Careers at NEC
NEC’s mission is to leverage the power of innovation to realize an information society friendly to humans and the earth.
NEC Corporation is a diversified conglomerate whose main focus is technology products and services. The company operates five reportable business segments:
- Public Business – Social solutions for government agencies and other public institutions.
- Enterprise Business – Retail, manufacturing, and logistics solutions for the private sector.
- Telecom Carrier Business – Network implementation equipment, network control platform systems, and network operating services for telecom carriers.
- System Platform Business – Platform products for business, ranging from terminals to service platforms.
- Other – Mobile phones, lighting equipment, smart energy products, and other products.
Kunihiko Iwadare’s early career had several achievements. After graduating from Kobu University in Japan and doing a stint at the government’s Ministry of Engineering, he moved to the U.S. for a job at Edison Machine Works. In this capacity, he became one of the few Japanese engineers to have worked with Thomas Edison, inventor of the light bulb. Iwadare returned to Japan with a strong desire to develop its electrical industry. He began employment as the first Chief Engineer of Osaka Dento, an electric power firm. Eight years later, he became a sales agent for Western Electric Japan.
In 1895 Western Electric expressed its desire to grow its telephone eqiupment sales division in the country, and asked Iwadare about his interest in a limited partnership. Iwadare agreed with the proposal and the partnership was established in 1898. In 1899 it was transformed into a joint stock company called Nippon Electric Co. (NEC), making it the first foreign-capital enterprise in the nation.
Iwadare was named NEC’s president. The firm’s slogan was“Better Products, Better Service“, which reflected its goal of providing high-quality products and reliable follow-up service for customers. This was important because follow-up service was not yet a common practice among companies in Japan. NEC went public in 1900, and grew primarily through contracts with the government.
The next several decades saw some major milestones. In 1930 NEC built its own radio transmitter. In 1953 it established a subsidiary for consumer appliances. In 1954 it entered the computer market, and in 1960 it began working on integrated circuits. That decade it expanded more aggressively into the peripheral electronics field. The firm had become truly diversified. In 1983 it officially changed its name to NEC Corporation. By 1984, NEC had sold over a million PCs in Japan. By 1990, it controlled 56% of the Japanese computer market and was a top five PC manufacturer in the U.S.
Business model of NEC
NEC has a mass market business model, with no significant differentiation between customers. The company’s customer base primarily includes private corporations, telecom carriers, governments, and other public institutions.
NEC offers two primary value propositions: innovation and brand/status.
The company has always placed a strong emphasis on innovation. It states that one of its main purposes is to create the platform technology needed to respond to complex challenges involved in social infrastructure. It is an active supporter of global open innovation, which is why it introduced NEC Laboratories Singapore. The initiative promotes collaboration with partners and customers.
The company has developed a strong brand as a result of its success. This is reflected by the many honors it has received. Specific forms of recognition include selection as the #3 Enterprise Telephony Equipment provider in the world by Gartner, selection as a “Top 100 Global Innovator” by Thomson Reuters, a ranking in the Global 500 (Fortune magazine), and a ranking in the FTSE Good Global Index for the 13th consecutive year in 2014.
NEC’s main channel is its direct sales team, whose members operate from 64 branch offices and sites. The company promotes its offerings through its website, social media pages, and attendance at in-person events such as conferences and exhibitions.
NEC’s customer relationship is primarily of a self-service nature. Customers utilize its products and services while having limited interaction with employees. The company’s website has several self-help resources, including white papers, case studies, software and driver downloads, and answers to frequently asked questions. That said, there is a personal assistance element in the form of phone and e-mail support.
NEC’s business model entails designing, developing, and manufacturing its products. The company relies on third-party suppliers for the parts for many of its solutions.
NEC maintains the following key partnerships:
Channel Partners – NEC works with resellers, distributors, and authorized solution integrators to get its products to their customers. Specific programs include NEC UNIVERGE Partners, the NEC ExpressPartner Program, and NEC Channel Partner Advantage.
Industry Consultants – NEC provides information and resources to assist consultants who have clients that use its products and services.
Industry Standards Group – NEC maintains relationships with a number of technology industry groups. These include Green Grid and the Storage Networking Industry Association.
Marketplace Alliances – NEC works with marketplace innovators and leaders who utilize its portfolio of Nblock professional and converged technology services. Its most prominent alliance is with Iron Mountain, Inc.
Strategic Alliances – NEC maintains relationships with a number of top technology firms in which they partner on the development of certain solutions. These partners include Cisco, Dell, IBM, Intel, Microsoft, Oracle, Red Hat, SAP, Stratus, and VMware.
NEC’s main resource is its staff of engineering employees who work to design and develop its innovations. The company’s key physical resource is its group of nine research laboratories throughout the world that employ 1,000 researchers. NEC places a high priority on its intellectual property, and as of March 2015 it owned 65,000 patents, including 22,000 patents in Japan.
NEC has a value-driven structure, aiming to provide a premium proposition through high-quality products and service. Its biggest cost driver is cost of sales, a variable expense. Other major drivers are in the areas of selling/administration and research and development.
NEC has one revenue stream: the revenues it generates from the sale of its products and services. No information was found regarding its pricing, as sales personnel must be contacted directly.
info: Takashi earned a B.S. in Engineering at Kyoto University. He has spent his entire career at NEC. He started out as an Executive General Manager, eventually advancing to Senior Executive Vice President, Chief Information Officer, and Chief Strategy Officer.
info: Nobuhiro earned a doctoral degree in Engineering at theTokyo Institute of Technology. He previously served as Senior Vice President of NEC Technologies India and Executive Vice President of NEC.
info: Takaaki has spent most of his career at NEC. He previously served as Director and Executive VP of NEC Solution Innovators and Associate Senior Vice President and Senior VP of NEC Corporation.
info: Isamu has been at NEC since 1981. He previously served as General Manager of its Corporate Controller Division and its Finance Reporting Division. He also acted as a Corporate Auditor of NEC Display Solutions.
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