Sumitomo Riko Company Limited has formulated its ”2020 Vision of Sumitomo Riko Group (2020V)” mid-term management plan up to 2020.
|Sales||530 billion yen|
|Operation profit||32 billion yen|
|Operation profit ratio||6.0%|
|Automotive||430 billion yen|
|Electronics||40 billion yen|
|Infrastructure||40 billion yen|
|Housing environment & Health and Nursing||20 billion yen|
|CAPEX||180 billion yen|
|R&D Expenses||80 billion yen|
Under our “2015 Sumitomo Riko Group Vision (2015V)“ mid-term management plan, we implemented a business strategy toward “Innovation and Growth“ which included establishing a global supply system through M&As, changing our corporate name, and setting up a global headquarters. Although we reached our sales target of 420 billion yen, we are faced with the task of improving our earning power as we failed to reach profit targets due to the increased cost of new product development, declining profitability of acquired companies, a slowdown in the development of new customers, and so on.
2020V was started in fiscal 2016 under the themes of “consistent growth“ and “organizational reinforcement,“ and we have set the period between now and 2020 as a time of preparation before we aim for our sales target of 1 trillion yen by our 100th anniversary in 2029. Based on open issues from 2015V and our changing external environment, there are three points in our corporate strategy for 2020V, namely “Enhancement of environmental technology,“ “Monozukuri innovation,“ and “Development of new customers.“
With climate change prevention activities taking place in various countries and territories, environmental conservation is not only a policy matter for different nations but also a duty for companies, and the Sumitomo Riko Group is taking the initiative too. Specifically, we develop environmentally friendly products (fuel cell gaskets for fuel-cell vehicles, high-transparency heat-blocking/insulating film for windows, driver monitoring systems, etc.), develop environmental regulation compatible technologies (fuel evaporation regulation compliance, product weight reduction), CO2 emission reduction, water resource conservation, reduction in use of environmentally hazardous substances, etc.
The Sumitomo Riko Group has been a monozukuri company ever since its foundation, and will promote Monozukuri innovation in 2020V too. We will actively use more progressive technologies such as IoT and data processing and, with “SRIM 20 Act“, unite as a group to halve investment, processing and lead times and aim to double productivity and achieve zero accidents. This activity will be carried out throughout the entire Group, including not only the manufacturing sector but also the staff sector.
In our existing operations, we will utilize our global network of 105 bases in 23 countries and our soon-to-be established Advanced Automotive Systems R&D Center. We will also press ahead with sales expansion activities in the global market, actively pursue overseas growth in business areas other than automobiles, and seek new customers.