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The Subcontract Act in Japan: risk trends and compliance responses of Japanese companies

Author

Listed:
  • Akira Endo
  • Yasufumi Ishigaki

Abstract

Companies must comply with supply chain-related legislation as part of their procurement risk management. This study aims to clarify the risk trends and compliance practices of the Subcontract Act in Japan. It analysed 101 cases of violation of the Subcontract Act using a topic model and investigated compliance efforts among 322 Japanese firms across 33 industries. The results identified specific actions leading to violations and key issues in Japan. The findings also suggested that strategic combinations of compliance measures are necessary, balancing cost and resource constraints to enhance organisational compliance. This study provides valuable insights for managers to improve corporate governance on the supply chain.

Suggested Citation

  • Akira Endo & Yasufumi Ishigaki, 2026. "The Subcontract Act in Japan: risk trends and compliance responses of Japanese companies," International Journal of Procurement Management, Inderscience Enterprises Ltd, vol. 25(4), pages 455-462.
    • Handle: RePEc:ids:ijpman:v:25:y:2026:i:4:p:455-462
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