New Company to be Established
World Co., Ltd. is setting up a new company to operate and manage quality inspection and logistics functions in China.
1. Reason for establishing new company
To achieve maximum customer value and productivity, World introduced the SPARCS* concept, a customer-centric system that unifies the entire business process, from retail to production, and thereby converts losses and inefficiencies into new value.
As part of this initiative, we coordinate all production-related operations, from the point of view of retail outlets for total optimization, placing our subsidiary, World Productions Partners Co., Ltd. (WP2) as the core entity for the entire production process, which was previously divided among various companies. Our intention is to visualize all production operations through this effort in order to eliminate losses between production processes and thus build a competitively superior production platform. Considering China is a substantial base that takes on 90% of World's overseas production, we are also building there the same production platform.
The new company is being established as a part of these efforts in China and will operate as a group company of Hitachi Transport System, Ltd., with support from Nisshin Transportation Co., Ltd. (headquarters: Osaka), which has a proven track record in apparel industry logistics in China. The role of the new company will be to establish and maintain an inspection system for thorough quality control in China based on quality standards equivalent to those in Japan, and to operate and manage logistics in China related to exporting to Japan. As a result, we will be able to fully visualize the logistics process and build a competitively superior logistics platform in China.
- *SPARCS: World's proprietary business model, combining Super, Production, Apparel, Retail, and Customer Satisfaction.
2. Overview of new company
|(1) Name||World Quality Control Consulting Co. Ltd. (Abbreviation: WQC)|
|(2) Main business||Quality control through establishment and maintenance of an inspection system in China; operation and management of logistics in China|
|(3) Established||September 23, 2008|
|(4) Start of operations||December 1, 2008 (tentative)|
|(5) Headquarters||2928-30 Laiyang Road, Pudong New Area, Shanghai|
|(6) Representative||Ryoichi Shigekawa (concurrently General Manager of the Distribution Division of World Co., Ltd.)|
|(7) Capitalization||¥100 million (World Co., Ltd. 75%; Nisshin Transportation Co., Ltd. 25%)|
|(8) Fiscal year end||December 31|
|(9) Number of employees||8|