International Business Promotion Department Housing Company SEKISUI CHEMICAL CO., LTD. 東京セキスイハイム工業 TOKYO SEKISUI HEIM INDUSTRY CO.

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1 International Business Promotion Department Housing Company SEKISUI CHEMICAL CO., LTD.

2 Sekisui Chemical Co., Ltd. Outline Sekisui Chemical Co., Ltd. March 3, billion yen(fy2016) TEIJI KOUGE 23,006 (FY2016) 1,066billion yen (FY2016) 91,500million yen (FY2016) Osaka Head Office Tokyo Head Office

3 Business Line of Sekisui Chemical Co., Ltd. Sekisui Heim Industry is a group company of Sekisui Chemical Co., Ltd. High Performances Plastics Company Automotive Materials (Interlayer films) IT Related Materials (conductive Fine Particle) Medical Products Urban Infrastructure and Environmental Products Company Water Infrastructure Pipe Restoration Building Materials Housing Company (SEKISUI HEIM) Building (Steel or Wood Frame) Refurbishing

4 Sekisui Chemical Co., Ltd. Outline Business Units of SEKISUI Group SEKISUI HEIM brand 4,328 M USD Pipe Restoration Business Housi ng Water infrastructure 2,123 M USD Urban Infrastructure & Environmental Products Company Housing renovation Housing Company Performance Materials 3,158M USD 2,969 億円 High Performance Plastics Company IT Related Materials Automotive Materials Medical Related Business

5 Housing Company (SEKISUI HEIM) Sales and Production Seven areas in Japan. HEIM Factory HOKKAIDOU TOHOKU THAILAND TOKYO KINKI CHUBU KYUSYU CYUSHIKOKU

6 Sales and Production / Tokyo Area Sales Tokyo Sekisui Heim Co., Ltd. Production (Factory) Sekisui Heim Industry Co., Ltd. Construction (on Site) Tokyo Sekisui Heim Co., Ltd. After-sales Service & Remodeling Tokyo Sekisui Heim Famies Co., Ltd.

7 Company overview Name Sekisui Heim Industry Co., Ltd. Establishment April 1, 1972 Address 3535 Kurohama Hasuda City Saitama Prefecture Presudent & Representative Director Toshiya Nomura Number of Employees(4 office ) 1,248 people As of October 1, (Number of Employees at tokyo office 474 people ) Capital Stockholder 500 million yen Sekisui Chemical Co., Ltd. (fully owned)

8 Company overview The contents of an enterprise Manufacturing modular house and the material processing Steel-frame Modular house Sekisui Heim Wood-frame Modular house Sekisui Two-U Home Tokyo Office Production site area 94,000 m2 Product keeping Place Area 73,000 m2 Delivered Region Sekisui Heim Industry is responsible for production covering the largest region, the Kanto Koshinetsu Area.

9 - 9 - Current production system Unit Factory Board Factory Hokkaido Sekisui Heim Industry Co., Ltd. Chusikoku Sekisui Heim Industry Co., Ltd. Kyushu Sekisui Heim Industry Co., Ltd. Sekisui Board Industry Co., Ltd. Touhoku Sekisui Heim Industry Co., Ltd. Sekisui Heim Industry Co., Ltd. (Kanto Factory) Sekisui Heim Industry Co., Ltd. (Tokyo Factory) Sekisui Heim Industry Co., Ltd. (Osaka Factory) Sekisui Heim Industry Co., Ltd. (Nagya Factory)

10 Heim Production System Sekisui Heim Industry Co., Ltd. 10

11 House Building by Sekisui Heim Sekisui Heim Industry Co., Ltd.(tokyo Factory)

12 Mission in Sekisui Heim business To provide environment-friendly house that assure safety and comfort living for more than 60 years

13 Heim s construction system 13

14 Example of Structure skeleton(domani)

15 Unit development (Example of a completed product) Domani by Sekisui Heim

16 Single Purpose Module Unit Minimum unit of production management Pillar panel Ceiling panel Joint piece Ceiling beam Pillar panel Floor panel

17 Basic module variation Length (Beam) 1.8m to 5.4m (Nine types with 450mm pitches) Width (Gable).. 2.5m and 1.3m (Two types) Ceiling height m and 2.6m (Two types) Pillar panel Ceiling panel Joint piece Pillar panel Height of ceiling Width Floor panel Length

18 Other unit variations Trapezoidal unit Twin unit Setting back allocation Dealing with slant and others Overhung unit Penthouse unit Dealing with slant and others Roof top utilization Combining units above and unit sizes, we have around 90 types or more of unit shape variations. Thickness variations of structural elements: t2.3mm to t9.0mm They are systematized depend on allocation.

19 Concepts for the system The tenacious unit, in which the Box-Ramen type structure is adopted, creates almost unlimited patterns of living space, and it enables to design freely meeting to the customers site conditions or liking by combining various variations of external walls, interiors, and equipment. Roof variation External wall variation Unit variation Interior variation Stair Fittings Equipment variation Bath Kitchen 19

20 example of inline connection Supposed site : 10.7m 14m = 149.8m 2 (55.4 tsubo) First floor area 70.91m 2 2nd floor area 61.72m 2 Total floor area m 2 Top view of the first floor S = 1/100 Top view of the 2nd floor

21 beam connection of different units Supposed site : 10m 14m = 140m 2 (42.4 tsubo) First floor area 64.28m 2 2nd floor area 62.00m 2 Total floor area m 2 Top view of the first floor S = 1/100 Top view of the 2nd floor

22 example of the use of trapezoidal unit in the high beam construction method Supposed site : 12.8m x 12.8m = 163.9m 2 (49.7 tsubo) First floor area 71.08m 2 2nd floor area 58.58m 2 Total floor area m 2 High beam construction method for the first floor Top view of the first floor S = 1/100 Top view of the 2nd floor

23 Flow from Planning to Delivery Lead time Customer Sales companies Industrial companies Supplier information management system -30days -14days -3~-2 days Planning Contract Production request dismantling construction Foundation work Order received Parts Order Parts receipt Parts Picking up Order received Parts production Parts shipment Sales support system (SCOPE) Process control system (SMASH) Production System (SHIPS) Parts Picking up System (HAPPS) -2days Production 0day Installation Shipment about 40days Delivery construction Process control system (SMASH) SCOPE:Sekisui Cad-system Of Planning and Estimation SMASH:Sekisui Management Aid System of Heim HAPPS:Sekisui Heim information &Production System SHIPS:Heim Automated Parts Picking up System

24 Sekisui Heim is a manufacturer for houses. Mass production preparation by Sekisui Heim Product development: Performing the design corresponding to the variation Completion of design for required parts/completion of detail design Management of parts number: Decision of supplier/parts cost/delivery time Preparation for information system regarding sales design/production preparation Setting of QCDS target for production /execution of work and initial production control Preparation for process design and required work environment (production equipment) Preparation for operation design (procedure manual) for additional operations and completion of operators training Continuous improvement through daily QCDS policy management Management and preservation of data by house of customer and by unit

25 Production information management system Business operation (planning and estimation) system SCOPE (Sekisui Cad-system Of Planning and Estimation) Process management system SMASH (Sekisui Management Aid System of Heim) Production management system Production management system (SHIPS) Sekisui Heim information &Production System Parts picking up system (HAPPS) Heim Automated Parts Picking up System

26 Parts picking up (HAPPS) Picking up of required pars for each owner s house (All required parts at factories/field: 4,000 types) Efficiency:Nine hours/house, person

27

28

29 29

30

31 Floor plan 1F ( sample)

32 Floor plan 2F ( sample)

33 Electric drawing 1F( sample)

34 Electric drawing 2F( sample)

35 Roof top view drawing ( sample)

36 Unit assembly line 3rd factory Carrying out Low load line partition 1st factory High load line stairs,bath unit,kitchen Darc Bspw Heat insulator inner wall 2nd factory Floor panel Ceiling panel pillar Aspw Rust prevention ジンキ outside wall

37 Product lineup Parfait (Two story house/flat roof)

38 Product lineup Domani (Two story house/gable or Hip roof)

39 Product lineup Smart Power Station FR (Two story house / 10kW Solar Panel)

40 Smart Power Station GR (Two story house / 10kW Solar Panel) 40

41 Product lineup WITH HEIM FⅡ (Two story Town house/flat roof)

42 Product lineup WITH HEIM FⅢ (Three story Town house/flat roof)

43 Overseas business development Factory at THAILAND

44 - 44 -

45 - 45 -

46 Sekisui Heim

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