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Feature 2: Transformation to a New Management Style

New style premised on remote work

These days there has been a growing need for increased spread and uptake of digital services (including deliveries and video streaming) as part of individual lifestyles. Companies have also had to face sudden changes in working styles toward remote work, and there is greater need for online access and digitalization of social infrastructure. As COVID-19 is now part of our lives, the time has come when society will be utilizing remote and online access technologies.

Under the approach of "Transformation to a New Management Style," the NTT Group set a range of targets with the aim of transforming to a new style based on remote work.

  1. Promotion of Work in Life (Health management)
  2. Contribution to a decentralized society (facilitate regional economic development)
  3. Improve social resilience
  4. DX transformation

The management style was a typical one based on office work--where employees commute
to offices or job transfers--with regular working hours and personnel allocated by the company.

Looking ahead, the NTT Group will be working towards a diversity-rich management style
based on remote work. This will allow employees to choose where they work and reside, freeing them from the pressures of job transfers or working away from their family, give them the option to choose their own working time away from regular working hours, and let them choose their own career path without the constraints of a seniority-based system.

The system of governance we are using will also be re-examined to take into consideration
the implementation of zero trust systems and systemization of IT security that is appropriate for remote work, enhanced resilience against epidemics, natural disasters and cyber-terrorism, and conduct risks. Various systems will also be revised for promoting DX transformation, together with reforms to business operations and development of the right environments so that the office is enhanced as a space for creation and co-creation.

We will also contribute to DX to society as a whole, by expanding customer reach with digital marketing as well as providing customers with platforms harnessing our own DX. These initiatives will be used to promote Work in Life (health management) and achieve work processes that are more open, global, and innovative. The NTT Group will be taking this approach based on its core concept of "Improving prosperity for all people and cultures."

Promotion of Work in Life

As work styles change, it is necessary to review work processes in order to accommodate diverse ways of working. Allowing diverse work styles leads to greater opportunities to employ people of diverse backgrounds, while improving their motivation to work and ease of working. This results in better employee engagement and sparks innovation.

The NTT Group engages in a variety of initiatives to promote diverse work styles. In particular, we are changing work styles while focusing on better treatment and environments for mainly remote work. When changing work styles, it is important to ensure openness, globalization and innovative work management from a business perspective. From the standpoint of employees, we believe the first step is to promote healthy workstyle-in-daily life and their well-being.

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  1. Six major domestic companies (NTT, NTT East, NTT West, NTT Communications, NTT DATA, NTT DOCOMO)
  2. Domestic Group companies (at least 43.5 employees)
  3. NTT (holding company) only
  4. Work-from-home ratio (excluding essential workers)
  5. Percentage of total number of male workers using paternity leave or leave for purposes of child rearing (as disclosed by companies with "Platinum Kurumin Certification") (Number of employees with children entering elementary school in FY2019 to FY2020 who took time off work for child rearing) / (Number of employees who gave birth (or whose partners gave birth) in FY2019 to FY2020.)
  6. Domestic Group companies

Changes in Work Styles

NTT Group intends to shift toward new work styles centered on remote work, by upgrading IT environments and reviewing various systems, in addition to advancing DX projects and work reforms with an eye on the post-pandemic world.

During fiscal 2020, NTT introduced a super flex-time system, stopped subsidizing commuter
passes, and created an allowance for employees working at home and other remote locations, in a bid to promote remote work styles. To encourage more remote work, we will update systems and work environments and advance reforms toward a decentralized, self-disciplined network-style organization. We aim to create a work-from-anywhere environment that frees employees from time and location constraints, allowing everyone to work anywhere and anytime.

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Overview of DX Transformation

Promotion of DX

The NTT Group will be reforming various systems with the aim of promoting DX to create an IT environment where anyone is able to work in any location, at any time. In addition to the introduction of a cloud-based system, we will digitize processes to facilitate automation and standardization while expanding sales approaches by applying digital marketing to implement these initiatives. Some 100 automated processes will be rolled out under ten DX initiatives with the aim of increasing productivity of service provision operations 1.7-fold (in FY2025), to achieve cost reductions of more than ¥200.0 billion in fiscal 2023 (aggregate total of more than ¥1.0 trillion in cost reductions from FY2017).

Achieving a decentralized society

The NTT Group will be promoting Work-in-Life (health management) by adopting a diversity-rich management style based on remote work that will enabling employees to work close to home.

More specifically, employees residing further out but working at headquarters, and the organization itself (including headquarters and back-office functions) will be decentralized and spread among various regions to create hubs that serve to revitalize those regions, while regional decentralization will also contribute to BCP operations by ensuring functionality in the event of disasters. Office environments will also be re-examined to enhance space for idea creation and co-creation.

Improve social resilience

As a corporate group with the mission of serving society by sustaining telecommunications infrastructure in normal times, the NTT Group is committed to building highly reliable
telecommunications networks that connect people anytime, anywhere, as part of helping to build a society that is resilient against disasters arising from the three major threats of this century--plagues, natural disasters, and cyber terrorism.

We will also be making a concerted effort to further reinforce communications infrastructure, ensure even better disaster response, and provide adequate information to affected people.