OMRON Corporation (TOKYO: 6645, ADR: OMRNY) announced on May 29 its new medium-term business plan for the three years from FY2014 to FY2016.

In 2011, OMRON launched its long-term business strategy for the decade leading up to 2020, called "Value Generation 2020" or "VG2020." With this strategy, OMRON has specified goals; "global value-creating group that is qualitatively and quantitatively superior," "over 1 trillion yen in sales and 15% return on sales (ROS)." For the first three years (FY2011-FY2013) of VG2020; called the "GLOBE STAGE," also for the next seven years (FY2014-FY2020) of VG2020; called the "EARTH STAGE." In GLOBE STAGE, OMRON worked to establish a profit structure that enables the company to remain competitive for the upcoming decade, attaining growth worldwide by centering on emerging markets. The three pivotal strategies for the growth were: (1) reinforcement of industrial automation business; (2) pursuit of growth in emerging markets, and (3) business development for the "Optimization Society*." These pivotal strategies were combined with supporting functional strategies: "profit structure reform" and "strengthening of global human resources." As a result of steady implementation of these strategies in GLOBE STAGE, OMRON was able to record net sales of 773 billion yen and operating profit of 68.1 billion yen in FY2013 on a consolidated basis, with ROS of 8.8%. This represents the first achievement of record high sales and operating profit for OMRON in six years.

The first three years (FY2014-FY2016) of EARTH STAGE are designated "EARTH-1 STAGE," during which OMRON will enhance its efforts toward establishing a "self-driven" growth structure. To this end, OMRON will continue to focus on the aforementioned three pivotal strategies and two functional strategies, and further strengthen their implementation.

OMRON Unveils New Medium-term Plan for FY2014 to FY2016