Our Strategies for Sustainable Growth
INTEGRATED REPORT 2025
Digital Transformation Strategies
Digital transformation is crucial for building the foundation necessary for achieving the targets of Medium-Term Management Plan 2027. To bring about change using digital technologies, Tokyo Century focuses on enhancing customer value propositions and operational efficiency in internal processes.
Overview of Digital Transformation Initiatives
1.Customer Value Proposition
- Use of digital technologies to enhance value propositions for customers, thereby establishing a highly profitable business model
2.Digital Transformation Training
- Digital transformation literacy improvement
- Cultivation of a digital transformation culture that contributes to autonomous learning and action
3.Frontline Operational Reforms
- Reduction of burden placed on frontline sales organizations
- Digital transformation of sales support processes
- Improvement of operational efficiency through paperless processes and other means
4.System Replacement
- Exploration of possibility of improving operational efficiency through deployment of core systems to Group companies
Improvement of Operational Efficiency in Internal Processes
In reform-oriented digital transformation for improving operational efficiency in internal processes, it is important that we do not treat the introduction of digital tools as the end goal itself. For this reason, Tokyo Century is implementing an effective digital transformation cycle comprising three stages: ➀Training and education, ➁Implementation (use of digital tools to accomplish defined goals), and ➂Assessment (sharing and commendation of knowledge).
Training and Education—Digital Transformation Training Programs
Tokyo Century has designed a three-level digital transformation training program. The basic-level course (DX-Standard) of this program, launched for all officers and employees in fiscal 2023, provides basic knowledge and information on the background for utilizing digital technologies in the volatile operating environment. This is meant to improve digital transformation literacy throughout the Company.
The practical-level course (DX-Leader) was introduced in fiscal 2024 and is aimed at individuals selected to implement the strategic digital transformation themes defined by specific operating segments. This program enables selected individuals to learn from a practical curriculum tailored to their skills to help them obtain the skills necessary for promoting digital transformation.
Ideation training session
Business model creation using a lean canvas
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- Developing responsible business innovators and technology experts
- A pilot program, which involved sending participants to external training, was launched in fiscal 2024. This program is scheduled for expansion starting in fiscal 2025. Its objective is to develop future business leaders who can drive transformation as business innovators in areas including, but not limited to, digital transformation.
- Developing responsible business innovators and technology experts
- Practical
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- Developing talent with practical IT knowledge and application skills
- A training program for employees selected by their respective workplaces was launched in fiscal 2024. The program’s objective is to equip participants with the skills needed to implement the strategic digital transformation themes within their divisions. The program is continuing in fiscal 2025.
- Fiscal 2024: 66 participants, 887 total learning hours
- Fiscal 2025: 60 participants
- Developing talent with practical IT knowledge and application skills
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- Developing all Tokyo Century members to have the basic mindset, stance, and knowledge required to participate in digital transformation
- Fiscal 2023: Approx. 1,200 participants (99.2% participation rate among target individuals)
- Fiscal 2024: Approx. 1,300 participants (99.6% participation rate among target individuals)
- The program will continue for all officers and employees at Tokyo Century Corporation in fiscal 2025 and beyond.
- Developing all Tokyo Century members to have the basic mindset, stance, and knowledge required to participate in digital transformation
Hands-On Digital Transformation Training Program and Community for Group Companies
The Tokyo Century Group has launched a hands-on digital transformation training program and community to develop frontlinedriven digital transformation leaders. In collaboration with the All Nippon Airways (ANA) Group, participants will acquire practical skills and a proactive mindset. By building a network of peers across organizations, we will create a framework to ensure that no one who strives is left alone, enhancing the entire Group’s corporate value through frontline-driven digital transformation.
An Experience-Based DX Human Resource Development Program & Community session for Group companies
Open Innovation
Tokyo Century’s Vision for Open Innovation
At Tokyo Century, we define innovation as “creating new social value by combining existing knowledge.” Generally, innovation is sometimes misunderstood as “technology development that creates something from nothing,” but in reality, it is about creating new value through the fusion and application of existing technologies and ideas.
However, in today’s VUCA era, where changes in technology and needs are complex and rapid, creating significant value alone is difficult. That is why we believe open innovation—collaborating with a diverse range of external partners—is essential.
Tokyo Century’s business is built on its “Finance × Services × Business Expertise” concept, and we have a long history of partnering with companies that have specialized knowledge.
Building on this foundation, we are driving open innovation as a natural extension of our business strategy, combining existing internal and external knowledge.
Open Innovation Framework
Open Innovation with Plug and Play Japan
Plug and Play Japan is the Japanese subsidiary of Plug and Play, a world-leading accelerator and venture capital firm. Utilizing a global network of over 60 locations, it connects major corporations with start-ups from around the world and provides support for their collaboration.
Tokyo Century participates in Plug and Play Japan’s accelerator program with the main objectives of strengthening its network with domestic and international start-ups and creating new businesses and developing human resources through these practical initiatives.
Our collaboration with Tensor Energy Inc. began through this accelerator program.
In terms of human resource development, we also receive ideation training from Plug and Play Japan.
This workshop-style training covers business development methods focused on customer challenges, which are commonly used by start-ups. Participants learn about target customer persona analysis, lean development methodologies, and more.
Our presentation at Plug and Play Japan’s Startup Showcase
Case Study
Collaboration with Tensor Energy
We are collaborating with Tensor Energy, a power management platform provider for renewable energy businesses, on a solar-plus-storage project in Kumamoto Prefecture, which began operations in June 2024. This is our first project to add storage batteries to our solar power plant and transition to the feed-in premium (FIP) system to address the recent increase in output curtailment. In this project, we implemented Tensor Energy’s Tensor Cloud to manage the complex FIP system and maximize the power plant’s revenue. The high-precision power generation/price forecasts and charging/discharging schedules, optimized for our power plant by AI technology, contribute to risk reduction and revenue improvement. This initiative is a prime example of the “venture client” model, where we, as an early user of Tensor Cloud, simultaneously solve our own challenges while helping Tensor Energy secure revenue and rapidly expand its solutions.
Storage batteries installed at the Kumamoto Arao Megasolar Power Plant
Start-Up Collaboration
