In a move reflecting the growing emphasis on national security, EY Strategy and Consulting, part of EY Japan, has rolled out a pioneering service designed to support innovation by integrating the notion of deterrence into corporate strategies. This service will enable companies to rethink their technologies, products, and services, incorporating defensive functionalities to aid in building resilient social infrastructures that can withstand crises.
Concept of Deterrence
Deterrence, in this context, is defined as a strategy that compels potential aggressors to reconsider their actions by instilling the belief that any attack would not meet their objectives. As global instability escalates, the role of technology in ensuring national security has become a focal point of government strategy. In 2022, the Japanese government officially acknowledged the necessity for private sector engagement in national security by approving the “Strategic Document”. This strategy emphasizes strengthening supply chains for vital technologies and encourages innovation in the defense sector.
The 2022 Economic Security Promotion Act further established programs aimed at nurturing crucial technologies, underscoring the urgent need for private firms to accelerate their technological developments. Reports from the Japan Business Federation highlight the importance of protecting sensitive information to enhance national security, indicating a paradigm shift where various industries are encouraged to contribute to the security domain.
Service Offerings
The new service provided by EYSC draws from its extensive experience collaborating with government bodies and local authorities in formulating policies for economic security, enhancing resilience across critical infrastructures, and offering comprehensive support. Through this service, EYSC aims to assist businesses in developing or improving their technologies with a view towards defense, transforming geopolitical risks into opportunities for societal value creation.
By integrating defense perspectives into commonly used consumer products and services, this initiative seeks to ensure that everyday life remains stable during emergencies. Ultimately, it aims to bolster national resilience against unwarranted aggression, creating a perception among potential aggressors that invading Japan would face insurmountable challenges.
According to Soichiro Yabe, EYSC Strategic Impact Partner, "Our commitment to integrating aspects of defense policy into business practices represents a broader shift in the understanding of national security. It is no longer solely a governmental responsibility; companies must also be proactive agents in ensuring peace and security through innovation. We are positioned to enhance the added value in a variety of industries through our solutions."
Kohei Yamamoto, EYSC Senior Manager, remarked, "Traditionally, the response to government expectations in defense and economic security was reactive. However, our new service allows companies to take the initiative in contributing to peace through their unique technologies, creating market value in the process. This fusion of science, technology, economics, and management into a cohesive approach termed technological security is pivotal. We are dedicated to supporting this innovative venture."
As the global landscape evolves, EY is committed to generating new value not only for its clients but also for society as a whole, leveraging advanced technologies such as AI and data analytics to provide solutions for pressing challenges. With a presence in over 150 countries, EY’s consulting services also aim to transform businesses in a way that contributes to a better society through collaboration and technological advancement.
In conclusion, EY Japan’s new innovation support service represents a significant step towards intertwining business and national security in a context where the stakes have never been higher. Through this initiative, the firm not only enhances its role in industry but also contributes to the broader goals of national security and social stability, preparing businesses for the challenges of an uncertain future.