Honda has long viewed itself as a mobility company, focused on creating new value for its customers and society through innovations in product design and original technologies developed from the initiative of Honda associates around the world.
Honda’s global sales of motorcycle, power equipment and Honda and Acura automobiles in 2009 were severely impacted by the global economic downturn. From an all-time record of 24.655 million customers worldwide in 2008, Honda reached 23.044 million customers in 2009. Despite these unprecedented economic challenges, the company has maintained profitability through dramatic efforts to reduce cost and to optimize its production resources using Honda’s flexible manufacturing system, while at the same time continuing to develop and launch exciting new products and technologies that create new value for Honda customers around the world.
6-Region Global Structure
Speed, flexibility and efficiency are key attributes of Honda’s global organization — strengths gained from the company’s 6-region global structure, including Japan, North America, South America, Europe/Middle East/Africa, Asia/Oceania, and China. Based upon Honda’s core philosophy of producing products close to the customer, the company has major production operations in each of the six regions. Management based in each region has the autonomy to make decisions based on local customer and community needs; but, with a global viewpoint, each region also works in a complementary way — creating a true global network that supports the needs of Honda customers worldwide.
Honda is able to achieve a heightened level of speed and flexibility in meeting customer needs through the efficient exchange of products and components, and the expertise of Honda associates across its worldwide operations.
In the pursuit of its “Green Factory” concept, which aims at more efficient and environmentally responsible manufacturing operations for the next generation, Honda continues to innovate its global production facilities to reduce the time and cost required to match its production activity to the changing needs of its customers. Through the deployment of its flexible manufacturing system in plants worldwide, Honda has the ability to quickly and efficiently shift production within individual plants and between plants, both regionally and globally, based on changes in market demand.
Honda has long been a pioneer in the global auto industry in the development and application of leading edge environmental technologies that improve fuel efficiency and reduce vehicle emissions — while delivering the fun, performance, quality and reliability that customers expect. Its historic efforts at developing advanced technologies that address society’s environmental concerns include the first vehicle to meet U.S. Clean Air Act standards without the use of a catalytic converter (Civic CVCC), America’s first mass-produced gas-electric hybrid car (Insight), and the world’s first government-certified hydrogen fuel cell vehicle (FCX). The company is also advancing alternative energy solutions such as Honda-developed thin-film solar cells and an experimental Honda Solar Hydrogen Station for home-based hydrogen reformation and refueling using Honda solar cells. Beyond the products themselves, Honda is also working to reduce the environmental impact of its business operations — from the facilities that develop Honda products and the factories that manufacture them, to the distribution and sales of those products and, ultimately, the end-of-use recycling of products.
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