Understanding the relationship between financial and non-financial indicators
The Fujitsu Group positions non-financial activities as important drivers of medium- to long-term corporate value enhancement, based on its corporate value creation story. To increase the effectiveness of these activities, Fujitsu is conducting analyses of the relationship between financial and non-financial indicators with the aim of understanding the pathways through which non-financial activities contribute to financial outcomes and utilizing these insights in management initiatives and organizational operations.
In this analysis, corporate functions such as the market-facing organization, each of the corporate functions such as Human Resources and Finance, and Fujitsu Research, and other related departments collaborate to develop hypotheses describing the pathways from non-financial activities to financial outcomes and validate them using causal inference methodologies. In particular, the analysis examines how factors such as improvements in employee engagement resulting from personnel initiatives, and the use of digital tools influence financial results through customer-facing activities and interactions.
Results of causal analysis of financial and non-financial indicators
In the FY2025 analysis, we confirmed that non-financial factors such as digital tool usage and changes in employee behavior, as well as customer dialogue and proposal activities, relate to value of orders through intermediate factors, or financial leading indicators, such as the number of new business opportunities created and opportunity conversion rates.
Specifically, employees’ perceptions of equal opportunity and a sense of fulfillment encouraged autonomous behavioral change and promoted use of digital tools, demonstrating the relationship between increased opportunities for customer dialogue and more advanced proposal activity.
It further indicated that these activities and Customer NPS® (*1) may contribute to increased orders through the number of new leads created and higher deal win rates.
Note that this analysis was carried out based on certain hypotheses, using financial and non-financial data from certain Fujitsu business operations. These results may not be equally applicable to all business fields and there is no guarantee that the same results can be obtained in future. However, the analysis provided important insights into the mechanisms linking non-financial activities with financial performance.
- (*1) NPS®: Net Promoter, Net Promoter System, Net Promoter Score, NPS®, and the emoticons used in connection with NPS® are registered trademarks or service marks of Bain & Company, Fred Reichheld, and NICE Systems, Inc.
Future enhancement and use in initiatives
The Fujitsu Group aims to apply these analysis results in management and frontline decision-making. Currently we are expanding existing data to include indicators that provide an understanding of specific employee behavior and sales activities, such as customer touchpoints and AI usage, learning opportunities, and participation in major events. By accumulating this data and expanding the scope of analysis, we will seek to identify which behavioral indicators contribute to an uplift in financial results, and then reflect them in future initiatives.
Insights gained through this analysis will also be reflected in talent development, AI and digital tool use, and improved customer approaches, and the effectiveness of such initiatives will be continuously reviewed.
