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Nearly half of Japanese firms lack supply-chain resilience measures
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| 4 jam yang lalu
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TOKYO (Kyodo) -- Nearly half of Japanese companies have not implemented measures to protect their supply chains against disasters and global tensions, according to a recent Cabinet Office survey, raising the risk that factory or logistic shutdowns could halt production and impact the broader economy.
In a survey of 1,759 firms conducted between November and December, only 25.9 percent said they had measures in place to strengthen their supply chains.
Supply chain disruptions have recently prompted some food companies to change the packaging of their products because of concerns over naphtha supplies linked to worsening Middle East tensions.
Japan is prone to natural disasters with major earthquakes having disrupted production in the past.
The government plans to encourage companies to take measures, such as diversifying suppliers and dispersing production sites. A Cabinet Office official said more efforts are needed to "keep economic activity from stopping."
By company size, 26.8 percent of large companies with 1 billion yen ($6.2 million) or more in capital, 49.6 percent of midsize firms and 56.3 percent of smaller firms said they had taken no steps, the survey showed.
It also found larger firms were more likely to adopt measures to strengthen supply chains. Some 45.0 percent for large firms have carried out such steps, compared with 23.2 percent for midsize firms and 21.8 percent for smaller firms.
Among firms that said they were taking steps or were considering them, 57.9 percent cited "diversifying suppliers" as their most common measure. "Risk communication with suppliers" and "cooperation among companies and mutual support" followed, the survey showed.
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