Improving Productivity and Optimizing Costs

「In addition, we introduced a new core system to implement our future digital strategy more effectively and promptly and to improve productivity in routine operations.」

「We also continued our digital transformation initiatives and worked to contain growth in selling, general and administrative expenses by streamlining headquarters through multi-skilled staffing.」

「This was primarily due to ¥71.348 million in expenditures for the acquisition of tangible fixed assets related to store renovations and other projects, and ¥209.297 million in expenditures for the acquisition of intangible fixed assets related to the replacement of the core system and other projects.」

「The company identified the following 3 major initiatives: ① deepening understanding of the brand and communicating it, ② transitioning to a knowledge-intensive organization, and ③ expanding sales channels and products, or customer touchpoints. To this end, it will create the “unico Brand Book” as a tool for communicating the brand internally and externally. It will also launch social gifting initiatives and a strategy for high-value customers as new customer touchpoints. In the second half of the fiscal year, it will further improve efficiency and productivity by replacing its core system.」

「The company identified the following 3 major initiatives: ① strengthening the brand's identity and embedding the brand internally and externally, ② transitioning to a lean yet highly capable organization, and ③ expanding new channels following physical stores and e-commerce stores.」

「As part of its operational improvements, the company advanced the efficiency of head-office operations through system development initiated in the previous fiscal year. It also opened a call center to handle customer inquiries and worked to secure sufficient customer-service time at stores and optimize staffing.」

「As part of its operational improvements, the company advanced the efficiency of head-office operations through system development initiated in the previous fiscal year. It also opened a call center to handle customer inquiries and advanced the efficiency of store operations.」

「At the head office, the company also sought to improve operational efficiency and accuracy through the development of a product database management system.」

「At the head office, the company also sought to reduce labor requirements and improve operational accuracy by introducing a product database management system.」

「As part of its operational improvements, the company advanced the efficiency of head-office operations through system development initiated in the previous fiscal year. It also reviewed logistics workflows and advanced efficiency improvements through system development with the support of external consultants.」

「As part of its operational improvement efforts, the company reviewed workflows with a consulting firm and calculated the reduction in work hours resulting from digital transformation. Going forward, it will promote digital transformation while considering cost-effectiveness.」

「Although delivery costs increased following a price increase, the company was able to contain overall costs through lower rent and other occupancy expenses resulting from temporary store closures and reduced transportation expenses from using web conferences.」

「Advertising costs were also held down through a review of the e-commerce advertising strategy. Although delivery costs increased following a price increase in October 2019, the company was able to contain overall costs.」

「Selling expenses were reduced through more efficient online advertising, including a review of the advertising strategy for the e-commerce site.」

「The amount recognized as a provision for points declined following a change in the rate at which house-card points were awarded from the current period, while reductions in various selling expenses also progressed.」

「The company has worked to reduce selling, general and administrative expenses and create a more efficient organization by reviewing operations in each department, resetting appropriate staffing levels through labor-saving measures, and implementing productivity improvement projects.」

「Company-wide cost-cutting efforts, including improved operating efficiency and a review of expenses, progressed and resulted in year-on-year profit growth.」

「In addition to the aforementioned factors behind revenue growth, the sharp appreciation of the yen during the period and early results from cost-cutting efforts launched during the current period resulted in year-on-year profit growth.」

「Accordingly, our group will comprehensively review the costs that have increased with its expansion, improve productivity by reviewing business operations across both stores and headquarters, and seek to optimize costs.」