Risk Management

Basic Concept

The Yamato Kogyo Group believes that when various risks surrounding its corporate activities become apparent, an appropriate response from the initial response to the conclusion of the crisis will help our Group fulfill its social responsibilities and improve the level of trust. About information sharing and communication, we have established the "Management Crisis Management Regulations" and "Crisis Information Communication Guidelines" as our basic policy "BAD NEWS FIRST" to ensure that inconvenient information is smoothly communicated from the field. We believe that fostering an open corporate culture and taking prompt and appropriate action will lead to the avoidance of risk and build trust in the Yamato Kogyo Group.

Structure

As the basis of our risk management system, we have established the "Management Risk Management Regulations”. About possible risks, the Sustainability Committee, chaired by the President and consisting of directors in charge of domestic and overseas business, presidents of domestic operating companies, and directors including independent outside directors as Sustainability Committee members, is responsible for risk management. In addition, the outside directors supervise the Board of Directors, while the corporate auditors and the Internal Audit Office identify risks and work to prevent corruption. For this purpose, we have increased the number of outside directors and assigned the Internal Audit Office as an organization directly under the president. In the unlikely event of an unforeseen event, a task force headed by the President will be established, and an information communication team and an external advisory team, including legal counsel, will be organized to swiftly respond to the situation and establish a system to prevent and minimize the spread of damage.

BCP (Business Continuity Planning) Initiatives

Our Group has established regulations on disaster response and has a system in place to respond quickly in the event of an emergency, and is working on countermeasures by conducting regular drills assuming disasters, etc. The Safety and Environment Management Department sponsors annual drills to simulate fires and earthquakes to ensure the effectiveness of disaster countermeasures.
In addition, we have established disaster prevention management regulations and have formulated and are operating response plans such as the establishment of a disaster prevention headquarters to minimize damage in the event of an actual abnormal phenomenon.