Honda History
Honda History
Honda History
History
Throughout his life, Honda's founder, Soichiro Honda, had an interest in automobiles. He worked as
a mechanic at the Art Shokai garage, where he tuned cars and entered them in races. In 1937, with
financing from his acquaintance Kato Shichirō, Honda founded Tōkai Seiki (Eastern Sea Precision
Machine Company) to make piston rings working out of the Art Shokai garage.[11] After initial failures,
Tōkai Seiki won a contract to supply piston rings to Toyota, but lost the contract due to the poor
quality of their products.[11] After attending engineering school without graduating, and visiting
factories around Japan to better understand Toyota's quality control processes known as "Five
whys", by 1941 Honda was able to mass-produce piston rings acceptable to Toyota, using an
automated process that could employ even unskilled wartime laborers.[11][12]:16–19
Tōkai Seiki was placed under the control of the Ministry of Commerce and Industry (called the
Ministry of Munitions after 1943) at the start of World War II, and Soichiro Honda was demoted from
president to senior managing director after Toyota took a 40% stake in the company.[11] Honda also
aided the war effort by assisting other companies in automating the production of military aircraft
propellers.[11] The relationships Honda cultivated with personnel at Toyota, Nakajima Aircraft
Company and the Imperial Japanese Navy would be instrumental in the postwar period.[11] A US B-
29 bomber attack destroyed Tōkai Seiki's Yamashita plant in 1944, and the Itawa plant collapsed on
13 January 1945 Mikawa earthquake. Soichiro Honda sold the salvageable remains of the company
to Toyota after the war for ¥450,000 and used the proceeds to found the Honda Technical Research
Institute in October 1946.[11][13]
With a staff of 12 men working in a 16 m2 (170 sq ft) shack, they built and sold improvised motorized
bicycles, using a supply of 500 two-stroke 50 cc Tohatsu war surplus radio generator engines.[11]
[12]:19[14]
When the engines ran out, Honda began building their own copy of the Tohatsu engine, and
supplying these to customers to attach to their bicycles.[11][14] This was the Honda A-Type, nicknamed
the Bata Bata for the sound the engine made.[11] In 1949, the Honda Technical Research Institute
was liquidated for ¥1,000,000, or about US$5,000 today; these funds were used to incorporate
Honda Motor Co., Ltd.[12]:21 At about the same time Honda hired engineer Kihachiro Kawashima,
and Takeo Fujisawa who provided indispensable business and marketing expertise to complement
Soichiro Honda's technical bent.[12]:21 The close partnership between Soichiro Honda and Fujisawa
lasted until they stepped down together in October 1973.[12]:21