Toyota Tsusho Corporation ("Toyota Tsusho") has launched "Digital X Lab" in September 2021 where we accelerate the digital transformation (DX) of the Toyota Tsusho Group by agile^*1 validation of transformation ideas with digital technologies through prototyping^*2 and encouraging our operation transformation and business creation.

In April 2020, Toyota Tsusho newly appointed a CDTO (Chief Digital & Technology Officer) and a company-wide DX specialized organization, the "DX Acceleration Department", as weneed to transform our management and business by utilizing digital technologies. We are trying to implement DX in three target areas: Contribution to "lean management" through operational streamlining and automation (DX 1.0), creation of additional and new value on existing businesses (DX 1.5), and challenge in new fields (DX 2.0).

While more than 400 DX projects^*3 are underway within the Toyota Tsusho Group with the aim of evolving the value provided to customers, we face issues to be addressed in operation transformation and business creation, such as creation of hypotheses being limited on paper without accuracy, and a lack of empathy from stakeholders. In order to solve these issues and accelerate the DX, we decided to launch "Digital X Lab". At the Lab, we will be able to create a tangible form of transformation ideas through prototyping in a few weeks up to a month supported by engineers and business producers specializing in fields such as DBPR^*4, data science and UI/UX^*5 design, and to conduct agile validation of the hypotheses with stakeholders.

By further accelerating DX through "Digital X Lab," Toyota Tsusho will work to transform our business operation and create new value to customers.

*1: To perform validation, and improvement through production of prototype.
*2: A method to rapidly carry out the recurring cycle of development, validation, and improvement.
*3: As of April 2021
*4: "Business Process Re-engineering" that utilizes digital technologies:
To redesign of duties, workflows, management mechanisms, and information systems, through fundamental review of the existing processes.
*5: UI (User Interface): Contact points that connect users with products and services (all information that users face)
UX (User Experience): The experience that users gain through their products and services