20181217 Transportation-Presentation
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Transportation & Construction Systems Business Unit Unceasing Challenge for New Value Creation December 17, 2018 General Manager, Transportation & Construction Systems Business Unit Shoichiro Oka Agenda 1.Organization and Business Overview 2.Strategy in “Medium-Term Management Plan 2020” 3.Financial Aspects 2 Organization Structure Before Mar. 2018 45 Division 本部 Transportation & Construction Systems Business Unit Planning & Coordination Dept., 1819 部Dept. Transportation & Construction Systems Business Unit Ship, Aerospace & リース・船舶・ Automotive Div., Automotive Div., Construction & Transportation No.1 No.2 Mining Systems Div. 航空宇宙事業本部Systems Div. Lease & Business Construction Automotive Planning Dept.(co-control) Equipment Sales & Development Dept. Marketing Dept. No.1 Construction Ship & Marine Mobility Service Automotive Sales and Equipment Sales & Project Dept. Marketing Dept.1 Business Dept. Marketing Dept. No.2 Automotive Retail Construction Aerospace Dept. Automotive Sales and Finance Business Equipment Rental Marketing Dept.2 Dept. Business Dept Aircraft & Engine Automotive Automotive Sales Leasing Dept. Manufacturing and Marketing Business Dept.1 Dept.3 Transportation Systems & Infrastructure Automotive Business Dept. Manufacturing Tire Dept. Business Dept.2 PFI Dept. 3 Organization Structure After Apr. 2018 5 Division Transportation & Construction Systems Business Unit Planning & Coordination Dept., 18 Dept. Transportation & Construction Systems Business Unit Co-control with Metal Products Business Unit Lease, Shipbuilding Automotive Automotive Sales & Automobility Business Construction & & Aerospace Manufacturing Marketing Business Div. Mining Systems Div. Business Div. Business Div. Div. Lease & Business Construction Automotive Planning Dept.(co-control) Equipment Sales & Development Dept. Marketing Dept. No.1 Ship & Marine Automotive Automotive Sales Mobility Service Construction Project Dept. Manufacturing and Marketing Equipment Sales & Business Dept.1 Dept.1 Business Dept.1 Marketing Dept. No.2 Construction Aerospace Dept. Automotive Automotive Sales Mobility Service Manufacturing and Marketing Equipment Rental Business Dept.2 Dept.2 Business Dept.2 Business Dept Aircraft & Engine Automotive Automotive Sales Mobility Service Leasing Dept. Components and Marketing Business Dept. Dept.3 Business Dept.3 4 Principal Businesses (by Division) Lease, Ship & Aerospace Business Division Automotive Manufacturing Business Division Trade of automotive components and production General lease business equipment Trade of ships, chartered ship business Manufacturing of automobiles and automotive Shipbuilding components Trade of defense and aerospace equipment After-sales market business and related products Manufacturing of aircraft components Lease of aircraft and engines Automotive Sales & Marketing Business Division Trade of automobiles Automotive distribution business Construction & Mining Systems Division Automotive dealing business Trade of construction machinery Automobility Business Division Sales and services of construction machinery Sales and services of mining machinery Sales and services of agricultural machinery Auto leasing business Rental of general construction machinery Business related to cells for EVs Automotive sales and finance business Trade and sales of tires 5 Principal Businesses (by Function) Construction machinery Lease, ship and and agricultural Automotive field aerospace field machinery field (including forklifts) Manufacturing of Shipbuilding automobiles Processing and recycling Manufacturing Manufacturing of aircraft of mining machinery Manufacturing of components components automotive components Trade Trade Distribution Sales Trade (ship, aerospace, Distribution and defense) Dealing Dealing Services After-sales services After-sales services EV-related General lease Auto leasing Finance Chartered ships, co- Rental of general and owned ships Sales and financial services for automobiles construction machinery Asset Lease of aircraft and motorbikes Lease of aircraft engines 6 Agenda 1.Organization and Business Overview 2.Strategy in “Medium-Term Management Plan 2020” 3.Financial Aspects 7 Strategy 【Direction of strategy during the mid-term management plan】 “Enhancing business bases” and “Creating new values”, facing the Fourth Industrial Revolution squarely 【Three pillars of the strategy】 (1)To reinforce existing businesses (2)To enhance the function of leasing and financing business and make synergies with other business (3)To promote various businesses in the coming mobility society 8 Reinforcement of Construction & Mining Systems business Only one general trading company that has the ‘Division’. (We are the biggest player in terms of not only business scale but also organization in the trading companies.) Group Companies SR-O BALTEM SMS Sumitec Equipment International Transwest H&R KESA Mongolia TAIYO Kenki Rentall Veritread Komatsu Sumitec Sunstate Poland Ukraine Equipment Linder Kubota SCCM 住貿商貿 Abdul Latif Jameel PT Traktor Nusantara 16 27 360 9,700 Countries Companies locations Employees Distribution Rental Next-generation Businesses Businesses Businesses 9 Strengthening Construction & Mining Systems business Earthmoving Generator /compressor Material handlingt Crane Mining equipment Agricultural Small items and tools Aerial Equipment Products Road Equipment Demolition machine Forestry equipment House/Toilet 【Distribution and service】 Canada :SMS Equipment U.S: Linder Main Russia:Sumitec International Europe:Tecnosumit businesses China :SCCM 【Rental】 U.S:Sunstate Equipment Japan:Taiyo Kenki Rental 10 Strengthening Construction & Mining Systems business 【Vision】 • “No.1 One-Stop-Solution Provider” • To build a resilient business infrastructure that can respond accurately to cyclical market 【Growth Strategy】 1. Distribution and Service Promoting geographical Businesses business expansion by 2. Rental Businesses “Hands-on” 11 Reinforcement of Automobile Casting Parts Business As of As of initial investment now in KIRIU KIRIU CORPORATION (Tochigi pref.) 3 7 Founded in 1906(SC Participated in 2004) countries countries Number of employees:5,722 (consolidated base) Products:Brake related parts and others Fujiwa Machinery Industry 6 15 (Kunshan, China) locations locations Founded in 1995(SC Participated in 2006) Number of employees:1,430 Products:Brake parts, Drive parts etc. Sales Sales ¥27 ¥49 billion billion* Result of FY2017 12 Reinforcement of automobile casting parts business Location map of KIRIU Group/Fujiwa Group ・KIRIU-LIOHO, ・Fujiwa machinary Industry[Hubei,Kunshan] ・KIRIU TECHNO[Yantai] (China) KIRIU-SAMIC (KOREA) KIRIU USA KIRIU Corporation (Ashikaga, Yamagata, Oita, TECHNO) MUNJAL KIRIU[Haryana, KIRIU Thailand KIRIU MEXICANA Gujarat] (India) KIRIU Indonesia Sophistication of manufacturing operation in China, India 13 Reinforcement of the Collaboration with Sumitomo Precision Products Sumitomo Corporation became the largest shareholder of Sumitomo Precision Products Co., Ltd. in May 2017 and has been promoting further collaboration. Business fields of Sumitomo Main collaboration fields Precision Products ICT- related Aircraft landing Aircraft heat businesses gear systems control systems Thermal Aerospace- Industrial heat Sensors energy- and related exchangers (MEMS) environment- businesses related businesses Sumitomo precision Products Co., Ltd. Technologies and Worldwide Development Capabilities Customer Base 14 Strategy 【Direction of strategy during the mid-term management plan】 “Enhancing business bases” and “Creating new values”, facing the Fourth Industrial Revolution squarely 【Three pillars of the strategy】 (1)To reinforce existing businesses (2)To enhance the function of leasing and financing business and make synergies with other business (3)To promote various businesses in the coming mobility society 15 Leasing and financing businesses General leasing Sumitomo Mitsui Finance and Leasing Automobile leasing Sumitomo Mitsui Auto Service Aircraft leasing SMBC Aviation Capital Aircraft engine leasing Sumisho Aero Engine Lease Car & motorcycle retail financing OTO/SOF 16 Leasing and financing business -SMFL- General leasing Sumitomo Mitsui Finance and Leasing Automobile leasing Sumitomo Mitsui Auto Service Aircraft leasing Customers Top-SMBCclass Aviation Capital in the 170,000 sectorAircraft engine leasingTotal asset companies Sumisho Aero¥5.7 Engine Lease Car & motorcycle retailtrillion financing OTO/SOF 17 Leasing and financing business -SMAS- General leasing Sumitomo Mitsui Finance and Leasing Automobile leasing Sumitomo Mitsui Auto Service Aircraft leasing SMBC Aviation Capital Aircraft engine leasing Total asset Number of Customers No.Sumisho1 ¥ Aero750 Engine vehicles Lease 40,000 in Japan Car & motorcyclebillion retail 790,000 Companies financing OTO/SOF 18 Leasing and financing business -SMBC AC- General leasing SumitomoTotal Mitsui asset Finance and LeasingNumber of No.4 aircrafts in Automobilethe world leasing¥1.4 trillion 650 Sumitomo Mitsui Auto Service Aircraft leasing SMBC Aviation Capital Aircraft engine leasing Sumisho Aero Engine Lease Car & motorcycle retail financing OTO/SOF 19 Leasing and financing business -SAEL- 総合リース 三井住友ファイナンスNumber&リース of engines Total asset Establishedオートリース 34 ¥40 住友in 三井オートサービス billion 2013 航空機リースAircraft leasing SMBC Aviation Capital Aircraft engine leasing Sumisho Aero Engine Lease Car & motorcycle retail financing OTO/SOF 20 Leasing and financing business -OTO/SOF- No.1 Total asset Customers