Governance
Corporate governance
Basic concept
Our management philosophy is to contribute to the realization of a better society while helping to improve customer satisfaction through the provision of highly functional chemical products and technologies. We conduct our business activities according to this philosophy.
Our vision is to be a value-creating company that constantly provides highly functional products based on this philosophy.
On top of that, we are conducting our business activities to improve our corporate value over the medium to long term to become a company that can grow sustainably, even amidst drastic changes in the external environment.
We believe it is essential to make and implement decisions quickly, ensure sound management, prevent corruption, and ensure transparency to implement these initiatives. We will work to strengthen our corporate governance.
Corporate governance structure
| Board of Directors | The Board of Directors is positioned as the decision-making body for management policies and strategies and the supervisory body for business execution. It holds regular monthly meetings to resolve important matters, discuss business operations, and make decisions on business execution. |
|---|---|
| Auditor | In accordance with audit policy and audit plans set at Audit & Supervisory Board meetings, Audit & Supervisory Board Members attend important meetings, such as Board of Directors meetings, and conduct audits of the execution of duties of directors based on reports solicited from subsidiaries on an as-needed basis. |
| Risk and Compliance Committee | The Risk Management & Compliance Committee serves as an advisory body to the board of directors to strengthen mechanisms not only for legal compliance, but also for risk management and compliance, including risks associated with corporate ethics. |
Internal controls
We have a system to ensure that the execution of duties by the
directors complies with laws and regulations and the Articles
of Incorporation, as well as a system necessary to ensure the
appropriateness of operations (internal control system).
Click
here for the basic policy on the establishment of the internal
control system.
Audit system
Status of audits by corporate auditor
One corporate auditor audits the execution of directors' duties by attending Board of Directors' meetings and other important meetings, inspecting important approval documents, and interviewing the directors and business execution departments, including the internal audit department.
Furthermore, we accompany an accounting auditor to asset inspections to monitor and verify that the auditor maintains their independence and conducts appropriate audits. At the end of each fiscal year, we review the annual audit activities of the corporate auditor concerning their audit policies and plans and reflect the results in the audit plans for the following fiscal year and beyond, thereby improving the effectiveness of audits by the corporate auditor.
Status of accounting audit
It has been conducted in a fair and unbiased manner by the following designated limited partners:
| Name of the certified public accountant who performs the work |
Designated limited liability officer Corporate executive
officer Rikio Watanabe |
|---|---|
| Name of auditing firm | EY Ernst & Young ShinNihon LLC |
The number of years of continuous auditing by the certified public accountant who performs the above services has not exceeded seven years.