Taisho is establishing a comprehensive information network, underpinned by the latest IT with the aim of significantly improving speed and management efficiency.

Information sharing and bilateral communication play an essential role in advancing efficient operations within an organization comprised of diversified businesses and functions. Taisho has installed an innovative information system that successfully integrates groupwide research and development, manufacturing and sales functions. Based on the common goal of enriching people's lives through improved health, the Taisho Group is unified in its efforts to realize speedy and efficient corporate activities.
Taisho is dedicated to the pursuit of efficient and optimal management reform and has been working to install a new core business system since April 2003 through successive implementation of Business Process Reengineering (BPR).
In the self-medication operation group, we have established a unique nationwide database that encompasses pharmacy and drugstore information and data relating to the beneficial effects of medications and treatments. Utilizing the fruits of this database, based on timely feedback from in-house departments gathered through our intranet, we are creating an invaluable wealth of knowledge. In implementing the best-suited marketing plan and undertaking data verification, Taisho is making great strides to expand market share.

Taisho is creating a safe and efficient manufacturing system, grounded in the latest systems technology, in order to deliver a stable supply of wide-ranging and high-quality products.

Taisho maintains a network of manufacturing bases in Japan and overseas that produce a wide variety of OTC medicines and prescription drugs. The Company was quick to introduce Factory Automation (FA) in an effort to automate as much of the manufacturing process as possible, from the procurement of raw materials through delivery, preparation, manufacture, packaging and shipment. Taisho also introduced Supply Chain Management (SCM) at all manufacturing bases with the aim of quickly ensuring high-quality products and stable supply. We have positioned speed and efficiency in the manufacturing process as a key priority, linking manufacturing, sales and logistics to the information network.
In an environment characterized by legislative reform and the anticipated benefits from Taisho Toyama Pharmaceutical as it becomes fully operational, it is imperative that we continue to increase our lineup of prescription drugs. To this end, we are reinforcing a speedy and efficient manufacturing line.
Environmental preservation is also an important issue underlying corporate activities at Taisho. The Company has acquired ISO 14001, the international standard for environmental management systems, at its Omiya, Hanyu and Okayama factories. We will continue to adopt environmentally conscious initiatives at the manufacturing frontline and take necessary steps to educate all Group employees.

Taisho has established a diversified an flexible logistics system that is best suited to the needs of pharmacies, drugstores and the medical community.

With over 200 products in its portfolio, Taisho has enhanced its logistics systems to include inventory management with the aim of bringing products to market one step ahead of its competitors. The Company is working to establish a new logistics system incorporating information technology to better meet diversified marketing channels.
In 1998, we established Taisho Pharmaceutical Logistics Co., Ltd. Construction on the Omiya Distribution Center has been completed, and the center began operations in August 2002. In an effort to significantly accelerate delivery and enhance efficiency, Taisho has adopted a network information system incorporating bar coding to reduce response times to orders from pharmacies, drugstores and general merchandise stores, and has introduced a piece sorter system to automatically sort the Company's diverse lineup of products.

As a leading pharmaceuticals company, Taisho is constantly striving for strict quality assurance and working to deliver world standard products for the safety of consumers.

In 1980, Taisho formulated its Good Manufacturing Practice (GMP), a set of groupwide standards for manufacturing and quality assurance, and immediately set about establishing a standards-compliant manufacturing structure.
Taisho established its Production Technology Laboratories in April 1999, with the aim of conducting specialized research in comprehensive technologies relating to prescription pharmaceuticals. In December 2001, the Company stepped up efforts to bolster quality maintenance and at the same time enhanced efficiencies by consolidating the quality assurance and manufacturing technology functions. As OTC medicines are products comprised of a various number of ingredients, consumer safety is paramount. To meet this need, Taisho has installed the most comprehensive testing equipment used in Japan's pharmaceuticals industry. Other measures adopted by the Company include testing for the presence or absence of minute faults in product containers through the use of X-ray irradiation.