Risk of Excessive Concentration of Production in Vietnam
First written in FY2016. 3 of 10 entries say "Worsened", first in FY2018. Latest entry: FY2023.
Mani moved to the "Worse" side of this theme in 2021, the same year as the typical company in this theme.
The whole theme swung hardest in 2022: 27 of 57 companies on the "Worse" side.
9 other companies' latest entry also says "Worsened".
- FY2023WorsenedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is approximately 80% in total for the 3 companies. ... In addition, approximately 90% of our Group's production is carried out by production subsidiaries in Vietnam」
The ratio of subcontracting costs paid to production subsidiaries rose from the previous approximately 70% to approximately 80%, and approximately 90% of Group production is concentrated in Vietnamese subsidiaries. - FY2021WorsenedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is approximately 70% in total for the 3 companies.」
The ratio of subcontracting costs paid to production subsidiaries rose from "approximately 60%" in the previous fiscal year to "approximately 70%," indicating greater dependence on production subsidiaries. - FY2020SoftenedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is approximately 60% in total for the 3 companies.」
Dependence on production subsidiaries for subcontracting changed from the specific figure of 61.6% in the previous fiscal year to the approximate expression "approximately 60%." - FY2020-Q3MitigatedAnnual report
「As a result of efforts to restore operations promptly, including alternative production, following the cleanroom fire at MANI HANOI CO.,LTD.'s Phu Yen Plant 1 in Vietnam on 3 October 2019, production capacity for the relevant process was restored to its pre-fire level.」
While the fire risk associated with the concentration of production in Vietnam materialized, alternative production and restoration efforts returned production capacity for the relevant process to its pre-fire level. - FY2020-Q2MitigatedAnnual report
「Following the cleanroom fire at MANI HANOI CO.,LTD.'s Phu Yen Plant 1 in Vietnam, which occurred on 3 October 2019 (the "MHC PY1"), we worked to restore the cleanroom promptly and began alternative production in stages to minimize the impact on surgical-related products.」
While the fire risk associated with the concentration of production in Vietnam materialized, early restoration and alternative production were initiated to reduce the impact on supply. - FY2020-Q1MaterialisedAnnual report
「Following the fire that occurred on 3 October 2019 in the cleanroom at MANI HANOI CO.,LTD.'s Phu Yen Plant 1 in Vietnam, we proceeded to establish an alternative production system to minimize the impact on surgical-related products」
A fire actually occurred at a production site in Vietnam, making the supply and operating risks associated with the concentration of production in Vietnam an event requiring specific measures. - FY2019MitigatedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is 61.6% in total for the 3 companies.」
The ratio of subcontracting costs paid to production subsidiaries declined from 61.8% in the previous fiscal year to 61.6%. - FY2018WorsenedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is 61.8% in total for the 3 companies.」
The ratio of subcontracting costs paid to production subsidiaries rose from the previous 57.2% to 61.8%, indicating greater dependence on overseas production, particularly production subsidiaries. - FY2017RestatedAnnual report
「The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is 57.2% in total for the 3 companies.」
The concentration of subcontracting costs among production subsidiaries, including those in Vietnam, is quantified at 57.2%, and the concentration risk and need for diversification continue to be described. - FY2016First statedAnnual report
「To address the risk of excessive concentration of production in Vietnam, we will also expand production capacity at MANI YANGON LTD. in Myanmar and MANI VIENTIANE SOLE.CO.,LTD. in Laos to appropriate levels. The ratio of subcontracting costs paid to our production subsidiaries to our cost of sales is 57.2% in total for the 3 companies.」
The concentration of production in Vietnam is identified explicitly as a risk, with subcontracting costs paid to production subsidiaries in Vietnam, Myanmar and Laos reported at 57.2%.