Thank you for reading Gakken CSR Report 2020. We publish our CSR report every year so that in addition to financial information such as sales and profits, our many stakeholders can also understand how Gakken Group is interacting with society, including our environmental and social contribution activities.
In 2019, the Japanese Archipelago was hit by large typhoons which caused damage across the country. I would once again like to offer my condolences to people in areas that suffered damage and I hope that they recover quickly.
Heading into 2020, we are also seeing a succession of events that highlight the effects of global warming, such as the hottest winter on record in Japan and severe bushfires in Australia.
Gakken Group’s business is centered on children and the elderly,so we recognize the extremely grave risk posed by climate change. Furthermore, we think that fulfilling our social responsibility to apply the vast experience we have cultivated to appropriately tackling climate issues also presents a transformative growth opportunity.
Our view is that a sustainable society results in sustainability for Gakken Group, so we see engaging in environmental, social, and governance (ESG) initiatives as a core issue for the entire group.
In our engagement with business and society, we are tackling the SDGs with a medium- to long-term perspective, and we have begun efforts to achieve all 17 goals, with goals 3, 4, and 11 set as priorities.
Since our establishment in 1946, Gakken Group has sought to solve social issues through consistent education. Under our motto of providing people with education, healthcare and nursing regardless of disparities in location and income, we have expanded our services and there are now many fields in which we can provide solutions.
In 2019, we welcomed IC Net Co.,Ltd. into the group. This company is truly on the frontlines of efforts to fulfill the SDGs,providing solutions to issues facing developing countries through official development assistance. The synergies created between IC Net’s track record of carrying out activities in 150 countries around the world and Gakken’s education, healthcare and nursing expertise will help Gakken Group to steadily evolve into a group that can solve all the issues contained in the SDGs.
In "Gakken 2020" the mid-term management plan released in November 2018, Gakken Group we set "developing the next generation with two growth engines" of education and medical care categories as the management policy, make efforts to strengthen the management basement, improve the efficiency of the capital, and return profits to shareholders in order to enhance the corporate value through sustainable growth.
The period of September 2019 being the first year of "Gakken2020" promote to take the English course of Gakken Class, we achieved the goal for sales 140.5 billion yen and operating profit 4.5 billion yen with implementing the diagnosis of "academic ability tomorrow" in accordance to new educational guidelines, etc in Education area, then accelerating the Gakken version regional comprehensive care system and create synergy of serviced housings for the elderly and group homes. We achieved the 10 consecutive year of revenue growth by the addition of medical care services, and the medical care area led the highest profit after the transition to holding company.
2020 is the final year of the Gakken Group Medium-Term Management Plan "Gakken2020".
The new course of study for elementary schools starts in the education area. In new course of study, they define students as "the creator of sustainable society" and call for the three pillars such as "Knowledge and Skills", "Thinking Ability, Judging Ability, Expressing Ability", and "Power to learn and Humanity".
Gakken Group provide "Active and interactive for deep learning" through the experience English learning facility "TOKYO GLOBAL GATEWAY", textbook of morality and physical education, cram schools, Gakken classrooms, NEA (Network for Education Alliance) etc.
To tackle with EdTech, we started digital and innovation promoting department in Gakken holdings, and promoted to spread the development of learning platform and home learning promoting application.
In the medical care field, we establish 17 new bases, create the pleasant work environment, and improve the service quality in order to execute the Gakken version regional comprehensive care system.
Gakken Group promote ESG/SDGs as the company of unity the social issues and corporate activities. We appreciate your continuous understanding and support in advance.
As we face rapid changes in the business environment surrounding Gakken Group, we will focus on achieving growth in the educational field and the healthcare and nursing field. To do this, we will aim to continually provide quality products and services that will pave our way into the future and we have set “make inroads in developing the next generation using two growth engines” as our management policy so that we can achieve improved corporate value through sustainable growth.
Additionally, in order to create a foundation that supports our efforts in these two fields, we have set “strengthen our management foundation” and “raise capital efficiency and return to shareholder” as policy. To realize an aggressive management strategy, we need to form a robust financial base by improving profitability, investing selectively, and raising capital efficiency. The entire company will work together to achieve this plan and aim for even greater heights.