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| Activities by METI |
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| IT Solution Square Project (ITSSP) |
| IT Investment Promotion Tax Incentive |
| IT Investment-effect Analysis and Investment Model |
| Enhancement of CIO Function |
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| IT Solution Square Project (ITSSP) |
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| In order to strengthen the competitiveness of private companies through promotion of strategic IT investment, METI, in cooperation with the Information-technology Promotion Agency (IPA), has been promoting the IT Solution Square Project (ITSSP) since 1999. The purpose of the project is to support strategic IT investment decision-making by CSO (Chief Strategic Officers), who are in charge of strategic IT investment in a company. |
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| IT Investment Promotion Tax Incentive |
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| Under the IT Investment Promotion Tax incentive, all companies (those that file blue tax returns) are allowed to receive either a tax deduction of 10% of amounts invested in IT for the company's own use, or an accredited depreciation of 50% for assets acquired as IT investment. |
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| IT Investment-effect Analysis and Investment Model |
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| Under the IT Investment Promotion Tax incentive, all companies (those that file blue tax returns) are allowed to receive either a tax deduction of 10% of amounts invested in IT for the company's own use, or an accredited depreciation of 50% for assets acquired as IT investment. |
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(1) IT investment-effect analysis for private companies |
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| METI conducts a data analysis to ascertain the relationship between IT investment and productivity of each model company, linking data from the Survey on ICT Workplaces and the Basic Survey of Japanese Business Structure and Activities. |
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(2) IT investment and IT investment evaluation models |
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| In order to promote strategic IT investment by private companies, METI presents models for reorganization through IT investment and for IT investment evaluation, by gathering and analyzing some cases of private companies which succeeded in strengthening their business competitiveness with strategic IT investment. |
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| Enhancement of CIO Function |
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| IT investment cannot be done without balancing the 3 factors, which are business strategy, organizational reform, and management reform. However, most Japanese businesses are still at the level of “partial optimization” and not being able to integrate the 3 necessary factors. In order to move from “partial optimization” stage to the stage of “overall optimization,” where totalized management strategy and IT investment takes place, the function of CIO (Chief Information Officer) is necessary. CIO is expected to integrate management strategy with IT investment. METI is working on enhancing the function of CIO to reinforce the business competitiveness through IT investment. |
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Best Practice Roundtable on CIO Function and Implementation |
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METI has held “Best Practice Roundtable on CIO Function and Implementation” from November 2004 to June 2005, and the results of the roundtable have been summarized as a form of a report.
In the report of the roundtable, quality and quantity of the current Japanese IT investment is investigated. And in the report, prior examples of CIO functions are introduced, and from those examples, 7 CIO functions required for IT investments to transform from “partial optimization ”to“overall optimization ” and 20 action principles to be undertaken by CIO are proposed. |
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LINK >> 
