Always Putting the
Customer First
Value Circle That Corresponds to “Always Putting the Customer First”
In all of its business operations, from research, product planning and development to procurement, production, logistics, sales and distribution, ITO EN creates value not only for itself, but also in terms of environmental and social aspects, forming a circle of value or “value circle.” We are also working to enhance our corporate governance as the foundation for this value circle. By working in conjunction with stakeholders, the value circle generates further chains of value, and continues in a repeating cycle. This unique value circle content is the source of ITO EN’s competitive advantage towards achieving sustainable growth.
* In the following diagrams , environmental value , social value and governance-related aspects at each stage of the value chain are represented using the letters , and .
ITO EN Shared Value Creation Model
Research
World and industry-first tea research and technology development
- Discovering and explaining the health benefits of catechins, theanine and other substances
- Patent strategy
Research and technology development regarding health benefits and manufacturing technologies for tea, vegetables and other beverage- and food ingredients
Investigative research regarding cultivation and processing methods for raw materials
Open innovation through joint research with external researchers and research institutions
- Research regarding solutions to consumer issues, such as super population aging and lifestyle related diseases
- Used Tea Leaves Recycling System (conserving and recycling of resources)
Research aimed at spreading resource-saving and energy-saving products
Procurement
High capability to procure crude tea
- Crude tea procurement capabilities accounting for around a quarter of all crude tea produced in Japan
The Tea-Producing Region Development Project
- Stable procurement of high-quality tea leaves
Development of specialized raw materials through collaboration with producers
Procurement of distinctive raw materials and reduction of costs
- Sustainable agriculture and stable management of the tea production industry sector
Resolving community issues such as reuse of abandoned farmlands
- Environmentally-friendly agriculture
Production and Logistics
Fabless Method
- Reduces capital investment costs
- Enables adjustment of production volumes to match demand
NS System
- Enables product differentiation through high-quality products, as well as cost cutting and reduction of environmental impact
Quality Control System
- Ensures traceability
Five-block production and logistics system
- Reduces logistics costs and enables speedy supply of products
Creates value through cooperation with partner companies
- Stable management with production outsourcing partners, safety and peace of mind for consumers
- Sustainable use of resources, Used Tea Leaves Recycling System (reduction of environmental impact and costs through conserving and recycling of resources), environmentally-friendly logistics system
Sales and Distribution
Route sales
- Securing new customers
- Bolstering sales to existing customers
The Tea Taster System
- Revitalization of the green tea market
- Enhancing sales and distribution capabilities through ITO EN tea professionals
“The ITO EN Oi Ocha New Haiku Contest” (Expressing somebody’s own feelings and thoughts in a 3-line poem, regardless of the forms of haiku, such as seasonal words etc.)
“Making Japan Beautiful Through Tea”
- Increase sales and market share through added value
Community-based sales and marketing activities
- Agile and stable provision of products during disasters and pandemics
- Environmental conservation activities in various communities
Eco-friendly driving
Foundation that Supports Creation of Value
- Supply chain management, respect for human rights, human resources management, finance management
- Corporate governance, risk management, compliance
