Production System Upgrade

「To address these circumstances, we have prioritized efforts to improve productivity through rationalization equipment and other measures, increase production efficiency by concentrating on core products, and reduce various costs. Although the period to date has limited the contribution to cost reductions, we intend to continue these initiatives.」

「With improving productivity and fulfilling its supply responsibilities as its highest priorities, the company is maintaining stable supplies in response to sales growth through reviews of production plans and staffing, capital investment in core products and the use of DX.」

「The Manufacturing Division has been forced to accept higher manufacturing costs due to increases in the cost of raw materials, including principal ingredients. It is working to improve production efficiency and fulfill its supply responsibilities by reviewing staffing and production plans, expanding equipment for core products and using DX. In September, it improved productivity by introducing automated equipment in the packaging process on the 味しらべ line, reducing staffing requirements.」

「The company plans to introduce a gas cogeneration system during the current fiscal year. Because waste heat generated during power generation can be used for heating and cooling, substantial benefits are expected during the summer, when electricity usage is tight. The system is also expected to reduce expenses and support environmental initiatives.」

「The Manufacturing Division increased production steadily as sales grew, improving productivity and containing raw-material and labor costs. It also reduced manufacturing costs through the introduction of additional automated equipment. Going forward, it will continue to introduce automated equipment to core lines in a planned manner, seek further reductions in manufacturing costs and fulfill its supply responsibilities.」

「The Manufacturing Division regards avoiding stockouts and fulfilling its supply responsibilities as a manufacturer’s greatest mission. It has reviewed staffing and production plans, expanded equipment for core products and established distribution centers, thereby solidifying business partners’ trust. As production grew steadily with higher sales, raw-material and labor costs were held broadly in line with plan, while electricity and fuel costs came in well below plan. This reduced manufacturing costs and created a virtuous cycle.」

「While raw-material, electricity and depreciation costs remained high, fuel costs declined with the benefit of subsidies, and labor costs held up well as the effects of rationalization investment emerged. Overall manufacturing costs showed a slight improvement trend. As avoiding stockouts became the Manufacturing Division’s top priority, the company established increased production capacity and built up inventory to ensure smooth distribution at key periods such as Golden Week and Obon, thereby fulfilling its supply responsibilities. It is also reinforcing core-product lines, including “田舎のおかき,” and plans to work more closely with the Sales Division to create a virtuous cycle of further production expansion.」

「The Manufacturing Division has faced cost increases in raw materials, fuel and electricity. Fuel costs have fallen steadily due to price-relief subsidies, but electricity costs continue to rise, while increases in packaging and other auxiliary materials have offset the effects of price increases for the company’s products, limiting reductions in manufacturing costs. Although labor savings from the mechanization of dough production and packaging implemented in the previous period have improved productivity, the resulting higher depreciation burden, in addition to the fixed costs associated with plant expansion, is one reason manufacturing costs remain high. The company has begun reinforcing lines for core products to avoid stockouts and is continuing its own efforts to establish increased production capacity, with fulfilling its supply responsibilities as its top priority.」

「The Manufacturing Division has been forced to keep manufacturing costs high amid continued increases in raw-material, fuel and electricity costs and the ongoing fixed-cost burden associated with plant expansion. It is therefore working to improve production efficiency through concentrated production of core products, inventory utilization and improvements to the logistics system, while bringing forward capital investment in labor-saving measures such as mechanizing dough production and packaging and replacing frying kettles and air-conditioning equipment to reduce electricity consumption.」

「The company has pursued all possible rationalization measures to improve productivity, including reducing staffing through mechanization of dough production and packaging, and cutting electricity consumption by replacing frying kettles and air-conditioning equipment.」

「The Manufacturing Division continued to focus on concentrated production centered on core products and quality stabilization to lower manufacturing costs. In line with the new plant’s operation, it advanced labor-saving investment, reduced staffing requirements and promoted workforce flexibility, while focusing on leveling production.」

「The Manufacturing Division continued to focus on concentrated production centered on core products and quality stabilization to lower manufacturing costs. It also made repeated adjustments to bring the new plant into stable operation and focused on developing new products using its new equipment.」

「To lower manufacturing costs, the Manufacturing Division continued to focus on concentrated production centered on core products and quality stabilization, while adjusting manufacturing equipment at the new plant with the aim of beginning full-scale production at an early date.」

「The company proceeded with construction of a new plant to expand production of glutinous-rice products (arare and okaki), an area of strength for the Group, and accelerate product development, as well as expansion work to relocate production from the aging Nakazawa Plant to the Nagaoka Plant. BEIKA Lab and 長岡新工場 were completed during the fiscal year and both have been operating since March.」

「While preparing to bring its new plant into operation, the Manufacturing Division advanced labor-saving measures and continued efforts to lower manufacturing costs through measures such as eliminating waste in raw materials and supplies, strengthening the logistics system, concentrated production centered on core products and quality stabilization. The newly built “BEIKA Lab” and “長岡新工場” were both undergoing preparations, including trial operations, for full-scale operation from April, and are expected to contribute to productivity improvements in the following fiscal year.」

「Although concentrated production and other measures reduced manufacturing costs and some expenses, including travel expenses, were cut, difficulties at a sales subsidiary and other factors resulted in operating profit of ¥76 million, compared with ¥5 million in the same period of the previous year. This fell short of the ¥100 million plan for the cumulative period, which reflected the change in the depreciation method for business facilities to the straight-line method.」

「The Manufacturing Division advanced cost-reduction measures, including eliminating waste in raw materials and supplies and strengthening the logistics system. It continued to focus on concentrated production centered on core products and on stabilizing quality, thereby working to lower manufacturing costs.」

「To absorb increases in the cost of raw rice, auxiliary materials and logistics, the company focused on narrowing the range of products manufactured and leveling production staffing, thereby improving production efficiency while working to further stabilize quality.」

「The Manufacturing Division worked to absorb cost increases through measures such as reducing logistics costs by reviewing loading methods. It also sought to improve productivity and lower costs by concentrating production on selected products and stabilizing quality.」

「To absorb cost increases in raw materials, supplies, logistics and other areas, the Manufacturing Division further advanced measures begun in the previous period, including narrowing the range of products manufactured and leveling staffing requirements, and focused on improving production efficiency.」

「The Manufacturing Division improved production efficiency by narrowing the range of products manufactured, while working on capital investment to automate core lines and suppress defects, ensuring stable staffing for production, and establishing a quality-assurance system. It has continued to lower manufacturing costs and build a system that ensures safety and peace of mind.」

「The Manufacturing Division worked to lower manufacturing costs by improving production efficiency through narrowing the range of products manufactured and continuing company-wide efforts to reduce defects.」

「The Manufacturing Division added an automated line for “田舎のおかき” to improve productivity.」

「The Manufacturing Division has worked to lower costs through capital investment aimed at improving productivity and to establish a quality-assurance system that ensures safety and peace of mind.」

「The Manufacturing Division worked to lower costs, including by automating production lines, while reviewing products for sale together with the Sales Division and seeking to improve production efficiency.」

「The Manufacturing Division introduced automated equipment to the assorting line to improve productivity. It also continued company-wide efforts to reduce defects and worked to lower manufacturing costs.」

「We will invest in quality-assurance facilities to meet quality standards aligned with consumers’ needs for safety and peace of mind, and install small-lot, high-mix production lines to address diverse needs.」