Basic Approach
In formulating the 9th Medium-Term Management Plan, we updated one of the individual issues under the Key Issue (Materiality) of “Enhancing Business Competitiveness and Resilience” to “Reforming Framework to Empower ‘Create, Produce, and Deliver.’”
To build a resilient supply foundation capable of ensuring an uninterrupted supply of products needed in time-sensitive parenting situations regardless of changes in the operating environment, we will transform our global operating framework into a more agile one by integrating development (“Create”), production (“Produce”), and SCM (“Deliver”) across regions to respond quickly and flexibly to market needs. As the first step in building this framework, we established an organization under the Chief Product & Supply Chain Officer (CPO/ CSCO) responsible for formulating and implementing Group-wide development, production, and procurement strategies. We have also launched initiatives aimed at improving profitability by optimizing and streamlining processes. Going forward, we will further strengthen our medium- to long-term business competitiveness by promoting collaboration and co-creation with other companies, enabling us to deliver better products more quickly to babies and their families around the world.
Specific initiatives
The Pigeon Tsukuba Engineering Center (TEC) opened its doors in February 2022 as a hub for developing new technologies to sustain the medium- to long-term growth of nursing bottles, a key product category. Knowledge from Pigeon’s production technologies and quality control will be integrated into the facility to further enhance productivity. It will also actively focus on exploring new materials and production technologies that reduce environmental impact. Through effective use of TEC, we will share production challenges and kaizen (improvement) initiatives with our production centers worldwide, thereby strengthening the development of talent engaged in production technology and enhancing our knowledge base. This will enable us to maintain the same high quality in the products we deliver globally.
Initiatives at Pigeon Home Products Corporation
In August 2023, Pigeon Home Products Corporation,which manufactures skincare products and other products mainly for the Japanese market, completed construction of a plant in Fuji City, Shizuoka Prefecture, Japan, integrating its existing No. 1 and No. 2 factories. The company has strengthened its development system by expanding R&D facilities and increasing the number of R&D personnel, and is working to respond to environmental issues and expand into new areas. The production of skincare products consumes water for mixing, equipment cleaning, and steam production, and the plant also draws and uses groundwater from the foot of Mt. Fuji.
Collaboration with external parties
Efforts to promote "White Logistics"
The Pigeon Group endorses the objectives of “white logistics,” a joint initiative of Japan’s Ministry of Land, Infrastructure, Transport and Tourism (MLIT), Ministry of Economy, Trade and Industry (METI) and Ministry of Agriculture, Forestry and Fisheries (MAFF). The Group has submitted an independent declaration of action to the White Logistics Promotion Initiative Executive Office. Recognizing that securing the sustainability and stability of the logistics needed to carry out business activities is a vital management issue, the Pigeon Group is working with business partners, logistics operators and other related parties in a spirit of mutual understanding to improve its logistics, by raising productivity and transforming work methods.
Portal site for campaign to promote "White Logistics"