Management Policy

Nikon Group has formulated the Medium-Term Management Plan that will run until FY2021 (for the year ended March 31, 2022) taking a new step forward. Nikon group will execute various strategic initiatives for reaching our goals to achieve sustainable growth of its enterprise value in the medium- to long-term.

Nikon's Medium- to Long-Term Goal

Nikon will be a leading company in precision and optics fields, consisting of businesses possessing scale and leadership position within the fields.

Positioning of the Medium-Term Plan

Nikon will invest proactively in preparations for establishing a foundation for growing enterprise value sustainably.

Overview of Strategic Initiative

Through aggressive investment in new areas, Nikon will make "Generating New Core Pillars of Profit" one of the major parts of our strategy. At the same time, Nikon will work to enhance the profitability of our three main existing businesses (Imaging Products, FPD and Semiconductor Lithography).

Generating New Core Pillars of Profit

Early acquisition of new engines through aggressive investing in new areas (Establish Material Processing Business)

Improving Profitability of Existing Businesses

Enhance profitability of the three main existing businesses (Imaging Products, FPD, Semiconductor Lithography)

  • Imaging Products Business: Stably secure ¥20 billion or more operating profit as a base cash flow for Nikon.
  • FPD Lithography Business: Keep leadership position in markets where stable demand is expected in the medium- to long-term.
  • Semiconductor Lithography Business: Continue stable generation of cash flow through the profitability-first business strategy.

Cost Structure Reform

  • Cost reduction 3-year total: ¥18 billion
  • Optimize supply chain
  • Zero-based review of the costs, duties, and functions of management and back-office departments
  • Optimize marketing and production systems
  • Reform processes and shorten manufacturing lead-time

Enhancing Manufacturing ("Monodzukuri") Foundation

Enhancing the Corporate Governance Structure

Establish "monodzukuri structure" by digital manufacturing

Enhancing the Corporate Governance Structure

Appointment of management, successor training plan

System where evaluation and monitoring of strategic decision-making can be implemented effectively

Areas of Long-Term Growth

Considering various social issues and Nikon's assets that could be applied to those solutions, we have set "Digital Manufacturing", "Vision Systems/Robotics" and "Healthcare" as areas of long-term growth.

Macro Trends (Social Issues and Needs)

Digital transformation, Industry 4.0, IoT, AI, Rising medical costs, Aging

Areas of Long-Term Growth

Digital Manufacturing

Vision Systems/Robotics


Existing Assets

Optical / Precision measurement and manufacturing / Image processing / Control / Customer base / Supply chain management

Establishing the Material Processing Business

In this Medium-Term Management Plan, Nikon is focusing on establishing the Material Processing Business in the Digital Manufacturing field.

Management KPI Targets

As targets to achieve during this Medium-Term Management Plan, Nikon has committed to ROE higher than 8% in FY2021 and then will aim for stable ROE of 10% to 12% from FY2023 onward.