WORK the Japanese way has not quite stretched to burly foundry workers donning leotards for an aerobics session before starting their shift every day.

But the adoption of Far Eastern methods has had an equally dramatic effect on the RHP Bearings plant in Blackburn.

And one of the world's most respected industrialists, Toshio Arata, chairman of Japanese bearings giant NSK which owns the RHP group, visited the site to see the changes for himself.

Three years ago the future for the Roman Road foundry looked decidedly bleak.

It was considered overstaffed and inefficient. Bosses at the RHP group were toying with the idea of buying in bearing housings manufactured in Blackburn and closing the 20-year-old factory down.

Although they found they could buy the housings, mainly used in mechanical and agricultural machinery, cheaper elsewhere they would struggle to find the range of more than 200 types made at their own site.

They decided to give Blackburn one last chance and brought in James Taylor, who had wide experience of Japanese management techniques, to try and turn things round.

Sadly one of his first tasks was to drastically cut the workforce down from 160 to 110. Most of those who went were in management posts.

He then embarked on sweeping changes in the way the site operated, encouraging workers to become far more involved with the company and improve their skills.

"A learning culture was initiated at the site to encourage people to go to college and get qualifications in their field," said Danny McGuire, a pattern maker by trade and now plant manager.

In the first year 11 per cent of the workforce took courses in further education, 30 per cent in 1994 and 46 per cent in 1995.

The 'empowerment' of the 107 employees, backed by a guarantee of no compulsory job losses, has paid real dividends.

Productivity in the last three years has almost doubled and the costs of the finished housings cut by 25 per cent.

"We have had some real stars come through here now they have been given the chance to show what they are capable of," said Mr McGuire.

In 1994 the company embarked on the Investors in People programme.

"It was all aimed at raising the ability of the site to become world class with world class operators."

Allied with Investment in People has been investment in the latest technology.

More than £800,000 will be ploughed into the site over the next two years on top of the £600,000 already invested.

Although the site has made major progress over the last three years, Mr McGuire is under no illusions that the battle has been won.

"We are facing competition, particularly from the Chinese. Their wage rates mean they can produce much cheaper but the quality is far below ours.

"They will improve and we have to get better all the time to meet that challenge."

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