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Promoting a worldwide EMCS structure: Overhauling engineering and manufacturing
frameworks to reflect distinctive regional needs on a global scale
Rethinking global engineering, manufacturing,
distribution and service functions
As part of “Transformation 60,” Sony is busy
reshaping its product creation structure into a
more knowledge-intensive model. For its worldwide
operations, Sony has introduced a new
engineering and production platform called EMCS
(representing engineering, manufacturing and
customer services). From the ground up, Sony is
completing a comprehensive review of its production
network, which had been structured to manufacture
products within each region. The intent is
to overhaul the engineering and manufacturing
frameworks to better reflect the distinct features of
each region, and simultaneously increase the added
value generated by these frameworks. Maximizing
the integration of global functions from engineering
through manufacturing, distribution and customer
service will foster an environment for the
global implementation of an advanced supply
chain management (SCM) system. Sony plans to
convert some of its manufacturing facilities into
Customer Front Centers (CFC). By improving distribution
and service capabilities, these centers will
enable Sony to further upgrade various customer
services and respond even more efficiently to
consumer needs.
Sony seeks to reinforce its engineering framework
and refine its ability to manufacture value-added
components, such as semiconductors, in turn
enhancing its mounting processes and helping to
create new state-of-the-art products. Producing a
steady flow of new products that use leadingedge
components, hence giving them a distinctly
Sony feel, will be central to the future of Sony’s
electronics business.
Regional production strategies that mirror
market needs
Sony’s strategy for its global production bases is
to deepen ties between manufacturing activities
in Japan, China and elsewhere in Asia. Sony is
increasing production of finished goods in China in
anticipation of continued rapid growth in demand,
Production Locations and Destinations of Electronics Products
Europe
China
SE Asia
as well as increasing the output of both costcompetitive,
mass-produced products for export
and components and modules associated with
operations in Japan. Products that are manufactured
price-competitively in other parts of Asia
are exported to Japan, Europe and the U.S. as well
as supplied within the region itself. To enhance
responsiveness to customer needs in each
region, CFC functions are also being added to
Asian manufacturing sites. In Europe and the
U.S., two of Sony’s major markets, the current
single-category mass-production framework will
be complemented by adding CFC functions, thus
enabling a faster response to market needs
while strengthening manufacturing and sales
activities within each region.
Japan
North
America
Raising Japan’s profile as a source of advanced
technology
Through the creation of its new EMCS-based
structure, Sony has made Japan a focal point for
sophisticated technology. By forming close ties
between its development and engineering teams,
Production
Destination
*Size of circle represents scale of production
■ Japan
■ North America
■ Europe
■ SE Asia
■ China
A new information system that integrates sales, manufacturing and distribution
• Prepares highly accurate sales forecasts based on actual results through collaboration
with distribution operations
• Performs real-time monitoring of retail sales and inventories and uses this data to
create an optimal manufacturing and supply system
• Provides highly accurate responses to inquiries for delivery times by combining manufacturer
inventory data with manufacturing plans
• Constructs a logistics system that minimizes manufacturer inventories
• Expands the scope of weekly management operations to increase responsiveness to
rapid shifts in sales trends and other events
Utilizing demand chain management to create a product supply framework that
responds immediately to sales data
CLOVER comes into operation: A new information system supporting the integration
of sales, manufacturing and distribution operations
Retail stores
SMOJ
SONY
Corp.
SSCS
EMCS
Components suppliers
Overseas manufacturing sites and suppliers
The new CLOVER information system began operating in May 2004. Adopted by Sony Corporation, Sony
Marketing (Japan) Inc. (SMOJ), Sony EMCS Corporation (EMCS) and Sony Supply Chain Solutions, Inc.
(SSCS), the new system integrates sales, manufacturing and distribution operations to give Sony a competitive
edge in Japan. CLOVER provides sophisticated data links between individual operations, facilitating
demand chain management with the aim of creating an enhanced flexible product supply system that
responds immediately to changes in actual retail sales data. Key benefits are greater customer satisfaction,
minimal loss of sales opportunities, and lower inventories at manufacturing sites and in distribution
channels. Sony expects CLOVER to produce cost savings and inventory reductions in Japan.
Information
Products
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