Omron 2014 Annual Report Download - page 17

OMCA’s support and advance of Omron’s
global vertical-horizontal management system
can also be seen in the restructuring of a manu-
facturing subsidiary that was used by the Elec-
tronic and Mechanical Components Business.
This subsidiary boasted a strong technological
base but no longer fitted strategically into the
overall scheme of Omron’s business portfolio. In
2013, OMCA undertook the restructuring of the
subsidiary, providing human resources and legal
support and finally divesting it as a management
buyout. Moreover, this restructuring was under-
taken without incurring any losses or causing
any inconveniences to the employees of the
facility.
Another example concerns a logistics center
in North America that Omron was directly man-
aging roughly three years ago. To improve effi-
ciency and reduce overhead, OMCA decided to
utilize the services of a third-party logistics
company to which it could outsource all ware-
house operations. OMCA successfully transi-
tioned from operating the warehouse itself, and
the resulting efficiencies, costs savings, and
delivery improvements to customers have
gained recognition.
OMCA also serves as an advocate for the
Omron Principles in the Americas. These princi-
ples are the central binding force for all Omron
Group companies, and they play a part in ex-
panding local hiring in emerging markets as well
as in post-merger integration (PMI). According
to Blakeway,
“A huge part of PMI is just how to
integrate the right mind-set and the right code
of conduct into the Omron world.”
Luckily, problems are rarely faced in communi-
cating the Omron Principles within North Ameri-
ca. However, going into South America and
other areas where customs are different than
employees are accustomed to can sometimes
Cross-Regional Exchange of Expertise
Support in Reconstructing the Safety Management System at HCB’s Dalian Plant
OMCA has also leveraged its resources and its expertise in other areas, as it supported the
development of an occupational safety management system at a factory located in Dalian, China,
outside of its jurisdiction.
Omron Dalian Plant
Safety education for employees
CEO Yamada speaking with local employees in Brazil
About Omron Where We’re Headed Corporate Value Initiatives Corporate Value Foundation Financial Section
OMRON DALIAN CO., LTD. (OMD), employs
approximately 2,500 workers and produces
roughly 70% of the blood pressure monitors and
other healthcare and medical devices Omron
sells worldwide.
In
2012, an enterprise risk analysis was
conducted at the Dalian Plant by an assessment
team consisting of members from both the
Healthcare Business (HCB) and the corporate
legal affairs department. The purpose of this
analysis was to assess critical business risks.
It was determined that production line safety
needed to be improved and that employees
required safety education. A cross-organization-
al task team was thus assembled to reconstruct
OMD’s safety management system. The team
consisted primarily of OMD staff, but specialists
were also called in from OMCA, regional man-
agement company OMRON (CHINA) Co., LTD.,
the headquarters of HCB, the corporate legal af-
fairs department, and safety business divisions
of the Industrial Automation Business.
The success of a safety management sys-
tem hinges on the employees that work on the
ground. It is crucial that the practices of regular
occupational health and safety and machine
safety risk assessment become thoroughly en-
trenched in these employees’ minds. For this
reason, safety education is of utmost importance.
In the United States, Omron’s operations have
a high level of occupational health and safety
management systems in place, and robust en-
vironmental, hygiene, and safety education pro-
grams are provided. OMCA was therefore able to
dispatch specialists on these matters to aid OMD
not only in inspecting its plant but also in develop-
ing education programs on these subjects.
This cross-regional exchange of expertise
is a prime example of Omron’s global vertical-
horizontal management system at work. Going
forward, we intend to expand the Dalian Plant’s
safety management initiatives to other divisions.
Special Feature1Global Vertical-Horizontal Management
30 Omron Corporation Integrated Report 2014 31