**6. Conclusion**

Management in the shrinking traditional industry becomes harder and harder. It requires significant investment to upgrade "hardware systems" such as manufacturing equipment and capacity. It costs considerable risks to the manufacture as well. It also requires even more significant efforts to reform "software systems" such as distribution channels and employees' mindsets. In such circumstances, leaders have to make a decision to survive in the shrinking economy. Smart manufacturing and mass customization could give them a great opportunity to make a major progress.

Sekiya challenged these missions as a traditional sake manufacturer. They introduced digital transformation and mechanization in the sake-brewing process, which enabled Sekiya to expand the product lineups and distribution channels. The brewer also started an original sake brewery with a custom-made system. This challenge created a huge amount of fans who buy the high-quality products regularly. These fans also have been discovered through the direct channel to consumers with a restaurant in Nagoya. The restaurant has contributed to strengthen the connection with end markets. The feedbacks from end users have made Sekiya to build a capability to develop the smart manufacturing system and customization.

As you can imagine, these challenges should be related to each other deeply. In fact, we can find out from the case study that the smart manufacturing and digitalization have a big potential to generate a synergy effect for the manufacturers in the traditional food industry.
