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Business and Other Risks

7. Natural Disasters and Unforeseen Incidents

7-1. Damage from Earthquakes, Other Natural Disasters and Accidents

The Fujitsu group has established a company-wide disaster prevention organization and is regularly conducting various kinds of training. Having dealt with recent large earthquakes in Japan, we also strengthen countermeasures in our workplaces such as anti-earthquake procedures and site inspections.

Furthermore, the Fujitsu Group has instituted a Business Continuity Plan (BCP), which is continually reviewed and improved, to ensure that it can continue critical business operations to fulfill its corporate social responsibility activities, while at the same time continuing to provide a stable flow of high-quality, highly reliable products and services, which our customers rely on for their business. This plan ensures continuity even in the event of natural disasters like earthquakes, major floods, or volcanic eruptions, as well as accidents or the outbreak of infectious diseases like new forms of influenza.

However, in recent years, the frequency and/or impact of natural disasters such as typhoons, flooding, and heavy snow has been increasing due to global climate change. Going forward, there is also a possibility that unforeseen events (i.e. major earthquakes in the Tokyo metropolitan area or along the Nankai Trough, outbreaks of infectious diseases, or volcanic eruptions) may occur on a scale that exceeds damage estimates carefully determined by the BCP.

In such cases, there is a possibility that the Group may be forced to suspend the delivery of products and/or services to customers in the event that an unforeseen natural disaster or accident inflicts damage to facilities and equipment, interrupts the supply of electricity or water, disrupts public transportation or communications infrastructure, or causes damage to our supply chains.

7-2. Armed conflicts, Terrorism and Political Instability

Armed conflicts, terrorism, demonstrations, strikes, political instability, and other events in nations or regions where the Fujitsu Group operates could have a significant impact on its businesses.