January 2014

January 2014

90 Ki – 3rd Quarter

Power from the Wind!

Issue 29

Happy New Year I hope you had a great shutdown and I would like to thank each of you for another successful year. I also want to thank you and your families for your continued dedication. Last year, the U.S. car market hit a 4-year high. Honda sales were also very strong and Honda 2013 sales increased 7.8% from the previous year. The Accord, Civic, and CR-V are in the top 10 sales list. We have been able to maintain high levels of quality and delivery to achieve our customers’ expectations. We have now been producing CVT transmissions for over one year and it has been well received in the market. Let’s reflect on some of our accomplishments that took place in 2013. We completed our expansion in ATM Division where we added 2 new 2500T casting machines and an all new machining line to allow for the localization of CVT cases. Furthermore, we relocated the Rear Diff and Transfer production lines to the new Assembly clean room. We introduced HTM’s 2020 Vision last year. By Koji Suzuki One of the aspects of “Being the Leader in Drivetrain Mfg.”, is to have strong production characteristics. Let’s look at HTM’s performance for the past year Safety We are at the lowest number of recordables in our company’s history. I appreciate everyone’s efforts in continuing to create and maintain a safer work place. Safety will continue to be our number one priority. Environment One of many ways that HTM is seeking to reduce our environmental footprint is the installation of two wind turbines. They will supply approximately 10% of our plant’s electricity while also reducing CO2 emissions. Quality I want each and every associate to keep their focus on quality. Through mass-production, just one process mistake can contribute to others, causing huge problems to frame plants or even to Honda customers. Cost We have put strong efforts in loss reduction activity. Please continue to share your ideas and participate in any activities including A.W.A.R.D and NH circle. Delivery We were able to see positive trends in daily production performance in our manufacturing departments. Morale A.W.A.R.D. has exceeded the targets year-to-date, while NH Circle remains almost the same. Please continue to participate and feel “the Joy of Creating” to make your own workplace and team better. I am proud of our performance in 2013, I believe we are trending towards being a North American leader. Look toward 2014 At Honda, each region will need to take on more responsibility to develop and produce products for customers in its own region. We need to change to a business structure unique to Honda, which ensures the independence of all regions and maximizes all regional resources globally. We also need to deliver the best products to customers around the world, at the optimum timing. Many changes are taking place in our facility to prepare us for our future production needs. ATG will be installing two new lines and HPDC will install 2 additional machines. All of this activity is for increased production of advanced CVT for the Accord and CR-V15M, starting in August, 2014. Procurement and Quality Divisions have been working hard to localize outsourced parts to improve cost competiveness. Consider our 12th midterm vision Our 12th Mid-term (next 3 years) Business Plan key initiatives are focused on three critical areas. These are Company Characteristic Improvement, New Model Evolution, and Optimize our Resources. We must continue to strengthen our Visual management line side. This will help us to be able to identify abnormal conditions and implement quick resolution of issues. As a leader, we are expected to be the first location to start a new model. We must be able to identify issues at an early stage of the new model cycle and have technical ability to propose countermeasures. To develop new model the i-VTM4 (a new lighter weight Diff) that will start production in mid-2014. This will be HTM’s first attempt with the mother-less development of a new model. Moving forward, this type of mother-less activity will be the expectation for future models. Working together will become even more important in the future as our products are becoming more advanced. We will see many new technologies and innovations in our plant. As these changes occur, we will need to expand our technical know-how and continue to build our capabilities. I want you to engage your minds.The problem solving method is a common language throughout all of Honda. No one knows your job better than you. I want your help to improve your processes, making it safer, produce better quality, and make it more efficient. Improvements like these will make Honda stronger. Change is all around us. I encourage you to embrace change. It is the sign of our growing importance in North America and the World. We must continue to challenge our thinking & find new ways to develop our capabilities. To do this, I urge you to keep an open mind & step forward with a positive outlook. The effort you contribute today will be the success of HTM tomorrow. We want to be a company that Society wants to exist: “We are glad HTM is here!!”

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Sales Result(USA)

Power from the Wind!

It’s been a long and winding road, but HTM completed its project to install two wind turbines on the plant’s property and began officially receiving power from the twin units on Saturday, January 11. The project officially started in February 2010, kicking off the plant’s detailed studies and communication with all involved parties. This official start of the turbines makes HTM the first major automotive manufacturing facility in the U.S. to obtain a substantial amount of its electricity directly from wind turbines located on its property. The turbines operate through a subsidiary company of ConEdison Solutions of Valhalla, NY called RP Wind LLC. RP Wind LLC. will generate electricity for the plant, and be responsible to maintain the turbines throughout the life of the contract (20yrs). “This project aligns perfectly with Honda and HTM’s goals to reduce CO2 emissions and our environmental footprint,” said Gary Hand, HTM Plant Manager. “They also showcase Honda’s challenging spirit and commitment to innovation.” The completed project is the result of the team effort of a number of groups. HTM Operations Planning led the activity. Facilities supported during the construction phase and will be the responsible department to support the project during the project’s contract life. In addition, our local power partners also supported the project. Special thanks to all involved and hats off on project completion. In the coming months, associates should look for monitors in the plant’s associate walkway showing real time data and CO2 offset data. This project and the tracking monitors will serve as a reminder to associates to participate in Honda’s energy saving initiatives in other ways too – by recycling, turning off lights and correctly powering down equipment.

“…commitment to innovation” Gary Hand HTM Plant Manager

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HTM Turbine Fast Facts • Tower Height: 262 feet (80 meters) • Blade Diameter: approximately 316 feet (100 meters) •

Combined Turbine Output: estimated at 10,000megawatt hours (MWH) per year.

• Number of typical households HTM turbines could power for one year: 1,052 Homes • CO2 Offset: Turbines will offset (reduce) 8,138 Metric Tons of CO2 per year. • Type of Wind Turbines: 2 GE 1.7MW 100 (max. output) Wind Turbines

• This project started as a dream of two HTM associates…

“…challenging spirit…” Gary Hand HTM Plant Manager

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HTM 4WD Rear Differential Project Update By Dave Schmitt January 2014

“New X62” Project The 4WD New Model Team is busy preparing to introduce an all-new 4WD Rear Differential – the “New X62”. As was mentioned the last New Year’s Speech, President Koji said, “…in the future, we will need to be self-reliant, be the Leader, with capabilities to be the first site to start a completely new product…” Well, that is exactly what we are doing, along with associates from Honda R&D, the Honda Tochigi Mohka Factory, and our Japan & Domestic Parts Suppliers. Though this Project is a big challenge, we do our best to make it happen. The Planning & Development Phase is now almost completed, so we moved into the Trial Event Phase with 2 events already done (see the schedule below). We use P-D-C-A for each Event by carefully making & confirming preparation plans, carefully execute the Event, then carefully check the results and reflect to the next Event.

Better Drivability

More Fuel Efficient

Better Response Less Parts, Smaller Size

Larger front/rear Ratio Difference

Lower Cost

Keypoints: •US-exclusively produced, no production in Japan •New oil pressure clutch control system •More Domestic Parts (Current 81% ⇒ “New X62” 91%) •Application to V6 models

“New X62” 4WD Rear Diff. Event Plan Now

2013 89Ki 1

2 R&D: HTM:

2014

90Ki 3

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91Ki

10 11 12

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“HGT Die Confirmation Lot”

D1 Prototype Lot

Cert

Dan-1

QC

Dan-2

Special HTM Training Events:

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PP Lots

Mass Production

RC

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4 5

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HTM 4WD Rear Differential Project Update The information below is a partial re-print & translation (with permission) of an article in the Honda Tochigi Mohka Factory (Tss) Company Newsletter “Oasis”, on the HTM 4WD Associates Business Trip to Japan.

During the week of Sep.16th, 2013, 7 HTM associates visited Tss for quality maturation of new-layout 4WD unit start-up. They studied Tss quality methods & assembly processes, which will help them in their localization efforts. In an environment of accelerating globalization, an expectation for Tss as a steel part “Mother Plant” becomes higher, too. Hopefully, you feel how Tss is changing through HTM Associates: Vicky Baldwin, Kevin the activities of their stay and their Q&A below: Hess, Ryan Hunsicker, Dave Schmitt, BJ Smith, Grant Stachler, Yohei Sugiyama

4WD Module Associate is explaining Tss technology to HTM Associates.

HTM associates learn 4WD product function & quality aspects from Tss expert lectures.

After activities @ Tss, HTM members traveled to Honda R&D Center to attend the “New X62” Technical Evaluations. Then, they worked with R&D members to learn manual assembly techniques & key quality points by building 2 proto-type units. Finally, they experienced the actual 4WD driving performance benefits by in-vehicle test drives @ Honda R&D Proving Grounds. It was a very beneficial trip for HTM members!!

1st “NEW X62” Rear Diff. built by HTM Associates:

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2013 South America Bloc Convention Campinas, Brazil Representing Honda Transmission: Time Bandits from ATG Circle Team members:

Brian Knight Dan Napier Rob Shaw Mark Lambert Ken Rush

Presentation Day

Honda Plant Tour

Closing Banquet Ceremony

Culture Day Steam Engine Train Ride

Special Ops of CVT

Team Machining

Pam 1st row: Pam Stewart, John Morris 2nd row: Gary Hand, Derek Prickett, Jessica Smith, Kyle Hall, and Koji Suzuki

Japanese word which means “Passion for what you do”

Gary Hand, James Litreal, Kim Taylor, Karen Hoaglin, Mark Knotts, Jeremiah Wheeler, and Koji Suzuki

The two HN Circles that represented HTM at the 2013 Americas Bloc Convention were Special Ops of CVT, from CVT and Team Machining, from Aluminum Machining. Each circle demonstrated excellent process tool usage as well as great presentation skills.

Special Ops of CVT and Team Machining

Presentation Day

Team Building Day

Culture Day

Fountains at Sloss Furnace

Barber Vintage Motorsports Museum

From Mike Fagan Expansion PL

The HPDC 2500 Ton Machines

The New Melt Furnace Installation

ALMC modified Line 2 for CVT and added a new 6 Index Cell.

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New M case machining line currently being installed

From Mike Fagan Expansion PL

Chip Drag Conveyor is complete

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Chip Wringer and Shipping

Parts Storage Area

Mezzanine for Future Office

Walkway to the Tech Center

From Mike Fagan Expansion PL

Future Use Area

Trailer Yard

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10/17/2013

10/29/2013

11/4/2013

11/11/2013

12/10/2013

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In the summer of 2013, HTM started a Pre-College Co-op Program. The program involves utilizing local graduating Seniors that are entering the engineering field in college. The program was created in efforts to develop a mentoring culture for recently hired HTM Engineers, further develop the college co-op program, and to establish communication in the surrounding communities about engineering. This past summer, four positions were filled after a thorough selection process of the High Schools and candidates. The pre-college associates were: Levi Klingler – Ada High School, supported in 4wd; Landon Johnson – Benjamin Logan High School, supported in AP; Korey Schultz – Minster Local School, supported in ATG; and John Bolte – Fairbanks Local School, supported in ALMC and HPDC. All of these associates are attending Ohio State University in various Engineering fields. Each of the pre-college associates were assigned a mentor by way of a recently Hired Engineer: Kevin Hess – 4wd; Tom Kaminski – AP; Loren Fleischman – ATG; Dan Sokolow – ALMC; and Robert Kress – HPDC. The intent of the program was to focus on ground level engineering by way of hands-on activity and thoroughly understanding the processes. Results of the program were on target. Growth and development of mentors was seen through communication, responsibilities, and outcomes they achieved with the pre-college associates. Further development of the co-op program will be seen with the return of the pre-college associates this next summer as Engineering co-ops. Awareness of engineering in the surrounding communities was achieved through discussions about the program with the schools and our understanding to the curriculum being taught. Finally, the greatest item found through this program was that the mentoring culture went beyond the individuals participating to all those associates who took the time to support the pre-college associates by leading, teaching, and caring. HTM will be continuing the pre-college program for the summer of 2014. School interviews and candidate applications will begin in the third quarter of 90ki for five pre-college engineering co-op positions. Please contact Chris T Keller for further information about the program. AP Landon was a recent graduate of Ben Logan High School. He was captain of the football team and a member of the STEM (Science, Technology, Engineering, and Math) project team. The Assembly Department was lucky enough to have Landon as a part of our team this past summer as a member of the first group of Pre-College Co-ops. Landon’s time here was spent on the CVT Assembly Line, getting signed off on processes, helping with off line responsibilities, and in the office working with the engineering group on improvement ideas of his own. This experience will be beneficial not only to Landon, but also to HTM when he returns as a college co-op. Thanks to all those who were involved – Line Associates, Team Leaders, and Production Staff. You all made Landon’s time here enjoyable and educational for him and had a large part in making the Pre-College Co-op Program a success. Tom Kaminski Engineer Staff Assembly Production

Landon Johnson Ben Logan High School “I would like to thank you all for even allowing me to come here to watch and learn from many different people throughout the plant” – Landon Johnson

4wd This past summer I was given the opportunity to mentor Levi Klingler through HTM’s new Pre-College Co-op Program. Levi is a graduate of Ada High School and is currently studying for his Engineering degree at OSU. As a former co-op, I enjoyed working with Levi as I was able to experience the opposite end of the spectrum of being a teacher rather than the student. Levi worked in 4wd Machining for the majority of his term. Here he learned a few processes of gear manufacturing and the reasoning behind each one. Several experiences he enjoyed included: working with and trouble shooing equipment, learning hands-on tools and ship skills, and seeing other departments. He also completed a project to reduce consumption of compressed air on the finish grind machines. Levi expressed great thanks in being a part of the PCC program, and also for those in 4wd machining who took the time to teach him and help him out on a day-to-day basis. Levi Klingler Ada High School

Kevin Hess Engineer Staff 4wd

HPDC This newly implemented Co-op Program was mutually beneficial for the mentor and co-op as well as HTM. The program was laid out to allow graduating high school students, going into a college engineering program that live in the surrounding area, an opportunity to gain real world engineering experience. Having previous co-op experience myself, I can say without a doubt, that I would have been eager for an opportunity like this. John Bolte spent five weeks in the HPDC Department. During this time he worked on various engineering projects as well as assisting in mass production. John worked on developing a more consistent way to trim our valve body casings. He learned solid works modeling and used this tool to design his new trimming fixture. Overall, this program allowed me, the mentor, to develop my communication skills and ultimately make me a better engineer. As stated previously, the program assisted John in his development into being a successful engineer. Lastly, this program is helping HTM boost the quality of its engineers, and with that, helping to secure our future Outlook. Robert Kress Quality Engineer High Pressure Die Cast

ALMC Honda Transmission Mfg. has recently implemented an exciting new program to help introduce engineering and manufacturing to our young adults making the transition from High School to college. I am honored to be able to be a part of this opportunity to contribute to the future of these talented individuals. Participating in the HTM Co-op program myself from 2008 to 2011, I can personally attest to the benefits of this type of program. John Bolte, from Fairbanks High School, spent five weeks in the ALMC department during the first part of the summer. During this time, he spent a few days on each associate operated machine in the department and learned the overall production flow for Honda Transmission cases. During his last week in the department, he was tasked with a project to improve a machine process. He successfully reduced a potential unsafe condition by implementing a coolant splash shield. This program not only benefits the student, but the mentor as well. I had a chance to test my leadership skills and continue my development as a management associate for HTM. This program will strengthen our engineering core and help create the next group of Honda leaders. I am very excited to meet the next group of High School Students next summer and I look forward to have a chance to work with the new students. I encourage all eligible local High School students to explore this opportunity to gain valuable real world work experience.

John Bolte Fairbanks Local School

Daniel Sokolow Tooling Engineer Aluminum Machining

ATG As a recent graduate of Minster High School, Korey was very green, but excited and enthusiastic about being a co-op here at HTM. Korey was chosen to co-op in the ATG area where he faced the difficult task of learning the gear manufacturing process from start to finish. The original goal was for him to shadow associates in each area to learn what their day to day responsibilities are and the processes they perform. After the first week, it was easy to see that Korey was exceeding this expectation and learning at a very fast rate. This being the case, he was challenged to find ways of improving the processes throughout the ATG area. With Little direction or help, Korey came up with a great list of improvements that would help associates and also ATG as a whole. I was very impressed with this young man and what he was able to accomplish in the short time he was here. I believe Korey will do very well as an engineer and hope to see him back in future co-ops. Loren Fleischman Engineer Staff ATG

Korey Schultz Minster Local School “Overall I would just like to thank all of you for your time and effort that you have dedicated toward teaching me the ins and outs of HTM. This knowledge will help me substantially in college and I hope that I will be able to continue to learn more from you in future CoOps.” Korey Schultz

MIS Reminders If your computer is damaged in any way, please contact MIS Helpdesk to report the damage. We have a maintenance contract with Dell that will allow us to make repairs at no charge to the department. If repairs go un-fixed and are returned to Dell with damage, the department will be charged. o Examples of charges § Broken/Damaged Laptop Latches - $50 § Excessive Physical Damage (this includes stickers) - $150 § Missing/Damaged keys on laptops - $50 We encourage everyone to use the network drives H, M, and S to store all your data. If you store your data on the hard drive (C) of your computer, then you run the risk of losing this data if your Hard Drive crashes. Coming Soon….Endpoint Encryption for external devices A serious business issue facing Honda: data loss. It’s a prevalent and expensive problem. To address this need, Global Honda Security Policy mandates the use of encryption for mobile devices. Encryption turns the data into a secret code that unauthorized parties cannot read. We will be installing “Endpoint Encryption for Files & Folders” (EEFF) software on all Windows 7 machines (desktops and laptops). This “content encryption” will protect the data on removable media (external hard drive, flash drive, etc.). It encodes files so they can’t be read by unauthorized people. This protects our information and even absolves Honda of legal liability. Sharing data between e-sites using EEFF is easy. Files are automatically encrypted when written to removable media. These files can be read by anyone with EEFF and our NA-E Honda key simply by opening them. The user may not even know they are encrypted!

2014 HTM Safety Shoe Truck Schedule 1/13/14 - Redwing 2/04/14 - Safety Solutions (Semi)

3/04/14 - Safety Solutions (Semi) 4/08/14 - Safety Solutions (Box) 5/06/14 - Safety Solutions (Box) 6/03/14 - Safety Solutions (Semi) 7/15/14 - Redwing 8/05/14 - Safety Solutions (Semi)

9/09/14 - Safety Solutions (Semi) 10/07/14 - Safety Solutions (Box) 11/04/14 - Safety Solutions (Box) 12/09/14 - Safety Solutions (Box)

Letters From Afghanistan There have been many movies about letters written to soldiers stationed in harsh locations far from the life that we know. The story that is unfolding at Ottawa Elementary is far from fictional. What could have been a typical Language Arts letter writing assignment turned out to be a lesson on patriotism, kindness and understanding. Jill Shumaker, a fourth grade teacher at the school , was asked to collect newspaper articles to send to the troops: however, she took this opportunity one step further. Pfc. Thomas Magoto, son of Tom Magoto, Assistant Manager of Aluminum Machining, is stationed in Afghanistan until next March. Jill came to know about Thomas through his wife Gretchen. Gretchen has been a liaison for this endeavor. She has delivered letters and answered questions that the students have had. This has been an opportunity for the soldiers to take their minds off of what is going on around them. In addition, the children of this fourth grade class have learned so much. Pfc. Thomas Magoto personally wrote every child in the class a note, which Gretchen was able to hand to each student. Other soldiers in Magoto’s battalion have written letters as well. Discussing everything from the weather to what it is like to be far from your home and family. The class intends to continue writing letters to the troops.

-17PFC Thomas Magoto

PFC Thomas Magoto and wife, Gretchen

Jack Shoemaker Hire Date – 1/10/1994

Mark Coleman Hire Date – 10/03/1988

Donald Shirk Hire Date – 10/24/1988

David Barnes Hire Date – 10/17/1988

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Carol Nicol Hire Date – 10/3/1983

Dennis Barnes Hire Date – 10/17/1983

Greg Fraser Hire Date – 10/24/1983

Dennis Barnes Hire Date – 10/17/1983

Tom Magoto Hire Date – 10/24/1983

Kim Young Hire Date – 1/3/1984

Charlie Seimet Hire Date – 11/28/1983

Cris Morehart Hire Date – 12/5/1983

Lisa Lowery Hire Date – 1/9/1984

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Don Lewis Hire Date: 1/10/1983 End Date: 1/10/2014

Ric Van Horn Hire Date: 1/17/1983 End Date: 1/3/2014

Jim Wise Hire Date: 1/16/1984 End Date: 1/17/2014

Dave Booher Hire Date: 10/10/1983 End Date: 1/3/2014

Dan Henkle Hire Date: 7/26/1983 End Date: 1/2/2014

Rose Landon Hire Date: 12/12/1983 End Date: 1/2/2014

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John Crabtree Hire Date: 1/4/1988 End Date: 2/ /2014

Teresa Bond Hire Date: 2/15/1988 End Date: 12/1/2013

Linda Petry Hire Date: 8/8/1988 End Date: 1/3/2014

Frank Ulrey Hire Date: 9/19/1988 End Date: 11/1/2013

Greg Litteral Hire Date: 10/2/1989 End Date: 11/7/2013

Karen Wilcox Hire Date: 10/30/1989 End Date: 11/15/2013

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Christine Holycross Hire Date: 6/4/1990 End Date: 1/3/2014

Lewis Rogan Hire Date: 10/23/1997 End Date: 12/31/2013

Mike Grant Hire Date: 10/31/1996 End Date: 1/3/2014

Rae McCarty Hire Date: 10/30/1997 End Date: 1/3/2014

Candyce Hanley Hire Date: 2/4/1999 End Date: 11/27/2013

Deborah Lynn Johnson Hire Date: 5/4/2000 End Date: 9/24/2013

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The Activity Center is excited to kick off our “New Year, New You” weight loss challenge. We took notes from last year’s challenge and made some changes. This year, we are offering two different challenges: an individual challenge and a two-team challenge. We are going by percentage of weight loss instead of pounds lost.

The sign-up numbers are as follows: 78 participants in the individual challenge and 45 teams of two in the team challenge. This means we have 168 people involved in this year’s challenge. We want to encourage all of the participants to use the Activity Center during the challenge. Please don’t be discouraged if you haven’t been into the Activity Center or are just beginning. Any of the trainers would be more than willing to help you meet your 2014 fitness goals. We will have weigh-in’s every three weeks and they will be held on Monday’s. The weigh-in dates are: January 27 February 17 March 10 March 31 (FINAL WEIGH IN)

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Stay fit this winter with:

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2013 Open House

The HTM Fall Open House was held on Sunday, October 20, 2013 from 1 p.m. to 4 p.m. HTM was open for self-guided tours and children were dressed in Halloween Costumes. Candy was distributed by departments throughout the plant and hot dogs and drinks were available. Some of the activities included bowling, Corn Hole, basketball, Duck Pond, haunted house, Go Fish, photo booth, car racing, face painting, Hot Wheels race, and balloon making..

October 2013

November 2013

10/28/13 Charles Legge – Proc./M.P. Buyer

11/18/13 John Bayhan - HPDC 11/18/13 Aaron Mitchell – Equip. Service 11/18/13 Theresa Hoffman – Acct.

January 2014

December 2013 12/9/13

Jeremy Dickerson – HPDC

1/20/14

Gary Karch – HPDC

January 23, 2014 -Blood Drive (Community Blood Center) January 26, 2014 -HTM Family Winter Movie Day (Chakeres Movie Theater in Bellefontaine)

February 26 & 27 – Blood Draws March 12 & 13

– Blood Draws

June 2014

-NH Circle Main Event

August 15, 2014 – Deadline to complete Simple Steps Assessment and Preventative screening