Softmax

Basic Information

Stock Code
3671
Industry
Information and Communications Industry
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
January 1974
Listing Year
March 2013
Official Website
http://www.s-max.co.jp/
TSE Information
TSE Information
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Overview

Softmax is a medical information system development company founded in 1974, holding a high market share particularly in electronic medical records and accounting systems for small- and medium-sized hospitals as an independent vendor.

Current Situation

Softmax recorded net sales of approximately 4 billion yen and operating profit of about 450 million yen in 2020, maintaining a stable financial base. It primarily develops its own medical information systems for small- and medium-sized hospitals, maintaining superiority in electronic medical records, accounting, and ordering systems. With bases in Tokyo and Kagoshima, it is expanding its sales network mainly in eastern Japan and growing its customer base. As a company with a board of auditors, it strives to enhance corporate governance. Its strengths include flexible customization of systems to meet medical needs while adapting to new technologies and IT promotion. In the future, it is expected to grow with the tailwind of hospital DX, with further branch expansion and cloud compatibility enhancement as key strategies. It focuses on infrastructure strengthening and human resource development to advance the sophistication and efficiency of medical information.

Trivia

Interesting Facts

  • Started as a computer and communications equipment sales company before specializing in medical field.
  • Holds particularly high share in domestic electronic medical records market for small and medium hospitals.
  • Head office in Kagoshima City while headquarters located in Shinagawa-ku, Tokyo.
  • Listed in 2013 on the Tokyo Stock Exchange Growth Market.
  • Major shareholders include founders and local banks, characteristic of region-focused management.
  • Proprietary ordering system adopted by many hospitals.
  • Early entry into medical information integration systems field.
  • Stable as a medical IT specialist company with about 170 employees despite small to medium size.
  • Accounting audited by Deloitte Tohmatsu LLC.
  • Early deployment of cloud services in electronic medical records field, well-received.

Hidden Connections

  • Local financial institutions in Kagoshima are major shareholders with strong ties to regional economy.
  • Collaborates with multiple medical institutions and municipalities on medical information integration systems.
  • Engages in technical exchanges with peer companies, contributing to medical IT standardization.
  • Jointly develops education support software through collaboration with medical training institutions.
  • Partners with regional medical DX promotion groups aimed at ICT advancement.
  • User groups for proprietary products hold regular meetings in various locations.
  • Differentiates in medical accounting software by leveraging operational expertise.
  • Collaborates with IT vendors and telecom carriers in remote medical services.

Future Outlook

Growth Drivers

  • Expanding demand from IT promotion in domestic small and medium hospitals.
  • Increasing demand for medical DX utilizing cloud technology and AI.
  • Proliferation of remote and home healthcare services.
  • Advancement of municipal initiatives for medical information integration system construction.
  • Growing demand for medical security and data protection.
  • Demand for integrated systems to improve hospital management efficiency.
  • Increasing need for multilingual and internationalization-compatible systems.
  • Expansion of healthcare professional education support software.
  • New function development in response to changes in laws and insurance systems.
  • Strengthening customer base through region-focused sales.
  • Market expansion of AI diagnostic support systems.
  • System integration through enhanced linkage with medical devices.

Strategic Goals

  • Expand share in domestic small and medium hospital market to over 50%.
  • Increase cloud service sales to 60% of total.
  • Achieve highest standards in medical information security criteria.
  • Raise remote medical-related service sales to 25% of total.
  • Deploy medical information integration platform on a nationwide scale.
  • Standardize multilingual functions to strengthen international expansion.
  • Promote sustainable management and activities to reduce environmental impact.
  • Maintain employee satisfaction over 90% and strengthen human resource development.
  • Aim for 2 billion yen in medical education software sales.
  • Secure annual investment of over 1 billion yen in new technology development.

Business Segments

Software Development for Medical Institutions

Overview
Development and customization of medical information systems for small- and medium-sized medical institutions.
Competitiveness
Proprietary development expertise specialized in medical operations
Customers
  • Small- and medium-sized hospitals
  • Clinics
  • Medical offices
  • Medical corporations
  • Municipal hospitals
Products
  • Electronic medical record systems
  • Medical accounting systems
  • Ordering systems

System Maintenance and Operation Support

Overview
Ongoing system maintenance and operation support services after implementation.
Competitiveness
Rapid customer support system
Customers
  • Hospitals
  • Clinics
  • Medical information system vendors
Products
  • System maintenance services
  • Regular update provision
  • User support

Cloud Medical Information Services

Overview
Medical information provision services utilizing cloud infrastructure.
Competitiveness
Rapid implementation at low cost
Customers
  • Small medical institutions
  • Home healthcare providers
  • Medical corporations
Products
  • Cloud-based electronic medical records
  • Cloud accounting systems

Medical Information Integration System Development

Overview
Support for regional clinical information integration and network construction.
Competitiveness
Compatibility with diverse systems
Customers
  • Regional medical collaboration organizations
  • Medical network operators
  • Municipalities
Products
  • Medical information sharing platform
  • Interface modules

Remote Medical Services

Overview
System provision and support for telemedicine.
Competitiveness
Stable communication technology and high operability
Customers
  • Telemedicine providers
  • Home healthcare facilities
  • Medical corporations
Products
  • Telemedicine platform
  • Patient management system

Medical Data Analysis Support

Overview
Support for operational efficiency through utilization of medical data.
Competitiveness
Extensive knowledge in medical data analysis
Customers
  • Hospital management departments
  • Research institutions
  • Government agencies
Products
  • Medical statistics analysis tools
  • Management report creation support

Education and Training Software Provision

Overview
Provision of software for healthcare professional education.
Competitiveness
Comprehensive integration with practical operations
Customers
  • In-house education departments of medical institutions
  • Medical-related schools
  • Training institutions
Products
  • E-learning systems
  • Training management software

Medical Information Security Services

Overview
Secure management of medical information and compliance support.
Competitiveness
Security design specialized for medical use
Customers
  • Medical institutions
  • Medical companies
  • System operators
Products
  • Access management
  • Log auditing
  • Network defense

Multilingual Medical Translation Services

Overview
Provision of multilingual medical text translation services.
Competitiveness
High-precision translation in specialized fields
Customers
  • International medical institutions
  • Medical interpretation services
  • Multicultural hospitals
Products
  • Medical document translation
  • Multilingual system compatibility

System Consulting

Overview
Consulting for implementation and improvement of medical information systems.
Competitiveness
Fusion of industry knowledge and technology
Customers
  • Medical institutions
  • Medical information system implementation companies
  • Municipal health departments
Products
  • System optimization proposals
  • Operation improvement support

Facility Management Software Development

Overview
Software development supporting efficient management of hospital facilities.
Competitiveness
Functions specialized for medical facility operations
Customers
  • Hospital management departments
  • Medical facility operators
Products
  • Hospital equipment management system
  • Asset management software

IT Infrastructure Implementation Support

Overview
Design and implementation support for IT infrastructure suited to medical sites.
Competitiveness
Proposal capabilities aligned with medical field needs
Customers
  • Medical institutions
  • Medical information system vendors
Products
  • Network construction
  • Server implementation

Competitive Advantage

Strengths

  • System development capabilities specialized in the medical field
  • Extensive track record with products for small- and medium-sized hospitals
  • Flexible customization through in-house development
  • Stable financial base and consistent profitability
  • Governance structure with board of auditors
  • Solid customer base through region-focused sales
  • Expertise reflecting medical operation knowledge
  • Active adoption of cloud technology
  • Diverse product lineup
  • Comprehensive customer support and maintenance services
  • Robust information security measures
  • Flexible implementation support system
  • Medical integration system development capabilities
  • Provision of multilingual services
  • Development experience in remote medical support systems

Competitive Advantages

  • Differentiation through product strategy focused on small- and medium-sized hospital market
  • Rapid system integration and customization due to in-house development focus
  • High evaluations for patient-centered operability and reflection of on-site needs
  • Reduced implementation costs through proliferation of cloud services
  • Proven track record in building regional medical information integration systems
  • Continuous software improvements reflecting on-site staff feedback
  • Security design compliant with medical-specific regulations and operations
  • Fast customer support response and problem-solving capabilities
  • One-stop provision of diverse medical functions
  • Long-term trust relationships within the medical industry
  • Rapid incorporation and implementation of latest IT technologies
  • Flexible pricing and implementation plans
  • Region-focused services through multiple sales offices
  • High-quality response through continuous training of specialized staff
  • Active entry into remote medical market with technology accumulation

Threats

  • Intensifying competition from entry of major IT companies into medical market
  • Increased adaptation costs due to changes in medical systems
  • Sophistication of medical information security risks
  • Price competition pressure from cloud service proliferation
  • Impact of technological innovations from emerging vendors and startups
  • Diversification and acceleration of customer needs due to DX promotion
  • Possibility of reduced IT investments by medical institutions
  • Increased operational burden from regulatory strengthening
  • Disruption in medical sites due to pandemics and similar events
  • Insufficient development resources due to recruitment and training difficulties
  • Risk of customer lock-in by competitors
  • Reputation damage risk from system failures

Innovations

2024: Major Functional Expansion of Cloud Electronic Medical Records

Overview
Added AI diagnostic support functions to cloud-based electronic medical records, improving convenience.
Impact
Number of implementing hospitals increased 20% year-over-year, expanding sales.

2023: Completion of Remote Medical Platform Development

Overview
Self-developed telemedicine-compatible system and commenced service provision.
Impact
Acquired new customers in response to growing telemedicine demand.

2022: Enhanced Deployment of Electronic Medical Record Mobile Apps

Overview
Strengthened mobile compatibility to improve on-site convenience.
Impact
Significantly improved user satisfaction and retention rates.

2021: New Implementation of Medical Information Integration Systems

Overview
Implemented systems supporting regional medical information integration in numerous locations.
Impact
Expanded sales in regional medical network projects.

2020: UI Refresh of Electronic Medical Record Systems

Overview
Refreshed user interface using latest technologies to enhance operability.
Impact
Contributed to improved work efficiency for medical staff.

Sustainability

  • Obtained ISO certification to strengthen secure management of medical information
  • Promoting paperless operations to reduce environmental impact
  • Expanding participation in regional medical support programs
  • Advancing employee health management and work-style reforms
  • Improving medical environment through IT support for small and medium medical institutions
  • Promoting remote work and improving workplace environment
  • Implementing measures to promote employment of disabled persons
  • Utilizing energy-efficient data centers