We would like to express our appreciation for your continued support and patronage.
From April 2016, the SANYO DENKI Group undertook a five-year Medium-Term Management Plan.
We implemented specific measures aimed at the following four management targets:
(1) Continue to develop world-leading products in terms of quality, performance, and reliability.
(2) Establish a borderless sales system in which all Group companies operate under the same management policy to deliver products and services that boast uniform high quality to customers around the world.
(3) Manage all information in real time to grasp every current situation concerning business activities from anywhere in the world.
(4) Build factory automation to improve production efficiency and quality as well as contribute effectively to inventory reduction and production management.
All of these measures were completed in March this year.
Regarding “factory automation,” we undertook a major revamp of our production lines for servo systems and cooling systems at our Kangawa Works and Fujiyama Works in Ueda City, Nagano Prefecture, building automated lines capable of high-mix, low-volume production. The operation of these automated lines has resulted in major reductions in production work hours, lead times, and in-process inventories. We are also proceeding with a new plan for the simultaneous construction of product design and production lines.
We also greatly reinforced our design and development functions. In April 2019, we established a new technology center in the Philippines, enabling us to enhance new product development and production technology in the Philippines. We have also constructed a new wing of our technology center in Japan, which commenced operations in May 2021 for the further enhancement of product technological capabilities.
Regarding sales activities, we placed efforts into the expansion of our global business, including the commencement of operations at SANYO DENKI (Tianjin) CO., LTD. in Tianjin, China and its Beijing Office in April 2019.
Additionally, in April 2021, we established a new company, SANYO DENKI IT Solution CO., LTD. to administer the application of IT at our 19 Group companies. The high-quality digital services provided by this new company will enhance the operational efficiency of the Group as a whole and enable real-time exchange of information.
With these kinds of initiatives, due to a significant increase in demand in the Group’s main target market of factory automation for communications devices, robots, and semi-conductor manufacturing equipment.
Dividends at the end of the fiscal year under review will be 55 yen per share, if approved at this General Meeting of Shareholders.
We look forward to your continued support.
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