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Kobe steel scandal - Japan's transport ministry orders to improve management

Steel News - Published on Tue, 21 Nov 2017

Image Source: reutersmedia.net
Reuters reported that Japan's transport ministry has ordered scandal-hit Kobe Steel Ltd to improve management at one of its plants, as it struggles to restore confidence in its manufacturing following revelations of data falsification.
Japan's transport ministry orders Kobe Steel to improve plant management

Measures taken to prevent a recurrence of wrongdoing at Kobe Steel's Daian plant in central Japan were inadequate, the transport ministry said in a statement, pointing to a lack of concrete steps in areas like the alleviation of pressure from head office and the training of inspection staff.

A Kobe Steel spokeswoman said that "We will work quickly to plan and implement the measures as required by the transport ministry.”

The ministry inspected the Daian plant last month because of its role in supplying components for the domestically built Mitsubishi Regional Jet passenger aircraft under development by Mitsubishi Heavy Industries Ltd.

No safety issues were found during that inspection, with Kobe Steel saying on Friday that it assesses 90 percent of affected customers have no safety issues.

On Wednesday, Kobe Steel's Hatano plant, one of its main copper plants, was stripped of its industrial quality certifications after an investigation into its quality control.

Kobe Steel has said that a lack of quality controls and a focus on profits was behind widespread data tampering that has impacted more than 500 companies and shaken up the supply chains of car and plane makers around the world.

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Posted By : Nanda Koijam on Tue, 21 Nov 2017
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