Management of ROIC-based Management Information
Increasing management efficiency
Given the low ROE compared to global competitors, it is imperative to improve management efficiency.
This requires a scheme that underpins the organizational activities of both the corporate and business sides, by not only managing P/L but also setting targets and KPIs that can promote increased capital productivity.
DivaSystem collects not only limited indicators centered on P/L, but also detailed information, including non-financial information, from each company to build a business management base for the entire group (on a consolidated basis) to activate communication across departments and improve the PDCA quality of group management.
Customer Success Story 1
- Theme
- Shift to a balance sheet management perspective
- Challenge
- The current business management focuses on flows (P/L) and lacks the perspective of balance sheet management, which involves working capital and capital investment.
- Post-introduction Value
- Customers are free from flow-oriented corporate management by providing a corporate management platform that assumes management of not only P/L but also B/S and non-financial information from the beginning.
Customer Success Story 2
- Theme
- Improvement of “earning power” on a consolidated basis
- Challenge
- Due to globalized sales and production sites, consolidated profitability by business, product, channel, market, etc. has not been assessed in a timely manner.
- Post-introduction value
- Provides a scheme that realizes multiaxial consolidated profitability. Provides speedy assessment of consolidated earning power by business, product, channel, market, etc.
Customer Success Story 3
- Theme
- Revitalize communication between corporate and business divisions
- Challenge
- Corporate KPIs, calculated based on business-specific financial information collected on a monthly basis, were not linked with indices used by the front-line business side, and therefore, tended to indicate another direction.
- Post-introduction Value
- Provides a scheme that collects detailed information on sales, inventories, costs, expenses, debts and credits, and fixed assets (both actual and planned) from each group company and compiles such information to obtain consolidated data. Communication between the corporate side and the business side has become active.
Customer Success Story 4
- Theme
- Improvement of traceability of investments
- Challenge
- The execution status of post-budget investments is not managed. The performance of investments was not assessed against initial expectations.
- Post-introduction Value
- Provides a platform that manages not only P/L, B/S, and C/F planning and PSI planning but also investment budgeting and the execution status of the investment budget. Also has the capability to calculate research and development costs based on the quantity of expected sales at the time of investment. Investments have become manageable throughout the PDCA cycle.