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| Date | January 29, 2024 |
|---|---|
| Speaker | Masachika Adachi President |
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Medium-Term Management Plan (2022-2025) Progress Report
Medium-Term Management Plan (2022-2025) Basic Policies
We have announced Medium-Term Management Plan (2022-2025) Progress Report toward the realization of 2025 Vision.
Basic Policy 1 Expand ITS business with profit
Carry out and accelerate strategies for different customer groups
Implement the service-type business model to expand the stock business
Steady rises in KPIs lead to enlargement of the IT solution business. We will capitalize on our strength in original technologies to upgrade the IT solution and to expand our areas of focus.
Edge Solutions*
We refer to the solutions focusing on the areas, industries, and technologies where the Group holds a competitive “edge” as “edge solutions,” which consist of imaging solutions, digital document services, mathematical and demand forecasting, and low-code development.
With edge solutions, we will continue to hone the strengths of our various existing solutions to create unrivaled IT solutions and expand the areas where we hold an advantage. In addition, we will establish a service-based service model by utilizing our customer base to create solutions individually with customers of large corporations and then expand them to customers of the same industry as well as to quasi-major and upper medium-sized enterprises by converting these solutions into services.
- *Edge solutions : Video solution, Digital document service, Mathematical and demand forecasts, Low code development
HOME* / IT Maintenance and Operations
It is becoming more difficult than ever for SMEs to secure highly skilled professionals, particularly when it comes to acquiring IT and security solutions experts on their own. To overcome these issues, Canon MJ offers a range of services for its SME customers that includes DX support services such as its HOME and HOME Select Series, and IT maintenance and operations service, such as Makasete IT DX Series.
- *HOME: IT support service for SMEs (security, cloud services etc.)
Security
Today, cyberspace and physical space are merging in all areas of the world. While their linkage offers many benefits, we must also consider the increasing risk of the impact of cyberattacks on physical space. The Canon MJ Group provides customers with security and peace of mind through the development of comprehensive security solutions that encompass both physical security, such as video surveillance, and cybersecurity, including network intrusion detection and prevention.
ITO* / BPO*
The demand for outsourcing services continues to rise due to the challenge of securing workers caused by the declining birth rate and aging population, the accelerating shift to the cloud and the advancement of security measures due to the evolution of DX, and other factors. At the Canon MJ Group, we help create an environment that allows our customers to focus more closely on their core operations by ensuring a thorough understanding of their entire business.
- *ITO: IT Outsourcing
BPO: Business Process Outsourcing
ITS Business: Sales Targets by Business Area
We achieved growth in all domains after focusing on the ITS business, centering on the creation and expansion of the service-type business model. We are making steady achievements towards the targets for 2025.
Basic Policy 2 Increase earnings capacity of existing businesses
Conduct strategies tailored to customer groups
Increase the profitability of the business of main products
Canon Product Business: Printing Business / Camera Business
For the printing business, we will intensively carry out strategies for different customer groups. For the camera business, we will step up our approaches to the intermediate customer group and carry out strategies for specific targets to continuously improve profitability.
Basic Policy 3 Strengthen specialized areas and create new businesses
Continue growth of the industrial equipment business
Create new businesses
Initiatives in Industrial Equipment Business
We are working to transform into a platform holder with multi-vendor maintenance capabilities. We will increase sales of semiconductor services in which profitability and continuity can be ensured with a view to achieving continued growth in the industrial equipment business.
Basic Policy 4 Group management aimed at continuous growth
Enhancement of Employee Engagement
Maximize human capital value
Establish an engagement improvement cycle
We will continue our efforts to visualize and improve engagement scores on the basis of the group employee employee engagement survey in a bid to establish a loop of improvement in engagement and thereby continuously increase corporate value.
Speed up business investments towards growth
We have been actively pursuing M&As as well as investments to expand our business in the key area of ITS.
We have been improving capacity to generate cash and will make an investment for growth and pay dividends appropriately, utilizing operating cashflow and cash on hand.
