Foundations for Creating Competitiveness

Creative Branding & Design
The Company believes that an important objective of management is to further raise the value of the Yamaha brand andmake it shine. Based on our view that design contributes to management and branding, we established the Design Centerin fiscal 2012 before restructuring it as the Creative Center in fiscal 2020 to boost the drivers of the brand, and we engage
in a range of initiatives aimed at enhancing brand value.

Akihiro Nagaya
Executive Officer,
Chief General Manager ofCreative Center,
Brand Committee Chairman

Branding and Design Bringing Happiness to All 
In addition to its roles in product and advanced design, the Creative Centerpromotes activities for proposing value in a new era with the aim of creatingsynergies with our brand marketing functions.
In order to achieve our Long-Term Vision for 2030 of “ART for Human
Possibilities: Let’s strive for greater happiness,” instead of viewing everything—from the formulation of management plans and the development of products
and services to marketing—as separate, individual activities, we regard them allas “branding” and carry out all of them with equal importance and creativity. I
regard this approach as our response to the expectations placed upon Yamaha
Motor—long known for its design—as well as our mission and role in bringing
greater happiness to all.

Shifting from Designing Products to
Designing “Meaning” 
Based on the unique perspective we have from our history and future prospects thatare ours alone, we engage in design while asking ourselves what kind of value holds
meaning for people’s happiness and what are truly meaningful solutions for society.
Specifically, we move our work forward by collaborating with the various businessdepartments in a workshop format.
Interpreting the new “meaning” required for the upcoming era, we conduct
design accounting for everything from business strategies and the product itself to
our touchpoints with customers and society. We believe that doing so is what willallow more people around the world to identify with the types of value and solutions
we offer. By “meaning,” we are referring to the fundamental part of value that lies
behind our products and services. This is not simply about a product being “cool” or“beautiful.” I believe there is value to be found in design that targets the feeling ofsatisfaction that comes from the sense of pride or belonging—or even social consciousness—that develops by experiencing and owning a product.
The needs of modern customers are changing and becoming increasingly sophisticated. The role of the Creative Center is to satisfy those needs and bring happinessnot just to our customers but to people and the world. To that end, we are engaged
in a diverse array of initiatives with uniquely Yamaha approaches.

Soichiro Tanaka
Deputy Chief General
Manager ofCreative Center

Branding Connecting the History of the Unique Style of Yamaha to the Future 
In conducting our internal branding, we use our Innovation Map thatlays out everything from how the unique style of Yamaha has evolved
over the years to our Long-Term Vision in a single connected visual
narrative. This highlights and describes key individual events across theCompany’s history, from our founding and onward to the future, anddisplays how they are all related, making it easy to grasp how ourtradition of innovation has evolved. Encouraging employees to feelcloser to the Company and the brand helps create a collective mindset
for achieving the Long-Term Vision.

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Yamaha Motor Co., Ltd. Integrated Report 2021

18mm

Yamaha Motor Co., Ltd. Integrated Report 2021

35

Foundations for Creating Competitiveness

Creative Branding & Design

Autonomous Branding®—an Approach Balancing Diversity with Consistency Autonomous Branding®—the autonomization of branding activities—isan approach unique to Yamaha Motor and forms one of the foundations of its branding. Autonomous Branding® is an initiative based on
the unique style of Yamaha in which each involved party takes ownership of creating their own framework and carries out branding with theattitude of “diverse but one at heart.” We believe that the unique styleof Yamaha is the goal that we must pursue and that the methods fordoing so must also be uniquely Yamaha at the same time.
We apply this thinking in the design field as well, developing designs
that still retain consistency throughout our wide-ranging product lineup
to achieve things only Yamaha Motor can in a creative manner. This is
how we create and imbue “meaning” in our work.

Headquarters prepares a framework and branding content

Base A

Base B

Base C

Each business and base chooses from the framework anduses their choices to carry out branding autonomously

The Company prepares its BooM modular booth decoration system as show-ready content. By using it to match different events in various countries, Yamaha can project a diverse, yetconsistent booth design.

Activity Examples
Branding Activities during the COVID-19 Pandemic
We created a special logo to embody and communicate our hopesthat our stakeholders and fans around the world will overcome thiscrisis together and return to spending their days with bright smiles
and laughter.

We also held internal Yamaha Day events online around the world toraise brand awareness among employees.

Japan

ThailandCollaborations between Industry and Academia to Design “Meaning”
From our corporate mission of creating Kando, we are working together
with cutting-edge research institutes in Japan and abroad in a collaborative effort between industry and academia. This research matches
Yamaha Motor’s experience and accumulated “ART” with science to ask
what kind of Kando resonates with people’s hearts and society andwhat must be done to create it. This enables us to not only design whatbrings happiness to people and society from the core but also allows us
to design new value from possibilities that people are still not aware of.
From these endeavors, wegain an understanding ofwhat holds “new meaning”
for customers and the crucial
elements for creating experiential value and happiness forthe next generation.

Case Study of Activities with Kyoto University:
Culture Creation Process for Motorcycles
Experiences and ties
with customers

ART

Artistic thinking

New culture
creation

Changes insocial structure
Aspirations andanxieties ofindividuals

Science

Sociological analysis

Psychological analysis

Kyoto University

Designing a Sense of Stability for Urban Mobility

Yamaha Motor

Designing a Method for Leveraging the Design Development Process in Marketing

Tricity 300

Yamaha VR Marina

The great advantage of a Leaning Multi-Wheel (LMW)* model’s two front
wheels is the sense of stability and front-end confidence it offers riders. The
Tricity 300 was designed to express the dynamic performance and agility
behind that feeling as well as the meaning people seek in mobility for urban
settings.
In line with its design concept of “Your Right Hand” (for supporting yourwork or business), the Tricity 300’s design employs an inverted trapezoidsilhouette to balance the power of its 292cc engine with the sense of stability afforded by the LMW linkage.

Through a unique approach, we are moving forward with the researchand implementation of our Design DX to innovate the processes in
product development under the “Y-DX2: Strengthen the Present” action
theme.
We employed digital technology to launch the Yamaha VR Marina, avirtual showroom that we unveiled at the Japan International Boat Showin April 2020. Even those not able to visit the show in person could stillsee every detail of our boats, as if they were actually there.

* Leaning Multi-Wheel: Yamaha Motor’s designation for vehicles with three or more wheelsthat lean like a motorcycle through turns (Japan Patent Office Trademark #5646157)

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Yamaha Motor Co., Ltd. Integrated Report 2021

Yamaha Motor Co., Ltd. Integrated Report 2021

37

Foundations for Creating CompetitivenessResearch and Development

We will create mobility that brings greater happiness to people with
R&D aimed at addressing societal issues as our top priority. 
Yamaha Motor’s Course of Action for
Achieving Carbon Neutrality

The Fun of Mobility Itself
Is a Key Value

Various governments and numerous companies have set targets forachieving carbon neutrality between 2030 and 2060. Nonetheless, ascarbon-based emissions are deeply embedded in our lives, achieving acarbon-free world is expected to present daunting challenges. Towardachieving carbon neutrality in mobility, many technologies andapproaches are being examined, from hybrid electric vehicles (HEVs),
plug-in hybrid electric vehicles (PHEVs), and all-electric vehicles (EVs) tofuel cell vehicles (FCVs) and synthetic liquid fuel. However, when assessing things from a product life cycle perspective, the cleanliness levels of
the energy sources utilized in production processes and during productuse exert a significant environmental impact, making the shift away noeasy task. In addition, for smaller and lighter forms of mobility likemotorcycles, the issues of luggage capacity and purchase price weigh inmore heavily than they do for automobiles, which makes finding optimal solutions incredibly difficult. It will be hard to maintain the value
presented by conventional forms of personal mobility with the technological methods currently under consideration. For that very reason, we
believe we must create personal mobility with new forms that also offer
new value.

Today, as the value of mobility is being
reassessed, what lies at the center of thisis a tendency to focus on making mobility
easier and more relaxed, for example, as
symbolized by the CASE movement.
Heiji Maruyama
CASE places value on safely reaching a
Senior Executive Officer
and Director
destination by automatic means and in a
Chief General Manager
shorter time. However, we believe that aof Technical Research &key value of personal mobility is the fun
Development Centerof mobility itself. Needless to say, while
the resolution of societal issues is a toppriority, what we want to aim for is fun
and eco-friendly mobility that is there and ready for you when a sunny
day and good mood entice you to go out for a quick jaunt. The key
phrase of our Long-Term Vision is “Let’s strive for greater happiness.”
Guided by this phrase, we will create mobility that brings greater joy
while tackling societal issues in the unique style of Yamaha.

Direction of Our New Technology Development

Yamaha Motor will expand its domains ofoperation by linking Companywide­businesses and technological fields tocreate new technologies and businesses.

Yamaha Motor Co., Ltd. Integrated Report 2021

our next-­generation mobility vehicles are equipped with a simple cabin,
are self-standing thanks to automatic control technology, and can lean
through turns like a motorcycle. It goes without saying that no special
skills are required to ride or operate these vehicles. The automatic
attitude control systems governing their self-standing and leaning
capabilities are being developed using the latest model-based systems
engineering (MBSE)* methods as well as the technologies and knowhow acquired through the development of MOTOBOT—an autonomous
motorcycle-riding robot capable of circulating a racetrack at highspeed—and MOTOROiD—a proof-of-concept model equipped withartificial intelligence.
* Model-based systems engineering (MBSE): Systems engineering utilizing models

MBSE Approach for Next-Generation Mobility

Stepwise creation approach<Virtual>Requirements
analysis

Functional
designLogicaldesign<Real>

PhysicaldesignMOTOBOT
VehiclesSubsystems

Vehicle testing

Do not fall over

Chassistargets

Controltargets

Powertrain
targets

Subsystem
testing
MOTOROiD

Components

Chassiscomponent
targets

Actuator
targets

Component
targets

Component
testing

Electronic Control
GrowthTrajectory

Land Mobility Business
Operations
Marine Business
Operations• Create new technologies and businesses aimed atcreating new value

38

Yamaha Motor’s product range includes the Leaning Multi-Wheel (LMW)
category—situated between automobiles and motorcycles—and theCompany is developing next-generation mobility by applying and adapting its LMW technology. Our mobility proposals aim to improve on the
shortcomings of motorcycles—vulnerability to changes in the environment and outside interference, the possibility of falling over, and therequired skills to ride properly—while leveraging their advantages ofsmall size, minimal road and parking space requirements, a small
environmental footprint, and their ability to quickly navigate
urban areas. In addition, while not to the same extent as automobiles,

Our Four Core Competencies for Creating
Next-Generation Mobility

GrowthTrajectory• Serve as a bridge linking core technologies
among each business• Expand technologies and businesses into growing­peripheral as well as new domains in line with thefocus of each business

LMW—Next-Generation Mobility DevelopmentStepwise refinement approach

The environment for mobility is said to be undergoing a once-in-a-century revolution, including efforts to achieve carbon
neutrality, the major steps made toward “connected, autonomous, shared, and electric” (CASE) vehicles, and new electricvehicle (EV) manufacturers joining the industry. Yamaha Motor is conducting research and development to address and bringchange to a variety of mobility-related societal issues. The Company is also pursuing the development of technologies thatbring fun to mobility, one of the intrinsic values of personal mobility, while never straying from the unique style of Yamaha.

Powertrains

Chassis and Hulls

Solution Business
Operations

GrowthTrajectory

Manufacturing

Our four core competencies are our platform forcreating mobility that brings greater happiness.
We are advancing the development of next-generation
mobility by fully applying all of our competencies aswell as ensuring seamless coordination between them.

Yamaha Motor Co., Ltd. Integrated Report 2021

39

Foundations for Creating CompetitivenessIntellectual Properties
Yamaha Motor promotes its global intellectual property strategies toward creating, protecting, and utilizing its intellectual
property rights to raise both corporate and brand value.

IP for Business 
Under the banner of “IP for Business,” Yamaha Motor carries out its
intellectual property tasks based on its Four Policy Pillars of Intellectual
Property Activities.
The Company primarily views new technologies for electrification,
automated driving, and the like as well as new markets such as agriculture and medicine as advanced fields for growth that will play key
roles in securing pioneer status and market expansion. We are currently moving forward with efforts to create new value together withour business departments by capitalizing on today’s intellectual property landscape. Efforts to create, protect, and utilize the intellectual
property rights that will support the sustainable growth of Yamaha
Motor are being carried out through patent position analyses in our
major markets and regions of operation. Meanwhile, in new technological fields such as connected, autonomous, shared, and electric(CASE) vehicles and systems, we propose focus areas and co-creation
opportunities after performing SWOT (strengths, weaknesses, opportunities, and threats), STP (segmenting, targeting, and positioning),and other analyses to transform the advanced intellectual properties
powering Yamaha Motor’s value creation into corporate assets.

Four Policy Pillars of Intellectual Property Activities(1) M ove one step ahead of conventional intellectual property activities
that consist primarily of intellectual property creation linked to
product and technology development in existing businesses(2) Pursue intellectual property activities that preempt technologicaldevelopments and the expansion of business areas by looking beyond
our existing technologies and markets(3) Indicate advanced fields that target further preemption and businessarea expansion through analysis of the intellectual property
landscape(4) Contribute to management decisions and strategy formulation fromthe perspectives of intellectual property analysis and market andtechnological growth analysis

Intellectual Property Activities Underpinning Business Strategies 
Yamaha Motor utilizes an intellectual property mix combining patents,
design rights, and trademarks.
The Company prides itself on the unique designs of its products. Thus
we take proactive steps to secure not only the design rights for external
designs but also patents for external designs that serve a role from afunctional or technological perspective in order to comprehensively
protect Yamaha product designs and create unique value.
In addition to protecting the intellectual properties that underpin

Intellectual Property Mix and External Design Patent Examples for the BW’S
(2008–)(2015–)

Patents

Intellectual Property Activities Contributing to the SDGs 
Committed to contributing to society through its businesses, Yamaha
Motor has designated “Transportation, education, and industry” and“Innovation” as two of its four important societal issues (materiality
issues). The intellectual property department works to address thesesocietal issues by taking part right from the business modelV erification Testing of Mobility Support for
Persons with Limited Mobility

development phase and creating the intellectual properties that will beat the heart of these business models in order to further our work
toward achieving the United Nations’ Sustainable Development
Goals (SDGs).

Digital Transformation for Promoting Riding Safety

Yamaha Motor’s unique product designs and business activities, we
coordinate with the intellectual property authorities and other bodies ineach market to formulate a resolute response to any violations of ourintellectual property rights. Furthermore, the Yamaha brand has beenregistered as a trademark in almost every corner of the world to lead theCompany’s value creation in countries across the globe from the perspective of intellectual property.

Design rights

Trademark(2020–)

Patents

Patent for the front
design accounting for
air resistancePatent for the front
design for rainwater
deflection

Patent for the side
design accounting forunderseat storage
space

Patent for the side
design for increasing
passenger comfort

Design rights

PatentDesign rights

Patent application submitted thattreats the unique front cover design
as a functional part

TopicFirst-Ever Commissioner of the Japan Patent Office Award atIntellectual Property Achievement Awards

Proof-of-concept vehicle testing for a
low-speed automated driving system

Patent for technology that increases
convenience of low-speed automated driving systems

 elm Master™ Next-Generation Boat Control
H
System Bringing Automation to Boating

Patent for bow heading control system (left)Patent for joystick control system (center)40

Yamaha Motor Co., Ltd. Integrated Report 2021

Patents for digital technologies transforming how
we can communicate with riders (riding posture vs.
course traveled (left) and course traveled vs.
acceleration (right); patented only in Japan)

High-Versatility Agricultural UGV(Unmanned Ground Vehicle)

Yamaha Motor believes that product design makes significant contributions to its management and branding, and positions design alongside concepts and technologies as part of its
management foundation. To that end, we have remained committed to creating organizations and developing human resources in the field of design, and these efforts have won
recognition with the Company’s first-ever Commissioner of the Japan Patent Office Award at
the Intellectual Property Achievement Awards held in April 2021. This award signifies that
Yamaha Motor is practicing design-based management effectively utilizing intellectual property systems.
Going forward, Yamaha Motor will continue to offer new excitement and a more fulfilling
life for people all over the world as a Kando Creating Company while carrying on its initiatives
aimed at raising corporate and brand value.
Winning Points of Praise (Excerpt)• Established the Design Center in 2012 based on the president at the time’s (currently chairman of theBoard of Directors) uncompromising stance to protect the Company’s concepts and designs, andpromoted the unification of concepts and designs that previously differed by business unit
• Practices design-based management based on strong recognition of the need to communicate tocustomers the meaning and significance of purchasing a Yamaha in a world where products quickly
become commodities• In addition to having the head of design present at management meetings, designers participate informulating business strategies, thus the Company supports the process of clarifying the meaning
behind the value to be delivered to customers• Efforts taken by intellectual property departments to improve corporate value through intellectual
property activities that contribute to the business under the “IP for Business” bannerAward ceremony

MOTOROiD design rights

Patent for control system architecture enhancing versatility (left)Patent application submitted for vehicle system architecture (right)

Yamaha Motor Co., Ltd. Integrated Report 2021

41

Foundations for Creating CompetitivenessProcurement
To deliver our unique, high-performance, high-quality products throughout the world, procuring a diverse variety of quality
parts and materials with a global perspective becomes crucial. By proactively communicating with our suppliers and business
partners, we develop trusting relationships and engage in Monozukuri based on a spirit of co-creation with uniquely Yamaha
efforts that not only raise global competitiveness but also earn the respect and appreciation of society and mutually raise
the corporate value of all parties.

“Theoretical-Value-Based Procurement” and the Supply Chain 
Monozukuri Procurement Evolving amid the COVID19 Pandemic“Theoretical-value-based procurement” is an initiative unique to theCompany underway in collaboration with its business partners.
This approach—implemented with our partners—extends to procurement the theoretical-value-based production approach applied to ourmanufacturing and production processes, in other words, first drawing
up an ideal vision and then conducting improvement activities striving toachieve high-quality output.
Yamaha Motor is standardizing procedures and developing frameworks for its business partners to take independent action as the global
COVID-19 pandemic has placed significant restrictions upon on-site
activities. For example, we have begun conducting verifications andoffering support via video by connecting with business partners throughonline conference systems. We have also launched co-creative concurrent engineering activities in which we collaborate with business partners from the product planning phase utilizing actual procurement
items. Through these efforts, we aim to raise productivity and quality

Global Implementation ofTheoretical-Value-Based Production(No. of companies)

428

OverseasJapan

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

as well as reduce raw material costs, and we are also now able togenerate ideas for raising product value in the early stages of development.
As of fiscal 2020, 428 suppliers around the world have adopted ourtheoretical-value-based production approach. This has enabled us to go
beyond simply procuring the necessary components based on blueprints
and instead engage in more ideal Monozukuri with business partners
that includes consideration for materials and manufacturing processes.
By evolving our Monozukuri procurement approach even amid the
COVID-19 pandemic, we are aiming to create a more robust procurement network.

Strengthening Our Ties with Business Partners
Yamaha Motor openly shares its policies with its suppliers andexchanges of information and opinions are facilitated through various
venues to help align us toward a common goal.
As one such venue, the Company holds the annual Global Suppliers
Conference that gathers major business partners and suppliers fromaround the world. This event serves as an opportunity to share Yamaha
Motor’s vision and explain its initiatives. In addition, the conference
includes the presentation of awards to excellent partners in each business, the introduction of examples of theoretical-value-based procurement in practice, and the display of new products.
The COVID-19 pandemic forced an abrupt cancellation of the 2020
Global Suppliers Conference and the 2021 conference was held online
instead. A total of 250 business partners from 13 countries were invited
to this online conference, at which we sought ways to resolve societal
issues together with business partners through our focus areas ofAdvancing Robotics, Rethinking Solution, and Transforming Mobility,
and shared with our Monozukuri partners our dedication to co-creationthat heightens corporate value for everyone. The pandemic has impaired
our ability to hold face-to-face and group events, but we neverthelessremain committed to promoting mutual communication with an evenwider range of business partners by transitioning to virtual informationsharing and communication methods via ICT and capitalizing on thebenefits thereof.

Globally Promoting Sustainability across the Entire Supply Chain 
Based on a belief of mutual trust and mutual prosperity, the Yamaha
Motor Group seeks to avoid risks and minimize the potential damages
in crises that can affect our business partners, such as the global supply
chain disruptions wrought by the COVID-19 pandemic, natural disasters,
quality issues, and management-related circumstances.
Risks associated with management and quality issues are addressed
through annual monitoring by Yamaha Motor headquarters and comprehensive evaluations of business partners that examine business
continuity plans (BCPs) and the use of substances hazardous to theenvironment. Further, when deemed necessary, corrective measures
are implemented and their progress checked after implementation.
Moreover, a supply chain risk management system is utilized to clarify
the supply chains connecting raw materials to finished parts and components procured by the Group in order to analyze and monitor risk

factors and facilitate robust BCP management. We are also enhancing
our systems for stable procurement in preparation for emergencies tosafeguard against global procurement risks.
Furthermore, we ask our business partners to support the Yamaha
Motor Group’s Basic Policies of CSR and expect them to act on the basisof these policies. Our current Medium-Term Management Plan (2019–2021) calls for the rollout of these policies to cover approximately 90%
of our total worldwide procurement value, translating into more than
1,000 companies across the supply chain. We also plan to graduallybroaden the scope of these activities to include more countries based on
the unique human rights issues each faces while making refinements toimplementation methods.

Supply Chain-Spanning Initiatives for a Carbon-Free Society 
To achieve the Yamaha Motor Group’s goals for carbon neutrality, we
will be coordinating with industry bodies to build systems for tracking
and managing CO2 emissions across the entire supply chain.
Energy-saving initiatives targeting the production sites of suppliers were rolled out in fiscal 2019 as part of our wide-ranging activities for building a carbon-free supply chain together with ourbusiness partners. In addition, we will actively promote the effective
utilization of resources, such as the use of renewables, and practiceco-creation with business partners in the pursuit of technologicalinnovations for reducing CO2 emissions in the production of raw
materials and products.
Information on the Company’s policies for such initiatives andour trajectory forward are shared at the annual Global Suppliers
Conference in the effort to accomplish our goals together with
our partners.

Message from Management
Long-Term Procurement Policies Supporting Risk Management
and Ongoing Social Contributions
Our procurement activities must be constantly adapted to changes and societal issues.
We must not become preoccupied with improving efficiency and competitivenessthrough approaches dependent on production volumes and instead focus on constantly
enhancing the value we offer customers. Whether it is pandemics, distribution disruptions, or new regulations, risks to supply chains are growing on a global scale.
It is therefore crucial for us to work to ensure the ongoing growth of both Yamaha
Motor and its business partners alongside our efforts to strengthen our global procurement networks and boost competitiveness. It was for this reason that the Procurement
Global Executive Committee, of which I am a co-chair, established new long-term procurement policies for global rollout.

Olivier Prevost
Deputy Executive Officer, Director,
PTW Manufacturing & Engineering,
Yamaha Motor Europe N.V. (YMENV)Use of online conference systems

42

Yamaha Motor Co., Ltd. Integrated Report 2021

Sharing details on initiatives at the 2021 Global Suppliers Conference, which was held online

Yamaha Motor Co., Ltd. Integrated Report 2021

43

Foundations for Creating Competitiveness

Manufacturing and Production (Monozukuri)
We create high-quality products interweaving our technologies and sensibilities with the combination of our craftsmanship that brings added value to our products and our production processes that eliminate waste. Moreover, we will further
strengthen our production schemes through the application of new production and manufacturing technologies.

Theoretical-Value-Based Energy Concept for Generating Energy Value 
The growing severity of global warming is placing increasing
importance on reducing the emissions of greenhouse gases like
CO2. In response, the Japanese government announced its goal ofachieving carbon neutrality by 2050, sparking unprecedented
concern and efforts among companies to achieve a carbon-freesociety.
With these movements in the external environment, Yamaha
Motor announced its own goal of achieving carbon neutrality by
2050 and is working not only to minimize the energy consumed
in its business activities but also to increase its use of renewableenergy sources.
Toward minimizing energy consumption in its business activities,
the Company is putting in place initiatives based on a “theoreticalvalue-based energy” concept. This frames only the energy used
to transform materials into products as having value whileconsidering all other types of energy consumption as targets for
improvement. Applying this theoretical-value-based approach to
the energy consumed in production processes, we will identify thetypes of energy use that are truly necessary. Instead of using abuildup approach by looking at energy losses, this looks at theabsolute targets presented by theoretical ideal values and allows
us to produce a vision of the ideal energy consumption scheme.
We then work to bridge the gap between our current situationand this ideal. The Company first launched this unique approachfor theoretical-value-based energy in fiscal 2013. Now implemented at subsidiaries around the world, the program has led to
substantial success and we began encouraging our business partners to also adopt this approach in fiscal 2019. To date, we havevisited four Japanese companies and two overseas companies tocollaborate in minimizing their energy consumption. These visits
entailed diagnoses of equipment using measuring instruments
and analyzing energy losses based on the theoretical ideal toidentify and explain areas for potential improvement. Plans werethen formulated to guide co-run improvement activities over the
next year or two. In this manner, we aim to help business partners

enhance their own Monozukuri operations by reducing their CO2
emissions and energy costs.
These efforts have resulted in a 41% reduction of CO2 per unit
compared with fiscal 2010 in Groupwide CO2 emissions in fiscal
2020. This reduction translates to an average annual reduction ofaround 5%, an achievement several times over previous figures.
Furthermore, as these efforts have progressed, they have generated synergistic benefits, such as increased ease of conversation
due to lower equipment noise, cooler and more comfortableworkplaces with equipment producing less heat, and longer
maintenance intervals as equipment is used less. In that sense,
these activities not only save energy but also bring added value
welcomed on the production floor, such as making factories
quieter during breaks, increasing workplace comfort, and extending the useful life of equipment. The Company also aims to makethese energy-saving initiatives more engaging so that employees
take part in them of their own volition.
Through these initiatives, Yamaha Motor will strive to create
ultra-energy-efficient factories, contribute to preserving the global
environment, enhance the Monozukuri of its business partners,
and create more comfortable, worker-friendly production sites.

Value

Quasi-value

Equipment losses

Operational losses
No valueWorksite theoretical value

44

Yamaha Motor Co., Ltd. Integrated Report 2021

Case Studies
1

L inking of Individual Components and Their
Manufacturing Conditions to Augment Overall
Condition Management for Creating Quality Products

The technological development, systems engineering, and installation work required for successful manufacturing are all performed
in-house to ensure versatility to adapt to diversifying worksite
environments and objectives. Moreover, enhancing
our in-house technicalcapabilities also serves tostrengthen the ties between
the New Venture Business
Development & R&D Strategy
Section and investees.

2Collaborative Work between People and Robots

Yamaha Motor is building factory environments in which employees work alongside collaborative robots in work areas, so that
simple tasks are entrusted to these “cobots” while people areable to focus on value-adding processes that add to customer
satisfaction. As we automate work processes, we aim to raise
quality as well as reduce
manufacturing costs bycarefully delineating whattasks can be performed
instead by robots and workrequiring human eyes andhands for Yamaha Motor
Craftsmanship.

Launch of Three GET Manufacturing Projects
Employees of Group company in Thailand enacting our theoretical-value-basedenergy approach

Theoretical equipment efficiency

Technological theoretical value

guide theoretical-value-based activities. The Company defines a“smart factory” as a system that links and unifies data on people,
equipment, and products and information in manufacturing,markets, and engineering and which visualizes disparities andfluctuations between theoretical value and effective value in realtime. The system is utilized to have worksites apply theoreticalvalue-based thinking to address resolvable issues and to improvethe value provided to customers as well as important management indicators through theoretical-value-based activities.

Message from Management

Transformation into productsTechnology losses

Applying our Yamaha Motor Craftsmanship to Monozukuri operations at our manufacturing and production sites is essential togiving added value to products for our customers. At the sametime, the digitalization of manufacturing processes is crucial toraising the quality of each and every product and for generating
value in an efficient manner. Data can be used to drive improvements, but we believe deciphering the important messages
hidden within it requires real experience on the factory floor andtheoretical-value-based thinking.
At Yamaha Motor’s smart factories, people are the key players
in a process of utilizing data and experience gained on the floor to

Successes like the above will be deployed in Japan and overseas in the future to bring high-quality, cost-competitive Monozukuri to
our facilities worldwide.

Definition of Theoretical-Value-Based Energy

Minimum required energy

Yamaha Motor Smart Factory Initiatives 

Minimize losses by identifying
essential value

The manufacturing arm of the Global Execution Transformation (GET) team was established in fiscal 2020 and has launched three projects: 1) the evolution of the Monozukuri
Conference, 2) global manufacturing human resource development, and 3) the galvanization of key themes such as demand chain innovation (DCI),*1 theoretical-value-based
production (TVP),*2 and the Smart Factory. In the team’s first year in fiscal 2020, we
focused on making improvements to the Monozukuri Conference and setting up the
Global Manufacturing Committee to take the lead with our DCI and TVP efforts. The
Monozukuri Conference was held online last year with over 1,000 employees participating, demonstrating to us firsthand that this was an effective method to share meaningful
information. In addition to these activities, in fiscal 2021 we are formulating plans that tie
into global manufacturing human resource development and are bolstering measures for
reducing Scope 1 and Scope 2 emissions globally toward achieving carbon neutrality.
*1 An initiative aiming to maximize sales by adapting production to changes in the market while maintaining
appropriate inventory levels*2 An initiative to be carried out at all times with the participation of all employees that defines essentialfunctions from the perspective of customer value as theoretical value on the Monozukuri front lines tominimize the gap between the current state of production and theoretical value

Michael Chrzanowski
Deputy Executive Officer,
Chairman, Yamaha Motor Manufacturing
Corporation of America (YMMC)

Yamaha Motor Co., Ltd. Integrated Report 2021

45

Foundations for Creating Competitiveness

Sales (Marketing)Marketing positions customer needs as the starting point of all corporate endeavors and our endless pursuit of greater
customer satisfaction is how we seek to achieve sustainable growth.

Marketing That Showcases and Augments Yamaha Motor’s Strengths 
The Company established “The Global Yamaha Way in Marketingin Sales” to clarify our shared values for conducting marketing in
the realm of sales. The overarching vision of this manifesto is“Continuing to Create Lifetime Yamaha Customers,” and theprogram itself brings Yamaha sales bases around the world
together to globally share, teach, and learn from one another theknowledge they have cultivated individually while spurring eachother to greater heights.
Yamaha Motor divides the customer journey into its own sevensteps and conducts customer-centric activities for each. This provides a common framework for deliberation among our basesaround the world in order to define the objectives, identify thetarget customers, and thoroughly determine aims and actionsaligned with said customers. In sharing successful marketingcases, we employ a “teach and learn” approach that examines
why the case was successful, what difficulties were faced, andwhat is needed for continued success. Doing so leads to in-depth
study and discerning of the key factors of the case, and theknowledge born of the discussions is then formulated, accumulated, and shared globally, leading to new successes. Having
members from around the world who share the same values
gather in the same location for meaningful, customer-centric
discussion not only enhances teamwork but also enables theapplication of knowledge from other countries and will propel us
to the front of global competition.

Experience

Psychological
Share

Bolstering Our One-to-One Marketing and Driving Digital Transformation
with an Eye on the Post-COVID-19 New Normal 
In India, we are implementing various user experience-driven
initiatives for increasing customer touchpoints and generating
engagement benefits in preparation for the new normal to comefollowing the COVID-19 pandemic.
Specifically, we are raising the targeting accuracy of conventional means by utilizing lead marketing and customer data in
online advertisements and the like while developing online sales
systems for vehicles, parts, and accessories. Websites have been

Digital Marketing Initiatives in India Bold utilization of digital technologies for conducting communication tailored to eachindividual customer’s intent and situation
1. Website Renovation

YAMAHA
Information distribution and display
based on user area andmovement history

2. Online Sales Proactive approach from Yamaha Motor based on website
viewing history
YamahaserverAwareness

Experience

Interest

positioned as venues for stimulating the purchasing intent ofcustomers who will not—or cannot—visit dealerships and fortaking actions that lead to purchases. Content, user flow paths,
data structures, and more are being improved with this in mind.
In addition, virtual stores have been created as a new type ofcontent that accommodates the coming new normal, featuringreservation systems based on current dealership inventories, product image displays tailored to customer traits, and more.

Learn about the
product andcheck inventory

Web

Reserve

First visit

Second visit

Payment

Pickup or delivery

YAMAHA

Customer
SearchPurchase

Everything from product selection to sales talk made possible from home

Visit

Decision

ActionSeven Steps of the Customer Journey as defined by Yamaha Motor

46

Message from Management

Accelerating the Sharing of Dealership Successes:
MiS Activities Permeating Sales Efforts in Indonesia 

Dealerships in Russia Sharing Their Experiences toFacilitate Mutual Learning

Yamaha Motor’s Marketing in Sales (MiS) activities are permeating
all levels of sales in Indonesia, spreading not just among in-housesales and marketing representatives but also our dealership partners and their staff.
In these activities, dealerships in various areas come together toshare individual successes they have had based on common
themes and mutually communicate insights, teaching and learningfrom one another via discussion.
These activities were moved online and continued under the
COVID-19 pandemic for Yamaha’s One Team to continue creating
lifelong customers even in the face of market stagnation andactivity restrictions. To further accelerate such activities, theCompany plans to hold a shop manager competition in fiscal
2021 for 1,200 dealership managers selected from various regions
around Indonesia.

In Russia, we are running the Yamaha University Bus program in which we visit dealerships together with representatives from other dealerships so that they can learn fromeach other’s strengths in order to deliver better experiences to customers. Applying
lessons we learned from a successful initiative in Brazil, we are endeavoring to extend ourcustomer-oriented focus to our dealers.
During fiscal 2020, the COVID-19 pandemic forced
lockdowns and brought forth challenging businessconditions for us. However, even amid this adversity,
we have continued to promote the sharing of experiences among dealerships for mutual learning throughthe same “Teach and Learn” approach being applied
on a global scale in order to overcome our current
difficulties. By sharing successful initiatives by dealerships, we are facilitating action based on The Global
Yamaha Way in Marketing in Sales.

Yamaha Motor Co., Ltd. Integrated Report 2021

Online Area Marketing in Sales Meeting in 2020

Kyoko Shimoishi
General Director,
LLC Yamaha Motor CIS(YMCIS)

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47

Foundations for Creating Competitiveness

Human Resource Development
The Company endeavors to create work environments that serve as sources for the unique style of Yamaha Motor while
fostering and encouraging diversity and inclusion. We are aiming for even greater heights in the coming future, accelerating workstyle reforms with a global perspective in order to attract talented human resources from around the world.

Our Fundamental Beliefs As part of our global business operations, the Company is striving
to create an organizational structure with the agility required torespond to changing and evolving market needs. We believe that
if individual workers and their companies share ambitious goals
and work together to bring about not just business growth but
also personal growth, we can offer Yamaha Kando to customers
without fail. Premised on our fundamental belief that all corporate
activities begin with people, it is essential that our employees
work in harmony together and incorporate differing viewpoints
and values. Working to hone individual skills, securing specialists
in numerous technical fields, and applying our expertise in bothdeveloped and emerging markets are the types of efforts webelieve will lead to fulfilling the Company’s Long-Term Vision for2030 of ART for Human Possibilities.
As part of implementing this fundamental approach, we havecreated and put in place employee development programs aroundthe world and run training sessions that cover not only the skills
needed for the job field in question but also skills for businessadministration and strategic leadership. The skilled staff nurtured
through these programs is not limited to placements in specificregions. The Company’s policy is to examine postings around theworld where such staff can best apply their skills before restationing. Accordingly, we are building frameworks and rules appropriate for global human resources.

Human Resource Platform
Embodying the Unique Style of Yamaha Motor

Global Execution Transformation for Human Resources—Empowerment of Women Employees For Yamaha Motor to realize sustainable growth, it is absolutely
essential that we promote diversity and inclusion at a global level.
In keeping with these principles, we are developing and driving
new activities to encourage women employees who embody theunique style of Yamaha to actively communicate new businessideas and perspectives.

On International Women’s Day, March 8, 2021, the Global
Execution Transformation for Human Resources (GET-HR) initiative
was announced by GET-HR co-chair Melanie Tups as a global
undertaking. Plans to support and develop Yamaha Motor’s
woman workforce will be put into action in a stepwise manner.

Global Communication Aimed at Reform—English Proficiency Made a Promotion Criterion 
Having a workforce proficient in English with a global mindset isan essential requirement for sustainable success in our business.
The Long-Term Vision puts forward the expansion of international
collaborations, and we believe enhancing the Company’s global
communication capabilities will not only offer opportunities forfurther growth but also be an important factor for colleagues
around the world to forge closer connections among themselves
as well as in the broader community.

To facilitate smoother in-house communication and embrace
cultural diversity from numerous geographies, the decision wasmade in fiscal 2019 to make English proficiency a promotion
criterion at Yamaha Motor in Japan. We began providing English
training opportunities to staff at all levels in fiscal 2020 for raising
the level of English proficiency among headquarters employees,
and the language was made a requirement for promotion in
fiscal 2021.

Spirit of Challenge

Innovation

Excitement

Confidence

EmotionTies

Each employee working
to create Kando by boldly
taking on their own
individual challenges

Where fun andexcitement exist
at both work andin personal life

Employees withprofessionalism andindependent thinking

Employees with distinct
and diverse individual
strengths

Connected acrossborders of
every kind

Human Resource
Initiatives

Enhancement of Global Human Capital

Empowerment

Globalization

Transformation

Sustainability• Global grading(60% of management
positions filled locally)• Global transfers andpersonnel recruitment• Groupwide
remuneration policy

Materiality

Successor
management• Study abroad schemes• Selective global
development programs
Global Executive Program(GEP)
Yamaha Business School
Global (YBS-G)
Regional Development
Program (RDP)
Mentorship Program• Development of personnel toembody the brand• Rank- and departmentbased training• Empowerment of
women employees(10% in management
positions, GET-HR)• Internationalization of
headquarters workforce(10% of new graduate
career track recruits)• Employment of people
with disabilities• Engagement surveys• Global communication
enhancement
Inclusion of TOEIC score inpromotion criteria• Teleworking
Digital transformation•Yamaha Global Award

Messages from Management
Engagement and Quick Response to Drive Changes
To better clarify the internal issues we face, we completely revised our employee engagement survey in fiscal
2020 to facilitate making quicker improvements. There were three major changes: (1) the revision of key
performance indicators (change in emphasis from “employee satisfaction” to “employee engagement”), (2)the introduction of HR-Tech (online HR system), and (3) the inclusion of items pertaining to workplace dialogue (sharing of awareness and thoughts and visualization).
These new surveys revealed employees’ strong desire to contribute to the Company and to their department, two important indicators of engagement, and the scores for interpersonal relationships were very high.
Conversely, the survey cast light on a lack of understanding regarding Yamaha Motor’s vision. To address thisissue, venues were arranged for the president to explain the Company’s trajectory and for employees to give
their feedback. The benefits of these forums are already beginning to materialize. As we move forward, we willcontinue to pursue higher levels of engagement with an eye on possible global implementation in the future.

Talented Human Resources

Foundation
Workstyle reforms and human resource system development

48

Yamaha Motor Co., Ltd. Integrated Report 2021

Corporate Culture

General Manager of
Human Resources Division,
Human Resources &General Affairs Center

Globalization, Diversity, and Inclusion

Diversity and Inclusion

Frameworks and Systems

Tamami Kawai

Darryl Lovegrove
General Manager of Global
Human Resources Development
Division, Human Resources &General Affairs Center

The role of global human resources finds its foundation in the development and enhancement of commercial and governance frameworks. These, in turn, embrace cultural diversity, technological advancements, andthe unique style of Yamaha in supporting dynamic global business initiatives. Developing employees in amanner that allows for agile deployment is imperative in Yamaha Motor gaining a competitive advantage.
Diversity is a cornerstone of the Yamaha brand and has been part of our organizational DNA from theoutset. By nurturing and actively developing a global workforce that reflects our society and embraces
diversity and inclusion, the Yamaha Motor Group will be well positioned to achieve sustainable growth inmeeting its customers’ evolving needs.

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Yamaha Motor’s Sporting Activities

The Yamaha Motor Foundation for Sports

Since its founding, Yamaha Motor has opened new pathways forward and flourished driven by its Spirit of Challenge.
This spirit is embedded in our corporate culture and passed on from one generation to the next, rooted as an underlying
principle in not just the Company but in the hearts of all Group employees.
Playing, watching, and supporting sports contributes to the physical and mental development of young people andaids in the forming of communities. Sports also deliver social value by contributing to healthy international relations andeconomic development. Yamaha Motor’s involvement in sporting activities aims to help create this social value, to communicate the beauty of chasing one’s dreams and the dignity of tackling new challenges, and to share Kando with people
around the world through sports.

The Yamaha Motor Foundation for Sports (YMFS) wasestablished in November 2006 to commemorate Yamaha
Motor’s 50th anniversary. Since its inception, YMFS hascontinued to advance various projects for supporting
people pursuing their dreams and goals through sports.
Yamaha Motor supports YMFS and its activities as acorporate backer.

Motorcycle Racing
Sports Challenge: Grant

In motorcycle racing, riders battle each other to the checkered flag understrict rules and regulations. This motorsport therefore doubles as a testing
ground for developing cutting-edge technologies and epitomizes Yamaha
Motor’s Spirit of Challenge. Yamaha competes for championship titles invarious race categories, including the world’s premier motorcycle racing
series, MotoGP. In addition, Yamaha Motor actively works to promote thesport by nurturing and supporting up-and-coming young riders in order tofoster racing culture in countries and regions around the world.

Rugby
Yamaha Motor’s rugby club, Yamaha Motor Jubilo, competes in the Top
League—Japan’s foremost rugby league—and the team claimed the titleof No. 1 in the country in 2015 by winning the 52nd All-Japan Rugby
Football Championship. In addition, former players take the lead in running a rugby outreach program for elementary and junior high school
students, visiting local elementary schools to teach rugby classes, andmaking other contributions toward the healthy development of Japan’s
youths through the promotion of rugby.

Soccer
The Jubilo Iwata professional soccer team is a J.League club with roots in
the Yamaha Motor Soccer Club, and the team has been crowned league
champion on three occasions in its history. The Yamaha Motor Soccer Clubwas established in 1972 when the Company’s headquarters was moved to
Iwata. The club was formed with the goal of becoming a team closely
connected to and loved by the local community, and in the roughly 50
years since, it has continued to contribute to the promotion of community
sports by operating soccer schools and arranging sports competitions.

YMFS offers experience grants to support the ambitions of athletes, instructors, referees, and others as well as research grants
to support the work of sports scientists and other researchers.
To date, grants have been provided to more than 400 individuals
to support them in pursuing their dreams and achieving theirgoals. The grant programs of YMFS are designed to back people
with fiery passion and exciting future potential while offeringrobust support through a unique curriculum that includes
self-growth analysis via PDCA (plan-do-check-act) cycles andpresentation forums to promote exchanges between athletes andresearchers. This broad support accelerates the development ofpromising individuals with the potential to shine on the world stage.

Tadao Isaka
Vice President,
Ritsumeikan University
Director, Yamaha Motor
Foundation for Sports
Sports Challenge Grant
Committee Chairman

The grant programs offered by YMFS are quite unique. Forums
are arranged between athletes and researchers as opportunities
for interaction and to encourage the mutual reporting andsharing of opinions regarding each other’s ambitions. This helps
provide both with stimuli and discoveries not found in their daily
training or research. Additionally, YMFS’s programs cultivate afamily-like atmosphere in which past program participants
sometimes become assistant instructors or leaders to provide
robust support for the development of new participants. These
programs thus connect participants with opportunities to spur
their growth into world-class athletes and researchers, thereby
playing a part in shaping the futures of their fields.

Challenge UniSupo

Sports Challenge Awards

Boccia was born as a parasport but has since evolved into auniversal sport (UniSpo) that can be enjoyed by and which
encourages exchanges between people of all ages and physicalcapacities. YMFS arranges classes at elementary and junior highschools in Shizuoka Prefecture for students to experience boccia
while also doubling as opportunities for academic study.

Yamaha Motor presents awards to the unsung heroes behind thesports industry. The awards honor these individuals and highlighttheir stories to communicate to society how hard work pays off
and the respect that comes from tackling new challenges.

©JUBILO IWATA

Competitive Sailing
YAMAHA Sailing Team ‘Revs’ is a 470 Class sailing team that has
participated in numerous domestic and international sailing competitions,
including the Sailing World Championships and World Sailing’s SailingWorld Cup.
Scrum Unison was selected for the Inspiration Award at the 12th Sport Challenge Awards.

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