JTECS and TPA Reaffirm Leadership Role in Advancing Smart Manufacturing for Thai SMEs Survey Shows More Than 90% of Companies Are Interested in Smart Factory Guidance

On January 26, 2023, the Japan-Thailand Economic Cooperation Society (JTECS) reported the progress and achievements of the Thailand Smart Monodzukuri Support Team Project to senior officials of Thailand's Ministry of Industry and the Department of Industrial Promotion (DIPROM), including Permanent Secretary Dr. Nattapon Rangsitpol.

The project is implemented under the government-to-government (G-G) cooperation framework between Thailand's Ministry of Industry and Japan's Ministry of Economy, Trade and Industry (METI), with the objective of promoting Industry 4.0 and developing advanced human resources to support digital transformation (DX) in the manufacturing sector.

The initiative originated from a Memorandum of Understanding (MOU) on human resource development signed between JTECS and DIPROM in September 2019. Cooperation between the two countries has continued to expand, supported by high-level discussions between Thailand's Ministry of Industry and Japan's METI on industrial development, digital transformation, and Industry 4.0.

The project has been implemented through close collaboration among organizations from both countries. On the Japanese side, JTECS, the Association for Overseas Technical Cooperation and Sustainable Partnerships (AOTS), and the Japan External Trade Organization (JETRO) have played key roles. On the Thai side, the Technology Promotion Association (Thailand-Japan) (TPA) and the Thai-Nichi Institute of Technology (TNI) have contributed significantly to the project's implementation and human resource development efforts.

Over the course of three years, the project successfully trained approximately 50 IoT instructors and provided hands-on support to 10 SMEs through pilot implementation activities. Participating companies achieved tangible improvements, including shorter lead times, reduced inventory levels, and increased productivity, demonstrating the effectiveness of the program.

The results of a related survey on challenges in achieving smart factories among manufacturing companies in Thailand revealed that 56% of respondents remained hesitant about transitioning to smart factory operations. At the same time, more than 90% expressed interest in receiving guidance and support for smart factory implementation, highlighting strong demand for the Smart Monodzukuri Support Team initiative.

The participating organizations agreed to continue working together under the Thailand-Japan government cooperation framework to establish the Smart Monodzukuri Support Team Project as a sustainable mechanism for supporting Thailand's industrial transformation. Continued cooperation from the Ministry of Industry, particularly in identifying candidate companies and supporting project implementation, was recognized as essential for the program's long-term success.