REPORT 01 Expanding into New Markets―Mining Equipment Business: From Canada to the World

As reported in Part 1, Sumitomo Corporation was awarded a major order for mining equipment in Mongolia. Behind this success was a tremendous effort put forth by a Sumitomo Corporation subsidiary in Canada, which had been working hard to build up a solid track record and strong trust relationships with its customers. The energy and spirit of this subsidiary comes from its highly skilled workers and unique HR development environment. (Posted on February 21, 2012)

Sales are not the endpoint of the business―The goal is to deepen the business model

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“SMS-E Oil Sands Special”—a symbol of the subsidiary’s “customers first” policy


Takuya Yamamoto, Manager of the Construction Equipment Team for Americas from the Construction Equipment Dept., No. 3, Sumitomo Corporation

“Customers first is easy to say but hard to put into practice. Our Canadian subsidiary, SMS Equipment (SMS-E), accomplishes their customers first policy as a matter of course. This is their real strength,” said Takuya Yamamoto, Manager of the Construction Equipment Team for Americas from the Construction Equipment Dept., No.3, a unit within Sumitomo Corporation responsible for the mining and construction equipment business in North America.

SMS-E, a Canadian heir of Sumitomo Corporation’s corporate culture, leads the Group in globalization of mining and construction equipment sales and after-sales service business.

The symbol of the subsidiary’s customers first policy is a dump truck named the “SMS-E Oil Sands Special.” These were originally Komatsu’s ultra-large dump trucks; however, SMS-E modified their canopy to a more rounded shape in order to solve a common problem plaguing the subsidiary’s customers that develop/operate oil sands mines in Canada.

Oil sands mine developers/operators are currently SMS-E’s main customers. Oil sands are sandstone containing extremely high viscosity petroleum, and have been attracting much attention recently as an oil substitute. Alberta, Canada, is one of the richest oil sands regions in the world. However, the temperature in this region often drops to minus 40 degrees Celsius in the winter, causing oil sands loaded onto trucks to freeze on the canopy, often leading to truck bed due to the heavy weight of the frozen mass. To solve this problem, SMS-E modified the canopy to make it round-shaped so that oil sands are able to slide down to the ground next to the sides of the truck. Trucks that are designed with these special round canopies are called “SMS-E Oil Sands Special.”


The round-shaped canopy of the “SMS-E Oil Sands Special” dump trucks
made specifically for use in oil sands mines

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REPORT 01 Expanding into New Markets―Mining Equipment Business: From Canada to the World

  • 24/7/365 ongoing efforts―Solid track record of continuous operations supports the core business
  • Sales are not the endpoint of the business―The goal is to deepen the business model
  • Bonds of trust and the human network―Key elements to opening the way for Sumitomo Corporation to enter a new market in Mongolia
  • Opening new frontiers―Settling in the land of the Yeti in the huge Russian market

REPORT 02 Solutions through Innovation ―Power Plant Lease Project in Indonesia

REPORT 03 Introducing Japanese Agricultural Business Model Across the Globe ―Agribusiness to Spread Agricultural Cooperative Style Service from Romania

REPORT 04 Supporting Lifestyles ―Retail Business Incorporating Trends in Consumption Behavior

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