CSR(Corporate Social Responsibility):Free, Vigorous and Honest Corporate Culture

Compliance, Risk Management
and Corporate Governance

In addition to legal compliance, we continuously promote initiatives to develop the business activities that are appropriate in light of ethics of society on a global scale throughout the Group.


Compliance Promotion System

Along with legal compliance, we strive to ensure observance of corporate ethics to conduct fair and sound business activities. CSR & Communication Divisions HQ receives reports on compliance-related problems and external information on compliance in an integrated manner, takes corrective actions and promotes measures to prevent recurrence throughout Tanaka Kikinzoku Group while receiving advice and guidance from lawyers, consultants and external experts.

●Compliance Promotion System Diagram
Compliance Promotion System Diagram


Risk Management Activities

To respond to various risks we face through our business activities, we regularly conduct a risk assessment and work to reduce the risks. A risk management committee meeting is held every six months to summarize the situation of responses to risks in the whole Group.


Business Continuity Planning (BCP)

We conducted a drill of the BCP emergency task force in preparation for a major earthquake hitting the Tokyo area in February 2018. In this fiscal year's drill, we focused on the response in case of a major earthquake occurring at night or on a holiday (outside working hours) and the president and managers discussed countermeasures and improvement plans. Remedial measures against the issues and problems identified in the drill are taken in a planned manner.


Drill of the BCP emergency task force
(Headquarters of TANAKA Holdings Co., Ltd.)


Corporate Governance Structure and Internal Control

Tanaka Kikinzoku Group aims to realize healthy and transparent business management by enhancing the management monitoring mechanism and to always be an efficient and competitive corporate group.
We have also established a corporate governance system and specified basic policy for internal control to ensure respect for the rights and interests of all stakeholders, business operations in a legitimate and reasonable manner and appropriate and transparent accounting. Based on the system and basic policy, the Board of Directors, Group Management Committee, the Board of Auditors and Internal Auditing Department play their respective roles in the internal control system designed to facilitate the achievement of our management goals in a reliable manner.

●Board of Directors (Directors)
The term of the directors of the Group companies is one year so that they can efficiently respond to the rapidly changing business environment and their management responsibility is made clearer. The Board of Directors of TANAKA Holdings Co., Ltd. decides the basic policy for the business operations of the company as well as the Group as a whole. The Board of Directors of each company makes decisions on important matters and receives reports on the status of the business operations to supervise the operations of the directors.

●Group Management Committee
As to important issues related to the Group as a whole, as well as the matters for which adjustments between Group companies are required, Group Management Committee makes discussions and decisions, undertakes adjustments and gives approval in order to facilitate discussions and operations in the Board of Directors. As the president of each Group company attends the committee meeting, the committee also aims to report the respective activities of the companies and share the relevant information.

●Board of Auditors (Auditors)
TANAKA Holdings Co., Ltd. has in place the Board of Auditors composed of all auditors, which receives reports concerning important matters related to audits and makes discussions and decisions about them. Auditors are mainly in charge of monitoring business operations of directors and at least one auditor is appointed from the outside to ensure the objectivity of the business management.

●Internal Auditing Department
Internal Auditing Department has a duty and responsibility to assess and verify the efficiency and appropriateness of the business of the Group companies on a fair and independent footing and make recommendations to management. The department also ensures mutual cooperation with the Board of Auditors and accounting auditors through a regular exchange of opinions and other activities.


Internal Reporting System

As a measure to enhance compliance and detect and correct any non-compliance, dishonest act, etc. at an early stage, we have established an internal reporting system. The content of a report made to the Internal Reporting Committee is examined in a fair manner, which is followed by an investigation of it if necessary. When the fact of non-compliance, dishonest act, etc. has been confirmed, the relevant persons and departments are ordered to take corrective measures. The whistleblowers are strictly protected to ensure that they are not treated in an unreasonable manner.


Promotion of Personal Information Management

To manage personal information, Tanaka Kikinzoku Group classifies the information into the three categories of "personal information of individual customers," "personal information of corporate customers" and "personal information of employees, etc." Especially for the management of personal information of individual customers, we have obtained ISO 27001 certification to promote proper management of the information.


Harassment Prevention Training

To prevent human rights violations including abuse of power, sexual harassment and workplace discrimination against pregnant women, we have organized harassment prevention training since fiscal 2014. In fiscal 2017, training for general employees was organized in all domestic bases and provided to a total of 1,657 employees. In the training, the participants also deepened their understanding of LGBT.

* LGBT: lesbian, gay, bisexual and transgender

TANAKA NOW

Export Trade Control Office works as a department dedicated to security export control, which aims to prevent any product or technology of TANAKA from being used for international terrorism or crime or diverted to nuclear or biochemical weapons, etc. that threaten peace. Our office is also in charge of aviation security and the management of the AEO certification system to ensure the safety of air transportation and smooth export clearance at the same time. While complying with Customs Act, Foreign Exchange Act and other relevant domestic laws and also paying close attention to international matters such as the impact of secondary sanctions by the US Government on overseas companies, we will work hard to underpin the credibility of TANAKA.

YONEKAWA Takashi
Manager, Export Trade Control Office, Administration Department Tanaka Kikinzoku Kogyo K.K.