Reliance on Specific Suppliers and the Risks to Stable Procurement and Technology Leakage
First written in FY2018. 3 of 9 entries say "Worsened", first in FY2019. Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026WorsenedAnnual report
「The Group has outsourced the manufacture of some of its welding materials to ニツコー熔材工業株式会社 (Osaka) since 1980, and purchases from this company accounted for 12.7% of the Group's total merchandise purchases in the fiscal year ended March 2026. The Group has also outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 33.3% of raw-material purchases in the fiscal year ended March 2026, a high level.」
Dependence on the specified merchandise supplier increased from 12.5% to 12.7%, while dependence on the outsourced processor for blended powder increased from 32.6% to 33.3%. - FY2025Change in procurement concentrationAnnual report
「In the fiscal year ended March 2025, purchases from this company accounted for 12.5% of the Group's total merchandise purchases. The Group has outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 32.6% of raw-material purchases in the fiscal year ended March 2025, a high level.」
Dependence on the merchandise supplier increased from 11.8% to 12.5%, while dependence on the outsourced processor for blended powder decreased from 39.0% to 32.6%. - FY2024MitigatedAnnual report
「In the fiscal year ended March 2024, purchases from this company accounted for 11.8% of the Group's total merchandise purchases. The Group has outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 39.0% of raw-material purchases in the fiscal year ended March 2024, a high level.」
Dependence on the specified merchandise supplier decreased from 13.2% in the previous fiscal year to 11.8%, while dependence on the outsourced processor for blended powder decreased from 41.0% to 39.0%. - FY2023WorsenedAnnual report
「In the fiscal year ended March 2023, purchases from this company accounted for 13.2% of the Group's total merchandise purchases. The Group has outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 41.0% of raw-material purchases in the fiscal year ended March 2023, a high level.」
Dependence on the merchandise supplier increased from 13.0% to 13.2%, while dependence on the outsourced processor for blended powder increased from 39.3% to 41.0%. - FY2022Change in procurement concentrationAnnual report
「In the fiscal year ended March 2022, purchases from this company accounted for 13.0% of the Group's total merchandise purchases. The Group has outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 39.3% of raw-material purchases in the fiscal year ended March 2022, a high level.」
Dependence on the merchandise supplier decreased from 14.8% in the previous fiscal year to 13.0%, while dependence on the outsourced processor for blended powder increased from 38.5% to 39.3%. - FY2021Change in procurement concentrationAnnual report
「In the fiscal year ended March 2021, purchases from this company accounted for 14.8% of the Group's total merchandise purchases. The Group has outsourced the processing of blended powder to 昭和ＫＤＥ株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from this company accounted for 38.5% of raw-material purchases in the fiscal year ended March 2021, a high level.」
Dependence on the merchandise supplier increased from 13.5% to 14.8%, while dependence on the outsourced processor for blended powder decreased from 40.5% to 38.5%. - FY2020MitigatedAnnual report
「Purchases from the company accounted for 13.5% of total merchandise purchases in the fiscal year ended March 2020. Meanwhile, mixed powders have been processed on a contract basis by ジャンテック株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from the company accounted for the high level of 40.5% of total raw material purchases in the fiscal year ended March 2020.」
Dependence on specific suppliers stood at 13.5% for merchandise suppliers and 40.5% for the contract processor of mixed powders, both down from the previous fiscal year. - FY2019WorsenedAnnual report
「Purchases from the company accounted for 15.3% of total merchandise purchases in the fiscal year ended March 2019. Meanwhile, mixed powders have been processed on a contract basis by ジャンテック株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from the company accounted for the high level of 40.7% of total raw material purchases in the fiscal year ended March 2019.」
Dependence on merchandise suppliers declined from 16.2% in the previous fiscal year to 15.3%, while dependence on the specific contract processor for mixed powders rose from 38.3% to 40.7%. - FY2018First statedAnnual report
「Purchases from the company accounted for 16.2% of total merchandise purchases in the fiscal year ended March 2018. Meanwhile, mixed powders have been processed on a contract basis by ジャンテック株式会社 (Shinagawa-ku, Tokyo) since 1990, and purchases from the company accounted for the high level of 38.3% of total raw material purchases in the fiscal year ended March 2018.」
The company quantifies its dependence on specific business partners for procurement and identifies as risks the potential impact on performance from disruptions to stable procurement and the leakage of proprietary technologies and know-how.