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The Bridgestone 3.0 Journey 2024 Integrated Report highlights Bridgestone’s value creation in alignment with its Mid Term Business Plan (2024-2026) (24MBP), which outlines the execution plans to build a foundation for sustainable value creation. The plan was formulated based on the 2030 Long Term Strategic Aspiration*2 which is a north star of its corporate transformation. Also, this integrated report serves as a role of an invitation for value co-creation, by conveying a clear strategic vision and progress toward it.
“In our 2024 Integrated Report, we share with our stakeholders our thoughts and progress on the initiatives in action as we transform into a sustainable solutions company, based on the 24MBP story line. By clearly presenting the roadmap for our transformation to you, we hope you will join us on our journey toward the realization of a sustainable society. Bridgestone will continue to take on the challenge to build a foundation for sustainable value creation relentlessly by pursuing “Passion for Excellence” and focusing on execution and delivering results under the 24MBP.”
The following is an overview of the topics, key points, and activity progress reported within the Bridgestone 3.0 Journey 2024 Integrated Report.
Mid Term Business Plan (2024-2026): 24MBP
- A summary Mid Term Business Plan (2021-2023) and an outline of 24MBP shows the progress and continuing initiatives that are creating value toward the 2030 Long Term Strategic Aspiration. This includes changes in the business environment, the company’s response to global management risks, global management indicators and new & true “glocal” (global – local) management structure which maximize effectiveness & efficiency.
24MBP Business shaping scenario: Further Focus on Value Creation
- In the 24MBP, there is a further focus on value creation in accordance with the business shaping scenario. This consists of the following four scenarios: “create good business quality,” “create good tires,” “create good business,” and “create new business sowing good seeds for the future.”
- Create good business quality: This is the top priority issue in the first year 2024 of 24MBP. Bridgestone will strive to improve management and working & business quality globally through reaffirming and re-enhancing understanding of Bridgestone’s unique Deming Plan, which reflects the company’s DNA “focus on quality” and its mission “Serving Society with Superior Quality”. This report also includes updated the foundation of its value creation such as improving talent creativity, Bridgestone’s digital transformation (DX), co-creation efforts using Bridgestone Innovation Park, and intellectual property strategy.
- Create good tires: The report updates the company’s activities to accelerate value creation by fusing ENLITEN, the basic technology for product design and Bridgestone’s unique “new premium” for core tire business, and BCMA, the basic technology for R&D and manufacturing that lowers business cost.
- Create good business: The report provides updates on Bridgestone’s activities to accelerate social value and customer value creation, which efforts will help the company gain competitive advantage and create corporate value. The initiatives are to reduce business cost across the value chain, establish its new premium tire business model with channel power reinforcement, and establish a sustainable premium brand.
- Create new business sowing good seeds for the future: The report updates Bridgestone’s solutions business, which amplifies the value of Dan-Totsu products, including activities of its truck and bus solutions, mining solutions, and aviation solutions that are building mobility tech business. This report also includes an update of its value creation for the future as Bridgestone’s exploratory business activities as “Sowing New Seeds”: recycle business, AirFree which is a next-generation tire that does not need air-filling, lunar rover tire, and soft-robotics.
Building a Foundation for Sustainable Value Creation
- The report provides a progress update of Bridgestone’s unique Sustainability Business Model. This model links the company’s business to the realization of carbon neutrality and a circular economy across the entire value chain. It is focused on advancing from the stages of “produce and sell” and “use” to “renewal” of tires to raw materials through initiatives for nature positivity. Moreover, the report provides an outline of Bridgestone’s activities for sustainability value creation which is integrated into its business shaping scenario.
Financial Strategy
- These are outlines of Bridgestone’s financial targets: its management focusing on ROIC as its most important management KPI, ROE as its global management indicators, each area and business financial portfolio, and allocations of capital expenditure and strategic resource on each business portfolio.
Fostering Trust
- Started with this integrated reporting, the company updates its stakeholder engagement activities, which serve as a foundation for sustainable value creation. Moreover, this report updates Bridgestone’s initiatives that are designed to foster trust with society through its commitment to operating in harmony with its local communities. This includes its activities of sustainability priority like respect for human rights and the value chain for natural rubber.
With the “Bridgestone E8 Commitment” *3 which is the company’s axis to drive management while earning the trust of future generations, Bridgestone commits to realizing sustainable society by co-creating value together with employees, society, its partners and customers.
*1 The report covers the period spanning from January 1 to December 31, 2023 (some activities before or after the period also have been included.)
*2 2030 Long Term Strategic Aspiration https://www.bridgestone.com/ir/library/strategy/pdf/ENG_lsa20220831.pdf
*3 Bridgestone established its corporate commitment, the “Bridgestone E8 Commitment” to realize its vision: “Toward 2050, Bridgestone continues to provide social value and customer value as a sustainable solutions company.” This commitment will serve as the axis to drive management while earning the trust of future generations. The “Bridgestone E8 Commitment” consists of 8 Bridgestone-like values starting with the letter “E” (Energy, Ecology, Efficiency, Extension, Economy, Emotion, Ease, and Empowerment) that it will commit to creating through Bridgestone-like “purpose“ and “process”, together with employees, society, its partners and customers to realize a sustainable society.
