Difficulty Securing Outsourcing Providers and Rising Outsourcing Costs
First written in FY2021. 1 of 3 entries say "Mitigated", first in FY2024. Latest entry: FY2026.
The whole theme swung hardest in 2026: 14 of 57 companies on the "Worse" side.
81 other companies' latest entry also says "Restated".
- FY2026RestatedAnnual report
「If increases in outsourcing unit prices, personnel shortages, deterioration in the financial condition of outsourcing vendors, contract violations, quality deficiencies, delivery delays, information leaks, or legal and labor-management issues arise, this may affect the Company’s ability to maintain its development and production structure, service quality, reputation and the performance of the Group.」
The Company continues to recognize risks relating to external outsourcing vendors, covering not only unit prices and personnel shortages but also quality, delivery schedules, information leaks, and legal and labor-management matters. - FY2024MitigatedAnnual report
「In the contracted development business of the Group’s IT solutions business, the Company is pursuing greater in-house development while outsourcing certain operations to vendors in order to secure production capacity and improve efficiency, and is working to secure high-quality contractors broadly in Japan and overseas.」
The Company explicitly states that it is working to secure a broad base of high-quality outsourcing vendors in Japan and overseas while advancing in-house production. - FY2021First statedAnnual report
「If, for any reason, including rising subcontracting and outsourcing costs, the Company is unable to secure sufficient outsourcing vendors for the volume of work required to operate its business, this may affect the performance of the Group.」
Despite advancing in-house production, the Company identifies shortages of outsourcing vendors and rising costs as risks to securing production capacity.