Yamato : Value Creation Process

Part 1

VALUE CREATION BY THE YAMATO GROUP

Value Creation Process

Business Environment / Social Issues

• • Diversification of customer expectations and needs  • Rapid progress of EC adoption in various industries 
• Declining population and decaying regional infrastructure  • Declining working population  • Climate change and resource scarcity

Further acceleration of the shift toward EC in all industries

due to the COVID-19 pandemic

• Consumption behavior: Further growth of EC and shift to omni-channel approaches, including non-face-to-face interactions
• • Logistics structure: Total optimization of inventory and supply routes

VALUE CREATION BY THE YAMATO GROUP

Part 1

Sustainable

corporate value

improvement

Management Resources / Strengths (As of March 31, 2022)

	Corporate	Yamato Business Members:
Customer	clients	Approx. 1.48 million
顧客

	Value	We Provide
For consumers:	Further enhancing the convenience of lifestyles

For corporate clients: Supporting corporate value improvement (not only enhancing logistics efficiency but also

Targets (Fiscal year ending March 31, 2024)

Consolidated operating revenues: ¥2 trillion

Foundation		Kuroneko Members:
基盤	Consumers	Approx. 54 million
		×
	Sales	Account sales representatives and sales
Human	representatives	drivers: Approx. 60,000
	Guest operators and call center operators:
Resources	Customer
	Approx. 25,000
	representatives
		×
	Base network	Corporate operation facilities:
		Approx. 400
Logistics		Sales offices (TA-Q-BIN): Approx. 3,500

	providing support for management issues such as adjusting inventories, optimizing sales,
	and increasing the efficiency of back-office work)
For society:	Reducing environmental burden, enhancing environmental resilience, and improving quality of life

The Yamato Group's Important Role

as a Part of Social Infrastructure Medium-TermManagement Plan "One Yamato 2023"

Combine the management resources gathered together under "One Yamato" in an optimal manner to provide value

from end to end with a view toward transforming the supply chain

Financial

Environmental*

Consolidated operating profit: ¥120 billion

Consolidated operating profit margin: 6.0%

Profit attributable to owners of parent: ¥72 billion

ROE: 10% or higher

Reduce GHG*¹ emissions: -10%*2

compared with the fiscal year ended March 31, 2021

Reduce GHG emission intensity: -10%*2 compared with the fiscal year ended March 31, 2021

Use of electricity generated via renewable energy sources: 30%

*1 Greenhouse gas

*2 In house emissions of consolidated companies in Japan and Swan Co., Ltd. (Scope 1 & Scope 2)

Network	Transportation	Last mile(TA-Q-BIN /EAZY / Middle mile)
		and delivery	Global transportation (Forwarding / Asian
		network	cross-border land transportation)
			×
		Physical and	Account sales representatives / sales
		digital
		customer	drivers / guest operators /		call center
Information	operators / Kuroneko Members /
contact points
Yamato Business Members, etc.
		Data	Over 2.2 billion parcels			a year
		The Yamato Digital Platform (YDP)
			×
Financial
	基盤	Soundness	Credit rating: AA-
Foundation

	Transformation into
	a partner that supports			Creation of the "EC ecosystem"
	the entire supply chain
Reinforcement of Group			Optimal	allocation of		Promotion of data and
		management resources
infrastructure				innovation strategies
		based on data analysis
Reform of management		Human resource strategies		Improvement of capital
structure and reinforcement			that support "Innovating
		efficiency
of governance			Delivery Business"

Strengthening of	Energy &	Resource	Resilience of	Labor	Human	Safety &	Data	Supply Chain	Community
sustainable	Climate	Atmosphere Conservation	Companies	Rights &	Security	Utilization	Management
management	& Waste	& Society		Diversity	& Security

Transformation Plan "YAMATO NEXT100"

Corporate Governance

Group Corporate Philosophy

Improvement in operating revenue per employee*³: +15% compared with the fiscal year ended March 31, 2021

Overtime hours per employee: -20% compared with the fiscal year ended March 31, 2021

Annual paid leave utilization: 90%

*3 Converted number of employees based on different working hours

Social*

Serious traffic accidents*4: zero

Number of traffic accidents: -50% compared with the fiscal year ended March 31, 2020

Serious occupational diseases*5: zero

Reduce frequency of lost workday injuries: -20% compared with the fiscal year ended March 31, 2020

*4 Fatal accidents for which the Company is responsible

*5 Incident involving a fatality

* Excerpts from "Sustainable Medium-Term Plans 2023"

Please see pages 34-35 for details on environmental and social targets.

08	YAMATO HOLDINGS CO., LTD.
Integrated Report 2022

YAMATO HOLDINGS CO., LTD. 09 Integrated Report 2022