Medium-Term Management Plan

Make Waves 2.0

Apr. 2022 – Mar. 2025


Roadmap for achieving our mission

The Yamaha Group conducts business focusing on sound and music following its corporate philosophy of “Sharing Passion & Performance” to contribute to the “Well-Being of People around the World.”
To carry out this mission, we adopted our medium- to long-term management vision to boost our brand power to become a highly profitable enterprise and “Become an Indispensable, Brilliantly Individual Company.” The medium-term management plan set specific themes for incrementally building our corporate value. The central theme of the new Make Waves 2.0 medium-term management plan launched in April 2022 is enhancing our growth capability.


Make Waves 2.0 external environment forecast

The COVID-19 pandemic that begun during our previous medium-term management plan has set in motion changes in the social environment, and we believe society is going to continue changing.
We anticipate the new society that emerges from these changes will present an even wider range of opportunities for the Yamaha Group as part of our quest to create excitement and stimulate cultural inspiration with our combination of technologies and sensibilities rooted in sound and music.

The revolutionary transformation brought about by the accelerated digitalization

Industrial structure and the world are changing drastically and more direct and closer ties with customers are becoming stronger.

The revolutionary transformation brought about by the accelerated digitalization

Greater diversity in lifestyles and sense of value

Not only functionality and convenience, but also people are seeking greater emotional satisfaction and authenticity.

Greater diversity in lifestyles and sense of value

Growing awareness of sustainability

Greater demand for corporate social responsibility.
Broad awareness that social contribution links to corporate value creation in the medium to long term.

Growing awareness of sustainability

Opportunities for Yamaha to combine its technologies and sensibilities to provide new value for the new society


Materiality and Medium-Term Management Plan Policies


Based on the outlook for changes in the medium- to long-term operating environment, the Yamaha Group has defined 10 material issues in the three areas of business foundation, environment and society, and human resources as important management priorities that we must address to realize our management vision.

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Set medium-term management plan policies based on materiality

Medium-Term Management Plan Policies

Make Waves 2.0 delineates three key policies and sets priority themes for our current objective to enhance our growth capability.

Basic policy of the medium-term management plan: Enhance sustainable growth capability in the new society

Key policy 1
Business Foundation
Further strengthen the business foundations

Key themes
  • (1)Develop closer ties with customers
  • (2)Create new value
  • (3)Be more flexible and resilient

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Key policy 2
Environment and Society
Set sustainability as a source of value

Key themes
  • (1)Build a value chain that supports the future of the earth and society
  • (2)Enhance brand and competitiveness by contributing to comfortable lives
  • (3)Expand market through the promotion and development of music culture

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Key policy 3
Human Resources
Enable Yamaha colleagues to be more valued, more engaged and more committed

Key themes
  • (1)Increase job satisfaction
  • (2)Promote respect for human rights and DE&I
  • (3)Foster open organizational culture where people can proactively take on challenges

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Management Indicators

Non-Financial Targets

Make Waves 2.0 sets very clear non-financial targets for its three key policies. We believe strategies that fully incorporate the non-financial targets will be more effective at leading us to accomplishing the plan's financial targets.

Key policy 1
Business Foundation
Further strengthen the business foundations

Non-financial targets
Indicators to connect more with customers

Yamaha Music ID registrations
5 million IDs
New indicator

New value creation indicators

Number of new concept products introduced
20 models
Make Waves1.0: 10 models

Resilience indicators

Investment in production infrastructure
¥35 billion
Make Waves 1.0: ¥27 billion

Key policy 2
Environment and Society
Set sustainability as a source of value

Non-financial targets
Music culture promotion indicators

10 countries supporting instrumental music education
Cumulative total :
2.3 million students
Current: Cumulative total 1.29 million

Environmental impact reduction indicators

Sustainably sourced timber
75% *Company standard
Current : Assumed 55%

CO2 emissions
5% reduction by energy saving
*CO2 emissions / production compared with the FY2018/3 levels

Key policy 3
Human Resources
Enable Yamaha colleagues to be more valued, more engaged and more committed

Non-financial targets
Indicators for job satisfaction

Employee engagement survey
Positive response rate
for job satisfaction

Continuous improvement
Current results for FY2022/3: 66%

Gender equity indicators

Percentage of female managers
Global average 19%
Current results for FY2022/3: 16.5%

Indicators for workplace environment

Employee engagement survey
Positive response rate
for workplace environment

Continuous improvement
Current results for FY2022/3: 63%

Financial Indicators

The achievement of our four financial targets will be the result of measures we implement to fulfill our efforts to support the “Well-Being of People around the World.”
The main financial targets are for the core operating profit ratio and ROE, which were set as indicators under the previous medium-term management plan. To these, we have added revenue growth rate and ROIC, which are indicators of our growth potential.
Capital generated by pursuing these targets will be directed toward business investments and shareholder returns.

  • *1. As of March 2022
  • *2. ROIC = Core operating profit after income taxes / (Equity attributable to owners of parent + Interest-bearing debt)

MAKE WAVES 1.0(2019-2022)

Boost our value creation capabilities

Although the pandemic conditions prevented us from achieving our financial targets, we used the situation to bolster our abilities to respond to crisis conditions and generate earnings.

[ Accomplishments ]
  • Integration of customer data platform progressed, thereby accelerating digital marketing
  • Provided products and services that meet new demand related to remote and other solutions
  • Launched factory in India, expanded production capacity and number of models manufactured
[ Achievements ]
Financial Targets 2022/3
medium-term management plan targets
(Billions of yen)
408.2 470.0
Core operating profit
(Billions of yen)
43.0 65.0
Core operating profit ratio 10.5% 13.8%
ROE 9.2% 11.5%
EPS ¥215 ¥270
Non-Financial Targets
Increased corporate brand value by 1.5 times, surpassing the target of 1.3 times
Number of students offered instrumental music performance experiences through School Project reached 1.3 million, exceeding the target of 1 million students
Achieved use rate target of 50% for certified timber

NEXT STAGE 12(2016-2019)

Increase brand power

We enhanced the Yamaha brand power worldwide by developing products with outstanding individuality, increasing our customer numbers, and strengthening the global business management system.

[ Accomplishments ]
  • Introduced unique products fusing technology for sound and people
  • Significantly expanded the number of audio equipment contractors accounts
  • Promoted global human resources management, established three global IT headquarters, and introduced IFRS (in April 2019)
[ Achievements ]
Financial Targets 2019/3
medium-term management plan targets
Net sales (Billions of yen) 437.4 465.0
Operating income* (Billions of yen) 56.0 55.0
(Reference) Core operating profit* (Billions of yen) 52.7 -
Operating income ratio 12.8% 12%
(Reference) Core operating income ratio 12.1% -
ROE 11.4% 10% level
EPS ¥241 ¥200 level
  • *Operating income based on J-GAAP
  • *Core operating profit based on IFRS standards


Increase profitability

Profits substantially increased from reforming our business structure, reducing cost, and improving the gross margin in the musical instruments business.

[ Accomplishments ]
  • Increased sales in the electronics business domain
  • Boosted our cost competitiveness
[ Achievements ]
Financial Targets 2016/3
medium-term management plan targets
Net sales (Billions of yen) 435.5 430.0
Operating income (Billions of yen) 40.7 30.0
Of which, Musical Instruments and Audio equipment (Billions of yen) 31.5 / 8.7 18.5 / 8.5
Operating income ratio 9.3% 7%
ROE 10.1% 10%
EPS ¥168.9 -
FCF (3-year period, Billions of yen) 73.3 50.0*

*Does not include M&A investment

Business Foundation

  • Connect with customers
  • Provide new value by incorporating products and services
  • Create new value through the fusion of cutting-edge technology, sensibility
  • Encourage open innovation
  • Mastery skills and technology
  • Strengthen resilience
  • High quality that leads to absolute customer trust
Digital Transformation(DX)
  • Create new value and transform business process in various fields
  • Strengthen Group governance

Environment and Society

  • Response to climate change
  • Sustainable use of timber
  • Resource savings, reduction of waste and hazardous substances
  • Contribution to an equal society and comfortable lives
  • Respect for human rights in the value chain
  • Spread and development of music culture
  • Strengthen Group governance

Human Resources

Human resources
  • Increase job satisfaction
  • Respect for human rights and DE&I*
  • Foster open organizational culture where people can proactively take on challenges

*DE&I: Diversity, Equity, and Inclusion

Key Theme 1 (1)

Develop Closer Ties with Customers

We will bolster our sales channels by increasing direct sales as a manufacturer to forge stronger ties with customers.
We will communicate the Yamaha value through a combination of digital marketing and activities at our physical bases.
We will also augment the customer data platform supporting those activities by continuing to build out the areas that were created during the previous medium-term management plan so we can offer services with longer, wider, and deeper ties with customers.


Key Theme 1 (2)

Create New Value

Yamaha is developing new products that combine its strengths in digital and acoustic technologies while developing a business model for our services that forges longer, wider, and deeper ties with customers.
We will continue honing the AI and network technologies behind those products and services as well as the rich sensibilities that are the foundation of our value creation.


Key Theme 1 (3)

Be More Flexible and Resilient

We are bolstering the resilience of our procurement and production systems and enhancing the production capabilities of our existing factories.
Make Waves 2.0 sets ¥35.0 billion for investment in production infrastructure. Investment to reinforce our development platform will be to construct a new R&D base in the Tokyo metropolitan area and ramp up our use of external resources and alliances.
We will also advance our digital transformation with the aim of reforming our internal processes and creating new value.


Key Theme 2 (1)

Environment: Build a Value Chain That Supports the Future of the Earth and Society

  • *1 Eco-Products: Certified environmentally friendly products based on our own standards
  • *2 Three tree species: African blackwood, Sakhalin spruce, Indian rosewood

The Yamaha Group is cutting CO2 emissions from its business activities with the goal of achieving carbon neutrality by 2050. The Group is also promoting the use of sustainable wood sources by preserving scarce timber and researching alternative sources. Other initiatives include reducing waste and the use of hazardous substances as well as extending product life spans.


Key Theme 2 (2)

Society: Enhance Brand Power and Competitiveness by Contributing to Comfortable Lives

Yamaha aspires to meet the needs of the new society by offering products and services that contribute to people’s comfort by enabling remote and non-contact activities. We are also advancing a unique initiative to protect the health of our customers as it pertains to sound through innovations such as building technology into our audio equipment that reduce strain on the ears. We are also promoting respect for human rights across the value chain in order to contribute to the realization of an equal society.


Key Theme 2 (3)

Culture: Expand Market through the Promotion and Development of Music Culture

  • *Love Piano: Pianos installed at train stations, airports, commercial facilities, etc. that the public can freely use.

Yamaha is broadening its activities to increase the number of people who play musical instruments, including expanding our ongoing School Project to other countries. We are also helping develop local music cultures in various ways, including developing digital musical instruments that express local cultures, cultivating instructors and technicians who are vital to the development of music culture, and supporting the activities of aspiring musicians and music researchers.


Key Theme 1-3

The Yamaha Group engages the individuality, passion, and creativity of every Group member and combines their strengths to continually refine our technologies, ideas, and innovations. That is the source of our competitiveness.
Our efforts to raise the job satisfaction of our employees are intended to inspire a sense of value in working at Yamaha. Ways that we are doing this include cultivating leaders, ideally allocating human resources, supporting career development, and accommodating diverse work styles. We seek to bring out the individuality of our diverse human resources by ensuring respect for human rights and diversity, equity, and inclusion (DE&I). We provide education on human rights, conduct human rights due diligence, and seek to construct a diverse staff that includes support for women’s careers. We foster an organizational culture of mutual respect and that is comfortable to work in by creating opportunities for dialogue and encouraging communication.


Musical Instruments Business Broader

Develop new growth areas


Musical Instruments Business Closer and Everlasting

Provide services that support closer and everlasting ties with customers


Musical Instruments Business Points by Business Unit

Enhance brand power and achieve a sustainable, highly profitable structure


Audio Equipment Business Strategy

Rebuild the business in response to market changes and expand into new / growing markets


Audio Equipment Business For Business Use

Expand customer base by offering simplified solutions from expertise and technology for live concert and entertainment


Audio Equipment Business For Consumer Use

Expand customer base with straightforward, high quality audio solutions and the concept of “TRUE SOUND”


Industrial Machinery and Components Business

Grow as a “sound solution vendor” in the new automobile era