ハイテク&カラー Dainichiseika

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Management Policy and Indicators

The Company and its affiliates have established the following policy with respect to management as the basis of our business activities. In addition, we have set a common goal for management indicators and are working toward its achievement. Through these efforts, we strive to grow even further in our global business activities.

1.Our Basic Management Policy

To achieve continuous growth and to realize medium- to long-term corporate value, we are continuing the following four strategies.

(1) Achievement of a 50% overseas sales ratio

To secure robust demand, we aim to conduct capital investment at overseas production bases and expand our overseas sales ratio.

(2) Expansion of domestic manufacturing system

When relocating our domestic manufacturing bases, we will streamline our production phase by installing and arranging equipment that allows us to improve productivity and save on manpower while also conducting comprehensive streamlining including our distribution system. Additionally, we will streamline production phases at our other bases through “scrap-and-build” initiatives. Finally, we will continue to actively conduct environmental measures and cultivate human resources.

(3) Focus on R&D in developing fields

We utilize new technologies in existing fields, promoting technological development. At the same time, we are focusing our technological capabilities on the following four developing fields in the industry:

  • • Environment (polyurethane derived from carbon dioxide, etc.)
  • • Energy (carbon nano-tube dispersants, etc.)
  • • Personal care (polymers for personal care, etc.)
  • • IT and electronics (highly functional polymers with various functional designs, etc.)

We will promote technological development in these fields from a long-term perspective.

(4) System restructuring

We are conducting the following.

  • • Introduction of an ERP system
    To make accurate and swift decisions in global operations, we are introducing an enterprise resource planning (ERP) system that monitors our Group’s real-time management data.
  • • Streamlining of the distribution system
    In order to contain rising transport and storage costs in Japan, we will introduce 3PL* to improve our services while linking it with our ERP system, promoting a fundamental streamlining of our distribution system.
  • * Third-party logistics (3PL): optimizing logistics operations for all Group companies by completely entrusting them to third-party professional experts

2.Targeted Management Indicators

A consolidated return on assets (ROA) (ratio of ordinary income to total assets) of 5% or higher is targeted as the group's main management objective. The Company aims to achieve this goal through implementation of the measures above, as well as by efficient investment of assets, increased profitability, and improvement and strengthening of our financial position.