Kajima

Construction / Construction and engineering services

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Risks

1. Workflow disruption: If the decision to partner with an outside vendor disrupts the efficient workflow of the company, it could lead to operational problems and delays, thus negatively impacting the company’s profitability.

2. Increased costs: Depending on the nature of the partnership, engaging an independent provider could result in increased costs for Kajima, whether in terms of training its staff on a new software or hardware system, or in the form of increased staffing or maintenance costs.

3. Loss of control: Outsourcing certain IT tasks may result in a loss of control over the quality and level of service delivered. If the vendor does not meet Kajima’s expectations, it may be difficult to terminate the agreement or renegotiate terms.

4. Data privacy/security concerns: A third-party vendor may not have the same security protocols in place as Kajima, increasing the risk of a data breach. Kajima also needs to consider the potential for theft or misuse of its confidential information by the vendor.

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