DX

DX Promotion Project

DX推進プロジェクト

Declaration

DX promotion declaration

The business environment surrounding our company is becoming increasingly challenging, with factors such as a declining workforce in rural areas and soaring raw material and transportation costs. At the same time, customer needs are diversifying day by day, leading to increasingly sophisticated product and service quality requirements. In order to achieve our management philosophy and goals and continue growing as a company, we must adapt to the changing competitive landscape by further utilizing data and digital technologies.

Our company has invested management resources in leveraging data and digital technologies, and has launched a DX (Digital Transformation) promotion project with the president as project leader and participation from employees across the organization. Through these DX initiatives, the project will respond to the dramatically changing industrial structure and new competitive principles. Furthermore, we will accelerate the use of data and digital technologies to maximize business opportunities and minimize threats.

Furthermore, in addition to the product strengths of "protection," "aesthetics," and "functionality" that we have upheld for many years, we will continue to pursue improvements in quality and productivity by making maximum use of data and digital technology. By promoting DX, we will enhance corporate value, overcome domestic and international competition, and respond flexibly to changes in the market and demand.

DX推進宣言 イメージ

Management Vision

Management vision for promoting DX

Our company has established a management vision to enhance corporate value through the promotion of digital transformation (DX).

1

Achieving improved customer satisfaction (CS)

By utilizing data and digital technology to provide products and services that accurately capture customer needs, we aim to improve customer satisfaction (CS).

2

Further improvements in quality and productivity

By revamping our internal systems and optimizing the entire system, we will overcome the labor shortage and further improve service quality and productivity.

3

Rebranding to create an attractive corporate image

By promoting digital transformation (DX), we aim to transform the corporate image of our company, which is in the paint sales industry, and rebrand ourselves to become an attractive company that makes all employees want to continue working for us.

4

Accelerating global expansion

We leverage data and digital technologies to create new value for our overseas locations and accelerate our global expansion. Furthermore, we contribute to society through support activities that connect the businesses and talent of our domestic and international clients.

Business Model

Direction of the business model for realizing the management vision

1

Achieving improved customer satisfaction (CS)

By accelerating the delivery of information about our products and services, we aim to enhance the value we provide while accurately responding to the individual needs of our customers. This will allow us to remain a company of choice for our customers and increase the number of new customers acquired locally. Furthermore, we will improve customer satisfaction by providing new services that support our customers' businesses.

2

Further improvements in quality and productivity

To improve our internal environment, where working hours and administrative processing time have become excessive, and to achieve further improvements in the quality and productivity of our products and services, we will work to streamline and standardize our business processes. We will also create synergistic effects by strengthening internal information sharing.

3

Rebranding to create an attractive corporate image

Building upon our previous efforts to visualize management accounting figures using digital technology, we will engage in real-time data analysis and aim for data-driven management that does not rely solely on experience and intuition, which is common in the wholesale industry. Furthermore, we will pursue a more comfortable work environment and improve employee engagement by improving internal and external communication and information sharing.

4

Accelerating global expansion

By connecting our overseas service bases with the business bases of our customers both domestically and internationally through a network, we will provide a platform that supports our customers' business activities, thereby accelerating our global expansion. We will leverage the human resources and resources of our overseas bases to build a new business model that connects overseas business partners with our domestic customers.

DX Strategy

DX Strategy (A strategy that utilizes data and digital technologies)

The DX Promotion Project will formulate and implement the following DX strategy to realize the management vision.

1

Achieving improved customer satisfaction (CS)

  • We significantly reduce service response times by providing information on new products and inventory on a dedicated customer website, and by accepting and responding to quote requests and order forms online.
  • We utilize IoT technology to provide services such as supporting customers' on-site surveys and monitoring their equipment, helping them increase their order conversion rates.
2

Further improvements in quality and productivity

  • To improve operational efficiency and reduce working hours, we will work to alleviate the burden on delivery personnel and significantly reduce administrative processing time. Much of the document creation and administrative work is currently done using Excel, paper documents, and email, and a significant amount of working time is spent on sending data, circulating documents for approval, data storage, and accessing past data. We will work to modernize these legacy systems.
  • To create synergistic effects through enhanced internal information sharing, we will build an internal intranet for sharing information related to sales activities, such as customer information and transaction history.
3

Rebranding to create an attractive corporate image

  • To reduce administrative processing time, we will undertake a complete overhaul of our internal information systems infrastructure. Specifically, we will implement a free address system (allowing communication from anywhere), free access (secure access to internal information systems from anywhere), a paperless system (eliminating Excel and digitizing paper documents using multifunction printers), and data integration (eliminating duplicate data entry).
  • We will promote work-style reforms such as reducing administrative work after returning to the office to shorten overtime hours, making it easier to apply for leave, and encouraging employees to take paid leave.
  • We will create a remote work environment that allows employees who prefer to work from home to engage in the work.
4

Accelerating global expansion

  • To improve the business efficiency of our overseas subsidiaries, we will review our legacy export sales management system.
  • We will work on a new business model that supports our customers' global expansion by connecting our company with our customers' locations both domestically and internationally via a network, and utilizing the resources and digital technologies of our overseas locations to provide services such as remote monitoring of customers' equipment and outsourcing of administrative tasks.

How to Utilize Data

Approaches to utilizing data

Data utilization to support sales activities

  • We will upgrade the system so that sales activity data, which has previously been digitized along with management accounting figures, can be utilized as an information asset.
  • Specifically, by creating a database of sales activity knowledge such as negotiation history, visit records, and the number of proposals made, we will be able to quickly grasp changes in customer needs and improve the efficiency of sales activities. We will eliminate the reliance on individual salespeople and establish a system that allows all sales representatives to share this data as marketing data that can predict purchasing behavior.

Advanced business management through real-time analysis of management accounting data.

  • While management accounting data has been used as a management indicator, we will develop a system that allows for real-time analysis to enhance management control.
  • Specifically, we will improve the flexibility of data utilization by switching from spreadsheet software to BI tools, and work on creating dashboards that link daily sales activities with profit structures.
    We will expand these data utilization initiatives to cover all business processes within the company.

DX Promotion System

DX promotion system

To effectively advance the DX promotion project, we have established a new DX Promotion Committee chaired by the president and operated with employee participation.

The DX Promotion Committee aims to share the benefits of implementing data and digital technologies throughout the company by having employees proactively consider how to utilize them for work style reform and productivity improvement, and by having them implement projects themselves. Furthermore, the committee aims to ensure that all employees can relate to and appreciate the results of the DX strategy.

Furthermore, the DX Promotion Committee will work to standardize the IT implementation process, ensure the soundness of projects, and visualize the effects of IT implementation by developing procedures and rules in the future.

DX推進体制図

Development and Securing

Developing and securing digital talent

To sustainably promote DX (Digital Transformation), we will strive to cultivate digital talent and secure personnel through recruitment activities.

First, as part of our reskilling education program, we plan to launch a system that encourages employees to obtain the IT Passport certification.

Improving the Environment

Regarding the development of the IT system environment

  • In addition to existing security measures for the company intranet and file sharing servers, we will establish a network security infrastructure that enables free access via smartphones and expands the use of SaaS applications.
  • We will introduce a new communication tool with the aim of revitalizing communication between management and employees, improving the speed of information dissemination, and expanding the use of SaaS applications.

KPI

KPIs for measuring the achievement of the DX strategy

We have established new KPIs to measure and evaluate the degree to which our DX strategy is being achieved.

These KPIs will be reviewed regularly by the DX Promotion Committee. We will also revise the items as needed and optimize the indicator values.

1

Accelerating global expansion

  • • Number of business chat tool users: 100%
  • • Digitalization rate of visit records: 100%
2

Accelerating global expansion

  • • Percentage of orders received from the website: 50% or more
3

Improved operational efficiency and reduced administrative processing time

  • - Number of copy paper sheets used: Reduced by 251 TP and 3 T compared to the previous year.
  • • Digitization rate of 18 types of application forms: 100%

About This Project

About the DX Promotion Project

Since our founding, we have primarily supported our customers' manufacturing processes as a wholesaler of industrial coatings.

In the coming era, we believe that the most important thing for a company will be its "people."

We believe that our company should be a place where every employee can take pride in their work and feel secure enough to continue working for a long time. This strength will be the driving force behind delivering the best value to our customers and creating new vibrancy in society.

Through our DX promotion project activities, we will evolve into a company that envisions the future together with our employees.

We aim to create a workplace where people feel they want to work here forever, and to achieve sustainable growth together with our customers and partners.

Kiyofumi Sugano, President and Representative Director