Securing Staff Identified as Paramount Issue in Logistics Strategy
57% of Firms Urgently Looking to Expand Their Logistics Footprint in Greater Osaka and Greater Nagoya


[Key Findings]
Regarding plans to establish a new warehouse or to relocate, among the firms responding that they had some kind of plan, 63% said they would “increase the number of sites”, 78% said they would “increase the floor area”, while 55% said that they would "increase both the number of sites and the floor area". This shows that many companies are positive about expanding their logistics facilities.

Regarding the reason for establishing a new warehouse or relocating, the three most popular answers were "site consolidation/integration, reorganisation", "change in type and volume of goods", and "obsolescence, usage difficulty". This indicates that existing warehouses are not suited to the recent rationalisation of logistics operations.

In terms of issues in logistics strategy, the biggest issue cited was "securing warehouse workers and drivers," reflecting the labour shortage in the logistics sector. The other responses were dispersed around a range of issues, demonstrating that many firms in the logistics sector are currently facing a complex mix of challenges.

Some responses to the survey indicated a difference in approach between logistics operators and consignor firms. While logistics operators tend to prefer large bases at median sites that is accessible from as many customer bases as possible, consignor firms have a wider range of preferences for both location and size. Differences were also seen in their requirements for facilities. The responses suggest that landlords will need to alter their development strategy according to the type of tenant they are targeting.

Looking at each region, a higher proportion of firms are looking for a large logistics base in the Greater Osaka and Greater Nagoya areas. Firms that have finished upgrading their logistics facilities in the Greater Tokyo area are set to actively drive the reform of logistics in the second and third metropolitan areas in the coming years.