Integrated Report 2018
Tadano Ltd. Ko-34 Shinden-cho, Takamatsu, Kagawa, 761-0185, Japan Phone: +81-87-839-5555 Fax: +81-87-839-5743 URL: http://www.tadano.com/ Today, Tadano’s products play a key role at construction sites around the world. Outlined on the next page is Tadano’s products and technologies play a vital role in the “Sozo (Creation), Hoshi (Contribution), and Kyoryoku (Cooperation)”, Tadano’s construction of everything from high-rise office buildings and Corporate Philosophy. highways to environmentally friendly wind turbines and the houses we call home. Our lifting equipment, designed to work reliably even under the harshest operating conditions, continues Contents to win the hard-earned confidence of our customers. 1-4 Introduction Contents / Corporate Philosophy (Business Objective) 5-6 Value Chain Designing, Manufacturing, Delivering, Servicing We work according to our corporate philosophy of Sozo (Creation), 7-11 Top Message Hoshi (Contribution) and Kyoryoku (Cooperation), and we are 12-14 What is Lifting Equipment?/ Value Creation Process committed to helping you turn your dreams into reality. 15-22 Business Overview Mobile Cranes Truck Loader Cranes Aerial Work Platforms Others 23-28 Stakeholder Engagement Our Promises to Customers Our Promises among Employees Our Promises among Partners Our Promises to Shareholders and Investors Our Promises to Society 29-30 Corporate Governance and Compliance 31-32 Performance and Financial Highlights (Consolidated Basis) 33-34 Consolidated Financial Statements 35 Topics 36 Company Profile and Stock Information 37 Executives 38 History 39-42 Offices and Plants, Group Companies, Distributors
Please see our website for further information related to Tadano’s financial results and ESG.
http://www.tadano.com (English) http://www.tadano.co.jp (Japanese)
*About the data published in this report This report provides financial and shareholder information published in the financial results for fiscal year 2017 (ended March 31, 2018) and the list of Group companies and distributors outside of Japan, current as of July 31, 2018.
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pdf090_0390587913009.indd 1 2018/10/30 10:06:42 pdf090_0390587913009.indd 2 2018/10/30 10:06:45 Delivering products that will contribute to the world,
Striving to Become No. 1 Worldwide in the Lifting Pursuing Further Excellence for the World and the our corporate philosophy of Sozo (Creation), Equipment Industry Future
Lifting equipment plays an essential role in the development of Our brand message is “Lifting your dreams.” Here the word Hoshi (Contribution) and Kyoryoku (Cooperation) is everything in our society from urban infrastructure to the energy “dreams” refers not only to the goals and aspirations held dear and natural resource sectors. Lifting equipment contributes to by individuals, society, and our company, but also to the ambition society in a way that no machinery can. Tadano’s goal is to in each of us that turns these dreams into reality. At Tadano, we our business. become recognized by our customers around the world as an believe that high-quality lifting equipment can contribute to a indispensable company in this business domain. better society and the prosperity of our customers, and we aim to maximize our corporate value while meeting the expectations Our Core Values: Safety, Quality, and Efficiency of each and every stakeholder. Simply stated, we are pursuing further excellence for the world and the future. With our unwavering core values of safety, quality, and efficiency, we place top priority on the safety of our customers and the greater community. Through strengthening the quality of our products, services, and business operations, we in turn hope to contribute to the improved operational efficiency of our customers. These values not only strengthen our company “Let’s start a steel fabrication business where we can fully utilize our skills.” culture but also stand behind every product we deliver.
“If we do meaningful work that benefits people, we will succeed. First, we come together and gather our strengths.” “That is the beginning. Then, we must do something new that other people are not doing yet.” “There is no challenge in doing things the same way they have always been done.”
Corporate Philosophy Pyramid
Business Business O ective Objective ● mplementing the orporate Philosophy ( reation, ontribution, ooperation) Philosophy and Values Vision ● Vision Pursuing urther E cellence for the orld and the uture ・The Tadano Group is wor ing to meet the e pectations Core Values of all sta eholders and to ma imi e our corporate value. ・ e are also creating an organi ational culture that allows These are the words of Masuo Tadano, the founder of Tadano. for continued learning and growth. Business Domain ● Core Values Long erm oals and Long-Term Goals At the heart of these words is the idea that a company can exist only when it is in harmony with the people around it. Safety (S) Policies Prioriti ing the safety of society and of all those who He believed that it is because we function best when we have this harmony that we should aim to be of service to Major Policies Industry ma e and use our products and services Safety and ealth Policy, Quality Policy, Environmental Characteristics people (Contribution), to combine our efforts as a team (Cooperation), and provide new value to the world (Creation). Policy, echnology Policy uality ( ) Pursuing uality improvement, including of products, services, and business operations Mid-Term Management Plan This is the origin of our Corporate Philosophy as it has come to be today: Sozo (Creation), Hoshi (Contribution), id and Efficiency (E) Enhancing efficiency in our business operations, Kyoryoku (Cooperation). Implementation of this Corporate Philosophy is the ultimate business objective of the Tadano Group. Short erm as well as contributing to improvements in customer Plans business efficiency Fiscal Year Management Plan This steel fabrication business that started with just 4 workers and a small factory went on to develop the OC-2, Japan’s first hydraulic truck crane. Tadano’s core values are Safety irst, uality Second, Efficiency Third, and we always uphold them in The company then boldly took up new challenges, with everyone working together to produce a range of products. pplication this critical order of priority. owever, since it is impossible to aily Business Plans / Action Plans to manage our company without the third value of efficiency, Our products are now making contributions to people living and working throughout the world every day. we must ensure Safety irst, uality Second by any Wor means necessary.
We want to make something that will contribute to the world. ● Long erm oals ● Business omain ・ ecoming o.1 orldwide in the ifting E uipment ndustry ur business domain is ifting E uipment We want to be a company that can contribute to the advancement of society. ・Attaining a sales ratio of 80 outside of Japan (Mobile machinery used for lifting loads and ・ ecoming a company with stable and high profitability carrying out aerial wor ) These are the ideals that have molded the history of Tadano. Sozo (Creation), Hoshi (Contribution), (Attaining an average operating margin of 20 ) Kyoryoku (Cooperation) are in our DNA.
03 04 Value Chain Servicing At Tadano, we implement Total Quality Management (TQM) throughout the value chain, which we (Customer Support) describe as “Designing, Manufacturing, Delivering, Tadano’s services consist of after services, which include repair services for the products we have delivered, and before services, and Servicing.” To ensure that our customers will such as inspections and maintenance to ensure safe use. Product continue to choose our products, we are constantly Manufacturing downtime leads directly to business losses for customers. That is why Tadano strives to deliver outstanding service exceeding the polishing our product quality and service capability (Production, Procurement, Quality and Safety) highest customer expectations. (including parts), our long-standing advantages. By In addition to 10 branches and 23 sales offices in Japan, our service At Tadano, we take pride in our technology, which has network includes 352 authorized service contractors and 939 further enhancing our product competitiveness and been passed down and honed since the company began authorized service personnel across Japan. With the used crane value, we strive to be a manufacturer as a welding business. We rely on our human resources establishment of 7 parts centers including the Tadano Global Parts to preserve and cultivate our technology. Cranes are Center in Kobe, Japan, we aim to dramatically reduce the delivery with four synergistic strengths. especially complex pieces of precision machinery. The time for parts. key to fitting their many intricate pieces together to Our global service network (including direct and distributor- create a high-quality product lies in continuous provided service) spans the entire world. We constantly work to improvements in skill and technique derived from our enhance this network and improve our quality of service. We wealth of accumulated engineering experience. Tadano provide specialized training at our facilities in Japan, in addition to develops the skills of its workforce through both local technical training courses outside of Japan. In order to further specialized skill training, which leads to quality develop our human resources in service and other areas, we improvements, and multi-skill development, which leads Delivering provide systematic training at the Tadano Training Center. to efficient manufacturing. At the same time, we are injecting our resources into the development of new (Sales) facilities, equipment, and production technology. While our core production plants are located in Japan, Japan is our home market, and the feedback we receive Tadano also manufactures products that meet a diverse from discerning customers here helps Tadano’s products range of global needs at key facilities located in Germany, and quality grow stronger. Here we must succeed the United States, and Thailand. This integrated network against stiff competition, while maintaining and building results in a highly-efficient and cost-competitive global on our solid position in every product category. We production model. We are reinforcing our efforts to convey the needs identified from the true voices of our achieve global quality, by implementing our core values customers to development and services to create ever of safety, quality, and efficiency at our companies. better products and services. Tadano’s global network responds to crane demand in international markets through establishing distributors highly familiar with local business practices, legal systems, and other conditions, as well as through direct sales by Tadano Group companies. The close ties we have built with our customers in every country allow us to quickly and efficiently meet their needs.
Corporate Philosophy Core Values (Research and Development) Mid-Term Designing Management Plan ple en lanning tation At the heart of Tadano’s design process is our complete benefits to our customers. At Tadano, we have tight-knit customer-oriented perspective. Our engineers go to the cooperation between development engineers and the Targets Reviews actual jobsites to see in person how a product is used production line workers to support building Tadano Corporate olicies and to hear directly from our customers what kind of products with the highest quality and performance. functions would satisfy their needs. Furthermore, our global designing process bolstered by We want to create products that are strong enough to collaborative manufacturing with Group companies—in withstand the harshest of jobsite conditions and Germany, the United States, and Thailand—will continue Designing Customers products that are quiet enough to operate without to evolve. We want to produce products that exceed the obstructing the peaceful calm of residential areas. We expectations of our customers. There is no end to the want to be able to deliver products that bring true array of challenges Tadano will take on. Manufacturing Servicing
Delivering
05 06 Top Message We Must Fight Two Battles: The Battle Right in Front of Us and the Battle with the current Era. Otherwise, We Will Have No Future.
Past Achievements and Future Challenges
Tadano celebrates its 100th anniversary our ambitious goal of becoming No.1 in the world. Instead Although the company was officially established on August of trying to tackle everything at once, we set priorities and 24, 1948, its journey began on the day when the founder work on them one at a time. Masuo Tadano left Takamatsu for Asahikawa, Hokkaido, to start a welding business. That day, August 29, 1919, is the Vulnerability to economic fluctuations day we refer to as the date of our foundation. At that time, Compared with construction equipment like hydraulic welding technology was gaining ground and developing excavators, mobile cranes are distinguished by their rapidly outside of Japan, and its introduction in Japan outstanding durability, long service life, and higher prices was only beginning. Captivated by the sparks of welding, for used products. Rather than replacing old equipment Masuo Tadano was convinced that the technology would when it breaks, our customers tend to invest in new make a positive contribution to society and ventured products only when the economy is booming, and to to start a business in Hokkaido. Guided by the spirit of postpone purchases when the economy is faltering. “Sozo (Creation), Hoshi (Contribution), and Kyoryoku In other words, mobile cranes tend to be vulnerable to (Cooperation),” which continues to live on as Tadano’s economic fluctuations. business objective, we are committed to continue offering products and services that are useful to society. Becoming a stronger company Tadano’s past sales and profits show that sales in the As the top manager of a company particularly vulnerable Japanese market accounted for a majority of sales during to external factors, perhaps I should simply accept the the 1980s and 1990s. However, after the collapse of the reality of the economic cycle and hope that our business bubble economy, sales dropped by half around 2002. will turn a profit again when demand recovers. But while Since then we focused on increasing the ratio of sales accepting the demand fluctuations in the lifting equipment outside of Japan, and our performance peaked in fiscal industry, we must face the challenge of overcoming our President and CEO year 2007. Then came the Lehman Shock and demand fell vulnerability. We often hear the expression “unforeseeable by half in just two years. In fiscal year 2010, the company events.” Rather than blaming our performance on Koichi Tadano recorded its biggest loss. Although the loss is partly “unforeseeable events,” we want to build a company explained by the demand cycle, we learned the hard way capable of incorporating these challenges into our Born in Takamatsu, Kagawa in 1954, how easy it was for a company to slip into a deficit. strategies. Koichi Tadano joined Tadano Ltd. in One option was to revisit our business portfolio and Being a stronger company means being able to 1988 after working for Marubeni diversify into areas other than the lifting equipment continuously generate profits and develop human Corporation. In 1997 he was elected business. Instead, we took it upon ourselves to focus resources, regardless of economic conditions. Tadano president of Faun GmbH (now Tadano on the lifting equipment business domain and since aims to be a company with stable and high profitability, Faun GmbH), the company’s German then have been working tirelessly to pursue our long- and specifically targets an average operating margin of subsidiary, and was appointed director term goals of becoming No. 1 worldwide in the lifting 20% or more. A margin of 20% is high, but I believe we of Tadano Ltd. in the same year. He has equipment industry, attaining a sales ratio of 80% outside need to achieve this target to continuously generate profits been serving as the company’s of Japan, and an average operating margin of 20% or even when we face an unfavorable business environment. President and CEO since 2003. more. We face many challenges ahead before we can reach This approach is embodied in the “Four Tadano Arrows.”
07 08 The “Four Tadano Arrows” Management Plan (17-19) as “Becoming a Stronger Company The Tadano Blue Arrow (the color of the sky) represents trends in (Focusing on the Tadano Red Arrow).” markets, demands, and exchange rates (the external business In the past, we celebrated when a rise in demand led to better environment) that change in complex ways like the weather. The performance. We panicked when a drop in demand resulted in Tadano Red Arrow (the color of passion) represents self-support poor performance. Even though the fluctuations in our efforts, or things which we can control ourselves by putting in our performance were primarily caused by shifts in demand, we best efforts. The Tadano Yellow Arrow (the color of gold) represents simply reacted to only the results each time. To break this cycle, large-scale investments such as construction of new plants and we need to focus on the Four Tadano Arrows, especially the Red. M&As. Combining the three Tadano Arrows produces the Tadano At the same time, we constantly need to anticipate, prepare for, Black Arrow (the color of profits). and respond to the Blue Arrow given the unpredictability of the world we live in. We should prepare ourselves in both ways, so Focusing on the Tadano Red Arrow that we are ready to face changes at any time.
Market What we must never forget (demand, exchange rate) Performance I always tell our employees about the three important events we must never forget. The first is the layoffs we implemented three Self-support times during the recession between 1998 and 2002. The second Efforts is the recall in 2004, and the third is the four workplace fatalities Investments we have suffered in the past. (new plants, M&As) Since experiencing these events, we have renewed our commitment to human resources development based on our Important Themes and We have learned the importance of focusing on the Red Arrow, understanding that employees are our greatest assets. which we can control, instead of overreacting to the Blue Arrow. Recognizing that our cranes being allowed on public roads is a Strategies We must continue to strive both in good times and bad, and grow privilege that comes with great responsibility, we began to devote while producing results every year. This means that the Red Arrow our efforts to our Corporate Social Responsibility (CSR). Guided must always be pointing up. This is the kind of company that we by safety, quality, and efficiency, our core values we hold Further global growth want to be. That is why we defined the basic policy of the Mid-Term sacrosanct, we put safety first in everything we do. Tadano is a Japanese company, born and raised in Japan. It is likely, however, that the Japanese market will gradually contract due to its declining birthrate and aging population. Tadano is working to bolster its presence in Japan, Europe, and North America, which we consider to be our key markets. We have positioned all other markets as strategic markets, where we are building on our sales and service networks. In the last decade, Future Outlook and Risk Awareness Tadano has established 17 Group companies and expanded manufacturing centers 8 business locations outside Japan. In 2016, the company also opened a Global Parts Center in Kobe as results in fiscal year 2014 and 2015, the Shido Plant, our core part of its efforts to expand its lineup of parts and services in plant, was operating at full capacity at the time. To further increase The era of complicated, rapid, and extreme changes We should keep in mind, however, that mobile cranes can be Japan and beyond. Tadano has also dedicated its resources to our market share in the future, we may need to enhance our The world is presently in a state of great instability and we have transformed into a range of traveling and operating configurations human resources development. The company established a new production capability. entered an era of complicated, rapid, and extreme changes. As depending on the length and the angle of the boom. We need to training center in the Shido Plant to further enhance the skills of Driven by the need to build new plants to achieve our goal of the major advanced nations lose their political leadership, some ensure that our products are safe and secure and that they do not our authorized service personnel who work for service contractors becoming No. 1 worldwide in the lifting equipment industry, we are describing the current world situation as a “G-Zero” era, topple over when their positions change. Also, it serves no value across Japan and to implement technical and safety training for acquired a 20-hectare plot in Takamatsu, where construction is characterized by the absence of leaders. This political instability is if only our products demonstrate outstanding technology at our distributors and service personnel outside Japan. currently underway. We have invested more than 20 billion yen as impacting the economic environment and is causing unpredictable construction sites; rather, it is more important to improve the “One Tadano” is a slogan that expresses our determination to part of a Tadano Yellow Arrow strategy with the goal of disasters. Also, as the pace of technological evolution accelerates, efficiency of the entire operation. In light of our awareness for the achieve further global growth by sharing common values within commencing operations in the summer of 2019. One of the most we are beginning to witness exponential changes generated by a need to revisit the role of cranes at construction sites, Tadano the Tadano Group and working together as a team. The concept important advantages of the new plant is its seashore location, world-changing technological revolution. Once a change announced its agreement with Kyoto University for a of “Breadth & Depth” reminds us of the importance of identifying which allows us to transport large cranes directly to Kobe Port for manifests itself, it spreads explosively and results in social comprehensive partnership for collaborative research. The and gaining a good understanding of our customers’ needs in shipment outside of Japan. transformation. A similar change is imminent in the lifting company is also engaged in research with many other universities different regions while expanding our market share. equipment industry and we need to be ready. and partners on individual themes such as AI. Our current policy is to maintain and expand our sales in the Overview of the new plant Japanese market while increasing the ratio of sales outside of Name: Kozai Plant Amount invested: Over 20 billion yen Major changes caused by technological innovation Diversity and flexibility in the workplace Japan. We have established the following mid-term goals on the basis of our long-term goals: 300 billion yen in net sales in fiscal Location: Kozai Kitamachi, Takamatsu, Kagawa No. of employees: Approx. 100 Tadano developed Japan’s first hydraulic truck crane, the OC-2, in The wave of the declining birth rate and aging population looms Site area: Approx. 200,000 m2 year 2022 (100 billion yen in Japan and 200 billion yen outside of *First phase: (Nov. 2017 to Jul. 2019) 1955, and over the next 60 years has made technological over every company in the construction sector and beyond in Total floor area*: Approx. 47,000 2m Second phase: TBD Japan) and 50 billion yen in operating income. To achieve these advancements essentially to lift heavier loads over longer Japan. Adapting to this change will require us to utilize female, targets, we must find the optimal balance in two possible tactics, distances for various constructions, maintenance, and service senior, and foreign workforces. Because Tadano first began as a organic growth and M&As, and two viable strategies, namely purposes. In 2017, the company established an Advanced welding business, we inevitably have a high proportion of male expansion of regional presence and product lineup. Technology Research Division and is set to achieve further workers now. Today, women participating in welding and other advances in technological innovation. technical competitions are achieving outstanding results. Going For instance, the construction sector, where Tadano’s products forward, we need to create a workplace where women can not Higher resilience play a vital role, now faces a major problem, particularly in Japan. only survive, but also thrive. At our new Kozai Plant that is currently Tadano has established the following six keys to success to The country’s low birth rate and aging demographics are resulting under construction, we plan to install air conditioning equipment cultivate higher resilience to sudden demand changes: Extending in a decrease in the working age population and the number of and increase the number of automated functions. We have also our capabilities, becoming lean, flexibility, diversification, agility, construction workers. Given the declining number of experienced raised our capacity for rehiring retired employees, and have and quality improvement. operators capable of maneuvering cranes with skill and ease, we accepted a larger number of trainees from abroad. As one of our specific strategies, we are constructing a new plant must move toward further simplifying, facilitating, and automating As mentioned, our sector faces drastic ups and downs in demand. in an effort for Global & Flexible Monozukuri, or attainment of crane operation through technological innovation to ensure on-site Flexibility is key to survival. In other words, we need to reduce flexibility in manufacturing. While we achieved record business safety. Moving forward, we will likely shift toward the production fixed costs and increase variable costs so as to achieve the of fully-electric and automated equipment. optimal balance.
09 10 11 competitiveness andmarketshare, andthusafallinsales.The efforts willbelostifahighersalespricemeanslossof products andlowerthecosts.It’s notthatsimple,however. Allour believe thatallweneedtodoisraisethesellingpricesofour What doweneedtoincrease profits? Onemightnaively new features benefitthesafetyofourcustomersandsociety. vehicle, whichiseasilyhiddeninthedriver’s blindspot.These motorcycles, bicycles,andpedestriansontheleftsideof future forus. the world.Unlesswefightbattle withthiserathere willbe no the brinkofatechnologicalrevolution whichwillgreatly change combustion engine. Wesignaling the death oftheinternal are on and trucksare headinginthe direction offullelectrification, The useofIoTandAItechnologyhas increased dramatically. Cars beyond tomorrow. that isallwedo,maysurvivetodaybutwillhavenofuture the battlesinfront ofusorthere willbenotomorrow. However, if in front ofus.Eachyearandeachmonthwemustcontinuetofight of usandthebattlewithcurrent era.Thefirstisthebattleright Moving forward, wemustfighttwobattles:thebattlerightinfront The battlerightinfrontofus,thewithcurrentera Blue Arrow. if werecord asalesandprofit lossbecauseoftheimpact I trytoconvinceouremployeesthatwecancontinuegrow even true growth comesfrom alwaysoutperformingtheprevious cycle. and profit growth atalltimeswouldbeideal,butwebelievethat former cycle.ThisshowsTadano’s truegrowth. Achieving sales and operating margin are much higher thantheywere inthe after hittingthetrough infiscalyear2010showsthatournetsales Lehman Shock.Inthelatterhalfofgraph,cyclethatbegan peaked infiscalyear2007thenplummetedasaresult ofthe above bargraph,theupsurge thatbeganinfiscalyear2002 (sales volumeandoperating margin) over the past 16 years in the Specifically, lookingattheprogression ofourfinancialresults cycle. we have grown by checking our results against that of the previous Red Arrow, wecancontinuetogrow. We canconfirm how much overreacting totheBlueArrow. Bymaintainingourfocusonthe to focusonareas wecancontrol (theRedArrow), insteadof To repeat, thebasicpolicyofour Mid-Term ManagementPlanis What “growth” meansforTadano warns aware of his or hersurroundings, and a human alert system, which including WideSightView, enablingtheoperatortobeconstantly 10 cameras.Theseries also offers arangeofnewfunctions CREVO G4 rough terraincraneseriesisequipped withmore than c One service capability(includingparts). the source ofourcompetitivestrengths—of product qualityand crane value,alongwiththeTadano Group core competencies— strengths, whichconsistofproduct competitivenessandused To thisend,weaimtobeamanufacturer withfoursynergistic a leadthatcannotbeclosedbyourcompetitorsevenin10years. want todifferentiate ourselvesfrom ourcompetitorsandestablish To becomeNo. 1 worldwideintheliftingequipmentindustry, we Enhanced competitiveness ompetitiveness. Developed for the Japanese market, the new Developed for theJapanese market, the new ompetitiveness.
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dete cts strengths. our competitors by becoming a manufacturer with four synergistic and withsenseofsecurity. We wanttodistinguishourselvesfrom features thatenablethemtouseourequipmentsafely, efficiently, truly usefultothemandwhetherwecancreate value-added the importantquestioniswhetherwecanoffer equipmentthatis expanding ourmarketshare. From ourcustomers’perspectives, real challengeismaintainingandimproving oursalepriceswhile aspirations thathaveendured sincethetimeofitsfounding. 100th anniversarynextyear, weremain committedtoTadano’s Peter F. Drucker as acreation of customers. As wecelebrate our as aresult ofcontributingtotheworld,aconceptdescribedby It isimportanttobeacompanythatnaturallybecomesprofitable mere profit generationasitsonlygoal,itwillenduplosingway. profitable” andratherthan“makingprofits.” Ifacompanysets Tadano, wealwaysmakethedistinctionbetween“being company thatcancontributetotheworldthrough itsbusiness.At providing products thatwillcontributetosocietyandbecominga We willcontinueinourpursuitofTadano’s originalmissionof steer themintherightdirection. superiors whentheirinstructionscontradictcompanypoliciesand president orsuperiors.We wantto beabletoobjectour company, insteadofsimplyfollowingtheinstructions values, aswellthelong-termtargets andpoliciessetbythe We aspire toupholdtheseenduring corporateprinciplesand and core values,willremain unchanged. (Contribution), to forever continuetopursueandrealize “Sozo(Creation), Hoshi But whilethisisourgoal,itnotmission.Ourtruemission What wewanttoachieveforthefuture islong-termprofit growth. The importanceofaspirations philosophy. Thiscorporatephilosophy Net Sales(Millionsofyen) (5-yearmovingaverage) Operating margin Net salesoutsideJapan ( Changes inTadano’sNetSalesandOperatingMargins ) Changes in Tadano’s Margins NetSalesandOperating ( ) (
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( corporate Operating margin ) ( ) Comparison ofLiftingEquipmentcompanies 2010: Approx. 35,000units,2011:Approx. 35,000units,2012:Approx. 22,000units,2013: Approx. 17,000units,2014:Approx. 14,000units,2015:Approx. 9,000units,2016:Approx. 9,000units,2017:Approx. 20,000units cranes produced inChinaandsoldChina”isnotshownonthegraph. ThetotaldemandinChinaissaidtobeasfollows: Note 2:Inpreparing thisgraph,the“numberofcranesproduced inChinaandsold outsideChina”wasaddedtothestatisticsafter2010 (according tothenewstandards establishedinthe springof2018).However, the“numberof 2009 forJapan).Thegraphindicatesannualfluctuations inproportion tothisunit. Note 1:Thelinegraphshowshowdemandchangedin Europe, NorthAmerica,andJapan.“1unit”represents the number ofunitsduringtheyearinwhichdemandwaslowesteachmarket(2010forEurope andNorthAmerica Lifting EquipmentisaGrowth Industry the heavyliftingthatpeoplealonecouldnotaccomplishotherwise. urban infrastructure aswellnaturalresources andenergy, performing Lifting equipmentplaysavitalrole inthedevelopmentsofnationaland equipment industry, trustedandpreferred byourcustomers. One ofourlong-termgoalsistobecomeNo.1worldwideinthelifting carrying outaerialwork. Lifting Equipmentismobilemachineryusedforliftingloadsand What isLiftingEquipment? quality, servicecapability(includingparts),andusedcranevalue. combined toachieveexcellence:product competitiveness,product aims tobeamanufacturer withfoursynergistic strengths optimally To becomeNo. 1 worldwideintheliftingequipmentindustry, Tadano despite theuptrends inthelongterm. However, intheshort-andmid-term,demandtendstobevolatile and Tadano havemajor potential. growth industryinthelongterm.Lookingforward, boththeindustry From theperspectiveofdemographics,liftingequipmentisa Changes inDemandforMobileCranes Worldwide What isLiftingEquipment? (No. ofunits) 14,000 10,000 12,000 2,000 4,000 6,000 8,000 offered Product cate ory Company D Company C Company B Company A 0 adano 9519 9719 9920 0120 0320 0520 0720 0921 0121 0321 0521 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 ydraulic cranes oom cra ler elescopic cranes ra ler cranes (on acalendaryearbasis) cranes o er Stiff oom cranes apan isonthedeclineafterpea ingin 1 . glo al demandplummeted y . emandoutside uring the two years following the Lehman Shoc , vital field. customers around theworldasanindispensablecompanyinthis machinery can.Tadano’s goalistobecomerecognized byour Lifting equipmentcontributestosocietyinawaythatnoother oldin oom (100 millionpeople) cranes 100 10 20 30 40 50 60 70 80 90 0 Global Population TrendsGlobal erial or platforms 1950 1.63 billion verhead cranes 6.1 billion ill have uadrupled y , Populations in sia and frica in sia Populations 2000 compared tothosein (United Nations Projections) (United Nations Doc side cranes Europe 9.3 billion 2050 ffshore cranes (Year) America North 7.33 billion ndustrial cranes Asia Africa Europe South America Central and North America Oceania Japan (Year) 12
Integrated Report 2018 What is Lifting Equipment? To deliver products and services with greater added value and ensure that we will continue to be the rst choice for our Value Creation Process customers, Tadano aims to be a manufacturer with four synergistic strengths optimally combined to achieve excellence: product competitiveness, product quality, service capability (including parts), and used crane value. OUTCOME & PLAN
INPUT OUTPUT
Business Model Consolidated Net Sales
Capital Investment 173,703 million yen 2,838 million yen •Mobile Cranes •Creation, Contribution, Cooperation 300,000 • All Terrain Cranes (Corporate Philosophy, Business Objective) 240,000 Developed Japan’s first hydraulic Safety, Quality, Efficiency truck crane in 1955 • Rough Terrain Cranes • (Core Values) R&D Expenses (over 60 years of experience in the Designing • Truck Cranes lifting equipment industry) P. 03-04 • Telescopic Boom Product million yen 6,149 Crawler Cranes •Investment in New Plant Competitiveness FY 2019 Target Mid-term Target (Millions (FY 2022) of yen) Over 20.0 billion yen Core technologies No. of Patents Held P. 10 Structural technologies •Truck Loader Cranes Operating Income Striving to become Motion control technologies • Truck Loader Cranes New Products Launched Carrier technologies No. 1 worldwide • 561 Servicing Manufacturing • Slide Carriers in the 9 models Product Lifting Equipment (e.g., new truck cranes for Quality million yen industry markets outside of Japan) 15,511 No. of Employees Aerial Work Platforms • P. 15-22 50,000 Advanced manufacturing technologies • Super Deck (including high-tensile-strength steel 36,000 (consolidated) • Skyboy •Maintaining Successful 3,311 plates processing and welding) Relationships with Stakeholders Global production system • Bridge Checkers P. 23-28 Service Worldwide Network Capability Transparent, Sound and FY 2019 Target Mid-term Target (Millions Delivering Other Services • (Including Parts) (FY 2022) of yen) • Efficient Management Over locations Organizational culture that allows for 100 continued learning and growth • Before-sales Services (Corporate Governance) (Group companies and distributors) (focus on human resources development) (Maintenance) P. 29-30 • After-sales Services Outside Japan Sales Ratio Energy Use (Repairs and Parts Supply) •No. of New Group Companies and Offices Established Used Crane Strategies set every 3 years in Become a stronger company kiloliters Outside of Japan 5,670 Mid-Term Management Plan Used Equipment Value % (crude oil equivalent/in Japan) • 43.8 66.7％ 6 (FY 2017) continually generates profits & develops human resources (Thailand, Vietnam, Netherlands, Mid-term Target Belgium, Chile, Moscow) 60.0％ (FY 2022) P. 39-40 FY 2019 Target Our Vision : Pursuing Further Excellence for the World and the Future Core Values: Safety, Quality, Efficiency We are working to meet the expectations of all stakeholders and to maximize our corporate value. We are also creating an organizational We pursue a set of Core Values which take precedence over everything else. culture that allows for continued learning and growth. They are “Safety First, Quality Second, Ef ciency Third,” and we always uphold them in this critical order of priority. However, since it is impossible to manage our company without the third value of ef ciency, we must ensure “Safety First, Quality Second” by any means necessary.
13 14 15 Integrated Report 2018 Business Overview MOBILE CRANES A CompleteProduct LineuptoMeetGlobalLiftingNeeds Business Overview Net Sales Features Product Topics 141,534 Second half and maintenanceoflarge-scale plantsandother maneuverability inconfinedspaces fortheconstruction higher-reaching rough terraincraneswithoutstanding America. projects demands ofgas,oil,andother energy development Tadano’s GR-1200XL/1100EX meetsthemarket rough terraincraneformarketsoutsideofJapan. GR-1200XL/1100EX, thecompany’s largesttwo-axle On August24, 2017, Tadano launched the Sales outsideJapanwere 60,843millionyen(94.2%of although thecompanysoughttoexpandsales. decrease indemandandthetypesofmodelssold, the figure for the previous year)due in parttoa Sales in Japan stood at 38,179million yen (84.8%of as wellthoseoflarge-scale urbandevelopment other naturalresource andenergy processing facilities, challenging conditionsfoundinmines,oilfieldsand essential formobilecranesoperatingunderthe them safelyandsmoothly. Safetyandreliability are weighing tensorevenhundreds oftonsandtomove Large mobilecranesmakeiteasytoliftheavyloads FY 2015 71,297 70,236 First half Net sales
109,627 Second hal
FY 2016 57,369 52,258 outs First half These ide
projects Second hal 99,022 FY 2017 45,679 53,343 (Millions ofyen) of First half
Japa
n, require
part Mobilecranes Sales ratiobyproduct icularly
larger-capacity
in 57.0 Otherproducts
Nort % h , held inApril2017LasVegas. generated great interest during CONEXPO-CON/AGG longest boomamongTadano’s 2-axlecarriers, and model offers thelargest lifting capacityandthe facilities onsite.Despiteitscompactsize,thenew previous year). to 99,022millionyen(90.3%ofthefigure forthe As aresult, thenetsalesofmobilecranesamounted demand for rough terrain cranes, our mainstay products. the figure fortheprevious year)duetoadeclinein construction sites. projects, Canada totheblisteringheatofMiddleEast. conditions, rangingfrom thefrigidcoldofnorthern renowned foritsreliability undertheharshestoperating the customer’s bottomline.Tadano equipmentis issues thatresult indowntimecannegativelyimpact Share ofunitssold in Japan
including 50.0 % Beyond accidents, even minor
office
China byChinesemanufacturers *Excludes somedatasuchassalesin Share ofunitssold building outside Japan 15.1
and % GR-600EX
bridge maintenance of the tow trucks inemergency situations.In tow on highways,andcanevenserveas the national requirements fordriving carriers. InJapan,thesemodelsmeet standard orspecial-purpose truck These cranesare mounted on Truck Cranes processing plants.Theyhaveastrong used technical prowess, andtheyare often cranes represent thepeakofTadano’s One ofourleadingproduct lines,these Rough Terrain Cranes LINEUP Production site: ShidoPlant(Japan) Production site: ShidoPlant(Japan)
GTC-1200 in
the
construction world’s large-scale
and developing countries. make themespeciallypopularin travel. Their low maintenance costs crane capacity, aswellhigh-speed deployed for jobsrequiring large-scale other countries, they are frequently that inNorthAmerica. the totaldemandinJapanand55%of model inJapanandaccountfor93%of They are alsotheleadingmobilecrane maneuverability inconfinedspaces. dimensions, mobility, and global reputation fortheircompact For theJapanesemarket: manufactured inGermany.) (Some products formarketsoutsideofJapanare 6 For marketsoutsideofJapan: (All modelsare manufactured inJapan.) 8 For marketsoutsideofJapan: 6 3 For theJapanesemarket: modelswithaliftingcapacityof modelswithaliftingcapacityof modelswithaliftingcapacityof modelswithaliftingcapacityof ATF400G-6 Telescopic BoomCrawlerCranes All Terrain Cranes *All modelsare manufactured intheUnited States. restrictions. facilities withchallengingheight processing plants,oiltanks,andother used atconstructionsitesfortunnels, heavy loads.Thesemodelsare widely strong cranetomovewhilecarrying carrier’s lowcenterof gravity allows the including muddygrounds. Thecrawler vast landsoftheUnitedStates, efficient useinvariousenvironments in These craneswere developedtoenable demand in Japan, and 87% of that in Europe. Terrain Cranesaccountfor6%ofthetotal navigating off-road jobsites.Tadano’s All highway speeds,whilebeingmobilewhen makes themeconomicalwhentravelingat of tons, and their sophisticated drive concept can easilyliftloadsweighinguptohundreds features of long-distance driving,theirspecialsteering construction. Inadditiontothecapacityfor projects, role inurbanandinfrastructure development These large-capacity cranesplayacrucial 30 13 13 13 to to to to 75 145
35 70 including fer superbmaneuverability. They tons tons tons tons
highway GR-1450EX
and
bridge Production site: Tadano Faun GmbH(Germany) Production site: Tadano Mantis Corp. (UnitedStates) For theJapanesemarket: factured inJapan.) (Some modelsfortheJapanesemarketare manu- 10 For marketsoutsideofJapan: 6 7 For marketsoutsideofJapan: modelswithaliftingcapacityof models witha lifting capacity of modelswithaliftingcapacityof 27 100 40 to to 120 GT-750EL to 400 550 tons tons tons 16
Integrated Report 2018 Business Overview 17 Integrated Report 2018 Business Overview Ease ofUseandHighPerformance TRUCK LOADERCRANES Business Overview Net Sales Features Product Topics Establishing alocal jointventure with ITI—Tadano’s crane products. venture companywillengageinsalesandmaintenanceof Founded withapaid-incapitalof50 millionTHB,thejoint strengthen salesoftruckloadercranesinthecountry. Co., Ltd. (ITI), our distributor operating in Thailand, to Tadano established ajointventure withItalthai Industrial strengthen salesoftruckloader cranes. In May2017, Tadano establishedajointventureinThailandto Sales inmarketsoutsideofJapanincreased to1,706 as aresult ofthecompany’s efforts toexpanditssales. Japanese market(98.8%ofthefigure forthepr Tadano fiscal yearinreaction tostricterexhaustgasregulations, Although demandfortrucksfellinthesecondhalfof crane industrytointroduce astart/stopsystemtoreduce crane statusduringoperation.We were thefirstin efficiency by making it possible for the operator tomonitor LCD digitalremote controls, whichimprove safetyand Tadano wasamongthe earliest manufacturers toadopt loading, transportation,andunloading,withminimallabor. cranes isthattheiroperabilityensures safe,simplecargo and construction.Thekeyadvantageoftruckloader wide range of industries, including shipping, landscaping, commonly usedcranemodels, with applications across a Truck loadercranesare amongthemostversatileand
recorded Second half FY 2015 20,375 10,417 First half 9,957
17,970 Net sales Second half 19,633 FY 2016 10,098 First half 9,534
million (Millions ofyen) Second half FY 2017 19,677 10,074 First half 9,603
yen
in
sales evious year)
in Truck loadercranes
Sales ratiobyproduct the accelerate salesof truckloadercranesinThailand. to respond more closelytomarket needsandfurther sales know-howofITI.Through thisjointventure weaim to integrateTadano’s manufacturingexpertisewith the truck loadercranesoutsideofJapan andhasallowedus contributing totheGroup-wide efforts toexpandsalesof long-time distributor of mainly large-capacity cranes—is business both roads and railway tracks.Tadano is expandingits includes road-rail cranes, which are capable of traveling on the previous year). amounted to19,677millionyen(100.2%ofthefigure for As a result, the company’s net sales of truck loader cranes Southeast AsiaandtheMiddleEast. to thecompany’s efforts todevelopsalesnetworksin million yen(118.5%ofthefigure fortheprevious year)due society andcustomers. operational safetyandef developing variousspecial-purposeproducts thatenhance diverse rangeofcustomer needs. Our manufactures In efficiency foramore environmentally friendlyperformance. engine idling,afeature thatdramaticallyimproves energy 11.3
addition Otherproducts %
fields
to
special-purpose truck
in
the
loader Share ofunitssold
lifting ficiency andoffer solutionsto in Japan
cranes,
49.6 equipment products
% unique product line Tadano
catered
industry
TM-ZT500 also
to
by
a nearby. We alsooffer otherequipmentthatcanprovide solutionstoa work sitebyswitchingfrom tires totrainwheelsatalevelcrossing railway construction vehicles that can quickly and smoothly travel to a meet abroad rangeoflifting needs.Tadano’s road-rail cranes serve as In additiontotruckloadercranes,Tadano developsproducts that Other Special-PurposeProducts depending onfuture shiftsindemand. line with market conditions. We also have a second plant in our sights produced attheplant,and production modelswillbegradually expanded in Currently, three models withalifting capacity of 10tons,8and5tonsare Southeast AsiaandtheMiddleEast. main target marketsforthetruckloadercranesmanufactured atthisplantare Tadano openeditsfirstplantfortruckloadercranesinThailand2012.Our Manufacturing outsideofJapan required bytheamendedlaw. Starting inMarch 2019,allofTadano’s craneswillincludeasafetydeviceas stop systemtoreduce engineidlingforthefirsttimeinitsZE600series. As partofitscommitmenttotheenvironment, Tadano introduced thestart/ at theTadotsu PlantinKagawa,whichopened2007. launch oftheTMseriesin1963.Allourtruckloadercranesare manufactured Tadano’s truckloadercraneshavegainedstrong popularityinJapansincethe Manufacturing inJapan Truck LoaderCranes LINEUP Production site: Tadano (Thailand)Co., Ltd. Production site: Tadotsu Plant(Japan) Road-Rail Cranes (Thailand) TM-ZE295DW(S) Net salesinmarketsoutsideofJapan 1.68 FY 2015 yen billion markets outsideofJapan among thetruckloadercranesfor Boasts thehighestliftingcapacity 1.44 FY 2016 (Self Loaders) Industrial-Use Vehicle Carriers yen billion 1.70 FY 2017 yen billion shipboard use(marinecranes),anessentialpartofmarineoperations. transport heavyconstructionmachinery, andhydrauliccranesfor are industrial-usevehicle carriers(selfloaders),whichare designedto wide rangeofchallengesencountered byourcustomers.Amongthem ZX1500(H) SL-155R (Marine Cranes) Hydraulic CranesforShipboard Use ZR500MR Series ZT1000 Series 18
Integrated Report 2018 Business Overview 19 Integrated Report 2018 Business Overview Safety, Convenience,andOperatorComfort AERIAL WORKPLATFORMS Business Overview Net Sales Features Product Topics surge risein sales of indemand,resulting inasignificant Tadano’s law in2014requiring periodicbridgeinspections and triggered a Service Lifein2007. Theproject prompted theenactmentofa for theDevelopmentofRepairPlans forExtendingBridge Infrastructure, Transport andTourism established theProject intoamajorsocialissue,theMinistryofLand, 1960s turned infrastructure constructedduringthehigh-growth periodinthe installation anddismantlingofscaffolding. As the agingof for theconstructionofnoisebarriers onhighwaysandthe shaped themarketforbridgeinspectionvehiclesprimarilyused Since Tadano launcheditsBT-100 in1995,thecompanyhas cumulative salesthissummer Tadano BridgeChecker(BT)seriessurpassed1,500unitsintotal for theprevious year),asaresult oftheexpansion platforms at24,678millionyen(106.4%ofthefigure Tadano achievedrecord-high salesofaerialwork consumption, and CO features thatreduce enginenoise,energy products are designedwithenvironmentally friendly automated operationandimproved usability. Our Tadano employsadvanced control technologies for features ofouraerialworkplatforms. Safety, convenience,andoperatorcomfortare key Super Deckseriesaerialworkplatformsare the Second half FY 2015 10,636 19,432 First half 8,796 Net sales Second half 23,202 FY 2016 10,831 12,371 First half 2 emissions. Our revolutionary Second half (Millions ofyen) 24,678 FY 2017 12,117 12,561 First half Aerialworkplatforms Sales ratiobyproduct meet theneedsforinfrastructure maintenance. industry, alongwithsalestotherental industryto capital markets outsideofJapan. products, which we have cultivated in Japan, in population ofcustomersbydevelopingourlineup Going forward, we willservetoneedsofevenlarger directly from onepointtoanotherinanydirection. movement) thatsmoothlycarriestheoperator Control (forfore-aft, left-right,up-down,anddiagonal world’s first to be equipped with our Four-Motion compact tolar vehicles inJapan. boasts some85% share ofthemarketforbridge inspection 400, whichisdesigned forlarge-scale bridges.Tadano mainly forbridgeinspectiononpublic roads, andtheBT- works ofguard fencesonhighways,theBT-200, whichis which primarilyspecializesintheconstruction/maintenance Tadano for approximately 24%ofthesales. platforms infiscalyear2017,withtheBTseriesaccounting work aerial of BT series.Tadano achievedrecord-highsales 14.2
% Otherproducts
currently inve stment ge-scale models,includingtheBT-110,
offers *Limited totruck-mountedproducts
Share ofunitssold in
a
the broad in Japan
tele 36.6
lineup communications %
ranging BT-200
from offer solutionstosocietyandcustomers. various products thatenhanceoperationalsafetyandefficiency and its businessfieldsintheliftingequipmentindustrybydeveloping construction, floodlight vehicles(MegaLux)foruseduringrecovery work,nighttime needs. Itslineup includes bridgeinspectionvehicles(BridgeCheckers); Tadano’s aerialworkplatformsmeetadiverserangeofcustomer enables efficient operationsatabroad rangeofworksites. down, anddiagonalmovement)deliverssuperboperability materials. ItsuniqueFour-Motion Control (forfore-aft, left-right,up- kg, ourSuperDeckseriesishighlyeffective forloadingequipmentand Featuring alarge deckarea withamaximumloadingcapacityof1,000 Super Deck construction workssuchasshipbuilding. on-site operations and demonstrates power especially for surface damage,theself-propelled typecanperformcontinuous transportation. Equipped with rubber tires that prevent road features outstandingmaneuverabilityandeasysite-to-site platform capacityoftwoworkers.Thetruck-mountedtype Tadano’s Skyboyisastandard aerialworkplatformserieswitha Skyboy LINEUP Other Special-PurposeProducts designed forutilitypolesetting,andmanymore. T Production site: Takamatsu Plant(Japan)
AT-150S and
nighttime
events; (truck-mounted type) For generalconstruction
digger
derricks (Pole Setters) Digger Derricks adano isexpanding
(Pole
Setters) AT-220TG (truck-mounted type) For electricalconstruction Hyper Deck outstanding operability, enablingsmoothappr meters Tadano’s HyperDeckseriesallowsoperatorstoreach ashigh40 operations atveryhighplacesoverextensiveareas. point. OurHyperDeckseriesoffers effective supportforavarietyof
(self-propelled type) For generalandshipbuildingconstruction above DT-720 AT-400CG
the BT-200
ground. AT-146TE (Bridge Checkers) Vehicles Bridge Inspection
A
unique (truck-mounted type) For telecommunicationconstruction
control AT-110TTE(D) AW-370TG (Mega Lux) Floodlight Vehicles oach tothetarget
system
delivers LS-1800 20
Integrated Report 2018 Business Overview 21 Integrated Report 2018 Business Overview Enhanced ServiceCapabilityandUsedCraneValue OTHERS delivery time for both domestic and international destinations. The six destinations. The six for both domestic and international time delivery airport, theGlobalPartsCenter achievesadrasticreduction in Leveragingitsproximity portandaninternational toaninternational over 70,000itemsandsome1 million componentpieces. Global PartsCenterinKobe,theGroup’s partssupplyhub,stocks enhancing LCV is the supply of maintenance parts. The Tadano cycle valueofTadano’s products. One oftheinitiativesaimedat business, developstrategiesfortheandenhancelife Promotion DepartmenttointegratetheTadano Group’s usedcrane In October2017,Tadano establisheditsLifeCycleValue (LCV) maintaining andenhancingusedcranevalue. strengthening ourservicecapability(includingparts)and are workingtoensure thelongservicelifeofourproducts by enhancing the competitiveness and quality of our new products, we capability (includingparts),andusedcranevalue.Inadditionto consisting ofproduct competitiveness,product quality, service Tadano aims tobeamanufacturer with four synergistic strengths Business Overview Net Sales a record high30,324millionyen(111.4%ofthefigure and partssales),usedequipmentothersrose to Sales of customer support (CS) (eg., product repairs Second half FY 2015 (used cranes,otherproducts) First half Other sales Second half FY 2016 First half (Millions ofyen) Second half FY 2017 First half Second half equipment. reputation ofourused contributing totheoutstanding yielding results andare These efforts are gradually and maintainingvalue. while maximizingproduct life minimize downtimeandkeeprepair costsdownforourcustomers cracks, andreplacements forproduction discontinuedparts,we repairs forcomponents,repairs ofstructures includingcraneframe upgrades forourspecial-purposeproducts, adjustmentsand Tadano isalsocommittedtotherecycling business.Byoffering our manyyearsofexperience. products thatare inhighdemandeachservicearea basedon play akeyrole inminimizingproduct downtimebystocking parts shipmentincollaborationwiththeGlobalPartsCenterand parts centers located across Japan achieve the fastest possible FY 2015 First half (Parts, repairs, etc.) Other sales Second half FY 2016 First half enhanced efforts inthestockbusiness. for theprevious year),asaresult ofthecompany’s (Millions ofyen) Second half FY 2017 First half Salesofotherproducts Sales ofcustomerservice,usedequipmentandothers Sales ratiobyproduct 17.5 % available inJapanonly). specializes inthemaintenanceofadvancedengines(Currently using Hello-Net,andtheTadano EngineCare Package,which share informationonmaintenancestatusandrepair history allows our customers,service contractors, and Tadano to services, includingtheTadano Maintenance Package, which from inadequatemaintenancebypromoting ourbefore-sales We aimtominimizeproduct downtimeandaccidentsarising services, andsafetytraining. focus onthree areas: before-sales services,after-sales Crane customers andtomaximizeourproduct value.T outstanding Customer Support (CS) Division makes it its mission to deliver that meets and exceeds customer expectations. Tadano’s customers. That’s whyT Products Other Connected toCranesintheField KeepsOurCustomersandCSDivision Hello–Net Delivering OutstandingCustomerService Work Site
downtime GPS
service
leads
Ground Station to Hydraulic Gantry (TB-1000) Hydraulic Gantry
adano deliversoutstandingservice ensure
Satellite/Mobile Communications directly
operational
to
business we Service Owner
safety o thisend,we
losses
for
our for cranes. cranesandoverhead mobile and tunnelsnotaccessiblefor indoor facilities,cleanrooms, in specialworksitessuchas installation of heavy machinery and efficient transportationand Tadano’s liftersenable thesafe Tadano training conductedinFebruary2018usingvirtualreality. accidents atjobsitesthrough initiativessuchasthesafety Furthermore, Tadano devotesitsefforts topreventing fostering servicepersonnelinandoutsideJapan. training centeronthepremises ofourheadoffice, weare implementing systematictrainingatthestate-of-the-art technicalseminarsoutsideofJapanandalso on–site network, weare workingtoimprove servicequality. Byholding by over 100 distributors. Along with our efforts to enhance this world and includes direct service as well as service provided sales offices. Ourglobalservice network spansthe entire personnel across Japan,inadditionto10branchesand23 authorized service contractors and 939 authorized service Our after-sales servicesare builtonaservicenetworkof352 for usewithallterraincranesandaerialworkplatforms. outside ofJapan.We are alsoexpandingthis system approximately 7,500cranesinJapanand4,500 rough terrain crane. Hello-Net is currently used with equipment, chieflyoncranesdesignedforuse are making progress in installing Hello-Net as standard signs of trouble and provide advance maintenance. We approach toservicethrough whichwecanidentifyearly status ofacraneinreal time.Thisenablesaproactive Hello-Net makesiteasytoascertaintheoperating Using communicationsatellitesandmobiledevices, Safety trainingusingvirtualreality (Example ofboomremovalfrom ATF400G-6) All Terrain CraneMounting/Removal Lifter 22
Integrated Report 2018 Business Overview 23 Integrated Report 2018 Stakeholder Engagement international standard for quality management systems. standardinternational forqualitymanagementsystems. In 1996,Tadano received ISO9001certification,the development, which leadstoefficient manufacturing. which leadstoqualityimprovements, andmulti-skill its workforce through bothspecialized skill training, engineering experience.Tadano developstheskillsof technique derivedfrom ourwealthofaccumulated rely onthecontinuousimprovements inskilland Complex piecesofprecision machinerylikecranes Our commitmenttoquality thereby improving bothqualityandefficiency. supplyofcoreinternational components, the achieve efficient cross-sourcing through greater confidenceintheTadano brand.We worldwide inqualityandthatengendereven build products thatare numberone production sitesoutsideofJapan,weaimto manufacturing technologieswithour Sharing proven Japanese-style cost-competitive globalproduction model. results inahighlyefficient and States, andThailand.Thisintegratednetwork facilities locatedinGermany, theUnited that meetadiversityofglobalneedsatkey in Japan,Tadano alsomanufactures products While ourcore production plants are located Development ofaglobalproduction network construction operations. generation ofnewinnovationsthatimprove safetyandproductivity in engineering, urbanandinformationsciencetopr mechanical engineering,social academic University’s expertise combining University an In March 2018,Tadano signed comprehensive partnershipforcollaborativeresearch. Tadano signsanagreement withKyotoUniversityfora compels ustotakeonthechallengeofdevelopingnewfunctions. continue providing userconvenienceandsenseofsecurity desire to make products that will contribute to the world and to product isusedandtohearthetruevoicesofcustomers.Our Tadano’s engineers go tothe actual jobsite to see in person how a To provide ourcustomerswiththebestproducts fortheirneeds, Our PromisestoCustomers Tadano’s GlobalProduction NetworkandPursuitofQualityEnhancement R&D Initiatives
agreement Engagement Stakeholder
with
with knowledge
our leading-edge
with Kyoto technical the
Kyoto goal
in
of Tadano FaunGmbH(Germany) Tadano ThailandCo.,Ltd.(Thailand) on adailybasis(the PDCAcycle). boar production sites,includingtheuseofamanagement introduced issues. Since2007,Tadano’s Production Division phase toprompt responses topost-marketquality operational processes, from theinitialdevelopment to ourcustomers,thecompanyalso overhauledits To ensure thatwecancontinuetodeliversatisfaction omote the omote the d tovisualizeand improve thestatusofquality
“core
Investment inaventure capitalfund Establishment ofalow-temperature testingfacility company withproprietary technologies. innovation bydevelopinganetworkwithresearch-based venture Miyako Capital Co., Ltd. of Kyoto. Tadano seeks to promote open Miyako KyotoUniversityInnovationLimitedPartnership,operatedby In December2017,Tadano madeaninvestmentof 300 millionyenin ranging from -40°Cto60°C. temperatures in conducted in 2016.Avarietyoftestscanbe the premises oftheShidoPlant temperature testingfacilityon conditions tofurtherenhancetheircore value,Tadano establisheda speeds. Recognizingthatproducts mustbetestedinsevere temperature issues couldariseinextreme climates,includingsloweroperating As Tadano’s products expand their presence worldwide, unexpected value
activities” (Tadotsu Town,KagawaPrefecture) Tadotsu Plant (Sanuki City,KagawaPrefecture) Shido Plant (Takamatsu City,KagawaPrefecture) Head Office TakamatsuPlant (Chiba City,ChibaPrefecture) Chiba Plant
at
all
our Tadano MantisCorporation(U.S.A.) ・角丸、4ｃ/4ｃ ・サイズ： W65mmxH100 タダノグループ ｜安全指針カード｜英語版 participants cancommunicateandthink together withpeoplefrom different ranksandpositions. united bycommonvaluesandgoals.We alsoorganize whatwecall“Way Meetings,”inwhich employees, weaimtoworkas“OneTadano”—a team sharing theTadano Way withallGroup and current presidents andsenioremployees.By of thinkingandactionpasseddownbyourpast The Tadano Way isthesumofvaluesandways capabilities anddevelophumanresources. management of policies and day-to-day operations, and enhance our improvement TQM activities in 2011withthree activities: spread andshare theTadano Way, thoroughly implement in ourday-to-daywork.Drivenbythisbelief,Tadano formedtheTQMPromotion Committee At Tadano, wefirmlybelievethatourgoalsandvisionsare accomplishedbysteadfast efforts German, French, andThai),thecard isdistributedtoallGroup employees. Group SafetyRules.”Prepared infivelanguages(Japanese,English, Tadano’s commitmenttosafety, andthereverse sideliststhe“Tadano among Tadano Group’s employees.Thefront sideofthecard outlinesa Card” withthegoaloffurtherraisingawareness aboutworkplacesafety Establishment ofTadano Group SafetyFundamentals In December 2017, we prepared a “Tadano Group Safety Fundamentals Health Council”). Japan’s Ministry ofEconomy, Trade, and Industry (METI)andtheNipponKenkoKaigi (“Japan Productivity ManagementOrganization RecognitionProgram (White500),announcedby Tadano wasrecognized intheLarge EnterpriseCategoryofthe2018CertifiedHealth& and familiesaccesstotheFitnessCenterlocatedwithincompany. InFebruary2018, to fosteraculture ofhealthintheworkplace.Initiativesincludegrantingcompanyemployees Since launchingitsPhysicalandMentalWellness Program in1981,Tadano hasbeenworking Tadano iscertifiedasaHealth&Productivity ManagementOrganization employee, wehaveestablishedtheEmployeeHealthManagementDeclaration. is essentialfortheprofessional performanceandprosperous lifeofeachandevery of employees.Recognizingthatthephysicalandmentalwell-beingemployees goals. Companygrowth cannotbeachievedwithoutthegrowth anddevelopment Employee developmentiswhatdrivesacompanytoaccomplishitslong-term Our PromisesamongEmployees Human Resources DevelopmentandDiversityInitiatives Our CommitmenttoSafetyintheWorkplace Tadano’s HealthManagementInitiatives ・角丸、4ｃ/4ｃ ・サイズ： W65mmxH100 タダノグループ ｜安全指針カード｜英語版 workplace environment. safety awarenessandimprovingthe cycle forsafetybymutuallyraising we willcontinuouslyengageinthePDCA To achieveourgoalofzeroaccidents, MUTUALLY. A ENSU The PDCACycleforSafety Always KeepInMind: Three FundamentalsThatWeShould 3 2 1 spot dangerorunsafebehavior. other immediatelywhenwe We mustmutuallywarneach consummate professionals. We mustproactivelyaimtobe established rules. Each individualmustfollowall RIN
G
SAFETY SAFETY GROUP TADANO Go-Anzen-Ni ! Go-Anzen-Ni workplace environment. safety awarenessandimprovingthe cycle forsafetybymutuallyraising we willcontinuouslyengageinthePDCA To achieveourgoalofzeroaccidents, MUTUALLY. A ENSU T EVERY M The PDCACycleforSafety Always KeepInMind: Three FundamentalsThatWeShould
3 2 1 FUNDAMENTALS spot dangerorunsafebehavior. other immediatelywhenwe We mustmutuallywarneach consummate professionals. We mustproactivelyaimtobe established rules. Each individualmustfollowall RIN . G
OMENT.
SAFETY SAFETY GROUP TADANO Go-Anzen-Ni ! Go-Anzen-Ni
T EVERY M FUNDAMENTALS . OMENT. applicable ateachGroupCompany. drafted accordingtotherespectivelawsandregulations NOTE: Fordetailedsafetyrules,refertothemanuals 10 9 8 7 6 5 4 3 2 1 TADANO GROUP SAFETY RULES carry outworkinasafemanner. Engage inriskpredictionproactivelyand at pedestriancrosswalks. The pointandcallsystemshouldbeused Do notputyourhandsinpockets. when climbinganddescending. Use the3pointsofcontactprocedure undue stressonyourbody. Do notconductworkinamannerthatputs or unstableobjects. Do notperformworkundersuspendedloads for fallpreventionwhenworkingatheight. Wear safetybeltsandtakemeasures before performingworktasks. Be sureyouaretrainedandqualified of toolsandmachinerybeforeeachuse. Perform preuseinspectionsandmaintenance protective equipment. Wear properfittingworkclothesand applicable ateachGroupCompany. drafted accordingtotherespectivelawsandregulations NOTE: Fordetailedsafetyrules,refertothemanuals 10 9 8 7 6 5 4 3 2 1 TADANO GROUP SAFETY RULES carry outworkinasafemanner. Engage inriskpredictionproactivelyand at pedestriancrosswalks. The pointandcallsystemshouldbeused Do notputyourhandsinpockets. when climbinganddescending. Use the3pointsofcontactprocedure undue stressonyourbody. Do notconductworkinamannerthatputs or unstableobjects. Do notperformworkundersuspendedloads for fallpreventionwhenworkingatheight. Wear safetybeltsandtakemeasures before performingworktasks. Be sureyouaretrainedandqualified of toolsandmachinerybeforeeachuse. Perform preuseinspectionsandmaintenance protective equipment. Wear properfittingworkclothesand 2017.11.09 S=1/1 2017.11.09 S=1/1 Incidents ofwork-related accidents(frequency rate*) 0.0 0.5 1.0 1.5 2.0 are takenfromtheSurveyonIndustrialAccidentsbyJapan’sMinistryofHealth,LabourandWelfare.) (Figures forthemanufacturingsectorandallsectors,excludinggeneralcontractingsector, Describes thefrequencyofoccupationalaccidentsresultinginlostworkdays. *Number ofoccupationalaccidentsper1millionactualworkhours. Tadano Ltd. 0321 0521 2017 2016 2015 2014 2013 Promoting diversity women tohelpthemsucceedasthenext generationofleaders. through initiativessuchasproviding more training opportunitiesfor job rotation systemtopromote theadvancementofwomen making steadyprogress indevelopingaworkenvironment anda years from thecurrent 7%to10%.Atthesametime,weare percentage offemaleemployees atthecompanyovernext10 Currently atTadano Ltd.,wehaveahiringplantoincrease the action plantopromote the empowermentofwomenin2016. As partofourinitiativesforfurtherdiversity, Tadano developedan place emphasisondevelopmentofhumanresources. on ourunderstandingthatemployeesare ourassets,wealways of acompanyisbuiltonhumanresources development,aswell Based on our belief that a company is itspeople and the success Manufacturing sector employees can thrive. wide efforts to create a positive workplace where employee andthatevery we make will organization- value the physical and mental well-being of each and thisdevelop culture, we hereby that declare we will Wellness Program in 1981.To maintain andfurther cultivated since launching its Physical andMental Tadano takes pride in the culture ofhealth ithas Employee Health Management Declaration
(Japan) All sectors President &CEO Koichi Tadano
(Japan) May 2018 24
Integrated Report 2018 Stakeholder Engagement 25 Integrated Report 2018 Stakeholder Engagement to supplierswithoutstandingachievementseachyear. tours, andSVEconferences. Theassociationalsopresents awards safety workshops,presentations onimprovement initiatives,plant A variety of activities and events are held each year, including a totalof58corporatemembersinJapan(asApril2018). mutual growth anddevelopment. The organization iscomprised of strong relationships withoursuppliersandworkedthemfor the present time,wehavedevelopedandmaintainedlasting, capabilities neededtosurviveinthe21stcentury. Sincethenupto oriented organization with the competitive technologies and Society” withtheaimoffosteringanindependent,solution- In 1994,Tadano andits suppliersestablishedthe“Tadano Kyoei the understandingandcooperationofoursuppliers. through (SOC)with thenon-useoffoursubstancesconcern Tadano promotes environmentally-friendly product development principles: (Corporate SocialResponsibility)Guidelinessetoutthefollowing work togethertoward mutual growth. The Tadano Group CSR We strive to build a strong relationship with all our suppliers and Our PromisesamongPartners Plant toursbymembersofthe Tadano KyoeiSociety the Tadano KyoeiSociety Aiming foraMutualDevelopment— Suppliers forMutualBenefit Our BasicPolicy:Working withOur Tadano Group Guidelines CSR (Excerpt) duties, including those related to procurement. 4. We donotreceiveany personal profits or benefits through our and other partners to suffer unfair disadvantage. in actions or transactions that may cause suppliers ofmaterials 3. We nottake will advantage ofour superior position to engage suspicions ofanti-competitive practices. incompetition, any other or engage actthat may us expose to information or participate that in meetings restrict free activities that prevent competition, andfree fair exchange 2. We in collusions or cartelactivities, notengage will conduct Antitrust Law, on the principles based competition. offree by complying with relevant laws andregulations, including the 1. We transactions conduct will fair withour all business partners Engagement Stakeholder Annual supplierawar ds ceremony SCOOP activities (from the13thSVEConference) Examples ofpresentation themes SVE conference • • • • • move forward vigorously withourefforts. determination tosurpassourpastVEactivitiesandcontinue and Sustainable”)to“VE”(Value Engineering)—embodiesour an originalconceptdevelopedbyTadano byadding“S”(Super developing andproducing products withgreater value.“SVE”— “Team ofFour”topromote itsSVEactivities, withthegoalof Production, Procurement) haveworkedwithoursuppliersasa Since 2009,Tadano’s three divisions(Research andDevelopment, pr Conference executives, atotalof172participantsattended the 13thSVE suppliers and92individualsfrom theTadano Group, includingsenior continue andfurtherexpandourSVEactivities.80individualsfrom 40 Tadano hasheldtheSVEConference biannuallysince2012to strengths andqualitiesofbothTadano andthesuppliers. and functionalityofproducts andreduce costswhileleveraging on anindividualbasistosetthemesandtar component ofourSVEactivities,in2011.We workwithoursuppliers We SVE Activitiesbythe“Team ofFour” Building a“Win-Win”Relationship: esentations onfivethemesrelated totheSCOOPactivities. Further utilizationof3D-CADdata Unit integrationforupperhydraulicequipment VE activitiesrelated tocabwiringprocesses Reducing pressure drop inwinchcounterbalancevalves Design-in activitiesforcarrierframes
began
our held
SCOOP
on
April
(Super
20,
2018.
Cooperation) SVE Conference (presentation byasupplier)
The gets toenhancethevalue
conference
program,
featured
a
key
performance (asofSeptember10,2018). Below isalistofsecuritiesanalystswhoreview andmakerecommendations onTadano’s stockbasedontheiranalysesofthecompany’s operating Analyst coverage IR calendar Our PromisestoShareholdersandInvestors business. We alsowelcomeourinstitutionalinvestorsforcompany company’s financial results as well asthe future direction of our analysts inTokyo, where thepresident personallyexplainsthe We hold our biannual financial results briefings for securities on ourcompanywebsitedependingthecontent. Tokyo StockExchange,andsendnewsreleases orpostupdates disclose informationthrough TDnet,aserviceprovided bythe activities in atimelyandappropriate fashion. Specifically, we information includingupdatesonmanagementandbusiness relevant lawsandregulations, butalsodisclosecorporate We pledgetoallourstakeholdersthatwenotonlycomplywith growth toincrease theassetvalueofourshareholders andinvestors.” pledges to“improve ourperformanceandachievelong-term,steady positions ourshareholders andinvestorsaskeystakeholders In theTadano Group CSRCharterandGuidelines,thecompany Our IRPolicy ognSalyMF euiisC. t.Yoshinao Ibara Kunio Sakaida Morgan StanleyMUFGSecuritiesCo., Ltd. Macquarie CapitalSecurities(Japan) Limited Tokai Tokyo Research InstituteCo.,Ltd. JP MorganSecuritiesJapanCo.,Ltd. CLSA SecuritiesJapanCo.,Ltd. Ichiyoshi Research InstituteInc. Announcement offinancialresultsfortheyearendingMarch2018 ending March2019 Announcement offinancialresultsforthethirdquarteryear Mid-term financialresultsbriefingforsecuritiesanalysts(in Tokyo) ending March2019 Announcement ofmid-termfinancialresultsfortheyear ending March2019 Announcement offinancialresultsforthefirstquarteryear GeneralShareholders’Meeting The 70thOrdinary Financial resultsbriefingforsecuritiesanalysts(in Tokyo) Company name Event Mitsuyuki Ohdaira Tomohiko Sano Edward Bourlet Naruhiko Takatsuji Name ofanalyst Mid-November 2018 Late October2018 Late January2019 inquiries regarding financialresults duringthisperiod. of financialresults. We willnotberesponding toorcommentingon end ofthefiscalperiodandeachquarteruntilannouncement weobserveaquietperiodthatbeginsthedayafter fairness, To prevent leaksofinformationonfinancialresults andtoensure visits andplanttours. June 26,2018 April 27,2018 May 15,2018 July 31,2018 FY 2018 •Analysts, whetherincludedinthelistornot, periodicallyorirregularly prepare •The listispostedforthesolepurposeofintroducing informationonthe •The list includes securities analysts who were confirmed to have published
Integrated Report 2018 Stakeholder Engagement 27 Integrated Report 2018 Stakeholder Engagement our plants,andtherefore thelevelof is r energy useforour businessactivities energy in thecompany’s periodicreports on crude oil equivalent; amount indicated total energy useof 5,670kiloliters(by In fiscalyear2017,thecompanyhada our offices andplants. Plant, andconservingenergy useat transport products by overhauling the port adjacent to the Shido (maximum output:260kw)atourShidoPlant,usingabarge to Our efforts includeinstalling2,000square metersofsolarpanels our businessactivities. environment through notonlyourproduct development,butalso and has implemented initiatives to minimize the burden on the 14001 environmental managementsystemcertificationin2008, help create asustainable society. ThecompanyobtainedISO The Tadano Group workstoprotect theglobalenvironment and want to serveourcommunitiesinwaysonlyTadano can. (Cooperation),we Hoshi (Contribution),andKyoryoku Under our corporate philosophy of a codeofconductforindividualemployees. the company, andtheTadano Group CSRGuidelines, Tadano Group CSRCharter, acodeofconductfor Based onthisvision,in2006weestablishedthe pursue furtherexcellencefortheworldandfuture. of allourstakeholders.Simplystated,wewill our corporate value in response to the expectations global environment. We willalsoseektomaximize and promote businessactivitiesthathelpprotect the societies, the developmentoflocalandinternational the peoplearound it.Therefore, wewillcontributeto company canexistonlywhenitisinharmonywith Tadano Our PromisestoSociety promulgate CSR.TheT Responsibility) Committeein2005topromote and Our CommitmenttotheEnvironment elated toproduction activitiesat Engagement Stakeholder
use) established Using barges totransportproducts
in
Japan.
the adano Group believes that a
Most
CSR
of
(Corporate
the Sozo (Creation), Solar panelsinstalledatShido Plant
Social de grow and coexist harmoniouslygrow andcoexist with them. ofourall business associates through cooperation, andto We strive will to buildstrong relationships oftrust with Coexistence with Business Associates workplaces We for EmployeesRespect We Sincere Business Activities impress our customers their by exceeding expectations. andsystems,products, aiming to continually services We undertake will the ofcreating challenge original highly Striving to Create New Technologies Increasing the Business Value ofCustomers pursue further excellence for the world andthe future. our corporate value in response to the expectations of our of all stakeholders. Simply stated, we will promote business activities that environment. help protect the global We to maximize seek also will Therefore,and people. we contributewill to the development and international of local societies, and The Tadano that Group believes acompany ifitisin harmony can exist only successfully with society Tadano Group Charter CSR systems focused on safety andquality.systems on safety focused value ofcustomers by providing and products, services We ourselves dedicate will to increasing the business business act dicate
will will
strive respect ourselv
ivities. tha
t
to
bri each es
friendly operationsuchasbyreducing CO and EcoModefunctions,supportsefficient andenvironmentally rough terraincraneseries,whichisequippedwithFuelMonitoring features thatminimizenoiseandotherpollution.TheCREVOG4 and eachsegmenthasintroduced eco-friendlyproducts with Tadano’s modelupgradescomplywithnewexhaustgasstandards, production facilitiesandintroducing LEDlighting. saving measures, includingimproving the efficiency ofour output. Goingforward, Tadano willcontinuetoimplementenergy- energy use tendto be greatly affected by fluctuations in production consumption, andoperationalnoise. conduct ng
10,000 (kiloliters) to 2,500 5,000 7,500
out
emp crea
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best
transparent, Energy consumption
Y21 Y21 Y21 Y21 FY2017 FY2016 FY2015 FY2014 FY 2013 1,204 healt 5,186 indi
in
viduality hy, emp Changes inenergyconsumptionand
loyees. cheerfu
sincere production output(inJapan)
and 5,706 1,501 l (crude oilequivalent) envi achieve achieve relationships oftrust. and we ourselves dedicate will to maintaining long-term ofourto all stakeholders, our whom as we partners, see We Appropriate Communication Activities We Harmony with the Environment Global contribute to the development oftheir societies. corporate citizen, andconduct business activities that countries andcommunities where we work agood as We the respect will laws, customs andcultures ofthe Coexistence with Society valueasset ofour shareholders andinvestors. We Maintenance and Improvement ofInvestment Value fashio
ronment ofour in all work processes. will will will n, andby appropriate methods ofcommunication, 1,541 5,583
long-term, steady growth to increase the strive disclose work
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achieve improve 1,300 5,465
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our 2
emissions,fuel Production output performance and
with 1,291 5,670
in
the
(100 millionyen) a
timely global global 0 500 1,000 1,500 2,000 March 2018,wehavemadedonationstoatotalof46organizations. by employees(matchinggift),andmakedonationstwiceayear. Asof company devotestheamountequivalenttosumofcontributions of 100yenfrom theirmonthlysalaryand500yenfrom theirbonus.The Employees whobecomemembersoftheorganization makeadonation organizations and individuals dedicatedtoavarietyofsocialcauses. was launchedin2007asagrassroots initiativeforraisingdonations This supportorganization, whichencouragesemployees’participation, platforms andoperatinga“skeletoncrane”thatrunsonairpressure. of thepulley. Theyalsohadgreat funtest-ridingTadano’s aerialwork abouttheprincipleoflever,learn Pascal’s law, andtheprinciple science. Children hadthe opportunity to use experimental toolsto universities and other organizations to inspire children’s interest in Tadano supportsaninteractivescienceeventheldbylocal equipment fortherestoration ofruinsAngkorin2008. Monozukuri NipponGrandAward, andthecompanyalsodonated the SpecialPrizeofMinisterEconomy, Trade andIndustryinthe developing adisassemblyjigin2008.InFebruary2018,Tadano won disassembly of theTakamatsuzuka Tomb’s stonechamberinNaraby from 1988to1996.Tadano alsoprovided technicalcooperationinthe position, Tadano tookontheMoaiRestorationProject, whichlasted Island seekingtechnicalassistancetoreturnMoaithestanding cultural restoration projects. Inresponse toamessagefrom Easter positioned tomakecontributionsthecommunitybyassistingwith As amanufacturer ofliftingequipment,Tadano hasbeenuniquely Heartful Pocket Interactive ScienceEvent Sponsorship andExhibitioninan Cultural RestorationProjects (donor organization) A childusingtheskeletoncrane practical training. each yearforanon-site and vocationalschools We alsoaccept some100nursingstudentsfrom localuniversities to approximately 1%ofthetotalblooddonationinKagawa. 462 employeesdonatedbloodinfiscalyear2017,whichcorresponds more than400Group employeesparticipateeachyear. Atotalof blood drivestwiceayearatouroffices andplantsinKagawa, As asupporteroftheJapaneseRedCross Society, Tadano organizes both insideandoutsidethecompany. and wasjoinedbyatotalof44pairschildren andparents from In fiscalyear2017,thetourwasheldatourShidoPlantinAugust ride ourcranes. by providing themwitharare opportunitytovisitplantsandtest- technology andtogivethemalittlehelpwiththeirsummerprojects and understandinginmonozukuri(high-qualitymanufacturing) Tadano holdsplanttourseachyeartoenhancechildren’s interest Blood DonationandNursingTraining Summer PlantTours forFamilies Equipment donatedfortherestoration of Angkor, Cambodia Technical cooperationinthedisassemblyof the Takamatsuzuka Tomb’s stonechamber. Moai RestorationProject 28
Integrated Report 2018 Stakeholder Engagement 29 Integrated Report 2018 Corporate Governance and Compliance environment andexpandingther auditing bysuchaculture.governed Equallyimportantistoensure that mechanism inwhichcorporatemanagement(andmanagers)are culture basedonourcorporatephilosophyanddevelopa function effectively, webelieveneedtofosterasoundcorporate and efficiency to ofourmanagement.Forcorporategovernance management issuesinorder toensure transparency, soundness, asoneoftheimportant The companyplacescorporategovernance Corporate Governance Organizational Chart Tadano’sCorporate Governance: BasicPolicy and Compliance
is
conducted
Accounting auditor (audit corporation) Appointment dismissal Appointment dismissal Collaboration Collaboration Collaboration Audit
properly ole oftheauditandsupervisory
by 4 auditandsupervisoryboardmembers
improving Help Desk Lawyer (including 2outsideauditand supervisory boardmembers) Help Desk Internal Audit Office Audit andSupervisoryBoard （3 members） endation recomm- Audit Audit General Shareholders’Meeting
(Execution ofdutiesbythePresidentandCEO) the
auditing Monthly ManagementBriefing International SalesDivision,etc. Sales AdministrationDivision,Japan Safety AssuranceDivision,CustomerSupport Procurement Division,ProductionQualityand Sustainable andsuperValueEngineeringDivision, Division, InformationandCommunicationTechnology Development Division,AdvancedTechnologyResearch Planning andAdministrationDivision,Research recommendation Management Meeting Risk Committee,Compliance etc. Control Officers’ Meeting corporate governance. corporate governance. Guidelines, whichsetforththeTadano Group’s basicapproach to of corporatevalue,wehaveestablishedtheCorporateGovernance To realize sustainablegrowth andamid-tolong-termenhancement board members. CSR Committee(Chair:President) Audit (including 2outsidedirectors) Board ofDirectors Supervise 6 directors Report Appointment dismissal Companies Compensation Committee Group Nominating and directors are contributingtotheeffectiveness intheseriesof appropriate incomposition,role, andoperation,thatoutside Meeting held once a month on management strategies, is least twice amonthwithoutside directors and atthe Management conducted basedondiscussionsattheOfficers’ Meetingheldat that themechanismofBoard ofDirectors meetings,whichare Directors. Infiscalyear2017,theBoard ofDirectors concluded evaluationofeffectivenessmatters concerning oftheBoard of Guidelinesindicates Article 32oftheCorporateGovernance compliance measures. providing assistancesuchasforimplementationof regulatory tools andothermaterials,strengthens the compliance systemby education andtrainingsonregulatory complianceusingeducational The ComplianceCommitteeraisesawareness ofcompliancethrough Compliance Committee Compliance Committee,consistingofmembersrepresenting eachdivision. In additiontoappointingComplianceOfficers, weperiodicallyholdthe social norms,aswellhighethicalstandards. business activitiesincompliancewithrelevant lawsandregulations and employees oftheTadano Group engageintransparent, sound,andhonest In keepingwiththeTadano Group CSRCharterandGuidelines,all Compliance assurancesystem to adepartment,andconductreviews ontheresults. risks,implementsolutionsbyassigningeachrisk and evaluateinternal management capabilities.TheCommitteemeetsbiannuallytoidentify The goaloftheRiskCommitteeistoenhancecompany’s risk Risk Committee Management Meetingisconvenedtodiscussmanagementstrategies. report on business activitiesandtoshare information,while the president’s decision-making.TheMonthlyManagementBriefingisheldto These meetingsare heldonceamonthascommitteetoassistthe attended bydirectors, officers, andauditsupervisoryboard members. The MonthlyManagementBriefingandtheMeetingare Monthly ManagementBriefing/ManagementMeeting management decisions,thereby properly fulfillingitsrole andresponsibilities. management systemtosupportappropriate riskstakenbydirectors asapartof and assetefficiency. Theboardcontrol alsoestablishesaninternal systemandarisk the company’s corporatevalueandmaking improvementscapabilities suchasinearning develops and executes management plans and strategies with the goal of maximizing Comprised ofsixdirectors, includingtwooutsidedirectors, Tadano’s Board ofDirectors Board ofDirectors Compliance Initiatives Evaluating theEffectiveness oftheBoard ofDirectors Description ofMeetingBodiesandCommittees Directors andsuccessionplanning. We willcontinuetodeliberateonthediversityofBoard of of Directors isadequatelyensured. As such,thecompanyconfirmsthateffectiveness oftheBoard board members. Directors collectedfrom alldirectors andauditsupervisory results forquestionnaires ontheevaluation oftheBoard of conclusion wasmadebasedontheanalysisanddiscussion discussions, includingBoard ofDirectors meetings.This Board of Directors onanas-needed basis. committee reports reporting theoperationstatusofinternal systemtothe reported tothepresident andtheComplianceCommittee,chairof anonymity andprohibiting anyunfairtr Tadano’s from whistleblowers. hotline(anoutsidelawfirm)toreceivehotline aswellanexternal reports illegal andinappropriate actionstothecompany. We havesetupaninternal We reporting haveestablishedaninternal systemsothatemployeescanreport reportingInternal system(inJapan) are organized onspecificthemeswhenneeded. andgroupheld foremployeeseachmonthusinge-learning, workshops meetings.Complianceseminarsareeach workplace,suchasmorning through itlinebywhenever appropriate duringgatheringsheldat describes compliance issues encountered in daily operations, and read All employeesare given acopyoftheComplianceManual,which Promoting compliance(inJapan) intensive discussiononmanagementstrategies. officers. TheOfficers’ Campisheldtwiceayearas anopportunityfor business execution by officers and to enhance collaboration among The Officers’ Meetingisheldatleasttwiceamonthtofacilitate Officers’ Meetingand Officers’ Camp andtransparency.ensuring fairness reports tothepresidentremuneration decisionsconcerning forofficers withthegoalof In addition,asanadvisorybodyforthepresident, theCommitteediscussesand discussion totheBoard ofDirectors andtransparency. withthegoalofensuringfairness remunerationdecisions concerning fordirectors, andreports thedetailsof and auditsupervisoryboard membersandtheappointmentofofficers, aswell body for theBoard of Directors, theCommitteediscussesnominationofdirectors directors, andoneoutsideauditsupervisoryboard member. Servingasanadvisory directors,This Committeeiscomprisedoffivemembers:twointernal outside Nominating andCompensationCommittee expertise andinformationheldbyeachauditsupervisoryboard member. appropriate judgmentfrom anobjectiveperspectivebasedonthehighlevelof to auditbusinessexecutionofdirectors byexercising theirauthorityand Board maintainsasystemwhichallowsauditandsupervisoryboard members outside auditandsupervisoryboard members,theAuditandSupervisory Composed offourauditandsupervisoryboard membersincludingtwo Audit andSupervisoryBoard
internal
regulations
protect eatment ofthem.Seriousviolationsare
whistleblowers
by
ensuring
their 30
Integrated Report 2018 Corporate Governance and Compliance Performance and Financial Highlights (Consolidated Basis)
(Millions of(Millions yen) of yen) Net sales Net sales (millions of(millions yen) of yen) 250,000 250,000 Operating incomeOperating income 209,426209,426 (millions of(millions yen) of yen) 204,059204,059 Operating marginOperating margin200,000 200,000 181,764181,764 179,676179,676 20% 20% (%) (%) 173,703173,703 162,767162,767
150,000 150,000 134,836134,836 15% 15% 114,209114,209 104,251104,251 89,807 89,807 100,000 100,000 10% 10%
50,000 50,000 29,462 29,462 31,062 31,062 5% 5% 21,140 21,140 18,484 18,484 10,365 10,365 10,925 10,925 15,511 15,511 612 612 5,895 5,895 0 0 0 0 (3,733) (3,733)
(50,000) (50,000)
FY 2008FY 2008 FY 2009FY 2009 FY 2010FY 2010 FY 2011FY 2011 FY 2012FY 2012 FY 2013FY 2013 FY 2014FY 2014 FY 2015FY 2015 FY 2016FY 2016 FY 2017FY 2017
Pro t andPro t Loss and Loss Performance and Financial Highlights (Consolidated Basis) Performance and Financial Highlights (Consolidated Basis) Net salesNet (millions sales (millionsof yen) of yen) 162,767162,767 104,251104,251 89,807 89,807 114,209114,209 134,836134,836 181,764181,764 204,059204,059 209,426209,426 179,676179,676 173,703173,703 OperatingOperating income (millionsincome (millionsof yen) of yen) 10,365 10,365 612 612 (3,733) (3,733) 5,895 5,895 10,925 10,925 21,140 21,140 29,462 29,462 31,062 31,062 18,484 18,484 15,511 15,511 OrdinaryOrdinary income (millionsincome (millionsof yen) of yen) 10,331 10,331 297 297 (3,886) (3,886) 5,778 5,778 11,448 11,448 21,642 21,642 30,357 30,357 30,680 30,680 18,490 18,490 14,907 14,907 Net income (loss)Net incomeattributable (loss) to attributable owners of tothe owners parent of(millions the parent of yen) (millions of yen) 5,539 5,539 (895) (895) (6,722) (6,722) 3,145 3,145 7,341 7,341 14,410 14,410 19,483 19,483 19,621 19,621 11,881 11,881 9,391 9,391
Cash FlowCash Flow Cash ow Cashfrom operating ow from operatingactivities (millions activities of (millions yen) of yen) (5,165) (5,165) 7,913 7,913 6,472 6,472 13,612 13,612 2,188 2,188 15,467 15,467 19,800 19,800 19,387 19,387 3,301 3,301 30,015 30,015
Integrated Report 2018 Cash ow Cashfrom investing ow from activitiesinvesting (millions activities of (millions yen) of yen) (6,662) (6,662) (1,700) (1,700) (873) (873) (868) (868) (1,972) (1,972) (3,753) (3,753) (4,079) (4,079) (3,758) (3,758) (4,798) (4,798) (3,942) (3,942) Integrated Report 2018 Cash ow Cashfrom nancing ow from activities nancing (millions activities of (millions yen) of yen) 12,081 12,081 3,216 3,216 (5,738) (5,738) (2,540) (2,540) (2,050) (2,050) (4,910) (4,910) (4,287) (4,287) (3,136) (3,136) (2,495) (2,495) (7,992) (7,992)
FinancialFinancial Condition Condition Total assetsTotal (millions assets (millionsof yen) of yen) 176,465176,465 159,875159,875 146,165146,165 161,176161,176 177,611177,611 198,944198,944 223,608223,608 235,400235,400 229,799229,799 245,565245,565 Cash and cashCash equivalents and cash at equivalents the end of atthe the scal end year of the (millions scal ofyear yen) (millions of yen) 21,396 21,396 30,822 30,822 30,367 30,367 40,155 40,155 39,512 39,512 48,156 48,156 61,262 61,262 73,120 73,120 68,291 68,291 86,624 86,624 Interest-bearingInterest-bearing debt (millions debt (millionsof yen) of yen) 41,249 41,249 46,553 46,553 40,189 40,189 38,101 38,101 38,706 38,706 38,233 38,233 37,620 37,620 36,869 36,869 37,235 37,235 33,750 33,750 Shareholders’Shareholders’ equity (millions equity (millionsof yen) of yen) 90,076 90,076 87,516 87,516 80,357 80,357 83,094 83,094 88,757 88,757 100,454100,454 116,796116,796 133,190133,190 141,746141,746 147,841147,841
Per SharePer Data Share Data Net assetsNet (yen) assets (yen) 677.4 677.4 660.4 660.4 590.6 590.6 612.1 612.1 677.3 677.3 805.9 805.9 958.2 958.2 1,060.0 1,060.0 1,121.9 1,121.9 1,180.3 1,180.3 Net incomeNet (loss) income attributable (loss) attributable to owners of to the owners parent of (yen)the parent (yen) 43.6 43.6 (7.0) (7.0) (52.9) (52.9) 24.8 24.8 57.8 57.8 113.7 113.7 153.8 153.8 154.9 154.9 93.8 93.8 74.2 74.2 Price-earningsPrice-earnings ratio (%) ratio (%) 9.4 9.4 — — — — 24.1 24.1 18.8 18.8 11.8 11.8 10.5 10.5 6.7 6.7 13.8 13.8 21.5 21.5 DividendsDividends (yen) (yen) 16.0 16.0 8.0 8.0 3.0 3.0 7.0 7.0 12.0 12.0 19.0 19.0 23.0 23.0 26.0 26.0 26.0 26.0 26.0 26.0 DividendDividend payout ratio payout (%) ratio (%) 36.7 36.7 — — — — 28.3 28.3 20.7 20.7 16.7 16.7 15.0 15.0 16.8 16.8 27.7 27.7 35.1 35.1
Other IndicatorsOther Indicators OperatingOperating margin (%) margin (%) 6.4 6.4 0.6 0.6 — — 5.2 5.2 8.1 8.1 11.6 11.6 14.4 14.4 14.8 14.8 10.3 10.3 8.9 8.9 Ratio of operatingRatio of operatingincome to income total assets to total (ROA) assets (%) (ROA) (%) 5.9 5.9 0.4 0.4 — — 3.8 3.8 6.4 6.4 11.2 11.2 13.9 13.9 13.5 13.5 7.9 7.9 6.5 6.5 Return onReturn equity on (ROE) equity (%) (ROE) (%) 6.4 6.4 — — — — 4.1 4.1 9.0 9.0 15.3 15.3 17.5 17.5 15.4 15.4 8.6 8.6 6.4 6.4 Capital adequacyCapital adequacy ratio (%) ratio (%) 48.8 48.8 52.5 52.5 51.3 51.3 48.2 48.2 48.4 48.4 51.3 51.3 54.3 54.3 57.0 57.0 61.8 61.8 60.9 60.9 Capital investmentsCapital investments (millions (millionsof yen) of yen) 6,558 6,558 1,583 1,583 964 964 1,584 1,584 2,925 2,925 4,178 4,178 3,905 3,905 4,572 4,572 6,030 6,030 2,838 2,838 DepreciationDepreciation expense expense(millions (millionsof yen) of yen) 2,762 2,762 3,060 3,060 2,696 2,696 2,353 2,353 2,167 2,167 2,366 2,366 2,589 2,589 2,793 2,793 3,113 3,113 2,864 2,864 Research andResearch development and development expense (millions expense of (millions yen) of yen) 4,200 4,200 4,010 4,010 3,727 3,727 3,480 3,480 3,998 3,998 4,497 4,497 4,876 4,876 5,611 5,611 5,993 5,993 6,149 6,149 Outside JapanOutside sales Japan ratio sales (%) ratio (%) 54.9 54.9 53.9 53.9 42.6 42.6 46.3 46.3 49.1 49.1 52.5 52.5 50.7 50.7 49.9 49.9 43.1 43.1 43.8 43.8 Number Numberof employees of employees 2,912 2,912 3,043 3,043 3,091 3,091 3,113 3,113 3,144 3,144 3,227 3,227 3,491 3,491 3,433 3,433 3,346 3,346 3,311 3,311
31 32 Consolidated Financial Statements
Consolidated Balance Sheet Consolidated Statement of Income Consolidated Statement of Cash Flows (As of March 31, 2017 and 2018) (Millions of yen) (For fiscal years ended March 31, 2017 and 2018) (Millions of yen) （For fiscal year ended March 31, 2017 and 2018） (Millions of yen)
Assets FY 2016 FY 2017 iabilities FY 2016 FY 2017 FY 2016 FY 2017 FY 2016 FY 2017 Net Sales 179,676 173,703 Current Assets 177,965 191,609 Current iabilities 55,515 70,334 Cash Flow from Operating Activities Cost of Sales 129,682 126,366 Net income before income taxes 17,342 14,676 Notes and accounts payable - trade 26,080 28,310 Cash and deposits 68,745 86,854 Gross Profit before Deferred Gross Profit on Installment Sales 49,993 47,337 Depreciation 3,113 2,864 Electronically recorded obligations — 8,417 Reversal of unrealized income on installment sales 207 110 Impairment loss 199 — Notes and accounts receivable - trade 47,149 41,996 Provision of unrealized income on installment sales 152 117 Amortization of goodwill 56 97 Short-term borrowings 15,448 18,604 Gross Profit 50,048 47,330 Increase (decrease) in allowance for doubtful accounts 239 334 Electronically recorded monetary claims 1,568 3,505 Lease obligations 216 215 Increase (decrease) in net defined benefit liability 227 119 Selling General and Administrative Expenses 31,564 31,818 Increase (decrease) in deferred gross profit on installment sales (54) 6 Income taxes payable 2,470 3,517 Merchandise and finished products 25,764 23,232 Operating Income 18,484 15,511 Interest and dividend income (283) (219) Allowance for product warranties 1,497 1,641 Non-operating Income 758 497 Interest income from installment sales (0) — Work in process 20,263 21,682 Interest income 140 84 Interest expense 436 452 Provision for loss on guarantees 0 0 Interest income from installment sales 0 — Foreign exchange loss (gain) 269 (70) Raw materials and supplies 8,850 9,637 Accounts payable - other 5,205 4,532 Dividend income 142 134 Loss (gain) on sales of investment securities (105) (0) Other 475 278 Loss (gain) on sale or disposal of property, plant and equipment 89 34 Deferred gross profit on installment sales 152 159 Loss on valuation of investments in an affiliate 973 87 Deferred tax assets 3,452 2,922 Non-operating Expenses 752 1,102 Other 4,444 4,937 Decrease (increase) in notes and accounts receivable 1,431 3,765 Interest expense 436 452 Decrease (increase) in inventories (3,767) 1,872 Other 2,357 2,100 Foreign exchange loss 152 439 ong-term iabilities 31,734 25,186 Increase (decrease) in notes and accounts payable (8,623) 10,181 Other 163 209 Other (151) 324 Allowance for doubtful accounts (186) (321) Corporate bonds 10,000 10,000 Ordinary Income 18,490 14,907 Subtotal 11,393 34,526 Long-term borrowings 11,237 4,559 Extraordinary Income 150 36 Interest and dividend income received 283 220 Non-current Assets 51,834 53,955 Gain on sales of property, plant and equipment 35 6 Lease obligations 333 372 Interest income from installment sales received 0 — Gain on sales of investment securities 105 0 Property plant and equipment 41,183 41,747 Interest expense paid (432) (452) Consolidated Financial Statements Deferred tax liabilities 147 155 Gain on liquidation of a subsidiary — 30 Consolidated Financial Statements Income taxes paid (7,943) (4,278) Gain on transfers of investments in a subsidiary 4 — Buildings and structures 35,628 36,666 Deferred tax liabilities for land revaluation 2,109 2,109 Gain on step acquisitions 5 — Cash Flow from Operating Activities 3,301 30,015 Net defined benefit liability 7,299 7,360 Machinery, equipment and vehicles 11,571 12,042 Extraordinary oss 1,298 268 Cash Flow from Investing Activities Loss on sales and retirement of property, plant and equipment 124 41 Other 607 629 Decrease (increase) in time deposits 60 213 Impairment loss 199 — Land 22,513 23,025 Purchases of property, plant and equipment (5,147) (2,628) Total iabilities 87,250 95,521 Loss on valuation of investments in an affiliate 973 87 Integrated Report 2018 Proceeds from sales of property, plant and equipment 31 9 Integrated Report 2018 Allowance for doubtful accounts of an affiliate — 139 Lease assets 1,004 1,032 Purchase of investment securities — (1,216) Income before Income Taxes 17,342 14,676 Proceeds from sales of investment securities 574 9 Net Assets Construction in progress 979 1,262 Income taxes - current 5,034 5,246 Payment for transfer of business (353) — Shareholders’ Equity 141,746 147,841 Income taxes - deferred 366 (3) Payment for purchase of a subsidiary resulting in change in scope of consolidation (5) (266) Payment for transfer of investments in a subsidiary resulting in Other 7,753 8,549 change in scope of consolidation (77) — Total Income Taxes 5,401 5,243 Common stock 13,021 13,021 Other 118 (64) Net Income 11,940 9,432 Subtotal 79,450 82,579 Cash Flow from Investing Activities (4,798) (3,942) Capital surplus 16,855 16,853 Net Income Attributable to Non-Controlling Interests 58 41 Accumulated depreciation (38,266) (40,831) Retained earnings 114,507 120,606 Net Income Attributable to Owners of the Parent 11,881 9,391 Cash Flow from Financing Activities Net increase (decrease) in short-term borrowings 645 (4,473) Treasury stock (2,637) (2,639) Proceeds from long-term borrowings 1,203 — Intangible Fixed Assets 1,181 1,187 Accumulated Other Repayments of long-term borrowings (746) — Comprehensive Income 318 1,615 Consolidated Statement of Comprehensive Income Investments and Other Assets 9,469 11,021 （For fiscal year ended March 31, 2017 and 2018） (Millions of yen) Purchases of treasury stock (0) (2) Disposal of treasury stock 10 — Unrealized gain on available-for-sale securities 1,732 1,622 FY 2016 FY 2017 Investment securities 6,190 7,209 Dividends paid (3,292) (3,292) Net Income 11,940 9,432 Revaluation reserve for land 1,270 1,270 Proceeds from share issuance to non-controlling shareholders — 78 Other Comprehensive Income (785) 1,325 Deferred tax assets 2,620 3,230 Foreign currency translation adjustments (1,875) (585) Dividends paid to non-controlling interests (49) (44) Unrealized gain on available-for-sale securities 882 (109) Other (264) (258) Remeasurements of defined benefit plans (809) (693) Foreign currency translation adjustments (1,799) 1,319 Other 1,666 1,858 Cash Flow from Financing Activities (2,495) (7,992) Remeasurements of defined benefit plans 132 116 Non-controlling Interests 484 587 Foreign Currency Translation Adjustments on Cash and Cash Equivalents (836) 251 Allowance for doubtful accounts (1,008) (1,277) Comprehensive Income 11,155 10,758 Net Increase (Decrease) in Cash and Cash Equivalents (4,828) 18,332 Total Net Assets 142,549 150,044 (Breakdown) Comprehensive income attributable to owners of the parent 11,133 10,688 Cash and Cash Equivalents at Beginning of ear 73,120 68,291 Total Assets 229,799 245,565 Total iabilities and Net Assets 229,799 245,565 Comprehensive income attributable to non-controlling interests 22 70 Cash and Cash Equivalents at End of ear 68,291 86,624
33 34 Company Profile and Topics Stock Information
Investment in Manitex International Inc. Overview (As of March 31, 2018) Directors/Officers (As of June 26, 2018)
Manitex International Inc. is an industrial leader in the manufacturing interest in Manitex. During Manitex’s Board of Directors meeting in Corporate Name : Tadano Ltd. Representative Director, Koichi Tadano Paid-in Capital : JPY13,021 million President and CEO and distribution of boom truck cranes, which are used for general June, a candidate nominated by Tadano was appointed as a new Representative Director, Tadashi Suzuki Establishment : August 24, 1948 construction purposes and the installation of energy-related director of Manitex. Executive Vice President Number of Employees : 1,428 (non-consolidated), 3,311 (consolidated) Director, Senior Executive Tamaki Okuyama facilities in North America. Through its subsidiary, Manitex offers a Description of Business : Production and distribution of mobile cranes, truck loader cranes and aerial Officer lineup of folding knuckle boom cranes, a mainstream truck loader work platforms, etc. Director, Executive Officer Yoichiro Nishi crane in North America and Europe. The Tadano Group, which Head Office : Ko-34 Shinden-cho, Takamatsu, Kagawa, 761-0185, Japan Director Nobuhiko Ito * Plants : Takamatsu Plant, Shido Plant, Tadotsu Plant, Chiba Plant Director Yasuyuki Yoshida * strives to become No.1 worldwide in the lifting equipment industry, Research and Testing Facilities : Advanced Technology Research Center (Takamatsu), Executive Officer Shinichi Iimura believes that investing in Manitex with its complementary product Sanbonmatsu Testing Site (Higashikagawa) Executive Officer Toshiyuki Takanashi portfolio will enable the Group to meet a broader range of customer Branches and Sales Offices : 10 branches, 23 sales offices Executive Officer Soroku Hashikura needs. Based on such judgment, Tadano invested 32.6 million Global Offices : Beijing Representative Office, Middle East Representative Office, Executive Officer Kenichi Sawada Moscow Representative Office Officer Jian Cheng dollars through the purchase of newly-issued shares of Manitex in Officer Chikashi Kawamoto a private placement at 11.19 dollars per share. Group Companies (Japan) Group Companies (Outside Japan) Officer Hiroyuki Fujino As a result of this investment, the Tadano Group now owns 14.9% Tadano IMES Ltd. Tadano Faun GmbH (Germany) Officer Hiroyuki Takagi Boom truck crane Folding knuckle boom crane Tadano ILEC Ltd. Tadano Faun Stahlbau GmbH (Germany) Officer Yuji Tadano Tadano UK Ltd (U.K.) Officer Masahiko Ikeura Tadano S-TEC Ltd. Tadano France SAS (France) Officer Kozo Hayashi Tadano Engineering Ltd. Tadano Nederland B.V. (Netherlands) (*1) Officer Yuji Tokuda Tadano Techno East Co., Ltd. Tadano Introduced the Three Truck Crane Models for Markets Outside of Japan. Tadano Belgium B.V.B.A. (Belgium) (*1) Officer Yukio Gomi Tadano America Corporation (U.S.A.) Tadano Techno West Co., Ltd. Officer Koichi Kanno Tadano Mantis Corporation (U.S.A.) In markets outside of Japan, particularly in Asia and the Middle East, Tadano Kyoshu Center Ltd. Officer Ingo Schiller Tadano America Holdings, Inc. (U.S.A.) Tadano Butsuryu Ltd. Officer Hiroyuki Goda there has been stronger demand in recent years for truck cranes with Tadano Chile SpA (Chile) larger lifting capacities of at least 50 tons, along with the capacity to Tadano Systems Inc. Tadano Brasil Equipamentos de Elevação Ltda. (Brazil) Audit and Supervisory Yoshihito Kodama Board Member Tadano Business Support Ltd. Tadano (Beijing) Ltd. (China) travel both on rough roads and highways. These “crafted in Japan” Audit and Supervisory Akihiko Kitamura Tadano Korea Co., Ltd. (Korea) Toda Kiko Shokai Ltd. Board Member models, the GT-750EL, GT-600EL, and GT-300EL, have an excellent Tadano Asia Pte. Ltd. (Singapore) Audit and Supervisory Kazushi Inokawa * Tadano (Thailand) Co., Ltd. (Thailand) reputation, and orders are on the rise in all markets. Board Member Topics Tadano Italthai Co., Ltd. (Thailand) Company Profile and Stock Information Audit and Supervisory Yuichiro Miyake * Tadano India Pvt. Ltd. (India) Board Member Tadano Oceania Pty Ltd (Australia) Note: * Outside Director or Audit and Supervisory Board Member BQ-Tadano (Beijing) Crane Co., Ltd. (China) (*2) GT-750EL Taiwan Tadano Ltd. (Taiwan) (*2) *About the data published in this report This report provides financial and shareholder information published in the fi- (*1) Both were acquired in January 2018 and are included in the scope of consolidation starting in fiscal year 2018. nancial results for fiscal year 2017 (ended March 31, 2018) and the list of Group (*2) Both are affiliates; all others are subsidiaries. companies and distributors outside of Japan, current as of July 31, 2018. Sales Service Companies Established in the Netherlands and Belgium
Integrated Report 2018 Tadano Faun GmbH, Tadano’s Group company based in Germany, acquired two sales Stock Information (As of March 31, 2018) Integrated Report 2018 and service distributors in January 2018 to establish Tadano Nederland B.V. and Tadano Belgium B.V.B.A., with the aim of strengthening sales and service in the Number of authorized shares 400,000,000 shares Major Shareholders Netherlands and Belgium. Total number of shares issued 129,500,355 shares Number of shares owned Share ownership ratio The Tadano Group is working to expand international business and increase its Names (1,000 shares) (%) market share to realize its long-term goal of becoming No. 1 worldwide in the lifting Number of shareholders 7,559 shareholders Japan Trustee Services Bank, Ltd. 15,692 12.3 equipment industry. Through this acquisition, the Tadano Group aims to further Note: The total number of shares issued includes 2,869,520 treasury shares. increase sales and shares in Europe. Nippon Life Insurance Company 6,301 4.9
The Master Trust Bank of Japan, Ltd. 5,290 4.1 Tadano Nederland B.V. (the Netherlands) Ownership Breakdown Mizuho Bank, Ltd. 5,246 4.1
Establishment of a Joint Venture Company for the Manufacture and Distribution of Cranes in India Securities Treasury shares The Hyakujushi Bank, Ltd. 5,171 4.0 companies 2,869,000 shares (2.2%) 999,000 shares (0.8%) In August 2018, Tadano signed an agreement with Escorts Ltd., a leading Meiji Yasuda Life Insurance Company 4,056 3.2 manufacturer of agricultural and construction machinery in India, to form a joint Foreign corporate entities and others The Bank of Tokyo-Mitsubishi UFJ, Ltd. 3,367 2.6 venture company. Through this joint venture, Tadano aims to further expand its Financial institutions 33,899,000 shares Total The Dai-ichi Life Insurance Company, business and realize growth for the Group in India, a rapidly-growing market. (26.2%) 55,974,000 shares (43.2%) 3,213 2.5 129,500,000 shares Limited Formed with a paid-up capital of 600 million Indian Rupees (with 51% invested (100.0%) Tadano Client Stock Ownership 2,809 2.2 by Tadano and 49% by Escorts), the new joint venture company will endeavor to Association Other domestic strengthen Tadano’s competitiveness by enhancing local design and monozukuri corporate entities Individuals, etc. The Iyo Bank, Ltd. 1,572 1.2 (high-quality manufacturing), in addition to expanding the sales of Tadano’s 7,823,000 shares (6.0%) 27,936,000 shares (21.6%) Notes: cranes. 1. Tadano, which owns 2,869,520 treasury shares, is excluded from the list of major shareholders above. 2. Share ownership ratio is calculated after deducting the number of treasury shares. A rough terrain crane manufactured by Escorts Ltd. 3. All shares owned by trust banks are related to the trust services of the respective companies. 4. The number of shares owned by Meiji Yasuda Life Insurance Company includes shares related to separate accounts. 5. The number of shares owned by The Dai-ichi Life Insurance Company includes shares related to separate accounts. 6. The Bank of Tokyo-Mitsubishi UFJ, Ltd. was renamed MUFG Bank, Ltd. on April 1, 2018.
35 36 37 Integrated Report 2018 Executives Executives Audit andSupervisoryBoard Members Directors (Left toright)Yuichiro Miyake,AkihikoKitamura,Yoshihito Kodama,Kazushi Inokawa (Back row, lefttoright)Yasuyuki Yoshida, Yoichiro Nishi,Tamaki Okuyama,NobuhikoIto (Front row, lefttoright)Tadashi Suzuki,Koichi Tadano 1919 '90 '80 '70 '60 '50 History '92 '91 '89 '84 '83 '73 '72 '66 '64 '63 '59 '55 '54 '48 Introduces the AR allterrain crane series. Easter Island. at AhuTongarikiProject on Begins MoaiStatueRestoration vehicle manufacturer. crane andspecialized a German (currently Tadano FaunGmbH), Acquires FAUN GmbH Changes corporate nameto Tadano Ltd. Establishes theBeijingRepresentative OfficeinChina. working with liveelectricallines. for Introduces insulatedaerialwork platforms in SanukiCity, Kagawa Prefecture. Constructs andbeginsproductionattheShidoPlant Tadano (Europe)B.V. International intheNetherlands. Establishes thecompany’s outsideofJapan firstsubsidiary Tokyo Stock Exchange andtheOsakaExchange. Lists company’s shares ontheFirstSectionsof (a safetydeviceforpreventing crane overload). Develops the AML, Japan’s firstautomaticmomentlimiter the TR-150, witha15-tonliftingcapacity. Introduces Japan’s first hydraulic roughterrain crane, (mounted onspecially-designedcarriers). Introduces the TL truck crane series (mounted onconventionaltrucks). Introduces the TS truck crane series Introduces the TM truck loadercrane series. Takamatsu City, Kagawa Prefecture. Constructs thecompanyheadofficeinShinden-cho, Delivers company’s firsthydraulic crane exports toIndonesia. Relocates mainplanttopresent locationinShinden-cho, Takamatsu City. lifting capacity. truck crane, theOC-2, witha2-ton Introduces Japan’s firsthydraulic industrial machines. Starts developmentofhydraulic for JapanNationalRailways. machine andbeginsproduction Invents arailroad track maintenance asthefirstcompanypresident. who serves Japan by Masuo Tadano, is establishedin Takamatsu, Tadano Iron Works Co., Ltd. welding company. Masuo Tadano startsasmall
Tadano Iron Works Co., Ltd. atthetimeofestablishment The firsthydraulictruckcrane, theOC-2 Moai Statuerestorationproject 2000 '10 '18 '17 '16 '15 '14 '13 '12 '11 '08 '07 '03 '98 '96 '93 The Moscow Representative OfficeopensinMoscow, Russia. Establishes Tadano ChileSpAinChile. Establishes Tadano BelgiumB.V.B.A. inBelgium. Establishes Tadano NederlandB.V. intheNetherlands. Establishes Tadano ItalthaiCo., Ltd.in Thailand. Establishes the Tadano GroupMid-Term ManagementPlan(17-19). Establishes Tadano France SASinFrance. for thefirsttime(financialresults offiscalyear 2014and2015). Tadano Group’s consolidatednetsalesreach 200billionyen (currently Tadano UKLtd). in theUnitedKingdom Acquires Cranes UKLtd, adistributor capacity initsclassworldwide. that boaststhehighestlifting a roughterrain crane (GR-1450EX), Introduces theGR-1600XL markets. country making truck loadercranes designedforemerging Establishes Tadano (Thailand)Co., Ltd.in Thailand for Establishes Tadano IndiaPvt.Ltd.inIndia. Establishes Tadano (Beijing)Ltd.inChina. Elevação Ltda.inBrazil. Establishes Tadano Brasil Equipamentosde Establishes Tadano OceaniaPtyLtdin Australia. SpanDeck Inc. (currently Tadano MantisCorporation) Acquires US-basedtelescopiccrawler crane manufacturer Establishes Tadano FaunStahlbauGmbHinGermany. in ChibaPrefecture. Constructs andbeginsproductionattheChibaPlant in Tadotsu-cho, Kagawa Prefecture. Constructs andbeginsproductionatthe Tadotsu Plant Office inDubai, UAE. Establishes the Tadano MiddleEastRepresentative joint companyforthemanufacture ofconstructioncranes. Establishes BQ-Tadano (Beijing)Crane Co., Ltd., China’s first usingfuzzycontrol. aerialwork platforms high-performance forthedevelopmentof the PromotionofMachine Industry Receives anaward fromtheJapanSocietyfor lifting capacity. all terrain crane, witha550-ton Japan’s largest-capacity the AR-5500M Introduces (currently Tadano Asia Pte. Ltd.)inSingapore. Establishes Tadano-Multico (S.E.ASIA) Pte. Ltd. Establishes Tadanoin Texas,Corporation America USA. AR-5500M GR-1600XL 38
Integrated Report 2018 History Offices and Plants, Group Companies, Distributors
Outside Japan Japan
Offices Plants, branches, sales offices Group comapanies Group companies Distributors Parts centers
Tadano S-T td ead Office Tadano ngineering td Takamatsu lant Tadano yoshu enter td Shikoku ranch Tadano Systems nc Tadano usiness Su ort td Offices and Plants, Group Companies, Overseas Distributors Offices and Plants, Group Companies, Overseas Distributors Offices
Integrated Report 2018 Offices Outside Japan Offices and Plants in Japan Group Companies in Japan Integrated Report 2018
• Beijing Representative Office • Middle East Representative Office • Moscow Representative Office • Head Office • Shido Plant • Advanced Technology • Tadano IMES Ltd. Research Center • Tokyo Office • Tadotsu Plant • Tadano ILEC Ltd. • Sanbonmatsu • Takamatsu Plant • Chiba Plant Testing Site • Tadano S-TEC Ltd. Group Companies Outside Japan • Tadano Engineering Ltd. Europe Asia Branches and Sales Offices • Tadano Techno East Co., Ltd. • Tadano Faun GmbH (Germany) • (China) • Tadano Techno West Co., Ltd. Tadano（Beijing） Ltd. • Hokkaido Branch • Tokyo Branch • Chugoku Branch • Tadano Faun Stahlbau GmbH (Germany) • BQ-Tadano (Beijing) Crane Co., Ltd. (China) • Tadano Kyoshu Center Ltd. • • • Asahikawa Sales Office Chiba Sales Office Okayama Sales Office • • Tadano UK Ltd (United Kingdom) • Tadano Korea Co., Ltd. (Korea) Tadano Butsuryu Ltd. • Obihiro Sales Office • Yokohama Sales Office • Matsue Sales Office • Tadano Systems Inc. • Tadano France SAS (France) • Taiwan Tadano Ltd. (Taiwan) • Hakodate Sales Office • Tokuyama Sales Office • Tadano Business Support Ltd. • Tadano Nederland B.V. (Netherlands) • Tadano Asia Pte. Ltd. (Singapore) • Tohoku Branch • Chubu Branch • Kyushu Branch • Toda Kiko Shokai Ltd. • Tadano Belgium B.V.B.A. (Belgium) • Tadano (Thailand) Co., Ltd. (Thailand) • Aomori Sales Office • Shizuoka Sales Office • Oita Sales Office • Tadano Italthai Co., Ltd. (Thailand) The Americas • Kita-Tohoku Sales Office • Matsumoto Sales Office • Minami-Kyushu Sales Office Parts Centers • (India) Tadano India Pvt. Ltd. • • • Tadano America Corporation (U.S.A.) Koriyama Sales Office Okinawa Sales Office • Global Parts Center (Kobe) • Tadano Mantis Corporation (U.S.A.) Oceania • Hokuriku Branch • Kansai Branch • Hokkaido Parts Center
• Tadano America Holdings, Inc. (U.S.A.) • • Tadano Oceania Pty Ltd (Australia) Niigata Sales Office • Kyoto Sales Office • Tohoku Parts Center • Tadano Chile SpA (Chile) • Kanazawa Sales Office • Kobe Sales Office • Hokuriku Parts Center • Tadano Brasil Equipamentos de • Kanto Branch • Shikoku Branch • Tokyo Metropolitan Area Parts Center Elevação Ltda. (Brazil) • Mito Sales Office • Matsuyama Sales Office • Chubu Parts Center • Gunma Sales Office • Kyushu Parts Center
39 40 41 Integrated Report 2018 List of Group Companies and Offices Oceania Asia Sales Other Service turing Manufac- Americas The Europe Other Service turing Manufac- Sales Oceania Asia Americas The Europe List ofGroupCompanies Group CompaniesinJapan Group CompaniesOutsideJapan Group CompaniesOutsideJapan Group CompaniesinJapan Tadano Oceania Pty Ltd Pty Tadano Oceania Ltd. Pvt. Tadano India Tadano Italthai Co., Ltd. Co., Tadano Italthai Tadano (Thailand)Co.,Ltd. Taiwan Tadano Ltd. Ltd. Co., Crane (Beijing) BQ-Tadano Consolidated affiliates Ta Tadano Ltd. Korea Co., Tadano IMESLtd. Consolidated subsidiaries Tadano BrasilEquipamentosdeElevaçãoLtda. Tadano BelgiumB.V.B.A. Tadano NederlandB.V. Tadano FranceSAS Tadano UKLtd Tadano FaunStahlbauGmbH Tadano FaunGmbH Consolidated subsidiaries Toda KikoShokaiLtd. Tadano BusinessSupportLtd. Tadano SystemsInc. Tadano ButsuryuLtd. Tadano KyoshuCenterLtd. Consolidated subsidiaries Tadano TechnoWestCo.,Ltd. Tadano TechnoEastCo.,Ltd. Consolidated subsidiaries Tadano EngineeringLtd. Tadano S-TECLtd. Tadano ILECLtd. Consolidated subsidiaries Tadano (Beijing)Ltd. Consolidated subsidiaries Tadano ChileSpA Tadano AmericaHoldings,Inc. Tadano MantisCorporation Tadano AmericaCorporation Consolidated subsidiaries Taiwan Tadano Ltd. Ltd. Co., Crane (Beijing) BQ-Tadano Consolidated affiliates Ltd. Pte. Tadano Asia Tadano Ltd. Korea Co., Toda KikoShokaiLtd. Tadano BusinessSupportLtd. Tadano SystemsInc. Tadano ButsuryuLtd. Tadano TechnoWestCo.,Ltd. Tadano EngineeringLtd. Tadano S-TECLtd. Tadano IMESLtd. Consolidated subsidiaries Ltd Pty Tadano Oceania Ltd. Pvt. Tadano India Ltd. Co., Tadano Italthai Tadano (Thailand)Co.,Ltd. Tadano BrasilEquipamentosdeElevaçãoLtda. Tadano ChileSpA Tadano AmericaHoldings,Inc. Tadano MantisCorporation Tadano BelgiumB.V.B.A. Tadano NederlandB.V. Tadano FranceSAS Tadano UKLtd Tadano FaunStahlbauGmbH Tadano FaunGmbH Consolidated subsidiaries Tadano ILECLtd. Consolidated subsidiaries Tadano KyoshuCenterLtd. Consolidated subsidiaries Tadano TechnoEastCo.,Ltd. Consolidated subsidiaries Tadano (Beijing)Ltd. Consolidated subsidiaries Tadano AmericaCorporation Consolidated subsidiaries and Offices dano Asia Pte. Ltd. Pte. Asia dano 4/12 Archi U Huay KwHuay 2013 Petcha New 500/70 Moo.2, T.Tasit,500/70 Moo.2, Dae A.Pluak Singapore 637643Singapore Taipei City 10682,Taipei City Taiwan (R.O.C.) 4., No.77,Sec.2DunhuaS.Rd.Da’anDist. China Beijing, District, Shunyi Ind Linhe Street, Linhe No.36 058 Seoul, 2F, B213, 52, Chung Chaoy District Mansi 1902,Room Huateng No.302 11 T São Paulo-SP-CEP01227-200-Brazil Avenida Angélica,2491-Conjunto77, Industrieterrein 2,nr.13,3290DIEST(WEBBEKOM),Belgium 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 Component 1,1446WZPurmerend,TheNetherlands 42 AvenueLongchamp,57500SaintAvold,France Tankersley, SouthYorkshire,S753DH,U.K. 1-4 WentworthWay,IndustrialPark, Faunberg 2,91207,Laufa.d.Pegnitz,Germany Faunberg 2,91207,Laufa.d.Pegnitz,Germany 1858-1 Kita-cho,Takamatsu, Kagawa760-0080 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 5405-3 Shido,Sanuki,Kagawa769-2101 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 8-24 Chikko-Hamadera-Nishimachi,Nishi-ku,Sakai,Osaka592-8352 8-10 Shinkiba2-chome,Koto-ku,Tokyo136-0082 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 14-1 Nishiminato-machi,Tadotsu-cho,Nakatado-gun,Kagawa764-0017 No.29 M.G R M.G No.29 T San PioX2460,Oficina1110,Providencia,Santiago,Chile 4242 WestGreensRoad,Houston,Texas77066,U.S.A. 1705 ColumbiaAvenue,Franklin,Tennessee37064,U.S.A. 4242 WestGreensRoad,Houston,Texas77066,U.S.A. Taipei City 10682,Taipei City Taiwan (R.O.C.) 4., No.77,Sec.2DunhuaS.Rd.Da’anDist. China Beijing, District, Shunyi Ind Linhe Street, Linhe No.36 637643Singapore 11 Buil Multico Tuas Crescent, View 058 Seoul, 2F, B213, 52, Chung Chaoy District Mansi 1902,Room Huateng No.302 São Paulo-SP-CEP01227-200-Brazil Avenida Angélica,2491-Conjunto77, Industrieterrein 2,nr.13,3290DIEST(WEBBEKOM),Belgium Huay KwHuay 1858-1 Kita-cho,Takamatsu, Kagawa760-0080 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 5405-3 Shido,Sanuki,Kagawa769-2101 8-24 Chikko-Hamadera-Nishimachi,Nishi-ku,Sakai,Osaka592-8352 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 4/12 Archi U 2013 Petcha New T.Tasit,500/70 Moo.2, Dae A.Pluak San PioX2460,Oficina1110,Providencia,Santiago,Chile 4242 WestGreensRoad,Houston,Texas77066,U.S.A. 1705 ColumbiaAvenue,Franklin,Tennessee37064,U.S.A. Component 1,1446WZPurmerend,TheNetherlands 42 AvenueLongchamp,57500SaintAvold,France Tankersley, SouthYorkshire,S753DH,U.K. 1-4 WentworthWay,IndustrialPark, Faunberg 2,91207,Laufa.d.Pegnitz,Germany Faunberg 2,91207,Laufa.d.Pegnitz,Germany 14-1 Nishiminato-machi,Tadotsu-cho,Nakatado-gun,Kagawa764-0017 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 8-10 Shinkiba2-chome,Koto-ku,Tokyo136-0082 4242 WestGreensRoad,Houston,Texas77066,U.S.A. T No.29 M.G R M.G No.29 hailand nit No.709-710, Fl 7th hailand nit No.709-710, Fl 7th u as View Crescent, Multico Buil Multico Crescent, View as ang, B ang, B es Street, Darra, QLD 4076, QLD Australia Darra, Street, medes 39, Korea es Street, Darra, QLD 4076, QLD Australia Darra, Street, medes 39, Korea d, B oad, d, B oad, , Beijing, China ang, Beijing, , Beijing, China ang, Beijing, gkok 10310,angkok T gkok 10310,angkok T buri R buri R angalore-56 min-ro, Songpa-gu, angalore-56 min-ro, Songpa-gu, oor, Mer Prestige d, B oad, oor, Mer Prestige d, B oad, trial Development Zone, Development ustrial angka trial Development Zone, Development ustrial angka hailand 0001, Kar hailand 0001, Kar , Rayong 21140,ng, Rayong ding, , Jinsong 3 on, Jinsong pi, , Rayong 21140,ng, Rayong ding, , Jinsong 3 on, Jinsong pi, ian -1,idian ian -1,idian taka, India nataka, taka, India nataka, 61-7-3120-8750 66-2-318-5192 65-6863-6901 886-2-2754-0252 86-10-8949-8703 82-2-714-1600 86-10-8776-9766 32-1335-16-60 81-3-3621-7741 31-299-39-00-55 33-6-7571-2277 44-870-066-5466 49-9123-185-171 49-9123-185-0 81-87- 834-3434 81-87-839-5788 81-87-839-5545 81-87-894-9530 81-87-839-5513 81-72-268-3434 81-3-5569-2881 81-87-839-5675 81-87-839-5785 81-877-32-2161 66-33-010-939 56-2-3280-2077 1-281-869-0030 1-800-272-3325 1-281-869-0030 91-80-4093-1566 886-2-2754-0252 86-10-8949-8703 65-6863-6901 82-2-714-1600 86-10-8776-9766 32-1335-16-60 66-2-318-5192 81-87- 834-3434 81-87-839-5788 81-87-839-5545 81-87-894-9530 81-72-268-3434 81-87-839-5675 81-87-839-5785 81-3-3621-7741 61-7-3120-8750 56-2-3280-2077 1-281-869-0030 1-800-272-3325 31-299-39-00-55 33-6-7571-2277 44-870-066-5466 49-9123-185-171 49-9123-185-0 81-877-32-2161 81-87-839-5513 81-3-5569-2881 1-281-869-0030 66-33-010-939 91-80-4093-1566 55-11-4772-0222 55-11-4772-0222 OkinawaSalesOffice Minami-KyushuSalesOffice OitaSalesOffice Kyushu Branch TokuyamaSalesOffice MatsueSalesOffice OkayamaSalesOffice Chugoku Branch MatsuyamaSales Office Shikoku Branch KobeSales Office KyotoSalesOffice Kansai Branch MatsumotoSales Office ShizuokaSales Office Chubu Branch YokohamaSalesOffice ChibaSalesOffice Tokyo Branch GunmaSalesOffice MitoSalesOffice Kanto Branch KanazawaSalesOffice NiigataSalesOffice Hokuriku Branch KoriyamaSalesOffice Kita-TohokuSalesOffice AomoriSalesOffice Tohoku Branch HakodateSalesOffice ObihiroSalesOffice AsahikawaSalesOffice Hokkaido Branch Sanbonmatsu TestingSite Advanced TechnologyResearchCenter Chiba Plant Tadotsu Plant Shido Plant Takamatsu Plant Tokyo Office Head Office Moscow RepresentativeOffice Middle EastRepresentativeOffice Beijing RepresentativeOffice Advanced TechnologyResearchCenter OkinawaSalesOffice Minami-KyushuSalesOffice OitaSalesOffice Kyushu Branch TokuyamaSalesOffice MatsueSalesOffice OkayamaSalesOffice Chugoku Branch MatsuyamaSales Office Shikoku Branch KobeSalesOffice KyotoSales Office Kansai Branch Matsumoto SalesOffice ShizuokaSales Office Chubu Branch YokohamaSalesOffice ChibaSalesOffice Tokyo Branch GunmaSalesOffice MitoSalesOffice Kanto Branch KanazawaSalesOffice NiigataSalesOffice Hokuriku Branch KoriyamaSalesOffice Kita-TohokuSalesOffice AomoriSalesOffice Tohoku Branch HakodateSalesOffice ObihiroSalesOffice AsahikawaSalesOffice Hokkaido Branch Sanbonmatsu TestingSite Chiba Plant Tadotsu Plant Shido Plant Takamatsu Plant Tokyo Office Head Office Moscow RepresentativeOffice Middle EastRepresentativeOffice Beijing RepresentativeOffice Offices inJapan Offices OutsideJapan Offices inJapan Offices OutsideJapan 18-5 Jitchaku2-chome, Urasoe,Okinawa901-2122(Unit101,GKBldg.) 1442-8 Tando,Kajiki-cho,Aira,Kagoshima899-5231 (1stfloor,InterfrontBldg.) 1-11 Matsubara-machi3-chome,Oita,Oita870-0913 (5thfloor,OitaTekkoBldg.) 2-14 Mikasagawa3-chome,Onojo,Fukuoka 816-0912 8-31 Kinan-cho,Shunan,Yamaguchi745-0007 (2ndfloor,FukuyaBldg.) 13-4 Shirakata-Honmachi,Matsue,Shimane 690-0061 (5thfloor,MitsuiSeimeiMatsueBldg.) 7-33 Aoe1-chome,Kita-ku,Okayama,Okayama700-0941(3rdfloor,TochiSokoBldg.) 4-96 Kitashinchi1-chome,Saka-cho,Aki-gun,Hiroshima731-4311 886-4 Morimatsu-machi,Matsuyama,Ehime791-1113 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 8-34 Taruya-machi,Akashi,Hyogo673-0898(Unit503,KonanAssetAkashiBldg.2) 23-1 Kisshoinkujo-cho,Minami-ku,Kyoto,Kyoto601-8328(3rdfloor,NKDBldg.) 399-1 OazaShimadachi,Matsumoto,Nagano390-0852(Unit703,TekisuiBldg.) 6-25 Kurihara,Suruga-ku,Shizuoka,Shizuoka422-8008(3rdfloor,ShizutetsuKuriharaBldg.) 122 AzaShimoda,KokonokaIchiba,Tanyo-cho,Ichinomiya,Aichi491-0824 4843-1 Ikenobe-cho,Tsuzuki-ku,Yokohama,Kanagawa224-0053 8-4 Osaku1-chome,Sakura,Chiba285-0802(InsideSakuraIndustrialParkNo.3) 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 52-4 AmagawaOshima-machi3-chome,Maebashi,Gunma379-2154 158-268 Hirasu-cho,Mito,Ibaraki310-0853 54 Irie2-chome,Kanazawa,Ishikawa921-8011(2ndfloor,NakamuraBldg.) 1-5 Ryutsu3-chome,Nishi-ku,Niigata,Niigata950-1125 344 Nishifutamata,Toyama,Toyama930-0177 2-16 Kuwano2-chome,Koriyama,Fukushima963-8025(3rdfloor,FujioBldg.) 35-46 Nishisenboku1-chome,Morioka,Iwate020-0864 10-4 Nagashima2-chome,Aomori,Aomori030-0861(YamauBldg.) 2-21 Oroshimachi-Higashi4-chome,Wakabayashi-ku,Sendai,Miyagi984-0002 3-16-25 Mihara,Hakodate,Hokkaido041-0806(6thfloor,NihonHouseHoldingsBldg.) 20 Odori-Minami12-chome,Obihiro,Hokkaido080-0010(3rdfloor,AobaTokachiBldg.) 1703-59 ShijoDori8-chome,Asahikawa,Hokkaido070-0034(4thfloor,AsahikawaBldg.) 1-40 Minami,Hondori21-chome,Shiroishi-ku,Sapporo,Hokkaido003-0026 2217-13 Hayashi-cho,Takamatsu,Kagawa761-0301 424-13 Kamiizumi-cho,Wakaba-ku,Chiba,Chiba265-0045(InsideResearchPark) 14-1 Nishiminato-machi,Tadotsu-cho,Nakatado-gun,Kagawa764-0017 5405-3 Shido,Sanuki,Kagawa769-2101 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 Russia, 125047,Moscow,4thLesnoypereulok4,Office503 PO Box18302,LOB15-323,JebelAliFreeZone,Dubai,UAE 7-352-2 Sanbo-cho,Sakai-ku,Sakai,Osaka590-0906 464-5 Oaza1-chome,Ageo,Saitama362-0046 2277 Sanbonmatsu,Higashi-Kagawa,Kagawa769-2601 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Room 1902A,No.302HuatengMansion,Jinsong3DistrictChaoyang,Beijing,China 18-5 Jitchaku2-chome, Urasoe,Okinawa901-2122(Unit101,GKBldg.) 1442-8 Tando,Kajiki-cho,Aira,Kagoshima899-5231 (1stfloor,InterfrontBldg.) 1-11 Matsubara-machi3-chome,Oita,Oita870-0913 (5thfloor,OitaTekkoBldg.) 2-14 Mikasagawa3-chome,Onojo,Fukuoka 816-0912 8-31 Kinan-cho,Shunan,Yamaguchi745-0007 (2ndfloor,FukuyaBldg.) 13-4 Shirakata-Honmachi,Matsue,Shimane 690-0061 (5thfloor,MitsuiSeimeiMatsueBldg.) 7-33 Aoe1-chome,Kita-ku,Okayama,Okayama700-0941(3rdfloor,TochiSokoBldg.) 4-96 Kitashinchi1-chome,Saka-cho,Aki-gun,Hiroshima731-4311 886-4 Morimatsu-machi,Matsuyama,Ehime791-1113 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 8-34 Taruya-machi,Akashi,Hyogo673-0898(Unit503,KonanAssetAkashiBldg.2) 23-1 Kisshoinkujo-cho,Minami-ku,Kyoto,Kyoto601-8328(3rdfloor,NKDBldg.) 7-352-2 Sanbo-cho,Sakai-ku,Sakai,Osaka590-0906 399-1 OazaShimadachi,Matsumoto,Nagano390-0852(Unit703,TekisuiBldg.) 6-25 Kurihara,Suruga-ku,Shizuoka,Shizuoka422-8008(3rdfloor,ShizutetsuKuriharaBldg.) 122 AzaShimoda,KokonokaIchiba,Tanyo-cho,Ichinomiya,Aichi491-0824 4843-1 Ikenobe-cho,Tsuzuki-ku,Yokohama,Kanagawa224-0053 8-4 Osaku1-chome,Sakura,Chiba285-0802(InsideSakuraIndustrialParkNo.3) 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 52-4 AmagawaOshima-machi3-chome,Maebashi,Gunma379-2154 158-268 Hirasu-cho,Mito,Ibaraki310-0853 464-5 Oaza1-chome,Ageo,Saitama362-0046 54 Irie2-chome,Kanazawa,Ishikawa921-8011(2ndfloor,NakamuraBldg.) 1-5 Ryutsu3-chome,Nishi-ku,Niigata,Niigata950-1125 344 Nishifutamata,Toyama,Toyama930-0177 2-16 Kuwano2-chome,Koriyama,Fukushima963-8025(3rdfloor,FujioBldg.) 35-46 Nishisenboku1-chome,Morioka,Iwate020-0864 10-4 Nagashima2-chome,Aomori,Aomori030-0861(YamauBldg.) 2-21 Oroshimachi-Higashi4-chome,Wakabayashi-ku,Sendai,Miyagi984-0002 3-16-25 Mihara,Hakodate,Hokkaido041-0806(6thfloor,NihonHouseHoldingsBldg.) 20 Odori-Minami12-chome,Obihiro,Hokkaido080-0010(3rdfloor,AobaTokachiBldg.) 1703-59 ShijoDori8-chome,Asahikawa,Hokkaido070-0034(4thfloor,AsahikawaBldg.) 1-40 Minami,Hondori21-chome,Shiroishi-ku,Sapporo,Hokkaido003-0026 2277 Sanbonmatsu,Higashi-Kagawa,Kagawa769-2601 2217-13 Hayashi-cho,Takamatsu,Kagawa761-0301 424-13 Kamiizumi-cho,Wakaba-ku,Chiba,Chiba265-0045(InsideResearchPark) 14-1 Nishiminato-machi,Tadotsu-cho,Nakatado-gun,Kagawa764-0017 5405-3 Shido,Sanuki,Kagawa769-2101 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 4-12 Kamezawa2-chome,Sumida-ku,Tokyo130-0014 Ko-34 Shinden-cho,Takamatsu,Kagawa761-0185 Russia, 125047,Moscow,4thLesnoypereulok4,Office503 PO Box18302,LOB15-323,JebelAliFreeZone,Dubai,UAE Room 1902A,No.302HuatengMansion,Jinsong3DistrictChaoyang,Beijing,China 81-98-877-7077 81-995-63-9720 81-97-551-8567 81-92-503-7821 81-834-31-1715 81-852-20-7393 81-86-223-9258 81-82-884-0255 81-89-956-8800 81-87-839-5777 81-78-918-3111 81-75-681-0421 81-263-40-0360 81-54-261-1161 81-586-76-1181 81-45-936-2811 81-43-498-3520 81-3-3621-7790 81-27-261-7211 81-29-244-3051 81-76-292-2326 81-25-268-0770 81-76-436-1555 81-24-932-3513 81-19-635-0611 81-17-777-4231 81-22-288-5550 81-138-47-5122 81-155-28-6200 81-166-25-2817 81-11-861-9030 81-87-869-2000 81-43-239-1700 81-877-32-2161 81-87-894-3111 81-87-839-5555 81-3-3621-7777 7-495-225-8508 971-4-8871353 81-72-221-2727 81-48-780-7711 81-879-25-7481 81-87-839-5555 86-10-8776-9766 81-98-877-7077 81-995-63-9720 81-97-551-8567 81-92-503-7821 81-834-31-1715 81-852-20-7393 81-86-223-9258 81-82-884-0255 81-89-956-8800 81-87-839-5777 81-78-918-3111 81-75-681-0421 81-72-221-2727 81-263-40-0360 81-54-261-1161 81-586-76-1181 81-45-936-2811 81-43-498-3520 81-3-3621-7790 81-27-261-7211 81-29-244-3051 81-48-780-7711 81-76-292-2326 81-25-268-0770 81-76-436-1555 81-24-932-3513 81-19-635-0611 81-17-777-4231 81-22-288-5550 81-138-47-5122 81-155-28-6200 81-166-25-2817 81-11-861-9030 81-879-25-7481 81-87-869-2000 81-43-239-1700 81-877-32-2161 81-87-894-3111 81-87-839-5555 81-3-3621-7777 81-87-839-5555 7-495-225-8508 971-4-8871353 86-10-8776-9766 42
Integrated Report 2018 List of Group Companies and Offices