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Manufacturing / Makers Cost Reduction Business Process Outsourcing Services

KOKUYO

Acquired a shared service subsidiary, which handles the group’s indirect operations. Reduced mistakes and improved quality through business improvement.

Challenge

Strengthening of the BPO service base

Results

  • Structural reformation through selection and concentration, aimed at strengthening the management base
  • Improved service quality and reduced the number of errors
  • Realized stable standard of quality with continuous business improvement

KOKUYO Co.,Ltd. TETSUYA TAJIMA

KOKUYO Co.,Ltd.
DIVISION MANAGER
the general affairs div.
TETSUYA TAJIMA

Quality improvement by professionals and concentration on the core tasks by reducing the peripheral duties

Although we were continuing our efforts to operate by ourselves a shared service subsidiary in Dalian with the cost reduction and quality improvement, we were seeing limitations in our capabilities. We highly regarded transcosmos’s No. 1 BPO vendor status in the Asian region and decided to go through with the M & A.
By having professionals handle thorough quality management, the number of errors reduced, and quality became stable. For even higher business efficiency, we are currently in the process of discussing more outsourcing upon reviewing our business flow of the indirect operations we are handling ourselves.
We would like to utilize transcosmos’s network and know-how in Asia to increase the amount of business we can outsource so we can lay our focus on our main line of business.
We would like to continue to have transcosmos as a business partner rather than just an outsourcer to work on each other’s projects and make a continued effort for quality improvement and higher business efficiency.

Supported KOKUYO’s cost optimization of indirect operations and its concentration on the main business

KOKUYO Co., Ltd. (hereafter, KOKUYO) is Japan’s largest office product supplier, which manufactures and distributes stationary and office products and also handles office space designs. KOKUYO has been working on business renovation and cost optimization and as part of that effort, KOKUYO grouped together indirect operations (Human Resources, General Affairs, Accounting, and Sales Support duties) of the headquarters and group companies and established KOKUYO Store Creation Commerce Trading (Shanghai) Co., Ltd., Dalian Branch (hereafter, KOKUYO Dalian).

KOKUYO was in the process of strengthening its management base in order to select and concentrate its management resources. Meanwhile, transcosmos brought up the topic of reinforcing its BPO service provision base and was proceeding with business expansion in Asia as well. Both companies’ goal of KOKUYO aiming at focusing on its main line of business and transcosmos aiming at business expansions, matched, transcosmos who holds extensive experience in BPO service and M & A in Japan and overseas including Dalian, has decided to acquire KOKUYO Dalian.

Quality improvement by utilizing business transfers with quality assurance and employee training scheme

First, transcosmos set up a joint project system with both companies, and in order for transcosmos to understand over 50 types of business duties conducted by Kokuyo Dalian, it carried out research for over 2 months both in Dalian and at major divisions of KOKUYO in Japan. Utilizing various standardized templates, transcosmos worked on inspecting the records and forms and had hearings in order to attain thorough visualization of the business duties.

Based on the research results, transcosmos designed a business transfer plan by placing priority in maintaining quality and uninterrupted business and established a joint venture company. One year as a preparation period was spent and while maintaining the current human resources system and operation system of KOKUYO’s, transcosmos underwent business process optimization, business quality assessment, and improvement measures.

Management process were reviewed for quality improvement, and quality was visualized by organizing various documents and introducing performance measurement tools. In addition, a reporting system for errors/trouble for appropriate quality maintenance was designed and important indicators in operation were established as KPI. transcosmos was successful in introducing a scheme for early detection of issues and for continuous business improvement, by continuously evaluating the figures.

Further, toward the merger one year from now, transcosmos has discussed the differences in both companies’ human resources system with employees of KOKUYO Dalian and introduced its human resources system. As a global BPO vendor, transcosmos possesses various career paths to enhance the employees’ motivation. Excellent employees would be subject to relocations and promotions, in order to achieve a smooth transfer of business duties and acceptance of the human resources.

After acquisition, by visualizing the business duties and setting KPI, the staff members’ awareness and morale were heightened, and as a result, a maximum of 50% reduction in the number of errors was achieved, resulting in a quality improvement.

Number of followers doubled and the engagement number increased by five times

KOKUYO is reviewing the business flow and organization structure to optimize its overall indirect operations, for even further optimization.

Currently, KOKUYO and transcosmos have started a joint project to discuss how the entire group’s indirect operations can be made more efficient. In addition to the outsourcing duties in Dalian, we share various tasks pertaining to processing of the indirect operations with the entire business flow in mind, and by expanding our area of outsourcing, we are aiming at attaining more business efficiency and improving productivity.

In the future, transcosmos will continue to put its know how as a global BPO vendor to use fully and, through continuous business improvement and active suggestion process, make our efforts as a business partner to contribute to strengthening KOKUYO’s business.

Services provided to KOKUYO

Services provided to KOKUYO

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