At NIPSEA Group, our emphasis on innovation lies deep in our core and is a central philosophy that has led us to become a global leader in the paints and coating industry. Our zeal for innovation has also allowed us to be flexible and agile, contributing to business continuity especially during the pandemic. It gives us great joy to see how our success and growth as a business is closely linked to our ability to think out-of-the-box to develop solutions that set us apart in the industry. Based on the theme of innovation, this newsletter will provide a glimpse of how innovation has changed our business outlook. This includes incorporating cutting edge technology into our processes to pave the way for a sustainable future and creating solutions that meet the needs of customers. At the same time, we will share how we maintain the balance of the environment and refresh our internal operations to serve all our stakeholders effectively. In this edition of the newsletter, we will also shed light on how various markets across the region are constantly innovating through their ideas, processes and solutions to be movers and shakers in their own markets and how this has positively impacted the overall business. Part of our innovation efforts is how we shape our people's philosophies and create more conversations around Diversity, Equity and Inclusion (DEI). As such, this edition will also highlights thoughts from our women engineers, in conjunction with International Women Engineering Day. They will talk about how innovation and passion go beyond gender roles and how women in the workplace are carving a spot for more empathetic leadership. We hope that through the stories curated in this edition, you have better insights into the innovation and technology practice at NIPSEA Group and that this motivates you to bring the spark of innovation to all that you do. Enjoy! #HelloNIPSEA WELCOME NOTE HELLO NIPSEA GROUP! Newsletter Issue 03 July 2022The multiverse that we live in today is encrusted by several layers of changing trends, evolving consumer needs, newer technologies and environmental requirements. This means that work is no longer about executing a certain project or task, but about out-of–the-box thinking that constantly involves identifying new opportunities and building projects that are more cohesive in nature. For example, working on a product that solves an everyday energy problem but also embodies green technology. Therein lies the power of innovation. Innovation, which has become one of the key pillars supporting business growth in today’s dynamic work landscape, allows for a seamless transition from good to great, and imagination to reality. Innovation also perfectly captures the spirit of NIPSEA Group where we are always seeking new challenges and providing the very best of coating solutions that meet the needs of our stakeholders across multiple industries including marine, automobile, infrastructure, construction, home deco and much more. Leveraging our technical capabilities while ensuring that we are being environmentally responsible has become a key driver of the innovative practice within the NIPSEA Group. This has allowed us to deliver innovative solutions for our customers and maximise shareholder value, contributing to NIPSEA Group becoming a leader in the paint and coatings industry in Asia Pacific. This recognition comes at the back of our technology and innovation which plays a vital role in shaping the growth of our business. In fact, at NIPSEA, we like to think of ourselves as a technology driven business and this mindset has allowed us to differentiate our core services into impactful solutions. Our innovation directions are to develop environmental friendly, energy efficient and economically viable paint products. This includes low VOC (volatile organic compounds ） coatings, waterborne, powder coating, bio-based products, and low temperature curing technology that are all currently applicable for the industrial arm of the business. For example, we have low temperature curing at 130 O C ACECRON 130TF for e-coat and 140 O C curing NPD ACE LT&ULT for our powder coating system, which will help customers save baking energy thus to reduce carbon emission when applying. Our R&D team, in recent times have also developed products like FASTAR and AQUATERRAS for our marine segment that act as next generation antifouling solutions with a focus on marine environmental sustainability. Customer centric mindset is one of the key pillars of our culture in technology organisation. Responding to urgent customer needs forms an important part for our technology teams. This has led to paint formulations that are anti-viral and anti-microbial in nature, protecting the health and wellbeing of our customer and their families, especially during the pandemic. The innovation practice at NIPSEA also looks at mega trends such as C.A.S.E. (Connectivity, Autonomous driving, Shared services, Electrification), sustainability and carbon neutrality that are likely to change people's expectations in the next decades to come. We are currently exploring new technologies such as innovative composite coating solutions for lightweight electrical cars, aerial vehicles, drones and high-speed trains, coating solutions for better indoor air quality and more bio-based renewable materials that will help move our sustainability efforts forward. Of course, these successes have only been possible through the collaborative, passionate, curious and innovative culture that we operate in. As this issue of the newsletter sheds more light on some of our exceptional innovative projects, I hope that these stories inspire us to keep moving forward to not only expand our product development capabilities, but also address societal challenges, especially in line with our sustainability and carbon neutral goals. As visionary Steve Jobs once said, innovation is the ability to see change as an opportunity, let’s march forward into the second half of the year with an open and creative mindset. As always, we remain #InspiredByYou. FOREWORD BY DR HONG Dr. Jiang Hong, Chief Technology Officer NIPSEA GroupLEADING THE WAY IN INNOVATION WITH A FOCUS ON GREEN TECHNOLOGY Being a market leader when it comes to decorative painting and coating solutions, at NIPSEA we are now focused on continuing to grow our portfolio for more industrial use. This includes taking into consideration sectors such as automotive, OEM, and marine to name a few. As we venture forward, it is imperative that our business, technology and innovation grow side by side. As such, we are driving more resources than ever into our research and development and innovation practices to ensure that we are able to deliver solutions to our customers that are reflective of three Es – environment, energy and economical. To this effect, we currently have about 50 new technology platforms and more than 2000 technology programmes and development projects in place at NIPSEA. This comes at the back of our two key pillars that shape the outlook for research and innovation at NIPSEA – Frontier Technology and NIPSEA Venture Capital. The combined focus of both these pillars is to address customer needs in emerging areas and identify emerging technology trends and start-ups that are building the same, respectively. While innovation is a key focus area for NIPSEA as we identify new opportunities for business growth, aligning the same with our sustainability and ESG goals with a bigger reliance on green technology forms a critical foundation that will shape much of the organisation's research in the years to come. Here are some recent highlights from readily available solutions to nascent technologies that the Group’s R&D and innovation teams have embarked on.Another huge area of development and growth for the NIPSEA Group is the development of coating materials that are environmentally responsible. For example, the coating paints that we use for cars, will eventually degrade and release polymers in the environment. This happens due to heavy metals used in the paint formulation. With this in mind, we have eliminated heavy metals from the paint manufacturing process Environmental / bio-friendly coating materials Taking into account the high curing temperatures that are needed for solvent based coating solutions, NIPSEA group has been experimenting with powder coating and coating solutions with low VOCs that are in effect energy saving and cause less pollution while reducing curing temperatures to 140 0 C. In fact for our automotive OEM business, we have curing programs operating as low as 80 0 C to 90 0 C. We are also working to develop coating solutions for general industrial businesses that will have a curing temperature of only 130 0 C which will be the first of its kind technology to be launched globally. Low curing temperatures for coatings We are seeing a rapid shift to clean energy and electricity for several principal activities that initially relied on conventional sources of energy. As we move towards a more electric future, it is important to have technology in place that enables this shift. Being a market leader in the automotive sector, autonomous cars or self-driving cars will find a major place in the transport sector. To support this, at NIPSEA we are already looking at solutions like energy saving lightweight materials, perception technology for colour recognition for self-driving cars etc. that will help to enable the same. Technology to support an electric future Conventionally, in car painting workshops, we are used to seeing robotic arms that spray paints on the car. This method of spray painting often leads to 30% wastage of product. To combat this paint wastage and in a bid to be more sustainable with product usage, we are developing an inkjet technology for painting cars. The inkjet technology functions in a similar manner to that of printing on paper and allows us to reduce almost 100% paint wastage while also being more economical for our customers. Shift to inkjet technology for car coatings and launched a coil coating that has a chrome free primer and is more sustainable in nature. We are also working on several coating projects experimenting with bio-based materials, especially for our marine segment. This allows us to have a ready offering for our customers whenever they need access to cutting edge products or technologies. As we contemplate the future of the workplace, it is evident that digitalisation will have a big impact on the way we live and work. While digitalisation has proven to increase efficiency and productivity, it is also a game changer when it comes to sustainability. The inclusion of digital technologies such as Artificial intelligence and Big Data makes the possibility of virtual labs real. This means that experiments and product design can be conducted with minimal wastage and cross collaborations. Digitalisation also provides impetus to hybrid working models that are sustainable and more productive. As an organisation, we are therefore innovating and making steadfast investments in our digital infrastructure as we gear up for the future of work. Digitalisation as way to reduce our carbon footprintVOICES ACROSS NIPSEA Keeping customer centricity at the core, Nippon Paint Myanmar expanded its paint and coatings range through solutions such as Nippon Paint ATOM 2-in-1, Max, SUMOLAC and Weatherbond. Nippon Paint’s brand pillar, Customer Focus, kept the team focused on the needs and wants of their customers which resulted in them giving customers solutions they required, despite facing multiple challenges. The market hopes to keep innovating to develop a Mingalar par gold paint, 2 in 1 economical range of putty-clay as well as become Myanmar’s Number 1 paint and coatings brand. Developing winning formulae in Myanmar through team work and an innovative mindset In India, painters are an important catalyst to bring Nippon Paint’s colours to the homes of their customers. To recognise their contribution to the success of the brand, team leaders visited the homes of their skilled painters on International Labour Day. During this meet, they connected with the painters and heard their feedback to improve the overall quality of their products and services. The team visited the homes of over 56 painters, not only expressing their gratitude but also understanding experiences on ground to add more value to the business performance. Incorporating innovative rapport building practices across India’s supply chain Amidst Malaysia’s architecturally diverse urban landscape lie vandalised bus stops, signboards and parking machines that pose a safety risk to the public. In light of this, Nippon Paint Malaysia launched its Hydro Anti-Stick Paint. This product combines aggregates, anti stick additives (silicones) and paint that increase surface roughness, reduces contact angle and has a low surface energy of coating. The Hydro Anti-Stick Paint also makes it challenging for posters and stickers to be applied to the surface, making it a great product to protect surfaces from further vandalisation, while beautifying landscapes and reducing safety risks. Putting an end to vandalism among Malaysian communities Nippon Paint Vietnam collaborated with influencers KTS Tùng Râu and Bánh Quy, to provide awareness on Trend Beyond Colours 2022-2023, making the market the first in the industry to actively work with influencers. Showcasing how colours can bring about interaction with spatial designs and other aspects of life, the market provided the influencers with Trend Beyond Colours 2022-2023 public relations (PR) packages, to let them create their own content. This not only reached the market’s target audience but also created an opportunity for Nippon Paint Vietnam to learn how future colour trends can be improved. Collaborating with industry advocates to captivate customers in VietnamNippon Paint Vietnam introduced its 3T Policy which meant employees would isolate themselves and work, eat and sleep at its factory, following the Government’s COVID-19 lockdown orders. This was done to ensure the market could products. Putting the wellbeing of the employees at utmost importance, the market provided its employees in isolation with financial aid, food, drinks, proper bedding and even team building activities. This strategy not only showcased Nippon Paint Vietnam’s dedication to work hard and smart, but also led to the market’s overall sustainable growth. Relooking Vietnam’s work system to ensure continuous innovation and production Careful analysis showcased that there was a need for a clear topcoat which could be used by both the local market and industry players. Seeing this, the Automotive Refinish (AR) team from Nippon Paint Malaysia introduced its new Nippon AR Topcoat Clear solution, NP 9700 2:1 High Solid (HS) 2K Clear. Based on its great price and superior finishing appearance, NP 9700 Clear has become a market favourite, further strengthening Nippon Paint Malaysia as the customers’ first choice. The market stands firm that NIPSEA Group’s Lean For Growth and focus on customer centricity made it possible for the development of the groundbreaking solution. Developing innovative solutions in Malaysia to strengthen market position Nippon Paint Myanmar brought together the bright minds of its employees to develop new products and strengthen its position in the market with expanded sales channels and centers, across the country. This was done through sharing sessions to come up with ideas on how to improve its products and solutions. The organisation tapped into Myanmar’s diversity by bringing together employees from diverse backgrounds, cultures and customs to gain varied perspectives in light of the bigger goal - addressing the needs of its customers. Finding strength in diversity to provide the best for customers in Myanmar Embracing digitalisation, Turkey’s Filli Boya launched its ‘Filli Boya Colour Expert Chatbot’ to provide answers to customers’ frequently asked questions. The artificial intelligence (AI) supported platform is a chatbox that helps with customers’ colour decisions, allowing them to be inspired and supported anytime and anywhere. Developed by a key team of a colour expert, an AI supported robot, a marketing team member and an IT team, the chatbox has been able to strengthen the market’s position in colour leadership and be involved in an approximately 150k interactions with enthusiastic customers. Bringing dream homes to life through a colour expert chatbox in TurkeyINNOVATION AND INSPIRATION: FROM THE DESKS OF NIPSEA Intensive marketing training sessions propelled Nisakorn Tulayakawong to start something new - a refreshed approach to customer communication. Believing that opportunities lie among obstacles, Nisakorn knew that the challenge to sell Nippon Paint’s coatings and solutions to customers was an open door to do more. Today, she trains and conducts workshops for her sales team to build their product and industry confidence, strengthening the market’s position as an industry expert. She also directly trains her customers. She emphasises that customer communication is not about matching the products key features to the customers pain points. It is about recommending the right solutions to them. She hopes to continue to develop her knowledge to raise the bar of how one can sell products and solutions through a customer-centric approach. Nguyen Trong Duc worked with his team to innovate Nippon Paint Vietnam’s processes to help the market cope with change. This was carried out through five main approaches namely product innovation, a specified task force, elevated sales skills, improved marketing methods as well as enhanced technical capabilities. Innovation in these areas were done by upgrading current products and developing new products, building a specified team to work with developers and architects and sending technical service staff to support various members of the supply chain. He also gave product packaging attractive new looks and trained clients on how they can upgrade their products and application techniques. These ultimately led to confident decision-making by stakeholders and customers in Nippon Paint products. Nguyen Trong Duc states that the market’s success was only made possible through effective leadership, continuous internal communication and phased rollouts when implementing new technologies Identifying the urgency to provide all stakeholders with seam- less communication, Khor Wen Jie was able to successfully lead the way for a digital business solution called CONNECT, in Nippon Paint Malaysia. Moving towards the digital era, or- ganisations will need to provide their stakeholders with accu- rate data and information on how the organisation is making a difference and addressing their needs. CONNECT covers 15 entities with more than 7,000 users, allows team members to work efficiently, maximise cost saving and learn how to achieve optimum results. Through CON- NECT, employees can perform tasks such as plan schedules, log visits, apply for leave and even market products and solu- tions to customers. Amidst the challenge of having to get each team member onboard with the idea of digitalisation, Wen Jie is certain that CONNECT is the starting point for the market to be ahead of other industry key players. Nisakorn Tulayakawong’s creative communication methods to solve customers’ pain points Nguyen Trong Duc’s determination to drive sustainable growth across the market Khor Wen Jie’s leadership in creating a cohesive digital ecosystem“There’s a way to do it better. Find it.“ Living up to Thomas A. Edison’s motto, Jana Paslerova from Nippon Paint Europe, sees innovation in her everyday work. Through practices like frequent team sharing sessions, being transparent and open, Jana and her team were able to discover opportunities for cost saving improvement and process adjustments. She breaks down how one can see innovation in their everyday life, into six steps: 1. Surround yourself with inspiration - Whenever you see something that captures your attention, put it on display 2. Get a buddy - Innovation rarely happens in a vacuum 3. Fuel up on creativity 4. Pick up small projects 5. Ask yourself: ”What would my hero do?” 6. Enjoy any step you’ve done - Achieving goals is energising but we also learn from our mistakes With this, her team was able to achieve stable production, passing ISO9001 and customers´ audits. She is certain that new projects will be in store and looks forwards as to what is to come. Jana Paslerova’s practice of noticing innovation in the everyday tasks Thu Yain Tun’s drive to stay true to NIPSEA Group’s Lean for Growth (LFG) Values to go up the career ladder at NIPSEA Group From his humble beginnings as a Sales Executive in the retail segment, Thu Yain Tun from Nippon Paint Myanmar incorporated NIPSEA Group’s Lean for Growth (LFG) Values to drive impact and develop solutions, making the market one of the domi- nant players in the paint and coatings industry. Today, Thu Yain Tun is one of the leaders in Business Development and has had the opportunity to be involved in product developments such as Weatherbond Gloss. He states that NIPSEA Group’s Lean for Growth (LFG) Values helped him constantly think out of the box to maintain team synergy and lead the market to high market shares. He also believes that frequent discussion meetings have inspired him to gain knowledge and think of methods to innovate what the market currently has as well as broaden his horizons in his career here with NIPSEA Group.Léa Zivacco Continuous Improvement Process Team Member, France “Having entered the industry as a general engineer has given me the privilege to have knowledge on various aspects of the industry and the ability to provide solutions to my colleagues from different departments. Ever since my first day here at Nippon Paint Paint Automotive Coatings (France), I have been able to sharpen my engineering skills through rigorous training and supportive superiors. Today, I lead the Springtime 2 project. The aim of the project is to transfer all the CELEBRATING THE POWER OF WOMEN ENGINEERS ACROSS NIPSEA On 23rd June, we celebrate Women in Engineering Day – a day where we celebrate our strong female STEM experts in hopes to raise awareness about the importance of women in STEM fields and to encourage other young women to follow their passion of building a career in STEM. As an organisation that places untold emphasis on Diversity, Equality, and Inclusion, we are happy to bring to you with this newsletter’s edition, thoughts from women engineers across NIPSEA Group who are breaking stereotypes and boldly tackling challenges as equals with their peers. solvent product from the French factory to our German factory. Through this project, I have been able to interact with all branches of society and incorporate my engineering background in my work duties.” I am so glad to be able to be a woman engineer here at Nippon Paint Paint Automotive Coatings (France) as the organisation's mission to have employees of diverse backgrounds helps create an environment of intellectual stimulation, thus promoting innovation. As our French Prime Minister said in her inauguration speech, “Go after your dreams!”, I would like to encourage the little girls out there to do the same. I hope to be a role-model to them and give them the desire to be an engineer one day too.” Savita Sandip Ghadge Assistant Manager (Coil Coating), Research and Development, India “My engineering skills have set me up for success and to go up the career ladder. It has helped me in areas such as problem solving, decision making, teamwork and effective communication between team members. No doubt, having a full time career is no easy task as I also have to ensure my family is well taken care of and my team members are performing their daily tasks well. Being a women engineer here in Nippon Paint India has shown me that caring organisations exist as the organisation is always looking for methods to improve our skills through approaches such as training. My career as a women engineer here has not only been enriching but has pushed me out of my comfort zone to develop a high scratch and more flexible top coat for washing machine cabinets. This has ultimately helped with the market's revenue and meet the needs of customers. I truly believe that If we want scientists and engineers in the future, we should be cultivating the girls as much as the boys. I hope to see many more women engineers in the industry in the future“ Next >