ANNUAL REPORT

2021

Year ended March 31

Oshino-mura, Yamanashi Prefecture
https://www.fanuc.co.jp/
TEL 0555-84-5555 FAX 0555-84-5512

ANNUAL REPORT 2021
Reprint or reproduction is prohibited without permission. All rights reserved©FANUC CORPORATIONFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Basic Principles“Strict Preciseness” and“Transparency” are the basic
principles of FANUC.

“Genmitsu”(Strict Preciseness)“Tomei”(Transparency)

Strict PrecisenessA company will last forever and besound with strict preciseness.
Transparency
The corruption of an organizationand downfall of a company startfrom a lack of transparency.

The Three Philosophies
The three businesses of FA, ROBOT and
ROBOMACHINE are unified with SERVICE as“one FANUC”, to provide innovation andreassurance to manufacturing sites aroundthe world.

Contents

FANUC’s Corporate Value
Basic Principles/The Three Philosophies ･･････････････････ 1
Contents/Editorial Policy ･････････････････････････････････････ 2
Track Record of Value Creation ････････････････････････････ 3
FANUC’s Overview ････････････････････････････････････････････ 5

Reliable
Predictable
Easy to Repair

Value Creation Process ･･･････････････････････････････････････ 7

FANUC aims to minimize downtime in all
factories all over the world.

Contributing to the achievement of the SDGs through value creation ･･･ 9Materiality･････････････････････････････････････････････････････ 11

Top Message ･････････････････････････････････････････････････ 15
Preventive Measures Against COVID-19 ････････････････ 19
Business Overview and Financial Summary ･････････････ 20

FANUC provides lifetime maintenance to its
products for as long as they are used bycustomers, through more than 270 service
locations supporting more than 100
countries throughout the world.

Special Feature – Introduction of FANUC Factories ･･･ 24

Platform Supporting Value Creation
Directors ･･････････････････････････････････････････････････････ 25
Corporate Governance ･････････････････････････････････････ 27
Messages from Outside Directors ････････････････････････ 29
Environment ･･････････････････････････････････････････････････ 32
Social ･･････････････････････････････････････････････････････････ 34

Data Section ･････････････････････････････････････････････････ 37

1

FANUC CORPORATION

Publication of Annual Report 2021
FANUC has published this annual report in order to share
our value creation efforts with stakeholders.
We are committed to finding solutions to social issues
such as the reduction of environmental load and the decrease in the workforce through factory automation. In order to achieve sustainable growth, we hope that thisreport will be a valuable tool for dialogue with our shareholders and investors.
Scope of Report and Reference Guidelines
Reporting Period

From April 2020 to March 2021
Some information may refer to organizational structures and policies at the timeof publication if those have been recently updated.

Organizations

FANUC CORPORATION and its consolidated subsidiaries

Referential Guidelines

We have referenced the International Integrated Reporting Framework (IIRC), as
well as the Guidance for Collaborative
Value Creation issued by the Japanese
Ministry of Economy, Trade and Industry.

Growth Strategy
Management Policies/Management Strategy ･･････････ 13

Conforming to the spirit of “Service First”,

Editorial Policy

Forward-looking statements
Statements contained in this report that relate to the future operating activities, business performance, events orconditions of FANUC are forward-looking statements. Forward-looking statements are based on judgments madeby FANUC’s management based on information available
at the time of publishing this report and are subject to significant assumptions. As such, these forward-looking statements are subject to various risks and uncertainties andactual business results may vary substantially from theforecasts expressed or implied in forward-looking statements. Accordingly, you are cautioned not to place undue
reliance on forward-looking statements. FANUC disclaims
any obligation to revise forward-looking statements inlight of new information, future events or other findings.

ANNUAL REPORT 2021

2

FANUC’s Corporate ValueFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Track Record of Value Creation
FANUC’s History
The history of FANUC began with the Numerical Control (NC) technology. In 1955, a project team for control was established at Fuji
Tsushinki Manufacturing Co., Ltd.. And the following year, in 1956, the Company became Japan’s first private-sector company to successfully develop NCs and SERVO mechanism, realizing the automation of control of machine tools, which require absolute position
accuracy and until then were performed manually, by numerically controlling them. In 1959, the Company developed electro-hydraulic pulse motor, which forms the basis for its SERVO technology, helping the NC business establish a strong market position.
In 1972, the NC division was spun off from Fujitsu Limited to form FUJITSU FANUC Ltd. (later renamed as FANUC CORPORATION ). The Company adopted a keyaki (zelkova) tree, firmly rooted in the ground and growing powerfully up toward the sky,
as its symbol, which represents a wish to grow into a company with strong corporate structure.
In addition to improving the performance of NC and SERVO products, FANUC has since expanded business to products that
use the NC technology, developing the NC drilling machine, which was aimed at popularizing NC machine tools, and robots installed with NC that automate wide-ranging work processes.

To provide indispensable values throughout the world throughincessant technological innovations in the field of factory automation,and to continue to be a company that is trusted by all stakeholders.

1980

1955

1956

The first electro-hydraulic pulse
motor was developed.

1964

FANUC’s first CNC, FANUC 250
was developed.

1970

High Pulse Motor was developed.

1972

FUJITSU FANUC Ltd. was established.
(Changed to FANUC CORPORATION in 1982)
FANUC DRILL was developed.
FANUC 200A was developed.
Electric Pulse Motor was developed.

1975

1990

FS16/18 was developed.

DC Servo Motor M series was developed.

1991

1981

FANUC ROBOT S-MODEL 1 was developed.

Hayato Factory completed.

1982

GMFanuc Robotics Corporation jointly establishedin the U.S. by FANUC and General Motors.

1992

BEIJING-FANUC Mechatronics CO.,LTD. jointly established with Beijing
Machine Tool Research Institute.

DC servo motor was licensed
from Gettys Manufacturing Co.
FANUC TAPE CUT-SERIES A wasdeveloped.

Listed on the first section of the Tokyo Stock Exchange.

1984

FANUC AUTOSHOT was developed.
FS10/11/12 was developed.
Relocation of headquarters to the foot of Mt. Fuji.
Basic Research Laboratory established.

1985

FANUC SYSTEM0 was developed.

1986

FANUC TAIWAN LTD established.

1977

FANUC U.S.A. CORPORATION established.
FANUC ROBOT MODEL 1 was developed.
FANUC TAPE CENTER-MODEL C
was developed.

1978

i

2013

i
i i

ROBOSHOT S-2000 A was developed.
AC Servo Motor α /β series was developed.

2002
2003

Robot cells put to practical use, enabling 720
hours of continuous unmanned operation.

FS30i /31i /32i was developed.

2015

DD Motor was developed.

i

2005

ROBODRILL α-T E was developed.

2008

Super Heavy Payload Robot was developed.
Area 2 of the Tsukuba factory completed.

2009

2014

2016

Joint venture with General Electric was dissolved.
Delta Robot was developed.

ROBOCUT α-1A was developed.

FANUC NC LASER-MODEL C1000 was developed.
FANUC ROBOT S-MODEL 420 was developed.

Product Development Laboratory relocatedto headquarters site (Oshino-mura).

1989

Area 1 of the Tsukuba factory completed.

Linear Motor was developed.

i

2018

FS16i /18i /21i was developed.

Call Center for Service established.
1997

FS15 was developed.
FANUC TAPE CUT-W was developed.

2017

i

M-710 was developed.

ARC Mate was developed.

1988

AC Servo Motor α/β series was developed.
M-410 was developed.

1996

i

ROBOCUT α-C A was developed.
ROBODRILL α-D A was developed.
ROBOSHOT α-S A was developed.
European subsidiaries reorganized
to FANUC Europe Corporation.
Subsidiaries in the Americas reorganized
to FANUC America Corporation.
FS0 -F was developed.
AC Servo Motor α -B/β -B series was developed.
Collaborative Robot was developed.
FANUC FIBER LASER was developed.
FF Laser Corporation established.
Partnership with Preferred Networks announced.
Mibu Factory completed.

i
i

i

i

i

i HMI was developed.
ROBOCUT α-C800i B was developed.

Reliability Evaluation Building and
Performance Evaluation Building completed.
ROBODRILL α-D B was developed.

YAG LASER was developed.
1994
1995

GE Fanuc Automation Corporation jointly establishedin the U.S. by FANUC and General Electric.
1987

i

ROBOSHOT α-A was developed.

FANUC EYE was developed.

FANUC SYSTEM 5 was developed.
DC Spindle Motor was developed.

2001

Product Development Laboratory divided
into four laboratories consisting of the
CNC Laboratory, Servo Laboratory, Robot
Laboratory and Machine Laboratory.
1993

2012

ROBOnano U was developed.

ROBODRILL α-T10A was developed.

1983

i

ROBODRILL α-T B was developed.

FANUC INDIA PRIVATE LIMITED established.

AC SERVO MOTOR was developed.

FS0i /0i Mate was developed.
R-2000 A was developed.

LR Mate was developed.

FANUC 2000C was developed.
1976

2000

GMFanuc Robotics Corporation became
FANUC Robotics Corporation, a 100%
Fanuc owned company, and its subsidiary.

Project team for control was establishedat Fuji Tsushinki Manufacturing Co., Ltd.
(presently Fujitsu Limited).
First successful development of NCs and
SERVO mechanism in Japan (private sector).

1959

1974

Fuji Factory constructed. Unmanned machining during nights was realized.

SHANGHAI-FANUC Robotics CO., LTD.
jointly established in China with Shanghai
Electric Group Company Limited.

i

FIELD system was developed.
SCARA Robot was developed.
ROBONANO α-NM A was developed.
FANUC ACADEMY established. 2019
FS 0 -F Plus was developed.
FANUC Advanced Research Laboratory established.
New Nagoya Service Center opened.

i

i

i i i

FS 30 /31 /32 -B Plus was developed.

iCRX-10 A was developed.
(Billions(Billions ofof Yen)
Yen)

i

Sales

ROBOSHOT α- A was developed.

551.3

FS-30 was developed.

i

700
700

■
■

600
600

■
■

500
500

■
■

Laser Research Laboratory established.
Built-in Spindle Motor was developed.

KOREA NUMERIC CORPORATION
jointly established by FANUC and
Hwacheon Machinery Works Co.

400
400

■
■

FANUC EUROPE S.A. established.

300
300

■
■

FANUC TAPE CUT-MODEL Ｅ
was developed.
1979

i

ROBONANO α-NT A was developed.

ROBODRILL α-T A was developed.
1999

i

ROBOSHOT α-S450 A was developed.

200
200

■
■

FANUC SYSTEM 6 was developed.
AC Spindle Motor was developed.

100
100

■
■

00
72
72

74
74

Years
Years ended
ended March
March 3131

3

FANUC CORPORATION

76
76

78
78

80
80

82
82

84
84

86
86

88
88

Consolidated
Consolidated fromfrom thethe yearyear ended
ended March
March 31,1983
31,1983

90
90

92
92

94
94

96
96

98
98

00
00

02
02

04
04

06
06

08
08

10
10

12
12

14
14

16
16

18
18

20
20

21
21

ANNUAL REPORT 2021

4

FANUC’s Corporate ValueFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

FANUC’s Overview
FANUC’s Differentiation Strategy
High Reliability

FA Basic products

In our product development, FANUC is mindful of our philosophy of “Reliable, Predictable, Easy to repair.”
FANUC promotes activities to improve quality, safety, and reliability of its products in all processes, from development anddesign of products to product quality buildups and after-sales
services following manufacturing and shipment.
As FANUC products are used in manufacturing sites, they are
exposed to extremely harsh environments.
In order to ensure that our products can operate stably for long
periods of time under these conditions, we are striving to improve reliability while conducting evaluation tests in various enReliability Evaluation Building Test Area
vironments so that we can provide our customers with stable
operation for a long period of time even in such an environment and contribute to improving the operating rateof our customers’ factories.

FANUC provides basic productsthat enable factory automation,such as CNCs, which control theoperation of machine tools withnumerical information, servos,
which control speed and position, and laser oscillators, which
are used for welding and cutting.
In developing these products, we
aim to improve productivity in
our customers’ factories with energy saving, enhanced safety,
and higher performance.

ROBOT Applied products
Various tasks can be automated by applying the basic
technologies of CNCs and servos freely controlling robot
arms. We contribute to improving work environmentsby releasing workers from dangerous, dirty, and difficult
jobs and improvement and stabilization of product quality through long-term stable continuous production.
In addition, we contribute to the maintenance andgrowth of factories around the world by compensating
the shrinking labor pool, such as by developing robots
that can work in collaboration with humans.

Lifetime Maintenance

ROBOMACHINE Applied products
FANUC is developing compact machining centers, electric injection molding machines, wire electrical-discharge machines and ultra precision machines that
apply the basic technologies of CNCs and servos. We
contribute to improving the productivity of our customers by pursuing superior machining performance, operating rates, and ease of use.

FANUC provides lifetime maintenance for its products as
Example of repair for parts over 30 years ago.
long as they are used by customers, even for models thatare no longer in production. Lifetime maintenance makes
it unnecessary for our customers to discard old models orpurchase new models due to discontinued maintenanceservice, thereby allowing them to use FANUC products at
a low cost for several decades.
We perform approximately 90,000 repairs per year in Japan, of
which roughly 10% consists of products that were manufactured
Before repair
After repair
more than 40 years ago. FANUC’s Repair Factory has a stock ofover 2.6 million pieces of 15,000 types of repair parts, including
old parts that are no longer in production, ready to repair used motors, PCBs, or units that are more than 40 years old.
Even in cases where some parts run out of stock, the Repair Factory has a system for finding replacement substitutes or redesigning them. In addition, old manuals are also digitized as part of our efforts for lifetime maintenance.
Units which have broken down are cleaned in a washing machine using robots or other means, and after being
dried overnight in a drying furnace, they are repaired. Not only damaged parts, but also parts that are starting todeteriorate are replaced, to attain a quality in repair that is equal to a brand new unit. We collect parts that havedeteriorated and overhaul them for re-use, thus contributing to the reduction of waste.
The Repair Factory has performed over 1.8 million repairs thus far, and its know-how is utilized in domestic andoverseas repairs, as well as being fed back to laboratories.

Sales Composition Ratio (Year ended March 31)
Sales by Business

Sales by Region(Billions of yen)
FA
149.2
27.1％

Service77.5
14.0％(Billions of yen)
Japan
82.5
15.0％

Other
3.8
0.7％
Asia ex. China
76.2
13.8％

551.3

ROBOMACHINE
114.5
20.8％

5

FANUC CORPORATION

China
182.7
33.1％

ROBOT
210.0
38.1％

551.3

Americas
120.7
21.9％

Europe85.4
15.5％
ANNUAL REPORT 2021

6

FANUC’s Corporate ValueFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Value Creation Process
Development of
the manufacturingindustry and solutionof social issues

In 1955, a project team for control was established at Fuji Tsushinki Manufacturing Co., Ltd.. And the following year 1956, we succeeded in the development of NCs (Numerical Controls) and SERVO mechanism for the first time in the Japanese private sector. Since then FANUC has been consistently pursuing
the automation of factories.We will create economic value and social value by advancing the automation and robotization of our customers’ factories
through constant technological innovation and contributing to the solution of social and environmental issues in the manufacturing industry around the world.

Contribution to the Resolutions of Social Issues

Value Creation for Society
Improved customer productivity

INPUT

OUTPUT(Year ended March 31)

FA

Financial capital
Total assets⃝CNC⃝Servos⃝Lasers¥1,435.6 billion

Operating income ¥112.5 billion

Manufacturing capitalBook value ofkey equipment“Genmitsu (Strict Preciseness)” “Tomei (Transparency)”¥384.0 billion

Capital investment ¥18.6 billion⃝RobotBusiness Policy

Social issues

Intellectual capital
Number of patents granted
10,801in Japan and overseas
R&D expenses¥46.9 billion

Human capital
Number of consolidated
8,256名employees(FANUC CORPORATION)% of female directors 18.2％% of foreign directors 9.1％
% of females in
3.4％
executive employees

Social capital
Global service network
More than 270 service offices,
covering more than 100 countries

Natural capital⃝ one FANUC⃝ Reliable, Predictable, Easy to Repair⃝ Service FirstFA Business

ROBOT Business

ROBOMACHINE Business

Service Business

Improvement of machining
performance
Preventive maintenance function

Ensuring Customer Safety
Liberation from dangerous,
dirty, and difficult jobs
Products easy-to-use forunskilled workers

Reduction in environmental load
Energy saving products/functions
Shorter processing time
Smaller, lighter products,
fewer components
Reduction in the amount ofharmful substances used

Management Policy⃝ Reinforcing Corporate Structure⃝ Importance of Human Resources⃝ Pursuit of SDGs

Business activities

Minimizing down time

A robot securely stops when coming into
contact with humans

ROBOT

Management Policies… Major products and services

Conservation of biodiversity
Forest conservation activities

ROBOMACHINE⃝ROBODRILL⃝ROBOSHOT⃝ROBOCUT⃝ROBONANO

Sustainable growthMateriality
Maintain and improve competitivenessResponse to environmental issues

Shrinking labor force population

Building a governance system

Enhance Corporate Value

Net sales

ESG Initiatives

ISO14001 certification 33 offices
Amount of electric power used 2,088,735GJ
Total Water Used 827 thousand ㎥

FANUC IoT

551.3 Billions of yen

Operating income ratio

20.4%

Ordinary income ratio

23.4%

ROE

6.8%

Increase in Capital

7

FANUC CORPORATIONANNUAL REPORT 2021

8

FANUC’s Corporate ValueFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Contributing to the achievement of the SDGs through value creation
FANUC engages in the FA, ROBOT and ROBOMACHINE Businesses. The FA Business encompasses basic technologies consisting of NCs,
servos and lasers, which are also applied to the ROBOT and ROBOMACHINE Businesses. In addition, by actively incorporating IoT/AI
technologies in all three areas. Since its foundation, we have developed a tough corporate structure by focusing on these businesses,
without blindly seeking to expand the scale of its business.
And we aim to remain a company trusted by stakeholders by working to provide essential value to not just customers but also to society
through persistent technological innovation in all of our businesses and fulfilling our social responsibility through our business activities.
Demand for factory automation is expected to continue to grow. FANUC will continue to aim to achieve SDGs by creating new value andworking to resolve environmental issues such as climate change and other social issues including the need to improve work environment.

ROBOT Business
Value Created
Robots help solve a variety of issues society is facing. Robots, which performstrenuous work day and night even under harsh environment, release workers
from dangerous, dirty, and difficult jobs. Robots can also improve productivity
and reduce night shift for workers as they can perform precise work over along time at a certain speed, even at night.
COVID-19 outbreaks occurred in 2020. In such a time, robots can help protect health and safety of people by substituting some workers to allow themto avoid the “3Cs” (closed spaces, crowded places, close-contact settings).
Introducing Zero Down Time (ZDT), a preventive maintenance and diagnosis
function using IoT, can service robots before they break down, helping to
avoid extended suspension of a production line just because of trouble in asingle robot.
Robots thus not only promote automation and robotization of factories andcontribute to improved productivity but also help improve work environment,
ultimately achieving improved productivity in labor-intensive industries
through technology, a target of SDGs.

Contribution to efforts to achieve 17 SDGs and 169 targets

ZDT (Zero Down Time)FA Business

Regenerative energy

Powerresource

Running

Running

Running

1.8kW

0Regenerative
resistancePower supply
regeneration

AI thermal displacement compensation－33%

1

Regenerative
resistance

1.2kW

1

1.2kW

0

－33%

Areas of contribution to environmental/social issues

ROBODRILLs are compact machining centers. They are used for machining
metal materials, such as iron and aluminum, with tools and for drilling holes.
The products have superior machining performance for their compactness andcontribute to making production equipment smaller and saving energy. They
improve production efficiency by thoroughly reducing redundancy in machines’
operation, and achieve more stable machining through the use of AI thermal
displacement compensation function. These features help improve machineusers’ product quality and productivity.
ROBOSHOTs are electric injection molding machines. They form melted plastics, etc. into shapes by casting them into metal molds. FANUC’s products canperform more precise and stable molding thanks to the highly-rigid andlow-friction mechanism and contribute to manufacturing of high value-added
precision molded products. AI backflow monitor helps estimate the amount ofwear on backflow prevention rings, allowing for replacement of components at
optimum timing. This contributes to reducing molding defects and improving
operating rates.
ROBOCUTs are wire electrical-discharge machines, which use discharge phenomena between wire electrodes and the workpiece to perform machining.
By achieving stable machining through the use of the AI thermal displacementcompensation function, these products contribute to improving machine users’
product quality.

Power supply
regeneration

Energy saving screen provides energy saving
settings manager of machine and optional
equipment and energy consumption monitor.

Real-time compensation by estimating expansion of screws anddisplacement of castings fromoperating condition of machine.
New method with temperature
sensors (option) can follow thechange of circumstance temperature.

⃝Measures to address decreases in working
population and highly skilled engineers⃝Improvement of customers’ productivity⃝Energy saving in customers’ factories⃝Ensuring healthy life through provision ofhealthcare products

Example of compensation effectTemperature sensor check screen
30℃

Temperature
Displacement

Power consumption［kW］

1.8kW

device2

Energy saving screen

Example of effect2

Deceleration

machineMaintenance
HealthROBOMACHINE Business
Value CreatedPower consumption［kW］

Energy supply

System HealthCentral Data Management⃝Measures to address decreases in working
population and highly skilled engineers⃝Improvement of customers’ productivity⃝Energy saving in customers’ factories⃝Waste reduction in customers’ factories⃝I m p r o v e m e n t o f w o r k e n v i r o n m e n t i ncustomers’ factories

Reuse of regenerative energy

Since 1994, FANUC has applied
power supply regeneration systemahead of other controllers.
Regenerative energy is reused at other machines or devices in the factoryand it saves the energy cost.

FANUC CORPORATION

Process Health

Areas of contribution to environmental/social issues

High-machining performance CNCs and high-speed, high-precision servos
contribute to improved productivity as they enable more precise, higher-speed
machining. We have implemented energy saving features in our servos.
Laser products contribute to improving quality of products of machine users with
their high-quality machining capability supported by FANUC’s CNCs and servos
installed in them.
It is essential to improve operating rates for improving productivity of factories.
In order to avoid extended suspension of production lines due to machine
trouble or emergency maintenance work, we attach importance to functions anddesigns for preventive maintenance. Factory operation at high operating rates
becomes possible through monitoring of insulation resistance of motors, drops
in the numbers of rotations of fan motors for CNCs and servo amplifiers, etc. andconducting preventive maintenance in advance of a halt of the machine.

9

Mechanical
Health⃝Measures to address decreases in working
population and highly skilled engineers⃝Improvement of work environment in customers’ factories⃝Improvement of customers’ productivity⃝Energy saving in customers’ factories⃝W a s t e r e d u c t i o n a n d e f f e c t i v e u s e o fresources in customers’ factories

No compensation

20
10

Temperature[ ]Value Created

Functions contributing to energy efficiency

Areas of contribution to environmental/social issues

New method0Current methodTime

All data are based on our speciﬁed conditions.

ANNUAL REPORT 2021

10

FANUC’s Corporate ValueFANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Materiality
Materiality

Maintain and improve
competitivenessResponse toenvironmental issues

Risks

Opportunities

Initiatives⃝The emergence of competitive
products utilizing new technologies may cause our products tolose their core competence.

⃝We can maintain our superiority by developing
competitive products, enhancing our services,and providing our customers with attractive
products.

⃝Regarding research and development, we will put more effort into developing new products and functions, with aheightened awareness of “one FANUC” in the fields of FA, ROBOT, ROBOMACHINE, and IoT.
⃝We consider it important to work towards increasing the value of “tangibles” further, which FANUC excels in, and to
add the value of “intangibles” to them. We will carry out research and development not only for the next new product,
but looking next 10 to 25 years ahead.
⃝The development is conducted in close proximity to our manufacturing sites is also a great advantage in maintaining
and improving competitiveness. When starting mass production in the factory, the product engineer temporarily assumes responsibility and oversees the process until the product is officially launched.
⃝Under the policy of “Service First,” all our overseas affiliates offer services equally, and best practices are implemented
across the Group. The utilization of digital technology in services is also important, and we are moving forward withmany ambitious initiatives such as FabriQR, a customer inquiry service accessed through QR codes, and preventive
maintenance before problems occur.
⃝Having experienced the Great East Japan Earthquake and the Lehman crisis, we have diversified our production sites,
service sites and procurement as a BCP measure.
⃝Collaborative robots require less capital investment on the part of our customers, and can be set up in less time compared to conventional models. Since they require less maintenance, and customers can maintain them on their own,
they can satisfy those customers who demand ease of use.

⃝Creation of new markets through the use of
new technologies also introduces new business
oppotunities for FANUC to expand its businessdomain and grow.
⃝Our factory may comes to analmost complete stop, if a largescale disaster happens in the area
where the factory is located.

⃝We have nearly finished establishing multiple
production sites for our CNC (Computer Numerical Control) systems and robots, so that
we can continue to serve our customers, evenin the event of a large-scale disaster.

⃝Stricter environmental regulations on resource conservation,such as reducing greenhouse gas
emissions and managing chemical
substance, may lead to increased
costs.

⃝The concept of lifetime maintenance, which embodies our commitment to continue providing
maintenance as long as our customers continue
to use our products, as well as providing highly dependable, high quality products that are“Reliable, Predictable, Easy to Repair” and minimizing downtime of our customers’ factories
with “Service First” policy, has helped to reduce
waste for our customers around the world.

⃝The transition from internal combustion engines to EVs poweredby electric motors, driven by measures taken by the automobile industry to combat climate change,
may have a major effect on themarket environment for our main
products in the FA Business.

⃝Leading the development of energy-saving products and products high in energy efficiency will
provide opportunities to expand sales of our
products in developed markets such as Europe.
The transition to EVs will broaden the range ofrobot applications, and create opportunities toincrease product sales. The number of sensors
and cameras mounted to EVs will grow, andis expected to stimulate the increase in salesof ROBOSHOTs (electric injection molding machine). Furthermore, the demand for high-precision parts used in EVs and the demand formolds for EV components are both expected
to increase. This will boost the demand formachine tools in this sector, leading to a higher
demand for CNCs.

11

FANUC CORPORATION

M-1000iA

LR-10iA/10

1,000kg Payload Large Handling Robot Looking
Toward EV Battery Assy
Wide Motion Range
・Serial link structure, enabling a large J3 arm motion
range, is applied to a large size robot for the first time.

High Performance, Full Enclosed Robot with High Energy Savings
Energy Saving
・A light-weight body, which is 1/3 of the conventional
one, reduces an energy consumption by 30-40%.
・Slim and sharp looking design requiring little space.

Strong Wrist
・1,000kg Payload at wrist
・IP67, dust and drip proof performance, at wrist
Ease of Use・Supports various intelligent functions such as vision sensor
・Supports easy-to-use Tablet TP

Dust and Drip Proof・A fully enclosed structure protects from dust and water.

> October, 2021 Exhibited at EMO Milano 2021 for the first time
> December, 2021 Start of production> October, 2021 Exhibited at EMO Milano 2021 for the first time
> January, 2022 Start of production

High Performance and Reliability
・Supports various intelligent functions such as
vision, force sensor, etc.
・High reliability technologies from years of experience⃝It may become difficult to hirecompetent people.

⃝The rising need for automation in manufacturing
sites also represents an opportunity to expand
the industrial robot market, and will lead to thedevelopment of safe and secure work environments.

⃝The number of workers in the manufacturing industry, as well as the number of skilled engineers is expected to decrease in the future. In addition, if engineers cannot operate the machines properly, not only will productivity decline,
but also the facility operating rates will decrease due to such failures, and the engineers themselves may be injured.
Automation and robotization of manufacturing sites will assure operator safety and the continuation of stable supply.
⃝The new CRX collaborative robot uses a completely different type of user interface compared to conventional models,and prioritizes ease of use. It is a robot that is very easy to manipulate, even for people who are not accustomed toteaching robots, since commands can be generated on a tablet through drag-and-drop, and icons are employed in order to facilitate comprehension. It is also designed to stop in a safe manner when touched by a human.
⃝In our servo amplifier assembly process, we replaced the automation system that used 15 conventional yellow robot
models with one worker and five collaborative robots. We were able to reduce the amount of capital investment to
1/2, and the installation space to 1/3, compared to the method employed before. We think this is an example that
customers might consider for their factories.
⃝The most important factor in sustaining competitiveness over the long term is how highly motivated employees are. In
order to achieve this, we will work to improve employee education, nurture talent, and create a rewarding workplace.

⃝There is a possibility that correct
management decisions will not be
made, or that decision-making will
be delayed.

●Proper management decisions will be madepossible by establishing a governance system
under which the roles and responsibilities ofthe executive function (the management) are
separated from those the supervisory function(the Board of Directors) .

⃝In June 2021, As we proceed in separating our supervisory and executive functions, in order to further strengthen the
supervisory functions of the Board of Directors and speed up management decisions, we transitioned to Company with
an Audit and Supervisory Committee, that allows us to establish an Audit and Supervisory Committee consisting of the
Directors who are Audit and Supervisory Committee Members and to expand the delegation of decisionmaking authority for business execution from the Board of Directors to Directors. Thus, we are further endeavoring to enhance corporate governance and increase corporate value.
⃝FANUC has established the Nomination and Remuneration Committee, a majority of which comprises Independent
Outside Directors, and is chaired by an Independent Outside Director. By increasing the objectivity and transparency of
the appointment and evaluation of Directors, this committee ensures the strict preciseness and transparency of supervisory functions to management.

Shrinking labor force
population

Building a governancesystem

⃝We will launch new products with an eye on environmental issues and new markets.
⃝In order to improve the reliability of environmental performance data, we have conducted third-party verification ofgreenhouse gas emissions and water usage.

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FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Management Policies・Management Strategy
Management Policies
FANUC has consistently pursued factory automation since 1955 when it started the development of NCs (Numerical Controls).
The targets at its beginnings were to become a company, though small in size, having the robustness of a giantwith roots firmly spread in the ground, and to concentrate on technology to go forward, by “walking a straightand narrow path.” This is being pursued to this day.
In order to turn this vision into reality, the FANUC Group has established “Genmitsu (Strict Preciseness)” and“Tomei (Transparency)” as its basic principles. In these principles lie the belief that a company will last foreverand be sound with strict preciseness, and that the corruption of an organization and downfall of a company will
start from a lack of transparency.
FANUC engages in the FA, ROBOT and ROBOMACHINE Businesses. The FA Business encompasses basic technologies consisting of NCs, Servos and Lasers, which are also applied to the ROBOT and ROBOMACHINE Businesses.
In addition, by actively incorporating IoT/AI technologies in all three areas, the company endeavors to make FANUC products more efficient for customers to use.
Being true to its origins as a supplier of capital goods, maintenance and service support is provided for FANUC
products for as long as they are used by customers.
Through such activities, the FANUC Group contributes to the development of manufacturing industries in Japanand overseas, by promoting automation and efficiency in customers’ factories. FANUC expects to steadily grow in
the field of factory automation, which is extremely promising in the mid-to-long term.

Management Strategy
one FANUC
Under the slogan of “one FANUC,” the three Businesses of FA, ROBOT and ROBOMACHINE collaborate to offer
total solutions, and the Group bonds together to take good care of our customers throughout the world. This is aunique advantage of the FANUC Group which we leverage to the fullest.
Especially, the combined usage of CNC machines and ROBOTs, and the automation of ROBOMACHINEs withROBOTs, are perceived as key concepts in developing products.

Reliable, Predictable, Easy to Repair
Considering our foundation as a producer of capital goods that are used in manufacturing sites, FANUC is meticulous in ensuring that that our products are “Reliable, Predictable, Easy to Repair” in their development, to minimize downtime and maximize the operating rate in our customers’ factories.

Service First“Service First” is a basic policy followed by the FANUC Group. Through “Service First,” high level maintenance service in line with FANUC’s global standards are provided anywhere in the world, as well as “Lifetime Maintenance”
of FANUC products for as long as they are used by our customers. Particularly, lifetime maintenance, which is difficult for our competitors to imitate, is a primary feature of the FANUC Group, which shall continue to be focused on.

Ease of Use
As demands for factory automation increase while acquiring skilled workers becomes more difficult, further emphasis is placed on ease of use in developing products, to deal with this situation.

Strengthening CompetitivenessIn order to develop highly competitive products and introduce them to the market, FANUC vigorously invests inresearch and development. By narrowing down to our area of expertise, which is factory automation, andaggressively investing in R&D in this area, products which are highly competitive are developed and released.
This leads to the fulfillment of intellectual property.

Enrichment of Human Capital
From the viewpoint that human resources is most vital for mid-to-long term growth, improvements in the work
environment and motivation of employees are considered important topics to be addressed. In addition, looking
towards the future, FANUC strongly invests in human capital to employ necessary people and educate
employees. Through such efforts, human capital is continuously enriched.
13

FANUC CORPORATION

Stance on Technological Development
StanceWeniger Teile
Reliability Up
Cost Cut
Ceramic mural in the lobby of the laboratories, “The 21st Century and the Universe” “There is a history of technology, but for engineers there is no past. There is only creation.”
These words of Dr. Inaba spell out FANUC’s stance on technological development.

“Visualization” of Quality and Reliability
The status of quality and reliability in all processes, from product design to manufacturing and after-sales services, is monitored inorder to promptly respond to defects. We collect data from our after-sales services, analyze it, identify issues, and give feedback
to our production divisions and research & development divisions. These activities improve our products’ quality and reliability.

Reliability Development Technology
We promote the development of a framework to design and manufacture highly reliable products, as well as sharing of knowledge, in order to enhance the reliability development ability of our researchers.
The Research & Development Promotion / Support Division works with members of the reliability development departments in each research & development division to regularly review methods to improve reliability-related issues and proceed with standardizing reliability
development methodologies. In addition, the Defect Management Procedures have been established to systematize rules regarding response procedures when defects arise.
All defects that arise are registered in a database called the Defect Record, which centrally manages the entire range of processes, fromthe investigation of the cause to the measures taken. This allows us to “visualize” the progress of the response, and prevent any oversights. The knowledge and lessons of the Defect Record are utilized companywide, and have proven to be effective in terms of quality
buildup and quality improvement measures, prevention of the occurrence and recurrence of defects, and the education of young engineers. Furthermore, the Reliability Evaluation Building has an area featuring lessons learned from past defects, where actually used products with quality and performance are displayed. This area is used to educate researchers by encouraging them to learn from past failures.

Reliability Evaluation Technology
As FANUC products are used in manufacturing sites, they are exposed to extremely harsh environments.In order to ensurethat our products can operate stably for long periods oftime under these conditions,while contributing to minimizing downtime in our customers' factories, we are promoting the standardization of evaluation tests by conducting
them in a variety of surroundings.
The Reliability Evaluation Building, which opened in 2016,has a total floor area of approximately 22,679 square meters (103 meters wide × 198 meters deep), and houses avariety of equipment for thorough reliability verification.
This facility is equipped with dedicated test rooms, such as
an anechoic chamber, an EMS (electromagnetic susceptibility) test room, a vibration test room, a mist test room, aReliability Evaluation Building
variable temperature room, a variable humidity room, a capability limit test room, a noise measurement room, a submergence test room, a clean room, and a precision
measurement room. In this facility, a variety of tests are
performed while taking into account variations in data under various conditions, including the accelerated life test toevaluate long-term reliability.
Anechoic chamber

Mist test room

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Growth Strategy

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Top message

continue such efforts, we secure soundness in management and prevent deterioration within the organi-Supporting Manufacturing
Sites through Innovation andContinuing to be a Sustainable
Company trusted by Society
Kenji Yamaguchi
President and CEO

zation. For this aim, FANUC has introduced“Genmitsu (Strict Preciseness)” and “Tomei (Transparency)” as our basic principles, which are necessary
for FANUC to survive into the future.
How has the business environment under which
FANUC operates changed in recent years?

Having concentrated our resources on the domains including factory automation and robotization,
we have been able to capture high market share forall of our product range. In particular, we have at-tained the top share in the global market for computerized Numerical Control (CNC) devices and Robots.
And with a sound financial base and continuous innovations, we have overcome the recent fluctuations

After demands stagnated due to the U.S. - China trade dispute and COVID-19 pandemic, the machine tools market seems to have recovered rapidly. Amidst such circumstances, FANUC tries to
respond to growing requirements of manufacturing sites by providing customers with new andunique values. On this occasion, we asked President Yamaguchi, “What has FANUC built up
through its history and what will it aim to achieve in the future?”

What does FANUC continue to adhere to in
its corporate activities and what corporate
policy does it value?
FANUC supports manufacturing sites throughout

the world with factory automation (FA) and robot
technology. As a result, it is our understanding that
we have contributed to the creation of an affluent society as a provider of automation and efficiency inmanufacturing sites. While adhering to the engineering spirit passed on since our founding, and pursuinglatest innovations, we have developed and evolved
the measures for providing our unique values.
In order to deliver innovation and satisfaction throughtotal solutions, we integrate the products and services of our three businesses units, consisting of FA,

15

FANUC CORPORATIONROBOT, and ROBOMACHINE. We always keep ourphilosophy of “one Fanuc” in mind when thinking ofwhat we can achieve and what type of contributions
we can make through the synergies of these units.
In our product development, we are mindful of ourphilosophy of “Reliable, Predictable, Easy to repair”

and aim to improve efficiency by providing easy-touse products with outstanding reliability and functionality.
There is also our “Service First” spirit. In addition to
our global high-quality service, we provide lifetime
maintenance of our products for as long as they areused by customers. Through corporate activities
based on such philosophy, FANUC not only supports
customers’ businesses but also collaborates withthem for the creation of an affluent society. To

in capex which are affected by the economy.
Looking back on past performances, although there

was a drastic decline in fiscal 2009 due to the global
financial crisis, sales recovered through fiscal 2010and have remained relatively constant even amidst
the changes in IT-related demands. In fiscal 2014, werecorded net sales of 729.8 billion yen and operating
profit of 297.8 billion yen, the strongest since thestart of the company. Meanwhile, we have worked toincrease sales and to improve our production system
particularly for CNCs and Robots, so that we will not
become excessively reliant on IT-related demands.
Since fiscal 2018, however, the market has undergone major changes, and orders fell sharply mainly
due to limiting capex as a result of the U.S. - China
trade dispute. Furthermore, the threat of COVID-19
since the start of 2020, has been seriously affecting
all economic activities. As a result, our performancefell on account of our customers’ “wait and see” approach regarding capex.
The market, however, rapidly recovered, and there
was a trend toward greater capital investments in awide range of industries, both in Japan and overseas.
Regarding FANUC, after hitting the bottom in Q1 of
fiscal 2020, orders started to recover in Q2 andreached a record high in Q4. There was strong increase in orders from the U.S., Europe, and Asia, particularly China. On the other hand, procurement ofcomponents has not been easy. At the moment, weare doing all that we can to secure procurement andmaintain production volume, while still placing highest priority on preventing COVID-19 infection.

In this period of change, how has FANUC
captured customer needs, and what type ofvalues has it provided?
In response to the COVID-19 pandemic, compa-

nies reviewed the structure of supply chains, which
resulted in changes of requirements for automation
and robotization. Before the pandemic, the trend wastoward maximum automation with substantial capital
investment, but recently, this has changed to dispersing production sites to maintain stability in productsupply, and redesigning production lines to avoid
people working close together in order to prevent infection, while limiting investments.
Reacting to such trends, FANUC has focused on introducing collaborative robots. Collaborative robots
operate jointly with people to establish low-cost automation systems and enable flexibility in production
sites so that major layout changes are not required.

Other advantages of collaborative robots are thatthey can immediately take over work that has beenhandled by human beings.
At the moment, demand for robotization has spreadfrom machining in the automotive and industrial machine industries to a broader range, including logistics, food, pharmaceuticals, and cosmetics, wherecollaborative robots play an important role. Furthermore, the importance of providing solutions as awhole system rather than improving the efficiency ofrobots and machine tools individually has increased.
In order to meet these demands, FANUC has developed the FANUC Intelligent Edge Link & Drive System(FIELD system), which is an IoT platform for manufacturing. This system processes data regarding thestate of machines and system equipment on theedge (equipment side), and makes these status visible to improve efficiency. It is also expected that
FIELD system will be introduced as a major contributor to promoting digital transformation in manufacturing sites.
We believe that one of our strengths is the value of“tangibles.” The superiority of our products in termsof reliability, functionality, and cost performance has
been well received by customers, making it possible

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Growth Strategy

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Top message

for us to attain a high market share. We are awarethat in the future, it will be necessary to add the val-

In the ROBOMACHINE Business, demands for ROBODRILL (compact machining center), ROBOSHOT (elec-

gibles,” while meeting the needs of customers as societies and markets diversify. The question is how to

the 2nd half. There was strong growth in demand for
ROBODRILLs, notably in China for the personal com-ue of “intangibles” with the application of IoT and AI
technologies, as well as increasing the value of “tan-provide such outstanding products and services tosupport our customers. We will pursue this as a provider of automation/robotization and try to capture
new growth opportunities.

Can you discuss the outlook and issues forthe future based on fiscal 2020 sales?

In fiscal 2020, orders have dropped mainly due tothe U.S. - China trade friction and the COVID-19 pandemic, as mentioned before. However since Q2, orders have rapidly increased and have easily

surpassed initial forecasts. This rapid change was unimaginable a year ago.
As a result, we saw an increase in sales and profits
with net sales reaching 551.3 billion yen (increase of
8.5%); operating profit of 112.5 billion yen (increaseof 27.4%); ordinary profit of 128.7 billion yen (increase of 25.2%); and net income of 94.0 billion yen(increase of 28.1%). (All comparisons are with theprevious year.)
When breaking down by business unit, the performance of the FA Business became favorable due tohigh demands in the machine tools industry, which isa major customer for CNC systems, especially withthe rapid recovery in China. In India, demands recovered driven by the agricultural machinery and motorcycle markets, while Japan, Europe, Korea, andTaiwan saw an increased demand of exports of machines to China.
For the ROBOT Business, there was good performance in the general industries in the Americas aswell as increase in sales in the automotive industry,
centered on demands for electric vehicles (EV). The
situation in China was good as well, as there werestable demands for machining for EVs, construction
machinery, heavy equipment, and other products,
particularly those related to IT. Sales of robots to theautomotive industry, however, fell in Europe, as thecapital investment up-and-down cycle was in the“down” period. Sales in Japan also stagnated.

17

FANUC CORPORATION

tric injection molding machine), and ROBOCUT (wireelectrical-discharge machine) all began to recover inputer, tablet, and smartphone markets. Demandsrose for ROBOSHOT in the IT-related and healthcare
markets, primarily in China, Europe, and U.S.
As for the Service Business, demands declined in Q1

for several reasons, such as suspended or reduced
operation at customers’ factories as a result of lockdowns. Since Q2, demands have recovered.
For fiscal 2021, although strong demands are expected in various fields, the shortage of components,
mainly semiconductors, will cast a shadow. Thus, theforecast for net sales is 708.9 billion yen (increase by
28.6%); operating profit is 177.5 billion yen (increaseby 57.8%); ordinary profit is 203.4 billion yen (increase by 58.0%); and net income is 150.8 billion yen(increase by 60.4%). (All comparisons are with theprevious year.) Although the supply of numerous
components, including electric and electronic parts,
machine parts, and raw materials, is limited, we are
directing our efforts to the fullest in order to resolve

this problem, by negotiating with suppliers, considering the use of alternative components, and changing

designs. To maintain the trust of our customers, wewill do our utmost to fulfill our responsibilities.
What is your message to stakeholders regarding your efforts to achieve sustainablegrowth?
To retain a sound corporate structure and sustainable growth, FANUC must not be absorbed in immediate profits, but conduct management inconsideration of the long-term, focusing on both social and economic values. This approach will require
us to solve social problems with our business andmove forward with ESG/SDGs conscious management that will contribute to creating a sustainable
society.
FANUC is proud to be contributing to the growth ofindustries and helping create an affluent society bysupplying products for automation and robotization.
Providing such values not only increases productivity
but also results in more efficient use of energy andresources, safer work conditions, and more diversified workstyles. We also have been working to fulfill
our social and environmental responsibilities of our
supply chain through our corporate activities.
The major force of such endeavors is none otherthan each individual member of the company. To develop such human resources who work with a highawareness of social contribution, and to promote
their growth and activities, we aggressively invest in
education and workplaces that offer more job satisfaction.
Another crucial element is the enhancement of ourcorporate governance, which guarantees the soundness and transparency of management. In June 2021,
FANUC made a transformation from a company with
an Audit and Supervisory Board to a company with
an Audit and Supervisory Committee. As a result, themajority of board members became outside directors. This will strengthen the board’s monitoring function and thus will improve the effectiveness of theboard to create greater corporate values.
“FANUC strives to provide indispensable values
throughout the world, through incessant technological innovations in the field of factory automation, andto be a company that is trusted by all stakeholders.”
This describes my vision of how FANUC should be.
FANUC will celebrate its 50th anniversary in 2022.
We will aim to surpass our past achievements accumulated over the years, and shall boldly continue totake on challenges and pursue even greater heights.
I look forward to the continued support of all stakeholders.

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Preventive Measures Against COVID-19

Growth Strategy

Platform Supporting Value Creation

Data Section

Business Overview and Financial Summary (Year ended March 31)

FANUC strives to work together with our various stakeholders, including employees, customers,
business partners, and shareholders. Together with our stakeholders, we are developing our businesswhile responding to changes in COVID-19.

FA ─ FA Business ─Business
Overview

Promotion Framework
We have established a COVID-19 Pandemic Control Headquarters in February 2020, headed by the President
and CEO, to decide on transmission prevention measures in response to requests from the national and local
governments.
Various information, such as company decisions, awareness raising, and calls for caution are communicated to
employees through a special page created on the internal portal website.

Initiatives
Responses for Customers
Although sales activities, service activities, various
training courses, and the like were restricted due tothe pandemic, we enhanced remote support responses (such as molding training) to ensure that we
could continue to provide support to our customers’
factories amid the pandemic. In response to the newnormal era created by COVID-19, we are promoting
new styles of service, such as remote diagnosis andonline support, as a project for service DX. Our firststep was to launch FabriQR Contact, a contact service using QR codes, in Japan in October 2020.

Response at FANUC ACADEMY

Customer
Call center

1. Scan QR code

2. Send your inquiry

3. Our appropriate skilled service engineer will contact you

FA staff

FabriQR

Responses for Supply Chain
Due to the impact of COVID-19, from around February 2020, various complications emerged, such as the closureof our suppliers’ production factories and delays in deliveries caused by disruptions to distribution. These complications made it difficult to obtain parts that we had been procuring from certain parts of China. The impact was
not limited to China, later extending to the Philippines, Malaysia, and the entire world, making it difficult to obtainmany parts. FANUC immediately set up the Disaster Response Team, comprising members selected in advancefrom the Research & Development Division, Production Department, and Purchasing Department, and responded
to this problem companywide. Various measures were taken, including identifying those parts that were most difficult to obtain, confirming procurement from second suppliers, adopting and confirming alternative parts, andavoiding delivery delays by switching the manufacturing processes at company factories.

Contributions and Donations to the Community around FANUC Headquarters
In 2020, FANUC supported the “Let’s Cheer Up Healthcare Workers! Donation Project for COVID-19
Countermeasures” organized by Yamanashi Prefecture, and donated ¥50 million as part of support for COVID-19
countermeasures.
We also donated face masks to the government of Yamanashi Prefecture, where FANUC Headquarters is located,
and to Fujiyoshida Municipal Medical Center.
FANUC CORPORATION

Strengths

FANUC’s basic technology

Top-level global market share of CNCs (FANUC estimate)

The FA Business is the origin of FANUC and its basic technology. FANUC is the first private-sector company in Japan to have developed
Numerical Control (NC) and servo technologies that control machine
tools using numerical information. Until then, highly skilled engineers,
who have acquired know-how through many years of training, wereindispensable for high-precision processing by machine tools.
FANUC made it possible to complement skilled engineers’ skills withNCs and servos. Computercontrolled NCs (CNCs) and servos further
made it possible to process complex shapes and produce varied
items efficiently. Currently, FANUC offers CNCs and servos coveringa broad range from simple machine tools to composite machining
equipment with complex configurations to industrial machinery.
Further, demand for introduction of robots in machine tools is increasing at machining sites, with an aim to automate processes orlabor saving. Believing improved compatibility between machine
tools and robots is important, FANUC is developing the functions toenhance it.

Sales of FA Business (Millions of yen)
222,254

211,088

175,016
143,247 149,240

ROBOT and ROBOMACHINE staff

FANUC ACADEMY, which supports customers’ technology acquisition, established an eACADEMY. The Academy developed two types of online training to accommodate the new normal - live seminars and ondemandseminars - and began offering them in June 2020. The eACADEMY, which enables customers to choose thetraining method that best suits their needs, eliminate the 3Cs, and study advanced content efficiently online,
is truly an organization for the times. As well as current trainees, new groups of trainees have participated inits courses. On the other hand, after the lifting of the national state of emergency, which had been declaredin April 2020 in the face of the spread of COVID-19, face to face workshops were resumed with thorough infection prevention measures put in placein compliance with the government poliFace-to-face workshop
Live seminarOn-demand seminarcies. Thorough precautions were taken,
including avoiding crowding of trainees in
the classroom and providing their dedicated training machines, to give the trainees peace of mind while they wereacquiring the technology.

19

Products CNCs, Servos, Lasers

Financial
Summary
In the FA Business, demand from the machine tool industry, theprimary market for CNC systems, recovered earlier and remained strong in China. Demand in India is also undergoing a
recovery, especially for agricultural machinery and motorcycles.
Although demand in Japan, Europe, South Korea, and Taiwan
had remained sluggish, these countries are seeing gradual increases in demand with machine exports to the Chinese market and other markets. As a result, net sales of CNC systems of
the FANUC Group increased compared with the previous fiscal
year.
In terms of development, we added a high-speed model,
equipped with a state-of-the-art multi-core CPU, to our highend CNC, “FANUC Series 30i /31i /32i -B Plus,” whose high machining performance has been further refined. We also added a
new package containing axis extension for incorporating peripheral axes and a 15-inch display to standard CNC “FANUC
Series 0i -F Plus.” For servo, we proceeded with the improvement of “Servo Learning Oscillation” that achieves secure chip
shredding.In addition, we enhanced our lineup and developed
new functions with the aim of expanding sales into various
markets.
With regard to our lasers, the Chinese market and the European market are on a recovery trend, but competition from overseas manufacturers remains fierce.
The FA Business posted consolidated sales totaling ¥149,240
million, up 4.2% compared with the previous fiscal year, and FA
Business sales accounted for 27.1% of consolidated net sales.

2017

2018

2019

2020

2021

(Year ended March 31)

To p i c s
QSSR AUTO PATH
PC (Digital space)

CNC simulator

Robot simulator

Apply programs toreal machine

Real machine

Generated robot path

Automatically generate robot programs
and greatly reduce man-hours for
program creation Improve convenienceby applying concept of digital twin
Specify only the start and end points of robot motion on the digital space then automatically generate robot path program that
does not interfere with workpieces and jigs.

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20

Growth Strategy

FANUC’s Corporate ValueROBOT ─ ROBOT Business ─

ROBOMACHINE ─ ROBOMACHINE Business ─Business
Overview

Business
Overview

Products Robots

Strengths

Products applied with CNCs and servos, FANUC’s basic products

Top-level global market shares (FANUC estimate)

Financial
Summary
In the ROBOT Business, sales to the general industries
were strong, and sales to the automobile industry also increased due to EV-related demand in the Americas. In China, in addition to IT-related sales, sales for EVs,
construction machinery, heavy machinery, and other machining applications were also strong. In Europe, sales to
the general industrial sector were strong, but sales to theautomobile industry declined year on year due to a troughin capital investment, and sales were sluggish in Japan.
In terms of development, we developed and launched the“FANUC Robot CRX Series,” which has a function that uses
inbuilt sensors to make the arm stop safely if it comes into
contact with operators, and features direct teaching for direct operation of the arm and intuitive drag-and-drop programming using a tablet. These features will make it easierfor customers who have never used robots before to introduce them. We have also added new models with larger
payloads of 12kg and 20kg to our SCARA robot line-up,“FANUC Robot SR Series.” We also developed the “3D Vision Sensor 3DV/1600,” which can measure wider ranges
at higher speeds than previous sensors. These and othernew products and functions are expected to further expand the range of applications of FANUC robots.
The ROBOT Business posted consolidated sales totaling¥210,024 million, up 3.7% compared with the previous fiscal year. ROBOT Business sales accounted for 38.1% ofconsolidated net sales.

Sales of ROBOT Business (Millions of yen)
227,827

217,526

190,043

ROBODRILLs (compact machining centers)
ROBOSHOTs (electric injection molding machines)

ROBOCUTs (wire electrical-discharge machine)

2017

202,491

Strengths

2018

2019

2020

Platform Supporting Value Creation

Data Section

Products applied with CNCs and servos, FANUC's basic productsHigh precision performance, high operating rates, easy to use

Top-level global market share of ROBODRILLs (compact machining centers) (FANUC estimate)

Top-level global market share of ROBOSHOTs (electric injection molding machines) (FANUC estimate)

Products of the ROBOMACHINE Business are comprised of machine tools or industrial
machinery installed with FANUC’s CNCs and Servos. They are used for production infactories of machine users. They are all highly compatible with FANUC Robots. Factory
automation is enhanced through the combination of ROBOMACHINEs and Robots.
Machine users can improve quality of their products and shorten the time it takes formachining by using FANUC’s highly reliable, high-performance ROBOMACHINE products.
The products will contribute to improved productivity of machine users’ factories.
Furthermore, a function to monitor the operational status of the entire factory in realtime will enable designing of more precise production plans and improvement in operating rates (ROBODRILL-LINKi , ROBOSHOT-LINKi , and ROBOCUT-LINKi ).
ROBODRILLs and ROBOSHOTs became eligible for a subsidy for business expenses supporting businesses rationalizing energy use in production equipment, allocated in the fiscal 2019 supplementary budgets in recognition of their energy saving potential.
Furthermore, ROBOSHOTs became eligible for a subsidy for business expenses supporting promotion of advanced energy-saving investments, allocated in the fiscal 2021 supplementary budgets in recognition of their energy-saving potential. ROBOMACHINE
products are used in the production of medical instruments, including syringes and artificial bones, contributing to efforts to achieve a goal among SDGs of securing healthy life.

Sales of ROBOMACHINE Business (Millions of yen)

210,024
190,182

Financial
Summary

2021(Year ended March 31)

To p i c s
The CRX series won triple award“The METI Minister’s Award of the 9th Robot
Award”, “The Main Prize of the 2020 (63rd)
Nikkan Kogyo Shimbun Best Ten New Products Awards” and “The Nikkei Business Daily
Awards of the 2020 Nikkei Superior Products and Services Awards.”

FANUC Robot CRX-10i A

FANUC CORPORATION

Products

ROBONANOs (ultra precision machines)

FANUC exclusively targets industrial robots, instead ofservice, medical, or entertainment robots. We concentrateon helping customers automate or robotize their factories
and contributing to improved productivity. Our industrial
robots, which include types for welding, material handling(transportation of articles), assembly, and painting, according to application, are used in wide-ranging industries,
including automotive, electronic parts, logistics, food,
pharmaceuticals, and cosmetics. FANUC’s industrial robots are general-purpose robots and used in many industry sectors.

21

Growth Strategy

In the ROBOMACHINE Business, sales of the ROBODRILLs (compact machining centers) increased due to a sharp increase in demand from the latterpart of the period, mainly in China, for use in the computer, tablet, andsmartphone markets. Sales of ROBOSHOTs (electric injection molding machines) also recovered from the latter part of the period due to an increasein demand from IT-related and medical markets, mainly in China, Europe,and the United States. With regard to the ROBOCUTs (wire electrical-discharge machine), sales recovered from the latter part of the fiscal year, but
declined year on year.
In terms of development, in ROBODRILL, we developed a new “FANUC ROBODRILL α-Di B Plus series” that offers reduced machining cycle time, improved ease of use, and higher reliability. For ROBOSHOT, we developed the“FANUC ROBOSHOT α-Si B series,” which, in addition to improved molding
performance, features a 21.5-inch landscape wide-screen display for improved operability. For ROBOCUT, we revamped the structural design forstronger rigidity and developed the “FANUC ROBOCUT α-Ci C series,”
achieving improvements in machined surface roughness and reduced machining time. With regard to ROBONANO (ultra precision machine), we haveworked to improve ease of use with developments such as “Smart M-Form,”
which enables the functional upgrades for direct operation of peripheral
equipment from the operating screen, as well as on-machine measurement
and compensated machining of workpiece forms without removing the workpiece. The ROBOMACHINE Business posted consolidated sales totaling¥114,518 million, up 52.9% compared with the previous fiscal year.
ROBOMACHINE Business sales accounted for 20.8% of consolidated net sales.

115,056
93,9392017

114,518
74,912

2018

2019

2020

2021

(Year ended March 31)

To p i c s
ROBOSHOT α-Si B Series won the“51st Industrial Machinery DesignAward IDEA: The Japan Society ofIndustrial Machinery Manufacturers(JSIM) Award.”

ANNUAL REPORT 2021

22

Growth Strategy

FANUC’s Corporate ValueSERVICE ─ SERVICE Business ─

Growth Strategy

Platform Supporting Value Creation

Data Section

Special Feature Introduction of FANUC Factories ─ Electronics Factory of the Mibu FactoryLow-cost and compact system that uses collaborative

Business
Overview

robots to assemble 6-axis servo amplifiers for robots

Conforming to the philosophy of “Service First”, FANUC provides lifetime maintenance to its products for as long as they are used by customers, through more than 270 service locations supporting more than 100 countries throughout the world. More than 2,300 service engineers
and support staff (all are FANUC Group employees) around the world handle phone calls, provide services at customer sites, and manage
maintenance parts. Units replaced at the request of our customers are repaired at Repair Factories in 14 locations around the world to be reused. Using these units in subsequent maintenance services leads to waste reduction and the effective utilization of resources.
The realization of flexible services requires all types of maintenance parts that amount to an enormous quantity.
FANUC has a global parts warehouse in Japan to store maintenance parts for which there is extremely low demand. We also strive to visualize inventory around the world.
By globally managing our inventory of maintenance parts, regardless of how old or rarely used they may be, they are stored at some locations
around the world. Inventory data is updated to provide parts as quickly as possible. In addition, we prepare an overall demand forecast for
maintenance parts, in order to utilize the data to streamline the supply of parts. Furthermore, we established additional core locations in Japan as part of our business continuity plan (BCP), to secure the continuity of our services.
We have also ensured that we can continue providing lifetime maintenance by establishing call centers and parts warehouses in the two locations of Hino, Tokyo and Komaki, Aichi, as well as by mirroring the servers that contain accumulated information, including past service data.

Financial
Summary
The Service Business received fewer requests for the Company’s services on account of suspended operations at
customers’ factories and falling factory operating rates, among others, due to the impact of lockdowns in countries
throughout the world in the first quarter. However, requests for the Company’s services recovered thereafter.
The Service Business posted consolidated sales totaling ¥77,505 million, down 11.5% compared with the previous
fiscal year. Service Business sales accounted for 14.0% of consolidated net sales.

In the servo amplifier manufacturing process in the Electronics Factory of the Mibu Factory, 6-axis servo amplifiers for robots are assembled with a collaborative
assembly system, which implements a new concept of
combining human workers and collaborative robots.
The conventional assembly system, composed of many
robots and peripherals, made continuous fully automatic
unmanned operation possible. At the same time, building such systems consumed much time due to its complexity, and significant investments and large space was
required for their installation.
The system using collaborative robots has a simple composition without the need for peripherals for automation. As such, the start-up time is shortened andinvestments are merely half of conventional fully automatic assembly systems, while retaining the same production capacity level.
In addition, the small collaborative robots, CR-153A, areinstalled close together for the purpose of conserving
space on the factory floor, and human workers are positioned between the robots in order to minimize thenumber of fixtures and peripherals used for feeding
parts. With such a set up and eliminating safety fences,
the footprint is only a third of that of fully automatic assembly systems.

One feature in terms of operation, is that a worker performs tasks that are difficult for robots, such as mounting
irregularly shaped parts on printed circuit boards, whilerobots perform simple repetitive tasks, such as tightening screws and inspecting the mounted parts. This eliminates the causes of short stops and production becomesstable.
For the supply of parts, an automated warehouse isused to deliver heavy parts, and automated guided vehicles transport all other parts as scheduled. In this manner, operation is made efficient from assembly to parts
delivery.
In addition, the large collaborative robots, CR-353A,
work on each side of the system to feed heavy partsand unload finished products, relieving human workers
from exhausting physical tasks.
The collaborative assembly system for 6-axis servo amplifiers for robots was developed based on the conceptthat the system should be inexpensive, compact andspace-saving. Robots and human workers perform tasks
they are good at, and check each other’s tasks then andthere. This reduces physical and mental burdens of thehuman workers and ensures that the tasks are performed with stable quality and cycle time.

Full view of the system (one worker and five robots)

Positioning parts (by the worker) and tightening screws (by the robot)

Delivering parts with an automated guided vehicle

Unloading heavy finished products

Global Service Network

FANUC America

FANUC Europe

BEIJING-FANUCSHANGHAI-FANUC Robotics
SHANGHAI-FANUC ROBOMACHINETAIWAN FANUC

Head Oﬃce
Branch Oﬃce
Satellite

KOREA FANUC

23

FANUC CORPORATIONFANUC INDIA

FANUC THAIFANUC INDONESIAFANUC SOUTH AFRICA

ANNUAL REPORT 2021

24

Platform Supporting Value Creation

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Directors (As of June 24, 2021)

Yoshiharu Inaba

Representative Director, Chairman

Kenji Yamaguchi

Representative Director, President

Michael J. Cicco

Director of the Company

Katsuo Kohari

Director who is an Full-time Audit and Supervisory Committee Member

Katsuya Mitsumura

Director who is an Audit and Supervisory Committee Member

Yasuo Imai

Director who is an Audit and Supervisory Committee Member
Outside Director

Personal history

Personal history

Personal history

Personal history

Personal history

April
1973 Joined Isuzu Motors Limited
September 1983 Joined the Company
1989 Appointed Director of the Company
June
1992 Appointed Senior Vice President (Director) of the Company
June
1995 Appointed Executive Vice President (Director) of the
June
Company
2001 Appointed Senior Executive Vice President (Representative
May
Director) of the Company
2003 Appointed President and CEO (Representative Director) of
June
the Company
2016 Appointed Chairman and CEO (Representative Director) of
June
the Company
2019 Appointed Chairman (Representative Director) of the
April
Company (to the present)

April
1993 Joined the Company
October 2000 Manager, Section 1, Dept.1, Robot Laboratory of the Company
June
2003 General Manager, Manufacturing Technology of the Company
April2007 General Manager, Headquarters Factories of the Company
2008 General Manager, Factories Division of the Company
June
Appointed Executive Vice President (Director) of the Company
February 2012 Appointed Senior Executive Vice President (Director) of the Company
October 2013 Appointed Senior Executive Vice President (Representative
Director) of the Company
2016 Appointed President and COO (Representative Director) of
June
the Company
General Manager, FA Business Division of the Company
2019 Appointed President and CEO (Representative Director) of
April
the Company
2020 Appointed President, CEO and CIO (Representative
April
Director) of the Company
2021 Appointed President and CEO (Representative Director) of
June
the Company (to the present)

August 1999 Joined FANUC America Corporation (“FAC”)
November 2015 Appointed Vice President of FAC
2016 Appointed President and COO of FAC
April
2016 Appointed Managing Officer of the Company
June2016 Appointed President and CEO of FAC (to the present)
July
June
2017 Appointed Senior Managing Officer of the Company
2020 Appointed Director of the Company (to the present)
June

April
May
April

April

1968 Joined Fujitsu Limited
1976 Transferred to the Company
2003 Assistant to General Manager for Sales and Service of theCompanyJune2003 Appointed Director of the Company
2012 Appointed Senior Vice President (Director) of the Company
June
October 2013 Appointed Executive Vice President (Director) of theCompany
2014 Vice General Manager (Sales), FA Business Division of theMay
Company
October 2014 General Manager, Service Division of the Company
2016 Appointed Executive Managing Officer (Director) of the
June
Company
2019 Appointed Standing Audit & Supervisory Board MemberJune2021 Appointed Director (Audit & Supervisory Committee
June
Member) of the Company (to the present)

Personal history

1974 Joined Showa Audit Corporation (current Ernst & Young
ShinNihon LLC)
March 1977 Registered as Certified Public Accountant (to the present)
January 1982 Founder and head of Katsuya Mitsumura C.P.A. and Tax
Accountant Office (to the present)June2019 Appointed Audit & Supervisory Board Member
2021 Appointed Director (Audit & Supervisory Committee
June
Member) of the Company (to the present)

July
July
July
July
July
April
June
April
June
June
April
June
June

Kazuo Tsukuda
Director

Outside Director

Masaharu Sumikawa
Director

Independent Director RenominatedOutside Director

Naoko Yamazaki
Director

Independent Director RenominatedOutside Director

Independent Director RenominatedHidetoshi Yokoi

Director who is an Audit and Supervisory Committee Member
Outside Director

Outside Director

Personal history

Personal history

Personal history

Personal history

April
June
April

April

April
1983 Lecturer, Institute of Industrial Science of University of Tokyo
January 1985 Assistant Professor, Institute of Industrial Science ofUniversity of Tokyo
1997 Professor, Institute of Industrial Science of University of Tokyo
July
July
1998 Professor, Center for Collaborative Research of University of Tokyo
April
2005 Director, Center for Collaborative Research of University of Tokyo
April
2008 Professor, Institute of Industrial Science of University of Tokyo
May
2015 Field II Program Officer, Adaptable and Seamless
Technology Transfer Program through Target-driven R&D ofJapan Science and Technology Agency (to the present)
March 2019 Retired as Professor, Institute of Industrial Science ofUniversity of Tokyo
June
2019 Professor Emeritus of the University of Tokyo (to thepresent) Appointed Audit & Supervisory Board Member of
the Company
2021 Appointed Director (Audit & Supervisory Committee
June
Member) of the Company (to the present)

April

April
June
April
April
June
June
June
June

1996 Joined the National Space Development Agency of Japan(currently Japan Aerospace Exploration Agency (JAXA))
September 2001 Authorized as an astronaut to board the International
Space Station2010 Served as a mission specialist on the Space Shuttle
April
Discovery, and engaged the mission of assembling theInternational Space Station (STS-131(19A))
September 2011 Appointed Honorary Chairman of the Japan Abacus
Education Association (to the present)2012 Appointed Visiting Professor, Ritsumeikan University (to theAprilpresent)
July
2012 Appointed Member of the Committee on National Space
Policy under the Cabinet Office (to the present)May
2013 Appointed Visiting Professor, Joshibi University of Art and
Design (to the present)2015 Appointed Director of the Japanese Rocket Society and
July
Chairman of the “Sorajo” Board (to the present)
December 2015 Appointed Member of the Executive Committee and theAdvisory Board for the International Robot Competition (tothe present)
March 2016 Appointed Outside Director of Nabtesco Corporation
April
2016 Appointed Specially Appointed Associated Professor,
Graduate School of Advanced Integrated Studies in Human
Survivability of Kyoto University
September 2017 Appointed Outside Director of OPTORUN Co., Ltd. (to thepresent)
2018 Appointed Outside Director of TOPCON CORPORATION (toJune
the present)
July
2018 Appointed Representative Director of Space Port Japan
Association (to the present)June2020 Appointed Director of the Company (to the present)

1980 Registered as lawyer (to the present) Joined Nishi and Iseki Law
Office (currently Nishi & Partners Attorneys and Counselors at Law)
April
1995 Appointed Auditor of Kanagawa Learning Disability
Research Association
2001 Appointed Civil Conciliation Commissioner, Tokyo District
April
Court (to the present)
April
2004 Appointed Instructor, Showa Women’s University
October 2007 Appointed a member of the National Bar Examination
Commission, Code of Civil Procedure
2012 Appointed External Audit & Supervisory Board Member of
June
MORINAGA MILK INDUSTRY CO., LTD.
April
2017 Senior Partner, Nishi & Partners Attorneys and Counselorsat Law (to the present)
2019 Appointed Outside Director (Member of the Audit & Supervisory
June
Committee) of Nisshin Seifun Group Inc. (to the present)June2020 Appointed Audit & Supervisory Board Member of the Company
June2021 Appointed Director (Audit & Supervisory Committee
Member) of the Company (to the present)

Expertise of expertise and experience of Directors(unit: Persons)

6

Corporate Management

Independence and diversity of Directors (unit: Persons)●Independent Outside Directors

7

Research & Development

9Internationality

Finance/Accounting
FANUC CORPORATION

Independent Director RenominatedDiversity of Board Members●Foreign national/female Directors

8

Legal/Risk Management25

Director who is an Audit and Supervisory Committee Member

Independent Director Renominated

April
June

1972 Joined Hitachi, Ltd.
1995 Deputy General Manager, Hitachi Works of Hitachi, Ltd.
1999 General Manager, Thermal & Hydroelectric Systems Division,
Power and Industrial Systems Group of Hitachi, Ltd.
October 2004 Appointed Executive Vice President and Executive Officer
of Hitachi, Ltd.
2006 Appointed President and Chief Executive Officer of Hitachi
April
Plant Technologies, Ltd.
April
2010 Appointed Chairman of the Board of Hitachi Plant
Technologies,Ltd.
June
2010 Appointed Director of Hitachi, Ltd.
2012 Appointed Adviser of Hitachi Plant Technologies, Ltd.
June
2012 Non-regular employee for specialized duties of Hitachi, Ltd.
June
2014 Appointed Audit & Supervisory Board Member of the
June
CompanyJune2015 Appointed Chairman of Tsukuba Global Innovation
Promotion Agency (to the present)
2020 Appointed President and Representative Director of Mito
June
Country Club Co., Ltd. (to the present)
2021 Appointed Director of the Company (to the present)June1971 Joined the Ministry of International Trade and Industry(currently the Ministry of Economy, Trade and Industry)
2002 Appointed Director - General, Manufacturing Industries
Bureau of the ministry2003 Appointed Commissioner of Japan Patent Office
2004 Appointed Adviser of Japan Industrial Policy ResearchInstitute2006 Appointed Senior Managing Executive Officer, Executive
Vice President of Pipe & Tube Company, of Sumitomo Metal
Industries, Ltd (currently NIPPON STEEL CORPORATION)
2007 Appointed Senior Managing Executive Officer, President of
Pipe & Tube Company of the company
2007 Appointed Director & Senior Managing Executive Officer(Member of the Board) , President of Pipe & Tube Companyof the company
2008 Appointed Director & Executive Vice President (Memberof the Board) , President, Pipe & Tube Company of thecompany
2011 Appointed President, Chief Operating Officer (Member ofthe Board) of AIR WATER INC.
2015 Appointed Director of the Company (to the present)2017 Appointed Director, Vice Chairman of the Board of AIR
WATER INC. (to the present)2018 Appointed Chairman of Japan Industrial and Medical Gases
Association (to the present)
2021 Appointed Director (Audit & Supervisory Committee
Member) of the Company (to the present)

Mieko Tomita

Personal history
1968 Joined Mitsubishi Heavy Industries, Ltd.
1999 Appointed Director (Member of the Board) of Mitsubishi
Heavy Industries, Ltd.
2002 Appointed Managing Director (Member of the Board) of
Mitsubishi Heavy Industries, Ltd.
2003 Appointed President (Member of the Board) of Mitsubishi
Heavy Industries, Ltd.
2008 Appointed Chairman (Member of the Board) of Mitsubishi
Heavy Industries, Ltd.
2013 Appointed Senior Executive Advisor (Member of the Board)of Mitsubishi Heavy Industries, Ltd.
2013 Appointed Senior Corporate Advisor of Mitsubishi Heavy
Industries, Ltd.
2015 Appointed Director of the Company (to the present)
2019 Appointed Executive Corporate Advisor of Mitsubishi Heavy
Industries, Ltd.
2021 Appointed Honorary Advisor of Mitsubishi Heavy industries,
Ltd. (to the present)

Independent Director Renominated1

Foreign national

6/11
3/11

Female Director

ANNUAL REPORT 2021

26

Platform Supporting Value Creation

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Corporate Governance
Basic Approach
FANUC has always worked on enhancing corporate governancebased on our Basic Principles of “Strict Preciseness and Transparency.” As we proceed in separating our supervisory and executive functions, in order to further strengthen the supervisory
functions of the Board of Directors and speed up management
decisions, we transitioned to Company with an Audit and Supervisory Committee, that allows us to establish an Audit and Supervisory Committee consisting of the Directors who are Audit andSupervisory Committee Members and to expand the delegationof decision-making authority for business execution from theBoard of Directors to Directors. Thus, we are further endeavoring
to enhance corporate governance and increase corporate value.
In addition, FANUC has established the Nomination and Remuneration Committee, a majority of which comprises Independent
Outside Directors, and is chaired by an Independent Outside Director. By increasing the objectivity and transparency of the appointment and evaluation of Directors, this committee ensures
the strict preciseness and transparency of supervisory functions
to management.

Promotion Framework and Initiatives⃝ As a company with an Audit and Supervisory Committee, we have separated the Board of Directors (supervisory function) from the management side (executivefunction) to maintain the independence of each.
⃝ Six of the eleven members of the Board of Directors are
Independent Outside Directors, which account for majority of the Board of Directors.
⃝ We are promoting diversity initiatives in the Board of Directors, and our Board of Directors includes two female
directors and one non- Japanese director.
⃝ Three of the five Audit and Supervisory Committee
Members are Outside Audit and Supervisory Committee
Members, one of whom is a woman.
⃝ We continue to periodically review the contents of theBoard of Directors and the Audit & Supervisory Committee from the perspectives of whether the independenceof the Board of Directors and management is maintained, whether the effects of diversity are evident, andwhether discussions in the Board of Directors and the
Audit & Supervisory Committee are active, and make
improvements as necessary.

Criteria for Independence of Outside Directors
and Outside Audit & Supervisory Board Members
With regard to Independent Outside Directors and Outside Audit & Supervisory Board Members, the Company nominates candidates who do nothave any certain interest in the Company, and who can be expected tomake frank comments without hesitation at Board of Directors meetings,
etc. Furthermore, in order to ensure such real independence, as minimum
requirements, candidates must meet each of the following conditions.
1. Sales to the individual’s former workplace (organization) fromthe Company will be under 2% of the consolidated sales of theCompany, and sales to the Company from the individual’s former
workplace will be under 2% of the consolidated sales of theindividual’s former workplace.
2. The Company must not have any loans from the company fromwhich the candidate comes (if the candidate comes from a bank.)
3. The Company must not have any important transactions suchas advisory contracts with the candidate or the firm he worksfor (if the candidate is a lawyer or other professional.)
4. The candidate must not come from the audit firm that is theCompany’s Accounting Auditor.
5. There must be no other particular reasons that could give rise
to a conflict of interest with the Company.
6. The candidate must not be the spouse or a relative within the second
degree of anyone who does not meet the above conditions 1 through 5.

Nomination and Remuneration Committee
With respect to appointment and dismissal and remuneration, etc.
of Directors, we have established the Nomination and Remuneration Committee, the majority of which is composed of Independent Outside Directors, to secure the objectivity and transparency,
etc. of procedures through the deliberation by this Committee.
〈Member〉
Outside Director Kazuo Tsukuda (Chairman)
Outside Director Masaharu Sumikawa
Outside Director Naoko Yamazaki
Outside Director who is an Audit and Supervisory Committee Member Mieko Tomita
Representative Director, Chairman Yoshiharu Inaba
Representative Director, President, CEO Kenji Yamaguchi

Evaluation of the Effectiveness of the Board of Directors
For the effectiveness, etc., of the Board of Directors, in addition to performing a survey of directors, we also provide opportunities to share opinions ina timely manner. In addition that, we have established a system where directors can give their opinions, evaluations, etc., from time to time. The results will be disclosed in the corporate governance report each year.

Corporate Governance System

President

Nomination and Remuneration Committee(The majority are Outside Directors)（Chairperson : Outside Director）

Auditing Functions
Audit and Supervisory Committee(The majority are Outside Directors)

Accounting Auditor

Management Meeting

Audit

Coordinate

FANUC CORPORATION

Executive Functions

Supervise

Board of Directors（The majority are Outside Directors）

Each Business Division, etc
Internal Audit Department

Elect

Elect

27

Supervisory Functions

Audit

General Meeting of Shareholders

Elect

Audit

Each Subsidiary
Audit

Directors’ Remuneration
1. Matters concerning the Policy for Determining the
Details of Remunerations for Individual Directors
The Company has established a policy for determining the details of
remunerations for individual Directors (excluding the Directors who are
Audit and Supervisory Committee Members; the same applies hereinafterin this paragraph) (hereinafter, “Policy”) in place as outlined below:⃝ Fixed remunerations shall be determined according to theposition of each Director.
⃝ Performance-based remunerations shall be linked to the current
net income attributable to the shareholders of the parent
company as in the case of shareholder return in principle.
⃝ Stock-based remuneration shall be provided as remuneration of restricted
stock, taking various factors, such as the degree of contribution of the
Director, into consideration in a comprehensive manner.
⃝ Remuneration for Directors comprises fixed remuneration,
performance-based remuneration and stock-based remuneration
whose ratios shall be set considering his/her position,
responsibility, performance, etc., in a comprehensive manner.
⃝ Remuneration of Outside Directors shall comprise fixed remuneration only.
The Policy shall be determined by a resolution of the Board of Directors.
As for remunerations for the Directors who are Audit and Supervisory
Committee Members, the amount of remuneration for the individual
Directors who are Audit and Supervisory Committee Members shall be
determined by consultation among the Directors who are Audit andSupervisory Committee Members.
2. Matters concerning Resolution of Shareholders’Meeting on Remunerations for the Directors
With respect to the aggregate amount of remunerations for the
Directors (excluding the Directors who are the Audit and Supervisory
Committee Members), it was approved at the 52nd Ordinary General
Meeting of Shareholders held on June 24, 2021 that it shall be cappedat the sum of (a) the fixed remuneration limit and (b) the performancebased remuneration limit specified below. Further, it was also
approved that, in addition to (a) and (b), (c)stock-based remuneration
may be provided to the Directors except for the Outside Directors.
⃝ (a) Fixed remunerations of 800 million yen or less annually (including
100 million yen or less annually for the Outside Directors);⃝ (b) Performance-based remunerations of an amount equivalent to 0.7%
or less of the current net income attributable to the shareholders of theparent company for the fiscal year immediately preceding the Meetingof Shareholders at which they are appointed or reappointed (but notexceeding an amount equivalent to three years of fixed remunerations);⃝ (c) The aggregate amount of monetary remuneration claims provided as
stock-based remuneration (remuneration regarding restricted stock, etc.)
shall be 350 million yen or less annually. Total number of such restricted
stocks allotted for each fiscal year shall be capped at 28,000 shares.
As of the conclusion of the Ordinary General Meeting of Shareholders, the number
of Directors (excluding the Directors who are the Audit and Supervisory
Committee Members) is six (6), and it is three (3) excluding the Outside Directors.
As for the aggregate amount of remunerations for the Directors who are the Audit
and Supervisory Committee Members, it was approved at the 52nd Ordinary
General Meeting of Shareholders held on June 24, 2021 to be capped at 200
million yen annually.
As of the conclusion of the Ordinary General Meeting of Shareholders, the number
of Directors who are Audit and Supervisory Committee Members is five (5).
3. Matters concerning Determination on the Details ofRemunerations for Individual Directors (excluding the Directors
who are the Audit and Supervisory Committee Members)
At the Company, the Board of Directors determines
the details of the amount of remunerations for the

Directors (excluding the Directors who are the Audit
and Supervisory Committee Members) after
consultation with the Nomination and Remuneration
Committee majority of which are independent
Outside Directors and chaired by an Outside
Director. Since the amounts of remunerations forindividual Directors are determined through suchprocedures, the Board of Directors judges that theirdetails are in line with the Policy.

Constructive Dialogue with Shareholders
We have a Public Relations & Shareholder Relations
Department to serve as a point of contact in relation to
constructive dialogue with shareholders, and we are taking
the following actions.
1. Overview of Public Relations & Shareholder Relations Department
We think we should promote dialogue with shareholders,for the sustainable growth of the company and the medium
and long-term enhancement of corporate value, while
putting emphasis on our core business. We have a Public
Relations & Shareholder Relations Department, as a section
responsible for the promotion of constructive dialogue withshareholders both within and outside Japan.
2. Policy on Promotion of Constructive Dialogue with Shareholders
The Public Relations & Shareholder Relations Department
works on the following as measures for the promotion of
constructive dialogue with shareholders.
(１) Dialogue with Shareholders
The Public Relations & Shareholder Relations
Department actively promotes dialogue by providing
shareholders with opportunities to participate invarious meetings, factory tours, etc. Dialogues are
lively, except that information that is likely to be
regarded as insider information or may interfere withour business activities is not discussed.
(２) Opinions, etc. Provided in Dialogue
To promote the sustainable growth of our company
and the medium and long-term enhancement ofcorporate value, we will make efforts to utilize opinions,etc., provided by shareholders through such dialogues.

Measures to Vitalize the General Shareholder
Meetings and Smooth Exercise of Voting Rights
1. Early Notification of General Shareholder Meeting
The Notice of the General Shareholders’ Meeting andreference materials are posted on our website in both
English and Japanese approximately four weeks prior to
the date of the meeting.
2. Exercise of Voting Rights by Electronic Methods
Shareholders can cast their votes from the website forexercise of voting right for General Meeting of
Shareholders.
3. Participation in Electronic Voting Platform
We have adopted the use of Electronic Voting Platform
for Foreign and Institutional Investors operated by ICJ, Inc.
4. Provision of Convocation Notice in English
We prepare an English version of documents, including
the Notice of General Shareholders’ Meeting, which isposted to our website approximately four weeks prior
to the date of the meeting.
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Platform Supporting Value Creation

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Message from Outside Directors

Kazuo Tsukuda
Outside Director
Independent Director

Masaharu Sumikawa
Outside Director
Independent Director

29

FANUC CORPORATION

I first visited the FANUC headquarters in Oshino Village, Yamanashi Prefecture, more than 20
years ago. At that time, as the manager of a relatively small factory called Nagoya Equipment
Manufacturing under Mitsubishi Heavy Industries, Ltd., I was having a hard time rebuilding thelarge-sized injection molding machine business, which was stagnating.
At that time, hydraulic pressure was used to clamping and position the molds of large-sized machines, just as in mold tightening, but I had been thinking of developing a hybrid model thatwould employ an electric servomotor to perform the processes of clamping and positioning that
required precision and speed, and I had come to negotiate with FANUC to ask them to supply
large servomotors as a key component.
A number of people attended the meeting, including the late Chairman Seiuemon Inaba. The
manager in charge told me, “We mass-produce small-sized precision machines. We’re unable tomeet your request of around 100 large-sized machines per year.”
I had half expected such an answer, but the Chairman, who had been listening in throughout theconversation, said, “We can’t make them in-house, but there is a small factory that makes servomotors near Nagoya. So if Mitsubishi Heavy Industries arranges things with that factory, we at
FANUC are willing to go to that factory and provide instructions on how to meet the specifications required by Mitsubishi.”
From that point on, the development progressed smoothly, and with FANUC’s generous cooperation, the large-sized hybrid injection molding machine was completed in a short period of time.
It became our main product, won much praise, and the business was revitalized.
What lay behind Chairman Seiuemon’s decision at that time? I imagine that it probably was an
abiding interest in new technologies and products, and the motivation to build them, that transcended the boundaries of the company.
After 20 years, I now find myself an outside director of FANUC. I will do my utmost to support
that commitment to technology and the fearless challenge to development that lives on in thecompany.
Our main products command an extremely large share of the global market at present, and wehave maintained a strong competitive edge in terms of performance and reliability, but othercompanies are catching up rapidly. I look forward to further advances made by our engineers, sothat FANUC can keep playing an active role in the production lines of factories around the world,
by fusing our proprietary CNC and Robot technologies.

FANUC is a company that provides optimal value and services to global corporate clients
through machines and systems based on advanced technology. Moreover, the company has built
up a solid reputation based on deep trust earned from its customers, by limiting its productrange of machines and systems to specialized machining and molding machines, handling robots,and Numerical Control systems, and by focusing its manpower on standardization, enhanced
functionality and improved reliability.
It is important to further develop this great asset we have inherited, and to establish a management policy suitable for a new era while anticipating all kinds of demands. Based on my experience in developing, designing, and coordinating projects to improve social infrastructure, I
believe I was able to express opinions from a broad perspective in board meetings.
Considering the development of our business in the future, it is important to further improve ourmaintenance services and customer training programs, which the company has built up from thecustomer’s point of view, and at the same time, pursue new business opportunities using the“FIELD system” IoT platform that we have been developing. By accelerating the digitization of clients’ production systems based on the operational track record of the FIELD system in our inhouse factories, we will be able to provide better customer service, and offer improved
management support to the customer more quickly.
Considering the development of our business in the future, it is important to provide customers
with improved management support in an early stage by further improving our maintenance services and customer training programs, which the company has built up from the customer’s pointof view, and at the same time, by accelerating the digitization of customers’ production systems
based on the operational track record of the FIELD system in our in-house factories, which wehave been developing for new business opportunities.
In the last few years, the company has been making progress with establishing rules related tocorporate governance, and this year has seen the start of a new Board of Directors system as acompany with an Audit and Supervisory Committee. The organization has been primed to handle
functions such as risk management, and we are on our way to commencing full-scale operation.
In the future, I would like to focus on strengthening our ESG initiatives, reviewing matters fromthe viewpoint of contributing not only to the management of our company, but to that of ourcustomers as well.

Naoko Yamazaki
Outside Director
Independent Director

Yasuo Imai
Outside Director
Independent Director(Audit and Supervisory
Committee)

FANUC is a global company and a world leader in the fields of CNC and industrial robots, and I
have the impression that the basic principles of “Genmitsu (Strict Preciseness)” and “Tomei(Transparency)” have thoroughly permeated the organization. I have observed FANUC Robots
carrying out vital functions in factories, and I have seen my classmates and senior colleagues
from my school days playing active roles. This has instilled in me a great respect for the leadingrole the company continues to play in our society. And in June 2020, I was honored with an appointment as an outside director. The impressions I have of FANUC have become stronger, and I
am bracing myself. I deeply identify with how the company cherishes the basic approach to management passed down from the late Honorary Chairman Seiuemon Inaba, and how it continues
to take on challenges boldly in its quest to enhance corporate value.
As for myself, I would like to contribute to the sustainable growth of the company, making themost of my experiences as an aerospace engineer in charge of systems integration for the Japanese Experiment Module on the International Space Station, and as an astronaut who has engaged in training, human resources development and risk management amid diversity. In orderto enhance corporate value globally, it is essential to keep in mind a wide range of stakeholder
perspectives, including not only those of customers and shareholders, but also of employees andthe society at large. Given the changes occurring in society, I feel it is all the more important tohold basic principles close, invest more in human capital and keep taking up challenges.
Contributing to society and strengthening diversity are also important for achieving sustainablegrowth. As a global company, FANUC has already been emphasizing diversity, but I think thatenhancing governance, incorporating gender-equal perspectives into considerations of human resource development, and publicizing accurate information about our contributions to society
through our business activities will increase in importance.
Even within the consistent goal of factory automation, the scope of factories will be expected to
expand. Therefore, it is entirely possible that competitors will emerge from unexpected places.
Through the promotion of DX, by expanding usage while facilitating customization, further improving our solid technological advantage, and bringing about greater synergies among ourbusinesses, I am looking forward to further enhancing corporate value and contributing to society.

Those of us who are outside directors at FANUC are entrusted with the role of providing an outsider’s perspective in order for it to continue to be a trusted company by all who hold a stake init, including our shareholders, well into the future.
At our company, outside directors from diverse backgrounds participate in lively discussions, andthe executive side explains the situation in detail, and responds appropriately in a sincere manner. We often forget the passage of time during board meetings.
I have been involved in manufacturing at the Ministry of Economy, Trade and Industry for 30
years, and following that, at a private company for 20 years.
Among all the companies I have had the pleasure of engaging with, FANUC possesses an overwhelming competitive advantage. Given the concerns of a hollowing out, FANUC has endeavored to locate its production sites within Japan, while also working on BCP. This cannot be
achieved without the strong competitive advantage attained through technological development,
and maintaining such competitiveness is not easy. One wrong turn, and we will find ourselves at
the mercy of competitors around the world.
I hope to enhance internal dialogue, so that technological development can go on, guided by abroad perspective and deep insight.
Nowadays, companies are surrounded by wide-ranging issues and obstacles, and businesses areconstantly forced to make difficult decisions. The disruptions to supply chains and logistics dueto the COVID-19 pandemic, rising concerns regarding economic security and environmental
friendliness, approvals and licenses both domestic and abroad that grow more complicated, anddelivery dates that rapidly approach regardless of such situations… It is impossible to countthem all. Companies that overcome such difficulties one by one through good management willachieve growth, and companies that seek to avoid them will end up mired in scandals and lose
the trust of stakeholders.
The best prescription in the face of such difficulties is to have an open corporate culture. I would
like to have more opportunities to talk frankly with internal directors and employees, and be agood advisor to them on any management issues or concerns they may have.

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Platform Supporting Value Creation

Message from Outside Directors

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Environmental
We contribute to solving social issues and developing a sustainable society by proactively working to protect the environment and reduce environmental impact.

Hidetoshi Yokoi
Outside Director
Independent Director(Audit and Supervisory
Committee)

As a pioneer of CNC in Japan, FANUC has, since its founding, consistently built up a businesslimited to applied products such as robots and intelligent machine tools, centered on the FA
business with CNC and Servos as its basic products. I think FANUC is that rare company that has
achieved steady growth and expansion through the stubborn pursuit of a narrow and long-term
path, that of the manufacturing and production automation business, while promoting the aggregation of component technologies and the synergy, and insisting on in-house R&D and manufacturing. Making production more efficient, and developing advanced manufacturing technologies
that make such efficiencies possible, will forever remain an issue we grapple with in order to enrich the lives of people all over the world. Automation of manufacturing and production activities
that takes the FA Business as a starting point is a business model of growth that transcends national boundaries and time periods. With the rise in the number of competitors, I think that development of world-leading and proprietary technology, strictly precise and uncompromising
management practices reflected in the management principles of “Genmitsu (Strict Preciseness)”and “Tomei (Transparency),” and the relationships of trust built up by offering services from thecustomer’s perspective such as lifetime maintenance etc., will further solidify this business model, and create and offer value that is indispensable for factories around the world.
As an outside director who is an Audit and Supervisory Committee member, I recognize that mymain mission is to participate in carrying out the monitoring function of the company, such as
stringently auditing the decisions of directors to see if they comply with legal obligations such as
duty of care and duty of loyalty, and also auditing the construction and operation status of internal control systems, and auditing transactions for possible breach of obligations. On the other
hand, I have been engaged in particular in the development of new plastic molding technology
and the nurturing of talent at the university, and through industry-academia collaboration withmore than 80 companies, and through my activities as a program officer for JST’s A-STEP program in the manufacturing field, I have broadly engaged with the demands and issues that theindustry is facing, and carried out work directly related to cutting-edge R&D trends, which is ongoing. Making the most of my experience and expertise given above, I am looking forward tocontributing as much as possible to strengthening the foundations for the continuous development of the existing business model, by developing new businesses, formulating management
strategies, establishing research and development systems for new technologies, implementing
measures to nurture talent that will lead the next generation, and promoting DX as the ultimate
rationalization system.

Environmental Activity
Environmental Management Promotion

Environmental Management System

FANUC recognizes that actions for the environment
are an important tasks, with the President and CEO
designated as the person responsible for the initiatives. Important environmental issues, including climate change, are reported to the Board of Directors
for decision-making. Reports on the progress of
FANUC's environmental initiatives, and the direct andindirect impacts of the environment on our businessactivities are collected from environmental managers
assigned to the relevant divisions, and reported at
the ISO14001 meeting, which is chaired by the Executive Managing Officer and General Manager, Production Division. Important matters are reported to
the Board of Directors for decision-making.
Regular reports include the setting of environmental
goals in March of each year, as well as a report onenvironmental management for the previous fiscal
year in June.

FANUC has acquired certification for the international standard for environmental management systems
ISO14001 (2015 version). In August 1999, the entire
FANUC organization was granted ISO14001 certification, with the registered range being those activities
related to FA, ROBOT, and ROBOMACHINE products(including research and development, manufacturing,and sales & service). This not only covers Headquarters (Yamanashi) but also the Tsukuba Factory, Hayato Factor y, and each of Hino, Nagoya, Osaka,
Hokkaido, Tsukuba and Kyusyu branches and offices.
In fiscal 2018, our Mibu Factory was also included.
This environmental management system applies toevery FANUC site in Japan, and also to the employees, factories, premises, buildings, facilities, corporate activities and environmental conservation
activities related to the products and services offeredby FANUC's domestic group companies.

Energy Conservation at Customer Factories
FANUC will continue to make energy-efficient products, which will contribute to conserve energy in ourcustomers' factories.

CRX

Mieko Tomita
Outside Director
Independent Director(Audit and Supervisory
Committee)

31

FANUC CORPORATION

In my many years as a lawyer, I have mainly been in charge of corporate legal affairs, and therefore I have some knowledge of the circumstances surrounding many listed companies. FANUC isrenowned for its technological prowess, and has a sterling reputation in the business world aswell. In my own way, I think that such a reputation springs from the clarity of corporate philosophy and management principles, and the clear manner in which top management communicatesthe philosophy and carries them out in practice, which is then transmitted to each and every
nerve in the corporate organization.
The company’s history was first chronicled and published in June 2021, with the founder’s basics of management articulated at the beginning. Although more than 60 years have passed
since the founding of the company, and the basics of management has been manifested in various situations along with the changing of the times, it has been passed down without fail, and I
think it is expressed in the form of solid management decisions that are always based on assessments of the current situation. And above all, I was able to occasionally observe the fact that theemployees embraced the company’s basics, and dedicated themselves out of love with positive
attitude for the company in their work. I believe that employees who have sustained the company’s growth up until the present, are our greatest asset.
In this manner, our company has grown with the support of employees who have a good understanding of the company’s management principles. And it is our great strength that such an attitude forms the foundation of the company. However, given the current emphasis on theconstruction and operation of internal control systems for corporate governance, the fact thatthe back-office and administrative departments are weaker compared to our powerful technological team remains an issue. Building a strong internal control system is an urgent task, notonly for the company itself, but also for the group since we have bases globally and expansionof sales activities abroad has significant impacts to us.
As an expert in corporate legal affairs, I have been involved in the construction and operation ofinternal control systems, and have also been actively involved with submissions of legal opinions
in situations requiring management decisions, internal and external responses to crises, and thehandling of misconducts from a legal standpoint. At FANUC as well, drawing on my experiences
as a lawyer, I will ensure the robust construction and operation of the internal control systemfrom a legal standpoint, and contribute to the company’s progress by emphasizing compliance inmanagement decisions.

The collaborative robot CRX has a robot mass of 40kg
with a payload of 10kg, which is considerably lighter
than the robot mass of 150kg common to robots in thesame class thus far, and reduces power consumption.

FANUC Robot M-10i D/12

ROBOGUIDEB y o p ti m izi n g t h e o p e rati n g p ro g ra m w it h
ROBOGUIDE, power consumption is reduced andthe lifetime of the reducer is extended to reduce running costs.

ROBOGUIDE
Operatingprogramoptimization

Robot weightapprox.
150kg

FANUC Robot CRX-10iA

OptimaloperatingprogramPower
consumption
reduction

Reducing
reduction
gear load

Real machine

Robot weightapprox.
40kg

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Platform Supporting Value Creation

FANUC’s Corporate Value

Environmental

Data Section

Respect for Human Rights

Actual Reduction in the Amount of Electric Power Used

Basic Approach

As part of our efforts to reduce our output of greenhouse gases such as CO2 and thus prevent global warming, we are constantly
aiming to reduce the amount of electric power that we use.
The power used in proportion to the level of production in fiscal 2020 decreased increased by 12.4% compared to the previous fiscal year’s level, and we could achieve the fiscal 2020 target.

At FANUC, we respect the human rights of all persons involved in our business, based on the understanding that it is
the basic principle of all activities, in accordance with our Human Rights Policy.
In addition, the FANUC Code of Conduct prohibits “discrimination based on race, beliefs, gender, social status, religion, nationality, age, mental or physical disability, sexual orientation,
sexual identity, etc.”
We ensure that employees do not infringe the human rights ofothers through harassment prevention education and line-caretraining.

Electric Power Reduction Measures
1. Some machine tools in our plants were exchanged for
those incorporating auto power-off devices.
2. Some of the compressors in our plants were exchanged
for those incorporating inverter control.
3. Energy-saving fluorescent lamps (with electronic ballasts)
and energy-saving compressors (inverter type) were installed in new buildings.
4. The roofs of new buildings were changed to silver in color.
5. The roofs of new buildings were enhanced in heat insulation by duplicating them.

6. Power consumption was reduced with motion sensors.
7. Wind-shielding curtains were used for energy savingin air conditioning.
8. Measures were taken against heat emissions fromcompressors for energy saving.
9. Energy-saving measures were studied by energy-saving consultants.
10. Use of LED lighting was promoted.
11. Co-generation was promoted.

Laws and International Norms of Behavior
FANUC respects human rights as defined in international
norms, such as the Universal Declaration of Human Rights, theInternational Covenant on Civil and Political Rights and the International Covenant on Economic, Social and Cultural Rights,
and the International Labour Organization (ILO) Declaration on
Fundamental Principles and Rights at Work, in accordancewith the guiding principles on business and human rights.

Human Rights Due Diligence
The following items will be addressed as priority issues.

■ Prohibition of Discrimination
4 Silver roofs

5 Duplicated roofs

Prohibition of discrimination based on gender, age, nationality, ethnicity, race, place of origin, religion, beliefs,
disability, sexual orientation, sexual identity, etc.

■ Respect for the Rights of Workers

Ensuring employee health and safety
Prohibition of all forms of harassment
Prohibition of child labor and forced labor
Respect for the rights of foreign and migrant workers
Respect for freedom of association and the right to collective bargaining
Prevention of low-wage labor (labor less than the minimum wage and living wage)
Prevention of excessive amounts of overtime

6 Motion sensors

Platform Supporting Value Creation

SocialEnergy Conservation at Own Factories

3 Energy-saving compressors (inverter
type)

Growth Strategy

7 Wind-shielding curtains

8 Measures were taken against heatemissions.

■ Respect for the Rights of Vulnerable People

Respect for the rights of local and indigenous peoples
related to our businessRespect for the rights of women, children, persons withdisabilities, minorities, and the elderly
Avoiding complicity in conflicts and human rights violations relating to mineral procurement

FANUC will evaluate and identify potential and actual human rights risks and implement measures to avoid or reduce such human rights risks.
We will encourage our business partners and related parties not to infringe human rights if they have a negative issues on human rights. When it is clear that our business hascaused or has engaged in any violation human rights impacts, we will endeavor to implement remedies them, andwill establish a grievance system as necessary.

Promotion Framework
A helpdesk has been established in both the Human Resources Division and the labor union to provide advice across theentire company. A helpdesk has also been set up in the Welfare Department of the Human Resources Division, led by the
executive employees in charge (one male and one female).
This helpdesk offers advice on all forms of human rights-related harassment, including sexual harassment, maternity harassment (harassment related to pregnancy, childbirth, child-careleave, etc.), and power harassment. The existence of this helpdesk is being widely advertised through the company-wide
portal site. We have established a framework to respond toinquiries from employees and offer advice.
In these consultations, due attention is given to the protectionof privacy, and consideration is given to ensure that anyone
seeking advice and anyone who is involved in confirmation of
the facts of the matter are not subjected to unfavorable treatment. Based on confirmation of the facts, the consultations
are handled by the parties concerned, taking confidentiality
into account, and appropriate measures are taken. In this way,
we strive to improve the workplace environment to make it amore comfortable place to work.

Harassment Prevention Training for All Employees
Harassment in the workplace is not only an act that unjustly
harms the dignity and character of the individual, but it is also
an absolutely unforgivable act that damages the workplaceenvironment.
FANUC strives to prevent harassment, with the aim of achieving workplace environments in which all employees can maintain good mental and physical health and work energeticallywith peace of mind.
Our efforts to establish workplace environments that will notgive rise to harassment include harassment prevention training
on an e-learning platform, group harassment-prevention training for executive employees, company-wide preventive measures, and fostering understanding of diversity.
We post examples of harassment and the company’s responses on the company-wide portal site to thoroughly raise awareness among employees.

■ Protection of Privacy and Personal Information

Respecting the privacy of customers, employees, andother parties concerned, and protecting personal information

10 LED lighting

11 Co-generation

Kerosene Reduction Results
In some parts of the Headquarters area, kerosene was replaced by city gas.
As a result, we reduced the total amount of kerosene used by 32% compared to the previous year.

33

FANUC CORPORATIONANNUAL REPORT 2021

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Platform Supporting Value Creation

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

SocialPromotion of Employee Diversity & Equal Opportunity
Basic Approach
FANUC respects and supports the diversity and equal opportunity of our employees, and creates an environment that accepts diversity, based on the philosophy that diversity gives
rise to new values.

Initiatives❶ Gender-Related Initiatives<Promoting the Active Participation of Women>
In addition to striving to ensure that employees can play anactive part in the workplace regardless of factors such as nationality and gender, etc. FANUC has enhanced various systems including maternity leave, child-care leave, and shorter
working hours until children finish elementary school, so thatwomen can pursue their careers without interruption. In thismanner, FANUC fully supports the active participation of
women in the workplace.
In April 2021, we renewed our General Employer Action Plan
Based on the Act on Promotion of Women’s Participation andAdvancement in the Workplace, and we are actively promoting the recruitment of women, with the aim of increasing thepercentage of female employees. Under this plan, FANUC hasestablished a target of 10% of regular female employees for
the Company as a whole.
To achieve these goals, we are promoting efforts such as having female engineers visit schools and handle company visitsby female students when recruiting for technical positions,and promoting efforts to create opportunities for women to
discuss work and actual lifestyles. We are also implementing
initiatives such as external seminars to support career development for female employees. Recently, women have increasingly been playing active roles as executives in various fields,with two female employees promoted as officers.
We will further support the participation of women throughcontinued efforts in the future.
<Support for Balancing Work and Home Life>
At FANUC, 100% of the female employees who have used thechild-care leave system during the past three years have returned to work, which confirms that the Company’s working
environment is comfortable for women. Furthermore, we
opened a nursery for employees’ children in the Headquarters’site in April, 2019, using the company-initiated nursery business system, supervised by the Cabinet Office. To reduce total
actual working hours, we have set the annual paid leave-taking rate to at least 80%, so paid leave can be more easily used
to balance work and home life.
As an initiative to encourage male employees to take childcare leave, we have posted on the companywide portal site
Q&A and guidance documents regarding leave systems forchild care and nursing care as well as support offered by thegovernment. A help desk has also been set up in the Human

Resources Department to support the balance between workand child care and nursing care. This approach has spreadknowledge and understanding of our initiatives within the
Company, and more male employees are taking child-careleave.

❷ Disability-Related Initiatives

When determining assignments, FANUC takes into accountthe characteristics of each individual’s disabilities as well as
his/her aptitudes, while also considering safety aspects sothat persons with disabilities can play an active role in the
Company.
We have also established a support system to promote theemployment of persons with disabilities, by cooperating with
the Japanese government’s Hello Work employment centers
and the Yamanashi Prefecture Vocational Center for Persons
with Disabilities, and by appointing vocational life counselors
for persons with disabilities.

❸ Initiatives for Nationality, Race, and Religion

FANUC thoroughly implements the “prohibition of discrimination based on race, creed, sex, social status, religion, nationality, age, mental or physical disability, etc.” in its recruitment
practices, as well. While we hire international students, we donot treat them differently or discriminate against them in any
way because of nationality.
FANUC also strives to provide a working environment that is
comfortable for foreign employees. We have facilities thattake into consideration the religions and customs of employees from around the world. We offer vegetarian food,gluten-free food, etc. to employees for whom religious dietary considerations are required. FANUC ACADEMY also
has a Muslim prayer room for trainees from overseas Islamic
companies.

Prayer room

❹ Age-Related Initiatives

In October 2006, FANUC extended its mandatory retirement
age from 60 to 65 years.
Employees who have reached the retirement age of 65 years
may continue to work at the Company if both the Company
and the employee so wish.

Practicing Work-life Balance

35

FANUC CORPORATION■ Main Systems

Child-care leave (Return-to-work ratio: 100%; Retention
ratio one year after returning to work: 100%)Maternity leave
Nursing-care leave (e.g., to take care of elderly parents)
Infertility leave
Subsidies for specific infertility treatment costs
Shorter working hours for child care
Refreshment leave (can be taken after 10 years, 15 years,
20 years, 25 years, 30 years, 35 years, and 40 years of
employment)
Leave due to transfer of a spouse

ble work styles that achieve a better balance with everyday
life, in October 2020, we made it possible to take annual vacation in hourly increments.
In addition to establishing a system for infertility leave, wehave added family care and infertility treatment to the purposes used for accumulated vacation (paid).

ture where FANUC Headquarters is located, we established a
corporate-led nursery business in the spring of 2019.
Located next door to the workplace, FANUC Nursery School
reduces the time required to drop children off at the nurseryschool and pick them up and enables the safe and certain
handover of children in the event of an emergency such as anatural disaster. Responding to users’ needs, the facility has
been operating at close to full capacity since its first year ofoperation.
In addition, the facility accepts new enrollments throughout
year, facilitating a smooth return to work for employees onchild-care leave. The school is actively engaged in initiatives toimprove the quality of child care, such as offering various training programs to its nursery teachers, receiving evaluations
from external institutions, and providing dietary education bycooking lunches with local ingredients. FANUC Nursery School
will continue to provide an environment in which its users will
be able to balance child-rearing and career development withpeace of mind into the future.

FANUC Nursery School (Corporate-led Nursery Business)
With the growing number of employees of the child-rearing
generation in their 20s and 30s, to help enhance thechild-rearing environment in Oshino-mura, Yamanashi Prefec-

Coexistence with local community
The FANUC GROUP considers the local communities in which
it operates to be important stakeholders. We will strive to cooperate with local communities and fulfill our responsibilities
as a member of these communities.

FANUC Forest 100-Year Plan

Creating Better Working Environments

FANUC considers reduction of long working hours to be an issue, and is striving to lower the maximum limit for overtime
work and promote the taking of annual vacations as corrective
measures. Annual vacations were taken at a rate of 85% in fiscal 2019, and we check the achievement status of these goals
in monthly meetings attended by executives. To facilitate flexi-

To better promote the balance of work and child-care, wehave extended the application of the shorter working hours
system for childcare, as well as the exemption from overtime
and work on holidays for child-rearing employees upon request, until children have finished elementary school.
In recent years, in response to feedback from employees thatthey would want to continue working while receiving treatment even if they are diagnosed with cancer or other illnesses,
we have established a helpdesk to support such employees
so that they can work while receiving treatment, by actively
promoting shorter working hours and other means.

Oshino-mura, where the Headquarters area is located, offers aharmonic landscape where you can view a lot of nature, suchas lakes, ponds and rivers created by Mt. Fuji’s subsoil water,and man-made scenery like farming fields and thatched roofs,
with Mt. Fuji in the background. The local governments ofOshino-mura and Yamanakako-mura have established landscape plans for the preservation of the landscapes, and
FANUC is also actively working with those plans.
Most forest resources owned by FANUC consist of trees planted after the war. At FANUC Headquarters, following guidancefrom the Yamanashi Forestry and Forest Products Research Institute, we maintain and manage trees according to the
FANUC Forest 100-Year Plan, aiming to restore forests to astate in harmony with the region. We are currently promoting
a plan to replace the artificially planted coniferous trees withrich broadleaf trees that bloom, bear fruit, and allow coexistence with small birds and animals.
All exterior walls of FANUC’s existing factories had previously
been painted yellow, but when they were repainted during
major refurbishments of the individual factories, gray is used
as a base color and the amount of yellow used has been limited (e.g., 20% or less of external walls in the Headquarters
area, 5% or less of external walls in the Hino area).

Towards Zero Hunger
In India, approximately 236 million children attend 1.1 million
government schools. Children in government schools, especially those in villages, are the children of migrant workers
who help with household chores and are unable to eat evenone meal a day. A meager dinner does not give them enoughenergy to last until lunch time the next day. The result is lackof concentration, inattention, lots of trouble, and absenteeism.
FANUC India provides meals to children and migrants.
Provided breakfast to total of 883 children near Bangalore
and lunch to 5,000 children.
Operate a day care center in Pune, West India, with 130
children attending. The children are cared for and fed while
their parents are engaged in work.
Providing support to orphanages in Bangalore, Madurai and
Coimbatore.
Provided ration kits and cooked meals to migrants near
Bangalore affected by the lockdown caused by the
COVID-19.

Lunch distribution

Ration kit and cooked meals distribution

ANNUAL REPORT 2021

36

Data Section

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Financial and Non-financial Highlights (Years ended March 31)
Financial Highlights

Millions of yen

Years ended March 31

2012

2013

2014

2015

2016

2017

2018

2019

2021

2020

Net sales

538,492

498,395

450,976

729,760

623,418

536,942

726,596

635,568

508,252

551,287

EBITDA

237,300

202,688

182,528

319,524

236,673

179,747

263,794

203,006

134,263

157,616

44.1

40.7

40.5

43.8

38.0

33.5

36.3

31.9

26.4

28.6

221,834

184,821

164,134

297,839

215,567

153,217229,604

163,297

88,350112,514

41.2

37.1

36.4

40.8

34.6

28.5

31.6

25.7

17.4

20.4

Net income attributable to owners of parent

138,819

120,484

110,930

207,599

159,700

127,697

181,957

154,163

73,371

94,012

Capital investment

45,71945,091

13,906

26,628113,315

83,207116,110133,106

70,47818,553

Depreciation and amortization

15,466

17,867

18,394

21,685

21,106

26,53034,19039,70945,91345,102

Research and development expenses

20,47820,14818,372

28,10534,56742,331

52,95656,16251,31546,9491,130,625

1,219,113

1,343,904

1,611,626

1,512,895

1,564,769

1,728,227

1,625,340

1,512,499

1,625,191

Net assets

985,322

1,094,129

1,199,863

1,386,695

1,334,910

1,369,457

1,467,630

1,445,146

1,362,865

1,435,554

ROE（％）

14.8

11.6

9.7

16.1

11.8

9.5

12.9

10.6

5.3

6.8

ROA（％）

13.0

10.3

8.7

14.0

10.2

8.3

11.0

9.2

4.7

5.8

212.77184.68170.06636.62490.07395.18563.201,003.11300.00294.07

30.0

30.0

30.0

60.0

60.0

60.0

60.0

126.1

78.6

60.0

EBITDA margin（％）
Operating income
Operating income ratio（％）

Total assets（Persons）

Dividend (¥)
Dividend payout ratio（％）
EBITDA margin = EBITDA / Net sales

ROE = Net income / Average shareholders’ equity

ROA＝Net income / Average total assets

Non-financial Highlights
Years ended March 31

2012

2013

2014

2015

2016

2017

2018

2019

2021

2020

Number of employees

5,198

5,261

5,469

5,840

6,327

6,738

7,163

7,866

8,164

8,256

Average number of consecutive years served (Years)

18.1

18.5

18.9

17.7

16.5

15.8

15.1

14.3

14.0

14.2

Scope1−−−

6,521.60

7,189.30

7,864.40

14,254.00

25,213.20

34,875.00

47,059.42

Scope2−−−

88,981.50

80,915.50

95,515.80

112,524.00

108,563.60

91,639.00

107,208.02

Scope3

−

−

−

−

−

−

−

2,414,478.63

1,824,211.72

18,134,471.65

Greenhouse Gas Emissions（t-CO2)※※ From 2021, The boundary covers FANUC CORPORATION and its consolidated subsidiaries and the scope of products have expanded (covering all products).

Capital investment/Depreciation
and amortization

Research and development
expenses

Number of employees% of females in executive employees(FANUC Corporation)

Electricity used※

Total Water Used

(unit: Millions of yen)(unit: Millions of yen)(unit: Persons)(unit: %)(unit: GJ)(unit: thousand ㎥)

Capital investment

Depreciation and amortization

133,106

52,956116,110201737

51,31542,331

83,207

26,53056,162

46,949

6,738

7,163

7,866

8,164

2,370,876
2,303,878

8,256
2.9

2.8

2017

2018

3.1

3.2

3.4

2,088,735
1,976,393

1,935,576

875

880

2018

2019

910

827

735

70,47834,19039,70945,913 45,102
18,553

2018

2019

FANUC CORPORATION

2020

2021

2017

2018

2019

2020

2021

2017

2018

2019

2020

2021

2019

2020

2021

2017

2018

2019

2020

2021

2017

2020

2021

ANNUAL REPORT 2021

38

Data Section

FANUC’s Corporate Value

Consolidated Statements of Income (unit: Millions of yen）
Years ended March 31
Net sales

2021

508,252¥

Years ended March 31

551,287

Cost of goods sold

326,095

349,327

Gross profit

182,157

201,960

Selling, general and administrative expenses

93,80789,446

Operating income

88,350112,514

Interest income

3,861

2,088

Dividends income

1,444

1,339

Non-operating income

Equity in earnings of affiliates

8,752

11,640Miscellaneous income

2,733

3,330

Total non-operating income

16,79018,397

Removal expenses of noncurrent assets

971

523

Loss on valuation of investment securities

454

772

Non-operating expenses

Donations

300

481

Miscellaneous expenses

599

391

2,324

2,167

102,816

128,744

1,973

ー

Total non-operating expenses
Ordinary income
Extraordinary losses
Impairment loss
Total extraordinary losses

1,973

ー

Income before income taxes

100,843

128,744

Income taxes-current

24,45032,385

Income taxes-deferred

1,776

101

Total taxes and others

26,22632,486

Net income

74,617

96,258Net income attributable to non-controlling interests

1,246

2,246

Net income attributable to owners of parent¥

73,371¥

94,012

Consolidated Statements of Comprehensive Income (unit: Millions of yen）
Years ended March 31
Net income

2021

2020
¥

74,617¥

96,258Other comprehensive income
Valuation difference on available-for-sale securities(4,053)

11,852Foreign currency translation adjustment(18,634)

22,072Remeasurements of defined benefit plans

7,408(6,672)

Share of other comprehensive income ofaffiliates accounted for using equity method(1,961)

569

Total other comprehensive income
Comprehensive income

27,821(17,240)¥

57,377¥124,079

Comprehensive income attributable to:
Owners of parent
Non-controlling interests

39

FANUC CORPORATION

Platform Supporting Value Creation

Data Section

Consolidated Balance Sheets (unit: Millions of yen）

2020¥

Growth Strategy

56,796

120,951

581

3,128

AssetsCurrent assets
Cash and bank deposits
Notes and accounts receivables, tradeMarketable securities
Finished goods
Work in progress
Raw materials and supplies
Other current assets
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings
Machinery and equipment
Land
Construction in progress
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Deferred income taxes
Net defined benefit asset
OthersAllowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes and accounts payables, trade
Accrued income taxes
Warranty reserves
Other current liabilities
Total current liabilities
Long-term liabilities
Net defined benefit liability
Other long-term liabilities
Total long-term liabilities
Total liabilities
Net assets
Shareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock, at cost
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

2021

2020

¥

¥

¥

¥

405,861
85,266
126,700
65,122
51,97925,45010,833(831)
770,380¥429,784
128,171
157,000
81,25352,00831,007
11,253(782)
889,694

310,060
60,216
146,085
65,45815,317597,136
10,219309,11359,863
148,389
44,40815,073576,846
9,952

83,33733,912
13,968
4,003(456)
134,764
742,119
1,512,499

109,212
31,141
4,772
3,998
(424)
148,699
735,497
1,625,191

26,974
9,270
8,306
56,413
100,963¥¥

44,015
22,131
8,860
60,112
135,118

44,652
4,019
48,671
149,634

49,3795,140
54,519189,637

69,01496,265
1,351,122(127,822)
1,388,579

69,014
95,995
1,373,018(106,008)
1,432,019

5,058(26,608)(11,929)(33,479)
7,765
1,362,865
1,512,499

16,910(4,849)(18,601)(6,540)10,075
1,435,554
1,625,191¥

ANNUAL REPORT 2021

40

Data Section

FANUC’s Corporate Value

Consolidated Statements of Changes in Net Assets (unit: Millions of yen)

¥69,014¥96,265 ¥1,398,977(¥91,020)¥13,090(¥619)(¥24,117)¥6,040 ¥1,467,630

Cumulative effects of changes
in accounting policies
Restated balanceー¥69,014¥96,265 ¥1,398,977(¥91,020)¥13,090(¥619)(¥24,117)¥6,040 ¥1,467,630

Dividends of surplus(173,665)(173,665)

Net income attributable toowners of parent

154,163

154,163

1,121

1,121

Changes by merger
Change in equity from transactions
with non-controlling shareholdersー

Purchase of treasury stock
Disposal of treasury stock

6

Retirement of treasury stock

(6)

(157)

(187)

(187)

4

10

163

ー

Net change except shareholders’equity during the year
Balance at March 31, 2019

¥69,014¥96,265 ¥1,380,439

Cumulative effects of changes
in accounting policies
Restated balance(¥91,040)(3,979)(6,058)4,780¥9,111(¥6,677)(¥19,337)

1,331¥96,265 ¥1,380,376

Dividends of surplus
Net income attributable toowners of parent(63)(¥91,040)¥9,111(¥6,677)(¥19,337)¥7,371 ¥1,445,083(102,541)(102,541)

73,37173,371

Changes by mergerーChange in equity from transactions
with non-controlling shareholdersー

Purchase of treasury stock
Disposal of treasury stock4

Retirement of treasury stock

(4)

(84)

Balance at March 31, 2020

¥69,014¥96,265 ¥1,351,122(¥127,822)¥5,058(¥26,608)(¥11,929)¥7,765 ¥1,362,865¥96,265 ¥1,351,122(¥127,822)¥5,058(¥26,608)(¥11,929)¥7,765 ¥1,362,865

Dividends of surplus(50,369)(50,369)

Net income attributable toowners of parent

94,012

94,012

346

346

Changes by merger
Change in equity from transactions
with non-controlling shareholders(270)

Purchase of treasury stock
Disposal of treasury stock2

Retirement of treasury stock(2)(22,093)

FANUC CORPORATION¥69,014¥95,995 ¥1,373,018

ーIncrease (decrease) in allowance for doubtful accounts

(261)

(121)

Increase (decrease) in net defined benefit liability

2,762

4,252

(Increase) decrease in net defined benefit asset(7,456)

9,040

Interest and dividend income(5,305)(3,427)

Equity in (earnings) losses of affiliates, net(8,752)(11,640)(Increase) decrease in receivables, trade

18,358(37,122)(Increase) decrease in inventories

10,288(16,828)

Increase (decrease) in payables, trade(8,646)

15,239Other

14,118(2,985)

Subtotal

163,835

130,254

Interest and dividends received

11,965

7,082

Income taxes paid

(29,655)(20,153)

Other(1,273)813

144,872

117,996

Payments into time deposits(32,248)(31,849)

Proceeds from withdrawal of time deposits

28,67240,021(75,429)(21,768)(5,314)(3,174)(84,319)(16,770)

Purchases of treasury stock(36,870)(283)

Dividends paid

(102,546)(50,484)(1,310)(2,365)(140,726)(53,132)

Net cash provided by operating activities

Cash flows from investing activities

Net cash used in investing activities

Cash flows from financing activities

Other
Net cash used in financing activities(270)

Effect of exchange rate changes on cash and cash equivalents(12,533)

14,465

(283)

(283)

Net increase (decrease) in cash and cash equivalents(92,706)

62,5592

4

22,095ーCash and cash equivalents at beginning of year

607,714515,008ー352

Net change except shareholders’equity during the year
Balance at March 31, 2021

128,744

1,973

Other

(16,182)¥

Impairment lossー394

100,843

45,102

88
7,408

¥

45,913Purchases of property, plant, and equipment(19,931)

2021

2020

Depreciation and amortization

9ー¥69,014

Income before income taxes

5(4,053)

Data Section

Cash flows from operating activities(36,875)

Cumulative effects of changes
in accounting policies
Restated balanceYears ended March 31(36,875)

Net change except shareholders’equity during the year41

(3,926)¥7,371 ¥1,445,146(63)¥69,014

Platform Supporting Value Creation

Consolidated Statements of Cash Flows (unit: Millions of yen)

Valuation
Foreign
Total accuTreasury difference on
Remeasurements
Common Capital Retained
currency
mulated other Total net
stock, available-forof defined benefit
stock
surplus earnings
translation
comprehensive assets
at costplans
saleadjustment
incomesecurities
Balance at March 31, 2018

Growth Strategy(¥106,008)

11,852

21,759(6,672)¥16,910(¥4,849)(¥18,601)

2,310

29,249¥10,075 ¥1,435,554

Increase in cash and cash equivalents resulting frommerger with unconsolidated subsidiaries
Cash and cash equivalents at end of year¥

515,008¥

577,919

ANNUAL REPORT 2021

42

Data Section

FANUC’s Corporate Value

Growth Strategy

Platform Supporting Value Creation

Data Section

Corporate Profile
OutlineGlobal Service Network

Company Name

FANUC CORPORATION■ Japan■ The Americas

Established

1972

本社

FANUC America Corporation

Principal Sites〒401-0597 山梨県忍野村
Tel.（0555）84-5555/Fax. 5512（代）Head office

Oshino-mura, Minamitsuru-gun, Yamanashi Prefecture

Research andDevelopment

CNC Hardware Research and Development Division, CNC Software
Research and Development Division, SERVO Research and Development
Division, LASER Research and Development Division, ROBOT MechanicalResearch and Development Division, ROBOT Software Research andDevelopment Division, ROBODRILL Research and Development Division,
ROBOSHOT Research and Development Division, ROBOCUT Research andDevelopment Division, ROBONANO Research and Development
Department, Next-Generation Technology Laboratory (Oshino-mura andYamanakako-mura, Minamitsuru-gun, Yamanashi Prefecture)

日野支社

Headquarters Factory (Oshino-mura and Yamanakako-mura,
Minamitsuru-gun, Yamanashi Prefecture), Mibu Factory (Mibu-machi,
Shimotsuga-gun, Tochigi Prefecture), Tsukuba Factory (Chikusei City),
Hayato Factory (Kirishima City)

Factories

Training Centers

FANUC ACADEMY (Oshino-mura, Minamitsuru-gun, Yamanashi
Prefecture)〒485-0077 愛知県小牧市西之島1918-1
Tel.（0568）73-7810/Fax.3799（代）名古屋サービスセンタ〒485-0802 愛知県小牧市大草5409-2
Tel.（0120）240-716/Fax.833（FA）
Tel.（0120）240-613/Fax.673（ロボット、ロボマシン）

大阪支店〒559-0034 大阪府大阪市住之江区南港北1-3-41
Tel.（06）6614-2110/Fax.2121（代）北海道支店〒069-0832 北海道江別市西野幌114-6
Tel.（011）385-5080/Fax.5084（代）〒981-3206 宮城県仙台市泉区明通4-5-1
Tel.（022）378-7756/Fax.7759（代）

Number of
employees

The Company 4,105
The FANUC Group 8,256

Principal
Subsidiaries

FANUC America Corporation, FANUC Europe Corporation, KOREA FANUCCORPORATION, TAIWAN FANUC CORPORATION, FANUC INDIA PRIVATE LIMITED,SHANGHAI-FANUC Robomachine CO., LTD., FANUC PERTRONICS LTD, FANUC SERVO LTD

Principal AffiliatedCompanies

BEIJING-FANUC Mechatronics CO., LTD., SHANGHAI-FANUC Robotics CO., LTD.

筑波支店

〒305-0856 茨城県つくば市観音台1-25-1
Tel.（029）837-1161/Fax.1165（代）

前橋支店〒371-0846 群馬県前橋市元総社町521-10
Tel.（027）251-8431/Fax.8330（代）

越後支店〒954-0111 新潟県見附市今町7-17-38
Tel.（0258）66-1101/Fax.1141（代）

白山支店

Total number of shares authorized to be issued by the Company

400,000,000 shares

Total number of issued shares

201,922,097 shares

Number of shareholders

52,693〒924-0071 石川県白山市徳光町2394-15
Tel.（076）276-2044/Fax.2062（代）

中国支店〒701-0165 岡山県岡山市北区大内田834
Tel.（086）292-5362/Fax.5364（代）

広島支店〒732-0032 広島県広島市東区上温品1-7-3
Tel.（082）289-7972/Fax.7971（代）The ten largest shareholders
Name

Number of shares(In thousands)

Percentage of equity
participation(%)

The Master Trust Bank of Japan, Ltd. (Trust Account)

32,663

17.0

Custody Bank of Japan, Ltd. (Trust Account)

15,0487.8

SSBTC Client Omnibus Account

5,405

2.8

Citibank, N.A. - NY, as Depositary Bank for Depositary Shareholders

4,343

2.3

JPMorgan Chase Bank 380055

3,958

2.1

State Street Bank West Client - Treaty 505234

2,956

1.5

Custody Bank of Japan, Ltd. (Securities Investment Trust Account)

2,935

1.5

The Bank of New York Mellon 140044

2,828

1.5

Government of Norway

2,728

1.4

Custody Bank of Japan, Ltd. (Trust Account 5)

2,691

1.4

※ The percentages of equity participation are calculated after subtracting the number of treasury shares (10,108 thousand shares) from the total number
of issued shares.

FANUC CORPORATION

名古屋支社

東北支店

Matters Concerning the Shares of the Company （Years ended March 31）

43〒191-8509 東京都日野市旭が丘3-5-1
Tel.（042）584-1111/Fax.589-8899（代）

九州支店〒869-1196 熊本県菊陽町津久礼2570-2
Tel.（096）232-2121/Fax.3334（代）FANUC ACADEMY〒401-0597 山梨県南都留郡忍野村忍草字丸尾岸1183
Tel.（0555）84-6030/Fax.5540

壬生工場〒321-0234 栃木県下都賀郡壬生町大字羽生田3101

筑波工場
筑波１区

〒300-4522 茨城県筑西市向上野1500-2

筑波２区〒300-4541 茨城県筑西市松原284-4

隼人工場〒899-5116 鹿児島県霧島市隼人町内2277

Detroit, U.S.A. Tel.（1）248-377-7000
Chicago, U.S.A. Tel.（1）847-898-5000
ROBOT and ROBOT system development, manufacture, sales and services; CNC, LASER and ROBODRILL sales and services■ Europe
FANUC Europe Corporation, S.A.

Luxembourg Tel.（352）72-7777-1
CNC, LASER, ROBOT and ROBOMACHINE sales and services;
ROBOT system development, manufacture, sales and services■ AsiaBEIJING-FANUC Mechatronics CO., LTD.

Beijing, China Tel.（86）10-6298-4726
CNC manufacture, sales and services; LASER sales and services

SHANGHAI-FANUC Robotics CO., LTD.
SHANGHAI-FANUC ROBOMACHINE CO., LTD.

Shanghai, China Tel.（86）21-5032-7700
ROBOT system development, manufacture, sales and services;
ROBOT and ROBOMACHINE sales and services

KOREA FANUC CORPORATION

Changwon City, Korea Tel.（82）55-278-1200
CNC, LASER, ROBOT, ROBOT system and ROBOMACHINE sales
and services

TAIWAN FANUC CORPORATIONTaichung, Taiwan Tel.（886）4-2359-9101
CNC manufacture, sales and services; LASER, ROBOT and
ROBOT system sales and services

FANUC INDIA PRIVATE LIMITED

Bangalore, India Tel.（91）80-2852-0057
CNC manufacture, sales and services; ROBOT system development,
manufacture, sales and services; LASER, ROBOT and ROBOMACHINE
sales and services

FANUC THAI LIMITED

Bangkok, Thailand Tel.（66）2-714-6111
CNC, ROBOT, ROBOT system and ROBOMACHINE sales andservices; LASER services

FANUC MECHATRONICS（MALAYSIA）SDN. BHD.

Kuala Lumpur, Malaysia Tel.（60）3-3082-1222
CNC, ROBOT, ROBOT system and ROBOMACHINE sales andservices; LASER services

PT. FANUC INDONESIA

Jakarta, Indonesia Tel.（62）21-4584-7285
CNC, ROBOT, ROBOT system and ROBOMACHINE sales andservices; LASER services

FANUC SINGAPORE PTE. LTD.

Singapore Tel.（65）6-220-3911
CNC, LASER, ROBOT and ROBOMACHINE sales and services

FANUC PHILIPPINES CORPORATION

Manila, Philippines Tel.（63）49-546-0178（63）49-546-0179
CNC, LASER, ROBOT and ROBOMACHINE services

FANUC VIETNAM COMPANY LIMITED

Ho Chi Minh, Vietnam Tel.（84）28-7309-7970
CNC, LASER, ROBOT and ROBOMACHINE services

FANUC OCEANIA PTY. LIMITED

Sydney, Australia Tel.（61）2-8822-4600
CNC, LASER, ROBOT and ROBOMACHINE sales and services■ South Africa
FANUC SOUTH AFRICA（PROPRIETARY）LIMITED

Johannesburg, South Africa Tel.（27）11-392-3610
ROBOT system development, manufacture, sales andservices; CNC, ROBOT, ROBODRILL and ROBOCUT sales and services;
LASER services

ANNUAL REPORT 2021

44