each component exceeds that of the competition. Construction of dust-free, mist-free SPM (spindle motor) assemblies is strictly controlled by inspection throughout the manufacturing process. Final assembly of an SPM is performed in a Class 100 clean room (the highest classification), and strict measures are taken to prevent the presence of dust during manufacturing. Dust is the primary cause of head disk crashes and start-up defects. These malfunctions are expensive to repair and convey a low quality image (www.nidec.co.jp/english/product). These features help IBM because they are consistent with IBM’s reputation for providing a high quality product. Technological Capability - Nidec has had a long history of proactively innovating products to meet customer needs. Currently, Nidec is working with customers to improve the quality of its spindle motors, increase rotational speed, reduce noise, miniaturize components, increase shock resistance, lower power consumption, and strive for a higher level of cleanliness. Nidec also has a high level of line flexibility to adapt to IBM’s production needs. This means that Nidec will be able to respond to sudden changes in order quantity within a matter of hours (www.nidec.co.jp/english/product/index.html).The following is an excerpt taken from Nidec’s 1999 Annual Report. This excerpt summarizes Nidec’s commitment to providing the type of value IBM is looking for in a supplier.Nidec focuses on customizing products that meet customer needs for high quality at low cost. In addition, we emphasize speed in the identification of market needs, the development and commercialization of products, and final delivery to our customers. Nidec’s sales and marketing network concentrates on quickly acquiring critical marketing information and communicating this information to development and manufacturing operations. Nidec is able to leverage its core competencies in motor technology an...
