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 .

  • Environment
  • Social
  • Governance

ITO EN Shared Value Creation Model

Value Chain for Building a Competitive Advantage image

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

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