Lifeness Co., Ltd. (Headquarters: Shinjuku Ward, Tokyo; Representative Director and Group CEO: Yukihiro Maru) has partnered with Mizuho Bank, Ltd. (Headquarters: Chiyoda Ward, Tokyo; President and CEO: Katsuhiko Kato), will host the inaugural \u201cNational Knowledge-Based Manufacturing Conference\u201d on April 12, 2024. This event serves as a platform to promote co-creation among mid-sized and small businesses\u2014which account for 99.71% of Japan\u2019s manufacturing sector\u2014and startups, with the goal of changing the world.<\/p>\n\n\n\n
Since its founding in 2002, the event organizer, Lifeness, has been operating in the world\u2019s first industry of its kind: the \u201cknowledge manufacturing industry.\u201d The knowledge manufacturing industry refers to a series of activities that combine the knowledge, discoveries, and inventions accumulated by humanity to create technologies, businesses, services, and products designed to solve unresolved challenges, and then implement them at the sites where those challenges exist.<\/p>\n\n\n\n
On June 13, 2023, Lifeness systematically compiled the philosophy of \u201cknowledge manufacturing\u201d it has cultivated over more than 20 years and published the book \u201cA New Era of Knowledge Manufacturing<\/a>\" (Author: Yukihiro Maru) has been published.<\/p>\n\n\n\n <\/p>\n\n\n\n At this plenary session, mid-sized and small businesses, startups, and financial institutions from across the country will gather to share and discuss the concept, philosophy, and practical methods of \u201cknowledge-based manufacturing.\u201d The goal is to help Japan\u2019s mid-sized and small businesses transition from traditional manufacturing to \u201cknowledge-based manufacturing\u201d\u2014a model in which they generate new knowledge to solve unresolved challenges.<\/p>\n\n\n\n <\/p>\n\n\n\n In February 2024, the Cabinet approved a bill to partially amend the Act on Strengthening Industrial Competitiveness, which newly classifies companies with 2,000 or fewer employees\u2014falling between the categories of \u201clarge enterprises\u201d and \u201csmall and medium-sized enterprises\u201d as defined by law\u2014as \u201cmid-sized enterprises.\u201d Given that the proportion of companies in Japan that have grown from mid-sized enterprises to large enterprises is lower than in Europe and the United States, the government has proposed providing generous support\u2014including tax incentives for capital investment and M&A (mergers and acquisitions), as well as tax measures to promote wage increases\u2014to mid-sized enterprises in the process of growing from small and medium-sized enterprises to large enterprises. The aim is to bolster the domestic economy, promote investment, and and foster talent development.<\/p>\n\n\n\n <\/p>\n\n\n\n *Note:* <\/p>\n\n\n\n Since 2014\u2014the dawn of the deep tech era\u2014the Lifeness Group has been promoting \u201cTECH PLANTER,\u201d an ecosystem designed to discover researchers and R&D-driven startups driven by a passion to change the world, and nurture them into businesses that contribute to solving global challenges. We have built Asia\u2019s largest platform, bringing together approximately 3,000 startup teams across Japan and six countries in Southeast Asia. To date, three startups have gone public, and we have facilitated collaborations between more than 200 major corporations and startups. Furthermore, since 2016, we have been promoting \u201cRegional Tech Planter<\/a>\"We are implementing this program in 12 regions. It has grown into a venture ecosystem with a total of over 100 regional development partner companies participating to date.\"<\/p>\n\n\n\n <\/p>\n\n\n\n However, in order to revitalize Japan, we believe it is important to focus not only on large corporations and startups, but also on the regional mid-sized and small and medium-sized enterprises (SMEs) that account for 99.7% of all Japanese companies, and to support their growth from SMEs to mid-sized enterprises and ultimately to large corporations. The National Conference on Knowledge-Based Manufacturing aims to help revitalize Japan by focusing on mid-sized and small and medium-sized enterprises (SMEs). It seeks to help these companies build management foundations that adapt to changing times through new business ventures, in-house training and talent development, and overseas expansion, while also fostering new ways of thinking that are not constrained by existing industrial structures or customs.<\/p>\n\n\n\n <\/p>\n\n\n\n Our collaboration with mid-sized and small businesses began with our encounter with Kobashi Kogyo Co., Ltd., an agricultural machinery manufacturer in Okayama Prefecture with a history spanning over 100 years. As we were working to accelerate collaboration between startups and large corporations through Tech Planter, they emphasized the importance of revitalizing mid-sized and small businesses\u2014from redefining our philosophy to promoting partnerships with startups, and then in our local Okayama Prefecture\u2014Okayama Tech Planter<\/a>The event, which aims to energize next-generation education in the community, \u201cScience Castle Chugoku-Shikoku Regional Competition<\/a>\"We have carried out numerous new initiatives in collaboration with Lifeness, such as [...]. In 2019, at the \u201c2019 Winter Open Innovation Promoters\u2019 Networking Event\u201d hosted by the Kanto Bureau of Economy, Trade and Industry, Hasegawa, an executive officer at Lifeness, and Shojiro Kobashi, President of Kobashi Industries, took the stage to present on the necessity and value of collaboration between mid-sized companies and startups. This led to which led to our application for the fiscal year 2020 project commissioned by the Kanto Bureau of Economy, Trade and Industry: \u201cSupport for the Advancement of Strategic Core Technologies (Sapo-in Project) \u2013 Commercialization Support Project (Survey on Commercialization).\u201d<\/p>\n\n\n\n Since fiscal year 2020, Ribane has served as the implementing organization for this commissioned project, providing business commercialization support to mid-sized companies and small and medium-sized enterprises (SMEs). Starting in fiscal year 2021, the initiative evolved into the \u201cValue Creation Challenge Program through Collaboration between Mid-Sized and Small and Medium-Sized Enterprises and Startups*,\u201d which focuses primarily on mid-sized and small and medium-sized enterprises, and has since generated over 50 collaboration cases. Among the companies exhibiting this time, Tochigi Seiko Co., Ltd., a manufacturer of medical devices such as injection needles, and Intelligent Surface Co., Ltd., which possesses highly biocompatible coating technologies, have formed a capital and business alliance as a result of this collaboration. Aoki Shintech Co., Ltd., whose core business was manufacturing for the automotive sector, is building a new manufacturing business in the swine farming industry through a partnership with EcoPork, which promotes digital transformation (DX) in swine farming. In addition, several other companies have been selected for the Ministry of Economy, Trade and Industry\u2019s Research and Development Support Program for Growth-Oriented Small and Medium-Sized Enterprises.<\/p>\n\n\n\n <\/p>\n\n\n\n *Reference: Results of the Value Creation Challenge Project <\/p>\n\n\n\n In addition, since 2021, Gifu Prefecture has been implementing \u201cGifu Tech Planter<\/a>\u201c\u201d (one of the regions participating in the Regional Tech Planter initiative), I met Mr. Koji Hase, Representative Director of Hase Tora Spinning Co., Ltd., a company that has been in the textile business for over 130 years and has served as a cornerstone of the local community. By combining its spinning technology with new raw materials and fabrics developed by venture companies and others, the company is advancing the independent development of eco-friendly functional fibers. In this way, it is beginning to shift from traditional manufacturing practices toward a new form of the spinning industry that contributes to the planet.<\/p>\n\n\n\n <\/p>\n\n\n\n In 2023, together with Lifeness, a startup that emerged from the Gifu Tech Planter program,Investment in FiberCraze, Inc.<\/a>We are also working to strengthen our collaboration with the company in areas such as product development and expansion into Southeast Asia.<\/p>\n\n\n\n <\/p>\n\n\n\n *Note:* Our collaboration with these two companies led to the development of a new model designed to support not only startups but also the \u201csecond founding\u201d and growth of mid-sized and small businesses rooted in local communities, ultimately contributing to Japan\u2019s revitalization.<\/p>\n\n\n\n <\/p>\n\n\n\n <\/p>\n\n\n\n As a co-organizer, Mizuho Bank is the only megabank with branches in all 47 prefectures, giving it the advantage of having each branch deeply understand the challenges and needs of local customers. In March 2023, the bank established the \u201cRegional Revitalization Desk\u201d as a headquarters function to plan and promote initiatives aimed at solving regional challenges\u2014such as revitalizing local industries, achieving carbon neutrality, and advancing digital transformation (DX)\u2014and is providing support for regional revitalization by leveraging the strengths of the network, which spans the entire country.<\/p>\n\n\n\n <\/p>\n\n\n\n In 2023, in addition to major corporations and regional financial institutions, we joined a fund specializing in deep-tech startups that had recently welcomed regional core companies as new partners. Under the theme \u201cFrom Regional to Global,\u201d we are promoting collaboration between these regional core companies and deep-tech startups.<\/p>\n\n\n\n <\/p>\n\n\n\n To revitalize Japan\u2019s mid-sized and small businesses, collaboration with deep-tech startups, mergers and acquisitions, and and establishing connections with overseas markets, particularly in Southeast Asia. Based on this belief, we have strengthened our partnership with Lifeness since fiscal year 2023 by participating as a partner in the Regional Tech Planter initiative and focusing on supporting the growth of both startups and local companies.<\/p>\n\n\n\n <\/p>\n\n\n\n <\/p>\n\n\n\n The National Knowledge-Based Manufacturing Conference is Japan\u2019s first initiative aimed at shifting from \u201cmanufacturing\u201d to \u201cknowledge-based manufacturing.\u201d It brings together mid-sized and small businesses with deep-tech startups, while also involving financial institutions and government agencies that support them.<\/p>\n\n\n\n <\/p>\n\n\n\n Amid rapid societal changes\u2014such as population decline, a low birthrate and aging population, and the decline of the manufacturing sector\u2014support for and momentum toward new business ventures are gradually building, as evidenced by the Cabinet Office\u2019s \u201cFive-Year Plan for Startup Development.\u201d To implement these startups\u2019 technologies into society, rather than seeking direct collaboration with large corporations from the seed or early stages, progress is likely to be accelerated through partnerships with small and medium-sized enterprises (SMEs) and mid-sized companies that understand the supply chains of existing industries\u2014including the integration of technologies into existing products, logistics systems, and maintenance.<\/p>\n\n\n\n <\/p>\n\n\n\n On the other hand, among the 99.7% mid-sized and small businesses that have long supported Japanese industry, there is a challenge: due to factors such as a lack of research and development and rigid supply chains, these companies often do not know what new business ventures to pursue or are unable to take action. If these mid-sized and small-to-medium-sized enterprises can break free from the constraints of the existing manufacturing industry structure, combine their own assets with knowledge from different fields, industries, and countries, and generate new knowledge as part of a team solving global challenges, they have the potential to radically transform the traditional concept of manufacturing and grow into companies that make significant strides on the global stage.<\/p>\n\n\n\n <\/p>\n\n\n\n Consequently, by combining Mizuho Bank\u2019s understanding of the needs and network of mid-sized and small businesses with LifeNeX\u2019s strengths in deep tech, we have launched the \u201cNational Knowledge-Based Manufacturing Conference\u201d to support the growth of mid-sized and small businesses as well as startups.<\/p>\n\n\n\n <\/p>\n\n\n\n The day\u2019s program, organized in collaboration with Ota Ward and other partners, will feature keynote addresses by key figures from the Organization for Small & Medium Enterprises and Regional Innovation (SME Support Japan) and the Kanto Bureau of Economy, Trade and Industry; keynote speeches and panel discussions by mid-sized and small businesses with cutting-edge examples of collaboration with startups; and booth exhibitions by mid-sized businesses, small businesses, and startups\u2014all designed to foster collaboration among attendees.<\/p>\n\n\n\n <\/p>\n\n\n\n Going forward, Ribance and Mizuho Bank will continue to promote \u201cknowledge-based manufacturing\u201d among mid-sized and small businesses as well as deep-tech startups, and support initiatives that change the world.<\/p>\n\n\n\n <\/p>\n\n\n\n <\/p>\n\n\n\n What will it take for mid-sized and small businesses to develop new concepts by 2050? The key to breaking through lies in collaborating with startups that possess cutting-edge technologies. This involves incorporating new technologies while fully leveraging the strengths the company has cultivated over many years. Alternatively, they can work together to create new technologies that will change the world. And through this process, they can build new value chains. The National Conference on Knowledge-Based Manufacturing will create a forum\u2014in the form of an exhibition\u2014where mid-sized and small businesses from across the country can meet with startups possessing cutting-edge technologies, providing a catalyst for innovation.<\/p>\n\n\n\n <\/p>\n\n\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n We are currently accepting applications from the general public. If you would like to attend, please purchase a ticket using the link below.<\/p>\n <\/p>\n <\/p>\nAiming to revitalize Japan with community-based mid-sized companies at its core<\/strong><\/h2>\n\n\n\n
Tax Incentives for \u201cMid-Sized Companies\u201d to Boost Regional Economies Through Investment and M&A<\/a>(The Nikkei)
What Are \u201cMid-Sized Companies\u201d? The Purpose Behind the New Classification<\/a>(The Nikkei)<\/p>\n\n\n\nIt all began with encounters with two mid-sized and small businesses<\/strong><\/h2>\n\n\n\n
Examples of Collaboration in Reiwa 4<\/a>\u3000\uff0f\u3000Examples of Collaboration in Reiwa 3<\/a>\u3000\uff0f\u3000Examples of Collaboration in Reiwa 2<\/a><\/p>\n\n\n\n
Hase Tora Spinning: Rebuilding as a Knowledge-Based Manufacturing Company<\/a>(Senken Shimbun)<\/span>
Hase Tora Spinning: Creating Value Through \u201cKnowledge-Based Manufacturing\u201d<\/a>(Textile News)<\/span><\/p>\n\n\n\nMizuho Bank's Initiatives for Regional Revitalization<\/strong><\/h2>\n\n\n\n
Background on the Establishment of the National Conference on Knowledge-Based Manufacturing<\/strong><\/h2>\n\n\n\n
National Conference on Knowledge-Based Manufacturing: Overview<\/strong><\/h2>\n\n\n\n
\u25a0Location: Ota City Industrial Plaza PiO, Main Exhibition Hall (1-20-20 Minami-Kamata, Ota Ward, Tokyo)
\u25a0 Website:https:\/\/km.lne.st\/<\/a>
\u25a0Program for the Day: *This is a partial excerpt.
\u25ef Keynote Speech
<\/span>\u30fbMr. Mitsuru Izumo, President and CEO of Euglena Co., Ltd.
<\/span>\u25ef Keynote Speeches and Sessions (in no particular order)
<\/span>\u30fbMr. Shojiro Kobashi, President and CEO, KOBASHI HOLDINGS Co., Ltd.
<\/span>\u30fbMr. Koji Hase, President and CEO of Hase Tora Spinning Co., Ltd.
<\/span>\u30fbMr. Yoshiaki Ishii, Senior Advisor, Organization for Small & Medium Enterprise Development (SME Support, Japan)<\/span>
<\/span>\u30fbMr. Motoki Ozawa, Deputy Director, Industry Division, Kanto Bureau of Economy, Trade and Industry
<\/span>\u30fbMr. Masahiro Samejima, Partner, Uchida & Samejima Law Firm
<\/span>\u30fbMr. Akiyuki Washitani, Representative Director and CEO, ACSL Co., Ltd.
<\/span>\u30fbBooth exhibits by approximately 60 mid-sized companies, small and medium-sized enterprises (SMEs), and startups<\/span><\/div>\n