Growth Strategy

The Morinaga Milk Group is carrying out the Medium-term business plan guided by four basic policies from medium- to long-term perspective.
In the medium to long term, we expect market growth to remain sluggish due to the declining birth rate, aging society and falling population in Japan, and also expect customer needs to diversify and food and energy prices to rise as emerging economies develop. To address these issues, we plan to strengthen brands for household products such as chilled cup-type drinks, yogurt and cheese, while also enhancing the functional and food ingredients business utilizing our own materials and technology. In addition, we will aggressively invest these management resources into the global market, and work to expand our international business. In conjunction with this, we will actively address issues such as improving asset efficiency and streamlining operations.

Basic Policies

1. Rebuilding our Business Domains for Growth

We have set four pillars for our future business and will rebuild our business domains to carry out bold reforms of our current revenue structure.
 ⇒ Refer to"Plans for Specific Businesses"for further details.

2. Improving Asset Efficiency and Promoting Rationalization

Continue with efficiency, streamlining and low-cost operations, and make improvements in asset efficiency, for example by disposing of idle assets.

  • 1) Steady implementation of measures for absorbing cost increases
  • 2) Review the production system, including rearranging the manufacturing line
  • 3) Review the sales system
  • 4) Rationalize and improve the efficiency of indirect work
  • 5) Improve asset efficiency by disposing of idle assets, etc.

3.Strengthening the Business Base

We will build a more resilient management base by reinforcing internal systems, cultivating human resources, and strengthening the financial base in order to achieve ongoing growth of the Morinaga Milk Group.

Vision & strategy
  • ・Ensure even faster decision-making for a flexible response to the changing environment
  • ・Strengthen Corporate Governance and enhance medium- to long-term corporate value
Organization & personnel
  • ・Optimize the organization in line with the four pillars of business
  • ・Review the research system and reinforcement of R&D capabilities by promoting joint development between industry, academia and government
  • ・Promote the diversity of personnel and a wide range of employment patterns
Capital &
  • ・Aim for free cash flow of over 30 billion yen in five years based on existing investments
  • ・Implement a rolling plan for capital expenditures as required
  • ・Ensure a stable and continuous dividend payout policy

4.Making a Difference in Society

We will promote dialogue with the local community, with a focus on environmental conservation efforts and plant tours, carry out activities to raise awareness and help the community, and live in harmony with nature and society as a member of the community.

  • 1)Environmentally conscious
  • 2)Communication with the community
  • 3)Overseas initiatives
  • 4)Raising awareness and volunteering in the community