• SMBC
  • SMBC Group

Sumitomo Mitsui Financial Group

Japanese
Text Size
S M L

SMBC Group Annual Report 2019 Special Feature:
Transformation of Business and Asset Portfolio through Group Reorganization

image image

Transformation of Business Portfolio

In accordance with the Medium-Term Management Plan, “SMBC Group Next Stage”, SMBC Group has categorized its current business portfolio into the four quadrants detailed to the right.

Based on these quadrants, we are undertaking swift reorganizations of the Group’s businesses in order to optimize our Group structure while pursuing improvements in capital and asset efficiency.

Grow Businesses with strong growth potential to which resources will be allocated as growth drivers Enhance Businesses of which we aim to increase profitability through maximizing synergies and enhancing efficiency on a group-wide basis while allocating resources in a suitable manner Build Businesses to which resources will be allocated with the aim of realizing future growth by establishing highly distinctive business models Transform Businesses that compete with banks that are only subject to domestic capital adequacy standards and whose business models will be revised
Reorganization Quadrant Timing
Merger of SMBC Nikko Securities and SMBC Friend Securities Grow January
2018
Conversion of The Japan Net Bank, into a consolidated subsidiary of Yahoo! JAPAN Transform February
2018
Change of ownership ratio of (reduction of investment in) POCKET CARD Transform March
2018
Deconsolidation of Kansai Urban Banking Corporation and THE MINATO BANK Transform March
2018
Reorganization of the Sumitomo Mitsui Financial Group and Sumitomo Corporation Joint Leasing Partnership Enhance November
2018
Merger of BTPN and Bank Sumitomo Mitsui Indonesia Grow, Build February
2019
Conversion of Sumitomo Mitsui Card Company into a Wholly Owned Subsidiary Grow April
2019
Merger of Sumitomo Mitsui Asset Management and Daiwa SB Investments Build April
2019

Merger of SMBC Nikko Securities
and SMBC Friend SecuritiesGrow

Goals of Reorganization
  • Improve customer satisfaction through increased product offering, product-related research and enhancement of sales channels
  • Enhance productivity through the optimization of sales personnel staffing
  • Streamline overlapping functions and management infrastructure to achieve cost saving synergies
Merger of SMBC Nikko Securities and SMBC Friend Securities

Reorganization of the Sumitomo Mitsui Financial Group and Sumitomo Corporation Joint Leasing PartnershipEnhance

Goals of Reorganization
  • Engage in the full-scale undertaking of new business initiatives
  • Develop of operations in the eco-business, infrastructure, healthcare, and other growth fields
  • Grow asset-based finance operations
  • Create value chains with the aim of enhancing businesses targeting clients’ commercial channels
  • Improve capital and asset efficiency
Reorganization of the Sumitomo Mitsui Financial Group and Sumitomo Corporation Joint Leasing Partnership

Conversion of Sumitomo Mitsui Card Company into a Wholly Owned SubsidiaryGrow

Goals of Reorganization
  • Develop business structure to form the core of cashless payment strategies
  • Facilitate flexible strategy formulation and swift strategy execution
  • Use management resources mutually
Conversion of Sumitomo Mitsui Card Company into a Wholly Owned Subsidiary

Merger of Sumitomo Mitsui Asset Management and Daiwa SB InvestmentsBuild

Goals of Reorganization
  • Maximize use of personnel, customer base and product lineup to expand through the merger
  • Lead the industry in areas such as product development and digitalization
  • Management that effectively controls costs, such as streamlining overlapping management bases and operations
Merger of Sumitomo Mitsui Asset Management and Daiwa SB Investments