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Nippon Suisan: Hosomi Executive Director Says "Reach Results with Hardness & Heart"

March 10, 2009

On March 5th, Executive director Norio Hosomi, the newly appointed senior managing director of the business promotion office by the company's organization reform on March 1, explained his basic stance: "I will make my best to have a new organization and personnel entrenched, leading to better business performance and results." In addition, as a senior managing director, who covers both fisheries and food operations, he will aim to reach results with "hard[ness] & heart" by concentrating on facility maintenance and "thoughtfulness" to onsite employees. The new executive also expressed his aspirations for creation of new frozen food categories.

In the last year, the food division recorded monthly sales of \10 billion, improved production efficiency, and executed price increases; the senior managing director held a moment of reflection by saying, "the end results did not come with the satisfactory numbers." Resultantly, "the drastic restructuring of organization and staff reassignment was done. Stabilizing this new structure holds a top priority," he clarified an aim of the reorganization and his own goal. As a senior managing director responsible for fisheries and foods operations, he feels "great responsibility" and aims to strengthen marketing power as a priority issue of business promotion by establishing a marketing and sales promotion office in the division. "In order to undertake development of hit products and new categories in frozen foods, we deployed powerful personnel, "he explained. He also revealed that a meeting with two assistant general managers, executives of both fisheries and foods operations, and a general manager of the marketing and sales promotion office, was held every morning.

Concerning a new plant of Hachikan, which received a large scale investment, he commented that "this new plant is the second largest following the Hachioji General Plant. Not only that, we installed the latest food defense system. It is a leader plant of the next generation, and as a model plant, it will achieve numerous successful results, positively affecting other plants." Small products, which may be omitted by promotions of larger plants, will be taken care of by the Onagawa Plant. "At the Onagawa Plant, its own unique ingenious attempts have been conducted, and considerable improvement has been already seen," said he.

The original article was published on March 10, 2009 and was translated by Kiyo Hayasaka.

Nippon Suisan Designates New Hachikan Plant As Model Plant

March 10, 2009

Nippon Suisan (Nissui) will place a new frozen foods plant, (originally established by Hachikan in Hachinohe City, under management of President Takuro Utsumi), as a group model plant, expecting its successful operation to influence other plants of the group.

The handling of food safety and assurance was tackled by introduction of the latest food defense system. "We utilized all the highest level of technologies and system we could get our hands on," said Mr. Hosomi, executive director/senior managing director of business promotion office. 14 surveillance cameras were installed at the entrance, receiving/shipping, and surroundings of the plant. Electric locks control each door to the outside. Eleven machines with palm vein recognition biometric system were placed for entering to the plant. Only registered people are allowed to go in and out.

The following methods to insure food safety and assurance were taken: 1) acquirement of Nissui's own certification of standards, which include allergen management and traceability of raw materials; 2) upkeep and improvement of inspection results of "excellent-labo," which provides a uniform inspection system throughout the group; 3) efforts to acquire outside certifications, such as ISO; and 4) preparation for installation of a new system to prevent the mixing of wrong substances. For ecological purposes, recycling of waste oil, employment of natural refrigerant, and installation of solar panels were conducted.

The new Hachikan frozen foods plant occupies 7,452 square meters on 25,036 square meters of land. Combined with an already existing plant, the total building area became 16,324 square meters. The new plant is a three-story building with a total floor area of 16,460 square meters. The first and second floor holds four lines each and operations commenced last October. The new facility produces croquette, gratin/doria, tempura, karaage, kakiage, commercial fried products, tsutsumi-age, and broiled fish.

The new plant boasts of an annual production capacity of 23,000 tons for the first production term, surpassing 20,000 tons of the Himeji General Plant and following 36,000 tons of the Hachioji General Plant. Additionally, there is room for another line on the both first and second floor.

The investment amount marked a little more than \7 billion. After adding two extra lines, the final amount will reach about \8 billion. Thanks to the new plant, Hachikan expects a sales increase of \3.2 billion for this year.

Figure 1: The new Hachikan plant

The original article was published on March 10, 2009 and was translated by Kiyo Hayasaka.

Dairei Makes Boneless Fish Operation Its Main Business

March 9, 2009

Dairei, under President Osamu Saito's management, aims for a profit of \27 billion, or a recurring profit margin of more than three percent, in three years, during their new three-year midterm business plan, which commences in April. The company's strategic goals are to regain consumer confidence in Chinese materials; improve client relations by the marketing management main office; and expand sales in the elderly market. The sales forecast for the fiscal year ending in March is \25.5 billion.

Setting supply and development of safe and secure products as an axis, the company endeavors to strengthen business relations with domestic and overseas partner plants, integrate products, expand sales volume of individual products, and secure an annual sales amount of over \800 million with new products. The quality assurance department and office of quality promotion will be under direct management of the president.

The company decided to upgrade an operation office of boneless fish business to the head office, aiming for earnings increase at an annualized rate of seven percent and a total of \10 billion in three years. Correspondingly, establishment of a procurement route of raw materials and fish materials needs to be achieved.

The corporate planning division will institute business policies to invigorate the organization, and confirm completion of new business operations and reform projects. Furthermore, the fostering of successors through employee training by executive officers will be conducted. The Corporate Social Responsibility (CSR) council will establish reorganization of business, contingency measures, and internal control. The company is driven to become a company that contributes to society.

The original article was published on March 9, 2009 and was translated by Kiyo Hayasaka.

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