background

Signs of declining market competitiveness are being seen due to the slower pace of DX promotion

DX is attracting attention as a means for companies to establish a competitive advantage in the marketplace by utilizing digital technology to not only improve business processes, but also to reform the organization, corporate culture, climate and to transform the business model itself.

DX promotion has become a key issue for many companies. It has been suggested that the decline in market competitiveness of companies which cannot resolve this issue could result in economic losses of up to 12 trillion yen per year after 2025. ( so called “2025 cliff”).

The client company was suffering from a decline in market competitiveness due to delay in DX promotion compared to other companies. To improve this situation and to establish a market advantage, immediate organizational reform through DX promotion was required.

issue

To be ahead of peers in DX promotion and to improve market competitiveness, we will implement organizational reforms across divisions.

The following issues have emerged due to decline in market competitiveness

• 1. Operating income of some businesses has been continuously in losses for the past several years.
  Inefficient operations and unsystematic tasks are not allowing enough time to focus on productive work. It is necessary to review operations and create an environment in which employees can focus on more productive work.
• 2. There is a shortage of management and digital personnel and exodus of human resources.
  There have been cases where digital human resources have moved to other companies that are taking more advanced approaches due to the lack of established management methods and clear career paths for them. It is necessary to review management methods and establish career paths to prevent the exodus of human resources.
• 3. Lack of knowledge within the systems department.
  Due to the specialization of operations, management methods and operational knowledge have not been accumulated, and solving problem ability is low. It is necessary to accumulate and share knowledge and establish a culture of continuous improvement for problems and issues throughout the organization.

Solve these issues and improve market competitiveness by staying ahead of peers in DX promotion.

To achieve the above goals, Vision Consulting provides support from DX strategy planning to cross-departmental organizational reforms.

activity

Provide a full series of support from the planning of DX strategy to the establishment of organization reforms afterwards.

In this project, the following efforts will be made to resolve the issues in the previous section.

• 1. Operating income of some businesses has been continuously in losses for the past several years.
  Improved operational efficiency by reviewing business procedures and operational methods of the sales and call center departments of its target business.
• 2. There is a shortage of management and digital personnel and exodus of human resources.
  Establish management methods and career paths for digital workers.
• 3. Lack of knowledge within the systems department.
  Accumulation and establishment of management and business knowledge and implementation of ITIL.

In addition to these initiatives, Vision Consulting supports DX strategy planning, IT-BCP(*1) planning after DX promotion and overall project management.

The schematic diagram of each effort is shown in the figure below.

consequence

By being ahead of peers in DX promotion, the company can improve its market competitiveness and establish a market advantage.

By undertaking the entire process from DX strategy planning to establishment after organizational reform, the following benefits can be expected.


1. Improved operational efficiency will create an environment in which the company can focus on more productive operations and improve operating profit.

2. Establishment of management methods and career paths will clarify the roles expected from them and increase their motivation, thereby reducing the risk of human resource exodus.

3. By accumulating and sharing knowledge and best practices, a culture of continuous improvement for problems and issues will take hold in the entire organization.

In addition, by being ahead of its peers in DX promotion, the organization will be able to improve its market competitiveness and contribute to expanding its market share. Thus, it will be able to establish a competitive advantage in the market.