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Yamashita Health Care Holdings (9265) · RiskAdvanced

Concentration of logistics hubs and disruption of logistics operations caused by disasters

First written in FY2018. 2 of 4 entries say "Restated". Latest entry: FY2021.

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ProgressHeldSoftenedWorseRestatedFY2018 – FY20202018: 120182019: 120192020: 120202021: 12021
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  1. FY2021AdvancedAnnual report

    「The group has established logistics hubs in Tosu, Saga Prefecture; Isahaya, Nagasaki Prefecture; and Fukuoka, Fukuoka Prefecture, within its core subsidiary, centrally manages high-turnover general medical consumables, and has concentrated most procurement operations at these 3 hubs. To address the above risk, the MAL Division of the core subsidiary centrally manages logistics functions and has established a system in which the 3 hubs mutually supplement one another, thereby diversifying and mitigating risks in the event of disasters such as earthquakes and fires.」

    The logistics hubs have been reorganized from the previous 2 locations to 3 locations in Tosu, Isahaya and Fukuoka, with centralized management by the MAL Division and a mutual support system presented.
  2. FY2020RestatedAnnual report

    「The group has established logistics centers in Tosu, Saga Prefecture, and Isahaya, Nagasaki Prefecture, within its core subsidiary, centrally manages high-turnover general medical consumables, and has concentrated most procurement operations at the two centers. If the functions of either or both centers were to be suspended by a disaster, sales activities could be disrupted until the logistics and procurement management systems were restored and functions transferred to business locations, potentially affecting the group's results and financial condition.」

    The concentration of functions at 2 logistics centers and the risk of impacts on sales activities and results if operations are suspended by a disaster continue to be disclosed.
  3. FY2019RestatedAnnual report

    「The group has established logistics centers in Tosu, Saga Prefecture, and Isahaya, Nagasaki Prefecture, centrally manages high-turnover general medical consumables, and has concentrated most procurement operations at the two centers.」

    The concentration of procurement and logistics functions at 2 logistics centers, and the risk of impacts on sales activities and results if their functions are suspended by a disaster, continue to be disclosed.
  4. FY2018First statedAnnual report

    「The Company is working to diversify and reduce the risk of earthquakes, fires and other disasters by establishing a system in which the two centers mutually supplement each other’s logistics functions. However, if either or both centers were to cease operating due to a disaster, sales activities could be disrupted until the logistics and procurement management systems were restored or functions transferred to other offices, potentially affecting the Group’s business results and financial condition.」

    The risk of one or both centers being shut down by a disaster is explicitly identified, based on the concentration of procurement and logistics functions in Tosu, Saga Prefecture, and Isahaya, Nagasaki Prefecture.
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Concentration of logistics hubs and disruption of logistics operations caused by disasters | YAMASHITA HEALTH CARE HOLDINGS,INC. (9265) | Komori