Third Medium-term Management Plan
"Beyond Borders" evokes the idea of going beyond perceived barriers between companies and business structures to achieve cooperation and collaboration, to transform the current business model, to shift from a domestic perspective to a global view, and to see each and every employee within the Group transcend their own boundaries.
Emphasize ROE as a key performance indicator, strive to boost corporate value, and realize sustainable growth.
Promote management activities with an even greater emphasis on profitability
- Highlight operating income, operating margin and even more importantly, net income
- Raise corporate value by introducing ROE and other management indicators
Always look one step beyond clients' current needs and provide value-added proposals to enhance clients' earning capabilities
- Shift from existing assignment solution style services, which address client requests, in favor of value-added creation and market-cultivating styles
Utilize distinct strengths of operating companies as growth engines while promoting cooperation — working together — and collaboration — creating together — within the Group
- Draft and execute business portfolio strategies
- Reinforce and restructure operating platform through pursuit of groupwide optimization of all resource categories
Key Performance Indicators
TIS made profit-driven management (enhanced earning power) a key performance indicator and will strive to boost corporate value based on the use of return-on-equity and other specific financial metrics. For ROE, the Company is aiming for 8% in fiscal 2018, ending March 31, 2018, and at least 10% by fiscal 2021, ending March 31, 2021.
The direction that theTIS INTEC Group looks to travel points to a change, away from services under the existing assignment solution style, which address client requests, and toward services under value-added creation and market-cultivating styles.
Ideal Management Structure
Through the second medium-term management plan, the Group transitioned from the direction laid in the first medium-term management plan, which prioritized the independence of each company, and built a stronger sense of unity as a group. With the third medium-term management plan, TIS seeks to integrate and restructure the Group by establishing a better business model, sharpening recognizable capabilities distinct to each company, and achieving growth through groupwide implementation of portfolio management, in a project sense.
[Change in policy on return to shareholders]
Will adopt total shareholder return measure (total return ratio) to promote shareholder returns through dividends and an appropriate capital structure through treasury stock buyback.