On this occasion, upon taking a post as President of IPA, I have thought about the future of diesel engines.
It has been nearly 120 years since the diesel engine was patented by Rudolf Diesel in 1892 and the very first prototype diesel engine that could actually operate was successfully built in 1897. Within those years, the power output per displacement volume has increased about 30 to 40 times as it used to be.
Since the US Environmental Protection Agency (EPA) has started regulating emissions from non-road diesel engines in 1996, it is about to reach 20 years soon. Over the years, as the first phase standards (Tier 1) was gradually strengthened to the fourth phase (Tier 4 Final), nitrogen oxide (NOx) emissions were reduced to about 1/25 and so were particulate matter (PM) emissions.
Industrial Power Alliance, Ltd. was established in 1998 and this year (2015) marks our 17th year. For all those years, IPA has been promoting research and development of clean diesel engines that comply with emission regulations of Japan, the US, and EU, and delivering such engines to our customers in a timely manner.
IPA was established for the purpose of researching, developing, and designing diesel engines as its main business. Our mission is to come up with both ecological and economical next-generation "dream diesel engine" as a group of professional engineers, while combining the DNA of both Komatsu and Cummins, "Quality and Reliability" and "Innovation".
We believe that, as long as we keep pursuing our dream, the future will be bright for diesel engines.
Komatsu and Cummins entered into a collaborative engineering joint venture in 1998 with a vision of utilizing the best parts of two strong corporate engineering cultures. This collaboration, named the Industrial Power Alliance (IPA) has been greatly successful in developing processes and products that have been of high value to the partners and their customers.
In this team, long range planning, targeting product that will require innovation in collaborative working arrangements to deliver the high-quality powertrains that our valuable customers want to make their products successful. It is an exciting time for the IPA teams to be working to not only develop advanced products but give both experienced and new great opportunities to work together. The organizations strive to have improved communication tools to help the teams reach consensus in their designs early. IPA also has integrated capable engineering team members physically into each otherís respective organizations to be successful in these future product development projects.
IPA develops engines to meet leading diesel engine emissions standards globally for construction equipment. We do this while maintaining the durability and reliability our parent organizations have historically been recognized for. This is the tradition of our parent companies for nearly 100-years in each case. By partnering with our parent organizations, we work to efficiently resolve issues experienced by customers on products in applications globally. IPA utilizes industry leading tools, processes, and resources to innovate new products to satisfy the ever-challenging requirements from our customers and global regulators.
More specifically, as we launch new T4F and Stage V engines to the market, we strive to continue to deliver on our joint commitments of quality while minimizing TCO (total cost of ownership). This includes continuously learning from existing products in the field, incorporating improvements not only retroactively, but proactively. Again, taking advantage of the vast knowledge and experience of not one, but both storied parent Organizations. Making improvements in TCO requires a multi-faceted approach; it requires choosing the best architecture to meet the challenging emissions and customer duty cycle demands, better integration with equipment OEMs, including Komatsu Chassis Division, to optimize engine and vehicle operation for improvements in response, reductions in fluid cost, and, increased material moved per hour. Furthermore, it requires investing in new engine architectures as well as advanced powertrain technologies to stay ahead of the always competitive landscape. By leveraging the joint technical expertise, evergreen product development and validation plans, IPA has established itself as a benchmark of what a robust JV partnership can achieve.