Speaking on the occasion of Mitsui OSK Lines’ 133rd anniversary, Junichiro Ikeda, the president and CEO of the shipping giant has said the company is forecasting a return to profitability at the ordinary income level, while looking ahead he announced a very significant change to the way the Japanese line goes about investing.
“Our existing businesses face major upheaval in the business environment,” Ikeda explained. “In this climate, we must recognise that our conventional approach to investment, based at times on a tendency to focus on balancing investments among our existing businesses, is no longer viable,” he continued. “From now on, we must work to reshape our business portfolio. This will be done by carefully selecting business domains and projects where we have competitive advantages, and preferentially allocating our capital and human resources to each of these areas.”
Ikeda exhorted MOL employees to better understand client needs, sealing deals was no longer simply about offering the cheapest offers, he maintained.
“Our customers’ needs are becoming more and more diversified and sophisticated,” Ikeda said, adding: “To be selected as their best partner will require more than just price competitiveness. It will require deep insight into customer concerns and the ability to provide solutions other companies cannot match. Differentiation will be absolutely essential. We will be unable to rise above the competition unless we become a truly strong and resilient enterprise.