Background and concerns of “stable high growth” spoken by President TerraSky

In this series, “Isao Matsuoka’s” This Week’s Statement “”, every week, key persons in the ICT industry take up some of the words that they have stated at press conferences and events, and explain their meaning and background. This time, we would like to introduce the remarks of Mr. Hideya Sato, President and CEO of Terrace Kai, and Mr. Kazunobu Morita, Executive Officer and Managing Executive Officer, CEO (Chief Executive Officer) of Hitachi, Ltd. “I want to continue to achieve stable and high growth.”
(Mr. Hideya Sato, President and CEO of TerraSky)

Mr. Hideya Sato, President and CEO of TerraSky TerraSky recently held an online press briefing on its financial results for the fiscal year ending February 2021 and future business strategies. Mr. Sato’s opening remarks at the press conference talked about the outlook for future business results. I was impressed with the expression “stable and high growth,” which can be regarded as an antinomy, so I would like to introduce it as a “statement.” For the contents of the press conference, see the related article, but here I would like to take up the points of stable high growth and the IT human resources who support them. First of all, it is clear from Figure 1, which shows the transition of consolidated sales since the company was founded, that stable high growth has been achieved. The average annual growth rate for the past five years has been as high as 28%, and the forecast for FY02 / 2022 is expected to be 13.1 billion yen, an increase of 18% from the previous quarter.

Figure 1: Consolidated sales trends since the company was founded (Source: TerraSky) The driving force behind such stable and high growth is and Amazon Web Services (which are the basis of the strong cloud integration business). AWS) cloud services have grown at a compound annual growth rate of 29% and 41%, respectively, as shown in Figure 2. “(Mr. Sato).

Figure 2: Salesforce and AWS Sales Trends (Source: TerraSky) Under such circumstances, TerraSky is currently working on more than 4,800 projects with approximately 1,500 customers. Mr. Sato pointed out the training and securing of IT human resources as a priority investment area in the future. As the Ministry of Economy, Trade and Industry has announced that there will be a shortage of 590,000 IT human resources in 2030, the shortage of IT human resources has become a serious problem. Furthermore, the demand for digital transformation (DX) is increasing across all industries, and IT and DX human resources are not limited to IT companies, but fierce competition is fought. In the top interview posted on this site on February 12, 2020, “What is TerraSky’s” Cloud Integrator Beyond “?”, Mr. Sato strongly complained that “I have a lot of work, but I can’t handle it due to lack of human resources.” It was impressive that it was there. Therefore, the company recently announced that it will establish a service company “TerraSky Technologies” to promote the business of training IT human resources and dispatching them to companies seeking them, and will start operations in May. The new company will develop IT inexperienced people such as second-year graduates who are considering career changes and working people who have temporarily suspended / left their jobs as cloud engineers and dispatch them to the company as an immediate force, resulting in a serious shortage of IT human resources. It is our mission to contribute to the elimination of. When I heard that “the biggest dispatch destination will be the TerraSky Group” (Mr. Sato), I thought it was true, but it is an initiative that conveys the desire to “solve the social issue of lack of IT human resources” (same as above). I would like to keep an eye on this movement in the future.