Medium-Term Management Plan

Basic Policy


We will restore the original brilliance of the Shimamura Group and lay the foundation
for growth through our Basic Policy of "Reborn."

In order to operate the Shimamura Group according to our philosophy, we have set the mission of "building a good company" for our management team.
As the first step in continuing to exist as a "good company" in the long-term for our employees, customers, business partners, shareholders, and society, we used the Basic Policy of "Reborn" as a basis for formulating a Medium-Term Management Plan spanning from FY2022 to FY2024.

Numerical Targets for FY2024

*Results for FY2020 are listed in parentheses.

Business Policy

  • As a new initiative, we will maximize synergy between the EC business and approximately 2,200 brick-and-mortar stores nationwide by developing online stores for all businesses. Additionally, we will renew business at our shoe specialty store "Divalo" in order to lay the foundation for growth into a next-generation core business.
  • In our existing businesses, we will strengthen the foundation of chain management by enhancing product appeal and sales power, and by promoting DX. Furthermore, in order to respond to diversified customer and store characteristics, we will strengthen support for individual stores in the form of sales promotion, displays, etc.

Expansion and Strengthening of Shimamura Online Store

Expansion to all businesses
  • Each business is developing product lineups and services by taking advantage of their respective strengths, and expanding the scale of EC business at a rapid pace.
    (Target EC ratio of 2% for fiscal year ending February 2024)
  • We are greatly improving the convenience for our customers by constructing a system for one-stop shopping of products from all businesses on our Group online site and making it possible for customers to pick up products at approximately 2,200 stores nationwide.
Strengthen logistics functions
  • Based on a policy of increasing the efficiency and capacity of our own EC centers, we are expanding the amount of EC handled at a rapid pace while also utilizing logistics contractors.

Restart the Divalo Business for Shoe Specialty Stores

  • Redefine the business as shoes & fashion mainly for women
  • Achieve profitability in terms of operating income by renovating/closing existing stores and opening new stores
    (by fiscal year ending February 2027)

Product Policy

Strengthen the product brand appeal
  • Expand the product lineup and price range
  • Improve awareness among customers and understanding among employees
  • Improve quality to secure repeat customers
Strengthen the supply chain
  • Strengthen short-term production system
  • Increase the accuracy of inventory management
    (system collaboration with suppliers)
Strengthen individual store support according to regional and store characteristics

Sales Policy

Diversify sales promotion methods
  • Expand digital advertising
    (expand video distribution, engage in sales promotion by segment)
  • Strengthen support for individual stores
    (provide support by region/sales, engage in sales promotion from stores)
  • Expand online store services and strengthen sales promotion when picking up products at stores
Improve the sales floor layouts
  • Refine the new layouts
  • Develop sales floors for lifestyle proposal and develop new layouts
  • Improve product displays based on proposals from stores (Shima Navi)

Optimize Expenses

Advertising expenses
  • Maximize cost effectiveness by diversifying advertising methods
  • Reduce cost and improve work efficiency through in-house operation related to the provision of information on products to customers
Personnel costs
  • Improve productivity by streamlining work at stores and the head office (DX promotion)
Rent payments
  • Open new stores and relocate existing stores with an emphasis on profitability
  • Continue negotiating rents for unprofitable stores
EDP fees
  • Continue investments which lead to improved business performance; for example, centralized inventory management and customer management

DX Promotion

Improve sales
  • Strengthen support for individual stores according to store characteristics by constructing a store profile system
  • Introduce a system for making recommendations to customers on online sites and at brick-and-mortar stores
Increase business efficiency
  • Increase the efficiency of store operations by utilizing mobile devices and smart cash registers
  • Increase the efficiency of head office operations by introducing RPA

Initiatives to Address ESG Issues

Based on our mission of building a "good company" for our employees, customers, business partners, shareholders, and society, the Shimamura Group is promoting sustainable "Shimamura ESG" through our main businesses in order to realize a sustainable society.

See Current Initiatives

Shareholder Returns and Capital Policy

Shareholder returns:
Become a company targeted for long-term investment

In addition to improving business performance, Shimamura will earnestly address ESG issues, and will strive to realize a sustainable society through our main businesses.
In order to ensure long-term support from our shareholders and investors, we will return profits through long-term and stable dividends (based on dividend payout ratio of approx. 25% and DOE of approx. 2.0%).

Capital policy:
Achieve sustainable management by securing stable cash on hand

While being aware of capital efficiency, Shimamura invests for growth that will lead to future corporate value improvement. At the same time, we will ensure sustainable management by stably securing a sufficient amount of cash on hand, even when facing conditions of temporary turmoil in society and the economy.