Message from the President

The Nissui Group’s Mission (Purpose of Being)

In April 2022, we unveiled our mission along with our long-term vision, “Good Foods 2030.” In December of the same year, we changed our trading name from “Nippon Suisan Kaisha, Ltd.” to “Nissui Corporation,” embarking on a new growth path.
The mission we have defined puts “food” at the forefront and aims to “create a healthier and more sustainable future through innovative food solutions.” In considering our strengths and competitive advantages in achieving this, we recognize that our scope extends beyond marine products. We possess broader potential and have decided to emphasize “food” as an overarching concept that includes our marine products heritage. This strategy isn’t entirely new, but rather builds on our founding principles. Our original philosophy was imbued with a profound spirit: To provide nutritious fish at reasonable prices to (at the time) nutritionally deficient Japanese citizens, not only to meet dietary needs, but also to eliminate inefficiencies and excess costs. Irrespective of changing times and circumstances, it is our enduring responsibility and purpose of being to relentlessly explore new possibilities in food, thus addressing the societal issues of the time.
To reinforce this mission, we have established “One Table Meetings” as a new platform for dialog between management and employees at Nissui Group companies in Japan. Aiming to candidly communicate our thoughts, I have personally visited around 60% of our sites (achieving full coverage when including visits by other executives) and received a variety of opinions from employees. Meanwhile, to share information among our international Group companies, we held the NGLC (Nissui Global Links Conference) in Tokyo last November and in Barcelona this April, along with a world-renowned seafood expo, where we explained our mission. In the past, the Nissui Group has created synergy by each company utilizing its individual strengths. By reaching a consensus on the mission to explore innovative food solutions, we aim to strengthen the Group’s cohesion and generate greater synergy and value than ever before. Furthermore, with the newly established symbol mark of “Nissui Global Links,” we intend to imprint the Nissui Group’s global outreach in the minds of both our internal team and external audiences.

Sustainability the Foundation for Sustained Growth

In the “sustainability management,” another pillar aimed at achieving our long-term vision, we are committed to creating value in society, for our human capital, and in the environment, with the goal of converting these into financial value. I am convinced that the key to creating innovative food solutions lies in human capital, which is why we have deliberately positioned value in human capital among the four core values of our long-term vision.
I joined Nissui in a research role, fascinated by the romance of the sea and the excitement of hypothesis-driven research as an undergraduate. However, my experience as a factory manager made me realize the indispensable role of human capital. For example, the products produced in a factory are not completely identical. Even on the same production line, operators adjust machinery settings based on their observations, such as noticing something is not right or the lack of sheen, resulting in subtle differences in the final product. This realization has reinforced my belief that regardless of advances in automation and machinery, the pivotal importance of human capital remains. As society rapidly moves toward greater AI adoption and digitization, the onus is on our talented workforce to effectively utilize these technologies. Accordingly, nurturing a digitally savvy workforce is of paramount importance to Nissui.
The increasing mobility of talent underscores the need for the Group to be seen as an attractive place to work by offering stimulating career opportunities. It is the responsibility of management to proactively create such an environment. The growth of the Group is critically dependent on our international expansion, for which the development of a global talent pool is essential. In addition, it is important for the development of future management talent to involve our management team in the management of Group companies, and instilling solid management acumen.
Diversity and inclusion present an important challenge. We have many female employees with outstanding skills and potential, and it is imperative that we engage them in meaningful dialogue to ensure they excel in appropriate roles. At this year's entrance ceremony, I used the parable of the frog in the well to inspire our new employees, emphasizing that while they may not be familiar with the vast ocean, they know the depth and blue of the sky - knowledge we value and want to integrate. The innovative ideas and perspectives that come from diversity are essential to the growth of the Group.
The Nissui Group’s operations are heavily dependent on natural capital, a factor that raises critical issues from both a risk and opportunity perspective. The Group is conducting its third survey of procured natural marine resources sustainability and plans to publish the results in FY2024. It is critical that we expand our efforts beyond simply assessing the status of key fish species and translate this knowledge into tangible procurement improvement strategies by next spring.
For this fiscal year, we are streamlining our biodiversity efforts in line with the framework of the Task force on Nature-related Financial Disclosures (TNFD), and we are actively addressing the challenges that fisheries and aquaculture operations pose to the marine environment. In terms of decarbonization and achieving carbon neutrality, we announced our endorsement of the recommendations of the Task force on Climate-related Financial Disclosures (TCFD) in November 2021 and are seeking to improve both our actions and our disclosures. In pursuit of the ambitious goal of carbon neutrality by 2050 (Scope 1, 2 emissions), we are actively seeking a variety of collaborations with external partners.
The KPIs for social, human capital and environmental value set out in our long-term vision have their origins in the materiality we set in 2016. However, given the significant changes in the environment since then, we are in the process of reviewing this materiality. The results of sustainability initiatives are long-term and not easily quantifiable in immediate financial metrics such as ROIC, but they play a critical role in mitigating a wide range of risks. Our continued commitment to these initiatives is designed to secure the trust of our investors.
I tend to approach things with a logical mindset, managing by the numbers with meticulous attention to detail, and steadily advancing our efforts. However, sometimes, an “animal-like” intuition comes into play, preventing my judgments from being too reliant on forecasting alone and allowing for a balanced approach. Without getting caught up in immediate tasks, I aim to manage by backcasting from a long-term, larger perspective and advancing management step by step.

Strengthening Risk Management to Stay Ahead of the Curve

We are currently revising the risk management system across the Group. Until now, our Risk Management Committee has overseen subcommittees for ethics, occupational safety, post-disaster BCP, and information security. In addition, sustainability-related risks were managed by the Sustainability Committee, while quality-related risks were managed centrally by the Quality Assurance Committee. This structure was predominantly national and fragmented by topic across subcommittees. We are transitioning to a system that threads these disparate elements together, enabling a holistic view of all risks, and determining priorities for a thorough evaluation. By timely and accurately identifying risks throughout the Group and proactively incorporating them into our management strategies, we intend to navigate potential growth opportunities and risks for the future.

Message to Stakeholders

The Nissui Group is currently poised for a significant rebirth. This fall, we will initiate the development of our next Mid-Term Business Plan, a pivotal step toward our goals for 2030. Our strength is evident in the value chain, as explained in this integrated report. I am confident that we can further reinforce this value chain. Rather than a slender thread, we are transforming it into a robust and resilient force that can withstand adversity. United globally, the Nissui Group will continue to strive to enhance corporate value, grounded in our mission. We invite your continued anticipation and support for the Nissui Group’s promising journey ahead.

October 2023