Long-term Vision
We have established two missions and five basic strategies to "Become an excellent company in the field of functional materials," which is what we want to be in 10 years.
"Where We Want to Be in 10 Years"
Become an excellent company in the field of functional materials
Missions
Leverage our technological capabilities in niche markets so we can continue contributing to society
Work on finding solutions and create new value for a sustainable society
Dainichiseika Group announced “Become an excellent company in the field of functional materials” as our “Where We Want to Be in 10 Years” goal in the current medium-term management plan TRANSFORMATION for TOMORROW 2027, which began in FY2025. We strive to reduce the environmental impact of our business activities and continue to develop and supply “functional materials” that impart functionality to substances. Through this, we seek to build win-win relationships with all stakeholders surrounding the Group and enrich people’s lives.
To achieve our “Where We Want to Be in 10 Years” goal, we will continue to pursue our missions from the previous medium-term management plan: “Leverage our technological capabilities in niche markets so we can continue contributing to society” and “Work on finding solutions and create new value for a sustainable society.”
To achieve these missions, we have set out our basic strategies, which we have continued from the previous medium-term management plan, consisting of “Secure a competitive advantage through technology initiatives,” “Expand overseas business to strengthen business foundation,” and “Promote ESG-focused management to realize a sustainable society.” To support these basic strategies, we have added “Promote HR Strategy & DX” as a basic strategy under our current medium-term management plan, and we will also work to “Implement capital-efficiency-oriented management.”
Basic strategy
1）Secure a competitive advantage through technology initiatives
Dainichiseika Group is reevaluating the technologies we possess using technology management methods and is working on technology development that deepens our three core technologies (1. Pigment Synthesis and Surface Treatment Technology, 2. Formulation and Dispersion Processing Technology, 3. Polymer Synthesis Technology)
by combining open innovation, synergy between segments, intellectual property strategies, etc., with the highest priority being placed on contributing to social needs (ESG).
2）Expand overseas business to strengthen business foundation
We are developing our business based on the recognition that the source of the Dainichiseika Group’s earnings and growth exists both in Japan and overseas and that we need to develop our business in countries with high GDP growth in a balanced manner.
We will adapt our products, which have been highly successful in the domestic market, to meet the needs of high-growth GDP markets (Southeast and South Asia), while expanding sales of these high-value-added products in advanced economies, primarily in Europe and North America.
3）Promote ESG-focused management to realize a sustainable society
To realize a sustainable society, Dainichiseika Group has positioned ESG management as one of our strategies under the current medium-term management plan. We are advancing various initiatives throughout the entire product lifecycle—from the raw material procurement stage to the disposal of products made using our materials—aiming to co-create new value with our customers.
Simultaneously, we utilize Enterprise Risk Management (ERM) to efficiently address risks and opportunities arising from various changes in both external and internal factors related to these critical management issues.
〈Development and expansion of sustainable products〉
Dainichiseika Group promotes the realization of a sustainable society by expanding sales of sustainable products. These include environmentally friendly products that reduce environmental impact, as well as products that enrich people’s lives.
4）Promote HR strategy and DX
Based on the recognition that fostering a “corporate culture full of vitality in which innovation can flourish” is essential for realizing employees’ future aspirations, we are advancing an HR strategy aimed at enhancing engagement among employees as manufacturing company personnel.
We will increase efficiency by digitalizing operations, build the foundations for compiling and sharing data, and focus on promoting efficient, high-certainty strategies and innovative product development to achieve a transition to a data-driven business.
5）Implement capital-efficiency-oriented management
In order to improve our corporate value over the medium- to long term, we will strengthen the profitability of existing businesses and invest in growth fields, based on the four basic strategies mentioned above. As part of our financial strategy, we will also work to strengthen shareholder returns, engage in growth investment such as M&A, and balance sheet management, including measures to improve capital efficiency, with the aim of achieving ROE of 9% and ROA of 5% as soon as possible.
In addition, as part of our non-financial strategy, we will continue to hold briefings for institutional investors and individual investors, and we will also focus on IR and SR activities.