LIXIL Selected as a Digital Transformation Stock (DX Stock) for Second Consecutive Year
Tokyo – LIXIL Corporation (LIXIL; TSE code: 5938), maker of pioneering water and housing products, has been selected as a "Digital Transformation Stock (DX Stock) 2023"¹ by the Ministry of Economy, Trade and Industry (METI), Tokyo Stock Exchange (TSE), and Information-Technology Promotion Agency (IPA), Japan. This is the second consecutive year that LIXIL has been selected as a DX Stock in recognition of its efforts to digitally transform its business models, drive new growth, and increase competitiveness.
DX is central to the company’s strategy to become a more agile, entrepreneurial company that can achieve sustainable growth and, ultimately, make better homes a reality for everyone, everywhere. In response to the company’s rapidly changing operating environment and society’s evolving needs, LIXIL has been promoting its DX strategy across the company, transforming the company’s businesses, meeting new consumer needs, increasing productivity, and enhancing employee engagement. LIXIL was highly praised this year for its use of digital technology to “transform existing businesses” and “create new businesses”.
Transforming existing businesses The LIXIL Online Showroom and LIXIL Virtual Showroom were introduced in the spring of 2020 during the COVID-19 pandemic. In addition to creating an online customer service platform, LIXIL is harnessing digital technology to instantly provide estimates and render 3D images of finished products, making its sales process more efficient and increasing customer satisfaction. This has transformed the company’s sales processes and the way it does business, leading to cost savings and shorter sales cycles.
Through AI, the company has also further advanced the capabilities and convenience of its online showrooms. Specifically, LIXIL has developed an internal search system to reduce the workload and increase the efficiency of online showroom coordinators, using AI to select and combine the optimal products to meet customers’ preferences.
In addition, LIXIL’s online showrooms also leverage an AI voice recognition transcription app, improving access for hearing-impaired customers who wish to inquire about products.
Creating new businesses With the rise of IoT technology, LIXIL is strengthening its efforts to help create secure, safe, and comfortable homes. LIXIL’s IoT product portfolio includes residential products such as the GROHE Sense Guard and Smart Water Controller, which detects water leaks in the home and helps to prevent damage, as well as its Life Assist smart home system, which controls home fittings, electrical appliances, and sensor devices over the internet. Commercial products include, for example, its LIXIL Toilet Cloud service which improves the efficiency of public toilet cleaning, and the Segel E-Control system, which helps save energy by automatically controlling office windows in response to weather conditions.
Yugo Kanazawa, Executive Vice President in charge of Marketing and Digital and Chief Digital Officer, commented on LIXIL’s selection: “We are delighted that our DX efforts have been highly commended for a second year in a row. LIXIL has been accelerating its digital transformation in order get closer to our consumers, empower our people, and elevate LIXIL above the norms of a traditional manufacturer. We have been working hard to change the nature of our existing businesses, provide new customer experiences and creating new businesses, and I am confident that our efforts will boost out competitiveness and create value for our stakeholders.”
¹DX Stocks are selected from among Tokyo Stock Exchange-listed companies that have set up internal systems to promote DX, leading to increased corporate value, and which have demonstrated outstanding results in the use of digital technology. As well as spreading information on benchmark corporate models and encouraging a change in attitude among managers, the aim is to further promote DX through recognition from a wide range of stakeholders.