Top>Corporate Information>Management Concept and Policy

Management Policy

1. Basic Management Policy

The management concept for Oiles Corporation Group is "to become a world leader as a general manufacturer of oil-less bearings and serve society through technology."

This management concept is the foundation of our management style, based on the spirit and aspirations of our establishment to "master core technology such as friction, wear, and lubrication through innovative research and development, deploy this technology globally, and serve society."

By considering bearings as "BEAR" (to endure, to support, to convey and to carry) from a broader perspective, rather than simply positioning them as one mechanical component, we have been created our products that society needs with our unique technology in all ages. Our mainstay product, "Oilless bearings," is an environment-friendly indispensable part that does not need refueling or reduces the number of refueling cycles. As mechanical element parts that reduce maintenance and save energy, our bearings are used in an extremely wide range of fields, not only for mechanical devices such as automobiles, construction machinery, information equipment, and production equipment, but also structures such as dams and water gates.

In addition, the business of our corporate group has been developed into "seismic isolation/damping device" that reduces damage to buildings due to large-scale earthquakes by adding damping technology that controls vibration to the tribology technology cultivated with oilless bearings, and has also been developed into "smoke exhaust/ventilation system" that ensures safety in the event of a fire, and has come to support the maintenance and development of urban functions and social infrastructure by applying our tribology technology.

Our corporate group has three main businesses: bearing equipment, structural equipment, and architectural equipment.
From the perspective of contributing to the reduction of environmental load by energy saving, and also providing "safety," and "comfort" to society, the business itself has a high degree of social contribution, and we believe that this is the meaning of existence of our corporate group. And we will continue to develop products that are indispensable for our customers to become "the world's first" and "the world's best” and will continue to take on the insatiable challenge of contributing to the sustainable development of society.

2. Target Management Indicators

Oiles Corporation Group has prioritized (1) operating profit on sales and (2) return on equity (ROE) as the management indicators that we should be targeting. The target for (1) is the profit made from our primary business and the target for (2) is the profit that should be earned in terms of capital efficiency. These are the indicators that we are using as we forge ahead with our business activities.

We are targeting at 15% or higher of an operating profit on sales and 10% or higher of return on equity (ROE), since we believe that raising both of these indicators will improve corporate value.

3. Long-Term Vision and Management Strategy, etc.

Our corporate group aims to become an excellent company through realizing our management concept with the following long-term vision.

《Long-term Vision》

  • Company that contributes to the preservation of the global environment and delivers "safety" and "comfort" through products and technologies that the world requires
  • Company that makes market to develop “one in the world” products by pursuing the technology of tribology (friction, wear, lubrication) and damping (vibration control).
  • Company that fulfills its social responsibility (CSR) and through its business highly contributes to the realization of a sustainable society.

In addition, regarding the medium-term management plan starting from FY2021 (FY2021 to FY2023), we have established and started the medium-term management policy as follows. The entire group will work toward the realization of the growth targets set in the plan.

《Medium-Term Management Policy》

  • Realize growth targets for each business by promoting global management
  • Strengthen technological capabilities and improve productivity by effectively utilizing management resources through “Selection and Focus”
  • Create an environment and culture where employees’ diversity is respected and employees can grow together with the company

The management strategies for each segment are as follows.

(Bearing)

In the bearing equipment business, we will construct a strong profit structure through "Selection and Focus" in order to respond to changes in the environment, expand sales of mainstay products and develop new products with a view to the future. For products for general industrial machinery, we will further strengthen initiatives for “growth markets” such as semiconductors, precision machinery, and renewable energy, etc. We will also expand customer base, primarily in the Asian region. For products for automobile machinery, we will strengthen initiatives for the development of new mainstay products that are necessary in the CASE generation, and expand global share with damping devices, suspensions, and steering as pillars. In addition to the realization of these strategies, to speedily discover and develop new projects for the future, we will expand the technology and R&D area at Fujisawa Plant (scheduled to be completed in 2021), aiming for the top of bearing technology and will always provide new value to the market.

(Structural)

Our structural equipment business protects human lives, buildings, equipments and social infrastructure, etc. from earthquakes, which is exactly our management philosophy "Serving society through technology” and maintain a high profit level with quality and product development as the source of competitiveness. In the area of products for bridges, we will concentrate on capturing demand for renovation and repairs of earthquake proofing for aging infrastructure. We will also proactively propose base isolation of small-to medium-sized bridges in parallel with initiatives for large-scale project. In the area of architectural products, we will proactively expand sales of vibration control devices for high-rise housing and redevelopment projects and also expand market share through the development of new vibration control device products for large distribution warehouses.

(Architectural)

Window operator, which is our mainstay product for this segment, provides "comfort & health" and "energy conservation", in consideration of increasing the needs of ventilation for Covid 19, not limited to conventional needs of smoke ventilation.

We will firmly hold the top market share by strengthening and improving the sales network and construction system, and focus on acquiring renovation project. For housing equipments, we aim to expand sales and profits by accelerating new product development and sales that accurately capture customers’ needs, strengthening our distributor network, and acquiring new OEMs.