Risk Management

The following risks are assumed to be the risks revolving around the business.

The Group has formulated a “business continuity policy” that places the highest priority on confirming and ensuring the safety of employees and their families, maintaining the supply of parts and materials necessary for customers to continue operations, and protecting human life and conducting rescue and recovery activities in the region. We review and adjust the Company’s business continuity plan (BCP) and plant BCPs on this basis. In fiscal 2023, as in the previous year, we continued to analyze assumptions of damage and vulnerabilities of current countermeasures in the event of a threat to each company and plant. We also analyzed and identified vulnerabilities with respect to BCP enhancement, starting with our response to climate change. Taking changes in the external environment into account, we continue to review and detail BCPs and manuals from a practical standpoint, as well as measures to ensure the continuity of product supply and service provision, in addition to seismic reinforcement measures at the level of each department, including general affairs, production management, manufacturing, and IT.

We have introduced a “Safety Confirmation System” for confirming people’s safety via mobile phones and smartphones following a disaster or accident. We explain the system to new employees and enforce early registration. We carry out operation drills twice a year (in June and December) to confirm the system’s effectiveness and to raise awareness of the system among all employees, and use the drill results to perform reviews and disseminate information. In fiscal 2023, in addition to conventional e-mail-based safety confirmations, we have made it possible to use safety applications and messenger applications together in order to improve the safety confirmation response rate and to anticipate delays in receipt or refusal of acceptance when actual safety confirmation e-mails are sent out. We continue to collect final response rate and elapsed time data, and implement measures for improvement.

We believe that it is our responsibility to protect the information assets entrusted to us by our important customers and business partners as well as our own information assets. Accordingly, we have established the Information Security Policy as a guideline for information protection. The Information Security Committee is chaired by the CFO, and each company has a director in charge of security, a security manager, and a security subcommittee, and Group (affiliated) companies also participate in the committee. Although we have been implementing information security measures until now, unauthorized access to the servers of our Group companies was discovered in 2023. Taking this situation seriously, we have implemented the security enhancements since 2024.

Additionally, we are working to prevent leaks of confidential company information and personal information due to the expansion of the scope of conventional activities, including remote work (working from home), and provide education to improve individual employee literacy. Moving forward, we will strive to further strengthen our information security management system, including at Group companies, and work together to implement security measures.

* Unauthorized access to the servers of our Taiwan subsidiary was discovered on September 12, 2023

A director in charge of security, a security manager, and a security subcommittee are assigned to each company, and Group (consolidated) companies also participate in the Information Security Committee.