Product Quality and Safety Concerns and Reputational Damage
First written in FY2016. 4 of 7 entries say "Mitigated", first in FY2017. Latest entry: FY2025.
The whole theme swung hardest in 2017: 3 of 14 companies on the "Worse" side.
4 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「During production, the Company obtained third-party certification under ISO 22716, an international standard for quality and safety in cosmetic manufacturing and Cosmetics GMP, and works to prevent product-related incidents. After launch, it has also established a system for collecting product-related inquiries, feedback and requests through its customer service desk, email surveys and other channels, and providing immediate feedback to the relevant departments.」
The Company continues to maintain ISO 22716 certification, collect customer information after product launches and provide immediate feedback, and use control barcodes for traceability as measures addressing quality and safety risks. - FY2025-H1MitigatedAnnual report
「As a measure to prevent recurrence, the Company also introduced an alcohol analysis system. It will conduct alcohol tests for each production lot and maintain a comprehensive system so that customers can consume the products with confidence.」
In response to the voluntary recall of subsidiary beverages in the previous fiscal year, the Company introduced an alcohol analysis system and implemented recurrence-prevention measures involving testing of each production lot. - FY2024MaterialisedAnnual report
「Because some products of consolidated subsidiary ジャフマック might contain residual alcohol exceeding the 1% threshold under the Liquor Tax Act, costs associated with product returns resulting from measures including a voluntary recall were recorded.」
A voluntary recall of subsidiary products due to the possibility of residual alcohol exceeding the prescribed limit actually occurred, and product return costs and other expenses were recorded in selling, general and administrative expenses. - FY2024-Q3MaterialisedAnnual report
「In late December 2023, it was discovered that 16 beverages sold by the Company's consolidated subsidiary ㈱ジャフマック might contain residual alcohol exceeding the prescribed limit, and the Company decided to conduct a voluntary recall of the products. Although damages and other compensation costs are expected to arise in the future, it is difficult to reasonably estimate their impact, and their effect on the Company's financial condition and operating results is unknown at this time.」
For 16 beverages sold by a subsidiary, the possibility of residual alcohol exceeding the prescribed limit was identified, and the disclosure now specifies an actual voluntary recall and the possibility of damages and other compensation costs. - FY2020MitigatedAnnual report
「Products manufactured at the Company's factory are labeled with a control barcode that enables information on the raw materials, production process and other details to be read. By adding customers' purchase data to this information, the Company maintains an information-management system that enables products to be traced even if a product safety issue should arise.」
In response to quality and safety risks, the Company specified compliance with standards from product design through shipment, as well as a product-tracing system using control barcodes and purchase data. - FY2017MitigatedAnnual report
「To maintain the quality and safety of its products, the Company has established its own quality evaluation standards and conducts rigorous quality checks in accordance with the Cosmetics GMP standards, which are manufacturing standards for the production and quality control of cosmetics and quasi-drugs. However, if concerns arise regarding the quality or safety of the Company's products, competitors' products or the raw materials used in those products, this could affect the Company's financial condition, operating results and other aspects of its performance.」
Quality and safety risks continue, while Cosmetics GMP, the Company's own evaluation standards and rigorous quality checks are specified as countermeasures. - FY2016First statedAnnual report
「If concerns arise regarding the quality or safety of the Company's products, competitors' products or the raw materials used in those products, this could affect the Company's financial condition, operating results and other aspects of its performance. Even if no quality defect or safety issue ultimately arises in the Company's products, it could nevertheless suffer similar effects as a result of reputational damage or other factors.」
The disclosure covers not only problems with the Company's own products, but also the impact of competitors' products and reputational damage.