Sustainability Implementation Structure
The corporate philosophy and mission of the KONOIKE Group is “We pursue innovation at the foundations of our society that creates unique value, driven by respect for humanity and relationships of trust.”
In addressing issues related to sustainability, we will also aim to achieve – through the execution of this corporate philosophy – a society that will bring happiness, safety, and a sense of security to various stakeholders surrounding the KONOIKE Group, which include clients, employees, shareholders, and regional communities.
Sustainability Committee and Subcommittee Activities
As an advisory body to the board of directors, the Sustainability Committee (Chair: Chief Administrative Ofﬁcer) responds to inquiries from the board, discusses individual sustainability issues, and reports regularly to the board on the content of these discussions.
The Sustainability Committee has ﬁve subcommittees under its umbrella, each of which evaluates and provides regular reports on subcommittee annual plans and operational status. The Sustainability Committee strives to ensure fairness and objectivity by inviting one outside expert to sit in each subcommittee.
Sustainability Committee and Subcommittee Organization Chart
Activities of the Five Subcommittees
Internal Control Subcommittee (Chair: Executive General Manager of the Finance/Accounting Division)
This subcommittee establishes and operates group internal controls (primarily J-SOX) and verifies KONOIKE Group responses to internal control issues.
Risk Management Subcommittee (Chair: Executive General Manager of the General Affairs Division)
This subcommittee conducts regular risk assessments and selects identified risks to respond to changing operating environments. In addition to determining the departments that have jurisdiction over these risks and setting evaluation targets (control targets), the subcommittee monitors the progress of initiatives and otherwise works to reduce risk.
Information Security Subcommittee (Chair: Executive General Manager of the ICT Promotion Division)
This subcommittee maintains the Basic Policy on Information Security and related regulations, studies human, physical, and technological measures related to information security in general, monitors the state of information security, takes steps to prevent and detect incidents, and responds to emergency situations. The subcommittee has formed an Information Security Measures Team that establishes and periodically reviews specific measures for improvement. The team also conducts trainings and manages the (PDCA) cycle to maintain and advance information security.
Compliance Subcommittee (Chair: Executive General Manager of the Corporate/Quality Division)
This subcommittee works to formulate and review compliance policies, manage PDCA cycles, and strengthen domestic compliance structures. Further, the subcommittee identifies cases related to the internal reporting system (Konoike Helpline).
Environmental Subcommittee (Chair: Executive General Manager of the Corporate/Quality Division)
This subcommittee aims to ensure legal compliance and mitigate environmental impact by evaluating compliance with environment-related laws and regulations. The subcommittee also confirms the status of environmental conservation activities and discusses, drafts, and implements measures for improvement.
The KONOIKE Group identiﬁes materiality in terms of both risks and opportunities to achieve sustainable growth with our stakeholders. We also work on various initiatives, as it is important to incorporate these materialities into our medium- to long-term management plan. We plan to start identifying risks and opportunities in the business divisions to ensure the complete extraction of all materiality. Then, we will identify KONOIKE Group materiality by referring to the GRI Standards, other guidelines, and dialogues with external experts.
Materiality Identiﬁcation Process
Sustainability and Risk Management
The KONOIKE Group aims to enhance sustainable corporate value by strategically promoting sustainability. We recognize the importance of risk management in the promotion of sustainability, and in particular, that objective risk assessment is one among several that play a fundamental and essential role.
Risk Assessment Objectives
②Identify priority countermeasure risks that have a signiﬁcant impact on company management.
③Clarify the direction of risk countermeasures to be taken as an organization.
④Raise awareness of risk management within the Group.
We constantly pursue initiatives to optimize our risk management and formulate an effective sustainability strategy, aiming to increase sustainable corporate value and expand our social impact.