Industrial Cluster Project
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Okinawa Industry Promotion Project
 Aiming at the Churashima Okinawa with an independently developing economy
Overview: Drawing on Okinawa's rich natural characteristics and distinctive culture, this cluster is designed to create (1) health islands - creating new businesses representing a fusion of the food, health, and medical industries, (2) IT islands - accumulating and advancing software and IT-related companies, (3) “Added-profit trade” islands - creating centers leveraging Okinawa’s unique geographical position and special free trade zone status, and (4) zero-emission islands - creating companies that maintain and preserve the natural environment
Industry to focus: Health related industry, information related industry, processing trade industry, environmental industry
Target areas: Entire Okinawa region
Promotion organization: Okinawa Industry Promotion Project Network
URL: http://www.okinawa-cluster.jp/
  Okinawa TLO Ltd.
  TEL: +81-98-894-7651 FAX: +81-98-895-1703
Outline of project promotion system
Outline of industry-university-government network:
Membership system introduced in FY 2008
As of March 31, 2009
·Ordinary members: 122 companies (61 health-related industry; 24 IT industry; 23 added-profit trade industry; 14 environmental industry)
·Support members: 65 organizations: (7 universities, 2 public research institutes, 16 central government and local governments; 31 economic associations, 6 financial institutions, 3 distribution establishments)
Characteristic efforts of the project:
The discovery of technological seeds from universities, focused support for R&D, support for the market cultivation of health foods, machines, and equipment, and technological matching with companies outside the prefecture are being promoted. From FY 2006, target field has been expanded to four fields inclusing service industry from manufacturing only. Efforts are now being made according to the characteristics of each industrial field. This cluster works to promote its projects in collaboration with measures set forth in the Okinawa promotion program as per the Law for Special Measures to Promote Okinawa, along with various government ministries and agencies.
Philosophy and efforts for business creation:
This cluster intends to encourage collaboration between manufacturers and service companies, help them develop products, and even explore sales channels outside the prefecture in order to develop an environment likely to produce new enterprises and innovations.
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Key person
Takashi Sugama
Takashi Sugama
Cluster Manager
The Okinawa region has benefitted from strategic policies designed to promote its industrial development. While tourism remains a core industry in Okinawa Prefecture, strongly competitive business groups in the IT and health fields are starting to appear. 2009 saw the completion of a portion of the Okinawa IT Shinryo Park which is slated to become one of the largest IT centers both within Okinawa and beyond. Also, the Okinawa Institute of Science and Technology, which aims to become one of the world?s leading institutions for research and education in the natural sciences, is scheduled to open its doors in 2012. These and other strategic initiatives represent important steps on Okinawa’s road to economic independence.
The objective of this network is to foster industry-university-government collaboration toward innovation which is suited to the Okinawa region while taking into account the linkages between these strategic centers and activities for the promotion of Okinawa’s development. We are particularly looking toward cultivating broader relationships with other regions in Japan and overseas as well as with leading corporations and toward fostering the creation of new businesses and the opening of sales channels.
 
 
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Project achievements
Number of businesses launched(In FY 2007): 1,117
Target figure
Number of businesses launched: 4,500 businesses in 5 years
Main Participants of the Project
Private companies (122 companies): Okinawa Chosei Herb Co. Head Quarters, Kanehide Bio Co.,Ltd., IRIS, Reimei Computer Co.,Ltd., JasmineSoft Co.,Ltd., SYON Communications Co.,Ltd., Nissin Co.,Ltd., Acrorad Co.,Ltd., Trim Co.,Ltd., Ecointech Corporation, etc.
Related administrative organizations (47 organizations): Okinawa Prefecture, Uruma City,
Itoman City, Okinawa Prefecture Chamber of Commerce and Industry, Okinawa Prefectural Federation of Societies of Commerce and Industry, Okinawa Federation of Small Business Association, Okinawa Industry Promotion Public Corporation, Okinawa Convention & Visitors Bureau, Nansei Shoto Industrial Advancement Center, Okinawa Products Associated Co.,Ltd., Tropical Technology Center Co.,Ltd., etc.
Universities and public examination and research institutes (9 organizations): University of the Ryukyus, Okinawa International University, Meio University, Okinawa National College of Technology, Okinawa Industry Technology Center, AIST, etc.
Financial institutions (6 institutions): The Okinawa Development Finance Corporation, Shoko Chukin Bank Naha Office, Bank of The Ryukyus, Ltd., Bank of Okinawa, Ltd., Okinawa Kaiho Bank, Ltd.,
Koza Shinkin Bank, etc.
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Example
ACHIEVEMENT EXAMPLE 1 Creation of new enterprises from the core research group
- Health-related industries
Occasioned by its participation in the Okinawa Herb Usage Study Group, which began in 2003 as a core research initiative of the Okinawa Industry Promotion Project, the Okinawa Chosei Herb Corp. (Nanjo City) has developed Ukonzyme Q10, the Tradition Series, and other products in an industry-university joint research collaboration with the University of the Ryukyus, Okayama University of Science, and other institutions. Subsequently, the company participated in National Bio Business Matching-Sapporo 2008 (a sales channel development initiative which is part of the Okinawa Industry Promotion Project), the Okinawa Industrial Festival, and other events. These initiatives resulted in match-ups with leading drug store chains and major distributors, and were successful in increasing the scale of the business both within Okinawa Prefecture and beyond.
Moreover, with the help of the cluster manager, unique collaborations between different types of industries have come about. For example, Euglena Co., Ltd., also a member of the Okinawa Industry Promotion Project, has formed an alliance with a venture that came out of the University of Tokyo to produce “euglena,” a unicellular organism that has both animal and plant characteristics. The company’s product, Shugo Densetsu (Hangover Buster) has appeared as a favorite item used by the hero of “Ryu ga Gotoku 3,” a computer game from a leading game software company.
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A meeting of the Okinawa Herb Usage Study Group
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Study Group scene
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Scene from the National Bio Business Matching event
44th Agriculture, Forestry and Fisheries Festival Emperor's Cup
-2nd “Monodzukuri Nippon” Grand Award
-2009 Genki na Monodzukuri 300 Small-Medium Sized Enterprises, “Small-Medium Sized Enterprises Supporting Innovation in Japan” Division
-Top Prize in the 7th Special Products Contest (Prefectural Governor’s Prize)
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ACHIEVEMENT EXAMPLE 2 New businesses created from the individual study groups of key organizations (start-ups)
- Environmental industries
The Biomass Resource Recovery Center Co., Ltd. (BRRC) has been planned from basic concept to implementation within the activities of the Okinawa Prefecture Resource Recovery Promotion Association, which in turn is a key organization of the Okinawa Industry Promotion Project.
In this initiative, scrap building materials, which had hitherto been considered industrial waste to be disposed of in managed final disposal facilities, is pelletized so that it can be burned by the Okinawa Electric Power Company and other users. With Maedo CM (currently president of BRRC) spearheading it, a study group was launched which undertook a research project of Okinawa Prefecture (with Cabinet support). While proposing concrete implementation, it took advantage of “biotown support” (support provided by the Ministry of Agriculture, Forestry and Fisheries), low-interest financing through the Company Location Promotion Act (support from the Ministry of Economy, Trade and Industry), etc. Additionally, this initiative has solicited corporate financing and has strongly advanced commercialization by setting up new companies. As a cluster initiative, research and development activities are being supported, and coordinated efforts are moving forward in the context of the Study Group for Town Planning Harmonized to the Okinawa Environment.
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ACHIEVEMENT EXAMPLE 3 IP Contact Center Solution “Tetra CS”
- IT-related industry
The call-center business demands high-performance specialized systems as well as measures to mitigate the risk of the unauthorized release of personal information and to support recovery when there are system malfunctions. It costs a great deal of money to cover all these requirements and it is difficult to put such systems in place. Call centers have made strong inroads into Okinawa, but it has been hard for this industry to get the kind of high-level technical expertise required to run them.
SYON Communications Co., Ltd. has developed “Tetra CS” which incorporates as the know-how and technology the company has obtained through its call-center construction and consulting work. “Tetra CS” is a genuine IP contact center solutions service developed with cost, ease of maintenance, and ease of use in mind.
SYON, which became a member company in 2008, exhibited “Tetra CS” at the DEATEC (DCP Exhibition of Advanced Technologies) sponsored by the Kansai Bureau of Economy, Trade and Industry. This marked the launch of sales throughout Japan for the new product.
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Participating company comment:

Around the world, the Internet and computer networks have become part of our lives. But before the advent of these networks, the world was already connected by telephone networks. Sooner or later, computer networks and telephone networks will be combined. SYON is working hard to become experts in networks, telephone systems, and computers so that the company will be ready for that time.
David Shen
David Shen
CEO, SYON Communications Co., Ltd.
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