Operational and Supply Risks from Natural Disasters and Fires
First written in FY2016. 4 of 13 entries say "Materialised", first in FY2019-Q2. Latest entry: FY2023.
The whole theme swung hardest in 2018: 32 of 132 companies on the "Worse" side.
- FY2023AdvancedAnnual report
「As a measure to address this risk, our group has established a system that uses a supply chain management system to control production, logistics and sales at locations throughout Japan, enabling a stable supply of the high-quality products required by customers even if operations at a production plant or distribution center are suspended due to a natural disaster, accident, or the occurrence or spread of an infectious disease. We have also installed emergency private power generation equipment at all 22 major logistics facilities nationwide and stockpiled fuel to secure 72 hours (3 days) of power.」
As a response to the risk of site shutdowns caused by natural disasters, accidents or infectious diseases, the company describes a system for alternative supply using emergency power generation equipment at 22 facilities nationwide and SCM. - FY2022RestatedAnnual report
「As a measure to address this risk, our group has established a system that uses a supply chain management system to control production, logistics and sales at locations throughout Japan, enabling a stable supply of the high-quality products required by customers even if operations at a production plant or distribution center are suspended due to a natural disaster, accident, or the occurrence or spread of an infectious disease.」
The response to the risk of site shutdowns caused by natural disasters, accidents or infectious diseases has been reaffirmed, with nationwide sites centrally managed through SCM to provide alternative supply. - FY2021MitigatedAnnual report
「Products manufactured at the plant are being produced at alternative facilities in the Kanto and Fukuyama areas, allowing us to continue supplying customers without disruption. As a recurrence-prevention measure, we are replacing the high-voltage alternating-current load-break switches that caused the fire at the Chubu No. 1 Plant at factories nationwide and reviewing inspection methods.」
Supply continued through alternative production after the fire at the Chubu No. 1 Plant, while the equipment identified as the cause is being replaced and inspection methods are being reviewed at factories nationwide. - FY2021-Q3MaterialisedAnnual report
「On 30 November 2020, a fire occurred at our Chubu No. 1 Plant in Wanouchi, Gifu Prefecture. As property damage, the buildings were damaged by the fire, mainly in the electrical room and the sheet storage area, and 8 forming machine lines in the forming area were damaged by hot air and water used to extinguish the fire.」
A fire actually occurred at the Chubu No. 1 Plant, damaging the buildings and 8 forming machine lines. It also states that there were no casualties or damage to neighboring areas and that supply was maintained through alternative production. - FY2021-Q1Alternative supply measures when an infected site is shut downAnnual report
「We will also leverage our nationwide production and logistics network to ensure a stable supply of products with minimal delays if an infected person is identified at a production plant or distribution center and business activities at that location are temporarily suspended.」
It explicitly describes the use of the nationwide network to maintain stable supply if an infected person is identified at a production plant or distribution center and the site is shut down. - FY2020ReframedAnnual report
「As natural disasters, including earthquakes and typhoons, have occurred frequently in various parts of Japan in recent years, if an unexpected natural disaster, accident or other event, or the occurrence or spread of an infectious disease, has a material impact on operations, it may disrupt the procurement of raw materials, production and the supply of products to the market, affecting the performance of our group.」
The impact on operations and supply from the occurrence or spread of infectious diseases was explicitly added to the existing risks from natural disasters and accidents. - FY2020-Q3MitigatedAnnual report
「When natural disasters such as typhoons occurred in 2019, we operated emergency private power generation equipment and maintained a system that allowed shipments to be made as usual.」
Although natural disasters such as typhoons occurred in 2019, it is stated that shipments were made as usual through the operation of emergency private power generation equipment. - FY2019MaterialisedAnnual report
「As a result, during the peak season in December 2018, concerns arose over insufficient transportation capacity in the trucking industry due to a driver shortage, but our group was able to deliver products and merchandise to customers without major disruption. Meanwhile, logistics costs were affected by continued nationwide increases in transportation rates following the torrential rains in western Japan.」
Insufficient transportation capacity due to a driver shortage and increases in transportation rates and logistics costs following the torrential rains in western Japan actually occurred. - FY2019-Q3MaterialisedAnnual report
「Meanwhile, logistics costs were affected by continued nationwide increases in transportation rates following the torrential rains in western Japan.」
The torrential rains in western Japan actually caused transportation rates and logistics costs to continue rising. - FY2019-Q2MaterialisedAnnual report
「With the establishment of a robust and flexible nationwide logistics network substantially complete, we established a system capable of maintaining stable supply during future market expansion and peak periods. As a result, although the torrential rains in western Japan caused a shortage of trucks in the region, our group was able to deliver products and merchandise to customers with generally no disruption. In addition, as part of our business continuity plan (BCP), we have installed emergency power generation equipment at all 21 of our locations nationwide and stockpiled fuel to secure 72 hours (3 days) of power so that shipping and receiving operations can continue in the event of a disaster-related power outage. When the entire island of Hokkaido lost power following the 6 September 2018 Hokkaido Eastern Iburi earthquake, our distribution center in Ishikari, Hokkaido, maintained power with an emergency private power generator until electricity was restored.」
A shortage of trucks following the torrential rains in western Japan and a power outage across Hokkaido following the Hokkaido Eastern Iburi earthquake actually occurred. It is also stated that supply and power were secured through the logistics network and emergency power generation equipment. - FY2018RestatedAnnual report
「However, if an unexpected natural disaster, accident or other event occurs and has a material impact on operations, it may disrupt the procurement of raw materials, production and the supply of products to the market, materially affecting the performance of our group.」
The risk of operational and supply disruptions caused by natural disasters and accidents has been reaffirmed. - FY2017RestatedAnnual report
「However, if an unexpected natural disaster, accident or other event occurs and has a material impact on operations, it may disrupt the procurement of raw materials, production and the supply of products to the market, materially affecting the performance of our group.」
The risk of operational shutdowns and supply disruptions caused by natural disasters, fires and other events has been reaffirmed. - FY2016First statedAnnual report
「If an unexpected natural disaster, accident or other event occurs and has a material impact on operations, it may disrupt the procurement of raw materials, production and the supply of products to the market, materially affecting the performance of our group.」
Disruptions to operations and supply if factories and distribution centers nationwide are affected by natural disasters or fires are identified as risks.