An auspicious day in January 2024
We would like to wish you a very Happy New Year.
I would like to thank all our customers and partners for their exceptional support.
As the environment surrounding us continues to change drastically, our employees' personal lives have been greatly disrupted by the first high inflation in 41 years and 6 months and the end of telecommuting for 3 years to prevent corona infection, but we are all working hard to gradually get back to normal and provide new value to our customers.
We sincerely hope that the ongoing instability in the world will be resolved as soon as possible so that our lives will be peaceful and secure.
Last year marked a milestone for our company, the 10th year since our founding, and we were able to meet many challenges and achieve the best possible results. We would like to take this opportunity to look back at our fiscal year 2023 (November 2022 - October 2023) and discuss our aspirations for fiscal year 2024.
Looking back at fiscal year 2023
To take on the challenge of the next stage, we focused most of our efforts on human resource development. For our company's singularity (a group of engineers), we launched our original human resource development program together with HIGIN(Higo Bank) BUSINESS EDUCATION Co., Ltd. for the purpose of further accelerating the company's growth by maximizing organizational strength and enhancing "business strategy: investment, financing, and return" capabilities.
Specifically, the program aimed to "create a common language for the organization, clarify ToDo, and repeat PDCA and PDCA" in line with the flow of the mid-term and annual plans, and was implemented for everyone from chiefs to mid-level employees.
In the training of young engineers, we conducted joint training with our design partners. By conducting a two-week group training program for all new graduates and then returning to each site to conduct specialized technical training through Network until mid-June, we were able to reduce variation in basic education and create an environment where employees could work hard and compete, raising awareness of the fact that although they work for different companies, they joined the same company as each other. In addition, as a follow-up training including design partner companies, we also trained our engineers to overcome challenges in each department. This is scheduled to continue for multiple years.
Following the elimination of regional disparities in salaries implemented in FY2022, we are taking on the challenge of new income expansion measures to realize an income appropriate for a group of engineers with the technical capabilities to compete globally. This is aimed at increasing employees' monthly income by Ave. 20% over three years (compared to May FY2022: the rate of increase varies for each position), and for the first time, we implemented a uniform 6% salary increase for all employees starting in January 2023. This year, the second round, we plan to implement a uniform 6% increase in April 2024.
As a side note, TSMC's entry into Kumamoto has brought great expectations and new challenges, but we are also suffering from the shock of TSMC, particularly hiring new graduates is becoming more difficult than ever. There is a big gap in terms of salary (including starting salary), and although we cannot catch up with TSMC, we will continue our corporate efforts to narrow the gap.
Furthermore, we expect to graduate three years earlier than planned as a leading fostering company in Kumamoto Prefecture, which was certified in FY2017. we plan to receive certification as a leading company from the Governor of Kumamoto Prefecture in February 2024.
Management Numerical Results
Despite the uncertain outlook, sales increased in both the contract design business and the newly launched business, resulting in a 134% year-on-year increase in sales to 1.33 billion yen and a 191% year-on-year increase in ordinary income. Needless to say, the good performance was due to the sincere efforts of all employees in providing the value sought by our customers, and in response to their hard work, we paid them a bonus for the fiscal year that exceeded the previous year's level.
Commissioned LSI design business
Our core business, commissioned LSI design business, continued to do well this year and we were able to start business with new customers.
Our own "Customer Satisfaction Survey: 7 front-end projects/16 questionnaires" showed a customer satisfaction rate of 91.6%.
As an example of one of the issues, there was a case where a schedule delay caused by managing caused great inconvenience to the customer. This issue will be fed back to the human development activities within the organization, and we will share the issue and create a system to prevent the same mistake from happening again.
New Business
1.TurnKey
The development project that we have been working on in collaboration with Toppan Technical Design Center Co(here in after TDC). From a business perspective, we have managed to turn a profit in a single year. However, there are several challenges to overcome in order to recover the total investment.
Together with TDC, we will focus on increasing orders for new projects.
2.AI solution “SAMACT”
With the help of Satori Electric, we are in the process of evaluating the performance of a new product for a specific customer, and we expect the customer evaluation to be completed in early 2024, which will clarify whether or not the product can be used in a new product.
In addition, Satori Electric has resumed promotion of the application to new customers. Can edge AI create a new market different from cloud AI? And can SAMACT help it? We will continue to pursue this possibility.
Aspirations for FY2024
Even in the uncertain global situation, we will continue to operate our company with integrity and high ethical standards to provide a bright and joyful future for our employees, their families, and society, and to be the only-one partner of our customers. Our main management objectives are as follows, and we will continue to strive to achieve them with even greater sincerity than in the previous year.
- Head office relocation
- 10th Anniversary Celebration Event
- Industry-academia-government collaboration
- Kumamoto Prefecture: 3D Consortium: Research theme (2) Development of 3D multilayer packaging design technology
- SAMACT technology implementation in collaboration with universities
- Academic consulting contract: December 2023
- Kumamoto Industrial Recovery Expo: February 2024 (at Grand Messe Kumamoto)
- Commissioned design business: Plans to develop TSMC 3nm process products in collaboration with customers
- Turnkey Business: Strengthening activities for new business negotiations with TDC and sales expansion.
- AI Solution "SAMACT": Exploring new application possibilities with Satori Electric
- Numerical management targets: Challenge to achieve sales of 1.5 billion yen and ordinary income of 13.98%.
- Human development: Continue joint training of new graduates by the three companies, and continue training of managers and mid-career employees.
- Income Improvement : Continue measures to improve employee income.
To express our gratitude to our customers, we invite them to the 10th anniversary of the new Maviss Design. Currently, 12 customers are expected to attend.
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