#Japan #Kumamoto City #FORVAL #DX Acceleration

FORVAL's Ongoing Support for SMEs in Kumamoto

Forval, a company based in Shibuya, Tokyo, is dedicated to supporting the digitization of small and medium-sized enterprises (SMEs) in Kumamoto City. With the motto, 'Creating a New World with New Norms,' Forval engages in a visible ESG management approach by serving as a 'corporate doctor'—the next generation of management consultants. This year marks the third consecutive year Forval has been awarded the '2023 DX Acceleration Program for SMEs' by the Kumamoto City government, led by Mayor Kazushi Onishi. The initiative focuses on promoting DX (digital transformation) among local SMEs to tackle various economic challenges within the region.

Background and Purpose of the Program

Kumamoto City faces a rapidly changing economic landscape, driven by a declining population, aging demographics, chronic labor shortages, and swift advancements in digital technologies. These issues underscore the urgent need for SMEs to embrace DX for sustainable management. In response, Forval has pledged its commitment to the 'DX Acceleration Program for SMEs.' Through this initiative, Forval collaborates closely with local businesses to foster the adoption of digital technologies and facilitate their utilization. The program aims to nurture personnel dedicated to driving DX initiatives while offering tailored support based on each company’s unique management challenges. This approach allows businesses to leverage their strengths and tackle weaknesses, aiming for sustainable growth and innovation.

Over the previous years, Forval has categorized participating companies into two domains: DX-Entry and DX-Ready. By utilizing DX diagnostics, they have analyzed median progress within these domains, revealing significant differences between the start and conclusion of the program. Notably, companies in the DX-Ready category were already progressing in their digital transformation journeys, which allowed Forval to facilitate advanced utilization of these technologies and implement new strategies effectively.

This Year’s Goals and Support Structure

For the current year, Forval has designed its support framework based on initial diagnostics and analyses, aligning with the current state of each participating company. By establishing quantitative objectives and conducting effectiveness assessments, Forval seeks to enhance the impact of its support initiatives. The primary aim is to equip local SMEs with the necessary tools to navigate the complexities of DX successfully.

Overview of the 'DX Acceleration Program'

The 'DX Acceleration Program for SMEs' focuses on assisting local businesses that are looking to enact operational changes through digital technology. Activities include organizing seminars, providing mentoring from expert consultants, and training personnel who will take charge of driving DX initiatives within their organizations. This collaborative approach promotes the development of company productivity and the creation of new value. Furthermore, the program seeks to disseminate success stories arising from the support initiatives to inspire other SMEs in the region to adopt DX principles.

For those interested, more information about the program can be found on the official Kumamoto City DX Program website.

Details of the Support

Forval will implement various support actions for local SMEs, including:
1. Overall planning and operation of the program.
2. Research and identification of candidate companies for support.
3. Conducting awareness seminars on DX.
4. Implementing a hands-on DX support program.
5. Organizing achievement reporting events.

Commentary from Kumamoto City Government

Kumamoto City has initiated three years of continuous support for local SMEs implementing digital technologies to address their management challenges. Recent surveys indicate that the proportion of local businesses engaging in DX initiatives is now on par with or surpassing national averages. However, some SMEs still do not recognize how DX can alleviate their operational issues. Hence, this year, the city plans to introduce new programs aimed at companies that are just beginning their DX journey, further enhancing the city’s overall DX initiatives.

About Forval

Founded on September 18, 1980, Forval (capitalized at approximately 4.1 billion yen and listed under stock code 8275) provides consulting services focused on small and medium-sized enterprises. The company specializes in the fields of information communication, international business, environmental concerns, human resources and education, as well as business succession.

Aligned with government initiatives focusing on the four pillars—green, digital, vibrant regional creation, and countermeasures for declining birth rates—Forval collaborates with municipalities, private enterprises, educational institutions, and financial organizations to cultivate DX and GX talent nationwide. Through these efforts, they aim to invigorate local economies, creating a sustainable cycle that supports constant regional development while addressing critical aspects of ESG management.

For more detailed information, visit Forval's official website.