REG - Mitsubishi Elect. - Statement re Moves to Reform its Quality Culture

Mitsubishi ElectricAnnouncement

08/07/2021 10:40

RNS Number : 6179E
  
Mitsubishi Electric Corporation
  
08 July 2021
  
 

 
 
 



 


No. 3421




 












Media Inquiries


















Public Relations Division








Mitsubishi Electric Corporation


















prd.gnews@nk.MitsubishiElectric.co.jp








www.MitsubishiElectric.com/news/



 
Mitsubishi Electric Moves to Reform its Quality Culture
 
TOKYO, July 2, 2021 - Mitsubishi Electric Corporation (TOKYO: 6503) announced today that, in response to the discovery (disclosed June 30, 2021) of improper testing of HVAC (Heating, Ventilation and Air Conditioning systems) for railcars and other products for railcars manufactured at the company's Nagasaki Works (Togitsu-Cho, Nishisonogi-Gun, Nagasaki Prefecture), it has established an emergency response division led by the company president to investigate the facts surrounding the improper conduct, elucidate the causes and formulate measures for preventing any recurrence, as well as implement reforms in the company's quality culture.
 
Company-wide Structures for Strengthening Quality Control
To date, Mitsubishi Electric has inspected its own company and subsidiaries in relation to improper conduct concerning quality on three occasions (FY2017, FY2018 and FY2019-2020).
 
The company-wide inspection conducted between FY2019 and FY2020, in particular, was informed by past experiences and covered all of Mitsubishi Electric's domestic business sites as well as 121 subsidiaries. The process involved on-site inspections of quality data by Mitsubishi Electric divisions and subsidiaries, and objective verifications by an internal inspection team formed from Mitsubishi Electric's Corporate Auditing Division, Corporate Strategic Planning Division, Corporate Quality Assurance Planning Department, R&D Centers, and other related divisions.
 
Accordingly, this new discovery that other product inspections were conducted improperly is cause for great concern and much regret, which is why the company established the emergency response division led by the company president today. In addition, the company will set up an investigative committee chaired by an external lawyer to liaise with the board of directors' Audit Committee, aiming to incorporate external perspectives into the process of clarifying the current situation. The committee will conduct a company-wide investigation of the facts surrounding the improper conduct and elucidate the causes, based on which it will formulate recommendations for preventing any recurrence. 
 
The emergency response division will receive reports and recommendations from the investigative committee, based on which it will establish and implement reforms in the company's quality culture.
 
Future Schedule
By this coming September, Mitsubishi Electric expects to announce the results of the investigation of the matter of improper testing in its Nagasaki Works together with measures aimed at preventing any recurrence. The investigation will be carried out across all company divisions simultaneously and the announcement will follow as soon as possible once the process is complete.
 
###
 
About Mitsubishi Electric Corporation
With 100 years of experience in providing reliable, high-quality products, Mitsubishi Electric Corporation (TOKYO: 6503) is a recognized world leader in the manufacture, marketing and sales of electrical and electronic equipment used in information processing and communications, space development and satellite communications, consumer electronics, industrial technology, energy, transportation and building equipment. Mitsubishi Electric enriches society with technology in the spirit of its "Changes for the Better." The company recorded a revenue of 4,191.4 billion yen (U.S.$ 37.8 billion*) in the fiscal year ended March 31, 2021. For more information, please visit www.MitsubishiElectric.com 
*U.S. dollar amounts are translated from yen at the rate of ¥111=U.S.$1, the approximate rate on the Tokyo Foreign Exchange Market on March 31, 2021

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
  END
 
 
STRKVLBBFDLLBBK