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DX is the key to energy conversion | Realization of a non-carbon society [2022]!

DX

With the SDGs gaining attention (DX ), the Japanese government has pledged to reduce greenhouse gas emissions to virtually zero by 2050 at the G20 Summit, and global energy policies are shifting to renewable energy.

In particular, fossil fuels, which have high carbon dioxide emissions when burned and limited resources, are forced to reduce their energy supply. Under these circumstances, what kind of changes will companies that handle petroleum carry out?

This time, we interviewed the Cosmo Energy Group, which is driving Japan’s energy transition in the oil wholesale industry.

Interviewee

Cosmo Energy Holdings
Executive Officer CDO General Manager of Corporate DX Strategy Noriko Luzonka
Cosmo Oil Marketing
Retail Department Car Life Square Business Group Manager Hideaki Yoshioka
Cosmo Oil Marketing
Next Generation Business Promotion Department Regional Energy Group Manager Takuichi Yoshimura
Cosmo Energy Holdings
Corporate Communication Department Public Relations Group Mr. Masahide Masumoto

* Listed at the time of interview in March 2022

Table of Contents

  • “Oil & New” | What is the energy strategy of the Cosmo Energy Group?
    • What is DX at the Cosmo Energy Group?
  • A new form of gas station | “Digital Station System (DSS)”
  • A DX package that other companies cannot do | “Cosmo Zero Cabo Solution”
  • Lastly

“Oil & New” | What is the energy strategy of the Cosmo Energy Group?

ーーWhat is “Oil&New”?

Masumoto: Oil & New is the slogan of the 6th Consolidated Medium-term Management Plan formulated by the Cosmo Energy Group for the period from FY2018 to FY2022.

Oil refers to strengthening the competitiveness of our core oil business, and New refers to business growth with an eye on the next generation.

As for strengthening the petroleum business, I don’t think the petroleum business will disappear, but there is a growing movement away from fossil fuels. We aim to grow

In terms of next-generation businesses, we are focusing on the renewable energy business centered on wind power generation, the data handling technology required for DX, and human resource development for next-generation businesses.

We are also actively promoting DX in existing businesses.

What is DX at the Cosmo Energy Group?

ーーHow does the Cosmo Energy Group promote DX?

Luzonka: About five years ago, the word DX wasn’t in vogue, but efforts were being made to streamline things. However, efficiency improvement was done only within each project, and there was no cross-project consideration.

Listening to the voices of the people on the ground, I found that everyone has various dreams, and in order to realize them, it is necessary to look at projects from a cross-sectional perspective, so we have started a project in which all employees participate.

Once I started doing this, I began to see that the group as a whole had many different roles, and I became aware that the orchestration had to be done by the group as a whole rather than by each company.

ーーWhat exactly are you doing?

Mr. Luzonka: Cosmo Energy Holdings established the “Corporate DX Strategy Department” in November 2021.

The Corporate DX Strategy Department takes an unprecedented form of cross-sectional support for each department and promotes DX while collaborating with the entire company.

Each department has knowledge of business from different perspectives, and in many cases they know where the needs lie, so they actively share data usage, such as what kind of data is necessary and how to handle it. I’m trying to support DX activities while doing it.

–Did the Cosmo Energy Group itself undergo any changes in response to the trend of DX?

Mr. Yoshioka: Cosmo Oil Marketing has been digitizing for a long time, but it is only recently that we have become aware of the word DX.

Compared to the past, I feel that it has become inevitable to promote DX down to the smallest details, such as supply chains and gas stations.

However, there are areas and ideas that cannot be reached with the knowledge of Cosmo Oil marketing alone. I think that’s the point.

A new form of gas station | “Digital Station System (DSS)”

ーーCould you please explain the Digital Station System (DSS)?

Yoshioka: DSS is a system for service stations.

Specifically, when a customer visits a store, we use the customer management database, customer card usage data, store data, and data from the Ministry of Land, Infrastructure, Transport and Tourism to find out what products the customer is most likely to purchase. AI judges this, and notification of customer service advice is sent to the staff’s device.

Developed using about 270 million data on various labels such as purchase history, meter, oil, and battery replacement data.

ーーWere there any difficulties or challenges during development?

Mr. Yoshioka: Among the services provided by Cosmo Oil Marketing, in addition to gasoline sales, there are vehicle inspections and car leasing businesses. After an average of four consultations, the product is purchased, but it was difficult to keep up with that process.

Also, as an issue, we have introduced Microsoft PowerBI to visualize the workload of the staff, but the staff realizes the results at the time when the customer purchases the product, so we can visualize the normal workload. There was a point that even if it was made into a real feeling, it did not come out.

ーーHow did you solve the problem?

Mr. Yoshioka: In order to solve the problem, we implemented a function that sends a “Congratulation” notification to the devices of all the staff who have been involved with the customer so far when the customer reaches the conclusion of the contract.

Until now, only the staff involved in closing the deal were evaluated, but since we had to consult with each other multiple times before closing the deal, we changed it to evaluate all the staff involved up to that point.

In addition, we are devising ways to report the names of all the staff involved up to that point to the superior when the contract is closed.

With these functions, we are making it possible for the on-site staff to feel the results.

A DX package that other companies cannot do | “Cosmo Zero Cabo Solution”

ーーCould you please explain about “Cosmo Zero Cabo Solution”?

Yoshimura: The Cosmo Zero Cabo Solution is a decarbonized package that combines renewable energy and electric vehicles.

Specifically, for local governments and companies, we will provide one-stop decarbonization of electricity and automobiles, which are the main causes of CO2 emissions, centered on the Cosmo Energy Group’s strengths in leasing electricity derived from wind power generation and electric vehicles. provided by In addition, we also provide services such as solar panel installation options and AI-based peak shift of power consumption.

ーーHow do you shift the peak power consumption?

Mr. Yoshimura: High-voltage electricity costs more as power consumption increases during peak hours.

Therefore, for example, instead of starting charging as soon as the used electric vehicle returns, if there is no next reservation in the system, it will be charged at night, avoiding the peak power usage period of the facility. control like

ーーPlease tell us how the development came about.

Yoshimura: While the world is aiming for carbon neutrality, Japan has also set an intermediate target of net zero greenhouse gas emissions by 2050 and a 46% reduction by 2030.

This is a fairly high target, and to achieve it, all of Japan must work together right now, but it will take a long time before green power and electric vehicles spread to ordinary households.

Therefore, we set local governments as the main target for the first 10 years until 2050, and developed a one-stop solution to decarbonize electricity and automobiles, which are the main causes of CO2 emissions.

ーーPlease tell us about the future prospects for DX.

Mr. Luzonka: We are thinking about new businesses and improving existing businesses, but we have to acquire new knowledge and technology for DX. The Corporate DX Strategy Department will play a supporting role in promoting it.

While supporting new challenges, we also have to be conscious of safe operations, so I think the challenge going forward is how to strike a balance.

In addition, since there are various businesses with different characteristics within the Group, we will step back and take a bird’s-eye view, and in order to have each employee have that perspective, we will steadily promote the sharing of how to use data and the development of infrastructure. , We will promote DX company-wide.

Lastly

As fossil fuels are required to reduce energy supply, the Cosmo Energy Group is one of the first companies to switch to energy. I felt that it is a company that can be a model case in the modern age where DX promotion is being pushed forward.

In addition, DX tends to focus only on improving the efficiency of operations, but it also focuses on the job satisfaction of the staff, and it was a content that felt the further potential of DX.

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