Management Policy

Basic Management Policies

Roland DG ultimate objective is providing support to users, from the perspective of users, “Transforming Your Imagination into Reality” with the help of digital technologies. With the rapid progress of digitalization, customer needs are growing more diverse and more advanced. Given these developments, a central issue for us is how to respond quickly and positively with new technology. It is not enough to simply pursue quantitative growth. Rather, the best course of action is to win the sympathies of customers and develop our business in tandem with them by supplying high quality products and providing adequate services.
Based on this principle, we have oriented ourselves toward an operating structure that integrates sales divisions, development divisions and affiliated companies under the common objectives of collecting user information and developing new products. While working to provide places to continuously exchange information and encourage shared awareness of outstanding issues, we are constantly initiating development projects that tackle new areas of research.
At the same time, we must have an optimal production system to commercialize valuable development achievements. Roland DG recognizes that improving quality and production efficiency is the most important mission of a manufacturer, and we have accordingly devoted substantial effort to developing our production system. Our fully one person per unit production system, which we call the “Digital YATAI Production System,” shortens lead times and ensures reliable quality by leveraging IT devices to maximum advantage.
We intend to actively promote operations that are integrated company-wide, believing that the series of efforts that go into making products constitutes the joy of creative endeavor.

Basic Policy for Distribution of Profits

Although our business results have been fluctuating significantly, we place the highest priority on distributing profits to shareholders and will work to maintain a stable dividend while considering our business performance and plans for future development. At the same time, we will work to bolster our corporate strength from a medium- to long-term perspective by augmenting internal reserves to accommodate the inevitable future need for funds for additional facility, development and operational investment.
As to a specific policy for dividends, we will determine the amount of the dividend after comprehensively considering future business development while targeting a dividend payout ratio of 30% of non-consolidated profit. The full-term dividend of this term for shareholders was 60 yen, as we paid a 30 yen interim dividend and a 30 yen term-end dividend in accordance with initial plans.

Management Indicators

Roland DG believes that a company should earn the trust of customers and shareholders through stable growth. Our basic targets are annual net sales growth of 10% or more and an ordinary income-to-net sales ratio of 10% or more. We will establish even more precise indicators while giving adequate consideration to economic conditions and will work to manage the company accordingly.

Medium- to Long-Term Management Strategies and Outstanding Issues

Promote DVE (Digital Value Engineering)

Society is undergoing rapid change and its needs continue to diversify. It has become both important and necessary to generate new value-added in the form of shorter delivery times and reduced costs through reviewing conventional methods and revolutionizing processes with digital technology and IT. For customers, we will create valued-added from the customer standpoint and propose total solutions that seek to raise satisfaction levels. Internally, we will improve our business operations by having development, manufacturing, sales and other divisions revise processes to create value-added from their respective perspectives. Creating new value-added by revolutionizing processes in response to societal changes is what we define as DVE, or Digital Value Engineering, and we plan to actively promote it going forward.

 

Continue Developing Color (Color Products) and 3D (Three-Demensional Products) Strategies

We intend to continue to follow the same basic course for Color printers and 3D products, working to actively develop these areas by concentrating resources in them and proposing total solutions.

 

Expand the Sales Network

Roland DG will devote effort to developing priority regions in overseas markets in order to expand our sales network.We will strive to strengthen the staff at high performing subsidiaries in Europe and the United States and work on establishing a more tightly-knit sales network.

Bolster Development and Production Systems

We are aggressively investing in development to address the need for greater speed, new technology and higher added value that is required of new products. On the production side, we began work on plant expansion at the end of the year that will be completed in the fall of 2008 in order to respond to the recent increase in sales and larger sizes of the products. We will also strive to improve efficiency by bringing development and production closer together and work to strengthen collaboration between them in anticipation of future requirements. This will be accomplished by acquiring adjoining land and other such undertakings.

Environmental Protection

Initiatives to prevent pollution from chemical substances and reduce emissions and power consumption by developing environmentally friendly products and modifying production processes have been remarkably effective. We have also otherwise worked on a company-wide scale to protect the environment by effectively using resources and devoting effort to reuse activities at our business offices. We are in full compliance with the Directive of the European Parliament and of the Council on the Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment (RoHS) and the Administrative Measures on the Control of Pollution Caused by Electronic Information Products (“China RoHS”). We have also begun preparations to address the requirements of Registration, Evaluation, Authorization and Restriction of Chemicals (REACH), which was enacted in June 2007 in Europe. Moreover, since September, we have been affixing ISO environmental labels to products which meet our own environmental standards. Even as awareness of CSR increases among the general public, in the final year of the relevant plan, we have achieved the medium term goals that we set for ourselves with respect to the environment based on ISO14001:2004. We will now set new numerical targets with respect to reducing carbon dioxide emissions and continue to place priority on environmental conservation activities.

 

Enhance Corporate Governance and Strengthen Internal Controls

The enhancing of corporate governance is a social responsibility of listed companies, and it is urgent that companies strengthen internal controls in order to make it possible. We have established a basic policy on the construction of an internal control system as required by the Corporation Law and have prepared a risk management system as well. Also, with respect to internal control over financial reporting, which was instituted under the Financial Instruments and Exchange Law, we are looking into the status of internal control, including the control at subsidiaries, and are developing an assessment system for the same. It has now been three years since we installed our core management system. We are actively taking advantage of it from the perspective of IT control and will continue to make it one of the top priorities within the company.

Consolidated Targets for the Fiscal Year Ending March 2009

We are targeting net sales of 46,200 million yen, an increase of 2.9% over the year ended March 2008, and ordinary income of 8,400 million yen, an decrease of 10.2% on the same basis.