Mid-Term Management Plan
Creating Business from Our Core Measurement and Analysis Technologies, and Creating Societal-Issue Driven Value
1.Positioning of the 2024 Mid-Term Management Plan
Through our 2021 Mid-Term Management Plan, we at Hitachi High-Tech have been working to enhance or social and environmental value in addition to our economic value, and to become a company that will continue to be seen as essential by society. We formulated our 2024 Mid-Term Management Plan ( "2024 Mid-Term Plan"), which encompasses the years 2022 through 2024, based on the results of this 2021 Mid-Term Management Plan and in pursuit of our goals to significantly contribute to solving the social issues that will grow more critical in the future as the world changes further using our core technologies in Observation, Measurement, and Analysis (measurement and analysis technologies) and to realize a more sustainable society.
2. Background to Our Formulation of the 2024 Mid-Term Management Plan
The importance of solving social issues pertaining to the "environment, resilience, and safety & security," such as the increasing threat of climate change, pandemics and geopolitical risks, is growing more intense. In light of these circumstances, the need for Hitachi High-Tech’s strengths in Observation, Measurement, and Analysis will continue growing in the future, and these strengths will be indispensable to solving social issues.
In line with these changes in our social environment and expansion in business opportunities, we at Hitachi High-Tech upheld our “Sustainability 2030” declaration to clarify our future stated aims for the Hitachi High-Tech Group, and to demonstrate our stance of creating societal issue-driven value. And, by backcasting from our Stated Aims for 2030, we formulated this 2024 Mid-Term Plan.
3. Details of the 2024 Mid-Term Management Plan
Creating societal issue-driven value through the “Sustainability 2030 “ Declaration
-In order to solve social issues, we will create business from our core measurement and analysis technologies, and form portfolios of high-profit businesses-
For the Growth of the Hitachi High-Tech Group
Hitachi High-Tech has achieved growth with business created by developing dedicated equipment designed specifically to address our customer issues from general-purpose equipment. Even as our social environment changes greatly, there will be many opportunities for Hitachi High-Tech Group to contribute to solving social issues using our strengths in Observation, Measurement, and Analysis technologies. In order for us to sustainably grow into a company that can contribute to society 10 or even 20 years into the future, we believe it will be necessary for us to enhance our existing businesses, starting with our healthcare and nanotechnology (semiconductor field) businesses, and to create new businesses that can contribute to solving social issues in various fields. Furthermore, to ensure stable and continuous growth of business, we believe it is crucial that we develop a strong management foundation that can flexibly respond to changes in the social environment.
Main Initiatives Aimed at Realizing the 2024 Mid-Term Management Plan
(1)Strengthen Existing Businesses
We will further enhance our existing mainstay businesses in healthcare and nanotechnology (semiconductor field) by deepening integration with digital capabilities and co-creation with customers.
- In addition to furthering co-creation with our key partners in the healthcare business in order to integrate analytical and automation technologies with digital capabilities to create new value, we will expand our testing areas through participation in fields such as molecular diagnostics to better expand our portfolio and thereby accelerate our growth.
- In the nanotechnology (semiconductor field) business, we will accelerate our growth by expanding and launching co-creation sites we can share with our customers, providing solutions that make active use of digital capabilities, and otherwise contributing to solving customer issues, such as improvement of development and manufacturing efficiency.
- We will further enhance solutions utilizing existing “Observing, Measuring, and Analyzing” that we provide in various fields to solve customer and social issues, including social and industrial infrastructure, mobility, and the environment.
(2)Strengthen business-creation capabilities
In order to contribute to the realization of a sustainable society, we will create new business through three-pronged activities centered around our “core technologies and business,” utilizing “front office capabilities and issue resolution capabilities” pertaining to global business expansion, and “business development capabilities” incorporating customer co-creation, as well as the active use of Lumada.
- We will enhance development of advanced technologies and thoroughly refine our core analytical technologies and businesses in collaboration with universities and research institutes, and thereby strive to create dedicated measurement and inspection solutions for our target markets.
- We will strive to solve our customers’ issues by enhancing our front office capabilities and issue resolution capabilities, which take advantage of the global customer base and business creation capabilities we have cultivated as a trading company, while also utilizing our partnerships with our collaborative partners.
- We will identify actual customer issues, accelerate prototyping and customer-aided verification of solutions for solving problems, enhance business development capabilities to create high value-added solutions, and advance efforts to seek out new target areas and enhance business creation driven by societal and customers’ issues.
(3) Strengthen Our Management Foundation
In order to create new value even as uncertainty rises in the world, we will build a firm management foundation that can flexibly respond to social changes.
- By integrating the global procurement functions that we have cultivated as a trading company and manufacturing procurement functions, we will enhance our supply chain resilience for stronger risk control throughout the supply chain.
- In order to create environmental value, we will promote initiatives to achieve decarbonization, such as reductions in CO2 emissions throughout the value chain, improve utilization efficiency in order to realize a society that recycles water and resources, and co-exist with nature by preserving ecosystems and forests.
- In order to promptly respond to changes of the business environment and diversifying customer challenges, we will advance “digital transformation (DX)” including the simplification of business processes, global standardization, and the digitalization of management, and thereby work to enhance the speed of management.
- In order to flexibly respond to a complex and rapidly changing social environment, we will advance “diversity and inclusion (D&I)” efforts, and utilize our diverse human resources to solve various management issues.
4. Partnership with the Hitachi Group
As a member of Hitachi, Ltd.'s Connective Industries Sector, Hitachi High-Tech will digitally connect strong products in a wide range of fields with using Lumada, and provide solutions through co-creation with customers to respond to complicated and complex social issues.