Message from the CEO｜Moving Forward with Confidence in a Rapidly Changing World

Continuing to support a new society through the power of energy

The world is currently experiencing greater changes than ever before: shifts in national policies, the intensification of geopolitical risks, the rapid evolution of artificial intelligence (AI) and semiconductors, and an explosive increase in power demand. These changes unprecedentedly increase the value and responsibility of the energy that we are tasked with delivering. Batteries now bear the important responsibility of being a crosspoint for energy management and information security, which are even related to national security. As electrification progresses in social infrastructure and various aspects of daily life, they have become a key presence supporting the foundation of everyday life.

On the other hand, batteries are part of a global industry involving complex interactions among resource-producing countries, processing countries, manufacturing countries, and user countries. While the world seeks to connect through technology, an increasingly divided world caused by geopolitical risks raises the likelihood that batteries will be strongly affected by these impacts. Still, no matter how much the business environment may fluctuate, our goal remains unchanged. That is, realizing our Mission of “Powering a society where shared well-being and environmental sustainability thrive together,” our Vision of “Be the energy that shapes the future,” and our Will of “As humanity, we push beyond.” These principles, held in the hearts of all employees, will never waver; rather, we feel that now, as the world grows increasingly uncertain, society needs our purpose more than ever.

Properly adapting to changes and tackling challenges with two-pillar management

Toward a future where all EVs and data centers are connected

Solving the most difficult social issues that no one else is addressing

The speed of changes in social infrastructure resulting from the connectivity of AI and the cloud will accelerate, and the areas where batteries are needed will also expand. The battery performance and control systems required are becoming more complex, and the volume is also increasing. Our technology sector is also advancing the development of products and systems with an eye to the future beyond 2030. In order to create new pillars of growth following EVs and data centers, we need to further evolve our adaptability and responsiveness to diversifying demands.

Our business model, under which we can quickly develop products and systems through vertical integration using the know-how and production facilities we have built over 100 years of manufacturing, is a major strength in the face of a rapidly changing operating environment. By leveraging this strength and demonstrating adaptability, we should be able to seize new business opportunities across a broad range of areas. That said, it is unprecedented for social infrastructure to change at such a rapid pace, and taking a leading role will not be easy. However, our spirit since the Company was founded has been to take up the challenge of solving the most difficult issues in society that no one else is addressing.

The door to a new society is already wide open. A society where AI, robotics, mobility, and energy all converge will soon be upon us, transforming the very way we live. As self-driving becomes commonplace, robots will take on roles in factories, agriculture, and logistics, dramatically changing the lives of the elderly and those with mobility challenges, and a new way of living will begin where digital and analog worlds interact with each other. At the center of this is the energy that supports a safe society. We have long played a role in creating a society that is always connected by utilizing primary batteries, particularly our original dry batteries, as touchpoints in social infrastructure like smart meters. We aim to be a company that supports the future of living and infrastructure, acting as an unseen yet essential presence in society.

With consortiums, we will pass on batteries as the “heart” of a national strategy

Fueled by a sense of mission, all our employees are lead characters

The more AI evolves and digital technology increasingly saturates society, the more important human-centric analog skills will become. I predict that complex tasks and dangerous jobs will be replaced by AI and robots, and people will spend more time pursuing happiness while deepening communication with others. We need scientific knowledge to make batteries, but their deployment in society requires the sensibility of art that lights up the human heart. With the aim of achieving our Mission, we have implemented a number of unique initiatives, including the Mission Ownership Taskforce, an organizational unit that endeavors to raise the sense of mission in each and every employee, The Forest Conference during which we learn from nature about the ideal harmony between life and the environment, and the Seven Pillar Heroes program, which recognizes employees who have practiced change. In this way, we have fostered a culture that brings out a sense of mission in each employee, sharing and blending our technology and philosophy while supporting one another. We engage in discussions with employees of different generations to realize our Mission, share our challenges and worries with one another, talk about our roles in our own words, and gain the strength to move forward without fearing change.

Our business field is in the digital domain, but at its core, we pursue “analog” happiness for the coexistence of humanity and the natural environment. The analog abilities that only humans can exhibit are valuable assets, and it is my important responsibility to elevate them. When looking at our human resources, I realize that there are many gems still buried within the organization, each holding the potential to contribute to society. It is the sparkle of each individual that serves as the source of our competitiveness, and value can only be created by people. This belief will not change, no matter how much technology evolves.

The changes in the world are growing increasingly intense, and at times we may be surrounded by a lot of anxiety. However, when I see the efforts of our employees to cope with these drastically changing times, I am more certain than ever about realizing our Mission. While acquiring the ability to adapt to all signs of change, each employee will play a leading role in shaping the future.

Every April, at an internal event, I present an illustration to employees that depicts where we are at present and where we aim to be in the future as we go about realizing our Mission. This year’s illustration is called Companions on the Journey. On the top of the cliff on the left side of the picture, there are companions who are creating new value, as well as those who are on the verge of reaching the top of the cliff. Everyone is steadily supporting each other. Also, unfolding before them is a scene where others are pushing forward toward the next value creation. Right now, each individual is courageously marching forward toward the realization of our Mission while playing their own roles. This march will never stop as we aim to reach the ideal world depicted in the upper right corner of the illustration.