Section 3

Basic Axes

Basic Axes

Work improvements through operation and accounting system DX

Promotion of DX

Pursuit of Customer Satisfaction through New
Dining Out Experiences, and Reform of Workstyles
DX Strategy Roadmap

In 2023, we introduced QR code payments to table orderingterminals at about 2,400 stores. In the first half of 2024, weintroduced cashiers which can switch from manned to self-service

Effects of DX promotion on service enhancement in 2023
■ Improvement through the introductionof self-service cash registers

2026

2027

2028

2025-2027 Medium-Term Management Plan1step

2029

Promotion of DX for customers and employees●Rollout of self-payment● Rollout of at-table payment● Rollout and upgrading of staff calling boards

stepMarketcapitalizationin excess of1 trillion yen■ Number of claims(Complaints per 100,000 customers)(Speed in finding tables to be cleaned (seconds))

100802030

2028-2030 Medium-Term Management Plan

Sales CAGR in excess of 7% / 300 new stores in Japan, 100 overseas / Promotion of M&A■ Improvement through introduction ofdisplay showing tables to be cleaned(Time (seconds) required for payment, per group)

10020252024

as well as a table clearing signal system, and these havecontributed to a dramatic increase in employee productivity andservice improvement.

33

Service improvement

23Improvement inwork hours

50minus

5023%

9

●

Linkage of automated seating system and reservation systems
Start of in-house point program; strengthening of CRM● Strengthening partnership with third-party delivery companies

0●2
Innovative enhancement of productivity throughout the value chain

Before introduction(through October 2023)

0After introduction(from November 2023)

Before introduction(through October 2023)

After introduction(from November 2023)

20222023●

Advancement and streamlining of store back office operations
Advancement of MDC system (acceleration of AI and floor service robot utilization)● Universalization of employee communication and strengthening of employee support●

3
step Restructuring of our global IT infrastructure●

Restructuring of backend systems for global and local use● Partnerships with overseas IT companies (acceleration of M&A andoverseas expansion)

System infrastructure with scalability and strengthening of digital marketing
step4●Resolution of social issues extending beyond the bounds ofour company, with our company used as infrastructure● Creation of new value through the use of data, engaging incollaboration with partners and in cross-industry collaboration

Initiatives for Store DX
Timely clean-up thanks to thesignals shown on Digital Menu
Books and staff calling boards

Evolution of the Skylark app

Creation of innovative services

Entry intostore

Digital Menu Books makeadditional orders easy and allow
product recommendations.
Introduced at 2,500 stores(100,000 tablets)

Ordering
Clean-up
Customers are ushered by the guidesystem, linked to the reservation system

PaymentServing

The Skylark app, which is shared by multiple Skylark Groupbrands, has garnered over 10 million registered users andgenerates approximately 10 million data records every day. In
addition to improving the precision of coupon delivery linked
with weather and temperature data, advancing measures forindividual stores, and promoting increases in sales throughthe effective utilization of store usage histories and behavior
histories, the app greatly contributes to users becoming
customers of other Group businesses as well.
In terms of feature expansion, we are integrating takeout anddelivery platforms and enabling app-based ordering in our EC
business, building a one-stop service that allows enjoymentof all services within the app through means such as crossbranded coupons. By doing so, we are working to increase
store visit frequencies and create loyal customers.
The Skylark Point Program began in May 2024. It allows us
to enhance customer loyalty, strengthen customer movement

Service through cooperation between
staff and cat-shaped floor service robots.
Introduced at 2,100 stores (3,000 robots)

DX to enhance company-wide productivity and customer satisfaction
From 2020 to 2023, we strongly promoted DX to improvecompany-wide productivity and enhance convenience forcustomers. In addition to successfully introducing 3,000 floor
service robots at approximately 2,100 stores, we renewed thePOS System at all stores and introduced at-table payment andself-checkout cash registers at approximately 2,400 stores,
thoroughly reforming operations on a company-wide scale.
Promoting DX does not mean that human-based services
will disappear. The table service restaurants we operate have47Skylark Group Integrated Report 2023

more contact points with customers than do fast-food andfast-casual restaurants. We are proposing new value for table
service restaurants by thoroughly utilizing DX for operations that
can improve efficiency and by providing services that create
added value by employees who provide them wholeheartedly.
Amid Japan’s low birthrate and aging population, we are also
ramping up DX in anticipation of future hiring difficulties, with theaim of building a society in which diverse human resources canactively participate.

Strengthening of our system infrastructure andsecurity
In addition to renewing our merchandising systems to
support the diversification of our business operations, weare also promoting a shift towards the use of cloud solutions
and open systems in our systems infrastructure, while alsoenhancing information security. We have also taken measures
to make our company-wide system infrastructure more robust
in preparation for recent cyber security threats, and haveenhanced security training for our employees.
Driving digital transformation creates value that transcends
the analog domain. We will enhance our competitivenessthrough the use of IT and digital technologies.

Assignment of DX personnel in all departments company-wide to strengthen the development of DX human resources
Following the launch of our Group-Wide DX Promotion Projectin 2022, we assigned full-time DX personnel in all departments,
identified issues faced by each department, and have been able

At-table payment and self-service cash
registers realizes payment without waiting.
Introduced at 2,400 stores

across brands, and engage in fast marketing using purchasing
data. Via our X, Facebook, Instagram, YouTube, and other social
media accounts, we also make efforts to create fans throughincreased points of contact with customers.

to implement fundamental work reforms every year. In 2023,
we achieved work improvement of 7,430 hours and saved 13.3
million yen in costs.

−−−−
FOCUS | Starting from zero knowledge to earn challenging IT qualifications and become a DX leader at Skylark −Yoshie Fujimoto (Leader, Menu System Design Team, Marketing Division)
In 2022, Yoshie Fujimoto was appointed to the position of full-time DX personnel in the Sales Division,and in 2023 obtained several challenging IT qualifications (below). System improvements she has realized
through introducing DX in our stores have greatly contributed to enhancing operational capabilitiesof the stores and have attracted wide media attention. She is active as a next-generation leader for
developing DX human resources, and hosts numerous internal DX study sessions. In 2024, she built aninternal training system where the company supports employees who acquire DX qualifications.
Cloud Digital Leader (a Google Cloud certification; beginner level)
Associate Cloud Engineer (a Google Cloud certification; intermediate level)• IT Passport (a national qualification)• Professional Data Engineer (a Google Cloud certification; advanced level)• Professional Cloud Architect•

Qualificationsacquired•Skylark Group Integrated Report 202348