Business Plan FY2016
1. Recent situations and new direction

The Institute for Future Engineering (IFENG) achieved a business surplus in the fiscal
2013 as a result of management reconstruction efforts after restructuring in the fiscal
2011, including restructuring of the activities and enhancement in the research
management after its qualification as a public-interest corporation in 2013. IFENG’sposition in the GGTTI think tank ranking in the science and technology area has risen
to the fifth place in 2015 from the eighth in 2012-2013 and the sixth in 2014.

This enabled IFENG to shift its target from management issues back to the mission
proper to a think tank and its enhancement. This means, in the fiscal 2016, expansion
in research activities and the start of a program for strengthening the manpower,
particularly recruiting and fostering young researchers.

IFENG believes that it is now the time to improve the quality of its activities adding to
the 45-year performance record.

IFENG’s history and feature have been described as follows:

It was more than 40 years ago that “soft science”, or science of political decision
making, was proposed as a field to study complex and interdisciplinary problems
concerning social and political issues, involving interactions of humans, society, natureand technology. IFENG, one of the first-generation think tanks in Japan, was createdjust in that period, when the country was facing new and universal problems ofenvironmental pollution and limits in resources and energy.

IFENG’s activities have been focused on the fields of science and technology as well
as research and development, which was a unique feature in Japan.
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The institute has thus developed original methodologies for analysis of social trends,identification of real issues in society, and development of comprehensive strategy tosettle them, as well as conception, implementation and evaluation of relevant policies.
These methodologies have proven to be effective in application to policy issues andsocioeconomic problems.

The purpose of the Institute is summarized as follows:

Our research activities start from gaining insights into the developing tendency ofscience and technology and into presages of socioeconomic changes in order to predicta likely future and its inherent problems. The goal is to conceive, design and propose
measures for solving those problems, such as desirable social systems, policy making,research and development systems, or implementation of technologies, by analyzing
relevant data with “engineering” methodologies, thus contributing to advances inscience and technology as well as socioeconomic development at large.

More specifically, our research tasks and ancillary works are divided into the following
units: Research Center for Policy Analysis, Research Center for Information andTelecommunication, Research Center for Social Issues, Programs Related to the Great
East Japan Earthquake, Research Center for Lifence in 22nd Century, and Research
Support Center. Studies are performed by platforms formed by internal researchers,
which are networked with external experts. Results are released in forms sharable withthe general public as far as possible, for example through social media or on websites,in addition to conferences, lectures and publications.

Specific activities are classified into three categories: Commissioned Investigations,
Independent Investigations, and Interactive Research. Within each category, balance iscontrolled between Nonprofit Activities for the general public and For-Profit Activities2

for specific parties.

Based on our history and general guidelines for activities described above, IFENG willcontinue and promote the goals for FY2015. Particularly, the Interactive Research,relatively inactive so far, will be enhanced in order to “create wisdom for society”.
Furthermore, measures for expanding Independent Investigations, which have been
relatively inactive, will start in FY2016. This includes education and training ofresearchers, mainly of younger generations, along with seeking and securing financial
resources for it.

We are well aware that the definition of what is “for” society depends on the view onsocial justice. We are starting from building the fundament for developing wisdom
based on our own view and eventually share it with the general public.

2. Business plans for individual categories(1) Nonprofit Commissioned Investigations (N1)IFENG performs investigations commissioned by governmental agencies, foundations
and other organizations. The results are to be shared with the general public including
the originators.

“Commission” in this category, usually obtained through open application, may mean
either contract or funding. While a contracted investigation is carried out in accordancewith the specifications by the commissioning party defining the general framework of
the project as well as expected results, a funded investigation allows more discretion of
the applicant.

Investigation projects are financed either by the commissioning parties or foundations:3contracted investigations are compensated for principally by government agencies,
research institutions, or incorporated foundations, while funded investigations rely on
foundations for research promotion.

Activities in think tanks require a great variety of detailed leading-edge knowledge indifferent disciplines. No single organization could cover this entirely with its internal
manpower even for a project fit for its background. We adopt, therefore, aplatform-network system where our staff works on the platform for the core activities
in a project while peripheral knowledge is provided by networked teams of external
specialists. Even non-skilled works such as questionnaire counting may be outsourced
to specialized contractors on economic ground.

(2) Nonprofit Independent Investigations (N2)IFENG also performs self-financed Independent Investigations on subjects attracting
much public attention. The results are open to public. The Special Earthquake-Related
Project started in FY2011 belongs to this category. Here the process of emergence andrecognition of the social impacts of the quake was compared with that of social
response in terms of time series, in order to explore appropriate social systems
requisite for short- and mid-term response measures.

This category will see enhancement from FY2016 on: in addition to original works byour staff, a program for training young researchers will start this year, along withefforts to secure financial resources for the program.

Results of these activities will appear in our website and annual report.

4(3) Nonprofit Interactive Research (N3)Interactive Research aims at sharing the results with society and, for new problems
suggested by the results, collaborating with the general public for deepening insights
into them or finding solutions through iterative dialogues.

Activities in this category are thus characterized by involvement of the general publicin the process towards better understanding of problems by sharing research results andtasks suggested by them, along with continued dialogues, on open platforms such as
digital space, public meetings or printed publications. The “Forum” and “Insight”
sections in our website typically provide such opportunities for dialogue. While theForum is intended for discussion with the public, the Insight is the channel forpresenting IFENG’s research results as questions to society, and inviting discussions byregistered external specialists. The progress of discussions is made accessible to thepublic by timely disclosure on the website. The “Publication” section of the site
provides IFENG’s publications in the past as the basis for discussion, complemented
by public lectures and printed publications.

Following the enhancement plan started in FY2015, this category will further beexpanded to a more substantial part of the institute from FY2016 on, for example bycombination with other Nonprofit Investigation projects, along with securing financial
resources and establishing appropriate organizational measures.

(4) For-Profit Commissioned Investigations (F1)This category consists of investigations performed for a specific party, mostly businesscompanies and other organizations that order the investigations. Projects assigned
through open application may also be categorized here if the outcome is unlikely to beshared publicly.
5(5) For-Profit Independent Investigations (F2)

An example of Independent Investigations performed for specific parties is consulting
service based on IFENG’s knowledge and findings obtained in the past think tankactivities.

(6) For-Profit Interactive Research (F3)This category includes lectures, training courses and publications based on our
research results for specific target groups.

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