Amada Establishes Head Managing Companies in Global 5 Areas

Amada, Japanese major metalworking machine maker, decided to set area managing companies in global 5 areas, Japan, China, ASEAN, Europe and North America. Amada is headquartered in Japan while the firm established an area managing company in North America, Amada North America, in 2007. The firm plans to establish new area managing companies in Europe, ASEAN in early 2011 and in China in July 2011.

Amada has 24 affiliates in Japan and 54 affiliates at overseas. The headquarter in Japan has totally managed the group’s strategy for marketing, product design, procurement, production, sales and services so far.

However, new markets are growing in emerging countries and economic globalization is accelerated. In addition, currency rate fluctuation is recently roughing. Amada decided to organize regional supply chain management and establish flexible group management system to survive in changing economic situations.

Japanese headquarter keeps product design function while transfers other management functions to offshore area management companies. The details will be decided soon. The new area managing companies will be located in France, Singapore and Shanghai.

Amada targets consolidated net sales at 230 billion yen with operating profit at 26.6 billion yen in fiscal 2012 ending in March 2013. The net sales target is higher by 70% than in fiscal 2009.