Konica Minolta 2004 Annual Report Download - page 8

Download and view the complete annual report

Please find page 8 of the 2004 Konica Minolta annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 62

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62

6
will clearly define core, strategic and stable businesses, and those businesses requiring restruc-
turing. At the same time, we will clarify missions and objectives for each. The Business
Technologies business, is a core activity and represents 55% of the Group’s total sales. The
Optics business is a strategic business and with its high market share and technological com-
petitive advantage, is positioned as a driver for further growth. The Medical and Graphic
Imaging and Sensing businesses are identified as stable sources of revenues and earnings,
while the Photo Imaging business is recognized as requiring fundamental restructuring. Among
the overall business portfolio, we will strategically allocate management resources to the
Business Technologies and Optics businesses.
Q. What is your strategy for the core Business Technologies business?
A. We are not the largest player in terms of sales in the business technologies industry. The
market is, however, experiencing rapid change. As digitization and colorization as well as net-
work technology continue to advance, we are aiming for significant growth in this market.
Konica Minolta will place greater emphasis on raising profitability through “genre top strate-
gies.” Put simply, our genre top strategies focus management resources on promising areas,
establishing a top position in those products in which we excel such as color multifunctional
peripherals (MFPs), high-speed MFPs, and color laser printers (LBPs). Our goal is to evolve from
simply a supplier of hardware equipment to a total solutions provider. We will make optimal
use of Konica Minolta’s technical expertise, accumulated over many years, and our sales net-
work in an effort to accurately address the needs of our customers. Through the implementation
of our genre top strategies, we will increase productivity and efficiency, expand our product
lineup, enhance our sales and development capabilities, and pursue strategic alliances in fields
of potential growth.
Establishing a top posi-
tion in markets and
regions through “genre
top strategies”
>
0%-5%
0%
10%
20%
10% 20% 30%
< Market growth
Operating income ratio >
e
f
0%-5%
0%
10%
20%
10% 20% 30%
< Market growth
Operating income ratio >
Businesses with
stable profits
Strategic business
Transforming
businesses
March 2004 March 2007
a
b
c
d
a
b
c
d
Group’s operating income ratio: 6% Group’s operating income ratio: 12%
a: Business Technologies b: Optics c: Medical & Graphic Imaging d: Photo Imaging e: Sensing f: Camera
Business Portfolio Management
Core business
ee ee