Introduction to the UT Group

Introduction to the UT Group

The UT Group, with its core business in manufacturing dispatching and outsourcing services, supports Japanese manufacturing. The UT Group celebrated the 20th anniversary in 2015 and is aiming to become “Japan’s No. 1 leading outsourcing provider in terms of both quality and volume." Let us introduce more details on the Group.

Developed the regular employee dispatching and outsourcing service business

The UT Group is engaged in the regular employee dispatching and outsourcing service business in the manufacturing outsourcing service (UT Aim), construction (UT Construction Network), and design & development (UT Leading) sectors.

Developed a business model to receive orders for the entire process

When the Company was founded, individual workers were dispatched to the client’s workplace and, without gaining a sense of neither camaraderie nor accomplishment they tended to be less motivated and stayed only for a short period. We then created a unique business model to receive orders for the entire manufacturing process from our clients.By working together with colleagues and learning from senior workers, our employees are motivated, which results in a higher retention rate and manufacturing efficiency. Our business model has also contributed to raise our clients’ management efficiency, resulting also in the increase in the number of our customers.

Create vigorous workplaces empowering workers

The UT Group has challenged the industry’s common practices and conventional mindsets and has emphasized to create “vigorous and happy" workplaces. We are the first in the industry to hire regular permanent employees and to fully provide them with social insurance. We have led the industry by creating the environment that enables workers to be comfortable in their work. Various programs have been established to encourage and support our employees. These include the “Super Manager School" for fostering future executives of the UT Group; the “Entry System," the industry’s first system to appoint important executive positions from candidates who apply for positions by themselves; and the “One UT Project" which supports our employees in career development within the Group.

Earned the trust with the top-class high employee retention rate in the industry

Today’s manufacturing dispatching and outsourcing service providers are required to provide consistent high quality services. A high employee retention rate is a base to enable this. The UT Group has realized the top-class retention rate. As our workers tend to work for many years, their accumulated skills and knowledge enable us to provide high quality services. This has resulted in earning the trust of our customers and increasing our market share in areas which require advanced skills and expertise.

Specialized in the growth sectors

The UT Group has achieved the No.1 share* in manufacturing outsourcing services of the semiconductor sector. By leveraging such achievement and know-how, we are expanding into promising growth sectors for further growth and stability. Specifically, in addition to the electronics industry (semiconductors, electronic components), our target areas include the “environment and energy sector," the “automotive sector,” which is on a recovery trend against the backdrop of an economic recovery and a shift to new-generation automobiles, and the “housing and construction sector," which is seeing growth in need for post-earthquake reconstruction and increased public spending. * No. 1 in the manufacturing outsourcing industry in terms of a number of manufacturing outsourced and dispatched employees in the semiconductor-related industries (internal estimates based on various companies disclosed materials)

Aiming to become “Japan’s No. 1 outsourcing provider in terms of both quality and volume

Overcoming the global financial crisis of 2008 and 2009, the UT Group has entered into a new growth path. In 2011 we announced the new Medium-Term Business Plan with a vision to shift from “No. 1 semiconductor outsourcing provider" to “Japan’s No. 1 outsourcing provider in in terms of both quality and volume." Based on the accumulated achievement in outsourcing services, we are entering into growth areas with a plan to contribute to the creation of good employment opportunities and the expansion of career advancement opportunities.

Information is disclosed proactively to individual investors.

UT Group places IR activities as one of the most important issues of management based on its IR Declaration. We hold the general meeting of shareholders on Saturdays and Sundays for the convenience of individual shareholders. We also hold briefings for individual investors at least four times a year. Yoichi Wakayama, President, Representative Direct and CEO, will provide direct explanations and answer all questions at those briefings. We are also committed to achieving EBITDA growth of 30% or more y-o-y (5-year medium-term plan) average growth rate in the 3-year business plan) and a total return ratio of 30% or more through dividends and share buybacks.