Idemitsu at 100: Soaring to Greater Heights, Forging New Grounds
Press Release
July 31, 2011
Celebrating its 100th founding anniversary, one of Japan’s leading petroleum companies can look back to its humble beginning as it forged the way ahead to greater heights using innovation and technology and by expanding its ventures to overseas shores.
From its modest beginnings in 1911 selling lubricating oils, Idemitsu Kosan has since expanded and moved into diversified fields such as the procurement of crude oils, refining, sales of petroleum products and the development of oil resources, petrochemicals and alternative energy resources enabling it to be listed in the well-renowned Fortune Global 500 Index, a listing of the top 500 companies worldwide.
Idemitsu is now the second largest petroleum refiner in Japan and it is ranked as the 262nd largest company in the world by revenue in the Fortune Global List. Aside from this, it numbers 26 in petroleum refining worldwide.
With a workforce of over 7, 000 in 50 offices in Japan and overseas, the company is set to further climb to greater heights as it has made its presence known in countries such as the United States, Germany, China, India, Taiwan, Thailand, Indonesia, Korea, Singapore, Malaysia and the Philippines.
In the Philippines, Idemitsu has partnered with Unioil Petroleum Philippines Incorporated (UPPI) with the latter being the sole distributor of the Idemitsu international brand of lubricants since 1994 when it transferred its lubricants business division to Singapore.
Unioil General Manager Chito Medina-Cue paid tribute to the partnership saying that they have never received any complaints from customers of Idemitsu products sold by its retail stations.
“For the past 17 years we had not encountered any major problem or complaints such as engine breakdown due to the oil nor any service complaints regarding quality. It only shows the high quality of Idemitsu products,” Medina-Cue said.
“Based on our experience, it is a trusted brand not only limited to Japanese manufacturers. It is also being recognized by American, Korean and other manufacturers,” he added.
As it celebrates its centenary foundation, the company extolled its success formula aptly described by its founder Sazu Idemitsu in the “Idemitsu Kosan Corporate Philosopy” which can be summed up in four areas namely: Putting People First, Consumers Comes First, Giving Importance to the Environment and Diversification.
Just like any other business, Idemitsu Lube (Singapore ) Assistant to the Managing Director Shinya Fujikake said the company started small but by placing highly-capable individuals at key areas, it has enabled the company to surpass its competitors and expectations.
“Ever since the foundation of the company in 1911, Idemitsu has been following the fundamental principle of respecting human beings. Thus, the selection and developing of personnel have been treated at all times with utmost care, and the company has striven to hire and maintain personnel who are worthy of respect both within the company and out in the society,” the company said.
Fujikake explained that despite the changed conditions today, the company still maintained its traditional corporate culture which has served the company well in the past, even during difficult years.
“Our staff members take great pride in the company’s growth and achievement. Hence, they fell a strong sense of responsibility toward the company and of solidarity among themselves, displaying the full range of their abilities when facing adverse circumstances and periods of economic instability,” he added.
Likewise the company’s business orientation under the motto “Consumers Come First and From Producer to Consumer” was first coined in 1951 when it decided not to join the bandwagon by which the import of crude oil should take precedence over all other considerations.
It has done so by announcing its own new oil policy of putting consumer’s first and imported high-octane gasoline the following year, thereby gaining the company reputation as one which put consumer consideration first before profits.
Its landmark decision led to the eventual success of its gasoline product under the brand name “Apollo.”
Despite its success, Fujikake said the company has not forgotten the environment as it worked on further developing products with the highest degree of quality, thereby ensuring lesser pollutants, and by partnering with similar-minded companies and organizations where it has a presence.
“Idemitsu has long understood that a healthy environment and a steady supply of energy are two completely interconnected realities, and so our concern over environmental issues has continues since early on,” he added.
Citing as an example of its pro-environment leanings, the company established a “green belt” around its first refinery on Tokuyama in 1957 that comes equipped with advanced equipment for pollution protection.
That measure set a precedent that other companies copied.
“Ever since the implementation of this plan at the start of Idemitsu’s refinery operation, all Idemitsu-affiliated groups adopted it. The company has always been trying to be a leading company in the oil industry in this sense. Late in 1960’s the company took measures to cope with atmospheric pollution and in 1993 the company reduced the content of benzene in gasoline,” the company added.
Aside from this, the company’s headquarters, refineries, lubricant plants and other business areas have all been given International Standard Office (ISO) 14001 certification for environmental management.
On another level, the company is annually involved in such environment-friendly activities as tree planting, environmental restoration and onsite power business among others. ###