History of Revision of the Japan Standard Industrial Classification (Established in October 1949)
(1) Inquiry to the Statistics Commission Regarding the Revision of the Japan Standard Industrial Classification
Office of Director-General for Policy Planning (Statistical Standards)
Ministry of Internal Affairs and Communications
Document No. 103
May 17, 2013
Mr. Yoshio Higuchi
Chair of the Statistics Commission
Yoshitaka Shindo
Minister of Internal Affairs and Communications
Inquiry No. 53
Re: Changes to the Japan Standard Industrial Classification (Inquiry)
The opinion of the Statistics Commission is hereby requested in accordance with the provisions of Article 28, Paragraph 2 of the Statistics Act (Act No. 53 of 2007), in changing the Statistical Standards specified in Article 2, Paragraph 9 of the same Act as indicated in the Attachment.
(2) Statistics Commission Report
Office of Statistics Commission
Cabinet Office
Document No. 122
September 27, 2013
Mr. Yoshitaka Shindo
Minister for Internal Affairs and Communications
Yoshio Higuchi
Chair of the Statistics Commission
Report to Inquiry No. 53
Re: Changes to the Japan Standard Industrial Classification
The Statistics Commission hereby reports on the conclusions obtained based on deliberating on changes to the Japan Standard Industrial Classification as based on Inquiry No. 53.
1 Suitability of changes
The contents of Attachment 1 are deemed as being appropriate with regard to the Japan Standard Industrial Classification based on the reasons below.
2 Reasons
(1) Clarification that "General Rules" are statistical standards
The Ministry of Internal Affairs and Communications reclarifies that "General Rules," which were not publicly announced as being included in statistical standards despite them having been specified in a unified manner with classification items, are statistical standards.
"General Rules" describe fundamental principles in the Japan Standard Industrial Classification, such as "definition of industry" and "definition of establishment," and based on this, the designs for various statistical surveys are implemented. Accordingly, as the definition of statistical standards corresponds to "technical standards for ensuring uniformity and comprehensiveness in producing official statistics" in Article 2, Paragraph 9 of the Statistics Act (Act No. 53 of 2007), which specifies the definition of statistical standards, it is appropriate to include this in statistical standards.
(2) Changes to classification items
In the "Master Plan Concerning the Development of Official Statistics" (Cabinet Decision dated March 13, 2009), the Ministry of Internal Affairs and Communications deems that reexamination of statistical standards are conducted in a way where "the necessity of revising applicable standards is reviewed based on environmental changes in the economy and society approximately every five years, and a conclusion that includes the pros and cons of reexaminations is obtained." Since six years have passed from the previous revision (2007), the following changes are implemented based on changes in the state of new industries and new systems, as well as the state of existing industries.
Prior to individual deliberations regarding the above, agreement is to be obtained from each committee member and expert committee member regarding the fundamental concept (Attachment 2) when reviewing the new establishment, abolition, etc. of classification items, deliberations are to be implemented based on this agreement, and conclusions are to be obtained.
A. New classification items (1 group, 5 industries)
i Integrated centers for early childhood education and care (Group and Industry)
Based on the establishment and announcement of the so-called "Three Bills Related to Children and Child-Rearing" in August 2012, the current approved child institution system was improved, and the new "integrated centers for early childhood education and care" was systemized as the single accredited facility with the legal positioning of schools and child welfare facilities. In association with this, "Group 819 Integrated centers for early childhood education and care" and "Industry 8191 Integrated centers for early childhood education and care" were newly established under "Division O - EDUCATION, LEARNING SUPPORT" and "Major Group 81 School education"
With regard to this, since such institutions have the functions of a kindergarten (Group belonging to "Division O - EDUCATION, LEARNING SUPPORT") and day nursery (industry belonging to "Division P - MEDICAL, HEALTH CARE AND WELFARE") as a new system, and because it is difficult to distinguish which one is the main business, it is necessary to establish a new classification item. With regard to positioning such institutions as "Division O - EDUCATION, LEARNING SUPPORT," they become of the same group as elementary schools and junior high schools, etc., and can be oriented in continuity of children receiving education such as in elementary school and junior high school; with regard to positioning them as "Division P - MEDICAL, HEALTH CARE AND WELFARE," if they become classified alongside "day nursery," they become industries and compared to group, it becomes even more difficult to obtain results of statistical surveys; thus, both are considered as being appropriate.
ii Market research, opinion survey and social survey services (Industry)
Establishments that conduct surveys and analyses related to the market, opinions, and society are currently included in "Industry 3929 Miscellaneous data processing and information services" under "Division G - INFORMATION AND COMMUNICATIONS," "Major Group 39 Information services," "Group 392 Data processing and information services," but this was newly established as "Industry 3923 Market research, opinion survey and social survey services" under the same group.
This is considered as being appropriate as it fulfills numerical standards when newly establishing a classification item, it can be clearly categorized as an economic activity of an establishment, there is a corresponding classification item in the International Standard Industrial Classification (ISIC), and the international comparability increases.
iii Relaxation services (using manual techniques) (Industry)
Establishments engaged in practice in the relieving of stress in mind and body, using manual techniques, are considered as currently being included in "Industry 7899 Laundry, beauty and bath services, n.e.c.," under "Division N - LIVING-RELATED AND PERSONAL SERVICES AND AMUSEMENT SERVICES," "Major Group 78 Laundry, beauty and bath services," "Group 789 Miscellaneous laundry, beauty and bath services," but this is to be newly established as "Industry 7893 Relaxation services (using manual techniques)" under the same Group.
This is deemed as being appropriate, as numerical standards for when establishing a new classification item are fulfilled, it is possible to clearly categorize this as an economic activity of an establishment by limiting it to those where "manual techniques are used," and the necessity to comprehend the results of statistical surveys as an industry that makes up healthcare in future policy expansion, such as promotion of the healthcare industry, planning of consumer protection policies, etc., is anticipated.
iv Nail salon services (Industry)
Establishments where nail care, nail art, etc. is implemented on the nails of hands and feet using nail cosmetics are currently included in "Industry 7899 Laundry, beauty and bath services, n.e.c." under "Division N - LIVING-RELATED AND PERSONAL SERVICES AND AMUSEMENT SERVICES," "Major Group 78 Laundry, beauty and bath services," "Group 789 Miscellaneous laundry, beauty and bath services," but this is to be newly established as "Industry 7894 Nail salon services" under the same group.
This is deemed as being appropriate, as numerical standards for when establishing a new classification item are fulfilled, consumers' recognition of nail salon services is steadily becoming fixated, and the necessity to comprehend the results of statistical surveys in future policy expansion, such as promotion of the nail salon services industry and planning of consumer protection policies, is anticipated.
v Call center services (Industry)
Establishments solely engaged in counter services for client relations, including customer support and complaint handling, etc. are currently included in "Industry 9299 Miscellaneous business services, n.e.c.," under Division R - SERVICES, N.E.C.," Major Group 92 Miscellaneous business services," "Group 929 Business services, n.e.c.," but this is to be newly established as "Industry 9294 Call center services" under the same group.
This is deemed as being appropriate, as numerical standards for when establishing a new classification item are fulfilled, it is possible to clearly categorize this as an economic activity of an establishment, it is necessary to comprehend the results of statistical surveys in future policy expansion, such as measures for attraction of enterprises as employment measures, and the international comparability increases as there are corresponding classification items in the International Standard Industrial Classification.
B. Shift of classification items (Shift of industries between groups: 1)
"Industry 1213 Flooring wood," which is located under "Division E - MANUFACTURING," "Major Group 12 Manufacture of lumber and wood products, except furniture," "Group 121 Sawing, planning and wood products," will be moved to "Group 122 Millwork, plywood and prefabricated structural wood products," and turned into "Industry 1228 Flooring wood."
This is deemed as being appropriate as 95% of flooring that is currently produced in Japan is complex flooring, and the group "millwork" reflects the actual conditions more appropriately than "manufacture of lumber."
C. Change in classification item names (2 groups, 5 industries)
The following changes will be made to classification item names in order to deal with changes in the system and clarify expressions.
After change | Before change |
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(Within "Division E MANUFACTURING, Major Group 24 Manufacture of fabricated metal products")
Group 243 Heating and cooking apparatus, and plumbing supplies |
(Within "Division E MANUFACTURING, Major Group 24 Manufacture of fabricated metal products")
Group 243 Heating apparatus and plumbing supplies |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers")
Group 652 Futures commodity transaction dealers and commodity investment advisors Note 1) |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers")
Group 652 Futures commodity transaction dealers and commodity investors |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investment advisors")
Industry 6521 Futures commodity transaction dealers Note 2) |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investors")
Industry 6521 Domestic futures commodity transaction dealers |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investment advisors")
Industry 6522 Commodity investment advisors Note 1) |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investors")
Industry 6522 Commodity investors |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investment advisors")
Industry 6529 Miscellaneous futures commodity transaction dealers and commodity investment advisors Note 1) |
(Within "Division J FINANCE AND INSURANCE, Major Group 65 Financial products transaction dealers and futures commodity transaction dealers, Group 652 Futures commodity transaction dealers and commodity investors")
Industry 6529 Miscellaneous futures commodity transaction dealers and commodity investors |
(Within "Division M ACCOMMODATIONS, EATING AND DRINKING SERVICES, Major Group 76 Eating and drinking places, Group 769 Miscellaneous eating and drinking places")
Industry 7699 Eating and drinking places, n.e.c. |
(Within "Division M ACCOMMODATIONS, EATING AND DRINKING SERVICES, Major Group 76 Eating and drinking places, Group 769 Miscellaneous eating and drinking places")
Industry 7699 Miscellaneous eating and drinking places, n.e.c. |
(Within "Division N LIVING-RELATED AND PERSONAL SERVICES AND AMUSEMENT SERVICES, Major Group 79 Miscellaneous living-related and personal services, Group 799 Living-related and personal services, n.e.c.")
Industry 7993 Photographic print, film developing and finishing |
(Within "Division N LIVING-RELATED AND PERSONAL SERVICES AND AMUSEMENT SERVICES, Major Group 79 Miscellaneous living-related and personal services, Group 799 Living-related and personal services, n.e.c.")
Industry 7993 Film developing and finishing |
Indicated matters in the previous report | Response |
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Although the above is generally deemed as being appropriate, comprehension and verification of issues, etc. in conducting statistical surveys related to "nonstore retailer" and "establishments engaged in administrative or ancillary economic activities" are described in "3 Future challenges."
(4) Others
Among the items regarding which the Ministry of Internal Affairs and Communications has conducted reviews although they were not included in this revision proposal, opinions are sought after regarding the issue of adequacy of inquiries and issues in future review work on change to the division to which "Pharmacies" should belong and the new establishment of the industry "Tow truck services."
The following is in relation to this.
A. For "Pharmacies," since the Japan Standard Industrial Classification is not a classification based on industry laws and regulations, it is designated as retailing by focusing on the economic activity of selling pharmaceuticals, and it is oriented as retailing in the International Standard Industrial Classification as well as industrial classifications of various foreign countries from the perspective of the international comparability, it is appropriate not to change the division. However, pharmacy is defined by laws as a "place where dispensing of pharmaceuticals is conducted by a pharmacist with the purpose of sale or bestowment," and as it has been pointed out by many pharmacies where dispensing is conducted based on prescriptions that the classification item name of "Pharmacies," which is not a name based on law, is not appropriate, it is necessary to implement reviews in the future based on the perspective of conducting statistical surveys regarding the classification item name of "Pharmacies."
B. As there is not enough comprehension of the actual state of "Tow truck services," it is appropriate to review the suitability of newly establishing an industry item upon continuing to gather information at relevant ministries in the future. When doing so, it is necessary to conduct reviews including on the adequacy of the classification that is higher level, based on the perspective of the international comparability.
3 Future challenges
Reviews were conducted on changes to JSIC this time based on "the necessity of revising applicable standards is reviewed based on environmental changes in the economy and society approximately every five years from the establishment or revision of publicly announced statistical standards, and a conclusion that includes the pros and cons of reexaminations is obtained" as described in the "Master Plan Concerning the Development of Official Statistics" (Cabinet Decision dated March 13, 2009), and although it was decided that necessary changes would be made, it is necessary to conduct reviews of reexaminations at appropriate times in an appropriate manner taking into consideration their meaning in the future as well. When doing so, it is necessary to sufficiently use the results of the Economic Census - Activities Survey that could not be used in this change as well as the state of implementation, etc. with regard to classification items and general rules, and to conduct reviews from the perspective of improving international comparability.
In addition, it is particularly necessary to conduct reviews in the future on the items below.
(1) General rules
Although three criteria are listed in order in "Section 3 Classification Criteria," they will be compared to the contents listed in the International Standard Industry Classification and their adequacy will be reviewed.
(2) "Nonstore retailer" and "establishments engaged in administrative or ancillary economic activities"
In "2 (3) Responses to indicated items in the previous (twelfth revision) Statistics Council Report" above, comprehension and verification of the issues in conducting statistical surveys related to "nonstore retailer" and "establishments engaged in administrative or ancillary economic activities" are implemented using "2009 Economic Census - Basic Survey," but in the future, it is necessary to continue comprehending and verifying issues in "2012 Economic Census - Activities Survey" where sales amounts and accounting items are used as survey items.
With regard to "nonstore retailers," since they are currently considered as being "retailers with no store," reviews will be conducted on the necessary of reexaminations from the perspective of further accurately comprehending the actual state of electronic commerce transactions through the internet, which is expanding rapidly, including on the fact that even if mail-order sales via the internet account for the main source of sales, the retailer will not be considered a "nonstore retailer" if they have a store.
Attachment 1 "The Japan Standard Industrial Classification (Proposal for 13th Revision)" (Omitted)
Attachment 2
Fundamental Concept When Reviewing the New Establishment and Abolition, etc.
of Group/Industry Items in the Japan Standard Industrial Classification
In reviewing the new establishment, abolition, etc. of group/industry items of the Japan Standard Classification in the government, data and opinions regarding the so-called "quantitative standards" of at least 10% in the classification that is one level higher, the changes in industrial structures, necessities in terms of statistics, the comparability with international classifications, etc. have been hitherto gathered and comprehensively taken into consideration. In the recent reviews, perspectives were formulated by integrating this comprehensive consideration, and were set as the fundamental concept.
1 Objective and quantitative perspectives
The number of establishments, number of employees, production amount, etc. of the industry subject to review are of a scale of at least 10% in relation to the classification that is one level higher (so-called quantitative standards).
2 Perspectives other than 1 above where consideration is necessary in industrial classifications
(1)Steady presence in the overall domestic industry is recognized.
(2)From the perspective of usability of statistical surveys, the industry patterns are clearly categorized so that comprehension by survey conductors and reporters is possible.
(3)From the perspective of utilization in the comprehension of mutual linkage of domestic industries, there are characteristics in linkage with other industries.
(4)There are needs in terms of industry policies, such as a necessity to produce statistics pertaining to new industries.
(5)There is the international comparability.
(6)From the perspective of continuity of statistics, there are no issues in connection with the past, and the future industry scale is a stable one.