TOKYO Toshiba Corporation (TOKYO: 6502) today announced that Infrastructure Services Project Team will be established on October 1, 2020, as a head office corporate staff division responsible for strengthening the new infrastructure services business segments announced in The Toshiba Next Plan Progress Report released on June 5, 2020. The new division will be headed by Mamoru Hatazawa, the Representative Executive Officer and Corporate Executive Vice President responsible for the Energy Systems business.
Toshiba Group's wide ranging operations include infrastructure businesses and electronic devices businesses organized in nearly 20 business units. Toshiba Group now aims to create new demand and provide high value-added products and services by generating significant synergies in each of four new function-based segments: Devices/ Products, which includes semiconductors and motors; Infrastructure Systems (Installation), which focuses on the construction of core infrastructure; Infrastructure Services, which covers operation, long-term maintenance and refurbishment of infrastructure systems; and Data Services, which will amass and analyze data generated by the O&M provided by infrastructure services.
Infrastructure Services are Toshiba's core business, the source of approximately 70% of total profits in FY2019. In Japan, the replacement and refurbishment market for aging facilities and for other infrastructure maintenance is projected to grow at approximately 5% a year. The Infrastructure Service Project Team will be responsible for planning from the perspective of overall optimization, and for managing the structure and promotion of newly established standardized processes. Toshiba Group companies will work together to expand the infrastructure services business and enhance operating efficiencies, and will utilize data analysis to offer customers value-added services. Specific plans for expanding the infrastructure services business will be announced in November this year.
Toshiba Group will generate synergies among the four new function-based segments by creating a virtuous cycle in Infrastructure Services, with each of the four segments supporting and reinforcing the other, and will drastically change the profit structure of each segment as an infrastructure services company.
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TOKYO Toshiba Corporation (TOKYO: 6502) today announced that Infrastructure Services Project Team will be established on October 1, 2020, as a head office corporate staff division responsible for strengthening the new infrastructure services business segments announced in The Toshiba Next Plan Progress Report released on June 5, 2020. The new division will be headed by Mamoru Hatazawa, the Representative Executive Officer and Corporate Executive Vice President responsible for the Energy Systems business.
