Heihachi Inoo
Profile
Performance in office
Tenure
Tenure
Background
Born in Tokyo in 1905, he graduated from Keio University's Faculty of Economics in April 1930 and joined Morinaga & Co. that month. He became a Director in 1949, Managing Director in September 1954 and Senior Managing Director in May 1962, and on becoming Representative Director and Executive Vice President in May 1970 he also became Representative Director and President of Morinaga Milk Industry. His predecessor Taihei Morinaga had also been President of Morinaga Milk Industry from 1955, continuing a practice in which the parent's top executives also headed the separated dairy company. Inoo stepped down as President of Morinaga Milk Industry in June 1979 and moved the same month to Representative Director and President of Morinaga & Co.
Selection
The fiscal year ended March 1979 produced an ordinary loss of ¥887 million, the first loss since the war. The company had kept balancing its books at each year-end by pushing products onto the trade, and finished goods inventory had piled up by November 1978 to ¥15.7 billion, two months' worth and twice the industry average. It carried 200 confectionery items and 400 including food, yet its sales were no larger than those of Ezaki Glico, which had about 35. In June 1979, the company's 80th anniversary, Taihei Morinaga, President for 33 years, stepped back to Chairman, and five top executives including Executive Vice President Tamotsu Matsuzaki resigned to take responsibility. Inoo, who had been President of Morinaga Milk Industry for nine years, became President of the parent that month.
Initiatives
The rebuilding began with workforce cuts: more than 900 people accepted voluntary retirement ending December 20, 1979, and headcount fell by 967 from over 4,700 at the end of the fiscal year ended March 1979 to about 3,700. Seven plants were cut to five, the Fukuoka plant was spun off as Kyushu Morinaga and the Oyama plant as Tochigi Morinaga, and specialization with one product type per plant was pursued. The 400 items were halved to 200, regional sales departments reduced from 12 to 8, inventory cut by ¥8.0 billion and ¥3.2 billion of land sold. Non-consolidated ordinary results recovered from a loss of ¥5.0 billion in FY ended March 1980 to a profit of ¥4.3 billion in FY ended March 1983.
Career
Career
Morinaga &
| Date | Position |
|---|---|
| 1930 | Joined |
| Nov 1949 | Director |
| Jun 1979 | Representative Director, President |
| Jun 1983 | Chairman |
| Jun 1983 | Stepped down as President |
Morinaga Milk Industry
| Date | Position |
|---|---|
| Jun 1974 | Representative Director, President |
| Jun 1979 | Stepped down as President |
References 2
References (Japanese primary sources)
- 日本企業要覧 1979年版
- 日経ビジネス 1980年1月28日号「ケーススタディ 森永製菓 長期政権でつまずいた老舗に再生の嵐」