Commitment of Top Management
I would like to extend my deepest condolences to the families of the people who have perished due to COVID-19. My heart goes out to those who are bravely fighting disease, and I pray for their early recovery. I also have profound respect for the people who are working around the clock to prevent the disease from spreading.
To help prevent the spread of COVID-19, the MITSUBISHI MOTORS Group has donated or made free loans of its OUTLANDER PHEV (which can store and supply electricity) to serve as vaccination support vehicles for overseas institutions and Japanese municipalities.
In addition to transporting medical teams and supplies, these plug-in hybrid electric vehicles (PHEVs) are contributing to the cooling and transportation of ice packs for vaccine transportation by utilizing the power supply function. It is also expected to serve as a backup power source in the unlikely event of a power outage at the inoculation site. We will continue to support the prevention of the spread of COVID-19 in cooperation with governments, municipalities, and related organizations around the world.
Realizing our Vision
MITSUBISHI MOTORS adopts the Mitsubishi Group’s fundamental philosophy, the “Three Principles (Sankoryo),” as a guideline for its corporate activities. For each and every employee, we share the “Vision” that shows the society we want to create and the “Mission” that is the method to realize the vision with all employees of the MITSUBISHI MOTORS Group, and make it a value standard that we should always stand by. To realize our vision to “Create vibrant society by realizing the potential of mobility,” we are following a fundamental policy of selection and concentration under “Small but Beautiful,” our mid-term business plan from FY2020 and shifting to a business structure that leverages our strengths centered on the ASEAN. In addition, while working to strengthen environmental technologies such as the development of electric vehicles centered on PHEV, on the other hand, for advanced technologies such as CASE, we will build an efficient business structure by utilizing Alliances and strengthening collaboration with partners.
Establishing a Robust Management Base to Support Sustainable Growth
Last year, the automobile industry was hit hard by the spread of COVID-19. In addition, the business environment surrounding the automobile industry is becoming more and more uncertain due to the tightening of environmental regulations in each country, changes in the international order such as the US-China conflict, and the global shortage of semiconductors. To achieve a breakthrough under these circumstances, we recognize the need to assess our business environment from a long-term perspective and bolster our management base with which we can respond to medium- to long-term risks and opportunities.
Regarding the environment, five years have passed since the adoption of the “Paris Agreement,” more than 120 countries including Japan have declared “carbon neutral” in 2050, and Japan, the United States and other countries have raised their greenhouse gas reduction targets in 2030. As such, momentum for the realization of a carbon-free society is rapidly increasing. Against the background of these international policy trends, decarbonization has become an essential condition for companies to maintain their global competitiveness.
Also, work style reforms based on the New Normal triggered by the spread of COVID-19 and securing human resources to respond to drastic changes in the automobile industry such as CASE are important parts of the management foundation that supports our sustainable growth.
Based on such social conditions, expectations from stakeholders, and the direction of management strategies, we reviewed the material issues related to “environment” and “people” last year. In addition, the Sustainability Committee discussed the medium-term (2030) and long-term (2050) risks, opportunities and responses related to each and every material issues and drafted activity plans for each fiscal year. The contents are provided in the “Sustainability Report 2021.”
As for climate change, in particular, in October 2020 we formulated the Environmental Plan Package, which recognizes the major impact climate change will have on risks and opportunities and sets clear targets to be achieved. And then in July this year, we expressed our support for the Task Force on Climate-related Financial Disclosure (TCFD) recommendations. Taking this opportunity, we are analyzing the impact of climate change on our business and finances. Going forward, we will reflect this analysis in our management strategy, respond to the automotive industry’s transformations due to climate change, and inform our stakeholders about our vision of staying ahead of the curve.
Striving to be a Company of Choice for Society
The situation surrounding the automotive industry is changing at an unprecedented rate, and competition is expected to intensify due to technological innovation and evolution such as connected, autonomous driving, and electrification, and expectations for new services such as sharing. I am always racking my brain to come up an idea which will help us win the fierce competition and make MITSUBISHI MOTORS a company that continues to be chosen by society.
For CASE, we will efficiently leverage the superior base technologies of the Alliance, while adding adjustment unique to MITSUBISHI MOTORS. We also intend to move forward with technological developments on vehicles for the ASEAN market and our original PHEV technology and lead the Alliance in technology areas where our strength lies.
This year, we have redefined “MITSUBISHI MOTORS-ness” for sustainable growth. We have defined that “MITSUBISHI MOTORS-ness” is to provide customers with safety, security, and comfort as well as Eco-friendly. We will contribute to the environment and realize “MMC-ness driving” with the electrification technology and “S-AWC” (Super-All Wheel Control) technology, a 4WD system that dramatically improves vehicle maneuverability and stability and most embodies the ideal of MITSUBISHI MOTORS.
Launching the world’s first mass-produced electric vehicle “i-MiEV” in 2009, we are a pioneer of electric vehicles and have accumulated world-class technologies. In addition, after many years of research into environmentally friendly PHEV system, in 2013 we launched the OUTLANDER PHEV with the tagline “an electric SUV that provides value whether driving or parking still,” followed by the ECLIPSE CROSS (PHEV model) in 2020. Although disasters have occurred frequently in recent years, PHEVs can directly supply electricity to household electrical appliances in the event of a power outage, and S-AWC provides safety, security, and comfort to our customers due to their ability to run on rough roads.
Going forward, MITSUBISHI MOTORS will continue to contribute to solving climate change and energy issues and achieving carbon neutrality in its own way, through the use of electrification technology.
“MITSUBISHI MOTORS-ness” cannot be realized without collaboration with all stakeholders, so we would like to deepen mutual understanding and grow our business based on a strong relationship of trust through communication with our stakeholders. To do so, we will protect the rights of all stakeholders, including shareholders, customers, employees and business partners, especially we believe that our efforts to respect human rights, will be the foundation. Through a human rights due diligence framework, we will identify any negative impact our business activities have on human rights and work to eliminate or reduce such impacts in an effort to enhance trust for the Company from society and stakeholders.
In addition, in order to clarify the separation of supervision and execution in enhancing corporate governance, the Company transitioned to a company with three committees in FY2019. In June of this year, we welcomed Mr. Tomofumi Hiraku to the position of the chairman of the board as an independent outside director to further strengthen governance and create a company that is highly transparent to stakeholders.
Aiming to be a company that continues to be chosen by society, we will establish a robust management base and realize the sustainable growth of our company. At the same time, we will work together to solve social problems based on a strong relationship of trust with our stakeholders, thus contributing to the realization of a sustainable society.
Member of the Board
Representative Executive Officer, President & CEO
MITSUBISHI MOTORS CORPORATION