Improvement Committee established in 1998.
a strategy to “meet the needs of the present with-
out compromising the ability of future genera- Fourth, many Japanese organizations practice “design for the environment,”
tions to meet their own needs.” The recent APO and Mitsubishi Electric collaborates with those efforts to reduce toxic ele-
Reylito A.H. Elbo workshop in Japan demonstrated strategies for ments and waste. Mitsubishi Electric also established 48 Hyper Cycle Systems
implementing the 3Rs not only as a profitable business undertaking but also plants nationwide for end-of-life home appliances and office equipment. These
as a crucial tool to protect the environment, which is a clear case of ensuring plants, including the one in Chiba prefecture visited by participants, show the
corporate profit with honor. Workshop participants learned the following. 3Rs in action with maximum recovery and reuse coupled with safe disposal.
First, Japan has many specific, focus-oriented national regulations designed In all these examples, it was easy to identify the formula for success: strong
for easy implementation of the 3Rs, unlike the watered-down versions in many private-public partnership. Without this, 3R initiatives cannot contribute to the
countries. These include the Promotion of Recycling of Containers and Pack- ultimate goal of sustainability.
aging Law, Home Appliance Recycling Law, Food Recycling Law, Construc-
tion Waste Recycling Law, End-of-Life Vehicle Recycling Law, and Green
Purchasing Law.
Along with a report on the evaluation of 2008 projects, the Secretariat made Industry and Service Committee at the Strategic Planning Session
special presentations on four topics: the newly revised prioritization criteria
for the 2011–2012 projects; knowledge management initiatives; the individu-
al observational study mission program; and the two-tiered project approach. In his closing statement, Secretary-General Shigeo Takenaka listed the major
The concurrent strategic planning sessions were conducted on the second achievements of the WSM and confirmed the follow-up to be conducted by
day. the Secretariat. Regarding the 2010 projects, he stated that, “There was no
mistake that member countries demonstrated their preparedness and firm
On the final day, before the closing session, delegates visited Philippines commitment to host the projects assigned to them, for which I am truly
Cut Flower Corporation (PCFC), the largest single grower, wholesaler, and grateful and much encouraged.” Discussing 2011 and 2012 projects, he
supplier of premium roses in the Philippines, located in Tagaytay City, 55 mentioned that “our prioritization exercise at the present WSM has helped to
km from Manila. After touring one of the PCFC greenhouses, the delegates stabilize the biennial budgeting system.” He cited it as an important achieve-
heard a presentation on PCFC’s business strategy, focusing on its successful ment and attributed it to delegates’ active participation and unfailing support
e-commerce activities. On the return to Manila, the delegates took the op- and cooperation. Secretary-General Takenaka concluded his statement by
portunity to view Mt. Taal, at 400 m the smallest active volcano in the world, conveying sincere appreciation to DAP President Kalaw and his “ever cheer-
and visited the nearby DAP Conference Center and Hostel, which sits on a ful staff members,” who made the meeting a great success.
4.8-ha site ideal for live-in training courses, seminars, and workshops.
5
APO News ● November 2009
Energy efficiency in Germany
E
nergy efficiency is the key to sustainable development and national
energy security. Awareness of this and increasing energy demand in the
Asia-Pacific region led the APO to organize several projects on energy
management and energy efficiency. The most recent was an observational
study mission to Germany on Energy Efficiency, 27 September−1 October, in
collaboration with Adelphi Consult GmbH. Twenty-five energy profession-
als from 13 member countries attended along with APO expert Arvind K.
Asthana. Twelve presentations and nine site visits were packed into the five-
day mission. Each demonstrated energy efficiency initiatives in Germany and
dealt with the introduction of governmental policy and support, best practices
of energy efficiency in industries and buildings, and renewable energy applica-
tions by public and industrial facilities and institutions.
The importance of governmental intervention and support for improving en- Examining a model of the energy system of Berlinbioteckpark
ergy efficiency was underscored by a presentation from Energy Efficiency Pol-
icy Division Deputy Head Michael Schütz, who explained Germany’s short- Reward requirements include a 25% CO2 reduction in the past five years, con-
and long-term energy policy with various laws, directives, regulations, and tinuing reduction in energy consumption, and energy management.
incentive programs. The visit to the Federal Environmental Agency showed
the German government setting an example in energy efficiency. The agency’s The mission also provided an introduction to new ideas and technologies. At
headquarters were designed to maximize energy conservation and air hygiene. Puls Energy House, participants toured an energy-efficient demonstration
The construction materials and design reduce electrical consumption with the house equipped with vacuum insulation, fresh air circulation, and passive
use of natural light, energy-efficient work and cooling systems, and waste heat. cooling from the rooftop. Martin Pool of Pool Architekten gave a presentation
on design and technology, and the need for zero-energy buildings was appreci-
Other site visits provided concrete examples of best practices in energy ated by all participants. At Humboldt University’s Physics Institute, Project
systems and infrastructure. At the Berlinbiotechpark industrial complex, the Coordinator Marco Schmidt explained the technical details behind rainwater
utility system is centralized around a common cogeneration plant, wastewater management and adiabatic cooling systems.
treatment, and security system. The utility cost reductions benefit every com-
pany in the park. At UFA Fabrik, an 18,000-m2 international cultural center, “What touched me most was the basic fundamental success factors in all these
an innovative ecology system includes rainwater collection for water and toilet practices and activities. This embodies the German people’s passion for living
use, a solar system producing 53 kW, wind turbines producing 700 kW, a com- in a sustainable environment,” commented Chairman Luk Chau Beng, Insti-
bined heat and power plant, and green rooftops. Evangelic Hubertus Hospital tution of Engineers, Malaysia. Participants were advised to establish future
is a Friends of the Earth’s Energy Efficiency Award winner for its outstanding strategies and action plans for applying these best practices in the Asia-Pacific
contribution to energy savings and climate protection in the medical sector. context.
The mission members also paid a courtesy call on APO Secretary-General of industrial and management education. It also helped me have a better
Shigeo Takenaka on 7 October. During their visit, the Secretary-General understanding of the roles and functions of the APO. I think that this pro-
explained the APO’s efforts to improve its training courses along with gram was possible thanks to the close network of the KPC and JPC under
their key features and implementation procedure. “It was a great oppor- the umbrella of the APO, which makes extra efforts to promote close alli-
tunity for us to learn the current trends and practices of Japan in the area ances and cooperation among member countries,” commented Yeo.
6
APO News ● November 2009
New APO publications
Program calendar
January
KNOWLEDGE MANAGEMENT:
Japan FACILITATORS’ GUIDE
APO Forum for Promoting Entrepreneurship in Asia, 13–15 January
2010.
▶ Objective: To examine the concept of entrepreneurship and keys to
successful entrepreneurial activities and identify the needs of young
entrepreneurs wishing to start new businesses to promote economic APO 238 pp. September 2009
development and productivity growth in Asia. ISBN: 92-833-2402-1 (print edition)
▶ Participants: Young people involved in entrepreneurial activities and ISBN: 92-833-7087-2 (e-edition)
potential young entrepreneurs with concrete business plans for start-ups.
7
APO News ● November 2009
Nurturing productivity practitioners in Africa
T
he Roundtable Conference for the Promotion of the Productivity Move-
ment in Africa held in Sandton, South Africa, in August 2006 set the
stage for the productivity partnership between the APO and the Pan
African Productivity Association (PAPA). Since then, the APO, with financial
support from the Japanese government, has supported productivity movement
activities in Africa by sharing and transferring its knowledge and expertise
through various means. One important program is the training course on De-
velopment of Productivity Practitioners: Basic and Advanced.
“The course’s main objective is to equip NPO consultants and trainers with
productivity improvement techniques and tools to develop their competencies
in the promotion and application of these techniques in organizations and
industries,” explained Secretariat Industry Program Officer Md. Zainuri Juri. Participants displaying the results of a team-building exercise
Zainuri recently conducted the basic training course in Johannesburg, South
Africa, 7 September−2 October. “With the completion of this course, we have and activities. The highlight of the course was a four-day in-plant diagnostic
conducted four in total, three basic and one advanced, for around 130 partici- practice that included an onsite survey, observation, and problem analysis,
pants. The second advanced course is scheduled for early next year,” he noted. with recommendations provided at the end of the course. Participants divided
into two groups to conduct productivity diagnosis at two selected companies:
Acting Chief Executive Officer Bongani Coka of Productivity SA, the host Ogilvy’s Conference and Lodge; and Sheltered Employment Factories, a gar-
organization, described it as “an initiative that brings Africa and the Asia- ment factory that employs people with disabilities. The managers of those
Pacific together.” Coka also mentioned that the successful strategic partnership companies were invited to the presentations of the analysis and appreciated the
had greatly contributed to capacity building and the successful revival of the suggestions and recommendations made.
productivity movement in Africa, something desperately needed for the socio-
economic development of the continent. “The in-plant diagnostic exercise was a culmination of all that had been taught
in the course. It was a very interesting part of the course in that I was also able
The APO deputed five resource speakers from India, Malaysia, the Philip- to apply what I had learned in a real-life situation,” commented Senior Occu-
pines, and Singapore to impart fundamental productivity knowledge to the 28 pational Assessment Officer Katembu Nkanza Kaumba, National Productivity
participants from the six PAPA member countries Botswana, South Africa, Development, Zambia. “I would like to play a major role in raising awareness
Kenya, Nigeria, Zambia, and Mauritius. The four-week course was designed on the basic concept of productivity starting with my department and minis-
to teach numerous basic productivity tools and techniques as well as concepts try,” she added in describing her plans after the course.
W hen asked the most impressive thing they had learned from
APO projects held in Japan, nine of 10 participants spoke of
the unique Japanese work culture and attitude. “Ownership,
artisanship, and a strong sense of responsibility” are some descriptions
participants use when identifying the key factors underlying successful
successful,” commented
the APO officer in charge
of the workshop.
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APO News ● November 2009
Published monthly by Asian Productivity Organization, Hirakawa-cho Dai-ichi Seimei Bldg. 2F, 1-2-10 Hirakawa-cho, Chiyoda-ku, Tokyo 102-0093, Japan;
Tel: (81-3) 5226-3920; Fax: (81-3) 5226-3950; e-Mail: [email protected]; Web site: www.apo-tokyo.org