Message from the President May.2011

a monthly magazine for our employee May.2011

Meaning of Taking the First Step

As I noted in my previous message for last month, we had to consider whether to start our New Mid-term Management Plan “Co-creation21” or not due to the impact from the Great East Japan Earthquake. As a result, we have decided to make a first step of the plan. And we have already resumed our recruiting activities for mid-carrier and newly graduated.

But even though we are starting the New Mid-term Management Plan “Co-creation21” we are not being optimistic about our future. Our customers, Japanese manufacturing industries, are now facing triple difficulties, supply chain disruption, limitation of production due to the power shortage, and world wide damage caused by harmful rumors or misinformation due to the atomic power plant accident. Although I believe that the Japanese industries will overcome these crisis and limitations, we are not being optimistic.

All the manufacturers are trying to restructure their suppliers to replace the disrupted parts and supplies. But there are many parts which can not be replaced just by simple modification in design as the automotive industries are doing. There are view that the power shortage may continue for several years. Damaging rumors may be corrected by disclosing the truth and certifying the safety. But it may take some time. We may also face other unpredicted issues which could be risks to our manufacturing industries and even to the society and the economy.
Therefore, it is a fact that we have to say our prospect is unclear. But we should not stop because of this unclearness. Instead, we have decided to start our first step. Fortunately, the impact of the Great East Japan Earthquake to our company is limited. In another word, if we have a strength to take the first step, we have decided that we should move forward even the future is unclear.

I believe that most of the Japanese companies are making similar decisions now. It may be a flipside of a fear that if we stand still now, we may even loose our strength which got us out of the Lehman Shock. I would like to make every effort for us to sustain this first step.

May, 2011