C o r p o r a t e P r o f i l e 2012
7-7-1 Nakagaito, Daito, Osaka 574-0013, JapanPhone +81-72-870-4303 Fax +81-72-871-1112http://www.funaiworld.com/
A Globally Expanding Digital Consumer Electronics MarketWhere Funai Realizes its Full Potential
C o n t e n t s
ChairmanTetsuro Funai Tomonori Hayashi
President and CEO
Main Products
TOPICS 2011–2012
Design
Production
Sales & Marketing
Research & Development
Corporate Overview
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Funai Electric provides the market with reasonably priced, high-quality digital consumer electronics in spite of the growing demand and the intense competition that continue to drive prices downward. We feel, however, that intense price competition also presents us with an opportunity to realize our full potential.
Since our founding in 1961, we have believed in being innovative and sticking to the basics, and Funai will renew its focus on improving efficiencies in all business activities. Based on market analysis, we will promptly develop products to meet market and customer needs. Furthermore, we will provide products in a timely manner that will be superior in terms of cost efficiency using our proprietary production system, the Funai Production System (FPS), and the optimization of production facilities.
Looking ahead, we will continue to focus our efforts on the development of network-related products and strive to create new added value as we take the next steps toward becoming a truly “global Funai.”
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Receiver-RelatedProducts
Others Business
Printers
Office Solutions Business
DVD/Blu-ray Disc-related products
Digital Media Business
LCD TVs
Display Business
High-Quality, Reasonably Priced Products for the WorldThrough the four business segments in which we develop products—Displays, Digital Media, Office Solutions and Others —we consistently supply products globally under diverse brands but with high levels of quality and cost efficiency.Funai aims to continue improving its competitiveness amid an upheaval in the digital consumer electronics industry.
In addition to continually improving quality and cost efficiency
since its founding, Funai’s strength lies in its exceptional supply
capabilities which have earned us an enormous amount of trust
throughout the digital consumer electronics industry.
Currently, we conduct business in four areas: Displays, which
handles LCD TVs; Digital Media, which handles DVD and Blu-ray
Disc-related products, among others; Office Solutions, which
handles printers; and Others, which handles receiver-related
products and other items via subsidiary DX ANTENNA CO., LTD.
In our mainstay area, the Display Business, we provide the
market with five brands of compact to large LCD TVs sold in Japan
and overseas. In the Digital Media Business, the Company is
enhancing its lineup of Blu-ray Disc-related products through
such means as reinforcing its OEM* business. The high quality
and reasonable price of these products have been well received
both domestically and overseas and we proudly maintain a top
share in the North American market for LCD TVs and in Japan for
Blu-ray Disc recorders.
In the Office Solutions Business, we are increasing sales and
profits by maintaining strong relationships with OEM partners.
Also, in 2012 we launched the LED lighting business.
The digital consumer electronics industry is going through
a period of significant upheaval. In terms of functionality, design
and price, South Korea, China and Taiwan are rapidly becoming
increasingly competitive. This situation, however, also presents us
with an opportunity to fully realize our potential. Funai’s focus will be
to increase its brand value and share by providing the market with
competitively priced products developed and produced quickly in
response to the various needs of consumers around the world.
* The manufacture and supply of products under the customer’s brand.
25.4%Net sales
12.2%Net sales
13.3%Net sales
49.1%Net sales
Brands developed in North America Brands developed in Europe and India Brands developed in Latin AmericaBrands sold in Japan by subsidiaryDX ANTENNA CO., LTD.
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TOPICS2011-2012
LED tunnel lightLED MR16 Spotlight
January 2012
December 2011
To strengthen our patent portfolio and enable us to respond to competitors’ patent claims, we acquired a portfolio of patents related to TVs, decoders and display devices from IPG Electronics 503 Ltd.
The 360 patents purchased include 180 U.S. patents and 180 from other countries. These patents can be used for products such as TVs, set-top boxes and DVRs*.
Funai Acquires Portfolio of 360Patents from IPG
The 2012 International Consumer Electronics Show (CES) was held in Las Vegas, Nevada, for four days from January 10 to January 13, 2012. This show has a 44-year history and is one of the industry’s largest, with the current exhibition attracting 3,100 companies and more than 153,000 visitors.
The Funai booth was located in a hotel near the main venue, along with the PHILIPS and MAGNAVOX booths. Our booth highlighted Funai technology, which showcased our extensive lineup, technological expertise and demonstrated our overall capabilities.
Exhibiting at the 2012 International Consumer Electronics Show
The Boston Red Sox Foundation is an official charity run by the Boston Red Sox baseball team. This is the fourth consecutive year that Funai Electric has co-sponsored the U.S.–Japan Youth Baseball Exchange program, which is sponsored by the Boston Red Sox Foundation. In July 2011, 12 players from youth teams in Kyoto and Chiba visited Boston, where they participated in an international exchange and enjoyed home stays, baseball lessons, and other various activities.
Fourth Year of Co-Sponsorshipof the U.S.–Japan Youth BaseballExchange Program
Continuing from 2011
January 2012
January 2012
Funai has decided to enter the LED lightning market, which is slated for future expansion due to its products’ long life and power efficiency. This type of lighting is also expected to contribute to the preservation of the environmental.
To jump start its participation in this business, Funai established joint venture companies with CMET to manufacture and sell LED lighting. In doing so, Funai is establishing networks to manufacture and sell industrial LED lighting in China.
Launching of Industrial LED Lighting Business, With the Establishment of Joint Venture Companies in China
As in 2010, Funai ranked third in the number of LCD TVs shipped into the North American market in 2011. We ranked first among Japanese companies. (Based on a survey by DisplaySearch)
Ranking for LCD TVs in the NorthAmerican Market
Funai is augmenting its production capacity in Thailand to avoid overconcentration of its production capabilities in China. In 2013, we plan to construct a new building adjacent to our current plant. When completed, the new plant will double our production capacity.
Going forward, with this increased capacity we plan to take advantage of free trade agreements* and export products from Thailand to ASEAN countries and India.
Strengthening Production in Thailand
Funai has extended its brand licensing agreements with Royal Philips Electronics through December 2015. In addition to bolstering sales of PHILIPS branded products, we aim to increase profitability on LCD TVs by optimizing inventories and expanding sales in North America through SKU* increases.
Extending Our Brand LicensingAgreements with Philips forConsumer TVs and Video Productsin the North American Market
July 2011
May—June 2012
*Digital video recorder (DVR): A generic term for such products as hard disk recorders
*FTA: A free trade agreement is a treaty under which designated countries or regions seek to stimulate economic activity through such measures as eliminating customs duties and relaxing other regulations.
*SKU: Abbreviation for stock-keeping unit, which indicates a classic, standard unit.
5 6
32%
Overseas Employment Ratio for Design Staff (As of April 2012)
Part Number Reduction Case Study
Tighter multilayer board densification
Smaller single-layer board, parts moved
to multilayer board
JapanChina
Malaysia
SingaporeAs of April
2010
9%Overseas Overseas Overseas
17% 32%
As of April2011
As ofApril2012
De s i g n
We are pursuing thorough cost efficiency at the design stage by various means, including in-house production of core items, reducing part numbers and performing design at overseas facilities.
World-Class Price Competitiveness
We are working to cut costs by promoting in-house production
of core items, reducing the number of parts and reviewing
materials used. As a result of these efforts, in 2011 we
succeeded in reducing the number of parts in 32-inch LCD
TVs by 40%* compared to previous models. We introduced
designs that decreased the number of processes and simplified
production, substantially improving productivity, and designed
products to consider environmental factors through such
methods as the use of lead-free solder.
We are also achieving cost reductions as a result of shifting
design responsibilities from Japan to our R&D facilities in
such locations as Malaysia, China (Shenzhen) and Singapore.
These facilities will help us counter intense cost competition
in order to offer the world’s most reasonable prices.
4th Generation1st Generation 2nd Generation 3rd Generation
* Comparison between 2010 CCFL models and 2011 LED models.
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PolandChina
Thailand
Japan
* Consignment production plants (China accounts for 2 of 5 locations)
Pr o d u c t i o n
Funai Electric concentrates its production facilities in the most
appropriate locations and enhances cost competitiveness
by purchasing parts in bulk. In particular, our production
facilities are concentrated in the Asian region, where we
have the ability to competitively procure raw materials and
parts as well as secure a low-cost, high-quality labor force.
Due to the recent labor shortages and wage increases in
China, we have augmented our Thai plant and are considering
establishing new plants in other locations.
We employ the Funai Production System (FPS) at all of
our plants. This system creates stresses on the production line,
such as by reducing the number of operators or increasing
the speed of the conveyor belt, until conditions are created
resulting in the stoppage of the production line. The FPS
creates these conditions in order to analyze what causes the
line to stop, then improves on those conditions that caused
the failure. By repeating this cycle, Funai expects to recognize
continuous improvements in productivity.
The Funai Production System (FPS) — our unique system of ongoing improvement where problems are identified through stresses applied to production line— continually pursues improved productivity.
Endless Pursuit of Production Efficiencies
Ongoing Productivity Improvements With the Funai Production System (FPS)
(Funai Production System)
Apply stresses to production line
Identifyproblem
Introduceimprovement
Resolveproblem
*
**Mexico*
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5Countries, 9Facilities
Global Production System
The key to obtaining a top share in the North American market,
the largest market in the world, is creating close relationships
with the major mass retailers. In addition, we have extended
our brand licensing agreements in North America with Royal
Philips Electronics through December 2015. Accordingly, we
will step up our sales of PHILIPS-branded products.
In Europe, we established sales offices in Hamburg, Paris
and Warsaw, and are working to strengthen relationships with
the major mass retailers in each country.
In Japan, we aggressively develop sales activities through
our subsidiary, DX ANTENNA CO., LTD.
Furthermore, in 2012 we established a local subsidiary
in Mumbai, India, and initiated sales there. Going forward,
we expect to increase sales in Latin America, including
Mexico. We also plan to enter emerging markets which are
rapidly growing, such as the ASEAN countries and the Near
and Middle East regions.
Thirdin North America
Share of LCD TV Shipments in 2011
Funai Electric endeavors to maintain strong relationships with sales channels such as mass retailers, around the globe and is proud to claim a top share in North America, the world’s largest market.In 2012, we established a sales company in India. Going forward, we are also planning to enter high-growth emerging markets in ASEAN countries and in the Near and Middle East.
Understanding Market Needs All over the World
Brand and Product Developmentby Region
We sell LCD TVs and DVD and
Blu-ray Disc-related products
under the PHILIPS brand.
The FUNAI brand sells LCD
TVs and DVD and Blu-ray
Disc-related products.
We sell LCD TVs under
the FUNAI brand.
The DX BROADTEC brand sells LCD
TVs and DVD and Blu-ray Disc-related
products. The DX ANTENNA brand
sells receiver-related products.
L a t i n A m e r i c aE u r o p e
J a p a nWe are developing the market through sales We are developing the market through sales
of LCD TVs and DVD and Blu-ray Disc-relatedof LCD TVs and DVD and Blu-ray Disc-related
products under three brands: PHILIPS, products under three brands: PHILIPS,
MAGNAVOX and Emerson. We sell our MAGNAVOX and Emerson. We sell our
products through major mass retailers, products through major mass retailers,
such such as Walmart, Target, Kmart and Sears.as Walmart, Target, Kmart and Sears.
We are developing the market through sales
of LCD TVs and DVD and Blu-ray Disc-related
products under three brands: PHILIPS,
MAGNAVOX and Emerson. We sell our
products through major mass retailers,
such as Walmart, Target, Kmart and Sears.
N o r t h A m e r i c aN o r t h A m e r i c aN o r t h A m e r i c a
I n d i a
19.6%Company A (South Korea)
13.8%Company B (United States)
7.5%Company C(South Korea)
10.3%Company D (Japan) 12.7%Funai Electric (Japan)
2011
*Source: DisplaySearch
S a l e s & M a r k e t i n g
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As the amount of digital technology used in consumer
electronics increases, protecting our proprietary technology
and creating new technology with appeal to other companies
has become significantly more important. As a result, we are
conducting strategic patent filings based on a policy of
protecting Funai products with our own patents, which results
in more effective and efficient patent creation and acquisition.
The R&D Division promotes technical development
involving the services and software that will be required
during the era of cloud services and full-fledged broadband
environments. We are also working on “ultra AV home
electronics,” which feature superior human interfaces. The
division is concentrating on the development of devices and
software that will help realize interfaces with a human touch.
These are expected to be core technologies supporting
future products.
As consumer electronics become commodities, we are augmenting the competitiveness of our existing productgroups. In addition, we are pursuing technological developments to create new business.
Expanding into New Growth Markets
Re s e a r c h & D e v e l o p m e n t
The Funai Group manages the FUNAI ELECTRIC ADVANCED APPLIED TECHNOLOGY RESEARCH INSTITUTE INC., our core institution for the research of nanotechnologies. In addition to strengthening our mainstay AV equipment-related business and pursuing developments to enhance our intellectual property, we will proactively develop basic devices for new markets such as the eco/energy field.
FUNAI ELECTRIC ADVANCED APPLIED TECHNOLOGY RESEARCH INSTITUTE INC.:A Group Company Responsible for the Development of Advanced Technology
AV Equipment-Related DevelopmentWe develop products with high value added Internet and home networking applications. We also develop new features corresponding to diverse brand strategies and cutting-edge technology to strengthen our ability to meet OEM needs, as well as energy-efficient products with low environmental impact. Meanwhile, to meet expanding market needs, we are also concentrating on more regionally tailored development and more targeted applications.
Network-Related TechnologyThe Group pursues development activities over a wide range, spanning fundamental technologies to products. We were an early provider of products compatible with VOD services and SNS in various countries in the early stages of Blu-ray Disc-related devices and LCD TVs, and take the lead in the development of technologies that will allow customers to easily enjoy the Internet, thereby contributing to the adoption of the Internet and the development of a more Internet-based society. In addition, we have introduced products that take advantage of cloud based services and are also pursuing wireless networking products. Our next step will be to develop and launch mobile devices, products, and services for telecommunications carriers, through which we will strive to help advance the telecommunications field.
The Human Interfaces FieldThe full-fledged entry into the networking era is blurring the distinctions between AV consumer electronics, communications and broadcasting. However, taking full advantage of the benefits this era offers will require improved compatibility between people and machines, which is currently the source of major discussion. There is still room for development here.
We believe that more complex functionality and improvements in devices, software and cloud systems will lead to simpler operability. Accordingly, we are concentrating on the development of human interfaces that people will find more enjoyable and intuitive.
The Eco/Energy FieldFor many years, Funai has pursued the development of power-saving, environmentally conscious products. LED lighting equipment marks our first step into the eco/energy field, through which we will strive to make contributions to the future, an area in which we are continuing to conduct basic technological research and striving to make contributions to in the future.
Current Core Businesses Looking Toward the Future
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C o r p o r a t e D a t a
1961 20101965 1970 1975 1980 1985 1990 1995 2000 2005
Product Development Trends
Stereo Audio Components1977~1985
Cassette Tape Recorders
1971~1985
TV/VCR Combos
1985~2007
CRT TVs1986~2009
Cordless Phones
1983~1995Faxes1988~2003
Inkjet Printers1997~
DVD Players 1999~
Blu-ray Disc Recorders2009~
Laser Beam Printers2000~
Projectors2002~2007
LCD TVs2002~
Digital Still Cameras2004~2008
Tablet PCs
2011~
Blu-ray Disc Players2008~
DVD Recorders2004~
Transistor Radios
1959~1970
Open Reel-to-reel Tape Recorders1963~1966
8 Track Car Stereos1968~1979
CVC VCRs1980~1982
VHS VCP, VCRs1983~
Air Conditioners1994~2002
Auto Bakeries1987~1995
Profile
Name
Established
Head office
Phone
Fax
URL
Capital
Net Sales
Employees
Category
FUNAI ELECTRIC CO., LTD.
August 1961
7-7-1 Nakagaito, Daito,
Osaka 574-0013, Japan
+81-72-870-4303
+81-72-871-1112
http://www.funaiworld.com/
¥31,307 million (March 31, 2012)
¥246,147 million (Year ended March 31, 2012)
1,102 (March 31, 2012 / Non-Consolidated)
Electrical Equipment
Display Business
LCD TVs
Digital Media Business
DVD Players / Recorders
Blu-ray Disc Players / Recorders
Office Solutions Business
Printers, LED Lighting
Others Business
Receiver-Related Products
Major Business Operations
Members of the Board and Corporate Auditors and Officers
Members of the BoardTetsuro FunaiTomonori Hayashi
Toshio Otaku
Yoshikazu UemuraJyoji OkadaHideaki FunakoshiShigeki SajiMitsuo YonemotoYoshiaki Bannai
Corporate AuditorsHiromu IshizakiShinichi KomedaMasahide Morimoto
Chairman
President andChief Executive Officer
Director andSenior Executive Officer
Director and Officer
Director and Officer
Director and Officer
Director and Officer
Outside Director
Outside Director
Full-time Corporate Auditor
Outside Corporate Auditor
Outside Corporate Auditor
OfficersHideo NakaiSusumu NojiiHisao TatsumiKazuo UgaTakeshi ItoSei KonoHirofumi Nagaoka
Senior Officer
Senior Officer
Senior Officer
Officer
Officer
Officer
Officer
Main Office Technology Hall
History
Aug. 1961 FUNAI ELECTRIC CO., LTD. was established in Ikuno-ku, Osaka capitalized at ¥20 million.
Mar. 1964 CHUGOKU FUNAI ELECTRIC CO., LTD. was established as a production subsidiary in Fukayasu-gun (now Fukuyama), Hiroshima.
Sep. 1976 The head office was relocated to Daito, Osaka.
May 1991 FUNAI CORPORATION, INC. was established as a sales subsidiary in New Jersey, U.S.
Mar. 1992 HIGHSONIC INDUSTRIAL LTD. (now FUNAI ELECTRIC (H.K.), LTD.) was established in Hong Kong, China.
Apr. 1992 DONG GUAN PLANT in Dongguan City, Guangdong Province started operations as a consignment production plant in China.
Aug. 1994 ZHONG SHAN PLANT in Zhong Shan City, Guangdong Province started operations as a consignment production plant in China.
Jan. 1996 FUNAI SERVICE CO., LTD. was established as a service subsidiary in Higashi-Osaka, Osaka.
May 1996 HIGHSONIC INDUSTRIAL LTD. (now FUNAI ELECTRIC (H.K.), LTD.) established H.F.T. INDUSTRIAL LTD. by joint investment with a Japan company.
Feb. 1999 FUNAI ELECTRIC CO., LTD. was listed on the Second Section of Osaka Securities Exchange.
Mar. 2000 FUNAI ELECTRIC CO., LTD. was listed on the First Section of Tokyo Stock Exchange and the First Section of Osaka Securities Exchange.
Nov. 2001 Acquired the majority stocks of DX ANTENNA CO., LTD. in Japan.
Ju l . 2003 FUNAI (THAILAND) CO., LTD. was established as a production subsidiary in Nakornratchasima, Kingdom of Thailand.
Dec. 2003 HUANG JIANG PLANT in Dongguan City, Guangdong Province started operations as a consignment production plant in China.
Apr. 2004 FUNAI ELECTRIC ADVANCED APPLIED TECHNOLOGY RESEARCH INSTITUTE INC. was established.
Oct. 2006 FUNAI ELECTRIC (POLSKA) Sp. z o.o. (now FUNAI ELECTRIC EUROPE Sp. z o.o.) was established as a production subsidiary in the city of Nowa Sol, Poland.
Oct. 2007 FUNAI SERVICE CORPORATION was established as a service subsidiary in Ohio, U.S.
Jun. 2008 P&F USA, Inc. was established as a sales subsidiary in Georgia, U.S., for PHILIPS brand consumer TVs.
Tetsuro Funai, President and CEO, assumed the post of Chairman. Tomonori Hayashi, Senior Executive Officer, assumed the post of President and CEO.
Apr. 2009 P&F MEXICANA, S.A. DE C.V. was established as a sales subsidiary in Mexico.
Ju l . 2010 Zhong Yue Funai Electron Co. was established as a production subsidiary in Guangdong Province, China.
Feb. 2012 Funai India Private Limited was established as a production subsidiary in Mumbai, India.
May 2012 CMET FUNAI Optical Electronics Co., Ltd. was established as a sales subsidiary in Shanghai, China.
Jun. 2012 FUNAI CMET Optical Electronics Co., Ltd. was established as a production subsidiary in Guangdong Province, China.
Zhong Shan Funai Electron Co. was established as a production subsidiary in Guangdong Province, China.
15 16
Offices and Subsidiaries
Sales Composition by ItemSales Composition by AreaNet Sales
Places of business, research center
Sales subsidiaries
Production subsidiaries Development subsidiaries
Affiliated subsidiaries
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
(¥ millions)
Japan
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
2008 2009 2010 2011
(¥ millions)
2008 2009 2010 2011
North America Europe Asia Others LCD TVs (Display Business)DVD and Blu-ray Disc-related products (Digital Media Business)Printers (Office Solutions Business)Receiver-Related Products (Other Business)
314,911
2012
14.9% 12.2% 15.4%
65.3%
16.5%
71.4%
12.0%
68.7%
2.2%
1.1%2.3%
2.1%
2.8%
3.4%
9.7%
302,777
277,167
2012
31.8%
52.6%
2.9%
4.6%
8.1% 3.8%3.6%
5.1%
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
(¥ millions)
2008 2009 2010 2011 2012
49.1%
25.4%
12.2%
13.3%
Key Financial Information (Consolidated)
33.0%
54.5%
45.3%
21.2%
23.4%
10.1%
48.1%
28.0%
14.9%
9.0%
52.0%
17.3%
22.2%
8.5%
44.9%
19.1%
22.2%
13.8%
295,923
246,147
Funai Group Code of Conduct
All members of the Funai Group (hereinafter “We”) pledge to make a sincere effort to observe the following code of conduct. Senior management recognizes that it is their role to embody this code of conduct, and that they must take the initiative and set an example for others in the company to follow. In the event their conduct is in opposition to this code, it will be their responsibility to correct themselves publicly and ensure such conduct is never repeated.
We shall develop and provide products and services useful to society with sufficient consideration for the safety and privacy of personal and customer information, and strive to earn the trust and satisfy the needs of consumers and customers while ensuring the healthy development of society.
We shall engage in fair, transparent and free competition and transactions while maintaining a healthy and proper relationship with politicians and political administrations.
We shall ensure management transparency and health through the timely, proactive and fair disclosure of Company information aimed at widening the communication channel with shareholders and greater society.
We shall maintain a safe and comfortable work environment where employee diversity, character and individuality are respected.
We shall respect fundamental human rights and do not engage in discriminatory actions or human rights violations. We do not sanction child labor or forced labor.
We shall voluntarily engage in initiatives aimed at mitigating environmental problems, which we see as common challenge facing all humanity, and recognize as a necessary activity of all corporations.
We shall aggressively promote social contribution activities as a good corporate citizen.
We shall firmly oppose anti-social forces or groups.
We shall observe international law and local ordinances in terms of our international business activities, always respecting local cultures and customs to develop business efficiently.
June 22, 2012Tomonori Hayashi President and CEO
June 22, 2010Tomonori Hayashi President and CEO
Environmental and Occupational Health andSafety Charter
In keeping with our corporate commitment “to adopt continual product improvements, to continually promote ever deeper trust, and to seek further harmony and mutual prosperity,” all employees of Funai pledge to remain aware of the need to protect the environment and to operate our business in an environment-friendly manner.
We shall provide our customers with simple, high-quality products and shall make an effort to use resources effectively, minimize waste, and reduce our environmental impacts. In short, we remain committed to contributing to a society that remains in harmony with nature.
We shall respect employee diversity, personality and individuality, and provide an environment that is safe and conducive to work.
We shall practice ethical management and comply with all laws and regulations with respect to occupational health and safety.
We shall look into occupational health and safety risks in the workplace to prevent injury and illness to employees and visitors.
We shall make ongoing improvements to occupational health and safety management, while making an effort to improve occupational health and safety performance.
Conformance with laws, regulations and social normsRespect for human rights, occupational health and safetyEnvironmental considerationConstruction of systems to ensure excellent product qualityProvision of parts, materials and services that are priced appropriately and competitivelyConstruction of systems to ensure certain delivery dates and stable supply
Conformance with laws, regulations and social normsRespect for human rights, occupational health and safetyEnvironmental considerationOptimal product quality and cost assuranceConstruction of systems to ensure certain delivery dates and stable supplyTechnological improvementConfidential information managementCooperation in reporting and auditing
We shall practice ethical management and comply with all laws and regulations.
We shall take the initiative in voluntarily eliminating the use of hazardous substances and shall offer environment-friendly products.
We shall establish goals for environmentally conscious design and shall offer environment-friendly products.
We shall implement initiatives to attain zero emissions.
We shall establish environmental goals, conduct periodic reviews, and implement continual improvements.
We shall provide all employees with environmental education and shall strive to adopt environmental improvements.
Basic IdeasThe Funai Group is responding to heightened societal demand for corporate social responsibility (CSR) by performing its daily business activities on the basis of the Funai Group Code of Conduct. We have established the basic policies described below with regard to our parts and materials procurement activities.•Conform with laws, regulations and social norms, and pay attention to
environmental preservation.•Conduct fair and equitable transactions.•Strive for mutual cooperation with business partners and build trust-based
relationships.
Basic Policy
In accordance with the above-mentioned basic policy, when selecting companies as procurement partners the Funai Group gives priority to those that satisfy the following conditions when commencing transactions.
Procurement Partner Selection Standards
From a CSR perspective, we ask our business partners to perform the following. We also ask our customers’ business partners to understand the Funai Group Procurement Policy and to make requests that will promote these items.
CSR Procurement
Occupational Health and Safety Policies
Environmental Policies
Funai and its Group companies is proactive in acquiring third-party certifications related to quality, occupational health and safety, the environment and information security.
Quality & ISO
Quality Management System (ISO 9001)
Occupational Health and Safety Management SystemOHSAS18001
Information Security Management System(ISO/IEC 27001:2005 JIS Q 27001:2006)
C o r p o r a t e O v e r v i e w
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HQ / FUNAI (THAILAND) CO., LTD. / FUNAI ELECTRIC EUROPE Sp. z o.o. /CHUGOKU FUNAI ELECTRIC CO., LTD. / Zhong Yue Funai Electron Co./Zhong Shan Funai Electron Co./ FUNAI SERVICE CO., LTD. /DX ANTENNA CO., LTD.*1 / DONG GUAN PLANT*2 / HUANG JIANG PLANT*2
Funai Group Procurement Policy
Environment Management System (ISO 14001)HQ / FUNAI (THAILAND) CO., LTD. / FUNAI ELECTRIC EUROPE Sp. z o.o. /CHUGOKU FUNAI ELECTRIC CO., LTD. / Zhong Yue Funai Electron Co./Zhong Shan Funai Electron Co./ FUNAI SERVICE CO., LTD. / DX ANTENNA CO., LTD.*1 / DONG GUAN PLANT*2 / HUANG JIANG PLANT*2
Information System Department in HQ /Personnel and Administration Department in HQ /Business Administrative Department in HQ /Investor and Public Relations Department in HQ
HQ / FUNAI ELECTRIC EUROPE Sp. z o.o. /Zhong Yue Funai Electron Co. / Zhong Shan Funai Electron Co.
(*1) DX ANTENNA CO., LTD. was certified by the JQA.(*2) The plants that undertake processing for Funai on consignment in China are acquiring certifications.
* Consignment Production Plants
(Years ended March 31) (Years ended March 31) (Years ended March 31)
TOKYO BRANCH OFFICE
R&D ENGINEERING DEPARTMENT/OHGIMACHI BRANCH
1
2
FUNAI ELECTRIC ADVANCED APPLIEDTECHNOLOGY RESEARCH INSTITUTE INC.
Funai Electric R&D (Shenzhen) Co., Ltd.
FUNAI MALAYSIA R&D SDN. BHD.
FUNAI SINGAPORE PTE. LTD.DX ANTENNA CO., LTD.
CMET FUNAI Optical Electronics Co., Ltd.
FUNAI CORPORATION, INC.
P&F USA, Inc.
P&F MEXICANA, S.A. DE C.V.
Funai India Private Limited
FUNAI SERVICE CO., LTD.
FGS Co., Ltd.
FUNAI SERVICE CORPORATION
CHUGOKU FUNAI ELECTRIC CO., LTD.
FUNAI ELECTRIC (H.K.), LTD.
H.F.T. INDUSTRIAL LTD.
DONG GUAN PLANT *
HUANG JIANG PLANT *
Zhong Yue Funai Electron Co.
Zhong Shan Funai Electron Co.
FUNAI CMET Optical Electronics Co., Ltd.
FUNAI ELECTRIC EUROPE Sp. z o.o.
FUNAI (THAILAND) CO., LTD.
23
4
5
6
FUNAI ELECTRIC (H.K.), LTD.H.F.T. INDUSTRIAL LTD.
DONG GUAN PLANT *HUANG JIANG PLANT *Zhong Yue Funai Electron Co.
7
8
2
Zhong Shan Funai Electron Co.FUNAI CMET Optical Electronics Co., Ltd.Funai Electric R&D (Shenzhen) Co., Ltd.9 FUNAI ELECTRIC EUROPE Sp. z o.o.
6 Funai India Private Limited
2 CMET FUNAI Optical Electronics Co., Ltd.
5 P&F MEXICANA, S.A. DE C.V.
10 FUNAI (THAILAND)CO., LTD.
3 FUNAI MALAYSIA R&D SDN. BHD.
4 FUNAI SINGAPORE PTE. LTD.
3 FUNAI SERVICE CORPORATION
3 FUNAI CORPORATION, INC.
4 P&F USA, Inc.
1
2
3
4
5
6
7
8
9
10
1
2
3
4
1
2
3
1
2
3
4
5
6
2
1
2
1
1
1
1
TOKYO BRANCH OFFICE
R&D ENGINEERING DEPARTMENT/OHGIMACHI BRANCHFUNAI SERVICE CO., LTD.FGS Co., Ltd.
DX ANTENNA CO., LTD.
CHUGOKU FUNAI ELECTRIC CO., LTD.
FUNAI ELECTRIC ADVANCED APPLIED TECHNOLOGY RESEARCH INSTITUTE INC.
17 18