The Nichirei Group promotes DX with each employee playing a leading role because DX is a business transformation activity that utilizes data and technology and supports the realization of the Group’s material matters (materiality). In the previous medium-term business plan, we were able to improve employee digital literacy and address labor shortages, as well as improve operational efficiency and optimize individual businesses. In the current medium-term business plan, we will adopt a global perspective and work on optimization including external stakeholders.
Organizational Structure for Promoting DX
Overview of DX Strategy
To raise the awareness of employees, we will launch a new portal site focusing on our DX activities and conduct DX training for each Group employee to acquire digital literacy. By promoting DX throughout the Group, we will help to innovate existing work, generate new work and resolve supply chain issues, among other benefits.
Value Creation DX
We will utilize data and digital technology to create new businesses that contribute to good eating habits and a longer healthy life expectancy, and to offer a more valuable experience for customers. Through initiatives that go beyond our own industry, we also aim to build new ecosystems and work to monetize them.
Production/Logistics DX
We will work to implement automation using IoT, AI, robotics and other methods, and for overall optimization to link factories and warehouses in areas such as ascertaining production volume at factories and incoming, outgoing and storage volume at refrigerated warehouses. We will also work to achieve optimal equipment operation and maintenance that mobilizes our factory and warehouse management know-how, and to conduct all-inclusive control of multiple sites.
Sustainability DX
We will work to create a sustainable supply chain by collecting, managing and analyzing information on the sustainability of our suppliers and all other parties involved in the supply chain.
Human Resources DX
We will deploy the right human resources to the right places in the Company. At the same time, we will improve work efficiency by promoting cooperation with external human resources.
Management Base DX
We will collect, manage and analyze internal and external data to be converted into valuable information, and provide that information to management in a timely manner for speedy decision-making.
Three-Tier Model of IT and DX Platform to Realize the DX Strategy
By tiering the infrastructure (platform) into company, management, and business, and dividing it into one that is commonly used by the Nichirei Group and one that is specialized for each business, we strengthen optimal IT governance and information security while enabling operating companies to promote IT and DX proactively. In addition, related costs are classified into Transform, Grow, and Run, and resources are preferentially allocated to Transform and Grow.
[Business Platform] Individual business operation system
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●On-site operational innovation by utilizing cross business digital technology
Many facilities of the Nichirei Group, such as production bases and warehouses, are working for efficient operation, coping with labor shortages, and improving the quality of products and services. For example, AI recognizes the image of the data of facilities detected by cameras and sensors for temperature and humidity, etc. and AI enabled software and hardware robots support quick and effective actions. We are promoting exploration and utilization of technology with the aim of enabling anyone to perform tasks by leveraging digital technology.
[Management Platform] Group common system
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●Utilization of generated AI and data proceeded together with development of data infrastructure
In a management and business environment that is changing so drastically every day where past experience is no longer applicable, it is necessary to accelerate the decision-making process by utilizing data. In addition to financial information, the global collection, accumulation, analysis, and disclosure of sustainability information, such as of
environment and human rights, are becoming important in order to comply with laws and regulations that are being strengthened year by year. We will develop a data infrastructure that includes not only numerical data, but also documents and other information, so that employees can use generative AI and data as a matter of course to make their work more sophisticated.
IT/DX human resources, IT/DX training, DX community
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●DX community DIG!LAB
DIG!LAB, the Nichirei Group’s DX community, is a place where employees with various skills, regardless of business or department, gather, support each other, and grow together in order to solve various business issues with data and digital. In addition to introducing examples of DX within the Group, providing seminars and training programs, and introducing how to use useful tools and services on a dedicated website, a team called the DIG!LAB Camp, which consists of members with a strong passion for DX, is engaging in more active initiatives.
Initiatives at Nichirei Group and business sites
Introduction and Promotion to Utilize Nichirei AI Chat, Generative AI Exclusively for the Nichirei Group
- In February 2024, we started the full-scale introduction of Nichirei AI Chat, an in-house generative AI, with the aim of improving business productivity throughout the Nichirei Group.
As of July 2025, the number of users was approximately 2,000, and the internal usage rate reached 37%.
“Nichirei AI Chat” utilizes a large language model (LLM) on Microsoft Azure,* and supports a wide range of operations such as documentation, summarization, and translation while ensuring the safety in handling internal information. To start using the system, employees are required to complete educational content based on the generative AI guidelines to improve their literacy and build a safe operational structure.
After the introduction of the system, regular training sessions are held to help employees improve their skills. We also set up a dedicated internal site to promote the effective use of generative AI, consisting of tips on how to use it, case studies, and introduction of prompts created by employees.
In the future, we will further strengthen the linkage with internal data to realize more advanced business support. By positioning Nichirei AI Chat as the core foundation of our DX strategy, we will promote the creation of an environment that supports the creativity and productivity of each and every employee.
- *Cloud computing services offered by Microsoft Corporation
Business Innovation in Temperature-controlled Logistics Using Automated Guided Forklift (AGF)
- As part of its business innovation, the Nichirei Logistics Group is working on the use of an automated guided forklift (AGF) that operates unmanned in temperature-controlled warehouses to reduce workload.
In the past, it was difficult to introduce AGF in a temperature-controlled environment due to frost and condensation. However, in June 2021, we had a trial operation of a laser-guided AGF at Nichirei Logistics Kansai, Inc. Osaka Futo DC (below minus 18°C) and conducted a series of tests in cooperation with a forklift manufacturer to verify that AGF can operate stably in a temperature-controlled environment, including the introduction of components suited for a temperature-controlled environment, sensors, and rust-proofed equipment.
In February 2025, the AGF, which links with the factory’s production line, began operation at Nichirei Logistics Kansai, Inc. Takatsuki DC (5°C) attached to the Nichirei Foods Inc. Kansai Plant. Sensors detect the arrival of products flowing on the production line, and at the same time, AGF automatically moves to the pickup location. After picking up a product, AGF moves automatically to the designated storage location. This reduced the time required for simple transport work by about 40%, helping to ease the workload of workers in temperature-controlled environment and solving chronic labor shortages. At the same time, the time saved can be used for other high-value-added work.
Going forward, we continue aiming to realize sustainable logistics services by building operational flows that take advantage of the strength of labor-saving equipment such as AGF and human resources, and by promoting linkages with other equipment and robots to be deployed at bases nationwide.
Initiatives to Achieve Sustainability Management through a Smart Factory
- The Nichirei Group aims to create social and economic value as it works to achieve sustainability management. As part of these efforts, Nichirei Foods and the new factory for rice products at Kyurei Inc. are promoting a “smart factory” initiative. The production site, production management and back-office departments are working together to the establish smart factory, which we consider to be factory that meet three conditions: reduction of headcount and waste through the use of AI and robotics, reduction of physical labor and dependence on individual skills through standardization and use of IT systems, and a faster improvement cycle through utilization of data. One specific example is the automation of an extensive amount of inspection work that was previously done manually (removal of burnt sections). By using AI and robots to do these tasks, we have reduced employee workload. Automation has enabled more precise removal of burnt sections, which has led to a reduction in food waste. Moreover, by promoting the visualization of environmental metrics, as well as effective utilization of waste heat, installation of solar panels, and utilization of renewable energy sources, we have been able to reduce CO₂ emissions by 50%.* In addition, we intend to further reduce dependence on personalized knowledge and skills by using AI to prepare production plans, and have introduced a cockpit system for real-time monitoring of the factory’s status from the office, enabling prompt detection of problems and swift instructions to the factory floor for improvement. Going forward, we will continue rolling out these technologies to our other factories, enhancing production efficiency, driving operational reform to establish new ways of working and, in turn, improving job satisfaction.
- *Comparison of the former production line in October 2022 with the new production line in October 2023.
Improving Working Conditions at Nichirei Logistics Group: Results and Outlook for AGV Introduction
- To help resolve labor shortages caused by the Logistics Industry’s 2024 Problem and reduce the burden on workers, in 2021 Nichirei Logistics Group introduced automated guided vehicles (AGVs) for transporting pallets at Sendai DC, Nichirei Logistics Tohoku Inc. As a result, the shift to on-site tasks that anyone can handle has progressed. Forklift operations that previously required about a year’s experience can now be done by new employees after about one month on the job. Productivity and work efficiency have improved in the area where AGVs have been introduced, with the number of pallets transported per hour increasing by about 70%, and forklift operator person-hours decreasing by about 23%.* Further improvements are expected through continuous data collection and variation control. Going forward, we plan to introduce AGVs at other bases. We aim to shift from operating AGVs as standalone units to linking them with existing equipment. We also plan to conduct demonstration tests aimed at reducing headcount in freezer operations. These initiatives are expected to significantly contribute to improving Nichirei Logistics Group’s operational efficiency and productivity.
- *Comparison of May 29 to June 4, 2023 with June 5 to June 11, 2023. Effectiveness may vary depending on which workflow AGVs are used in.
