Hip

Basic Information

Stock Code
2136
Industry
Service Industry
Category Detail
Professional Services for Businesses
Prefecture
Kanagawa Prefecture
Establishment Year
September 1995
Listing Year
December 2006
Official Website
https://www.hip-pro.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Soneck, UT Group, Kikuchi Seisakusho, Carlit, Nihon Kogyo, Hokkan Holdings, Hoden Precision Processing Institute, U.M.C. Electronics, Teraprobe, Dainikko Engineering, Hiyama Holdings, Taiheihatsu, Quortec

Overview

Hip is a business-to-business professional services company established in 1995, specializing in technical outsourcing and providing stable contracted technical services.

Current Situation

Hip has stable contract revenues in fiscal 2023, primarily offering technical services with strengths in mechanical and electronic design fields. In a competitive market with many rivals, it differentiates itself through highly specialized technical expertise and maintains collaborative relationships with multiple related companies. Performance remains steady, with a diversified customer base centered on manufacturing. For sustainability, it promotes environmental impact reduction and labor environment improvements in line with industry standards. In the medium to long term, engineer development and adaptation to emerging technical needs form the core of its strategy, as it builds growth foundations. Recently, it has strengthened digital services such as DX promotion support to boost revenues. Moving forward, it plans to expand its business by flexibly adapting to market changes while prioritizing customer satisfaction improvements.

Trivia

Interesting Facts

  • Approximately 30 years of history specializing in design support operations.
  • Specialized services company headquartered in Yokohama, Kanagawa Prefecture.
  • Provides services to many manufacturing customers via long-term contracts.
  • Classified under professional services for businesses in Nikkei categories.
  • Involved in a wide range of industries with diverse related companies and competitors.
  • Advancing digitalization support services as new business.
  • Strong presence in niche segments of Japan's manufacturing industry.
  • Combined deployment of engineer dispatch and technical consulting.
  • Benefits from stable growth in the technical outsourcing market.
  • High specialization in various design support technologies.
  • Quality management system compliant with various industry standards.
  • Focus on engineer education to maintain high skills.
  • Continuously promotes design operation efficiency via IT utilization.
  • Expanding order base through focus on customer satisfaction improvements.
  • Active in CSR activities through collaboration with local communities.

Hidden Connections

  • Possible technical supply relationships with Nikkei-related companies like Soneck.
  • Particularly strong in the engineer dispatch field in the Yokohama/Kanagawa area amid numerous competitors.
  • Deepening ties with IT companies in line with industry DX promotion.
  • Differentiation from competitors through combined design support and staffing services.
  • Gains trust through early involvement in new development projects in manufacturing.
  • Trusted by clients through acquisition of quality management certifications like ISO9001.
  • Gains advantage over competitors like UT Group in customer share battles by leveraging technical strengths.
  • Strengthens technical talent development through partnerships with local universities and technical schools.

Future Outlook

Growth Drivers

  • Expansion of outsourcing demand from manufacturing
  • Increasing needs for business efficiency via digital technology adoption
  • Growing demand for design technology amid industrial sophistication
  • Growth in staffing market and worsening engineer shortages
  • Increase in manufacturing requiring environmental and safety regulation compliance
  • Expansion of IT-related technical services with DX promotion
  • Rapid responsiveness to diversifying customer demands
  • Trend toward external outsourcing of technical development resources in domestic manufacturing
  • Rising demand for technical support from SMEs
  • Growth in sustainability compliance technical services
  • Expansion of technical services targeting overseas markets
  • Market expansion for technical training services

Strategic Goals

  • Achieve 1.5x increase in engineer numbers from current levels
  • Expand digital technical service sales to 30% of total
  • Achieve 20% reduction in environmental impact for sustainable management
  • Maintain customer satisfaction above 90% through efficiency and quality improvements
  • Grow new customer acquisitions at 7%+ annual rate
  • Expand region-specific services via strengthened local bases
  • Continuously acquire and renew quality management certifications
  • Expand talent development and training programs
  • Launch technical services for overseas markets
  • Enhance recognition as a comprehensive technical services company

Business Segments

Mechanical Design Outsourcing

Overview
Provides specialized mechanical design outsourcing services to the manufacturing industry.
Competitiveness
High design accuracy by highly skilled engineers and stable delivery management
Customers
  • Automotive Manufacturers
  • Industrial Machinery Manufacturers
  • Home Appliance Manufacturers
  • Precision Equipment Manufacturers
  • Heavy Electrical Equipment Manufacturers
Products
  • CAD Design Services
  • Design Support Operations
  • Prototype Creation Support
  • Structural Analysis Services
  • Prototype Design Management

Electronic Circuit Design Outsourcing

Overview
Implements circuit design and embedded software development support for the electronics industry.
Competitiveness
Broad experience of engineers and diverse design expertise
Customers
  • Communications Equipment Manufacturers
  • Home Appliance Manufacturers
  • Industrial Electronic Equipment Manufacturers
  • Automotive Manufacturers
Products
  • Electronic Circuit Design
  • Embedded Software Development
  • Circuit Testing and Evaluation
  • FPGA Design
  • Microcontroller Software Development

Quality Inspection and Evaluation Services

Overview
Handles a wide range from quality inspection in manufacturing process management to certification support.
Competitiveness
High-quality inspection technology and reliability based on extensive experience
Customers
  • General Manufacturing
  • Electronic Component Manufacturers
  • Medical Device Manufacturers
  • Automotive Parts Manufacturers
Products
  • Product Appearance Inspection
  • Functional Testing
  • Durability Testing
  • Certification Acquisition Support
  • Quality Improvement Proposals

Staffing and Technical Contract Services

Overview
Supports resolution of customers' technical challenges through engineer dispatch and contract support.
Competitiveness
Broad talent pool across technical fields and flexible responsiveness
Customers
  • Manufacturer Technical Departments
  • Design and Development Companies
  • Manufacturing Plants
  • IT Companies
Products
  • Engineer Dispatch
  • Design Technology Support
  • Project Contracts
  • Technical Consulting

Technical Consulting Services

Overview
Consulting services supporting technology development strategy planning and project management.
Competitiveness
Extensive technical experience and objective analytical capabilities
Customers
  • Manufacturing Industry
  • Technology Ventures
  • Research Institutions
  • Public Institutions
Products
  • Technology Evaluation Support
  • Development Strategy Formulation
  • Project Management
  • Technology Transfer Support

Digital Transformation Support Services

Overview
Comprehensive services supporting customers' digital transformation.
Competitiveness
DX proposal capabilities leveraging design field technical know-how
Customers
  • Manufacturing Industry
  • Distribution Industry
  • Service Industry
  • Small and Medium Enterprises
Products
  • DX Promotion Consulting
  • System Development Support
  • Business Process Optimization
  • IT Infrastructure Construction

Training and Certification Support

Overview
Provides various training programs for engineers and managers.
Competitiveness
Practical training content rooted in real-world operations
Customers
  • Engineers
  • Managers
  • New Hire Trainees
  • Educational Institutions
Products
  • CAD Operation Training
  • Technical Skill-Up Training
  • Management Training
  • Certification Acquisition Courses

Manufacturing Process Improvement Support

Overview
Technical support services aimed at improving productivity and quality.
Competitiveness
Improvement know-how and proposal capabilities based on experience
Customers
  • Manufacturing Line Operators
  • Production Management Departments
  • Quality Management Departments
Products
  • Production Line Analysis
  • Process Improvement Proposals
  • Quality Enhancement Support

Environmental and Safety Management Support

Overview
Services supporting environmental impact reduction and safety management system construction.
Competitiveness
Deployment of specialized staff well-versed in regulatory compliance
Customers
  • Manufacturing Industry
  • Chemical Industry
  • Public Works
Products
  • Environmental Assessment
  • Safety Management System Construction
  • Regulatory Compliance Support

R&D Support Services

Overview
Provides various services supporting new technology research and development.
Competitiveness
Support leveraging diverse industry knowledge and experience
Customers
  • Technology Development Companies
  • University Labs
  • Public Research Institutions
Products
  • Prototype Support for Research
  • Technology Evaluation
  • Patent Research Support

Facility and Equipment Management Support

Overview
Support services for equipment management and audits in technical facilities.
Competitiveness
Support by technical staff with extensive on-site experience
Customers
  • Manufacturing Plants
  • Development Sites
  • Technical Research Institutes
Products
  • Equipment Maintenance Management
  • Safety Audits
  • Equipment Operation Analysis

Competitive Advantage

Strengths

  • Talent with advanced technical expertise
  • Services specialized in mechanical and electronic design fields
  • Stable customer base and long-term contracts
  • Flexibility to meet diverse industry needs
  • Comprehensive support systems
  • Solid financial foundation
  • Quality management meeting industry standards
  • Strong partnerships with customers
  • Proactive adoption of latest technologies
  • Extensive project management experience
  • Broad range of technical service areas
  • Quick response capabilities
  • Robust employee training system
  • Good relations with local community
  • Strong compliance with various regulations

Competitive Advantages

  • High specialization demonstrated through focus on technical services in mechanical and electronic fields
  • Differentiation from competitors via customized design support for each customer
  • Stable contract revenue base from medium- to long-term contracts
  • Broad technical skill set accommodating diverse industry needs
  • Balancing delivery adherence and high quality through flexible project management
  • Strengths in human resource management and training
  • Early adoption of new technologies to secure first-mover advantages
  • Rapid response enabled by nationwide talent network
  • Enhanced trust through ISO and other quality certifications
  • Combined services of engineer dispatch and consulting
  • Addressing customer digitalization needs via DX support
  • Active promotion of CSR activities including environmental regulation compliance
  • Strong customer intimacy and trust-building capabilities
  • High value-added provision as a technical outsourcing provider
  • Coverage of customer base from SMEs to large enterprises

Threats

  • Risk of engineer shortages due to intense talent acquisition competition
  • Potential decrease in contracts from customer in-house production initiatives
  • Risk of failing to keep pace with rapid technological innovation
  • Impact from reduced capital investment amid economic downturns
  • Cost increases from strengthened legal and labor regulations
  • Intensified price competition from rivals
  • Project risks due to reliance on a limited number of engineers
  • Obsolescence of traditional services from DX advancements
  • Weak global responsiveness due to lack of overseas bases
  • High entry barriers for acquiring new customers
  • Technology leakage risks and information management vulnerabilities
  • Business continuity risks from natural disasters, etc.

Innovations

2024: Expansion of DX Promotion Support Services

Overview
Launched new digital transformation support services, strengthening IT system construction assistance.
Impact
Contributes to customer business efficiency improvements, expecting revenue growth

2023: Introduction of Advanced Design Analysis Technology

Overview
Incorporated latest CAE analysis technology to improve design accuracy and product development speed.
Impact
Achieved shortened development periods and quality improvements

2022: Launch of New Engineer Training Program

Overview
Rolled out proprietary training to hone specialized skills in design and inspection fields.
Impact
Strengthens competitiveness through enhanced technical capabilities

2021: Introduction of Cloud-Based Design Management System

Overview
Developed digital management system for design operations to improve efficiency.
Impact
Improved transparency and efficiency in project management

2020: Business Improvements for Reduced Environmental Impact

Overview
Promoted environmental enhancements in business processes such as energy savings and waste reduction.
Impact
Contributes to cost reductions and improved corporate image

Sustainability

  • Improved working environment to enhance employee satisfaction
  • Environmental impact reduction through energy-efficient equipment
  • Environmental beautification activities in collaboration with local communities
  • Maintaining customer trust through strengthened information security
  • Promotion of diversity and active hiring of female engineers
  • Thorough safety and health management
  • Establishment of business continuity plans (BCP)
  • Paperless initiatives and resource conservation
  • Waste recycling promotion programs
  • Sustainability collaboration with partner companies
  • Local job creation and engineer development support
  • Efficient resource use through digitalization