progress report on our efforts toward the … · progress report on our efforts toward the...
TRANSCRIPT
Feb.2018
Progress Report on Our Efforts Toward the Accomplishment of Our New Midterm Plan for 2022
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The SRI WAY“Integrity and Soundness” “Communication”
“Set the Bar Higher” “Cultivate People”
Long-Term VisionTo be a corporate group that continues to provide the World’s Best Value in all
areas of our business.
Long-Term Vision Action Slogan
Growth Engines/New Challenges to Achieve Our Goals
Challenges of New Markets
Insatiable Drive for Innovation
Entering New Business Fields
“The World's Best On-Site Operational Skills,Research & Development Capabilities and Technical Skills” No. 1 Profitability in Our Industry
Pursue Increased Value for all Stakeholders and Greater Happiness for all Employees.
Become a True Global Player by achieving both High Profits and Rapid Growth.
We Formulated VISION 2020 (in 2012) While Predicting Possible Environmental Changes Through the Year 2020
From international affairs to technical innovations, the world has already changed beyond our expectations…
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Economic●Stagnation in Developed Countries, Rapid Growth in Developing Countries●Deindustrialization of Japan●Appreciation of the Yen in FOREX Markets●Rising Prices for Petroleum & Raw Materials
Societal●Declining Birth Rate, Aging Population●Diversification of Consumer Behavior●Frequent Natural Disasters
Technological●Rise of Automakers in Developing Countries●Spread of Electric Vehicles, Smaller Vehicles●Vehicle Modularization
Political●Tightening of Environmental Regulations●Expansion of Global Free Trade●Political Instability in Developing Countries
We Formulated a New, 5-Year Midterm Plan with 2018 as Its Initial Year
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Environmental Changes Since VISION 2020 Formulation
“Actively Seize Each Change as a New Opportunity While Striving to Be a True Global Player”
Internal Factors
Revision of Global Management Strategy
Introduction of IFRS (International Accounting Standard)
External Factors
Slowing Growth in Global Demand for Tires
Impact of Raw Material Price Fluctuations Impact of FOREX Fluctuations
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Sales Revenue/Operating Profit Targets Over Time
2018 20222020
130 BillionYen
Sales Revenue1.1 Trillion Yen
OperatingProfit
SalesRevenue
Sales Revenue1 Trillion Yen
100 BillionYen
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Sales Revenue/Operating Profit Targets Over Time (Overseas Markets)
Toward a Foundation for Earning Overseas Profits
Overseas SalesRevenue
Over 70%
Overseas Share ofOperating ProfitOver 70%
2017 20222020
Overseas Shareof Operating
ProfitApprox. 40%
OverseasSales
RevenueApprox.
60%
DomesticSales
Revenue
New Midterm Plan
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Expanding Overseas Sales Revenues & Operating ProfitToward Becoming a True Global Player
“World’s Best Value”
“New Challenges”
No.1 Profitability in Our IndustryWorld’s Best Onsite Operational Abilities,R&D Capabilities and Technical Skills
3 Growth EnginesThe Challenges of New Markets
Insatiable Drive for Innovation
Entering New Business Fields
2020
2022
Strengthening Our Foundation for Growth with an Eye Toward 2022
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“Insatiable Drive for Innovation”
NEXTTechnology Evolution
“Entering New Business Fields”
NEXTCategory Innovation
Developing Products to Support Our GrowthEstablishing “Second-to-None” TechnologyEnvironmentally Friendly ProductsBreakthrough in Golf Club/Ball Flight Distance
Supplying to Overseas AutomakersVibration Control TechnologyDeveloping Our Health Care Business
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新市場への挑戦
NEXTMarket Expansion
新興市場への進出中国市場での成長農機用タイヤのアジア展開
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Entry into Emerging MarketsExpansion in the Chinese MarketExpansion of Asian Agricultural Business
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Business Expansion in Europe & North America4新市場への挑戦
NEXTMarket Expansion
新市場への挑戦
NEXTMarket Expansion
“The Challenges of New Markets”
NEXTMarket Expansion
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AmericasAsia・
PacificEurope・
Africa
April 2016: Transition to Trilateral Global Management System Featuring Regional HQs Responsible for Each Region
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AmericasEurope・
Africa
Toward Expanding Our Sales Revenues & Operating Profits in These Regions by Over 40% by 2022
In the future, we will accelerate our efforts with a particular focus on “Europe/Africa” and the “Americas.”
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AmericasEurope・
Africa
ProductionMaking Full Use of Group Factories in
Turkey & USA
Turkey Factory USA Factory
SalesExpanding Supply to VW, FCA &Other Existing Business PartnersStrengthening Efforts to Win Supply Contracts with Audi, Porsche, Mercedes Benz, Etc.
In the future, we will accelerate our efforts with a particular focus on “Europe/Africa” and the “Americas.”
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飽くなき技術革新
NEXTTechnology Evolution
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飽くなき技術革新
NEXTTechnology Evolution
飽くなき技術革新
NEXTTechnology Evolution
成長を支える商品開発ダントツ技術の確立環境対応商品の拡充ゴルフクラブ・ボールの飛距離革新
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Advancing Our SMART TYRE CONCEPT5
“The Challenges of New Markets”
NEXTMarket Expansion
Entry into Emerging MarketsExpansion in the Chinese MarketExpansion of Asian Agricultural Business
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2
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Business Expansion in Europe & North America
“Insatiable Drive for Innovation”
NEXTTechnology Evolution
Product Development to Support Our GrowthEstablishing “Second-to-None” TechnologyEnvironmentally Friendly ProductsBreakthrough in Golf Club/Ball Flight Distance
“Entering New Business Fields”
NEXTCategory Innovation
Supplying to Overseas AutomakersVibration Control TechnologyDeveloping Our Health Care Business
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Serious Environmental Issues
Global Warming
Demographic Changes
Urban Concentration,Aging Society
Technological Advancement
Technical Innovation (AI, IoT),
Vehicle Connectivity
The Rise of a New Mobility Society Full of Cleaner, More Convenient Vehicles
Enormous Changes in the Business Environment Facing the Automobile Industry
The Spread of “Sharing”
Changing Customer Needs
Core Technologies＜Materials Simulation & Analysis Technology＞
ADVANCED 4D NANO DESIGN＜Tire Simulation Technology＞
Tyre Lifetime Simulation
Sensing Core Airless Tires
Performance Sustaining Technology
【Safety】
“Safety” Technologies
Active TreadNoiseless Tire
Technology
LCA(Life Cycle Assessment)
Long-LastingTechnology
Fuel-EfficientTechnology
Recycling Technology
【Environment】
“ENASAVE” Technologies
LightweightTire Technology
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Liquid Farnesene Rubber Suppresses Degradation
Rubber Performance Changes According to Road Conditions
Rubber
Road
Sensing Core
Airless Tire Technology
Active Tread
Performance Sustaining Technology
Transport Usage
RecyclingProduction
Materials
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202XSmart Tyre ConceptCompletion of Tire Incorporating All “Smart Tyre Concept” Technologies2023
Active TreadConcept Tire Unveiling
2017Sensing CoreDevelopment AnnouncementPerformance Sustaining TechnologyConcept Tire Unveiling
2020Performance Sustaining TechnologyAdoption in Mass-Produced TiresLCAUsed in Materials for Concept Tire (Unveiling)
2015Airless TireConcept Tire Unveiling
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飽くなき技術革新
NEXTTechnology Evolution
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飽くなき技術革新
NEXTTechnology Evolution
飽くなき技術革新
NEXTTechnology Evolution
成長を支える商品開発ダントツ技術の確立環境対応商品の拡充ゴルフクラブ・ボールの飛距離革新
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Advancing Our SMART TYRE CONCEPT
“The Challenges of New Markets”
NEXTMarket Expansion
Entry into Emerging MarketsExpansion in the Chinese MarketExpansion of Asian Agricultural Business
1
2
3
Business Expansion in Europe & North America
“Insatiable Drive for Innovation”
NEXTTechnology Evolution
Product Development to Support Our GrowthEstablishing “Second-to-None” TechnologyEnvironmentally Friendly ProductsBreakthrough in Golf Club/Ball Flight Distance
Supplying to Overseas AutomakersVibration Control TechnologyDeveloping Our Health Care Business
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2
3“Entering New Business Fields”
NEXTCategory Innovation
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Making Full Use of the DUNLOP Brand4
A Fresh Start for DUNLOP Sports as the Sports Division of Sumitomo Rubber Industries, Ltd.
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Merger Between SRI & DUNLOP SPORTS
January 1, 2018
Integration of Management
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Details of Merger with DUNLOP SPORTS
SRI Sports Ltd. FoundedSpin-Off from SRI’s Sports Division
July 2003
Listed on First Section of Tokyo Stock ExchangeAim: To Secure Independence from SRI & New Financing Methods
Oct. 2006
Posted Solid Results as a Publicly Traded Company
Overseas Expansion Entry into Wellness Business
Name Changed to DUNLOP Sports Co. Ltd.Aim: To Enhance DUNLOP Corporate & Brand Value
May 2012
In order to ensure sustainable growth, DUNLOP Sports needed a stable business foundation plus even further expansion.
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Enhancing DUNLOP Brand Value
Trademark Rights Sporting Goods Business
Licensing Business
Tire Business
Exclusive Rights Except for Europe, North America, India & Australasia
Sports & Industrial Products Business
Exclusive Worldwide Rights to Market DUNLOP Products
Using All of the Resources at the Sumitomo Rubber Group’s Disposal to Enhance the Value of the DUNLOP
Brand and Maximize Our Business
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Using the DUNLOP Brand in Our Sports Business
Increasing Licensing Deals with Pro Athletes to Enhance the Value of the DUNLOP Brand & Expand Our Tennis Business
Agnieszka Radwańska
Personal Best WTA Ranking (2nd)
Kevin Anderson
2017 US Open FinalistTaylor Townsend Bjorn Fratangelo
Donald Young Heather Watson
Licensing Agreements with 8 Tennis Players in Total
Enhancing the Value of the DUNLOP Brand Toward Expanding & Growing Our Sports and Tire Businesses
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Industrial Products Business
Once operational, this new factory in Slovenia will triple our production capacity in Europe. (vs. 2016)
New Subsidiary and Factory Established in Slovenia
Slovenia
Planned Start of Operations: April 2019
January 2015: Acquisition of Swiss Manufacturer Lonstroff
AG Total Investment: €34M （Approx. 4.4 Billion Yen）
Accelerating the Global Expansion of Our Business in Fine Rubber Parts for Medical Applications
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John Boyd Dunlop World’s First Pneumatic Tire
Striving to Be a Corporate Group That Contributes to Communities & Society While Earning Widespread Trust
Major Events in 2018~2019
The SRI WAY
“Integrity & Soundness” “Communication” “Set the Bar Higher” “Cultivate People”
Ensuring Groupwide Awareness of QA, Corporate Ethics & ComplianceFostering a Corporate Culture Where Employees Work to Better Themselves and Each Other with a High Sense of Purpose
2018: 130th Anniversary of World’s First Pneumatic Tire
2019: 110th Anniversary of Sumitomo Rubber Industries
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