Message from the President
Robust Performance of Overseas Businesses due to Enhanced Governance and Business Restructuring
Based on the spirit of the company motto, "Sincerity and Creativity", as well as the concepts of "linkage" and "technology", from which the company name is derived, Lintec has achieved steady growth by integrating its unique core technologies, namely, technologies for adhesive applications, for surface improvement, for system development, and for specialty papers and release materials, at a high level. The company has been globalizing its business by offering various products that meet the needs of society and expanding its business scope.
Fiscal 2018, the second year of the three-year medium-term business plan, LINTEC INNOVATION PLAN 2019 (LIP-2019), was an important year for the company. Although operating profit fell below the target, sales slightly exceeded the previous year's figure. The main reason for the downward pressure on the profit was an increase in raw fuel prices.
Meanwhile, in a significant accomplishment, overseas companies enjoyed robust performance. For example, Madico, Inc., a window film manufacturer and seller in the United States, moved into the black, and Lintec (Thailand) Co., Ltd. integrated manufacturing and sales by merging with the distributor. In addition, the full-fledged launch of Lintec Asia Pacific Regional Headquarters Private Limited in Singapore, which oversees business in the ASEAN region and India, supported the growth of overseas group companies. We hope to actively promote locally hired employees and increase the number of presidents and corporate officers from the ASEAN region.
(From the FY ending March 2018 to the FY ending March 2020)
- Deepening innovation aimed at driving new growth
1. Strengthening of regional strategy
- (1) Increase in the domestic share and development of new markets and new demands
- (2) Strategic investment and business expansion in the Asian region
- (3) Expansion of the existing fields in Europe and America and the pursuit of synergies with the acquired subsidiaries
2. Creation of new value
- (1) Creation of differentiated products which exceed customer needs
- (2) Development of next-generation products anticipating market changes
3. Bolstering the corporate structure
- (1) Ensuring soundness of the Group companies and continual increase in earnings
- (2) Promotion of cross-sectional operational reforms
- (3) Further promotion of cost structure reforms
4. Activities for realizing a sustainable society
- (1) Promotion of business activities conducive to solving social concerns
- (2) Promotion of work-style reforms, fostering of diverse human resources and encouragement of their active participation in the workplace
Guide to Action for the 126th Fiscal Period
- Accelerate innovative initiatives with all Group employees focused daily on uncovering issues
- Anticipate market changes and deliver products and services that delight customers
- Build on CSR foundation to help achieve sustainable society
Developing Creative Human Resources as a Driving Force of Innovation
In fiscal 2019, the last year of LIP-2019, we will focus on further deepening innovation under the new guide to action, "A Year to Face Challenges".
To drive innovation that brings about new value, it is important to promote human resource development and diversity.*1 If operational efficiency improves in the future, AI and robots will replace humans in carrying out routine work. Under such circumstances, it is those people who can continue to ask themselves what they can do who will be able to succeed. We believe that developing employees with rich creativity of a kind that cannot be replaced by AI will be a driving force of innovation, even if business operations are to be increasingly automated. Promoting diversity to facilitate the improved performance of diverse employees is one of the policies to realize this. Since the establishment of the Diversity Committee in 2016, the proportion of women among new employees has increased, reaching around 30% for the past few years. A significant increase in female managers, especially in the development division, is expected to trigger innovation in our business through the addition of the perspectives and preferences that women bring.
In addition, we seek to speed up the development of new products and increase the share of sales going to such new products. To this end, it is necessary for R&D staff to hone the ability to detect potential needs of customers and take them into consideration when developing products. We will accelerate the commercialization of products that meet customers' needs by encouraging development and sales to work more closely together.
The SDGs*2 Committee, established in February 2018, discussed initiatives to incorporate SDGs into corporate management and contribution to addressing social issues through our core business over a period of more than a year. A large number of ideas were generated from this discussion. The experience gained by the 26 members of the Committee, who came from various divisions, in participating in the activities should prove a valuable asset in further enhancing the CSR activities of our company. We believe that they will make a significant contribution as our corporate structure shifts to focus on ESG.*3
- *1 Diversity: Diversity means the existence of people in different positions and with different values in a single group. When the diverse characteristics of people and groups are respected, the right people will be able to exercise their abilities in the right place, and problem-solving from a diverse perspective as well as the generation of ingenious ideas will be facilitated.
- *2 SDGs: SDGs stands for Sustainable Development Goals, comprising 17 goals and 169 targets. They were adopted by the United Nations in September 2015.
- *3 ESG: ESG collectively refers to the following three elements: environmental, social, and governance. It is used as an index to judge whether a company can achieve sustainable growth.