News Release

Organizational Changes

2009.May.12

  • Management relation

Tokyo - The Yokohama Rubber Co., Ltd., has decided to execute an internal reorganization as of June 26, 2009. Yokohama Rubber employed "Quality Growth" as the basic policy for Phase II (from April 1, 2009 to March 31, 2012) of its GD100 management plan started on April 1, 2006. In order to keep growing even in an uncertain managerial environment, it is indispensable for the company to be flexibly offensive for business expansion and defensive for the establishment of a lean corporate culture. The fundamental reorganization of this time has been designed to achieve these dual purposes.

Tire Group aims to improve its business efficiency and speed by shaping itself around six functional organizations: sales & marketing, production, technical, quality assurance, product planning, and logistics. The Group also aims to form an organization capable of developing and executing a global business strategy with the establishment of an integrated sales setup to cover both domestic and overseas markets and the enhancement of global functions in technical and production divisions.

Multiple Business Group abolishes its conventional division system for the business of hoses and couplings, industrial products and adhesives and sealants and, instead, creates a functional division each for sales & marketing, technical and production of these three businesses. In addition, new positions responsible for the business management of hoses and couplings, industrial products and adhesives and sealants are created. This reorganized matrix contributes to functional enhancement and the clarification of managerial responsibility. The Group also abolishes MB Tokyo Sales Branch and MB Nagoya Sales Branch so as to upgrade internal communication and deployment power.

Tire Group

1. President of Tire Global Sales & Marketing Group is created to oversee domestic and overseas replacement tire sales and tire sales for car makers.
2. Original Equipment Tire Sales Division is renamed O.E. Tire Sales & Marketing Division.
3. Tire Domestic Sales & Marketing Division is abolished and its function is transferred to newly established Tire Domestic-Replacement-Market Business Planning Department and Yokohama Tire Japan Co., Ltd.
4. Tire Production Division, Tire Technical Division, Tire Quality Assurance Division and Tire Logistics Division are renamed Tire Global Production Division, Tire Global Technical Division, Tire Global Quality Assurance Division and Tire Global Logistics Division, respectively.
5. Tire Production Technology Division is abolished and its function is transferred to Tire Global Production Division.
6. The position in charge of Off-the-road Tire & Aircraft Tire Division and Off-the-road Tire & Aircraft Tire Division are abolished and design function is transferred to Tire Global Technical Division, Onomichi Plant to Tire Global Production Division, and other fuctions to newly established Off-the-road and Industrial Tires Business Department.
7. Tire Planning Division is abolished and its function is transferred to newly established Tire Business Planning Department and newly established Tire Business System Department.
8. Tire Global Product Planning Division is newly established.

Multiple Business Group

1. Hoses and Couplings Division, Industrial Products Division and Hamatite Division are abolished. Industrial Products Business Group is newly established to oversee Industrial Products Sales Division, Industrial Products Technical Division and Industrial Products Production Division that are also newly established.
2. Positions in charge of Hoses and Couplings Business, Industrial Products Business and Adhesives and Sealants Business are newly created.
3. MB Quality Assurance Division is newly established.
4. MB Tokyo Sales Branch and MB Nagoya Sales Branch are abolished and their functions are transferred to Industrial Products Sales Division and MB sales companies.

GD100 is the company's management plan started in April 2006. It has articulated a corporate vision that emphasizes evoking a distinctive global identity in building corporate value and in building a strong market presence in Yokohama centennial in 2017. The plan upholds "1 trillion yen in net sales, 100 billion yen in operating income and return on sales of 10%" as its financial goals by the year ending March 2018. The plan is divided into four 3-year phases, in each of which basic policy, business strategy and financial goals are determined.