medium‒long-term management strategy 2010 · the lives of everyone through our business...
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2010Medium‒long-term management strategy
ACKG HeadquartersGroup company OfficeCountry where project completed
In time with the rhythmof the future
Telephone : (81-3)6311-6641Telefax : (81-3)6311-6642E-mail : [email protected]:www.ack-g.com
12-1,Honmachi 3-chome,Shibuya-ku,Tokyo,151-0071,Japan
International locations
Group companies
Oriental Consultants Company Limited
TAISEI KISO SEKKEI Co.,Ltd.
Chuou Sekkei Engineering Company Limited
A-TEC Co.,Ltd.
ASANO KENKO CO.,LTD.
Yoshii System Reserch Co.,Ltd.
ORIES Shared Service Co.,Ltd.
Jakarta
Islamabad
TokyoHeadquarters
Hanoi Manila
Colombo
Dubai
New Delhi
BBangkok
Medium‒long-term management strategy ACKG 2010
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To contribute to the creation offruitful lives and dreams for peoplearound the world.
Striving to provide limitless service
・Bring happiness to people around the world・Contribute to the future of the world・Pursue customer value・Act self-reliantly toward dreams・Challenge for infinite possibilities
As a means of meeting the needs and expectations of our employees, shareholders, customers and other stakeholders, ACK Group is striving to create a stable business and to strengthen corporate governance, including business transparency and corporate stability. In business development, in addition to reinforcing our primary market of domestic public clients, we are pursuing domestic private clients and international business. We are also expanding our range of business opportunities by partnering with corporations that are strong in private and international markets. This multi-targeted approach will propel a stable management system and, along with our strong determination, equip us to withstand any large changes in the external environment.
We are very grateful foryour continuous support
After ACK Group was established in August 2006, it adopted the management strategy ACKG ONE, establishing a 5- to 10-year vision for expanding the business with consulting on public infrastructure at the core. A goal was established to reach sales of 30 billion yen by the end of 2011; however, this goal was completed two years early, at the end of September 2009. Nowadays the social and economic environments are filled with uncertainty, and at the same time an era has arrived where the ability to solve issues is highly sought after. For the ACK Group to continue to contribute to the lives of everyone through our business practices, we have created a new medium‒long-term management plan, ACKG 2010.
A new medium‒long-termmanagement strategy Our Mission
Corporate Philosophy
Core competence
Values
Advanced management abilityencompassing a wide range of fields
In time with the rhythm of the future
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Global issues Market potential andACKG business scope
Image of meta-national
Total capital formationaround the world(government + private)
~1,200trillion yen
Private fixed assetcapital formationtotaling
~100trillion yen
Perceive wisdom1
Fusion of wisdom2
Develop wisdom3
Have the foresight toperceive wisdom acrossthe globe, and acquire it
Use the wisdom ofeach area anddevelop it
Fuse acquired wisdomand createsomething new
ACKGbusinessscope
Private
Public
domestic
International
Government constructioninvestments
~20 trillion yen
Energy Water shortage
Global warming Environmental pollution Waste disposal
Intellectual property rights Infectious disease epidemics Poverty・Income disparity
Food shortage Food safety
Progress towards a meta-national corporationActions for solving global issues
We will contribute to the capital of global societyand will endeavor to contribute to solving problemsin global issues Many parts of the world have enormous requirements for infrastructure development, and existing infrastructure requires appropriate maintenance, administration and reform. Population growth and intensification of human impacts have led to many issues that need to be addressed. In order to fulfill our vision, ACK Group will continue to contribute to domestic and international infrastructure through its one-stop infrastructure service, and will endeavor to contribute to solving problems in global issues such as the environment, energy, food supply and water supply.
ACK Group, in working towards solutions for global issues, provides optimal technologies and services to create fruitful lives for people. The global trend of companies competing to efficiently develop homogeneous products will soon reach its limits. Meta-national means that, just like an orchestra is a unified whole formed of many parts, we shall fuse superior diverse geopolitical, cultural and private characteristics to meet the unique needs of each area. ACK Group strives to become a meta-national corporation that fully grasps the characteristics of countries around the globe and develop our wisdom.
Accumulate and develop wisdom based on the characteristicsof different regions, both in Japan and abroadWe will become a meta-national corporation that fusessuperior abilities from around the world
In time with the rhythm of the future
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Framework of the five fundamental strategies
Joint ownership of vision● Strengthening of group governance functions● Stabilization of the management base and portfolio● Accumulation of human capital
Reform of corporate culture● Worker education, personnel rotation,● Complete implementation of self-fulfillment study programs● Creating a challenging environment
Functional reorganizationof business
● Enlargement of business scope● Optimization of business range and organization● Strengthening of synergy
Strengtheningstrategic planning
● Strategy preparation and commercial strengthening● Creation of a group business strategy department● Raising the strategic planning ability of each group company
Shift to an inherentlyprofitable platform
● Promotion of one-stop service● Intense reorganization and strengthening of service delivery capacity● Increasing innovation
Trends in issues needing our attention
One stop→Expansion of the value chain(Previous trend in extension)
Futuretrends
Infrastructure
Platforms
Content
For example,in roads & traffic
traffic information,modeling,etc
ITS, ETC, etc.
Roads,structures, etc.
Planning Investigating Design Construction Administration
Issues that ACKG is tackling(environment, energy,
food supply, water resources etc.)
(roads, rivers, railroads, ports, airports)
(communication systems, energy supply, facilities and equipment, etc.)
(products and services)
Five fundamental strategiesTrend in business area expansion
We will expand our business beyond infrastructureto meet the next generation of needs
To create a foundation for expanding our business,five fundamental strategies will be implemented
In time with the rhythm of the future
Since the establishment of the ACK Group, we have focused on the infrastructure of roads and bridges, nature and the living environment. In these fields, the Japanese market has reached maturity, but in the rest of the world, there are still important needs to provide the foundations of society and to support sustainable lifestyles. It is a field which requires further strengthening of business. Whereas in Japan techniques in infrastructure have been established to a sufficient level, we still need to work on solutions related to platforms and content. On a global scale, we must address issues such as the global environment, energy, food supply and water supply. ACK Group will continue to proactively seek to solve these issues and provide comprehensive solutions.
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construction
Present Medium-term Long-termbusiness size: 30 billion yen business size: ~50 billion yen business size: ~100 billion yen
International fields
Domestic public fields
Domestic private fields
New business fields
regionalenvironment
Natural andbuilt environment
energy water supply agriculture
welfareenergy regionalenvironment agriculturewater supply education
constructionTransportation,shipping
sales・lease
natural andbuilt environment
watersupply
tourism
disasterprevention
riverstransportation,shipping
water andsewerage services
energy
information
disasterprevention
tourism
regionaldevelopment
Natural andbuilt environment
riverstransportation,
shipping
water andsewerage servicesenergy
information
disaster prevention
watersupply
Natural andbuilt environment
energy
construction
Transportation,shipping
sales・lease
natural andbuilt environmentenergy
regionaldevelopment
information
water supply
agriculture
construction Transportation,shipping
sales・lease
natural andbuilt environment
energy
regionaldevelopment
information
Strengthening and fulfillmentof fundamental readiness basedon actual business operations,
and reforming the corporate culture.
Corporate growth
Image of growth by our three axes of activity
International
Fusion of potential superior abilities
Strategic businessdevelopment
Strategydepartment
regionalenvironment
regional environment
regionalenvironment
regional environment
regionalenvironment
Coordination and reform for sustainable growth The concept of our growth strategy
Towards sustainable growth through coordination ofbusiness units and reforming corporate culture
Global environment Energy Food supply Water supplyand more Expansion into new fields
In time with the rhythm of the future
To ensure that our business units achieve sustainable growth, each of them should grow autonomously but in coordination with the other units. Our international operations will blend superior abilities from around the world, creating a framework that combines the strength of each area. Our domestic public-sector-focused activities, as the center of disseminating information in the company, will provide the latest information and leading-edge technology. Our domestic private-sector-focused activities will utilize and develop the technology and know-how acquired through our core international and domestic public-sector activities. Through these business activities, organizational and corporate culture reforms will be completed, and we will provide for corporate growth (organization and managers, employees, employers).
Domesticpublic
Domesticprivate
Sustainablebusinessgrowth
Natural andbuilt environments Natural and
built environmentsenergy energy
constructionNatural andbuilt environments
energy
regionalenvironment
transportation,shipping
transportation,shipping
transportation,shipping
informationinformation
agricultureagriculture
regionaldevelopment
regionaldevelopment
transportation,shipping
information
agriculture
regionaldevelopment
disasterprevention
disasterprevention
water andsewerage servicesrivers
information disaster preventionregional
development
tourism
education welfareagricultureregional
development
Although the ODA market will remain at the core of our business,we will expand our activity in private international businessand public international business domains
† ODA = Official Development Assistance. In which governments of advanced countries provide assistance and investments to developing countries.
InternationalACKG's Business Strategy(1)
International road map
Customers
Services
Areas
ACKG's Business Strategy(2)
Domestic public-sector roadmap
Present Medium-term Long-term
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ODA (aid, yen loans), foreign governments, international organizations etc.
Private Japanese (own capital)→manufacturers, trading firms, general contractors etc.
Public local (own capital)→Local governments
Private local(own capital)→Manufacturers etc.
Southeast Asia, Southwest Asia, Middle East
Europe, Russia and other developed countries
BRICs, VISTA and other developing countries, CIS, Latin America etc.
Space agencies and corporations
Space exploration and utilization
Customers
Services
Fields
Present Medium-term Long-term
Ministry of Land, Infrastructure, Transport and Tourism, local governing bodies, public highway corporations,railroad companies, Urban renaissance agency, foundations (within Ministry of Land, Infrastructure, Transport and Tourism)
Ministry of the Environment, Ministry of Agriculture, Forestry and Fisheries, Ministry of Defense, Ministry of Economy, Trade and Industry,Cabinet Office, regional NPO’s, foundations (other than the Ministry of Land, Infrastructure, Transport and Tourism)
Ministry of Health, Labor and Welfare, Ministry of Education, Culture,Sports, Science and Technology, electric power companies etc.
Roads and railroads, water and sewage services, transportation, urban, rivers, natural and built environments, waste, disaster prevention
Ports and airports, water supply, global environment, energy (wind and solar), tourism, agriculture and food, construction
Defense, energy (nuclear and electrical), medical, welfare
Administrative support, corporate HR support, systems development, planning, investigations, design, sales and leasing,construction management, manufacturing, operation&maintenance, renovation and monitoring
Policy measures, policy planning
Finance (PFI and PPP)., education
Consulting for development projects for Japan’s ODA† and multi-lateral funding agencies will continue as the core business, but three areas will be targeted for expansion:① manufacturers, trading firms, and general contractors whose international businesses have developed from their domestic business (private Japanese firms)② International companies in their local markets (private local)③ Public enterprises created from government funds (public local)
We will expand into new areas and evolve intoa total infrastructure consultant
Domestic public-sector
Three major themes will be to: expand existing business areas, develop new business areas, and expand the customer base. Business expansion will be achieved in six ways. ① Expansion within existing fields of roads and rivers ② Expanding maintenance administration and other preservation businesses ③ Participation in government planning from early phases ④ Providing services in high level expertise and technology ⑤ Establishing new fields in environment, energy, agriculture etc. ⑥ Expanding the customer base in local governing bodies.
Transportation and shipping, natural and built environments, energy, agriculture and food supply, tourism, disaster prevention,information, medical, hygiene, urban and regional development, construction, refugees and humanitarian aid
Asset management, transportation and distribution, administration services and management,ITS (intelligent transportation systems) , global environment
ACKG's Business Strategy(3)
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Innovative Development Center (IDC)
Projectteam
(example of creating a new team)
Business spheres
International
domesticpublicsector
domesticprivatesector
Establish andmake intoa division
InnovativeDevelopmentCenter(IDC)
Domestic private-sector roadmap
Construction, real estate, oil, railroad, electric, gas etc.
Leisure and tourism, medical, welfare, general users etc.
Providing services to specified customers
Take part in planning for value-adding businesses
Providing services for unspecified customers
Investigate, measure, analyze, design and plan, diagnose, preventative construction, demolition,wells and hot springs development, facility management systems, HR management etc.
Re-developing unutilized resources and value-adding, ESCO businesses,water business management consulting, new energy development etc.
Information provider services, performance and quality certification services, food inspection etc.
Customers
Services
Business
models
■Research and marketing■Transmission of information■Creation of new business■Alliances■Incubation
etc.
We will grow our customer-base in various industrieswhile establishing new businesses and services
Domestic private-sector
We will increase our operational efficiency through merging business departments and implementation of marketing systems, while ① Increasing customers in various industries ② Participating in planning for value creation as a business that can apply know-how gained in the domestic public market ③ Establishing services for general users and other unspecified customers. These three models will be developed as we provide to expand our range of services.
Present Medium-term Long-term
Distribution, trading companies, communication, information, finance, new energy sources etc.
Establishment of the Innovative Development Center (IDC) In time with the rhythm of the future
In order to fulfill the goals of our medium to long-term business strategy, we will observe the world with a careful eye as a meta-national company, and we will closely integrate all of our businesses. We will exercise foresight to seek out new business opportunities. The IDC will be established to serve as a catalyst for ACK Group’s business strategy. The IDC will promote the creation of a challenging corporate culture, transmit information about market research and research findings, create new businesses, handle alliances with other companies, and manage the incubation and development of ideas. Also, it will take part in project teams and promote the business as a practical organization.
We will establish an Innovative Development Center (IDC)that will support the expansion of the businessas well as sustainable growth
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In time with the rhythm of the future
Resolutions for the future In time with the rhythm of the future
We will contribute to enriched lives of all peopleRepresenting Japan in the creation of a world-classprovider of intellectual services In circumstances in which the social and economic environment are changing rapidly,every individual in the ACK Group, and the organization itself,shall be united in developing our abilities and defining the direction of the future. We seek to absorb wisdom from all over the world, combine them as in an orchestra,and become one in providing high quality services to the world.ACK Group will continue to carve out new eras and contribute to the creation of rich lives and dreams for people. In order to do that, we will take on infinite challenges. We will lay down a bright future for society that lies upon our company’s trajectory.In time with the rhythm of the future.