Eliminating Unprofitable Projects and Improving Development Productivity
First written in FY2016. 21 of 33 entries say "Advanced", first in FY2018-Q1. Latest entry: 2026-08-13.
The whole theme swung hardest in 2022: 1 of 8 companies on the "Worse" side.
7 other companies' latest entry also says "Restated".
- 2026-08-13RestatedFinancial results presentation
「Key R&D themes: [Priority measures] Use of AI, renewal of the BBS standard methodology and development related to ACT-Horizon」
The renewal of the BBS standard methodology and talent development are reiterated as priority measures for R&D investment. - FY2026ReframedAnnual report
「There were also aspects of the development methodologies and quality standards that were not being thoroughly followed, which was one of the causes of quality problems. We will conduct a comprehensive review by using and bringing together the expertise of group companies and alliance partners.」
The scope of the initiatives has expanded from conventional quality reviews and measures addressing unprofitable projects to a comprehensive review of development methods and quality standards, drawing also on the expertise of group companies and business partners. - FY2025MitigatedAnnual report
「In the PLM support solutions business, responses to the underperforming projects that arose in the previous fiscal year have concluded, and the business is moving toward recovery.」
The company explained that responses to the underperforming PLM support solutions projects that arose in the previous fiscal year had concluded and that the business was moving toward recovery. The effects of addressing unprofitable projects and quality issues are continuing. - FY2024WorsenedAnnual report
「Segment profit ended slightly above the previous consolidated fiscal year overall, as underperforming projects arose in the accounting system consulting and system development business and the PLM support solutions business.」
The company explained that underperforming projects had arisen in accounting system consulting and PLM support solutions while initiatives to improve quality and project profitability continued. - FY2024-Q3Decline in business profit despite higher revenueAnnual report
「For the cumulative third quarter of the current fiscal year, the Consulting and System Development business reported revenue of ¥19,011 million, up 9.6% year on year, and business profit of ¥1,340 million, down 4.8%.」
Revenue in the Consulting and System Development business increased 9.6% year on year, while business profit declined 4.8%. The decline in profit from accounting system consulting and PLM support solutions exceeded the increase in profit from systems development for the financial sector. - FY2024-Q2AdvancedAnnual report
「For the cumulative second quarter of the current fiscal year, the Consulting and System Development business reported revenue of ¥12,801 million, up 12.2% year on year, and business profit of ¥1,067 million, up 20.6%.」
The Consulting and System Development business delivered higher revenue and profit, with business profit increasing 20.6% year on year, partly on a rebound from the previous year's quality issues. - FY2024-Q1AdvancedAnnual report
「Segment profit increased substantially because profit from accounting system consulting and system development rose on a rebound from the previous year's quality issues, while information security consulting recorded a gain from the loss of control of a subsidiary.」
Profit from accounting system consulting and system development increased on a rebound from the previous year's quality issues. The business results indicate a recovery from the impact of the quality issues that occurred the previous year. - FY2023ReframedAnnual report
「BBS Quality: We will further strengthen the quality initiatives undertaken to date and apply enhanced quality standards across all solutions offered by the BBS Group.」
The scope of the initiatives has expanded from measures addressing unprofitable projects and development quality management to quality enhancement covering all solutions across the BBS Group. - FY2023-Q2MitigatedAnnual report
「Gross profit also exceeded the same quarter of the previous year, driven by higher revenue, among other factors. The impact of quality issues that occurred in the first quarter was absorbed, and the gross profit margin improved from the same quarter of the previous year.」
The company explained that the impact of quality issues arising in the first quarter had been absorbed and that the gross profit margin improved year on year. The effects of responses to unprofitable projects and quality issues emerged in the second quarter. - FY2023-Q1WorsenedAnnual report
「Quality issues occurred in certain projects in the Consulting and System Development business, requiring accounting provisions. As a result, gross profit decreased by ¥148 million, and the gross profit margin deteriorated from the same quarter of the previous year.」
While initiatives to improve quality and contain unprofitable projects continued, quality issues occurred in certain projects, and accounting provisions reduced gross profit by ¥148 million. - FY2022AdvancedAnnual report
「The Quality Management Division strengthened its quality checks, while the executive committee followed up on key projects.」
Quality checks by the Quality Management Division were strengthened, and the executive committee followed up on key projects. Meanwhile, the company plans to continue strengthening quality in the following fiscal year. - FY2021-Q2AdvancedAnnual report
「Profit substantially exceeded the same quarter of the previous year, owing to lower dependence on outsourcing as the number of in-house personnel increased and an increase in consulting projects with relatively high profit margins within the business, among other factors.」
Lower dependence on outsourcing as a result of increased in-house personnel and an increase in high-margin consulting projects drove profit from accounting system consulting and system development substantially above the same period of the previous year. - FY2021-Q1AdvancedAnnual report
「Profit also exceeded the same quarter of the previous year, owing to improving profit margins as a result of quality-enhancement initiatives and the deferral of certain costs due to the spread of COVID-19, among other factors.」
Profit margins improved as a result of quality-enhancement initiatives, and profit from accounting system consulting and system development exceeded the same period of the previous year. The deferral of costs was also cited as a contributing factor. - FY2020-Q3AdvancedAnnual report
「For the cumulative third quarter of the current fiscal year, the Consulting and System Development business reported revenue of ¥15,168 million, up 19.4% year on year, and segment profit of ¥1,118 million, up 30.7%.」
Both revenue and segment profit in the Consulting and System Development business exceeded the same period of the previous year, with the benefits of measures to improve project profitability, including quality and productivity improvements, continuing to emerge. - FY2020-Q2AdvancedAnnual report
「For the cumulative second quarter of the current fiscal year, the Consulting and System Development business reported revenue of ¥10,103 million, up 21.6% year on year, and segment profit of ¥696 million, up 26.3%.」
The Consulting and System Development business recorded year-on-year increases in both revenue and segment profit, reflecting progress in improving project profitability, including measures addressing unprofitable projects and enhancing productivity. - FY2020-Q1AdvancedAnnual report
「Gross profit exceeded the previous year’s level because, in the consulting and systems development business, measures to improve selling prices and productivity continued to take effect, while in the management services (BPO) business, the cost structure continued to improve, centered on fixed-cost reductions.」
The effects of improvements in pricing, productivity-enhancement measures and cost-structure improvements focused on reducing fixed costs emerged, and gross profit exceeded the same period of the previous year. - FY2019AdvancedAnnual report
「The quality review system established by the Quality Assurance Division has become firmly established, and no new major quality problems have arisen. However, we believe that further strengthening quality remains an issue.」
The company explains that the quality review system has become established and that no new major quality problems have arisen. Further strengthening of quality remains an issue. - FY2019-Q3AdvancedAnnual report
「For the nine-month period of the current consolidated fiscal year, the consulting and systems development business recorded revenue of ¥12,706 million, up 1.7% year on year, and segment profit of ¥855 million, up 44.5% year on year.」
The consulting and systems development business recorded revenue of ¥12,706 million and segment profit of ¥855 million. Profit increased 44.5% year on year, supported by improved selling prices and higher productivity. - FY2019-Q2AdvancedAnnual report
「For the six-month period of the current consolidated fiscal year, the consulting and systems development business recorded revenue of ¥8,312 million, down 0.6% year on year, and segment profit of ¥551 million, up 30.5% year on year.」
Although sales declined only 0.6% year on year, segment profit was ¥551 million, up 30.5% year on year. The effects of improved selling prices and higher productivity have materialized in profit. - FY2019-Q1AdvancedAnnual report
「Gross profit exceeded the previous year’s level because, in the consulting and systems development business, measures to improve selling prices and productivity began to take effect, while in the management services (BPO) business, the cost structure improved, centered on fixed-cost reductions.」
Measures to improve selling prices and productivity began to take effect, resulting in gross profit above the previous year’s level. The results reflect improvements in profitability, including measures addressing loss-making projects. - FY2018AdvancedAnnual report
「In systems development centered on accounting systems, projects were secured mainly from major customers, and orders and sales exceeded the previous consolidated fiscal year. Profit also exceeded the previous consolidated fiscal year as productivity improved.」
Sales and profit in systems development exceeded the previous year’s levels as projects were secured mainly from major customers and productivity improved. - FY2018-Q3AdvancedAnnual report
「Profit also substantially exceeded the previous year’s level as productivity improved following quality improvement initiatives for loss-making projects that had arisen in recent years.」
Productivity improved through quality improvements for loss-making projects, and systems development profit substantially exceeded the previous year’s level. - FY2018-Q2AdvancedAnnual report
「Profit also substantially exceeded the previous year’s level as productivity improved following quality improvement initiatives for loss-making projects that had arisen in recent years.」
Productivity improved through quality improvements for loss-making projects, and segment profit in the consulting and systems development business rose 202.1% year on year to ¥423 million. - FY2018-Q1AdvancedAnnual report
「For the first quarter of the current consolidated fiscal year, the consulting and systems development business recorded revenue of ¥3,941 million, up 5.8% year on year, and segment profit of ¥87 million, compared with a segment loss of ¥131 million in the same quarter of the previous year.」
The consulting and systems development business turned from a segment loss in the previous year to segment profit of ¥87 million. Productivity improvements resulting from quality improvement initiatives are shown as a specific outcome of improved project profitability. - FY2017RestatedAnnual report
「Eliminating loss-making projects and fostering and implementing a project management mindset equivalent to CMMI Level 3 through compliance with standard development processes and stronger project management」
To contain loss-making projects, the company continues to emphasize standard development processes, project management and a management mindset equivalent to CMMI Level 3. - FY2016First statedAnnual report
「Eliminating loss-making projects by reviewing the development process and strengthening project management」
Reviews of the development process and stronger project management are identified as specific measures to improve project profitability.