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Azbil Report 2008

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Azbil Report 2008 azbil report 2008 azbil report Contact Public Relations Section Corporate Planning Department Yamatake Corporation TEL: 81-3-6810-1006 2008 Group Sustainability Report FAX: 81-3-5220-7274 E-mail: [email protected] http://www.azbil.com/ azbil report 2008 Yamatake Corporation This report is printed on FSC-certified paper using the waterless printing process and soy ink. Printed in Japan PR-2101E（0809-2K-EDGE） Yamatake Corporation Contents To Our Stakeholders Social Report 2 40 Yamatake’s corporate social responsibilities and its ongoing activities in this area as part Business Overview/ of its commitments to the community are 4 The History of Yamatake described here. 42 Promoting CSR Management Highlights 44 Corporate Governance 8 Both sales and earnings increased for the fifth 45 Risk Management straight fiscal year. Some of the key points to fiscal 2007 results are outlined here. 46 Compliance 48 Employee Relations [ázbil] Executive Interview 50 For Local Communities 0 Yamatake Corporation President and CEO Seiji Onoki talks about the Group’s management vision, which targets sustainable growth in harmony with Environmental Report customers and society. 52 The Group engages in a range of activities for protecting the environment under its Environmental Group Philosophy Charter and Environmental Policy. Special Features 54 Environmental Impact throughout By pursuing “human-centered automation,” 6 Our Business Activities To realize safety, comfort and fulfillment in people’s our core businesses contribute to the realiza- 56 Management System lives, and contribute to the global environment through tion of a sustainable society. 58 Environmental Accounting “human-centered automation.” A close-up on the latest technologies and solutions 59 Environment-conscious that the Group is marketing to Products and Services To achieve our philosophy, achieve a low-carbon society. 60 Green Procurement and Chemical Substance Management • We create value together with customers at their site. 61 Introduction of Environment-conscious Products • We pursue our unique value based on the idea of 62 Prevention of Global Warming “human-centered.” 64 Resource Conservation and Waste Reduction • We think about the future and act progressively. 65 Environmental Pollution Prevention Business Overview Yamatakemarkedits100thanniversaryinOctober2006.Usingthis 24 Executive directors and officers in charge report on Financial Report asanopportunityfortheGrouptoleapaheadintoitssecond business conditions in fiscal 2007 and the policies and 66 century,wecreatedanewsymboltounifyallemployeesofthe outlook ahead in each of our business segments. 68 Financial Review Group,enablingthemtodemonstratethenecessaryteamworkto 26 Building Automation Business 72 Consolidated Balance Sheets solvecustomers’problems. 28 Advanced Automation Business 74 Consolidated Statements of Income 30 Life Automation Business azbil(Automation.Zone.Builder)reflectsourGroupphilosophy 75 Consolidated Statements of Changes in Equity 32 International Business of“realizingsafety,comfortandfulfillmentinpeople’slives,and 76 Consolidated Statements of Cash Flows 34 Research and Development contributingtotheglobalenvironmentthroughhuman-centered 77 Notes to Consolidated Financial Statements automation.” 36 Intellectual Property 86 Independent Auditors’ Report 38 Quality Theroundnessoftheletterssignifiestenderhumanity,andtheoval 39 Measurement Standards shapecurvingupwardtotherightexpressesunlimitedpotential. 87 87 Corporate Data Unifiedbyazbil,theYamatakeGroupwillcontinuetostriveto 88 Stock Information createacorporatecultureforinnovationthatwillenabletheGroup 89 Board of Directors, Executive Officers and tomeettheexpectationsofitsshareholders,customers,local communitiesandsocietyatlarge. Corporate Auditors What is the azbil report? CautionaryStatement:Statements made in this report with regards to Yamatake’s plans, targets and strategies and other statements without historical facts are forward-looking This azbil report is an important tool for the Yamatake Corporation and its statements about the future performance of Yamatake Corporation and its subsidiaries. These projections are based on management’s assumptions, intent, and expectations in light of the information currently available to it, and therefore these statements are not guarantees of future performance. subsidiaries (the “Group”) in communicating with stakeholders. By com- Due to various factors, actual results may differ from those discussed in this document. Such factors include but are not limited to: 1) general economic conditions in bining the Group’s annual, environmental and social reports into a single Yamatake’s markets, particularly levels of capital investments; 2) exchange rates, particularly between the Japanese yen and U.S. dollar and other currencies in which Yamatake makes significant sales or Yamatake’s assets and liabilities are denominated; and 3) continued acceptance of Yamatake’s products and services offered in highly competitive volume—to enable deeper understanding of its business activities—we markets characterized by development of new technologies and the advancement of the global economy. have compiled an easy-to-understand report on the Group’s philosophy, • The social report was compiled with reference to the Sustainability Reporting Guidelines 2006 (Global Reporting Initiative). Figures and monetary amounts less than whole units business contributions and challenges facing it in the areas of the have been omitted. • The environmental report was compiled with reference to the Environmental Report Guidelines 2007 (Ministry of the Environment) and the Sustainability Reporting Guidelines environment and society. 2006 (Global Reporting Initiative). Figures and monetary amounts have been rounded to the nearest whole unit. • Financial data and financial statements have been prepared based on “Japanese GAAP” and amounts have been rounded. Issued: August 2008 Next scheduled release: August 2009 azbil report editors azbil report 2008 To Our Stakeholders We are working to achieve sustainable growth in tandem with our customers and society by creating new value through “human-centered automation.” Amid the recent fundamental changes in the structure of society, the growing awareness of the need to address global warming and implement energy-saving practices, and the dramatic pace of technological innovation, automation is expected to play a new key role, which Yamatake has been engaged in over the years. Since its founding in 1906, Yamatake has worked to develop and enhance “automation,” or measurement and control technologies, and to offer the kind of innovative solutions that only Yamatake can provide. With the celebration of our 100th anniversary in 2006, we recognize and embrace the challenging demands in the automation field today. Reflecting our commitment to meet these challenges, our new Group philosophy is “to realize safety, comfort and fulfillment in people’s lives and contribute to the global environment through ‘human-centered automation,’” a philosophy which indicates the new direction we will develop our businesses for the next generation. In addition, we also created a new Group symbol, azbil (Automation . Zone . Builder), to represent this new philosophy. Drawing on the beliefs embodied in our new philosophy and symbol, we will leverage our strengths—the technologies and expertise in measurement and control we have cultivated over many years—in order to maximize enterprise value through the pursuit of “human-centered automation” and to play a leading role in the realization of a sustainable society. Toward the establishment and expansion of ”human-centered automation,” the entire Yamatake Group is focusing its efforts on achieving the 10-year, long-term goal scheduled for completion in fiscal 2013, ending March 31, 2014. Fiscal 2007, ended March 31, 2008, marked the first year of our new three-year medium-term plan, which is focused on establishing a firm foundation necessary to achieve our long-term goal. Kimmon Manufacturing Co., Ltd. was converted into a wholly owned subsidiary, and we endeavored to further enhance its business foundation through the “Kimmon-Yamatake Jump-Up Plan.” To strengthen our foundation, overseas sales and service networks were expanded. We also took aggressive steps to broaden the scope of our operations, and results in the fiscal year were ahead of our targets. Net sales totaled ¥248.6 billion in fiscal 2007, and operating income totaled ¥20.5 billion, exceeding ¥20.0 billion for the first time. As a result, both net sales and income have increased for five consecutive fiscal years. We thank our shareholders, customers and other stakeholders for their strong understanding and support in making these achievements possible. Customers, regardless of their industry, need to produce high-added-value products to meet the diversifying and changing needs of their clients. In addition, they must respond to a range of issues, such as maintaining levels of safety and quality, adapting to a declining birthrate and aging population, and reducing their impact on the environment. Founded on our Group philosophy of “human-centered automation,” we are strengthening our business foundation toward the creation of a new corporate group that is able to help each of our customers address these issues and subse- quently to contribute to the creation of new value at their worksites. Business conditions are increasingly uncertain amid sharply increasing crude oil and raw material
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