Slide 1: 2019 Research & Development Strategy
2019 Research & Development Strategy To become a global innovation leader 26 June 2019 Norihiro Suzuki, Ph.D. Vice President & Executive Officer, CTO General Manager, Research & Development Group General Manager, Corporate Venturing Office Hitachi, Ltd. © Hitachi, Ltd. 2019. All rights reserved.
Slide 2: Contents
Contents １. Vision for 2021MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions / products ４. Promote exploratory research resolving societal issues ５. Summary MTP: Mid-term Management Plan © Hitachi, Ltd. 2019. All rights reserved. 1
Slide 3: Contents
Contents １. Vision for 2021MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions / products ４. Promote exploratory research resolving societal issues ５. Summary © Hitachi, Ltd. 2019. All rights reserved. 2
Slide 4: 1-1 2021 Mid-term Management Plan
1-1 2021 Mid-term Management Plan To be a global innovation leader in Society 5.0/SDGs fields To improve the Quality of Life and add values for customers R&D Group Social values Environmental Economic Value Co-create values values & Solutions To increase the three values of social, environmental and
Slide 5: 1-2 FY2015 R&D structural realignment
1-2 FY2015 R&D structural realignment FY2015~ FY2016~FY2018 FY2019~FY2021 Estab. global CSI structure Global Center for Social Innovation (CSI) ・Systematized NEXPERIENCE - a co-creation methodology SDGs Shared Concept Prototype Provide/ Society 5.0 design Upgrade ・Co-creation activities vision PoC/P
Slide 6: 1-3 2018MTP Creating digital innovation
1-3 2018MTP Creating digital innovation FY2015～ FY2016～FY2018 FY2019～FY2021 Collaborative creation using Lumada ・Leverage NEXPERIENCE Methodologies ・Expand customer case & Tools IoT platform ・Develop AI/IoT clusters Solution core NEXPERIENCE Customer case Operation video analytics People flow visual
Slide 7: 1-4 2021MTP Creating the three value propositions
1-4 2021MTP Creating the three value propositions FY2015～ FY2016～FY2018 FY2019～FY2021 Foster an Social Environmental Economic open innovation ecosystem values values values Improve QoL Add values for customers Established • Kyōsō-no-Mori Social innovation by Lumada • Corporate Venturing Office June
Slide 8: 1-5 Hitachi Gr. investment in R&D
1-5 Hitachi Gr. investment in R&D Invest 1.2 trillion JPY in R&D through 2021MTP, continuously improve R&D efficiency Investment in R&D R&D efficiency Past 3-yr. avg. of R&D expend. R&D expenditure / Revenue (%) 5.0 R&D expenditure (Billion JPY) 5,000 500 3.0 R&D expenditure Hitachi as a % of Revenu
Slide 9: 1-6 Corporate R&D portfolio
1-6 Corporate R&D portfolio Accelerate R&D by building ecosystem, strengthen resources outside Japan Research target Strengthen co-creation/digital technology research and R&D resources outside of Japan BU initiatives Business roadmap Exploratory Exploratory Sponsored research Customer research Cust
Slide 10: 1-7 Enhancing digital HR
1-7 Enhancing digital HR Enhance digital HR including top-class AI researchers for the Hitachi Group ・Established Insights Laboratory R&D Group plan R&D Group (April 2017) to enhance digital HR AI top-class ① State-of-the-art AI / Total 2,000 HR Data analysis (350) (Ph.D.) ② AI using OT data & domai
Slide 11: 1-8 FY2018 External recognitions
1-8 FY2018 External recognitions High-speed train Particle beam therapy equipment High resolution open MRI National Commendation for Invention – The Imperial Invention Prize Medal with Okochi Memorial Prize Japan Industrial Techniques Grand Prix Purple Ribbon National Commendation for Invention - Ju
Slide 12: 1-9 FY2019 R&D Group organization
1-9 FY2019 R&D Group organization Global R&D driving new growth in Social Innovation Business Technology Strategy Office A. Koike Global R&D Strategy GM Global Center for Social Innovation (CSI) U. Dayal Global co-creation of service business GM N.Suzuki Vice President Center for Technology Innovati
Slide 13: 1-10 R&D policy in FY2019
1-10 R&D policy in FY2019 Become a global innovation leader in the fields of Society 5.0 and SDGs Co-creation of global solutions CSI Pioneer business models using CV, ideathons / hackathons Promote open co-creation in priority solutions & focus regions Creation of global No.1 technology for sol
Slide 14: Contents
Contents １. Vision for 2021MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions/products ４. Promote exploratory research resolving societal issues ５. Summary © Hitachi, Ltd. 2019. All rights reserved. 13
Slide 15: 2-1 Advancing co-creation to accelerate innovation
2-1 Advancing co-creation to accelerate innovation Co-creation through open innovation with stakeholders Ecosystem of Vision creation・ industry-government-academia Rulemaking （WEF-C4IR, embedded labs, etc.） Service Open Startup forum Ideathon ideation collaboration Kyōsō-no-Mori (Kokubunji) Solution
Slide 16: 2-2 Kyōsō-no-Mori: Establish societal consensus
Vision creation 2-2 Kyōsō-no-Mori: Establish societal consensus ・rule making Opening ceremony: 11th April 2019 Panel discussion: “The Future of Asia and Pacific Smart Cities” Discussed the value and meaning of smart cities initiatives in Asia and Pacific area Moderator: Mr. Kojin Nakakita, Vice
Slide 17: 2-3 Ideation through open innovation
Ideation 2-3 Ideation through open innovation ・materialization Future Trust ASEAN region FinTech apps. Blockchain applications Thinking about future trust, Generating ideas based on Exploring ideas for applications of from the perspective of technical leading-edge activity in Singapore blockchain th
Slide 18: 2-4 Joint business program
Solution devt. 2-4 Joint business program / Validation Societal implementation using Hitachi & partner technology, know-how and data Future Living Lab. Kyōsō-no-Mori 5G application N.America Demonstrate a vision of Society 5.0 vison, and Co-creation of solutions (remote control & work implement a so
Slide 19: 2-5 Global innovation network
2-5 Global innovation network Extend the field for open innovation to accelerate innovation Hitachi Vantara Signed Tsinghua Univ .̶ Hitachi Launched Kyōsō-no-Mori (Apr. 2019) Opened new office Collaboration plan for future innovations (May 2019) Munich (Nov. 2018) Beijing Tokyo Santa Clara Thailand
Slide 20: Contents
Contents １. Vision for 2021 MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions/products ４. Promote exploratory research resolving societal issues ５. Summary © Hitachi, Ltd. 2019. All rights reserved. 19
Slide 21: 3-1 Development strategy for world No.1 tech. platforms
3-1 Development strategy for world No.1 tech. platforms Focus investment in “’Sector’ x Lumada,” Lumada platform, and No.1 products セクター Sector Mobility Smart Life Industry Energy IT Pursue further Achieve structural reform / 2021 MTP Focus on energy Enhance Lumada global growth Establish Smart Life
Slide 22: 3-2 Mobility
3-2 Mobility Deliver safe & comfortable mobility service to people EU・CN × Lumada Mobility-as-a-Service Solution Modality/facility planning optimization Realize the seamless movement of people in Predict people flow taking into account the effect cities which continue to grow in size and of user
Slide 23: 3-3 Smart Life
3-3 Smart Life Contribute to improved QoL by realizing cities comfortable for everyone Asia・JP × Lumada Smart Life Infrastructure aaS Solution Autonomous driving / OTA solution ● Generate societal and environmental value by Real-time recognition of the driving environment using continued technolog
Slide 24: 3-4 Industry
3-4 Industry Total solution that seamlessly connects site & management NA・JP × Lumada Value chain optimization Solution IoT Compass ●Reduce CO2 emissions by improving product efficiency and service provision, and reducing ●Accelerate cycle of improvement for productivity product energy consumption b
Slide 25: 3-5 Energy
3-5 Energy Highly efficient & stable energy supply for a renewable energy era EU･JP × Lumada Energy solution Solution Wide-area grid simulator Expand use of renewable energy to contribute to societal & Simulate power system stability for upcoming renewable environmental values energy utilization p
Slide 26: 3-6 IT
3-6 IT Accelerate customer’s innovation with advanced IT NA・Asia・JP Solution Risk Simulator for Insurance Solution e-government & e-payment India・NA Apply hospitalization period simulator for the 8 major Create digital infrastructure business aligned with policy lifestyle-related diseases in the
Slide 27: 3-7 Core technology for Lumada (1)
3-7 Core technology for Lumada (1) Core technology to link cyber space and physical space Predictive Failure Diagnosis for Industrial Equipment Video and voice analysis Use AI based on OT knowhow, product design & Realize people flow analysis, search & tracking by maintenance technology to diagnose
Slide 28: 3-8 Core technology for Lumada (2)
3-8 Core technology for Lumada (2) Core technology to link cyber space and physical space Sensing Security Ultra-sensitive vibration sensor technology measuring Distributed security operation technology minute changes in state in large spaces (>100m) detecting and averting cyber attacks Digital city
Slide 29: 3-9 Expanding globally using the Lumada ecosystem
3-9 Expanding globally using the Lumada ecosystem Globally scale the developed solution cores Value creation Insights Co-create cycle Laboratory Accumulate Develop Lumada customer cases and solution cores Global expansion Lumada Solution Hub Application development Industrial solution Partner’s appl
Slide 30: 3-10 No.1 technologies for products (1)
3-10 No.1 technologies for products (1) EV component (Inverter) Particle beam therapy system Blood analyzer Double-sided cooled power module Realized world's smallest All-in-one device combining realizing world’s highest-class accelerator*2 for heavy ion beam biochemical, immunological and power den
Slide 31: 3-11 No.1 technology for product (2)
3-11 No.1 technology for product (2) Global rolling stock Used design technology & analysis-led design for interior & exterior design to accelerate the No.1 tech. Design concept and verification development of rolling stock attractive to multiple ■ 2019 National Commendation for Invention, regions w
Slide 32: Contents
Contents １. Vision for 2021MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions/products ４. Promote exploratory research resolving societal issues ５. Summary © Hitachi, Ltd. 2019. All rights reserved. 31
Slide 33: 4-1 Promote exploratory research to resolve societal issues
4-1 Promote exploratory research to resolve societal issues Explore disruptive technology and business opportunities through exploratory research resolving societal issues Society 5.0 Climate Digital Changing change disruption demographics Resource Urbanization depletion CER research fields Joint re
Slide 34: 4-2 Sharing visions of the future globally
4-2 Sharing visions of the future globally Working with academia to globally share visions of societal and environmental value U.Tokyo - Societal implementation of “Habitat Innovation” Tsinghua Univ. Drive innovation in “digital city” and “energy,” Lab. - Energy policy proposal Lab and deploy global
Slide 35: 4-3 Creating disruptive technology
4-3 Creating disruptive technology Hitachi Cambridge Lab Silicon-based quantum computer Hitachi Kyoto U. Lab Regenerative medicine Realized qubit selection control using hybrid circuits Succeeded in the world’s first automated culture of toward commercial quantum computer using Si-based qubits retin
Slide 36: Contents
Contents １. Vision for 2021MTP ２. Strengthen global co-creation of solutions ３. Generate world No.1 technology for solutions/products ４. Promote exploratory research resolving societal issues ５. Summary © Hitachi, Ltd. 2019. All rights reserved. 35
Slide 37: 5-1 Summary
5-1 Summary Become a global innovation leader in SDGs, Society 5.0 To improve the Quality of Life and add values for customers Society 5.0 SDGs Social innovation by Lumada Open labs Newly established (U.Tokyo, Kyoto U., corporate Kyōsō-no-Mori Hokkaido U., U.Cambridge, Tsinghua U.) venturing fund /
Slide 38: Hitachi Social Innovation is POWERING GOOD
Hitachi Social Innovation is POWERING GOOD
Slide 39: HITACHI Inspire the Next
HITACHI Inspire the Next