Business Models and Strengths
The Daiken Group makes use of the four strengths of (1) research and development capabilities to pursue the possibilities ofsustainable industrial materials and a safe, secure, healthy, and comfortable space; (2) product deployment capabilities tocreate industrial and building materials having various features; (3) a customer base that has long been built with a wide
variety of professional customers; and (4) an integrated system to engage in the development of industrial and building
materials as well as the installation work and construction for creating spaces and is committed to sustainable value creation.
Strength

1

Strength

Research anddevelopment2

Development ofindustrial materials/
Development of building
materials

Production

Provide new functions to increase added value

Realization of high-quality
and stable supply at ourgroup’s plants

Feedback (Markets/customers’ needs)

Strength1

Research anddevelopment
capabilities

Pursue the possibilities of sustainable industrial materials and a safe, secure, healthy,
and comfortable space

Daiken Corporation was founded soon after the war with an eye toward the effective use of timber as
precious resources and the contribution to society through postwar reconstruction.
We conduct research and development based on the two ideas of (1) overcoming weaknesses andextracting the beauty of timber and (2) using timber with zero waste as the technology to effectively
use timber.
As the expansion of applications to something other than timber, we have also proceeded with thetechnological development to apply technology to handle wood fibers and utilize unused mineralresources.
Furthermore, as the field to make use of materials and technologies we have created, we have been
expanding the applications above into research and development to pursue spaces where people canspend the time safely, securely, healthfully, and comfortably.

StrengthDaiken R&D Center2Productdeploymentcapabilities

Create a new standard with functional products

By utilizing industrial materials that made use of timber, which is a renewable resource, and sustainable resources, such as volcanic ash as an
unused resource, the Daiken Group has the capabilities to create a new standard with our products having the functions that make the spaces
where people spend their daily lives safe, secure, healthy, and comfortable.
With the technology cultivated in special plywood, which is the business at the time of the establishment of the company, we developed
industrial materials that made use of wood and mineral resources and by using these industrial materials as base materials, we have been
expanding into the deployment of building materials with increased added value.
These product deployment capabilities have become our response capabilities, leading to the sustainability of our business.
Product
deployment that
overcomes theweaknesses ofand extract thebeauty of timber

Building materials business
Flooring
Technological development that will lead tothe promotion of the use of domestic timber

Expand to the flooring
substrates by developing
special MDF

SpecialExpansion from industrial
plywood materials to building materials

Expand to mineral
resources (slag wool)

Expansion toindustrialmaterials

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CabinetConstruction materials

Special MDF for flooring substrates
Decorative surface
materials
Basematerials
Special MDF

Expansion tobuildingmaterials

Product
deployment thattakes advantageof the technology
to use timber withzero waste

Door
StairsExpand as the basematerials

DAILOTONE
Ceiling materials Wall materials

Expand to unused
resources (volcanicash)

Insulation board
Use application
development that takes
advantage of the featuresof wooden fiberboards

DAIKEN GROUP REPORT 2023

Protection board
Inner part of a tatami mat

Road joint

MDF

Deploy tatami facing thatmakes use of machine-madeJapanese paper

Base materials for building and furniture

Tatami facing

Expand to fiberboards of different
specific gravities

Industrial materials business

Acoustic products

Expand to acoustic products
from the sound-absorbing
board technology

DAILITE
Wall base materials Wall materials
Eaves
Louver materials
Woody fibers
DW fiber
GLOW EARTH
Veneer/LVLStructural housing materials

4

Nationwide branch and sales office networks
Dedicated sales structure by market and customer

Installation workand construction

Respond to customers’ requests and offer thecreation of more comfortable and secure spaces

Strength3

Daiken Group’s Value Creation

Strength

Sales

Markets and customers

Public spaces

Living spaces

Strength

3

Customerbase

Relationships of trust with professional customers

The Daiken Group has built relationships of trust with a wide variety of professional customers ranging from the housing and constructionindustries to various manufacturers through long standing dealings.
By not only reflecting such needs and information obtained from customers in the initiatives for daily improvements, such as quality andusability, but also feeding back to the development of next industrial and building materials and R&D, we continue to provide new value.

Strategy for Value Creation

Key customers
Business owners, Clients, and General users
Renovationcompany

Developer
General contractor

Design office/
Designer

Building
contractorHome
builder

Housing
manufacturer

Various
manufacturers

Distributor

The Daiken GroupStrength4Integratedsystem

Engaging in the development, installation, and construction of industrial and building
materials

Slag wool

DAILOTONE

Data

Industrial and building materials do not function as is and the installation work and construction are required in order for them to deliver
performance.
Daiken not only sells products, such as industrial and building materials, but is engaged in the installation work, construction, and creation ofspaces in the three domains of interior projects for offi­ce buildings and public facilities, home renovation work, and apartment renovation bycooperating with the group companies engaged in the installation work and construction.
By consistently engaging in the industrial and building materials located in the upstream part as well as the installation work and construction
to create spaces, our entire value chain can provide value.
We link the needs obtained in the installation work and construction sites with the development of labor-friendly type products and techniques.

Engineering business

DAIKEN GROUP REPORT 2023

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