Omron 2001 Annual Report Download - page 8

Download and view the complete annual report

Please find page 8 of the 2001 Omron 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 52

  • 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

6 Omron Corporation
Return on Equity of 10%
To reach this target, management will focus on earnings by directing
investment capital totaling ¥120 billion toward Omron’s high-earnings core
businesses in the Industrial Automation Company and Electronic
Components Company. This represents 60 percent of Omron’s total projected
cumulative investments over the four-year period to March 2005.
Accelerating Corporate Divestitures and Establishing a Holding Company
Omron Corporation will become a holding company, and all present
businesses will become autonomous companies with strategically based
positions.
Listing on New York and Other Overseas Stock Exchanges
As a means of raising recognition of Omron as a global company and
implementing corporate governance that is highly evaluated among
international investors, Omron aims to list its stock on the New York
Stock Exchange and other overseas stock exchanges.
ACHIEVING GD2010 MEDIUM-TERM MANAGEMENT OBJECTIVES
Omron has set the following targets for the fiscal year ending March 2005, the
midway point toward achieving the objective of maximizing corporate value on
a long-term basis under GD2010.
MEDIUM-TERM TARGET
FOR RETURN ON EQUITY
%
0
2
4
6
8
10
12
14
16
3/01 3/05
CORE INVESTMENTS DURING PHASE I (PERIOD TO MARCH 2005)
●Improve earnings and growth capabilities by emphasizing investment
in existing businesses.
●Focus investments on core businesses (Industrial Automation Company and
Electronic Components Company).
INVESTMENT AREA AIM CORE STRATEGIC INVESTMENTS
Investment in information technology to improve productivity
in management/development /production divisions
Industrial Automation Improve earnings Development of new businesses
Company capability Advanced sensors/Safety applications
Build business model by user segments to increase
the number of customers
Electronic Improve growth Existing business: Build up global production systems
Components capability
Company Expansion into new businesses: IT-related electronic
components (fiber optics/mobile equipment)