Compliance Initiatives

Compliance Initiatives

To put our Corporate Philosophy into practice and be a company trusted and loved by customers and society, the KONOIKE Group must comply with laws, ordinances, and social norms, as well as conduct business fairly and transparently. To this end, we established a Corporate Ethics Code. Under this code, we further defined a Compliance Code and Operational Regulations on the KONOIKE Helpline, which we use to ensure compliance with and practical application of the Corporate Ethics Code. These measures guide our efforts to raise compliance throughout the Group.

Raising Compliance Awareness

Compliance education is provided to employees in career-track positions during their annual training and employment-grade-specific training. During each training, we reiterate our Basic Philosophy, explain case studies of wrongdoing and misconduct within and outside the Group, discuss observations made by government agencies, and work to raise employee awareness of ethics. Our goal is to be a good corporate citizen, acting with integrity toward all stakeholders in a way that is ethical and in accordance with accepted social values and norms.

Initiatives for Overseas Subsidiaries

We must promote the KONOIKE Groups philosophies to overseas subsidiaries, where business practices differ from those in Japan. In addition to providing compliance education through e-learning, we measure the workplace climate and employee attachment at each local subsidiary. This is done by conducting surveys to gauge compliance awareness and employee engagement at each location. We also work to improve engagement through various initiatives, an example of which is Katariba. We also hold study meetings on our corporate ethics code for managers and promote the thorough enforcement of the Basic Philosophies of maintaining safe and pleasant workplaces, contributing as a good corporate citizen, caring for the environment, and engaging in fair trade.

Internal Reporting System

The KONOIKE Group offers the Konoike Helpline as an internal reporting system. We also offer access to a law firm as an external reporting point for employees who are reluctant to report to an internal party. Although there is no official code of practice applicable when it happens, Audit & Supervisory Board members do sometimes receive reports directly. In these cases, the member contacts someone staffing the Konoike Helpline to investigate the matter. Report contents are submitted to the Compliance Subcommittee and the board of directors. We have also introduced internal reporting systems at some locations outside Japan, and we are planning to gradually expand these reporting channels.

Konoike Helpline Structure

Creating a Pleasant Work Environment

Due to the so-called 2024 Problem (see Column below) and the declining birthrate and aging population, a labor shortage is inevitable for the KONOIKE Group. To address this issue, we are working to create a more pleasant workplace for as many employees as possible. We are conducting surveys on employee wellbeing (see P. 38) and compliance awareness so that we can improve psychological safety of our employees, and at the same time we are seeking to increase efficiency and productivity on-site by leveraging technological innovation, which will lead to the creation of a more pleasant workplace for as many employees as possible.

Recognized Under the Great Place to Work Certification System

The Great Place to Work Certification System was launched by the Japanese Ministry of Land, Infrastructure, Transport and Tourism as part of a comprehensive effort to address the driver shortage in the motor transport industry. Konoike Transport Co., Ltd. and Kyushu Sanko Unyu Co., Ltd. received the newly introduced Two-Star Rating in FY3/2023.


The 2024 Problem (Revision of Improved Standards Notification)

The Improved Standards Notification, which sets out truck drivers’ working hours amongst other things, was revised in December 2022, with the effect that as of April 2024, the number of hours a driver can be on duty will be reduced. As a warehouse operator, trucks are loading and unloading at our sites all the time, so we are working to improve the efficiency of our warehouse operations and reduce truck waiting times. To that end, we are introducing a berth management system and asking our regular shippers to maintain optimized inventory levels.

Check the KONOIKE Group Integrated Report 2023 here.

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