24MBP Business Shaping Scenario: Good Business Quality

Intellectual Property Strategy
Innovating the Tradition of Utilizing
Intellectual Property

point for value translation is our true strength, and forms
the core of our IP portfolio from both real and digital
perspectives. The real perspective, for example, includes

Bridgestone is striving to manage intellectual property (IP)

our ability to gain insight into dormant needs that ourin a way that enhances corporate value by visualizing

customers are not yet even aware of, and to offer solutions

mechanisms to convert IP into social value and customer

based on our ability to see and know the market and othervalue. It is also managing IP by verifying the effectivenessphenomena on-site—an ability we have prioritized everof IP investment from an ROIC perspective, thereby

since our founding. Much of our “IP secret sauce” emerged

increasing the certainty of investment.

from motorsports activities—effectively, our “mobileOur IP activities are based on the creation, succession,laboratory”—which has been passed down to the presentand development of our unique “IP secret sauce” as aday. On the other hand, in terms of digital, our ability tofundamental aspect to all our businesses. Based on thisdecipher big data and convert it into knowledge that leads

fundamental approach, we strategically undertake IP

to solutions for customers serves as the foundation of ourmanagement to amplify social value and customer value by

DX-based business such as aviation solutions and mining

understanding and visualizing diverse IP such as knowledge,

solutions. This “IP secret sauce”, which combines both realexpertise, and patents generated on-site (Genbutsu-Genba)

and digital aspects, is converted into new IP, including not

throughout the value chain. Then we effectively combine

only the IP cultivated through manufacturing but also in thethem as an IP mix tailored to the business model.

domain of business models through our unique IP mix. By
strategically combining IP—including not only patents but

Creation of social value and customer value
Premium Tire Business

Solutions Business

Exploratory Businessalso peripheral knowledge and expertise—we can amplify
and expand value in efficient and strategic ways.
In addition, in the area of tacit knowledge visualization, weidentify and extract “craftsperson skills” as the tacitknowledge that is crucial in differentiating our manufacturing
and solutions business from our competitors—not only on

Visualizationof the conversion
mechanism

Connecting
IP management

Visualization oftacit knowledge

IP that expands value
Quality assurance/service know-how

Real × Digitalcommunication with all departments, including development,
production, logistics, sales, service, solutions, and more.
We are expanding and strengthening our IP mix to link ourBusinessmodel patents

Secretsauce IP

the manufacturing floor (Genbutsu-Genba) but also throughTechnicalIP

Patent area
Confidential area

Knowledge to be able toconvert data (digital)
Knowledge/know-how ofbackground (real)

The IP mix

Talent that continues to evolve toinheriting our DNA

unique strengths to creating business value. By visualizing amechanism for translating value across the entire value chain
with the IP mix as its axis, we connect our strengths to thefusion of tradition and innovation.
In both real and digital terms, it is talent that creates this“IP secret sauce” and develops it into true value. The
Bridgestone E8 Commitment and the organizational
capability to cultivate talent that keeps evolving andpassing on our corporate culture and DNA are also key
elements of our IP management.
We are also using amplification of value through IP
visualization in co-creation activities with partnercompanies. In achieving IP management through open

Toward Translating Intellectual Property into
Social Value and Customer Value

innovation, we strive to create synergies that generatevalue for both parties by organically combining our IP withthat of our partners, based on the fundamental premise of

In order to translate IP into social value and customer value,

respecting the IP of partner companies. By visualizing each

we utilize two methods of visualization—“mechanism

other’s IP and through transparent and fair IP contracts thatvisualization” and “tacit knowledge visualization”—toclearly identify the ownership of intellectual property, weincrease the certainty of the IP investment’s contribution

establish an “IP safe zone” where both parties can shareto business. In concrete terms, mechanism visualization

intellectual property with peace of mind, thus contributing

allows us to grasp the characteristics of each businessto fair communication, free and open-minded win–win

portfolio and work toward IP management linked toco-creation activities, and building relationships to that end.

business strategy. The “IP secret sauce” that is the starting42

Mechanisms for Visualization in ENLITEN,
Bridgestone’s Unique Base Technology for
Product Design and BCMAIn ENLITEN/BCMA, we hypothesize the relationshipbetween the fundamental technology and thebusiness model to be pursued, and visualize themechanism by which intellectual property isconverted into value, as shown in the diagram to theright. Our “secret sauce” of proprietary technologies,● ENLITEN×BCMA IP Influence Diagram“New premium”

Social value

Improve product power－Generate customer delight

Customer value

Reduce cost － simpliﬁcation

Achieving both performance and simplicity / optimizing the entire value chain

Convert IP
into value
through
IP management

Improvement of tire performance

Mastering road contact

Mastering rubber

Secretsauce IP

Integrated system of sales,
production and R&D

Modular design and ﬂexible production

Mastering manufacturing

SCM optimization

IP that expands value
Patents

Knowledge/know-how

Conﬁdential technology

consisting of patents, knowledge and expertise, islinked to “mastering rubber”, “mastering roadbusiness model of ENLITEN and BCMA. Sincecontact”, and “mastering manufacturing” ofvisualization has enabled mutual understanding

technology innovation and our strengths in supply

between us and our R&D and business divisions in

chain management. Furthermore, this will be

the field, prioritization of IP investment has been

converted into value through the expansion of total

decided through close communication. This enables

performance of tires, modular design/flexible

us to achieve IP management that increases theproduction, and an integrated system of sales,certainty of value amplification.

production, and development, lead to forming theLeveraging Intellectual Property in
Co-Creation Activities

enhance the IP value and corporate value of both

Our IP division has been involved from the initialin being able to conduct co-creation activities based

stages of our co-creation activities with TIER IV, Inc.

on free and open communication in order to utilize

helping to establish an IP safe zone that ensures aTIER IV’s technologies and expertise in autonomous

win—win for both parties by preparing IP

driving, which is a new technological field, inagreements. The combination of our unique IP in tiredeveloping tires and solutions. For example, we have

manufacturing and TIER IV’s unique IP in innovative

gained insight into key factors of basic tire

autonomous driving technology creates IP that could

performance previously not visible to us, which has

never be realized alone, and can be expected toled to the creation of new IP.

Verifying Return on IP Investment Using ROIC

parties. For Bridgestone, there is a huge advantage

multiple KPIs from both inward-looking and outward-looking
perspectives, we will continue to strive to continuously

We verify the effectiveness of IP management byimprove our IP management and enhance quality ofimplementing the concept of ROIC, our key management

operations by verifying the effectiveness of IP investment.

indicator. Specifically, we set “IP value creativity” as a results-IP value
creativity

driven KPI that measures the contribution to sales generated
by leveraging IP and IP revenue. We also set factor-oriented

IP value＝IP investments

KPIs that measure management efforts. The quality of IP
operations is improved by verifying overall IP managementwith results-driven KPIs, and by implementing the PDCA cycle

8.8

9.4

10.2

10.5

10.9

for management measures with factor-oriented KPIs.
Bridgestone’s IP value creativity nearly doubled in 2023
compared to 2019, thanks to our thorough implementation oflean IP investment, improving the quality of our IP mix, and4.7

5.2

2022–

6.0

Management ofenhancing IP value

2021

the efficient and strategic use of IP mix tailored to business

Implementation of lean IP investment

models. As of the end of 2023, the number of IP mix units,
which is one of our factor-oriented KPIs, was 15 units currently
being utilized and 26 units under preparation. Having set

2019

2020

2021

2022

2023

2024

2025

2026

Bridgestone 3.0 Journey 2024 Integrated Report43