SG Holdings Co., Ltd. has formulated its Long-Term Vision for 2030 entitled “Grow the new Story. New logistics, nurturing a new society together.” and a new Mid-Term Management Plan entitled “SGH Story 2024” spanning the first three years of the vision from the April 2022 until March 2025.

Reflection on “Second Stage 2021” Mid-Term Management Plan (April 2019 to March 2022)

Second Stage 2021 was the second phase of the nine-year long-term plan spanning from 2016 to 2024, and involved enhancement of management platform aimed at sustainable growth.
The Japanese e-commerce market has grown significantly due to the transition to the new normal brought about by the spread of COVID-19, and the number of packages handled by the Group has increased significantly. Under such conditions, quality was maintained while steadily growing the express package delivery services business through the expansion of capacity and stable operation through X-FRONTIER completed in January 2020. In addition, in businesses other than express package delivery services centered on TMS and the logistics business, flexibly responding to changing customer needs has led to business growth. Furthermore, the Group has also actively invested in areas leading to enhancement of the management platform, such as promotion of DX for improving the efficiency of our operations and introducing environmentally friendly vehicles aimed at the realization of a carbon-free society.
Through such initiatives, the long-term management targets for nine years including the next medium-term management plan are expected to be achieved early in the final year of Second Stage 2021.

About the New Long-Term Vision “Grow the new Story. New logistics, nurturing a new society together.”

A new long-term vision aimed at 2030 was formulated to coincide with the timing of the formulation of the next plan due to the early achievement of long-term management targets in “Second Stage 2021” and in order to continue to grow by responding to the dramatically changing socioeconomic environment. “Grow the new Story. New logistics, nurturing a new society together.” has the meaning of aiming to create value that will lead us to the future by creating logistics that continue to be required by working with diverse partners transcending customer and industry boundaries in order to realize a sustainable society in an era expected to have even more dramatic changes than in the past.
In order to significantly grow the scale of our business by 2030 based on this long-term vision, we will aim to expand the scale of our business with a view to market growth in the express package delivery business while focusing on further growth of comprehensive logistics solutions such as TMS, 3PL and global/overseas business. Furthermore, we will actively engage in the reduction of CO₂ emissions by further promoting initiatives such as the introduction of environmentally friendly vehicles and the utilization of renewable energy to achieve business growth and the government’s goal of becoming carbon neutral by 2050.

New Mid-Term Management Plan “SGH Story 2024”

The new Mid-Term Management Plan is positioned as the first three years for achieving the new Long-Term Vision, and not as the “Third Stage,” which is the final phase of the initial long-term plan. The basic policy of the new three-year plan is “creation of next-generation competitive advantages to realize sustainable growth.”
Under this basic policy, we will engage in “enhancement of comprehensive logistics solutions,” “expansion of management resources leading to the creation of competitive advantages” and “further advancement of governance.”
Measures associated with key strategies are as follows.

Enhancement of comprehensive logistics solutions (GOAL®)

①Promotion of services aimed at solving social and environmental issues such as decarbonization
②Expansion of TMS/3PL networks and enhancement of ancillary solutions
③Strengthening international and overseas services
④Improvement of profitability through enhancement of service and improvement of efficiency in express package delivery service

Expansion of management resources leading to the creation of competitive advantages

⑤Strengthening domestic and overseas transportation network including alliances
⑥Investment in human capital and improvement of employee engagement
⑦Creation of competitive advantages through investment in DX
⑧Creation of new value through open innovation

Further advancement of governance

⑨Creation of governance structure that meet global standards
⑩Ongoing advancement of compliance

Numerical targets under the new Mid-Term Management Plan are as follows.

* Rounded down to nearest 100 million yen.

See the briefing materials for details.
Mid-term Management Plan "SGH Story 2024"