Explains our Long-Term Vision for 2032 「RAIZNEXT Group V-2032」 and Medium-Term Business Plan
Background to the Formulation of our Long-Term Vision (Changes in the Medium to Long-Term Business Environment, formulated in March 2021)
Our long-term vision "RAIZNEXT Group V-2032" is based on three major changes in the external environment that we expected to see in the future: the advent of low-carbon or zero-carbon society,
decline of working population in Japan, and the progress of digital revolution.
With regard to the "arrival of a low-carbon or decarbonized society," the government is aiming to achieve a carbon-neutral society by 2050, and demand for plant maintenance in the petroleum refining and petrochemical fields, our main business, is expected to decline in the future.
With regard to the "declining working-age population in Japan," it is expected that it will become difficult to secure mobilization capacity, which is one of our strengths, and that we will not be able to attain the necessary amount of completed construction work in the future.
With regard to "the advance of the digital revolution," as the movement to promote DX spreads within the industry, our Group must be ahead of its competitors in providing high-value-added services utilizing digital technology in order to maintain its superiority.
Although the business environment surrounding our company will become increasingly severe, we will create growth opportunities by promptly preparing for a new era of change in light of all risks. We see our long-term vision as a compass for this purpose.
Plan Direction (Aimed at the Vision for 2032)
The letter "V" in "RAIZNEXT Group V-2032" stands for "Vision," what we want to be, "Valuable," a company that can provide services with higher customer value, and "Vitality," a company where employees can work with satisfaction. While maintaining our pride as a company involved in energy, we will contribute to the realization of a carbon-neutral society and aim to be a company that can always introduce the latest technology and deliver evolving plant services.
Based on our long-term vision, we have also formulated a four-phase Medium-term Business Plan for 2032.
In the First Medium-term Business Plan (2019-2020), we worked on institutional integration and internal harmonization under the slogan "Integration for generating synergistic effects" in conjunction with management integration. In the Second Medium-term Business Plan (2021-2024), we will generate full-fledged synergistic effects while maintaining the basic policy of evolving our management foundation.
In addition, we see the following issues to be addressed in preparation for the coming carbon-neutral society: the generation of new services, such as in the renewable energy field; and the optimization of our existing business structure in the petrochemical field, where demand is expected to decline. We aim to create new services in the Third Medium-term Business Plan (2025-2028) and realize our long-term vision in the Fourth Medium-term Business Plan (2029-2032).
Basic Strategies of the Third Mid-Term Business Plan
The third medium-term business plan will be a period for making substantial efforts towards achieving our long-term vision by evolving the management foundation established in the second medium-term business plan. This is in response to significant changes in the business environment, such as the continued rise in social awareness of ESG, efforts towards a carbon-neutral society, and the progress of the digital revolution. We believe that further challenges are necessary, with the basic strategies of each business serving as pillars, to achieve sustainable growth for our company.
Theme of the Third Mid-Term Business Plan
In the third medium-term business plan, under the theme "RAIZNEXT X CHALLENGE," we aim for sustainable growth and enhancement of corporate value as we prepare for the fourth medium-term business plan, which will be the culmination of our long-term vision. We will challenge all forms of transformation (X: Transformation), including business transformation to contribute to the realization of a carbon-neutral society and the reform of business processes utilizing digital technology, without being bound by conventional methods.
Initiatives of the Third Mid-Term Business Plan
Based on the transformation of the management foundation, such as "business process reform through DX" and "acceleration of human capital investment," we will promote various initiatives. In the maintenance business, we will advance DX by mechanizing and automating construction work. In the engineering business, we will promote DX through 3D and AI design. In the tank business, we will expand into the GX field.
