The Otsuka group has business continuity plans (BCP) in place to ensure that the group continues to operate as effectively as possible and is able to maintain a stable supply of its products, even when large-scale earthquakes and disasters strike.
From the perspective of business continuity management (BCM), Otsuka Holdings and Otsuka group companies have jointly developed a system to implement group-wide efforts for business continuity. In August 2012, Otsuka Pharmaceutical acquired ISO 22301 certification for “The Manufacture and Stable Supply of Products for Medical Related Business”. Since then, the Otsuka group companies have incrementally expanded the scope of its application and acquired certification for “The Stable Supply of Intravenous Solutions” in 2015 and “The Stable Supply of Anticancer Drugs” in 2016. Acquisition of ISO 22301 certification verifies that the organization has infallible business continuity capabilities from the perspective of BCM. Companies such as Otsuka Pharmaceutical, Otsuka Pharmaceutical Factory, Taiho Pharmaceutical, and Otsuka Warehouse collaborate to strengthen measures and systems in order to ensure that the entire Otsuka group can continue business activities as much as possible and provide a stable supply of products even in the event of a disaster. In 2017, major Otsuka group companies conducted joint desktop exercises simulating a Tokyo Inland Earthquake to test the group’s collaborative structure for ensuring a stable supply of products under simulated conditions, and the results were extremely close to projected scenarios.
As a manufacturer of the IV solutions that would be especially required for initial treatment when an emergency situation occurs, Otsuka Pharmaceutical Factory has designated business continuity management (BCM) as a key management strategy. The company has enacted basic BCM rules and implements a variety of measures to preempt risk factors and limit damage should an unavoidable crisis occur. Otsuka Pharmaceutical Factory does not focus exclusively on its own BCM. The measures the company implements encompass the entire group to forge a united front on risk management. The company works with companies in the Otsuka group that distribute and sell its products, holding regular BCP meetings to address risks associated with Otsuka Pharmaceutical Factory business activities.
Taiho Pharmaceutical develops BCP for its production, supply chain, and IT. For production, the company identifies risk items and disperses and stores inventories of the required number of such items. It also takes measures to keep production equipment in place and prevent flooding. For supply chain, the company takes measures to ensure that the receipt of product orders, delivery requests, and other tasks can be resumed within a defined timeframe after a disaster strikes. For IT, the company has established a backup plan for critical systems, such as backbone system (accounting, HR, receipt and placement of orders) and e-mail. Furthermore, the company reports the status of such BCP measures and training to the Crisis Management Committee chaired by the president in an effort to strengthen measures and systems to ensure a stable supply of products.
Otsuka Chemical has formed a BCM Committee consisting of directors of the production, sales, quality assurance, materials, and administration divisions that meets once every three months. It reviews progress on BCP compliance and reports to the Crisis Management Committee, chaired by the president, on its activities and upcoming fiscal year plans. Based on the latest damage and injury projections for Tokushima in the event of a potential severe earthquake in the Nankai Trough, the company’s BCP formulated in 2011 is revised as appropriate to make the BCP easier to see and understand during earthquake disasters. In addition, the company has not only participated in the BCP simulation held by the Otsuka group but also conducted a drill with an outside instructor, as part of its efforts to raise employees’ knowledge and awareness of disaster management.
With firsthand experience of the Great East Japan Earthquake in 2011, EN Otsuka Pharmaceutical has enacted basic BCM rules and a BCP to ensure a continuous stable supply of pharmaceuticals. In fiscal 2017, the company restocked the stockpiles at its locations in Hanamaki, Kitakami, and Tokyo.
Otsuka Techno, as part of its crisis management plans (BCP/BCM) in preparation of a severe earthquake along the Nankai Trough, abnormal weather and other disasters, distributes emergency water and food supplies as well as evacuation equipment at its offices and plants in order to assist employees during emergencies. In 2017, the company set up earthquake early warning systems and plant broadcasting equipment at its head office and some plants to be utilized for the swift evacuation of employees during emergencies.
Otsuka Electronics maintains stockpiles of emergency supplies at all of its business locations for employees who are unable to return home. These supplies are checked and restocked every year as needed.
Otsuka group, Otsuka Holdings, Otsuka Pharmaceutical, Otsuka Pharmaceutical Factory, Taiho Pharmaceutical, Otsuka Warehouse, EN Otsuka Pharmaceutical, Otsuka Chemical, Otsuka Electronics, Otsuka Techno