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A fresh image for Sanyo

Old home-appliance manufacturer intends to become technology leader with a mission to help the Earth and make people happy

Published on October 17, 2007



A fresh image for Sanyo

Morimoto Isutamu is reshaping Sanyo into a technology-oriented and environmentally friendly company.

Morimoto Isutamu is a man with an important mission.At 53, he is president of Sanyo (Thailand), and his job is to change the public perception of a company and brand name that have been known for many years.

Although consumer electronics has been the company's main focus for decades, its range of products is changing along with a new company philosophy concerning its role as a manufacturer. Isutamu is tasked with easing back on consumer electronics, so that commercial and digital products can gain equal stature, and the three product categories each contribute 30 per cent to Sanyo's revenue.

The reshaping of Sanyo's business direction in Thailand is in line with a new brand vision from Sanyo in Japan. Its policy, "Think Gaia", is aimed at focusing on activities and product developments that are beneficial to life and the Earth.

The Gaia hypothesis - named after the Greek Earth goddess - proposes that living and non-living parts of the Earth can be viewed as a complex interacting system that in fact make the Earth a single living organism. It postulates that all living things have a regulatory effect on the Earth's environment that promotes life overall.

Isutamu, who has been in Thailand for nearly three-and-a-half years, says Sanyo has already transferred its refrigerator factory in Prachin Buri's Kabin Buri district to its strategic partner, China's giant Haier Group, and set up a new company called Sanyo Commercial Solution Thailand.

The new company produces commercial products like freezers, beverage coolers and open showcases in Chachoengsao province.

"Generally, the consumer-electronics business is not so profitable for us, so Sanyo has decided to scale it down and focus more on other product areas according to our corporate vision," Isutamu says. "We will promote the image of Sanyo as a more technology-oriented company."

Sanyo (Thailand) expects to achieve Bt2.1 billion in sales this year. Fifty per cent of this will come from consumer electronics, 30 per cent by digital, or information-technology-related, products and 20 per cent from commercial goods. This is a different picture to the Sanyo of 2003, which achieved Bt1.4 billion in turnover, with 80 per cent of it coming from consumer electronics.

"We aim to achieve Bt3 billion in turnover in 2009," Isutamu says.

"The most significant point for me is our contribution to the Thai people. Since we are operating in Thailand, we must be concerned about the Thai people and the Thai nation. Even within the company, we are planning to localise more, with Thai executives controlling the company. Thais should operate and manage the company for the Thais. We will launch products that will protect the lives of Thais and protect the environment of Thailand. These products will add convenience to their lives, and Thais will be happier," he says.

At present, Sanyo (Thailand) has more than 150 staff. Only two Japanese executives remain with the company.

"In the past, Thais thought of home appliances when they thought of the Sanyo brand. I'd like to convert that image to one of a more innovative and technology-based company," Isutamu says. "My challenge is to make Sanyo (Thailand) grow as a well-known company in Thailand and have it recognised as a Thai company making products that are friendly to the environment and the lives of the people."

He says Sanyo is promoting a threefold approach to realising its Gaia vision, focused on the environment, energy and lifestyle.

As a leading provider of environment- and energy-related products, Sanyo is seeking to harness its exclusive technologies and innovative creativity to deliver global solutions.

"Of course, part of the purpose of a private company is to make a profit. But for us, it is not only about profit. It's about contributing to the lives of people in Thailand. That is more important," he says.

"Any private company must be concerned about environmental issues if it wants to survive in business. We have to contribute by protecting the environment from harmful contamination."

Isutamu gives as examples Sanyo's rechargeable Eneloop batteries, of which all materials are recyclable, and the company's innovative technologies built in to its washing machines and air- and water-purifying systems that are designed to remove contaminants from waste air and water.

Sanyo has also developed what is now the most effective solar-cell lithium battery and is cooperating with top car manufacturers like Ford, Honda and Volkswagen to develop and supply batteries for hybrid cars.

Isutamu says the company - which is the world's largest manufacturer of liquid-crystal-display projectors - has also developed various lifestyle products. These include new optical technology for high-definition projectors, closed-circuit television systems, communications technology like mobile phones, refrigerators for home and commercial use and medical equipment like CFC-free ultra-low-temperature freezers and a range of laboratory incubators.

 Kwanchai Rungfapaisarn

 The Nation


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