TKAP ex­pands mar­ket base

Auto components India - - COVER STORY -

Toyota Kir­loskar Auto Parts (TKAP), a joint ven­ture among Toyota Mo­tor Cor­po­ra­tion (TMC), Toyota In­dus­tries Cor­po­ra­tion (TICO) and Kir­loskar Systems Ltd (KSL), is plan­ning to sup­ply trans­mis­sions to other ve­hi­cle man­u­fac­tures also. Since 2002, the com­pany has been man­u­fac­tur­ing and sup­ply­ing axles and shafts, trans­mis­sions, and en­gines only to Toyota com­pa­nies in In­dia and other coun­tries. As part of its ex­pan­sion, it is ex­plor­ing op­por­tu­ni­ties to sup­ply man­ual trans­mis­sions beyond Toyota ve­hi­cles. TKAP has plans to of­fer the 6-speed man­ual trans­mis­sions, which will be ready by 2018, for the ex­port and do­mes­tic mar­kets.

“We are ex­plor­ing op­por­tu­ni­ties in the do­mes­tic mar­kets for sup­ply­ing trans­mis­sion to other ve­hi­cle man­u­fac­tur­ers. In In­dia most of the OEMs have only 5-speed man­ual trans­mis­sion, but we can of­fer them 6-speed man­ual trans­mis­sion, which has many ben­e­fits. With the emis­sion norms get­ting tighter in In­dia, 6-speed trans­mis­sion will be more ad­van­ta­geous. Since TMC has 6-speed trans­mis­sion glob­ally, we have the tech­nol­ogy. For the In­dian mar­ket the trans­mis­sions will un­dergo a de­sign change to meet the cus­tomer de­mand. We will be work­ing on re-en­gi­neer­ing the trans­mis­sion as the fit­ment on the en­gine and gear ra­tio will be dif­fer­ent,” K G Mo­han Kumar, Joint Man­ag­ing Di­rec­tor, TKAP, told Auto Com­po­nents In­dia.

TKAP was set up to sup­ply pow­er­train so­lu­tions to Toyota Kir­loskar Motors (TKM) and Toyota glob­ally. The trans­mis­sions were ex­ported to In­done­sia, Thai­land and Brazil. Since Jan­uary 2016, the com­pany has stopped ex­ports to

Brazil as the gov­ern­ment of Brazil has man­dated the OEMs to make the en­gines and trans­mis­sions lo­cally.

TKAP man­u­fac­tures C-type and R-type trans­mis­sions. The C-type is for the front wheel drive, which will have a torque rang­ing be­tween 180 and 200 Nm. Re­cently the com­pany started man­u­fac­tur­ing another trans­mis­sion which can go up to 240-260 Nm. Bulk of the re­quire­ment is for 160 Nm to 240 Nm torque lev­els. The R-type trans­mis­sion is for rear wheel drive, and it ranges up to 360 Nm. It sup­plies these range of trans­mis­sions to Toyota In­nova Crysta.

From 2002 to 2010 TKAP was man­u­fac­tur­ing FR-type trans­mis­sion. Later it be­gan to man­u­fac­ture FF type trans­mis­sion and en­gine as­sem­bly. For the R-150 man­ual trans­mis­sion pro­duc­tion, a sep­a­rate fa­cil­ity was built and pro­duc­tion started in 2004 with an ini­tial ca­pac­ity of 160,000 units. It was raised to170,000 units in 2005. The en­tire pro­duc­tion is ex­ported. Though TKAP was formed orig­i­nally for the pro­duc­tion of man­ual trans­mis­sions for Toyota’s IMV pro­ject glob­ally, the plant con­tin­ues to make front and rear axles and pro­pel­ler shafts for In­nova in In­dia. Cur­rently the com­pany man­u­fac­tures 18 vari­ants of man­ual trans­mis­sions for both front and rear wheel drive ve­hi­cles, and petrol en­gines for Etios.

For the man­ual trans­mis­sions, TKAP sources forg­ing and turn­ing com­po­nents from Bharat Forge and die-cast parts like case and clutch hous­ing from Toyota In­dus­tries En­gine In­dia. The rest of the com­po­nents and op­er­a­tions like gear cut­ting, heat treat­ment and as­sem­bly are done in-house. For the R-type trans­mis­sion the cur­rent lo­cal­i­sa­tion is around 90% and the com­pany has set a tar­get of 96% in the next 2 years.

Re­ply­ing to a query on qual­ity of the In­dian sup­pli­ers, Mo­han said, “The sup­pli­ers have dra­mat­i­cally changed over the last 5 years. Ear­lier we were talking in terms of per­cent­age re­jec­tion and today we are talking in terms of ppm. More than 90% of the prod­ucts from our

43 sup­pli­ers are ‘zero’ ppm and ready for the as­sem­bly line. There is no doubt about qual­ity and that is one of the rea­sons to in­crease lo­cal­i­sa­tion. Now we are also in a phase of true lo­cal­i­sa­tion, where the en­tire com­po­nent, in­clud­ing the raw ma­te­ri­als, is lo­calised.”

Lean man­u­fac­tur­ing

The TKAP plant has de­ployed low-cost au­toma­tion sys­tem. It makes bet­ter use of grav­ity and very small motors that con­sume less power. In or­der to re­duce the man-move­ment, the com­pany has de­ployed au­to­matic guided ve­hi­cles (AGV) for ma­te­rial move­ment. The com­pany has also bench­marked it­self with most of the af­fil­i­ates in the Asia-Pa­cific, Europe and other ar­eas. TKAP has also set a tar­get of re­duc­ing 5% in-house man­u­fac­tur­ing cost YoY. In the last 4 years it could re­duce 21%. Now its chal­lenge is to spread the lean man­age­ment tech­niques across the sup­ply chain.

For ef­fi­cient man­u­fac­tur­ing, TKAP has a 3-pil­lar con­cept for daily man­age­ment. Mo­han ex­plained that the con­cept has 3 main el­e­ments, the first one is the stan­dard way of do­ing the work, the next is on the pro­cess­point man­age­ment, and the third is own­er­ship main­te­nance. “By fol­low­ing these 3 pil­lars we were able to achieve higher level of qual­ity, pro­duc­tiv­ity, safety and hu­man re­source de­vel­op­ment. We are also work­ing on to achieve global ex­cel­lence, where we have crossed the mile­stone of re­ceiv­ing bronze in 2012 and sil­ver in 2013. Cur­rently close to 60% of our lines are gold cer­ti­fied, which means they are near global lev­els and our chal­lenge is to con­vert 100% of our lines to gold by the end of next year. If we achieve that we will be the first plant glob­ally to have 100% gold,” Mo­han said.

TKAP has so far in­vested Rs 1050 crore to man­u­fac­ture 110,000 pro­pel­ler shafts, 215,000 R-150 type trans­mis­sion, 240,000 C-550 trans­mis­sion and has ca­pac­ity to man­u­fac­ture 108,000 petrol en­gines. It also ex­ports 60% of R-type trans­mis­sions to Toyota Mo­tor Thai­land (TMT) and 10% of C-type trans­mis­sions to Toyota Mo­tor Man­u­fac­tur­ing In­done­sia (TMMI). The com­pany is look­ing at new av­enues and plan­ning to utilise fully its Bi­dadi plant ca­pac­ity.

The R-type trans­mis­sion line man­u­fac­tures trans­mis­sion for Toyota In­nova Crysta

AGVs are used for ma­te­rial move­ment in­side the plant

TKAP’s Bi­dadi plant man­u­fac­tures petrol en­gines, trans­mis­sions and axles for Toyota

TKAP has ca­pac­ity to man­u­fac­ture 215,000 R-type trans­mis­sion

Mo­han Kumar K G, JMD, TKAP

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