Expand our businesses and solve the societal challenges within the growing market of healthcare, agriculture and infrastructure.
Topcon embraces strives to expand our business by applying our solutions towards solving societal challenges in the mega-domains of healthcare, agriculture, and infrastructure.
Topcon conducts business in fields including the Ophthalmological field (healthcare), IT Agriculture field (agriculture), and the fields of IT Construction and infrastructure development (infrastructure).
Mid-term Business Plan
On April 28, 2016 Topcon released its the Second Mid-term Business Plan for the three-year period from FY2016 to FY2018.
1. Strengthening the Management Structure
We reorganized Smart Infrastructure Company and Eye Care Company from company structures to business divisions to establish function-based systems for technology, production, and sales to achieve total optimization in order to improve management efficiency. As part of our initiatives to improve management efficiency, we will consolidate and eliminate offices that increased as a result of M&A. Furthermore, we will implement COGS Reduction for products on the market to improve operating income and cash flows from operations.
2. Advancement of the Growing Business
Positioning Company will expand IT Construction and IT Agriculture as growth businesses.
The Smart Infrastructure Business will strengthen core businesses such as Total Station, for which we have a large market share, and focus on developing growth businesses.
Eye Care business will expand EMR for ophthalmology and remote diagnosis as new business domain.
3. Creation of a Subscription Business Model
In addition to our one-time purchase sales business model, we will develop subscription businesses in the IT Construction, IT Agriculture, and Eye Care Business as well as businesses in all domains of healthcare, agriculture and infrastructure.
Topcon is comprised of 87 companies in 27 countries. Our overseas sales ratio was 79% in FY 2017. Topcon has developed a global network of production, development, and sales locations. With global operations based on a workforce where 70% of employees, 85% of overseas consolidated subsidiary presidents are non-Japanese, we have established a system that enables us to select optimal regions for production and sales.
Expanding business in growing fields
Topcon has produced surveying equipment since our founding in 1932 and advanced into the field of ophthalmological equipment after the war. In 1994, we developed construction machinery control technology, followed by precision GPS receivers in 2000, precision agriculture in 2006, and mobile unit control technology in 2007. From our core business, we have continued to expand operations through M&A and alliances.
Presently, the world is facing an increase in eye disease due to global population aging, food shortages caused by global population increase, global infrastructure demands and a shortage of engineering personnel to meet that demand, and continued infrastructure deterioration. In the domains of healthcare, agriculture, and infrastructure, we are working to expand our business by applying Topcon solutions towards resolving societal challenges.