Excessive dependence on outsourcing partners
First written in FY2018. 4 of 7 entries say "Mitigated", first in FY2019-Q2. Latest entry: FY2022.
No other company in this theme has enough history to compare yet.
- FY2022MitigatedAnnual report
「Cost of sales decreased by ¥195 million, or 7.1%, from the previous fiscal year to ¥2,563 million, despite higher net sales, mainly because of lower personnel expenses and other factors.」
The company stated that cost of sales declined as a result of cost management, including the control of outsourcing costs, in addition to lower personnel expenses, describing the effects of measures addressing dependence on outsourcing and fixed costs. - FY2021MitigatedAnnual report
「Cost of sales decreased by ¥60 million, or 1.3%, from the previous consolidated fiscal year to ¥4,570 million, despite higher net sales, mainly because of lower outsourcing costs.」
The company specifically described the effects of measures addressing dependence on outsourcing partners and outsourcing costs through the control of outsourcing costs. - FY2020RestatedAnnual report
「We will work to stabilize earnings through appropriate outsourcing, more flexible allocation of sales and production personnel, and the optimization of fixed costs.」
The company reaffirmed its policy of addressing risks related to outsourcing and fixed costs through appropriate outsourcing and more flexible personnel allocation. - FY2020-Q2MitigatedAnnual report
「As in the previous fiscal year, the Company implemented measures including strengthening project management to eliminate loss-making projects and improve project profitability, as well as controlling outsourcing costs.」
The company reaffirmed that it is addressing dependence on outsourcing partners through measures including the control of outsourcing costs. - FY2019RestatedAnnual report
「On the other hand, excessive dependence on outsourcing partners for projects reduces our negotiating power on prices and the know-how and knowledge accumulated within the company.」
The company reaffirmed the risk that excessive dependence on outsourcing partners could reduce price negotiation power and internal knowledge. - FY2019-Q2MitigatedAnnual report
「In addition to continuing to implement the measures described above, we are pursuing initiatives to make use of internal talent and improve workforce utilization, including controlling outsourcing costs and planning and developing short-lead-time services such as the “Simplified GDPR Compliance Survey Service.”」
The company disclosed initiatives to address excessive dependence on outsourcing partners by utilizing internal personnel, improving staff utilization rates and controlling outsourcing costs. - FY2018First statedAnnual report
「On the other hand, excessive dependence on outsourcing partners for projects reduces our negotiating power on prices and the know-how and knowledge accumulated within the company.」
The company first disclosed the risks that dependence on outsourcing partners poses to price negotiation power and the accumulation of internal know-how and knowledge.