“We’ve neglected what is commonly known as public relations (PR).”

This statement comes from Moritaka Nakamura, President of Ryoyo Electro Corporation.
The company was founded in 1961 as a semiconductor sales trading firm and now operates on two core business pillars: semiconductor business and solution business (ICT & IoT).

In 2017, President Nakamura took office, and around the same time, they began consulting with Network Communications regarding PR, which he acknowledged they had “neglected” until then.

“Strategy” is essential for PR

What exactly is PR? According to the Public Relations Society of Japan, PR is defined as “a way of thinking and acting to create desirable relationships between an organization and the people (individuals, groups, society) surrounding it.”

Generally, it refers to the public relations activities where an organization, such as a company, disseminates information to society to build relationships.

President Nakamura states that Ryoyo Electro Corporation had “neglected” this kind of PR until now.
“As a trading company, which is our industry, we’re typically a ‘behind-the-scenes’ player, making it challenging to gain recognition and understanding as a corporate brand.”

President Nakamura changed that “company culture.”
He decided to “properly disseminate information, including our various businesses, management philosophies, and corporate slogan.”

However, once they started, it wasn’t so easy. Beyond just sending information to traditional print media, he thought, “Ryoyo is, after all, a corner of an IT company,” and tried refreshing their website first, but the response was minimal.

What was needed wasn’t ad-hoc PR, but strategic PR.
President Nakamura states, “A PR strategy that thoroughly understood Ryoyo Electro was urgently needed. We should have actively used not only traditional print media like newspapers and magazines, but also online media. At that time, when it came to the content and media combination – ‘what information to send and how to send it’ – we needed a ‘professional’s’ know-how, and expert advice on media selection and exposure methods.”

It was at that opportune moment that they met Naoko Okada, CEO of Network Communications (NWC).

How to establish a department to be the President’s advisor

President Nakamura states, “Ryoyo Electro is currently undergoing management reform.”
The establishment of the Marketing and Communications Promotion Department, directly under the President, was part of this initiative. And they appointed a woman as its head.

“With NWC also having a female CEO (Ms. Okada) and our company having a female head in charge, the idea was to break through areas that had become rigid with a male-centric mindset, using a team of empowered women.”

These initiatives proved effective not only externally but also in appealing internally.
President Nakamura notes, “There are countless people within the company who don’t know what others are doing if they’re in a slightly different department.”
The initiative was highly effective in two ways: “disseminating and gathering information both internally and externally,” and “promoting the active role of women and incorporating a female perspective.”
He emphasizes, “The continuous flow where information converges on them, and they then disseminate it, is crucial.”

By creating a centralized information management and dissemination system, they gained the ability to view each department horizontally through the lens of information, which was a management achievement.
Having a marketing department that works throughout the company is also effective as a strategic arm for the president.
“Frankly, it’s become much easier to do business.“

NWC supported these achievements from behind the scenes. While external partner companies often tend to be somewhat hesitant in their dealings, Network Communications’ representatives were not.

President Nakamura states, “As president, I was deeply moved by their numerous concrete, objective, and emotional initiatives, and their dedicated attitude. It went beyond mere PR advice; a sense of camaraderie, an understanding that they would do this together with us, blossomed within our company.”

Okada’s vision for PR was this: “To achieve PR that feels as if it’s handled in-house.“
The more she understood the importance of PR, the more she believed that “creating a system within the client company itself is what truly adds value.” Her goal was to “help build an organization that can manage its PR independently, without relying on NWC.”

Naturally, when entering a client company, it’s essential to “speak frankly without reserve, just like an in-house team would,” according to President Nakamura. “NWC did exactly that. They didn’t just treat us as a mere customer or client; they offered candid opinions to help us improve.”

On the other hand, there are still some internal dissatisfactions. “I want the teams in each business unit that provide information to better understand the great value of PR.”

We’ve become an organization that considers possibilities!

“Ryoyo Electro is a treasure trove,” says Naoko Okada of Network Communications.

For instance, there was an offer to sponsor a certain sports league. The amount was tens of millions of yen.
President Nakamura thought, “This is tough.” He considered, “We’ll have to give up this time. Let’s do it once we’re more profitable.”

However, the Marketing and Communications Promotion Department didn’t give up.
Led by their female head, they took the initiative and began considering it on their own, thinking, “The president might be giving up, but isn’t this a good opportunity?”

“Normally, people would just say, ‘The president said so, that’s it,’ and that would be the end of it. Conversely, if the president says ‘do it,’ then they do it,” says Okada.

President Nakamura exclaimed, “I was surprised and impressed to see how much the company was changing!”
Even a senior executive from the administration department, who would normally have opposed such a move due to cost concerns, said, “Up until now, it’s always been ‘no if the president says no, and yes if the president says yes,’ but please let us re-examine whether this is truly the best course of action.”

The PR efforts that will shape Ryoyo Electro’s next century

At Ryoyo Electro Corporation, the crucial three-year period of their next medium-term management plan is finally set to begin in February 2019.

In recent years, they’ve opened their first overseas office in Europe, located in Munich, Germany.
They must now discover new products and cutting-edge technologies within Germany’s key industries: the automotive sector and manufacturing, exemplified by Industry 4.0.

“If Ryoyo Electro doesn’t succeed in these three years, we might be acquired. Conversely, if we can establish a unique presence that is distinctly Ryoyo Electro’s, we’ll then be able to envision the next 5, 10, and even 100 years. Our company’s future will almost certainly be decided within these three years.”

Therefore, conveying the value of these situations, products, and services is crucial.
“The importance of PR will only grow; it will never diminish.”

Ryoyo Electro is now moving towards 2020.
“As we approach the 2020s next year (2019), we must complete our preparations thoroughly and, in some areas, already begin to soar. Waiting until 2020 will be too late. The same applies to PR. I want NWC to continue providing us with frank and unreserved advice so we can make effective communications.”

President Nakamura concluded by saying, “Both Ryoyo Electro and NWC are, in the eyes of the public, ‘behind-the-scenes’ players. But it’s truly gratifying when people choose Ryoyo or NWC among all the ‘behind-the-scenes’ options out there. You can pick any number of unseen supporters, but what truly matters is whether they decide, ‘Let’s go with this one.’ After all, the main actors are our customers. I believe it’s the same in any business.”