JVC 2009 Annual Report Download - page 8

Download and view the complete annual report

Please find page 8 of the 2009 JVC 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 32

  • 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

6JVC KENWOOD Holdings, Inc.
appreciation of the yen. In response, the Group carried out bold additional measures which it had mostly
completed by the end of the fiscal year under review.
The Group has implemented measures for future growth by redistributing management resources
created by these efforts.
For the fiscal year ending March 2010, to cope with the deteriorated business environment, we are
accelerating business activities with an emphasis on cash management, as we did in the fiscal year
under review, while also creating cost improvement effects of ¥20.0 billion or more through additional
measures and promoting strategies that are expected to contribute to earnings in the early stages and
also growth over the medium and long term.
1. Increase and creation of cash
During the fiscal year ended March 2009, the JVC Kenwood Group implemented cash management-
focused business activities on a Groupwide basis, producing cash (about ¥5.6 billion) through sales of
fixed assets such as the Victor Shimbashi Building and the former site of JVC’s Moriya Plant, and
increasing cash flows through a substantial reduction of inventory.
For the fiscal year ending March 2010, we are accelerating business activities focused on cash
management by decreasing the number of inventory days through reforms in this area and innovating
management of funds on a global basis, thereby creating free cash flows.
2. Thorough implementation of structural reforms
n Profit structural reform
With the management integration on October 1, 2008, the Group started a profit structural reform,
anticipating the deterioration of the economic climate. The measure included cost structural reforms
designed to overhaul the corporate and business divisions in terms of expenses, review development
Management Policy and Strategies
Basic Policies for FYE’10/3
1. Cash build-up
2. Thorough implementation of structural reforms
3. Sales expansion with profit (Promotion of growth strategies)
Cash build-up
■ Deepening the integration
■ Implementing thorough
฀฀฀฀
consolidated management
■ Promotion of growth strategies
■ Deepening the integration
■ Implementing thorough
฀฀฀฀
consolidated management
■ Promotion of growth strategies
■ Profit structural reform
■ Additional measures
Sales expansion
with profit
Thorough implementation
of structural reforms