Main image of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society

Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society

Murata Manufacturing Co., Ltd. (Murata) promotes SDGs (Sustainable Development Goals) and works to solve social issues through its businesses. In what specific ways does Murata contribute to the creation of a sustainable society? Mr. Tsumori of Murata, who is in charge of the Traffic Counter System, spoke from the perspective of SDGs.

The Traffic Counter System’s Four Contributions

--In the first part, we heard you speak about B2B alliances based on the traffic counter system. This can also be considered quite public in nature, given that you partner with local companies, address social issues such as eliminating traffic congestion, offer hope that this will improve people’s quality of life, and so on.

Tsumori: That’s right. Murata has established a cross-functional team to promote SDGs. I think this business can be seen in a new light in terms of contributing to SDGs.

Image 1 of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society

--Seventeen SDGs have been set.

Tsumori: Of these, our traffic counter business can contribute to Goal #9, “Industry, innovation, and infrastructure”; Goal #11, “Sustainable cities and communities”; and Goal #17, “Partnerships for the goals.”

Before explaining these three goals, I would like to first explain how this business contributes to society.

The social value of the traffic counter business

(1) Contributing to the development of appropriate transportation infrastructure and reduced environmental impact

(2) Contributing to a reduced traffic congestion frequency

(3) Contributing to the monitoring of CO2, vibrations, and noise, and offering reduction measures based on the observations

(4) Contributing to the economic growth of local partner companies

(1) Contributing to the development of appropriate transportation infrastructure and reduced environmental impact

Our Traffic Counter System business is about more than simply providing the system. We continuously provide the traffic volume data we have obtained so that it can be applied locally in an appropriate manner. And we have achieved and implemented what the locals actually need. By carrying out a series of initiatives that go beyond simply providing the system, we believe that we will be able to gradually get closer to achieving transportation infrastructure that is optimized for local conditions.

In addition to traffic data, we also obtain data on CO2 and more, and we are pursuing development in anticipation of system expandability. This makes it possible to collect data to verify the impact of traffic volume on the environment, as well as offer proposals that will lead to reductions in environmental impact.

Image 2 of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society
As of March 2021, sensor boxes for obtaining data have been installed in Indonesia, Thailand, Malaysia, and Japan.

(2) Contributing to reduced traffic congestion frequency

In urban areas throughout Southeast Asia, millions of people are crowded into very small areas. In particular, Jakarta was once said to be the worst city in the world for traffic jams; alleviating the frequency of traffic jams is a major social issue. We have provided high-quality traffic data that cannot be obtained locally, and it is used to inform policies and measures to reduce traffic congestion frequency.

Image 3 of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society
A graph showing shifts in traffic volume by area in Jakarta. When the system was fully introduced in 2020, it was used to verify the effects of restrictions on outdoor activities due to COVID-19.

(3) Contributing to the monitoring of CO2, vibrations, and noise, and offering reduction measures

The traffic counter system not only obtains traffic volume data, but also detects CO2, barometric pressure, and rain, as well as data on vibration and noise. The acquired data can be used to monitor CO2, vibration, and noise conditions. The analyzed data can be used for measures to reduce CO2, vibration, and noise. In addition, data on atmospheric pressure and rain could potentially be used to predict rainfall and floods in Southeast Asia, which often sustains flooding damage.

Image 4 of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society
The traffic counter system obtains not only traffic volume data, but also environmental data, including CO2 and atmospheric pressure.

(4) Contributing to the economic growth of local partner companies

As I mentioned in the first part of the interview, this business attaches a great deal of importance to alliances with local partners. Alliances with these partners is not only for the sake of having the business succeed, but I believe they can also provide value by spurring the economic growth of our local partner companies.

Contributing to SDGs

--I see. It seems to be a very socially conscious business.

Tsumori: Based on these perspectives, I think we can see how it is relevant to three of our SDGs.

Image 5 of Murata Manufacturing’s New Data Business Formed Through B2B Alliances (Part 2) - Contributing to a Sustainable Society

9.Industry,innovation and infrastructure

This system emphasizes adapting to local conditions. In other words, instead of adjusting the site based on what’s convenient for the system, we created a system that offers operation methods needed by the site in accordance with local conditions. By doing this, we could potentially obtain very high-quality data that cannot be obtained even in Japan. In addition, we provide these services at a cost that matches local costs. For example, at the request of the Jakarta government, we are monitoring the effects of their policies by visualizing the traffic volume of each traffic regulation agency during the COVID-19 pandemic. I believe that these efforts will lead directly to the creation of a foundation for industries and technological innovation, which is Goal #9.

11.Sustainable cities and communities

We are also contributing to Goal #11, “Sustainable cities and communities,” through (1) to (3). Urban areas in Southeast Asia with heavy traffic have high concentrations of CO2 and are extremely susceptible to vibration and noise issues. These problems directly impact people’s lives. Using data to visualize them allows the causes and solutions to be considered. The results have yet to be produced, but measures such as analyzing the relationship between fluctuations in traffic volume and CO2 and using them to control traffic volume in an appropriate manner are being considered. Moreover, it is possible to raise awareness about the lives of the people who live there and the environment, which we believe will lead to an improvement in living standards.

I also feel that accurately providing data that is useful for improving the environment in a state where it can be utilized at a local level will increase the feasibility of local sites and further enhance their involvement in the goals.

17. Partnerships for the goals

Goal #17, Partnerships for the goals, is related to (4).

We work with our local partners to provide packages of operations that are easy for them to manage. However, I think that our contributions in this area do not stop there. Through the alliance process, they also have the opportunity to both learn and apply the Japanese approach to work and quality. Eventually, our business expertise will accumulate within them. At that point, for example, when we introduce a new system in another city or country, it will be possible for the partner company itself to take the initiative in developing the personnel necessary to implement the system by applying the expertise they have gained from us. In this way, Japanese companies can act to address the challenges facing developing countries and build ongoing relationships with their local partners. It can also lead to the expansion of business partners, the enhancement of the corporate value of both parties, and regional contributions.

Supporting the independent creation of sustainability

--How do you think the future development of the Traffic Counter System will deepen your contribution to the SDGs?

Tsumori: Acquiring outdoor data using the Traffic Counter System requires not focusing only on a single element, such as traffic volume or CO2 monitoring, but rather ascertaining how they affect one another. Additionally, combining this with other data and adopting a holistic perspective will also provide hints about indicators that could improve the living environment. Utilizing models discovered through such experiences allows for rapid deployment of the system as high-quality infrastructure while incorporating local needs, even in areas where the system is being introduced for the first time. If our partner companies in each region increase their added value through these efforts, I think we can contribute to increasing the value of the whole country.

Due to various restrictions in developing countries with regard to the term “sustainable” as it relates to SDGs, it is often difficult for them to generate sustainability on their own. To support these efforts, I think it is outstanding for products from Japanese companies to serve as a catalyst for sustainability.

--To contribute to SDGs, alliances with partner companies in each region will become increasingly vital.

Tsumori: That’s true. Right now, it is difficult to visit sites due to COVID-19, so we are thinking of entrusting matters we have been handling on our own up until now to our alliance partners. In this kind of situation, it is more important than ever that we become an organization that can avoid precedent and preconceptions and learn to think flexibly. That being said, to improve the living environment of the local people as much as possible, we must promote the implementation of the Traffic Counter System even within the current situation. To that end, figuring out how to locate reliable local business partners will be essential.

Other Links

Related articles