Various global environmental issues are intensifying alongside the rapid development of social activities and population growth in developing countries. To realize a sustainable society, in which the valance of society, economy and the environment is retained, those issues must be swiftly and surely resolved while closely partnering stakeholders across national borders.
Our company's management philosophy is "To develop technologies and products of superior value, in order to contribute to the realization of a society of ever higher quality". Based on this philosophy, we have striven to leverage infocommunication technologies to help people feel safer and reassured and promote environmental conservation. Our company will mark the centenary of its founding in 2015. To see the next century as a hopeful new JRC, we are pursuing growth strategies and reforming the cost structure at a global level. We have turned things around to intensively invest our management resources in the thorough globalization of production and sales; focusing on developing countries in Asia and business areas, including environment and energy as well as safety/ease. In fiscal 2014, we will strive to develop society through our business by resolving various challenges for our reform to the new JRC.
Fiscal 2013 was the first of the "NEXT2015" midterm plan. Basic policies for the growth strategy formulated to achieve "NEXT 2015" included "expansion of overseas businesses mainly targeting developing countries", "expansion of smartification-related businesses → reinforcement and development of (safety/ease and environment) businesses", "establishment of information service businesses", "promotion of cooperation (M&A, business collaboration, etc.)" and "aggressive investment required for growth". Aggressive promotion of these reforms to date reformed us into a competitive global company. In the area of solution businesses and defense systems, various products and services such as disaster-prevention systems, dam control systems and river information systems have been offered and widely acclaimed. In addition, targeting growth in businesses related to the environment and energy, we will promote the expansion of smartification-related businesses. In the marine electronics business, intending to develop new business, we made Alphatron Marine Beheer B.V. a consolidated subsidiary in December 2013, with strengths in sales/service and the system integration of equipment for the market of high-value added work boats such as offshore support vessels. In fiscal 2014, we will strive to expand and strengthen our business by further promoting our portfolio optimization.The trajectory of our company should progress as shown in our midterm plan, akin to biodiversity. One of the definitions of biodiversity states that "it means variability among living organisms". Namely "having the ability to vary". To transform the impact of variation into an opportunity to develop business, there is a need to swiftly and flexibly cope with such variety and take action. The "Challenge to Change" has been practiced starting from fiscal 2013 and intending to make a JRC's new leap forward. In other words, we declared our intention to address variations with resolve and are making a company-wide effort to pursue reforms. Together with Nagano Japan Radio Co, Ltd., Ueda Japan Radio Co, Ltd. and New Japan Radio Co., Ltd., which have a shared history with our company as the Japan Radio group, we will successfully establish a competitive business base, with the DNA of high-level radio communication technology at the core and allowing us to make a new leap forward. We think we can redress the balance of society, economy and the environment and realize a sustainable society as a result. We request your kind understanding and support for our production activities to create an affluent society, as well as closely monitoring our company's future growth.