We sincerely appreciate your support of Toyota Industries Corporation and the Toyota Industries Group.
In fiscal 2016 (ended March 31, 2016), the global economic growth remained at a low level due primarily to China’s slowing growth despite the solid performance of the U.S. economy. Generally, the economic outlook remains uncertain. In addition, there was a sense of stagnation in the Japanese economy as evident in cautious consumer spending and capital investment.
In this operating environment, Toyota Industries Corporation and its Group companies (“Toyota Industries”) undertook efforts to ensure customer trust through a dedication to quality as well as to expand sales by responding flexibly to market trends. As a result of these measures, Toyota Industries achieved record highs in consolidated net sales, operating profit, ordinary profit and profit attributable to owners of the parent.
With regard to the future economic outlook, despite international cooperation it appears uncertainties surrounding the business climate will continue as a further deceleration of the Chinese economy is expected, while financial policies in Japan and the United States as well as the effects of Brexit from the EU require close monitoring.
Amid these circumstances, Toyota Industries is building a stronger business foundation and addressing key management issues by leveraging the Group’s comprehensive strengths to further raise corporate value.
As immediate tasks, we will work to bolster our management platform to respond quickly to rapid changes in the business environment. Specifically, based on our quality first approach, we aim to build a stronger production foundation by maintaining and improving productivity on a global basis. We will also pursue waste-free business management and strive to improve profitability by reducing product development lead time throughout the supply chain and carrying out operations improvement activities in administrative and back-office sections. Moreover, we will strengthen risk management in order to quickly and accurately respond to changes in world affairs. To support such consolidated management on a global scale, Toyota Industries will aim to improve workplace capabilities and emphasize diversity in the allocation of personnel while developing human resources who can play active roles in countries around the world.
In addition to these measures, we will work to not only develop technologies based on the keyword of the 3Es, which we define as “energy,” “environmental protection” and “ecological thinking,” but also differentiate our production engineering technologies, and innovate our business model by utilizing the Internet of Things (IoT), in our efforts to offer attractive products to customers in the global market in a timely manner. Also, we will nurture buds of new growth from the perspectives of markets and customers and strive to commercialize them as soon as possible. Through these measures, we aim for sustainable growth of businesses in respective markets, including automobiles and materials handling equipment for which expansion is expected in the medium to long term, thereby supporting industries and social foundations around the world to contribute to an enriched lifestyle and comfortable society as specified in Vision 2020.
In other areas, Toyota Industries will create a workplace climate that places top priority on safety; enforce compliance, including observance of laws and regulations; and proactively participate in social contribution activities. By carrying out these initiatives, we aim to broadly meet the trust of society and grow harmoniously with society. With regard to protection of the global environment, we will undertake Group-wide initiatives toward the realization of “a zero CO2 emission society in 2050” based on our Sixth Environmental Action Plan developed in March 2016.
In closing, we ask for your continued understanding and support.