SMC Corporation · Year ended March 2026
The preparation behind SMC’s 700,000 variations and short lead times
SMC makes pneumatic components that use compressed air to help factory machinery push, grip and turn objects. Its main direct customers are equipment manufacturers, to which it supplies components such as valves and cylinders.
Keep standard products ready and respond locally to custom orders
Two ways to meet a component need
Standard products in stock
Simple custom orders
Equipment manufacturer
Push and grip inside machinery
Top: supply standard products from inventory. Bottom: factories affiliated with sales companies handle simple custom orders. The equipment at right illustrates component use, not a complete system sold by SMC.
Source: Integrated Report 2025, physical PDF p.13 (printed pp.23–24)Readiness begins before a product is finished
Where inventory sits in the manufacturing process
Consolidated carrying amounts at March 31, 2026, in ¥bn, on a common zero baseline. These are neither unit counts nor selling prices.
Source: Annual Report 2026, PDF p.8. The displayed components sum to ¥1m less than the disclosed total.
Bring about 20 suppliers closer to the next process
Preparation for a broad range of specifications
How stock, custom-order capability and inter-process logistics work together.
- Standard stockMaintain consistent availability
- Simple custom ordersFactories affiliated with sales companies respond
- Closer processesShare logistics and warehousing with suppliers
THE VIEW AFTER THE NUMBERS
What the numbers suggest
SMC’s 700,000 variations become easier to understand alongside its standard-product inventory, factories responding to custom orders and logistics linking manufacturing processes. Together, these capabilities help it supply equipment manufacturers when parts are needed.
At March 2026, materials and supplies exceeded finished goods in value. Making use of that preparation, shortening processes and generating sales that cover the costs are connected tasks. SMC’s challenge is to turn product breadth into both timely delivery and profitability.
Primary sources used
Annual Report 2026
SMC Corporation · 2026-09-11
Pages used: p.4, 8 / p.5-6
Open source →Integrated Report 2025
SMC Corporation · 2026-03-25
Pages used: p.6 / p.13 / p.14 / p.33
Open source →