Konica Minolta restructures globally, looking to shave 2,400 jobs
April 5, 2024
The company announced that it has decided to implement global structural reforms to achieve the Medium-term Business Plan goals.
In its announcement Konica Minolta explained: “With the basic policy of challenging and achievable target and return to a highly profitable company, the Medium-term Business Plan has set three major action agendas; business selection and concentration, reallocation of resources to strengthening businesses; structural reform implementation to reinforce profit foundation; and reinforcement of business management system. The Company carries out business selection and concentration in fiscal 2023 and 2024 and aims to establish a foundation for growth in fiscal 2025.
“The global structural reforms are efforts to achieve the Medium-term Business Plan goals and a sustainable growth beyond 2025 for the acceleration of business selection and concentration, and productivity improvement of the Group.”
To achieve Medium-term Business Plan target and a sustainable business growth, the entire Group will adopt measures to improve productivity per employee, in addition to the selection and concentration of businesses.
Konica Minolta added that as a measure for transforming human capital and improving productivity, investments will be strengthened, including utilisation of generative AI, to shift the human assets to highly value-added operations.
In addition, primarily for the businesses and regions to strengthen, the Company will continue to evaluate and assign skilled talents to the right positions and invest in human asset development education. These efforts and a focus on interactive communications will increase engagement of employees.
Furthermore, as an additional measure for enhancing productivity, the Company will optimise the headcount globally by around 2,400 people, including regular and non-regular employees, and it will be implemented during fiscal 2024.
As a result, the business contribution profit in fiscal 2025 is expected to increase by around ¥20 billion ($132.09 million/ €121.9 million), compared with what it would be before the optimisation.
Konica Minolta confirmed that the measures will be implemented in compliance with local labour laws, rules, and regulations.
One-time expenses associated with the global structural reforms will be recorded during fiscal 2024 and is expected to be approximately ¥20 billion ($132.09 million/ €121.9 million).
The company will announce details once they are finalised after examination of the future status.
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