Alpine 2008 Annual Report Download - page 3

Improve R&D investment efficiency by 30%
Optimization of development processes, platform upgrades and expansion, increased shift to China
Cut product costs by 30%
a) Reduction in number of parts used through product structure reforms
b) Reinforcement of value engineering and cost reductions
c) Increased components procurement in China
Improve indirect productivity by 30%
Optimization of organization and personnel,
improvements to business processes, reduction
of indirect costs
Outlook for the Upcoming Fiscal Year
The essence of our plan is “structural reform and growth,” aimed to promote following
growth strategy and structural reforms.
Amid rapid evolution and expansion of electronic components in automobiles, we aim to take advantage
of increasing business opportunities and gain market leadership as a global system integrator by offering
system products centering on multimedia.
In addition, by investing aggressively in global production bases, we will strengthen our supply systems
for providing highly functional system products of unparalleled quality.
Ⅰ
. Growth strategy
Ⅱ
. Structural reforms
(1)
(2)
(3)
FY2010
Net Sales of
¥300 billion
30%30%
Raise indirect
productivity
Growth Strategies
AVNCD BRICs Alliances
30%
Reduce product
costs
Reform development structure
Reform cost structure Reform indirect structure
Innovation
Companywide developments
toward optimization
Raise
development
efficiency
Structural Innovation & Growth
In response to such environment, Alpine has developed its 11th Medium-Term Plan, “CHALLENGE 30,” for
the term to fiscal 2010. Through this initiative, we will accelerate efforts for reforms including development
structure reforms, cost structure reforms and indirect structure reforms, in addition to promoting our
growth strategy for creating industry-leading products. In addition to this, Alpine will focus on reinforcing
and establishing Drive Assist (DA) which is a new, high-potential business domain. We believe that by
implementing these strategies will help us achieve consolidated sales of
¥ 300 billion in fiscal 2010,
accompanied by V-shaped recovery in profits.
Business environment in the consolidated fiscal year ending March 31, 2009, is expected to be even more
challenging, led by appreciation of the yen, high raw material prices and a slump in new car sales prompted
by the slowdown in the U.S. market.
In the automobile industry, there will be greater emphasis on vehicle comfort, fuel efficiency and safety, with
increased permeation of information and communication equipment for cars including integrated mobile media
products. At Alpine, we are well aware that such situation provides great opportunities for business expansion.
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