Medium-term Management Plan

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Basic policy

We aim to be a solution provider that always keeps one step ahead of expectations and needs of our customers and leads weight reduction of cars with high-performance plastic parts while actively taking on challenges for creating new value. We also aim to be a company that can truly contribute to our society by pursuing safe and environment-friendly Monozukuri.
As the basic policy, we uphold the Corporate Philosophy below, under which we conduct our corporate activities.

  • We strive to be a company which places emphasis on people, society and the earth, in pursuit of the happiness and prosperity of our employees.
  • We will aim to exceed expectations by taking on challenges to achieve technological development and innovative Monozukuri.
  • We will establish a company that gains the confidence of our community by thoroughly creating and following our general business ethics.

Target business indicators

Under the Medium-term Management Plan formulated for five years from fiscal 2019 through fiscal 2023, we have been promoting our business operations to achieve the targets of consolidated net sales of 150 billion yen in fiscal 2023, the final year of the plan, with the operating profit margin of 9% or more and return on equity (ROE) of 10% or more. Although the production volume of major customers is on the way to recovery from the impact of the COVID-19 infection and semiconductor supply shortages, it is expected to be lower than the the production volume at the time the mid-term business plan was drafted. On the other hand, net sales for the final year of the plan are expected to be 163 billion yen, mainly due to orders for new parts and changes in the parts mix. Operating income is expected to decrease due to the cost burden caused by the delay in the start of two-shift production at the new U.S. plant, the lower-than-expected production volume, surging raw material and energy costs, and increased expenses associated with the strengthening of CSR management. However, we will promote business operations with the goal of securing an operating income margin of 5% and return on equity (ROE) of 6% by pursuing optimal production and improving operational efficiency.

FY2023; Final year of Mid-term Management Plan
Net sales (consolidated) 163 billion yen
Operating profit margin 5%
Return on equity (ROE) 6%

Strategies

Customer strategy

  1. Stably obtain orders by enhancing efforts to grasp customer needs, promoting development proposal activities, and expanding sales of strategic products.
  2. Enhance customer support on a global basis by making full use of our business sites.
  3. Consider enhancement of response to diversification of customers and new business fields.

Product strategy

  1. By further evolving our proprietary technologies, improve the value of our products, centering on instrument panels, exterior outer body parts and functional parts.
  2. By creating new value with plastic, develop new products that will respond to changing market needs.
  3. Promote vehicle development through IT innovations (IoT, AI), MBD (Model-Based Development), and co-creation activities to innovate our development processes.

Monozukuri strategy

  1. Enhance and promote operation of quality assurance systems to realize quality that exceeds expectations of market and customers.
  2. Toward achieving ultimately streamlined Monozukuri, build a totally optimized manufacturing structure from receipt of materials to delivery to customers.
  3. Promote Monozukuri innovation by establishing the MBD processes and pursuing QCD in product design and process design.
  4. Ensure timely information sharing among business sites to promote optimal production and procurement on a global scale.

Location strategy

  1. Build a foundation that ensures continuous, stable earnings for each site location, and strengthen intra-group cooperation.
  2. Strengthen cooperation within each segment for early recovery based on a BCP.

Management foundation strategy

  1. Enhance CSR management, promote environmental measures, and contribute to local communities, thereby establishing the DNC brand.
  2. Achieve a shift to proactive advance management in all management processes.
  3. Reinforce systems to support people with the aim of improving job satisfaction of every member of the Group.
  4. Realize workstyle reform by utilizing new ideas, perspectives and tools.