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Hitachi

In order to grow sustainably and improve social value, Hitachi must meet a range of social expectations. As well as creating the innovation sought by society, we need to establish a working environment where diverse talent can shine, and rigorously implement fair business practices and respect for human rights throughout the value chain. We also aim for greater involvement in and development of the communities related to our businesses.

Innovation Management

WhyWhy it matters

Throughout its history of over 100 years, Hitachi has pursued its Mission “to contribute to society through the development of superior, original technology and products” aiming at creating innovation leading into the future. We view the approach of leveraging data and technology even further to produce strong, robust products, solutions, and business models as essential in realizing a sustainable society and business amid the increasingly diverse and complex social issues we face. Accordingly, we are backcasting from 2050 to bolster research and development aimed at creating radical innovation and working to protect and effectively utilize intellectual property (IP).

Innovation Strategy

WhatWhat we are doing

  • Expanding Investments in Innovation
  • Generating digital service businesses with the Lumada growth model
  • Backcasting from 2050 to create radical innovation
  • Accelerating outside-in innovation through startup investments
HowHow we are doing it
Policy and promotion structure

The newly established Innovation Growth Strategy Division will formulate innovation investment strategies that will inspire the next growth for customers, and under this strategy, promote the creation of digital service businesses and radical innovation. We are also working to build an innovation promotion structure fully leveraging Hitachi Group’s technology platforms, human capital, and customer network to achieve growth worldwide.

Research and Development

WhatWhat we are doing

  • Accelerating value co-creation
  • Creating growth drivers
  • Evolving Lumada further
  • Creating the next pillars of growth
  • Bolstering recruitment and development of digital talent
  • Observing AI ethics
HowHow we are doing it
Policy and promotion structure

In April 2022, the Global Center for Social Innovation and the Center for Technology Innovation were integrated and reorganized as the Center for Digital Services and the Center for Sustainability. We are working to enhance value creation through DX/GX to promote worldwide business growth.

Intellectual Property

WhatWhat we are doing

  • Deploying IP activities globally based on our IP strategy
  • Engaging in IP activities aimed at creating environmental value
  • Enhancing our reward system for employee inventions
  • Promoting design and brand protection activities
HowHow we are doing it
Policy and promotion structure

In fiscal 2022, the name of the Intellectual Property Division was changed to the Global Intellectual Property Group with the intention of strengthening collaboration with companies outside of Japan and promoting further global deployment of our IP activities. We also created the position of Chief Intellectual Property Officer (CIPO) to strengthen our global intellectual property management framework.

Human Capital

WhyWhy it matters

Hitachi prioritizes human capital. In other words, Hitachi believes that employees are the source of value. As such, we aim to leverage the combined power of our global network of employees to provide value to our customers and society and contribute to achieving a sustainable society. In working toward these goals, we are committed to respecting the fundamental rights of employees, providing equal opportunities, and ensuring occupational safety and health. We will strive to build favorable relationships between employees and the company, including creating work environments conducive to feelings of pride and happiness concerning working at Hitachi, and actively engaging in dialogue regarding the treatment of employees and career advancement opportunities. We will further work to strengthen our recruitment and development of digital human capital, which is vital for implementing our growth strategy, and to promote Diversity, Equity and Inclusion (DEI) throughout our global operations.

Global Human Capital Management

WhatWhat we are doing

  • Putting the right person in the right place
  • Ensuring fair evaluation and compensation
  • Improving employee engagement
  • Fostering a global Hitachi culture

HowHow we are doing it

Policy and promotion structure

We have set the vision of becoming the employer of choice in global markets to attract human capital eager to make social contributions and create an organization where everyone can play an active role. We are working to further enhance our human capital based on the three key pillars of People, Mindset, and Organization, along with their underlying Foundation of the HR strategy

Talent Development

WhatWhat we are doing

  • Fostering autonomy of the individual
  • Developing management-level leadership
  • Bolstering recruitment and development of digital talent
  • Utilizing a common global learning platform
  • Supporting career development

HowHow we are doing it

Policy and promotion structure

Hitachi aims to develop human capital that can contribute resolve social issues. In addition to on-site work-task instruction, we are expanding training programs globally across the Group to improve individual capabilities, skills, and specialties.

Diversity, Equity and Inclusion

WhatWhat we are doing

  • Accelerating the advancement of DEI based on our DEI policy and strategy

HowHow we are doing it

Policy and promotion structure

We are working to advance DEI with global and regional perspectives under the leadership of the Chief Sustainability Officer based on a newly formulated DEI policy and strategy. Our Global DEI Council meets to discuss specific activities concerning DEI strategy pursued by Group companies around the world and throughout our global operations. In our aim to be a diverse, inclusive company, we have also established DEI promotion leaders in each region and are striving to promote DEI in ways that take into account individual regions’ characteristics and business strategies.

Work-Life Management

WhatWhat we are doing

  • Promoting work-style reform
  • Introducing and expanding support systems for balancing work and child care/nursing care
  • Developing support systems and measures that meet diverse employee needs
  • Preventing long working hours and overwork
  • Promoting diverse work styles in the “new normal”

HowHow we are doing it

Policy and promotion structure

We believe that practicing work-life management will enrich employees’ work and private lives, enhance professionalism, and build personal character resulting in both individual and organizational growth sustainably. Based on this philosophy, we have established systems to support work-style reforms and a balance between employees’ work and private lives.

Occupational Health and Safety

WhatWhat we are doing

  • Establishing occupational health and safety management systems
  • Conducting occupational health and safety risk assessments
  • Carrying out appropriate occupational health and safety training
  • Ensuring the occupational health and safety of contractors
  • Implementing initiatives to improve employee health

HowHow we are doing it

Policy and promotion structure

The Hitachi Group Health and Safety Policy is shared with Group companies worldwide as part of our efforts to create safe, secure, comfortable and healthy workplace that are accident-free. We are working to continuously improve Group-wide occupational health and safety management systems under the Health and Safety Management Division, which is responsible for promoting occupational health and safety in the Hitachi Group.

Freedom of Association and Collective Bargaining

WhatWhat we are doing

  • Respecting the rights of employees
  • Communicating mutually between employees and management
  • Providing notifications of work-related transfers and reassignments
  • Promoting labor-management cooperation toward improving occupational health and safety levels

HowHow we are doing it

Policy and promotion structure

The Hitachi Group Codes of Conduct call for the upholding of the fundamental rights of employees in line with the principles of the United Nations Global Compact. We also actively pursue dialogue with individual labor unions and their representatives in accordance with the laws and regulations in each country and region to deepen mutual understanding of employee working conditions and treatment as well as business conditions.

Human Rights

WhyWhy it matters

Hitachi understands that respecting human rights in business activities is not only essential for corporate sustainable development but is also a responsibility that all companies must fulfill. In 2013, to clarify corporate responsibility with respect to human rights, we established the Hitachi Group Human Rights Policy based on Hitachi’s Corporate Mission and Group Vision and designated it one of the highest codes governing our internal regulations. Under the Hitachi Group Human Rights Policy, we pursue initiatives to ensure respect for human rights including human rights due diligence (HRDD) to mitigate human rights risks, not just within Hitachi itself but for everyone in our supply chain or otherwise involved with our business activities, products, or services.

Respect for human rights throughout the value chain

WhatWhat we are doing

  • Group structure for promoting human rights
  • Group-wide HRDD initiatives
  • Working with procurement partners
  • Human rights education and awareness raising for employees and executive officers

HowHow we are doing it

Policy and promotion structure

Hitachi is working to strengthen human rights risk management worldwide with efforts that include tasking the Chief Sustainability Officer with Group-wide human rights promotion and determining policies based on a grasp of the status of HRDD progress throughout the Hitachi Group. Also, HRDD Execution Managers Meetings are held once or twice a year as occasions for Group-wide information sharing and deliberation.

Value Chain Management

WhyWhy it matters

With the globalization of the Hitachi Group’s businesses, procurement risks are also increasing in supply chains. That is why we are going beyond merely understanding and mitigating supply chain risks to pursue sustainable procurement instead. We recognize that we must actively work with our procurement partners to improve social, environmental, and economic value for our customers, and we are working with procurement partners to achieve carbon neutrality throughout our value chain as well.

Hitachi was founded on the principles of “Harmony, Sincerity, and Pioneering Spirit.” We ensure product quality and safety by adhering to these principles, along with the basics and ethics, and by putting right and wrong before profit and loss. All employees embrace our policy of making quality and reliability a top priority, and this strengthens our quality assurance activities. By continuing to provide high-quality, thoroughly safe products, Hitachi will maintain the trust of customers and society.

Responsible Procurement

WhatWhat we are doing

  • Implementing sustainable procurement
  • Encouraging procurement partners to reduce their environmental load
  • Implementing procurement BCP initiatives
  • Responding to the conflict minerals issue

HowHow we are doing it

Policy and promotion structure

Positioning the Hitachi Group Global Procurement Code as the highest code, Hitachi promotes sustainable procurement based on the Hitachi Group Sustainable Procurement Guidelines and other accompanying guidelines. Also, our Value Integration Division, which reports directly to the President & CEO, discusses sustainable procurement policies and initiatives, and the actions they decide on are thoroughly disseminated throughout the Hitachi Group by the Sustainable Procurement Conference, which includes the heads of procurement divisions at Business Units (BUs) and major Group companies. In fiscal 2021, we established the new Sustainable Procurement Office to strengthen sustainability activities pursued in cooperation with our procurement partners.

Quality and Product Safety Management

WhatWhat we are doing

  • Engaging in quality assurance activities
  • Commissioning external audits concerning product quality assurance
  • Acquiring international standards certification for our quality management system
  • Providing quality and reliability education
  • Acting to provide product safety
  • Responding when incidents occur

HowHow we are doing it

Policy and promotion structure

We are promoting quality and safety as part of The Hitachi Group Codes of Conduct and our basic quality assurance principles are outlined in the relevant section of the company rules. In order to thoroughly promote quality governance, we are strengthening our promotion structure to put the safety and security of our customers first. This is being achieved by making the quality assurance divisions of BUs and Group companies independent from the business divisions.

Customer Satisfaction

WhatWhat we are doing

  • Implementing initiatives to improve communication with customers
  • Conducting digital marketing
  • Engaging in advertising activities
  • Providing comprehensive customer support online
  • Engaging in activities to improve customer satisfaction (CS) regarding home appliances

HowHow we are doing it

Policy and promotion structure

Dedicated account managers serve as gateways for corporate customers to deal with Hitachi Group companies in Japan. The entire Group works with these managers to build even closer relationships with clients and to improve customer satisfaction (CS).

Community

WhyWhy it matters

Hitachi considers social contribution activities to be of importance in contributing to the sustainable development of both society and business. We believe that Hitachi, as a company seeking to resolve social issues through innovation, has an important mission to foster not only its own human capital but also the talent that will contribute to society in the field of science and technology more broadly. We are focusing our efforts on activities related to science, technology, engineering, arts, and mathematics (STEAM*1) education, which has gained attention as a tool for fostering human capital capable of using cutting-edge technologies to enhance their creativity, expressivity, and problem-solving skills. As a global company, we also support charitable and volunteer activities among employees, because it is essential for employees to actively volunteer their time and to participate in charitable work to address local issues and needs if we are to build trust with local communities and grow together with them as a good corporate citizen.

*1
STEAM:Acronym for Science, Technology, Engineering, Arts and Mathematics

Social Contribution Activities

WhatWhat we are doing

  • Promoting social contribution activities in three areas of STEAM, the environment, and community support
  • Social contribution scheme enabling Hitachi and its employees to make donations together (matching funds)
  • Providing donations for humanitarian aid to Ukraine
  • Contributing to society through The Hitachi Global Foundation
  • Promoting COVID-19- related support efforts

HowHow we are doing it

Policy and promotion structure

We adopt the social contribution statement, “Nurturing People, Connecting to the Future,” and are engaged in various activities in three areas: STEAM, the environment, and community support.