Tsuzuki Denki

Basic Information

Stock Code
8157
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
March 1941
Listing Year
January 1963
Official Website
https://www.tsuzuki.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
System Risa, Unirita, Next Jen, IVC, Ecomot, Rutsubo, Asahi Information Service

Overview

Tsuzuki Denki is a Fujitsu-affiliated systems integrator founded in 1941, with strengths in the sale of information and communication equipment and ICT system construction, as a long-established company.

Current Situation

Tsuzuki Denki boasts consolidated sales of ¥125.3 billion (fiscal year ended March 2020), with its head office in Minato-ku, Tokyo, and business offices in major cities nationwide. As a Fujitsu-related company, it has a solid foundation, with systems integration as its mainstay. It addresses a wide range of customer needs through network equipment sales, software development, communication line services, and support systems. It is a Ministry of Economy, Trade and Industry-certified systems integrator, providing high-quality ICT design, construction, operation, and maintenance. It has obtained ISO9001 and ISO14001 certifications, giving consideration to both quality and the environment. In recent years, it has promoted business diversification through the spin-off of the electronic devices division and the establishment of new subsidiaries. In the medium to long term, it is focusing on DX promotion support and security services, aiming for steady growth in the fiercely competitive information and communications industry. It is also actively sponsoring athletes to improve brand recognition.

Trivia

Interesting Facts

  • Tsuzuki Denki is an authorized Fujitsu dealer with long-term collaboration.
  • Has been operating in the information and communications industry for over 80 years since its founding in 1941.
  • Has focused early on development of information security-related products.
  • Deploys numerous branch offices nationwide to secure broad customer contact points.
  • Has entered the electronic devices field through subsidiaries.
  • Holds multiple ISO certifications with strengths in quality management.
  • Conducts brand recognition enhancement activities through contracts with female professional golfers.
  • Has nine related subsidiaries and promotes business diversification.
  • Designated in the Prime Market segment of the Tokyo Stock Exchange.
  • Rich experience in contracted development of security-related systems.
  • Broadly deploys communication line services business.
  • Focusing on DX solutions promotion.
  • Actively engages in community-based social contribution activities.
  • Spun-off electronic devices business operates under the Restar brand.
  • Has stable customer base as part of Fujitsu group.

Hidden Connections

  • As a Fujitsu group company, participates in large-scale projects in collaboration with other Fujitsu-related companies.
  • Successfully enhanced corporate image and expanded fan base through athlete sponsorship activities.
  • Realizes multifaceted and rapid business responses by utilizing related subsidiaries.
  • Engages in telecommunications construction business as a specially licensed construction company permitted by the Minister of Land, Infrastructure, Transport and Tourism.
  • Has built high-level support system through long-term transactions with Fujitsu.
  • As an information and communications equipment wholesaler, handles products from major domestic and international vendors.
  • ICT equipment maintenance and operation services enable rapid response leveraging nationwide bases.
  • Contributes to promoting IT utilization among SMEs through DX support.

Future Outlook

Growth Drivers

  • Expansion of digital transformation demand
  • Increasing needs for security enhancement
  • Acceleration of 5G and next-generation communications infrastructure development
  • Rapid spread of cloud service adoption
  • Expansion of ICT introduction support for local governments and SMEs
  • Growth of IoT and smart city-related services
  • Increasing remote work demand due to work style reforms
  • Advancement of electronic devices and embedded technologies
  • Market expansion of environmentally considerate ICT equipment
  • Spread of AI-utilizing operation automation technologies
  • Strengthening talent development and specialist engineer acquisition
  • Active investment in new business development

Strategic Goals

  • Establish as one of Japan's top systems integrators
  • Achieve ¥200 billion in ICT service sales
  • Gain leadership in DX support areas
  • Achieve carbon neutrality and reduce environmental impact
  • Double the scale of electronic devices business
  • Build flexible response system for diverse customer needs
  • Expand market share in advanced security services
  • Improve service quality of nationwide network
  • Strengthen competitiveness through adoption of advanced technologies
  • Sustainably promote social contribution activities

Business Segments

Systems Integration

Overview
Provides comprehensive support from custom system design to operation for various industries.
Competitiveness
Powerful technical support from Fujitsu group and high-quality service provision
Customers
  • Manufacturing
  • Financial institutions
  • Government offices
  • Distribution
  • Services
  • Medical institutions
  • Educational institutions
  • Telecommunications carriers
  • Retail
  • Real estate
Products
  • Network design and construction
  • Server construction
  • System development
  • Business system customization
  • Database construction
  • Security systems
  • Cloud environment design
  • IoT platforms
  • Digital transformation support
  • Operation and maintenance services

ICT Equipment Sales and Wholesaling

Overview
Procures and sells products from domestic and international manufacturers, and handles wholesaling.
Competitiveness
Exclusive sales of Fujitsu products and wide product range
Customers
  • Large corporate customers
  • SMEs
  • System development companies
  • Resellers
  • IT consultants
Products
  • Server equipment
  • Network equipment
  • Storage products
  • Security products
  • Software licenses

Software Development and Sales

Overview
Develops and sells software for business efficiency and specialized fields.
Competitiveness
Extensive customization to meet customer needs
Customers
  • Medical institutions
  • Educational institutions
  • SMEs
  • Manufacturing
  • Public institutions
Products
  • Electronic medical records
  • Accounting systems
  • Payroll systems
  • CAD software
  • e-Learning systems

Communication Services

Overview
Deploys high-speed and secure communication services for corporations.
Competitiveness
High-quality services and deep customer support system
Customers
  • Corporate customers
  • Telecommunications carriers
  • Call centers
  • IT companies
Products
  • Dedicated line services
  • Internet access
  • VPN
  • Cloud communication services

Operation, Maintenance, and Support Services

Overview
Supports stable ICT infrastructure operation and problem resolution.
Competitiveness
Nationwide rapid response network
Customers
  • ICT-adopting companies
  • System operators
  • Government offices
  • Large companies
Products
  • 24-hour operation monitoring
  • Failure response
  • System maintenance
  • User training

Manufacturing and Inspection Contracting Services

Overview
Contracts manufacturing and inspection work using in-house equipment.
Competitiveness
High quality control and flexible production response
Customers
  • ICT hardware manufacturers
  • Electrical equipment manufacturers
  • Industrial product manufacturers
Products
  • Parts assembly
  • Product inspection
  • Development support
  • Quality control

Education and Training Services

Overview
Provides essential education and training services for ICT utilization.
Competitiveness
Practical curriculum and abundant instructors
Customers
  • Corporate training managers
  • ICT engineers
  • New employee training
  • Customer companies
Products
  • IT technical training
  • Operation guidance
  • e-Learning curriculum
  • Security education

Consulting Services

Overview
Implements optimization and improvement proposals for information systems.
Competitiveness
Proposal capabilities based on extensive industry knowledge and experience
Customers
  • Corporate information systems departments
  • Management
  • Public organizations
  • IT project managers
Products
  • Business improvement proposals
  • ICT strategy planning
  • Risk management
  • Security diagnostics

Electronic Devices and Module Sales

Overview
Manufactures and sells high-performance electronic components and embedded products.
Competitiveness
Enhanced specialization and rapid response through spin-off
Customers
  • Electronics manufacturers
  • System development companies
  • Industrial equipment manufacturers
Products
  • Electronic components
  • Embedded modules
  • Communication devices
  • Control units

Welfare and Office Services

Overview
Provides various services related to office operations.
Competitiveness
Collaboration with a wide range of related companies
Customers
  • Related group companies
  • Employee service operation companies
Products
  • Office cleaning
  • Welfare support
  • Facility management
  • Various support

Competitive Advantage

Strengths

  • Strong partnership with Fujitsu
  • Broad ICT product and service provision capabilities
  • Reliability from Ministry of Economy, Trade and Industry certification
  • Comprehensive nationwide network of bases
  • Advanced systems integration technology
  • Know-how applicable to diverse industries
  • Quality management through ISO9001 and ISO14001 certifications
  • Flexibility in customization
  • Brand strength from extensive experience and history
  • Advancing specialization through spin-offs
  • Stable financial base
  • Customer-oriented support system
  • Active talent development
  • Long-term business continuity strategy
  • Enhanced brand recognition through sports sponsorship

Competitive Advantages

  • As a Fujitsu group company, enables broad product collaboration, successfully differentiating from competitors
  • Rapid response through sales and service network in major cities nationwide
  • Covers wide customer needs with multi-brand, multi-field product lineup
  • Provides one-stop service from system construction to operation and maintenance, creating high added value
  • Delivers high-quality, trusted services as a Ministry of Economy, Trade and Industry-certified integrator
  • Achieves both quality and environmental consideration through ISO certifications, enhancing corporate value
  • Strengthens competitiveness by entering specialized markets with spun-off electronic devices division
  • Maintains high customer satisfaction backed by extensive operation and maintenance expertise
  • Customization flexibility suited to customer operations generates competitive edge
  • Secures numerous specialist engineers through active talent development
  • Aims for sustainable growth by strengthening initiatives in advanced areas like mid- to long-term DX support
  • Diversifies and streamlines services through collaboration with related companies
  • Builds flexible management system responsive to industry changes
  • Supports future investments and growth strategies with solid financial base
  • Strengthens brand image through athlete sponsorship activities

Threats

  • Intense price competition in the information and communications industry
  • Increasing investment burden to keep pace with rapid technological innovation
  • Risk of customer IT investment reduction
  • Sophistication of cyber security threats
  • Increased competition due to DX promotion
  • Impact from economic conditions and exchange rate fluctuations
  • Intensifying competition for talent acquisition
  • Cost increases from strengthened regulations and compliance
  • Risk of system failures due to natural disasters
  • Entry of global IT service companies
  • Deterioration in client performance
  • Decline in market competitiveness due to delayed adoption of new technologies

Innovations

2021: Spin-off of Electronic Devices Division

Overview
Made the electronic devices division independent to strengthen specialized product development and sales.
Impact
Successfully expanded entry into specialized markets and improved business efficiency

2020: Transfer to Tokyo Stock Exchange First Section

Overview
Changed market segment to First Section to enhance corporate value and facilitate fundraising.
Impact
Leads to improved creditworthiness and expanded investor base

2023: Strengthening DX Promotion Support Services

Overview
Established a dedicated team to support customers' digital transformation.
Impact
Contributes to acquiring new projects and improving existing customer satisfaction

2022: Advanced Security Services

Overview
Enhanced authentication systems and network monitoring services to improve responsiveness.
Impact
Successfully increased customer trust and maintained competitiveness

2024: Introduction of Next-Generation Network Technology

Overview
Adopts high-speed, high-security network construction technology and promotes sales expansion.
Impact
Contributes to strengthening market competitiveness and sales growth

2021: Expansion of Cloud Infrastructure Services

Overview
Strengthened hybrid cloud solutions tailored to customer needs.
Impact
Supports expansion of sales base by accommodating diversifying customer needs

2023: Operational Efficiency Improvement through AI-Utilizing Systems

Overview
Promotes automation of network operations using AI technology.
Impact
Achieves reduction in operation costs and improvement in service quality

2022: Development of Remote Work Support Services

Overview
Deploys ICT service suite for telework environment setup.
Impact
Contributes to new market development and improved customer satisfaction

2020: Promotion of Environmentally Friendly ICT Products

Overview
Increases handling of energy-saving, low-environmental-impact products to promote environmental contributions.
Impact
Responds to customers' environmental awareness and strengthens competitiveness

Sustainability

  • Promotion of environmental management through ISO14001 certification
  • Thorough paperless operations and promotion of electronic transactions
  • Active adoption of energy-saving ICT equipment
  • Workplace environment improvement activities with local communities
  • Advancement of health management for employees
  • Promotion of recycled resource utilization
  • Implementation of environmental education programs
  • Setting and promotion of carbon neutral goals
  • Introduction of green procurement standards
  • Active participation in CSR activities
  • Building sustainable supply chains
  • Promotion of disabled employment and respect for diversity