JVC 2005 Annual Report Download - page 17

Victor Company of Japan, Limited 15
Promotion of Structural Reform
In fiscal 2006, the Consumer Electronics segment will
move forward with structural reform to achieve high-speed
management and enhance efficiency. In April 2005, the
president, myself, and the vice-president of the AV &
Multimedia Company allocated management responsibility
by product category and put into place a simple new
organizational framework to realize product category
based development, production, and sales. In addition, in
fiscal 2005, we reorganized operations to clearly place
responsibility for orders with sales staff and responsibility
for supply with production staff as part of efforts to ham-
mer out kinks in production, sales, and inventory opera-
tions that contributed to poor performance in the fiscal
year under review. We aim to achieve on-time market
delivery of products through these reforms to operations
and development processes.
We will also strictly manage inventory periods according
to three product “freshness” categories—less than three
months since launch, less than six months since launch,
and six months or more since launch—with the aim of
achieving an average inventory turnover of 35 days on a
consolidated basis by the end of fiscal 2006. Leap Ahead
21 targets average inventory turnover of 28 days on a
consolidated basis by the end of fiscal 2007. We will strive
to improve the accuracy of sales forecasts to achieve this
target ahead of schedule.
Furthermore, we will reduce the number of manufactur-
ing sites and streamline the workforce to create a simple,
lean organization.
Three-in-One DVD/VHS/Hard Disk
Combo Recorder
VHS, hard drive, and DVD recording in a single, sleek component that
incorporates JVC’s proprietary high quality technologies.
Displays Will Play a Key Role in Accelerating Growth
In fiscal 2006, we will establish PDP and LCD TVs, which
take advantage of horizontal integration; HD-ILA rear pro-
jection TVs, which take advantage of vertical integration;
and CRT TVs as the cornerstones of our display business.
We are focusing, in particular, on HD-ILA rear projection
TVs, which we have positioned as the third JVC option for
large-screen flat-panel TVs, along with plasma and LCD
TVs. Our HD-ILA rear projection TVs balance uniformly
bright images with low power consumption and screens
exceeding 50 inches with a sleek, lightweight design. In
May 2005, we introduced HD-ILA rear projection TVs in
52- and 61-inch screen sizes in Japan, taking the next
step following the U.S. launch of HD-ILA rear projection
TVs toward making the JVC name synonymous with HD
projection TVs.
JVC’s HD-ILA rear projection TVs owe their bright, high
definition images to the Company’s proprietary D-ILA
microdisplay device for projectors and their natural, true-
to-life color reproduction to newly developed Image
Intelligence LSI, that uses an integrated CPU to perform
dedicated image processing. Products of our quest to
deliver sound and images that touch the emotions, the
cutting-edge technologies incorporated in our products
are part of what make them stand out from the crowd.
JVC aims to launch its HD-ILA rear projection TVs in
China and other parts of Asia in fall 2005 and plans to
introduce 70-inch screen and full high vision models in fis-
cal 2006. Going forward, we will forge ahead with our
global market strategies for HD-ILA rear projection TVs as
we work to meet our target of total sales of 300,000 sets
by the end of fiscal 2006.
DVD Compact Component System
This DVD compact component system features two-way wood cone
speakers tuned by JVC recording engineers, realizing fantastic true-to-
life acoustics.