CSR

Corporate governance

Basic Concept of Corporate Governance

Our management principle “Creation and Harmony” is based on the idea of “contributing to the realization of an affluent society both in material and spiritual terms, by creating superior products that society demands, while valuing harmony with society, nature and people. Toward this realization, our entire Company, including our Directors, works together as one to realize our management principle.

In order to realize our principle, while respecting the positions of our internal and external stakeholders, including shareholders, customers, local communities and employees, we believe that it is essential to properly practice corporate governance as a mechanism for impartial, fair and prompt decision-making. Therefore, we have established and are implementing the following basic policies for corporate governance.

The Company shall take appropriate measures to ensure the rights of our shareholders and establish an environment in which our shareholders can properly exercise their rights and ensure substantial equality among our shareholders.
The Company shall strive to properly cooperate and collaborate with our various stakeholders for sustainable growth and mid-term and long-term corporate value creation.
The Company shall properly disclose financial information and non-financial information of the Company in accordance with laws and regulations as well as proactively provide information other than disclosure in accordance with laws and regulations.
The Board of Directors of the Company shall properly fulfill its roles and duties in order to promote sustainable growth of the Company and enhance mid-term and long-term corporate value and improve profitability and capital efficiency, etc., based on its fiduciary responsibilities and accountability to our shareholders.
The Company shall hold constructive dialogue with our shareholders in forums other than Shareholders’ Meetings in order to contribute to sustainable growth of the Company and enhance mid-term and long-term corporate value.

Corporate governance system

Internal control system

For the purpose of managing the organization in a sound and efficient manner, we have established and are operating an internal control system across the group to attain four objectives, that is, reliability of financial reports, compliance with laws and regulations related to business activities, effectiveness and efficiency of business operations, and safeguarding of assets in collaboration with the Audit and Supervisory Committee, Accounting Auditor and Audit Office.

Independence Standards for Outside Directors

Evaluation of the Effectiveness of the Board of Directors

Action to Implement Management that is Conscious of Cost of Capital and Stock Price