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TOKYO, May 9, 2002 — As a part of its two-year Corporate Reform
Plan All Nippon Airways (ANA), announced its Corporate Strategy Plan outline for
the corresponding period, fiscal years 2002, 2003 (April 1, 2002 - March 31, 2004)
for the ANA Group.
Under the principles of "selection and concentration," the ANA Group implemented
its Medium Term Corporate Plan (FY1999 - FY2002) successfully realizing the radical
reform of financial affairs, network reorganization and optimized aircraft allocation.
However the tragic events of September 11 and the impending merger of Japan Airlines
and Japan Air System transformed the environment surrounding it spurring the necessity
of prompt implementation of the Corporate Reform Plan for the coming two years.
In drawing up the ANA Group Corporate Strategy Plan, the ANA Group's corporate
philosophy and corporate vision were created to function as the ANA Group's, "constitution"
providing the underpinning for the plan.
The ANA Group views the transformation surrounding it as an opportunity rather
than a disadvantage. In addition to redoubling efforts at fortifying its reputation
for safety, the corporate group aims to be the model for Asia by completely appealing
to the customer with quality, customer satisfaction and value creation.
ANA Group Corporate Philosophy
I. Basic philosophy
• Create attractive surroundings for customers
• Continue to be a familiar presence
• Offer dreams and experiences to people around the world
II. Course of Action
• Maintain top priority on safety
• Customer oriented
• Contribute to the society
• Embrace
new challenges
• Debate with active interest, decide with confidence and execute with conviction
• Build a powerful ANA Group with the competitive advantage of teamwork
ANA Group Corporate Vision
With passenger and cargo transport within Japan, to Asia and the world at its
core operations, the ANA Group aims to be the model carrier of Asia under the
three precepts of quality, customer satisfaction and value creation.
ANA Basic Corporate Strategy Plan Outline FY2002-2003
Policy Priorities
Implement value creation management in core air transport operations by improving
stakeholder (shareholders, customer, employee) value.
1. Strengthen Management Foundation
2. Safety
While holding firm to our conviction that operational safety is at the heart of
air transport management, the ANA Group will continue to adamantly build upon
its impeccable safety record.
2. Punctuality
It is essential that we respond to the rigorous demands of the business traveler
and make clear the ANA Group's corporate responsibility with the declaration "On-Time
Airline ANA".
Further improve on-time departures and arrivals, with revisions to scheduling
and airport facilities. Additionally a re-think of the definition of punctuality
for domestic operations will be introduced under the concept of departures and
arrivals within one minute of scheduled flight times instead of the industry standard
of 15 minutes. The following numerical targets will be set for FY2002.
On-time Targets for FY2002 |
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| Domestic Operations |
Target |
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| ANA Scheduled Departure (within one minute) |
70% |
| ANA Scheduled Arrival (within one minute) |
52% |
| Air Nippon Scheduled Departure (within one minute) |
63% |
| Air Nippon Scheduled Arrival (within one minute) |
58% |
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| International Operations |
Target |
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| ANA Scheduled Departure (within 15 minutes) |
92% |
| ANA Scheduled Arrival (within 15 minutes) |
85% |
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On domestic operations, during the previous fiscal year ANA and Air Nippon
posted the following on-time performance figures for departures and arrivals within
15 minutes of scheduled flight times.
ANA: 97.3% (previous year performance 93.9%)
Air Nippon 94.6% (previous year performance 92.9%)
Environment and Society
1. Conservation of the Global Environment
With the threat of global warming as the focus, activities to protect the global
environment will be forwarded across the entire group with the introduction of
Environmental Accounting• and an Environment Report Paper within fiscal year 2002.
*Quantitative measurements and analysis of maximum results obtainable from global
conservation efforts according to cost analysis in business activities
2. Barrier Free Environment
Improved airport services and revamped facilities for the disabled and seniors
by adopting universal design for In-flight equipment and airport facilities. ANA's
Sky Assist Desk will be at the vanguard in delivering this enhanced service.
*Sky Assist Desk: a customer desk dedicated to servicing the needs of disabled
and senior customers (within Japan toll-free 0120-029-377)
Corporate Organization Structure
Corporate Group
Advance the integration and rationalization of the ANA Group with provision for
a structure to facilitate decisive management practices.
Switch to Managing Holding Company*
In order to build a group corporate strategy that advances a consistent strategy
of flexibility, ANA will become the managing holding company for an integrated
ANA Group. ANA headquarters will carry out the functions of corporate and operations
strategy for the entire group.
*ANA's Managing Holding Company will differ from a traditional holding company
in that it will conduct operations in addition to managing the entire group. |
![[chart.gif]](/wws/fr/f/about_ana/corp_info/investor/stock_info/corp_plan/outlines/images/chart.gif) |
ANA Brand Unification
In 2002, group airlines Air Nippon and Air Japan to start ANA flight operations
under the an integrated ANA brand. Brand unification will be implemented gradually
over the fiscal year 2002 with the objective of providing customers higher levels
of seamless service.
Travel Agency Integration
Establishment of a holding company called ANA Sales Holdings to oversee the group's
three travel agencies, ANA Sky Holiday Tours Co., ANA World Tours Co. and All
Nippon Airways Travel Co. With the integration of these companies a portion of
the sales functions that were previously handled by ANA will now be transferred
to the newly formed company, generating human resource efficiencies and strengthening
the sales network.
Managing Indices
At the foundation of the corporate group, the ANA Group will steadily advance
value creation with a stringent focus on management by objectives.
1. Complete management focus on ANA's ANA Value Creation (AVC) management index.
Start of AVC management by objectives for each business from fiscal year 2002,
by treating each group company under a common value preparation of AVC for each
business.
*AVC (ANA's Value Creation): Implemented in fiscal year 2001, ANA's management
index that measures whether "Value Creation" surpasses investor expectation rate
on expected return from capital invested by shareholders per profit produced by
business (pretax business profit).
2. Introduction of Customer Satisfaction Index (TQS*)
Targeted improvements for creating customer value (TQS) in air transport service,
established along side ANA's AVC with the goal of being the leader in Asia after
fiscal year 2003.
*TQS (Total Quality Score): Includes comprehensive evaluation on air transport
service, safety, punctuality, comfort, convenience and other measurements as determined
by the customer.
Corporate Strategy
Air Transport Strategy
To maximize managerial efficiency, the ANA Group will actively appropriate management
resources in conjunction with network reorganization and region of flight operation.
• ANA will operate wide body aircraft (B767, B777, B747) in main markets
from Tokyo's Haneda and Narita airports.
• Air Nippon (ANK) will operate narrow body aircraft (A320, B737) mainly
for the local market. In fiscal year 2002, A320 aircraft operations will be gradually
consolidated at Air Nippon.*
• Air Japan (AJX) will operate B767's in its business area, international
operations to Asia and resort destinations.
*Both ANA and Air Nippon currently operate A320 aircraft.
Business Developments
• Aim for operation of turbo prop aircraft at Osaka's Itami airport in FY2003
and review establishment of new company for this service.
• Beginning with ANA Connection• complement the ANA network with a low
cost scheme through tie-ups with other companies.
• Build an international network with Asia, namely China at the foundation
and build the network to the next level with strategic code-share alliances.
• Increase revenues and reduce costs through tie-ups and code-share alliances
on international network with Star Alliance partners.
*ANA Connection; flights are operated by The Fair Inc. and Nakanihon Ailrine Co.
Product (Service) Strategy
The ANA Group will appeal totally to the customer by providing a product rich
in originality and creativity with "ANA Style" as the standard and strive to fortify
the competitive strength of its product under the following initiatives.
• Provide competitive and convenient fare structure
• Develop an even more attractive ANA Mileage Club Program
• Realize simpler and more convenient reservations, ticketing and check-in
operations by strengthening the company's CRS (computer reservation system)
• Strengthening of the Asia network with new services and flight attendants
proficient in Chinese
• Introduction of new international service featuring seats that are comfortable
and advanced, providing a high quality cabin environment
• Increase convenience with improved internet reservation function
• Utilize customer feedback in order to provide discriminating service for
frequent flyers
Cargo Businesses
Introduction of B767 Freighter
In close cooperation with Nippon Cargo Airlines, ANA will introduce a B767 Freighter
in September 2002 to meet rapid demand for cargo transport in China and Asia. |
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