This page details the long-term business plan of the Kirin Group.
Management Plan / Buisiness Strategy
Basic Strategy
PROMOTING THE BRAND
Kirin aims to raise the brand value of “KIRIN” as a brand of trust, a brand at the front line of innovation. Accordingly, KV 2015 positions promotion of brand value as an important management element. Management believes that the “KIRIN” brand can act as a unifying force for the Group.
DEVELOPING KIRIN GROUP’S TWIN STRENGTHS: TECHNICAL EXPERTISE ANDCUSTOMER RELATIONSHIP EXCELLENCE
As it continues to pursue a customer-oriented, quality-driven approach, Kirin will position technical expertise and customer relationship excellence as its twin strengths and work to consolidate them both while increasing the interplay between them. Kirin’s technical expertise includes cutting-edge capabilities in fermentation and biotechnology, expertise in manufacturing and the pursuit of quality, and the research and marketing ability to accurately reflect customer needs in its products and services. Kirin’s customer relationship excellence refers to its ability to incorporate two-way communication with customers in all Kirin’s businesses, researching customer sentiment and tastes and building relationships where customers feel constant trust for Kirin. Positioning these as its twin strengths, Kirin Group will continue to deliver value proposals to its customers.
ACHIEVING A QUANTUM LEAP IN GROWTH
STRENGTHENING KIRIN’S CORE DOMESTIC ALCOHOL BUSINESS
By strengthening its core domestic alcohol Group, Kirin intends to build a foundation from which to reach a new scale of consolidated performance. Kirin will pursue a strong comprehensive alcohol beverage strategy by anticipating market changes and proposing categories that create new demand. It will also press forward with value creation and cost structure reform covering all areas of the value chain, enhance its development and proposal-based business approach and lead the alcohol beverage market, promoting industry revitalization by developing the business environment. In tandem with these initiatives, Kirin will pursue the following three strategies for additional growth across the Group
Becoming an integrated beverage group
Kirin plans to become an integrated beverage group by increasing collaboration between the alcohol beverage and soft drink businesses, viewing them both as components of what is increasingly becoming a single market. It will increase collaboration in all areas of the value chain, aiming to create new value that responds to customers’ needs. Collaborations are being actively pursued, including the consolidation of product development functions with Kirin Beverage Corporation, the production of soft drinks at beer factories, the creation of shared merchandizing for the entire Group by Kirin Communication Stage, and the international sale of Kirin Chu-Hi Hyoketsu through Kirin Beverage Corporation group companies.
Internationalizing Kirin’s businesses
Kirin aims to derive 30% of sales and profits from markets outside Japan by 2015. This internationalization will focus on China and ASEAN countries. Kirin will secure new growth bases and unleash Group synergies through collaboration with Group companies like San Miguel and Lion Nathan. It will localize its Group strengths—technical expertise and customer relationship excellence—and contribute to customers’ lifestyles by providing attractive products and services in the food and health field that reflect regional cultures and needs.
Health and functional foods to build on alcohol, soft drinks and pharmaceuticals businesses
(Strategies under review since May 2008)
As part of its drive to achieve dynamic growth, Kirin introduced a Group-wide project in the food and health sector under the direct supervision of the president. The health and functional food business will join the alcohol, soft drinks and pharmaceuticals lines as the latest of the Group’s major business focuses (May 2008).
This project develops Group-wide strategies in the health and functional food sector and supervises the implementation of those strategies. Moving forward, Kirin will go beyond producing foods for specific health purposes to a broader approach of creating high value-added strategies pning all categories.
MAINTAINING THE TRUST OF SOCIETY THROUGH CSR
Kirin Group is committed to the sustainable development of a safe and supportive society and will proactively fulfill its social responsibilities. Under the coordination of the CSR & Corporate Communications Division established in 2005, Kirin will work to maintain the trust of society and promote socially responsible corporate behavior throughout the Group. In pursuing KV 2015, Kirin aims to fully realize all employees’ potential and make this a source of competitive advantage, driven by the guiding principles of challenge, commitment, and collaboration.
Message from the President
Alcohol Business
