Value Creation Management
OSAKA GAS
Cost cutting
Reduction of employee costs
Due to natural wastage (recruitment policy and retirement) we plan to
reduce the number of employees from 9,569 to 8,750 or under in 2002
and to 8,000 by March 2007
We plan to introduce an MBO (Management by Objectives) pay
system and reduce employment costs per head
Capital Expenditure reductions
Review of manufacturing time and methods for facilities, developing
R&D and rationalization of purchasing policies
Investment in plant and equipment 1999-2010: total, from ¥323 billion
to ¥258 billion (20% decrease)
Investment in trunk pipelines 1998-2003: total, from ¥104 billion to
¥83 billion (20% decrease)
Cost reductions in unit costs of pipes
.
Non-excavation method of construction
•
Shallow pipe-laying
13View entire presentation