Social Report
Customer-oriented Approach

Fundamental Policy

IHI aims to satisfy customers and gain their trust by developing and supplying safe, useful products and services that leverage technology to help meet needs in society.

Quality Assurance

Group-wide Efforts to Improve Quality

As part of a company-wide effort to improve quality, the Quality Committee, which includes representatives from Group companies, meets regularly to discuss quality issues. In FY2015, the committee focused on measures to prevent non-conforming products and services from being shipped, including by restructuring the process for preventing such problems. Also, we trained personnel on how to identify risks and we enhanced onsite inspections for this purpose.
Under the restructured process, searches for serious risks were performed when we prepared estimates, which enabled us to eliminate risks and take follow-up preventative action. To eliminate risks, individual units worked independently and also engaged in cross-sectional cooperation. Suppliers sometimes were invited to quality meetings held by IHI units responsible for manufacturing technology, design and procurement.
Employees who demonstrated abilities to identify risks were reassigned to design or quality-assurance units, where they provided on-the-job training to other personnel in these units. For any product found to have serious non-conformance issues, measures were implemented to avoid producing such products. All measures were documented to educate workers.
To strengthen onsite inspections, we reviewed each step to develop a quality-control process chart for onsite workers, and we provided related training. We also focused on assessing risks related to safety and quality immediately before the start of any construction project.
Each business operation division is responsible for its specific quality-assurance and quality-control activities. The Quality Committee reviews the results of priority measures taken by each business operation division, as well as any related problems, and ensures that knowhow is properly acquired and shared throughout IHI. The committee employs the PDCA cycle to strengthen working relationships between Group companies and to make certain that best practices for quality assurance and quality control are implemented.

■ Quality Assurance Promotion Diagram

As of March 31, 2016

Quality Management Systems

Business operation divisions conduct their work in accordance with quality management systems including ISO9001. Certification bodies conduct annual monitoring to determine if the quality systems are working and if there are opportunities for improvement. The Group's 33 affiliated companies and divisions in Japan and 40 affiliates overseas engaged in design, manufacturing or service operations have obtained quality certifications including ISO9001.
In FY2015, there was no case of a product or service being in serious violation or non-conformity with quality rules or regulations.
When ISO 9001 was revised in September 2015, some business operation divisions that had obtained this certification began revising their quality-control systems to respond to the revised standard. We also began preparing a training course on the revised ISO 9001, with implementation scheduled in FY2016.

Customer Satisfaction

Training to Enhance Customer Satisfaction

IHI conducts training to enhance product-quality management, customer satisfaction and product safety. In addition to position-specific training, business operation divisions carry out their own general training programs.
New-employee training includes etiquette and product-quality courses covering theoretical and practical elements that instill a customer-oriented mindset in new employees. Training for employees in their second year includes lectures on quality and intellectual property rights. Training for those in their third year focuses on safety and engineering ethics, and mid-level employees are provided with training on manufacturing technology. In training workshops, attendees hear about the experiences of veteran engineers and engage in group discussions.
In FY2015, each workshop was attended by more than 300 employees of IHI and group companies. In addition, IHI held training workshops on quality assurance and quality control and also provided such training online.
Four courses related to product quality and product safety were offered a total of seven times in FY2015, with approximately 130 employees participating.

Ensuring Product Safety

Safety design and quality improvement

IHI is constantly working to enhance the safety of its products. During product development, we conduct risk assessments by considering each product's usage and life cycle, as well as by designing measures to reduce risk and providing customers with information on any residual risk. When designs are altered, we conduct risk assessments of the changes, including the extent of the impact on products.
For mass products, we strived to develop more safe designs and higher quality products to respond to customers’ changing needs amid globalization, stricter environmental and safety regulations and technology advancement. Specifically, we set up a specialized design unit to streamline our standard product portfolio and standardize our designs. In the design phase, we thoroughly reviewed design processes. We also reviewed how we evaluate suppliers to ensure that they are evaluated properly beginning from the development phase to improve quality.

These efforts were shared with the Group's Quality Committee to facilitate application to other products and models as required.
In FY2015, there was no serious accident involving any product.

Activities in FY2015

■Excellent Supplier Award from Volkswagen FAW Engine (Dalian) Co.

Changchun Fawer-IHI Turbo Co.,Ltd. (FIT) was selected as an excellent supplier by Volkswagen FAW Engine (Dalian) Co. (VWED). Since 2009, FIT has been supplying gasoline-engine turbo chargers to VWED for installation in Audi and Volkswagen cars. This marks the sixth straight year for FIT to receive a VWED award in recognition of its quality, distribution or overall capabilities.

Excellent supplier award ceremony

■Three ITT Awards from Toyota Co-operation Club

Toyota Co-operation Club (TCC), an association of Toyota Motor suppliers in Thailand, presented three Winner Awards to IHI Turbo (Thailand) Co., Ltd. (ITT) in FY2015.

TCC suppliers share knowhow on plant operations to improve productivity. In FY2015, ITT received Winner Awards in the three categories that it entered—Toyota production system (TPS), human resource and development (HRD) and quality assurance (QA). This was ITT’s first entry in the TPS and QA categories. In the HRD competition, ITT was awarded for the second straight year. The awards not only demonstrated our capabilities to Toyota but also encouraged ITT to work even harder in the future.
When ITT begins increasing production in 2017, it plans to further strengthen its training schemes.

ITT’s President Takeshi Yoshihara at TCC ceremony


■New Supplier Award from Beijing Benz Automotive

Wuxi IHI Turbo Co., Ltd. (WIT) won the New Excellent Supplier Award from Beijing Benz Automotive Co., Ltd. (BBAC) on BBAC Supplier Day held in August 2015. BBAC, Daimler’s major manufacturing joint venture in China, commended WIT’s preparation for mass production and efforts to prevent non-conforming products. WIT and other IHI companies are striving to improve quality and further satisfy customers in the rapidly growing turbocharger market.

Executives of BBAC, WIT and Daimler at award ceremony


■Recognition by International Research Institute for Nuclear Decommissioning

In March 2016, IHI Nuclear Power Operations were presented a certificate of appreciation by the International Research Institute for Nuclear Decommissioning (IRID) for its construction works of mock-up facility of lower part of the reactor primary containment vessel of the Fukushima Daiichi Nuclear Power Station. The mock-up facility, constructed in the Japan Atomic Energy Agency's Naraha Remote Technology Development Center in Fukushima, is being used to develop remote-control robots and devices that will be used in the decommissioning of the power station.

IRID's certificate of appreciation

Mock-up facility of lower part of reactor primary containment vessel


■Recognition from TEPCO

In July 2015, IHI's Energy & Plant Operation was presented a certificate of appreciation by the Higashi Ohgishima thermal power station manager of Fuel & Power Company*, an in-house company of Tokyo Electric Power Company (TEPCO), for completing its regular maintenance of boilers ahead of schedule. Going forward, the unit will continue to provide high-quality, high-performance and eco-conscious solutions for the construction, reconstruction and inspection of power plant boilers in Japan and overseas, aiming to help satisfy growing needs for the stable supply of electricity and reduced fuel costs.
*Now known as TEPCO Fuel & Power, Inc.

TEPCO’s certificate of appreciation


■Recognition for equipment renewal at Himeji No. 2 Power Station

In April 2015, Kansai Electric Power Company (KEPCO) held a ceremony to mark the completion of equipment renewal at its Himeji No. 2 Power Station.
The ceremony was attended by 100 guests, including IHI Chairman Kazuaki Kama and KEPCO President Makoto Yagi, to receive a certificate of appreciation as one of the companies that helped to complete the project seven months ahead of schedule.
For the renewal, the station's power generation method was changed from steam power (2,550,000 kW; power generation efficiency of 42%) to combined cycle (2,919,000 kW; 60%). IHI's Energy & Plant Operation increased the pressure capacity of the fuel LNG storage tanks and the company's Rotating Machinery Operation constructed fuel gas compressors.
The Himeji No. 2 Power Station now boasts thermal power generation with world-class efficiency electricity.

IHI executives receiving certificate of appreciation

KEPCO's certificate of appreciation


■Shimane Scenery Award

Shimane Prefecture presented its Excellent Scenery Award to IHI Infrastructure Systems Co., Ltd. for its construction of the Tenjin River Gate. The award was presented at the 23rd Shimane Scenery Award in February 2016. The prefecture praised the gate’s unobtrusive design that does not disrupt the surrounding scenery, as well as its superior function as a water gate.

Tenjin River Gate

Award ceremony


Disclosure of Information about Products and Services

IHI is carrying out a continuing series of media campaigns, including via advertisements on TV, newspapers and the Internet, to introduce its corporate vision to the public, raise awareness of IHI and bring IHI closer to people’s everyday lives. The campaigns are closely coordinated with relevant divisions to ensure that accurate information is provided to customers and other stakeholders. In addition, precautions are taken to ensure compliance with laws and regulations, such as the Copyright Act and the Trademark Act, and related industry rules and regulations. Moreover, effects of the campaigns are monitored regularly to identify opportunities for improvement.
In FY2015, no violation of any law or regulation applicable to advertising or publicity public relations was reported.