India-Japan Ties: Kyoritsu Electric Eyes Growth Ahead of 75th Anniversary

The company's global footprint is significant, providing essential solutions to nine different countries. Notably, India has emerged as one of their largest business markets, standing alongside Thailand in terms of commercial importance.

Flexible Management: The Key to Global Success

Nobuyuki Nishi, President of Kyoritsu Electric Corporation, attributes the company's smooth international expansion to its highly flexible management policy. Unlike many rigid corporations, Kyoritsu maintains a philosophy of adaptability, especially during mergers and acquisitions. If an absorbed company wishes to retain its original identity, Kyoritsu respects that decision, a move that has facilitated smoother global integration.

“Management policy of Kyoritsu is very flexible,” Nishi noted, highlighting how this approach differs from traditional Japanese business models and allows for better engagement with foreign markets.

Navigating the Industrial Revolution and AI

The global industrial landscape is undergoing a massive shift, and Kyoritsu is positioning itself to ride the wave of change. President Nishi observes that the current industrial revolution is creating a "watershed" moment, particularly in the vehicle industry, where the primary actors are shifting.

The company is also closely monitoring the impact of global supply chain disruptions, such as the semiconductor shortage that has caused significant delays in consumer electronics and the fluctuating costs in the construction sector. However, Kyoritsu is looking toward the future of AI and Robotics with a unique perspective.

The "Physical AI" Advantage

While many focus on pure digital AI, Nishi emphasizes the necessity of "physical AI" for factory automation. He points out a critical flaw in standard AI models: they often study large datasets that lack "fault cases," making them ineffective at detecting defective products in a real-world factory setting.

“To prepare factory automation system, physical AI must study various big data which includes fault case and most appropriate big data,” Nishi explained. Kyoritsu leverages its vast repository of industrial data to provide the specific, fault-inclusive datasets required to train effective physical AI systems.

In a strategic move, Nishi remarked that Kyoritsu does not aim to chase the absolute cutting edge, but rather to progress "half a step behind the top trend," ensuring they provide stable and proven solutions.

Massive Growth in the Indian Market

The scale of Kyoritsu’s expansion in India is nothing short of remarkable. Prashant Patil, Joint Managing Director of Kyoritsu India, reflected on the company's rapid trajectory. When Patil joined the group seven years ago, the Indian workforce consisted of only 20 employees. Today, that number has surged to 150.

The scope of their business in India has also transformed. What began as a focus on electric facility testing and automation has expanded into high-growth sectors including:

• Semiconductors
• Artificial Intelligence (AI)
• Electric Manufacturing
• Data Center infrastructure

Patil emphasized that Kyoritsu’s "360-degree view" of business—covering all aspects of a client's needs—is a significant advantage over competitors who may only offer a "180-degree" limited perspective. As the bilateral relationship between India and Japan matures, this mutual understanding and technological synergy are expected to drive even more dynamic business growth.