For Investors
To Gear Up and Accelerate Towards
the Future the SHIFT Group Aims for.
The SHIFT Group led by Masaru Tange, the founder, CEO and representative director of SHIFT, wants to change the IT industry into a world where people are rewarded for their efforts.
We have a system to scale businesses: "If you want to go fast, go alone, but if you want to go far, go together”. As this saying indicates, the SHIFT Group will help your company to grow and expand your business beyond your current expectations and create a new view together.
If you share these values such as “establishing a solid presence in the IT industry” or “making people happy with IT”, we are always happy to support you with the critical points necessary for growing your business without overly restructuring it.
MethodFor the Expansion and Growth of the SHIFT Group
SHIFT aims to team up with business partners that can strive for growth together and form capital and business alliances, its group companies can utilize SHIFT Group assets to grow. By standardizing and deploying its PMI model, the SHIFT Group can make decisions more swiftly than ever before. In order to open up the future we aim for, SHIFT Growth Capital will advance forward.
Accelerating Business Growth
The SHIFT Group reaches out to all types of customers and talent across Japan by focusing on "creating services that sell.” The SHIFT Group aims to be a player that improves a smart society and labor productivity in Japan. We believe that by having various IT companies join the SHIFT Group, we can become a group of companies that add more value to our customers and the world than ever before by enabling them to realize more satisfactory "DX" and "services that sell".
Roadmap for Business Growth
How quickly and surely can we reach net sales of 100 billion yen, 500 billion yen, and 1 trillion yen in order to create the smart society that the SHIFT Group has set? We have established milestones in each segment to achieve these clear goals. We will accelerate our efforts to achieve these milestones, and each segment will make steady progress to achieve the further growth.
Standardization and Effectiveness of PMI
The SHIFT Group has successfully cultivated and standardized its PMI model in its M&A endeavors since Fiscal 2016, resulting in positive effects. The average revenue growth rate of its group companies has remained stable at 30% even during the COVID-19 pandemic. The successful mechanism will be implemented across the group to effectively guide each other towards growth.
Utilizing the M&A Strategy Map
The roles of each company in the group are divided into finer details, ranging from software development to digital marketing and consulting to the management board, and mapped. To complement and enhance the service areas that can be provided by ONE-SHIFT, the target areas and companies for M&A are selected based on the map.
VoiceVoice of SHIFT Group Companies
The SHIFT Group promotes hybrid management that fully utilizes "centrifugal force" and "centripetal force", and strives to expand the potential of continuous growth as the SHIFT Group by respecting the strengths and characteristics of each group company while growing.
Furthermore, SHIFT utilizes its sales know-how and customer network to expand its market share and achieve business expansion.
The CEOs who joined the SHIFT Group first see themselves "whether they are working with vitality and managing their companies " as one indicator of each company's growth.
Understood well about the integrity and high motivation of the SHIFT members.
It has been a great experience to directly receive advice from Mr. Tange and his management team on how to create a business model, how to raise awareness among people and what a company should be.
Since joining, I have learned a lot of things, and I had a hard time from time to time, but I think I was able to improve the business and get on the path to growth.
Each SHIFT member has deepened their understanding of the group companies, thinking together, receiving advice and encouragement from each other, which has been stimulating. There is a corporate culture of mutual respect, and we would like to spread this culture within the company.
I felt that management`s decision-making is extremely fast.
M&Before the M&A deal, there was a concern that the company system would stiffen and employee motivation would decrease, but after the M&A transaction was completed, we hoped that the startup mindset would be revived.
FAQ
- What is the purpose of establishing SHIFT Growth Capital?
- We have established SHIFT Growth Capital with the aim of welcoming companies to our group that can contribute to strengthening areas including accounts/sales, HR/hiring and service/technology, which are part of our strategy for further growth. At the same time, we also support the growth of group companies by working closely together after they join the group.
- What is SHIFT Growth Capital's approach to governance?
- SHIFT Growth Capital's Investment Department sources, manages, and executes M&A deals. During the process, the Administration Department reviews the business plan of a target company to facilitate quality decision-making. In addition, SHIFT determines the investment limits of SHIFT Growth Capital, and has appointed auditors from within and outside the SHIFT Group to ensure effective governance by installing an auditing system on the same level of SHIFT itself.
- What is the difference between SHIFT and SHIFT Growth Capital's for M&A/PMI strategies?
- Basically, we have the same strategy, but for M&A projects carried out by SHIFT, we will set a relatively high level of affinity with SHIFT products/services and profitability, and consider whether to execute the project. On the other hand, SHIFT Growth Capital will more flexibly consider the level of compatibility and profitability with SHIFT products/services, and consider the pros and cons of M&A with a wider range of business areas.
- What industries or areas of business does SHIFT Growth Capital invest in?
- We consider them with the M&A strategy map below.
- How do you finance deals?
- Investments will be made within the investment limit determined by SHIFT.
- What is your investment policy?
- We basically aim to acquire majority interests, but if there is clear strategic significance, we will consider minority investments, i.e., capital and business alliances.
- Is there any size limit of the target company?
- We do not set a maximum size limit. The SHIFT Group as a whole has prepared a sufficient financial base and funding capacity so that we can invest in companies above a certain size.
- For owners/sellers, what are the benefits of joining the SHIFT Group?
- We will provide group companies with the sales and hiring capabilities that we have cultivated so far as the SHIFT Group, and aim for corporate growth while walking them through the path to growth. Please check the "SHIFT M&A Case Studies" on the top page for the results of PMI so far.