Description
SWOT ANALYSIS OF KEYENCE

Keyence

Parent Company

Keyence Corporation

Category

Electronics

Sector

IT and Technology

Tagline/ Slogan

The complete source for sensing solutions

USP

One-stop shop for industry automation tools

STP

Segment

Industry automation

Target Group

Retail chains, stores, corporate houses

Positioning

Innovative sensing

SWOT Analysis

1. Strong focus on new product development - Keyence incurred a substantial capital expenditure on new product development 2. Strong R&D focus - R&D costs constituted substantial part of the total operating costs of the company 3. Strong network capabilities - own network of warehouse centers spread around 40 countries that ship orders on the same day they are received 4. Strong employee base of about 3500 employees 5. Its product portfolio includes sensors, barcode readers, vision Strength systems, measuring equipment and digital microscopes.

1. Strong dependence on Japanese econom is a concern 2. Networks focussed mainly in western Japan Weakness 3. Relatively low global presence in comparison to competitors

1. Strong growth of the global control systems market 2. Keyence’s products are used widely in global automation and process control industry to make industrial processes faster and efficient 3. Keyence laser markers utilize 3-Axis technology to mark product numbers, logos and barcodes Opportunity – this industry is growing at a rapid pace

1. Disruptions due to natural disasters are a big threat as the company is primarily based out of Japan - The direct costs of the damage from the earthquake are huge 2. Radio frequency identification (RFID) tags are an innovative substitute for bar code and are fast eating up the market share of Threats Keyence’s products

Competition

1. Mettler-Toledo International Inc. 2. Nabtesco Corporation 3. ARRK CORPORATION 4. Spectris plc Competitors 5. HORIBA, Ltd.



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