Canon 2005 Annual Report Download - page 22

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20
In response to emerging user needs and market trends, Canon is
working to optimize its sales network to the conditions of local regions.
Greater Global Diversification
All over the world, Canon pays careful
attention to unique customer needs and
proposes solutions geared toward using
complex information networks with greater
ease and efficiency, in step with the global
advance of IT. Now in response to diversify-
ing customer needs and new markets, we
are organizing the operations of our global
sales network under regional marketing
headquarters: Canon U.S.A., Inc. in North
and South America; Canon Europe Ltd. and
Canon Europa N.V. in Europe, Africa, and
the Middle East; Canon (China) Co., Ltd. in
Asia excluding Japan; Canon Australia Pty.
Ltd. in Oceania; and Canon Sales Co., Inc. in
Japan. Under this system, each of Canon’s
97 consolidated marketing subsidiaries
worldwide are supported and reinforced
by their respective regional headquarters.
The Americas
Canon U.S.A. has now been in business
for 50 years. Sales grew 8.2% year on
year to ¥1,146 billion, representing 30.5%
of Canon’s consolidated net sales.
Canon U.S.A. is shifting its business
model for the office product segment
from a hardware sales-based to a
solutions sales-based focus. In addition,
it is continuing to integrate user-driven
product customization functions into its
sales companies. In the consumer
market segment, it aimed for improved
levels of customer satisfaction by
implementing service and support
infrastructure development drives and
operational reforms.
In 2006, Canon U.S.A. will recon-
struct its basic infrastructure. We are
planning to introduce a new IT system
for the purpose of improving produc-
tivity and operational quality. We will
also establish an end-to-end supply
chain management (SCM) structure,
covering SCM from the production
plant to the customer, and implement
a performance evaluation system for
Group companies and divisions in order
to optimize the allocation of manage-
ment resources.
Europe
In 2005, Europe was once again Canon’s
largest market, with consolidated net
sales totaling ¥1,181 billion, a healthy
increase of 8.0% over 2004, accounting
for 31.5% of Canon’s consolidated net
SALES & MARKETING
sales. Canon is further strengthening its
sales structure in rapidly growing mar-
kets, such as Russia and Africa.
In response to the expansion of the
EU, Canon departed from its country-
specific business approach and engi-
neered a new structure that facilitates
efficient business operations on a
pan-European scale. Reforms in Europe
included efforts to concentrate and
integrate information systems and logis-
tics services in order to increase speed
and to bring greater consistency to
business procedures.
Canon is optimizing European logistics,
including this warehouse in Rotterdam
Canon U.S.A. celebrates its 50th year
of business in 2005
Canon Europa N.V. has integrated European
call centers into a single center in Belgium