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Hitachi restructures its company to be more focused on digital, innovation, and the environment

Hitachi restructures its company to be more focused on digital, innovation, and the environment

Hitachi is committed to accelerating growth through digital and innovation as well as its environmental goals. Hitachi has announced that it will restructure the business to reflect these commitments.

Effective April 1, the changes will simplify its management structure, which is based on three sectors: digital systems and services; green energy and mobility; and connective industries. However, it will maintain its current business unit structure.

The plan will see the US-based Hitachi Global Digital Holdings, which is responsible for Hitachi Vantara, Hitachi Consulting, and Hitachi Vantara, renamed Hitachi Digital. Hitachi Digital will then be responsible to implement global digital strategies across the entire Hitachi Group.

Hitachi Digital Toshiaki Tokunaga’s current chairman and CEO will also assume the role of chairman of the unit’s digital systems and services. Jun Taniguchi, Hitachi Global Life Solutions’s president, will be named CEO.

Shashank Samant from GlobalLogic will be a senior advisor to Tokunaga. He will also support Hitachi Group’s overall strategy for digital business. Gajen Kandiah from Hitachi Vantara will take on the role of chief digital transformation officer of Hitachi Vantara’s new digital systems and services.

“He [Kandiah]The company stated that it will use insights from the cloud and data applications, which are Hitachi Vantara’s core strengths, to expand the Hitachi Group’s service business and transform the entire group into a world-class provider of digital solutions.”

Hitachi stated that the company’s current future investment division will be combined with the corporate venturing office to create the growth strategy division. President Keiji Kojima will hold a concurrent position of general manager.

Hitachi stated that this division would strengthen ties with R&D companies, startups, and other entities undertaking strategic investments to bring forth innovations through new technologies, business models, and will lead Hitachi’s next stage of growth.

Other changes include Lorena Dellagiovanna’s appointment to the newly created role of chief sustainability officers, as well as holding existing positions as head of environment, chief diversity, and inclusion officer, as well as Yoshihiko Kawmura, the current SVP CFO, being made EVP and concurrently taking the new position as chief risk management and officer.

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This latest move follows the Japanese giant’s announcement last week of Hitachi Automation, which will help it accelerate its position within the robotic systems integration market in Japan and ASEAN.

Hitachi Automation, the company stated, will remain under Hitachi’s industry and distribution unit. The robotic systems business, which involves assembly and conveyor line for all types manufacturers, will be transferred from Hitachi Industrial Equipment Systems to KEC Corporation. KEC Corporation is a Hitachi Industrial Equipment Systems affiliate that specializes in robotic systems integraton mainly for automobile industry.

“The demand for automation has been growing rapidly in the manufacturing sector due to a shortage and retirement of highly skilled workers and a decline in production engineers. Hitachi, the Hitachi distribution CEO Kazunobu Mrita, stated that this is why Hitachi has been focusing on the strengthening of its robotic SI businesses through mergers and acquisitions in Japan as well as the US over recent years.

“I am certain that Hitachi Automation, which will reorganize and integrate the resources of the company, will solve the problems faced by customers in the manufacturing industry in Japan and ASEAN.”

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