Joined in 2012
Direct Channel Promotion Division
Direct Channel Promotion Section

Joined in 2016
Digital Strategy Division
Digital Strategy Section

Shota Sato

Tomoka Yamauchi

Joined in 2013
Treasury Division
Securities Section

Joined in 2015
Regional Development Promotion Division
Regional Development Promotion Section

Motoki Hosaka

Yuki Kumagai
Joined in 2016
Personnel Division
Diversity Promotion Office

Joined in 2010
Business Promotion Division
Wealth Management Office

Mao Umetsu

Azusa Uchikata

SpecialFeatureAsking the Next Generation about Their“Target Form for the Future”
Toward achieving “Vision 2030” and the future beyond

What are your views on “Vision 2030” in termsof the operations you oversee and your own
growth?
Uchikata: In addition to asset management, we take many
consultations from individual customers on matters related toadministering assets and asset succession, such as civil
trusts and testamentary trust services. I feel that listening to
the issues and thoughts not just of our customers, but also of
every member of their families and watching over the transfer
of assets between generations is an important role that wemust fulfil as a financial institution. With regard to “support
life-planning for individuals” in “Vision 2030,” I think it isimportant that we offer “total support for all generations,”
including customers’ children and grandchildren. As such, I
would like to acquire a broad range of knowledge in areas
such as tax and legal matters related to personal succession,
income, etc., and financial gerontology, which I can then use
to fulfill customers’ expectations, thereby also contributing to
my own growth.
Gunji: As the Bank faces a difficult external environment, we
will be left behind by the market if we focus on maintaining thestatus quo, and we cannot miss any opportunities to26

contribute to the development of our customers and local
communities. Under the strong message made clear in“Vision 2030,” that the Bank will “take on new challenges andleave behind the style of relying on the status quo,” I will
utilize my own experience of having been seconded to amegabank to actively and boldly take on new challenges thatwill lead to expansion in the scope of our businesses and ourcustomer base in the Tohoku region, where there is still
significant room for growth in structured finance andsyndicated loans, enabling the 77 Bank Group to act as aleader in these domains and demonstrate a strong presence.
In order to do so, I intend to take the initiative in acquiring
specialist knowledge in areas such as financial law and new
funding methods, and actively promote related businessactivities.
Umetsu: In my current department, I feel on a daily basis thatpeople lead a vast variety of different lifestyles, and face
many different issues and restrictions as they work. Under
these conditions, we must create an environment that allows
for a wider range of career paths, and implement reforms
from the dual perspective of the workplace environment andour mindset, to enable each and every employee to enjoy along career, with a sense of purpose. Regarding the target of“increase the proportion of women in management positions
to 30% or more” in “Vision 2030,” I hope we can create acompany where a diverse range of people can actively
participate regardless of gender, disabilities, age, nationality,
or other factor, so much so that we cease to use the term
“women’s active participation in the workplace,” in a goodway. As such, I intend to focus on promoting diversity andinclusion.
Sato: The “digital transformation” is one of the key factors in“Vision 2030,” and I am conscious of the fact that strengthening our services in non-face-to-face channels for both retail

Joined in 2013
Consulting Promotion Division
Structured Finance Section

Atsutomo Gunji

As we look to achieve “Vision 2030,” which was formulated based on 10-year
timeframe, through 2030, we spoke to young employees working at theforefront of our businesses about how they view their own relationship to“Vision 2030” and how they intend to make it a reality.
and corporate customers has become a pressing issue given
the acceleration in digitalization brought about by the
COVID-19 pandemic. I work in developing new channels, andI intend to focus on learning new skills on a daily basis toenable me to execute my duties with a sense of speed, amid
the dramatic rise in new entrants from companies in otherindustries and fintech companies. At the same time, I intend
to take steps to shift our points of contact with customers fromtraditional bank branches and ATMs to non-face-to-facechannels such as online banking and apps, while also
strengthening our presence not just in finance, but also in the
non-financial services sector. I will exert every effort to ensurethat I am able to contribute the growth of The 77 Bank.

Yamauchi: In order to achieve the “best mix of face-to-faceand non-face-to-face services” in our business model, as
targeted by the digital shift indicated by the “digital transformation” key factor in “Vision 2030,” I will promote reforms
across banking operations while considering measures torelease employees from the burden of administrative work by
utilizing AI, robotic process automation (RPA), and tablets. In
the digital sector, where reform and evolution move at a rapid
pace, I feel it is particularly necessary that we have flexible
ideas and futuristic ways of thinking unconstrained byconventional culture. In order to achieve the future that we aretargeting in “Vision 2030,” I would like to promote various
reforms based on digital technology, while firmly identifying
the changes and trends in systems and times that havepersisted from the Bank’s past to our present.
Hosaka: In response to the global expansion of ESG
investment and sustainable investment, new products andstrategies are being introduced in the asset management
industry on a daily basis. In relation to “ESG investment,” apriority measure in “Vision 2030,” we are focusing on areas
such as formulating methods for selecting ESG stocks andprojects that will offer a foothold for ESG investment throughinvestment trusts. I intend for “Vision 2030” to serve as myguiding compass as I contribute to the achievement of ourtarget form by acting proactively and demonstrating myplanning abilities.
Kumagai: In the Regional Development Promotion Section,
we promote regional revitalization. As one of our recent
initiatives, we held a “Regional Revitalization Business
Matching Event” where solutions from private-sector companies were offered as solutions to regional issues faced byregional public bodies. Through this initiative, I felt it is essential for the long-term sustainable growth of the Bank that werevitalize Miyagi Prefecture. While there are limits to what one
person can achieve, I am conscious on a day-to-day basis ofdeveloping my ability to analyze past events, my ability toconsider the present from a broad perspective, and my ability
to create the future, enabling me to contribute to customers
and local communities through my work, and thus helping the
Bank move closer to our target form laid out in “Vision 2030.”

THE 77 BANK INTEGRATED REPORT| 27

Round-table talk with the Next Generation
Looking toward 2040, after achieving “Vision 2030”
Theme: Contribution to regional revitalization
Kumagai: In surveys submitted after a business matching
event for regional public bodies held in February 2021, many
respondents answered that for the “next theme,” they would
like “the digital transformation (DX)” and “the stimulation of
tourism to attract nonresidents.” Matching with private-sector
companies will continue to be an important role of banks.
What are your ideas for other initiatives that will contribute toregional revitalization?

Umetsu: Thinking about it in relation to my own work, I think
the Bank must create systems that enable a diverse range ofhuman resources to participate in a flexible manner, in orderto respond to the increasingly diversified needs ofmunicipalities and private-sector companies. This does notjust mean the active participation of women; it will be
important that a diverse range of human resources - including
people with disabilities, non-Japanese, and LGBT people can enjoy a good work-life balance and participate in regional
revitalization while utilizing their strengths.
Yamauchi: That’s right. Plus, in the area where the Bank
operates, there is Sendai, which is a city designated bygovernment ordinance, but there are also many areas where
the population is falling and aging. As such, when we think
about issues related to digital devices, etc., I feel that we must
consider the unique characteristics of each area when
implementing measures to support the DX at municipalities.
On the other hand, as we look toward 2040, I think it will bevital that as employees of the Bank, we utilize the DX tocreate flexible workstyles. At the same time, we must alsoutilize digital technologies to enhance the level of our services
and improve convenience at our branches, to ensure that we
can continue to serve our customers even as the population
falls.
Sato: One feature of digital technologies is that they “are notconfined by place.” I hope that we can create services thatutilize this fact. Surely it will contribute to regional revitalization if we create an environment to ensure that in future, even
if the number of workers and bank branches falls as a resultof population decline, customers in areas where there are no
branches of the Bank nearby can access the services theyneed?
Uchikata: People in their 60s now will be in their 80s in 2040,
so I think there will be a significant increase in non-face-toface transactions using smartphones. On the other hand,28

face-to-face consulting for individual customers will still benecessary, and the value we create with that consulting will
directly contribute to customer satisfaction. For this reason, I
think it is important that we develop our operations at bankbranches to be more specialized for consulting for retailcustomers.
Hosaka: When I think about it in terms of my own work, I think
one idea is for us to carefully select stocks that contribute toregional revitalization with head offices in Sendai and theregion, and add them to our portfolio. Many investors find it
difficult to add regional companies to their portfolios owing todifficulties with visiting the companies for research, etc. On
the flip side, this means there might be some excellent
undiscovered regional companies, with share prices thathave the potential to increase in value many times over.
Surely if we make medium- to long-term investments in suchcompanies, it will contribute to regional revitalization?
Gunji: As you say, Motoki, I think there are many excellent
companies in Miyagi Prefecture. As we move toward the DX
in Miyagi, solutions to issues such as the falling population,etc., there is a possibility of an increase in companies driving
the regional economy. In addition to funding, we must
address these companies’ varied needs, such as workstylereform and asset management, and provide solutions that willcontribute to our customers’ growth.
Sato: In this age, when it is said that average lifespans willapproach 100 years, I also think that it will contribute tostimulating local communities if, as a bank, we play a key rolein building the foundations for the circulation of assets bycreating an environment where children born in Miyagi
Prefecture and the Tohoku region can feel as though theywant to live in the region for the next 100 years.

Kumagai: That’s right. As a regional bank with roots in thelocal community, it will be important that we promote
workstyle reform and the DX in Miyagi Prefecture while
continuing initiatives that contribute to invigorating ourcustomers, in order to ensure that our management remains
sustainable through 2030 and even going on to 2040. We willbe the bank of choice for those around us, and a partner thatpeople want to work with. I think this should be what we wantto achieve.

Theme: DX and ESG
Yamauchi: In the Digital Strategy Division, we are promoting
digital strategy from five perspectives: “non-face-to-facechannel reform,” “bank branch reform,” “paperwork-freereform,” “data utilization reform,” and “digital reforms for
employees.” Looking ahead to 2030 and beyond, however, I
think we must not be constrained by the existing framework ofbanking, and instead create businesses that go one stepfurther toward utilizing both finance and digital technology. As
digital banks appear that are not restricted by the regions inwhich they are located, I think that, as a regional bank with abase in Miyagi, the deepening of knowledge related to digitaltechnologies by employees of the Bank and the enhancementof our digital services, as well as the strengthening of relationships with our customers through face-to-face channels, canall act as a great source of competitive superiority. What are
your thoughts on this matter?

Sato: Personally, I am always considering our services fromthe perspective of strengthening the “non-financial” side ofour business, with the aim of throwing away the idea that “it islike this because we are a bank,” and instead becoming acompany that our customers know they can rely on when they
are unsure about things. For example, I aim to create the kindof service where if a customer is unsure what to have forlunch, they might want to check the Bank’s app for ideas. Oneof the strengths of regional banks is that we possess a richrange of information thanks to our local network ofconnections. I think there may be possibilities for new
businesses based on sharing that information.
Gunji: Certainly, if the tools that banks have for sharing
information become more popular, it might unlock various
possibilities, both in the B2B and the mass-market sectors.
Many of our customers that are SMEs, etc., rely on individuals
for skills related to finance and accounting, etc. I think it would
be good if we could create a system that can support thegrowth of these companies by matching businesses andsolving these issues with DX-related skills, thereby enabling
the companies to use their resources on the operations thatthey should be focusing on as companies.
Hosaka: I think the Bank must take steps that differentiate us
from our competitors in the realm of the DX, as different banks
are rapidly taking a more proactive stance and actively
implementing initiatives in this area. From the perspective of
an investor, the share prices of banks are trending downward
across the industry, and it appears investors are questioning
the banking business model itself. Under such circumstances,
if we can demonstrate competitive superiority centered on the
DX, I think it will become easier for investors to reevaluate theprice of our shares. For example, as the top regional bank in
Miyagi Prefecture, I think one possibility for differentiation fromother banks is for us to utilize the Bank’s information
resources and our customer base to create an integrated
platform, and focus strongly on the information-sharing
aspects. If we can give our customers the peace of mind thatthey “might find a solution by checking with The 77 Bank,” I
think it will enable us to maintain the trust of the local
community right through to 2040.
Umetsu: When promoting the DX, human resources withmore specialist skills will be necessary. In order to address
the increasingly varied needs of our customers, it is essentialthat we become a company with a diverse range of humanresources, including both generalists and specialists. On theother hand, by 2040, I think human resources will be more
fluid and the age of people working for their entire careers for
one company will be over. As such, we must continuously
make efforts to improve our appeal as a company capable ofretaining precious highly specialized human resources.
Kumagai: In the Regional Development Promotion Division,
we are promoting the use of the DX to move to paperlessprocesses, even in our dealings with municipalities, etc. In
doing so, we aim to accelerate the process of making ouroperations more efficient.
Uchikata: In my own actual experience, I found that reducing
administrative work through paperless and seal-less processes, lead to benefits such as less overtime work, as well as
higher efficiency. In the Wealth Management Office, we arestrengthening consulting operations, an area where theutilization of the DX is essential for enabling the assignmentof more manpower and labor hours.
Kumagai: Paperless processes also contribute to sustainable
development as a company by reducing our burden on theenvironment.
Gunji: As society at large shifts toward decarbonization, I
think the Bank must lead the creation of opportunities forenvironmentally friendly businesses in Miyagi Prefecture. In
order to do so, in my work, we must focus more on ESGbased financing. I think that providing funds related to ESG tocompanies in the prefecture will contribute to the spread of
ESG management.
Hosaka: From my perspective, many companies that havereceived praise for their ESG efforts are proactively disclosing
information related to ESG, such as KPI targets and thestatus of progress. People from the Tohoku region tend to bequite reserved, so I think there is an issue related to the active
sharing of information that promotes companies from an ESG
perspective, and this applies to the Bank too. In this regard, I
hope that we can communicate information about the Bank’s
initiatives and our target form through disclosure materials
such as the Integrated Report.

THE 77 BANK INTEGRATED REPORT| 29