MES President Addresses Company Developments

By Eric Haun
Monday, January 06, 2014
Takao Tanaka

Mitsui Engineering & Shipbuilding Co., Ltd. (MES) president Takao Tanaka delivered a New Year message in which he comments on future market directions and developments as related to MES as well as the industry as a whole. Tanaka outlined his company’s approach to stabilizing profits across each market segment in which it is present, highlighting a company-wide focus on expansion and balanced growth.

Tanaka said the present business environment sees global increases in energy demand and the progression of structural changes in the industry resulting from the shale gas revolution, creating a positive business environment for certain business segments within MES. “Our chemical plant business, environment and energy business, and container crane business are all benefiting from the current environment,” Tanaka said, adding that the company’s subsidiaries Mitsui Ocean Development & Engineering Co., Ltd. is also performing well in its ocean resources development business.

While other segments experience growth, MES’ new shipbuilding and marine engine businesses, however, are facing a decline in the ocean transport market that has led to a decrease in profits, placing a group-wide focus on achieving recovery in these markets.

“To adapt to such significant change in the market and overcome severe condition, it is vital that we address issues facing management with sense of urgency,” Tanaka said. “The direction in which our company will head is one that enables us to realize a balanced business portfolio that combines continuous growth with stable earnings by the final year of the plan in FY2016.”

MES’ answer to industry hardships materialized in June of last year with the launch of a new operating structure and the draft of its “Midterm Business Plan 2014” (MBP14). Tanaka said MES will work specifically toward two types of reform.

“Our first goal is to innovate the business areas. With our current core businesses of shipbuilding and marine engines, we are facing intensifying product competition. We will strive to make a qualitative shift in our product lineup so that we can achieve a competitive advantage when the shipbuilding market does recover.”

“Our second goal is to innovate the business models,” Tanaka said. “In the past, our business model was a build and sell model through which we sold either finished products or plants such as EPC (engineering, procurement, and construction) projects. Moving forward, we will expand this model to include follow-up services, operational maintenance, and business management to create a comprehensive business model that covers the entire life cycle of our core business products. This business model will help us achieve profit stability.”

“There is no future in simply continuing conventional methods. These two reforms are vital to our becoming a company with future dreams and a company that has meaning in society,” Tanaka concluded.
 

Maritime Reporter February 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

USCG Petty Officer Convicted, Sentenced

A Coast Guardsman was convicted and sentenced during a General Court-Martial in New Orleans, Thursday. Petty Officer 2nd Class Leonel Hinojosa, 32, was sentenced to reduction to E-1,

Caterpillar to Stay in Peoria

After a multiyear study focused on modernizing its global headquarters, Caterpillar Inc. today reaffirmed it will remain in Peoria, Illinois, and revealed a

Hapag-Lloyd Warn About Verification by German Customs

Hapag-Lloyd has informed that for all import cargo to be discharged at the German ports of Hamburg and Bremerhaven the carrier is responsible to send a complete

Shipbuilding

ST Engineering Makes Management Changes

Singapore Technologies Engineering Ltd today announced that Mr Ravinder Singh will replace Mr Sew Chee Jhuen as President of Singapore Technologies Kinetics Ltd (ST Kinetics).

Danelec Marine Unveils eSERVICEConnect Initiative

Danelec Marine launched its new eSERVICEConnect initiative today in a move to automate and streamline shipboard service for its products worldwide. Danelec’s eSERVICEConnect is an Internet,

Are Megaships Game Changers?

Bragging rights for the world’s largest container ship have changed hands four times in as many months and keep on shifting again, says a report in the Bloomberg.

Ship Repair & Conversion

Caterpillar, Uptake to Create Analytic Solutions

To help customers around the world better understand the health of their equipment and optimize machine availability, Caterpillar Inc.today announced it has

Danelec Marine Unveils eSERVICEConnect Initiative

Danelec Marine launched its new eSERVICEConnect initiative today in a move to automate and streamline shipboard service for its products worldwide. Danelec’s eSERVICEConnect is an Internet,

Tennessee Chill Box Expands Industry Reach

Air conditioned respirator supply systems supplier Tennessee Chill Box, LLC (TCB) launched a new air-supply, mask and hood system designed to expand the industry-reach

Energy

Caterpillar, Uptake to Create Analytic Solutions

To help customers around the world better understand the health of their equipment and optimize machine availability, Caterpillar Inc.today announced it has

ST Engineering Makes Management Changes

Singapore Technologies Engineering Ltd today announced that Mr Ravinder Singh will replace Mr Sew Chee Jhuen as President of Singapore Technologies Kinetics Ltd (ST Kinetics).

Wintershall Takes Over Operatorship of Norwegian Subsea Oil and Gas Field

Wintershall has taken over the operatorship of the subsea oil and gas field Vega from Statoil, Wintershall announced today.   Vega is the BASF subsidiary’s

News

USCG Petty Officer Convicted, Sentenced

A Coast Guardsman was convicted and sentenced during a General Court-Martial in New Orleans, Thursday. Petty Officer 2nd Class Leonel Hinojosa, 32, was sentenced to reduction to E-1,

Caterpillar to Stay in Peoria

After a multiyear study focused on modernizing its global headquarters, Caterpillar Inc. today reaffirmed it will remain in Peoria, Illinois, and revealed a

Hapag-Lloyd Warn About Verification by German Customs

Hapag-Lloyd has informed that for all import cargo to be discharged at the German ports of Hamburg and Bremerhaven the carrier is responsible to send a complete

 
 
Maritime Security Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.5937 sec (2 req/sec)