Integrated Report 2019

67/110

65We will continue to advance management strategies that incorporate the SDGs and aim to achieve both business growth and a sustainable society.NishioIn regard to human resources development, the shortest route will be to aggressively post employees to overseas locations so that they can acquire experience. I would like to see the establishment of a system for rapidly yet steadily identifying risks while posting Japanese staff to overseas locations and leveraging the regional headquarters.OhokaIf I were to offer one more point, it is R&D. The Company has advanced analytical instruments, large-scale pilot coaters, and a solid organizational structure, and moving for-ward, there will be a need to maintain the focus on R&D and to continually launch new products that are highly profitable.OsawaLast year, I visited LINTEC EUROPE B.V. in the Netherlands, where I had the opportunity to ask about sales activities in Europe. This company is not that large, and it has achieved a certain degree of results by focusing on expanding sales of high-value-added products, which are a strength of the LINTEC Group. I have the feeling that systems using LINTEC’s solid techni-cal capabilities to provide strong support for bases of this type will make it possible for LINTEC to achieve further growth overseas.NishioWe currently have more than 200 research staff, and we have assigned a large number of staff members to overseas bases. Each year we are investing approximately ¥8.0 billion in R&D. This investment is indispensable for future growth, and we would like to continue to increase it in the future. We often hear comments from investors that we should invest because we have ample funds. We are not in any way avoiding investment due to a fear of risk. A major premise of our policy is that if the expected effects are greater than the risks, we will aggressively invest, including technical alliances and M&A.In regard to risk, in 2018 we were made aware of business risks resulting from climate change, especially in Japan, where we had record-setting heat, localized heavy rains, and large-scale typhoons. We are entering an era that will require environ-mental consideration initiatives, such as global warming countermeasures to address climate change.OhokaMaterials derived from petroleum account for a large percentage of the raw materials used in LINTEC’s prod-ucts, and as such it will first be important to reduce resource use per unit of production. In this regard, the Company has been working extremely hard on a Companywide project for several years. At the monthly management meetings, which include the participation of the executive officers, there are always reports on the progress being made at each plant. These types of initiatives could be called a matter of course for a manufacturer, but they are simultaneously both environmental countermeasures and a means of reducing costs. I think the Company is doing a good job in aggressively advancing the development of products that con-tribute to the reduction of environmental burdens while strength-ening collaboration with overseas subsidiaries.OsawaLooking at facilities, each plant proposes plans for investments to reduce environmental burdens, and the Company appropriately implemented on a Companywide basis. Initiatives from the CSR perspective of environmental friendliness are combined with initiatives to reduce costs from the perspective of increasing price competitiveness. That approach seems to be an integral part of management strategies. Also, with natural disasters increasing as a result of climate change, the Company has also prepared business continuity plans to ensure a stable supply of LINTEC products. I think that measures to address risk are progressing.NishioCurrently, we are planning a series of capital investments to reduce CO2 emissions, and we have already started to implement some of them. In the future, we will continue to advance management strategies that incorporate the SDGs, including these types of environmental countermeasures, and aim to achieve both business growth and a sustainable society.Today I received candid opinions on a wide range of topics. Thank you.Financial InformationESGStrategyOverview