High Fixed Costs and Dependence on Individual Skills
First written in FY2016. 16 of 21 entries say "Restated". Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026MitigatedAnnual report
「In its new medium-term management plan, "Vision2029," our Group has set out a shift to high-value-added businesses and accelerated growth in new businesses. To achieve this, we will build on the human capital foundation developed to date and position the advancement of human capital management as a key management theme. Specifically, we will promote our personnel strategy around three pillars: developing professionals capable of driving business transformation, developing next-generation leaders, and autonomous career development.」
The response to personnel dependence risk has been specified as the advancement of human capital management under Vision2029, with three pillars: developing business transformation professionals, developing next-generation leaders, and autonomous career development. - FY2024MitigatedAnnual report
「Our Group is further strengthening its efforts in human capital management to maximize the value of its personnel. Specifically, we have formulated a personnel strategy based on the core concept of "reforming the organizational culture through autonomous career development and dialogue," and are working to transform personnel management through the two complementary pillars of talent development and organizational development.」
The response to the risk of dependence on personnel has been further specified as human capital management, talent and organizational development, and transformation of personnel management. Targets have also been disclosed, including a 34% ratio of female employees, a 20% ratio of women in management, a paid leave utilization rate of at least 80%, and a 100% rate of male employees taking childcare leave. - FY2023MitigatedAnnual report
「Our Group is further strengthening its efforts in human capital management to maximize the value of its personnel. Specifically, we have formulated a personnel strategy based on the core concept of "reforming the organizational culture through autonomous career development and dialogue," and are working to transform personnel management through the two complementary pillars of talent development and organizational development.」
Measures to address the risk of dependence on personnel have been specified as human capital management, talent and organizational development, and transformation of personnel management. - FY2023-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that management recognizes could materially affect the financial position, operating results and cash flows of the consolidated companies, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the key risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2023-Q2RestatedAnnual report
「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that management recognizes could materially affect the financial position, operating results and cash flows of the consolidated companies, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2022-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high fixed costs and break-even points or dependence on individual skills. - FY2022-Q2RestatedAnnual report
「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2022-Q1RestatedAnnual report
「During the first quarter of the current consolidated cumulative period, there were no occurrences of matters that could materially affect investors’ investment decisions among the matters relating to the business and financial position described in this quarterly report, nor were there any material changes to the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2020-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2019ReframedAnnual report
「Our Group's business is also heavily dependent on personnel, making the recruitment and development of highly capable personnel with strong expertise and high added value an extremely important issue.」
The focus has shifted from the previous description of high labor distribution ratios and structural dependence on individual skills to the risks related to recruiting and developing specialist personnel and personnel outflows. - FY2019-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2019-Q2RestatedAnnual report
「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2019-Q1RestatedAnnual report
「During the first quarter of the current consolidated cumulative period, there were no occurrences of matters that could materially affect investors’ investment decisions among the matters relating to the business and financial position described in this quarterly report, nor were there any material changes to the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2018RestatedAnnual report
「It is no exaggeration to say that personnel are everything in the software industry. Accordingly, the labor distribution ratio is high, and companies in the industry have a high break-even point.」
High labor distribution ratios and break-even points, as well as dependence on individual skills, continue to be identified as structural risks. - FY2018-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2018-Q2RestatedAnnual report
「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high labor distribution ratios and break-even points or dependence on individual skills. - FY2018-Q1RestatedAnnual report
「During the first quarter of the current consolidated cumulative period, there were no occurrences of matters that could materially affect investors’ investment decisions among the matters relating to the business and financial position described in this quarterly report, nor were there any material changes to the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」
No material changes were identified in the risks related to high fixed costs and dependence on individual skills. - FY2017RestatedAnnual report
「It would not be an exaggeration to say that people are everything in the software industry. As a result, the labor cost ratio is high and companies have a cost structure with a high break-even point. The software industry also tends to depend heavily on individuals’ software expertise and knowledge of customers’ businesses.」
High labor distribution ratios and break-even points, as well as dependence on individual skills, continue to be identified as structural risks. - FY2017-Q3RestatedAnnual report
「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high fixed costs and dependence on individual skills. - FY2017-Q2RestatedAnnual report
「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」
No material changes were identified in the risks related to high fixed costs and dependence on individual skills. - FY2016First statedAnnual report
「It would not be an exaggeration to say that people are everything in the software industry. As a result, the labor cost ratio is high and companies have a cost structure with a high break-even point. The software industry also tends to depend heavily on individuals’ software expertise and knowledge of customers’ businesses.」
The high break-even point resulting from personnel costs and dependence on individuals’ technical skills and customer knowledge are identified as structural risks.