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In fiscal 2019, Hitachi achieved an adjusted operating income ratio of 7.5% despite the impact of COVID-19. We achieved this result thanks to the success of profitability improvement measures implemented under our 2018 Mid-term Management Plan. Hitachi is immensely confident and proud that, through continuous adaptation, we have constructed a solid and unwavering earnings base in the face of COVID-19.
Hitachi shared its aim to become a global leader in the Social Innovation Business through its 2021 Mid-term Management Plan. The term “social innovation” refers to both the transformation of social and industrial infrastructure - such as railway, energy and water facilities - into more sophisticated and intelligent social infrastructure through the use of digital technology and providing it to the public. As a leading company advancing the digital transformation (DX) of social infrastructure, Hitachi aims to help raise the quality of life (QoL) for people throughout the world and increase the value of its globally expanding client companies.
Digital technology is at the core of our Social Innovation Business; to enhance it, Hitachi is building an innovation ecosystem with partners around the world and working to construct digital infrastructure at major global sites. To simultaneously increase social, environmental and economic value, Hitachi identifies five business sectors that underpin our Social Innovation Business (IT, Energy, Industry, Mobility and Smart Life) and is building a globally competitive business portfolio.
New needs around remote, contactless and automated solutions have arisen due to the COVID-19 pandemic, and it has taught us that humans, not technology, are at the center of these changes. We must not forget the importance of a “human-centric” approach when considering innovation generated through AI. This approach supports the core policies of the Social Innovation Business, through which Hitachi is promoting adaptation to the “New Normal” brought about by COVID-19.
As Hitachi strives to increase social, environmental and economic value, climate change in particular has become an urgent issue for humanity. With the aim of increasing environmental value, Hitachi has declared that it will achieve carbon-neutral production by fiscal 2030. As soon as possible, I would like to transform Hitachi into an environmental leader in our industry.
All of Hitachi’s employees have dedicated themselves to the advancement of the Social Innovation Business by considering social issues personally relevant and have been implementing efforts around the world aimed at improving people’s QoL and raising value for client companies. I humbly ask for your continued support as we move forward.
President & CEO