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Page 1: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

HITACHI

Social Innovation & OSS

HITACHI LTD.

2018/11/15

Ryo Kawai

Page 2: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Contents

1

1. Outline of Hitachi

2. Our Vision and OSS

Page 3: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Contents

2

1. Outline of Hitachi

2. Our Vision and OSS

Page 4: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Hitachi Corporate Profile

3

*Figures are on a consolidated basis

9,368.6 billion yen

714.6 billion yen

307,275

February 1, 1920

458.7 billion yen

© Hitachi, Ltd. 2018. All rights reserved. 3

Revenues

Operating Income

Number of Employees

Established

Capital

(as of end of Mar. 2018)

(as of end of Mar. 2018)

(FY2017 Consolidated)

(FY2017 Consolidated)

Hitachi, Ltd.

President & CEO

Toshiaki Higashihara

Page 5: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. 4

23%

11% 9%

16%

10%

5% 6% 20%

9,368.6 billion yen FY 2017

Total

Information & Telecommunication Systems

Social Infrastructure & Industrial Systems

Electronics Systems & Equipment

Construction Machinery

High Functional Materials & Components

Automotive Systems

Smart Life & Ecofriendly Systems

Others

Consolidated Revenue by Segments

Page 6: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

■Revenues: 964.4 billion yen

■Number of companies: 139

■Number of employees: 16 thousand

* Revenues: FY2017, Number of companies and employees: As of end of FY2017

Asia(incl. China)

China

North America

Other Areas

Japan

Europe

Revenues: 9,368.6 billion yen/Number of companies: 879/Number of employees: 307 thousand

■Revenues: 1,041.0 billion yen

■Number of companies: 143 ■Number of employees: 44 thousand

■Revenues: 4,643.0 billion yen

■Number of companies: 202 ■Number of employees: 168 thousand

■Revenues: 1,177.5 billion yen

■Number of companies: 100 ■Number of employees: 21 thousand

■Revenues: 2,081.1 billion yen

■Number of companies: 332 ■Number of employees: 88 thousand

■Revenues: 502.3 billion yen

■Number of companies: 106 ■Number of employees: 12 thousand

Revenues: 4,725.5 billion yen/Number of companies: 677/Number of employees: 139 thousand

Revenues: 4,643.0 billion yen/Number of companies: 202/Number of employees: 168 thousand

Total

Outside Japan

Japan

Global Expansion* (FY2017)

5

Page 7: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Contents

6

1. Outline of Hitachi

2. Our Vision and OSS

Page 8: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

An Innovation Partner for the IoT Era

Accelerate collaborative creation with customers and create new value

through advanced Social Innovation Business

An Innovation Partner for the IoT Era

Finance / Social /

Healthcare

Industry / Distribution /

Water

Power / Energy Urban

7

Page 9: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Product OT

IT

Lumada: A value creation platform that combines front-line knowledge

Front-line knowledge

Create new value from experience acquired through

the Social Innovation Business

© Hitachi, Ltd. 2018. All rights reserved. 8

Page 10: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

Lumada: A value creation platform that combines front-line knowledge

Product OT

IT

“ illuminate ” + “ data ”

9

Page 11: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

Digital Technology

Big data, AI, etc.

IoT Platform Methodology and Tool

for Collaborative Creation

NEXPERIENCE, etc.

Lumada: A value creation platform that combines front-line knowledge

10

Page 12: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

The growth of value creation for resolving issues and increased QoL

Want to

live with

safety and

security

Want to

travel in

comfort

Want to

increase work

efficiency

Want to

know

potential need

Want to

eliminate

waste Want to

pass on

technology and

technique

Want to

protect

environment

Want to

prepare

for the future

Want to

resolve

labor shortages

Want to

create

advanced

service

Want to

increase

quality

Want to

enjoy healthy

and long life

Want to

work vigorously Want to

increase

speed

11

Page 13: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

Hitachi Nishi-Nippon Railroad

Maintain and improve public transportation

services by optimizing operation plans

Co-

Creation

12

Page 14: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Maintain / improve public transportation services and resolve train crew shortages by formulating operation plans based on actual demand

Optimizing operation plans by analyzing statistical data on bus running records and number of passengers

© Hitachi, Ltd. 2018. All rights reserved. 13

Securing convenient public transportation: Nishi-Nippon Railroad

Page 15: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved.

Hitachi Daikin Industries

Transmitting advanced skills and

secure quality worldwide

Co-

Creation

14

Page 16: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Meister Veteran engineer

Trainee

Use digital technologies to transmit advanced skills, to ensure high production quality

Use image analysis and digital technologies to visualize advanced brazing skills for global human resource training

© Hitachi, Ltd. 2018. All rights reserved. 15

Living in comfort with high quality products: Daikin Industries

Use digital technologies to analyze differences in skills

Page 17: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Manage chemical

manufacturing processes

Stabilize quality management

and improve productivity

Yodogawa Plant

Pass on advanced skills

Global human resource training

Shiga Plant

© Hitachi, Ltd. 2018. All rights reserved. 16

Living in comfort with high quality products: Daikin Industries

Page 18: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved. 17

Hitachi Vienna International Airport

Achieve a safe and secure society

by improving security

Co-

Creation

Page 19: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Find and detect person with appearance features Contribute to safe and secure usage of airport for passengers

Speedily specify the person who left a baggage in the airport

by analyzing security footage using AI

© Hitachi, Ltd. 2018. All rights reserved. 18

Living in a safe, secure society: Vienna International Airport

Page 20: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. © Hitachi, Ltd. 2018. All rights reserved. 19

Find and detect person with appearance features Contribute to safe and secure usage of airport for passengers

Living in a safe, secure society: Vienna International Airport

●Real-time image analysis using AI

●Search from images of tens

of thousands of people

is completed within one second

●Able to search clothes, belongings, colors, etc. even when the face is not captured

Page 21: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Office Building Optimization of Yokohama office

Reduce wait times by showing data on usage status of restroom stalls

Control air conditions by sensor data and employee input

Change data to value, and achieve office building optimization

Over 4,000 persons is gathered here, and generates IT platform products and services

© Hitachi, Ltd. 2018. All rights reserved. 20

Page 22: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

The cycle of value creation, expanding worldwide

Security solution

Europe

Care for the elderly

China

Railway solutions

Europe

Mobility solutions

North America

Digital India

India

Industrial solutions

Asia

21

Page 23: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. 22

OSS: key component in the growth of Social Innovation Business

Contribute and Use a large number of OSS

0

3,000

6,000

9,000

12,000

15,000

IBM

Hitachi

Other Hitachi started

contribution

Line of code

Line of codes in Node-RED repository

© Hitachi, Ltd. 2018. All rights reserved. 22

Contribute over 20,000 line of code

to Node-RED community, visual programming tool for IoT applications

Use over 10,000 OSS / month to develop products, applications

and systems

0

5,000

10,000

15,000

20,000

25,000

Page 24: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

OSS: key component in the growth of Social Innovation Business

Project Project Purpose Leader Contribution Technology Contribution

Civil

Infrastructure

Platform

Long Time Support

for Social

Infrastructure

Founder / Board Member

(Support Strategy)

Hyperledger Enterprise

Blockchain

Premier Member / Board

(Project Strategy)

Technical Strategy Lead

OpenChain Supply Chain

Management

Platinum Member / Board

(Strategy and Japan WG)

Local Promotion and

Japan PoC WG Lead

Automotive

Grade Linux

OSS for Automotive Car Navigation EG Lead

Project Project Purpose Hitachi’s Contribution

PostgreSQL Enterprise Consortium Enterprise PostgreSQL Official Member

LPI-Japan OSS Certification Board

Japan OSS promotion Forum Promote OSS in Japan Board and WG Lead

Secure OSS SIG Promote Security OSS in Japan Founder/Board

Community contribution/Japan Local

Contribution as Project Leads/ Development Leads in Linux Foundation

23 23 © Hitachi, Ltd. 2018. All rights reserved.

Page 25: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved.

Hitachi’s vision of a “promising society” is

one that resolves social issues and

improves people’s QoL simultaneously

The key to achieving a promising society is through

“Digital technologies” and “Collaborative Creation”

As an “Innovation Partner for the IoT Era,”

Hitachi will further expand Collaborative Creation

with customers using Lumada, with a view

toward the future of society

24

Page 26: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues

© Hitachi, Ltd. 2018. All rights reserved. 25

Linux is the registered trademark of Linux Torvalds in the U.S. and other countries. Node-RED is a registered trademark The JS Foundation in the United States and/or other countries. PostgreSQL is a registered trademark of the PostgreSQL Community Association of Canada. Hyperledger and Hyperledger Fabric are registered trademarks of The Linux Foundation in the United States and/or other countries. OpenChain is a registered trademark of The Linux Foundation in the United States and/or other countries. HITACHI is a registered trademark of Hitachi, Ltd. Other brand names and product names used in this material are trademarks, registered trademarks, or trade names of their respective holders.

Trademarks

Page 27: HITACHI Social Innovation & OSSossforum.jp/jossfiles/5-7 KAWAI Ryo(Japan Hitachi)20181115.pdf · Hitachi’s vision of a “promising society” is one that resolves social issues