Compliance

We believe that gaining the trust and sympathy of society requires each and every employee to have high ethical standards and to act with fairness and integrity. Based on this concept,the Pacific Industrial Group Code of Conduct, which has been revised and updated since its initial publication in 2008, is distributed to all employees to raise awareness. Overseas, Group companies operate their own country’ s code of conduct that reflects the laws and customs of that country or region, in addition to the Pacific Industrial Group Code of Conduct, and conduct compliance activities appropriate to that country or region.

In the area of awareness-raising and education, in addition to rank-specific training and specialized training, we continuously conduct various educational and awareness-raising activities for employees, such as distribution of a regular newsletter discussing familiar topics, in an effort to prevent fraud and misconduct.

Our Group also conducts questionnaires with employees, including those of overseas companies, to determine the level of penetration of our Code of Conduct, identify compliance issues, and to implement improvements for the quick detection and resolution of problems and prevention of recurrence. Furthermore, to find and correct injustices and scandals that cannot be identified through questionnaires, we have established an internal reporting system that allows employees to report or consult with us by e-mail, telephone, postal mail,or in writing. For example, we have introduced an independent consultation desk, which functions as a reporting system independent of management, with outside directors and full-time audit & supervisory board members to contact. Compliance regulations stipulate maintaining confidentiality for whistleblowers and others seeking advice, as well as prohibition of prejudicial treatment on the grounds of reporting or consultation, making the system safe to use.

In 2020, as part of our basic anti-bribery and anti-corruption measures, we developed anti-corruption rules by establishing a Basic Policy for Anti-Bribery and Anti-Corruption and incorporating it into the terms of contracts with third parties such as business agents, as well as raising awareness and educating employees. We have also developed Supplier Sustainability Guidelines to prevent bribery and corruption in the supply chain.

The company is making continuous improvements towards ensuring thorough compliance, including promotion activities to diffuse and establish compliance, the prevention of misconduct and an early response if something does occur.
Moreover, we have appointed a “Compliance Manager” in each department to provide education and enlightenment within departments and to strengthen the risk management system. The Compliance Managers grasp the state of compliance in their workplaces once a year through “self-inspection of the Code of Conduct” and work to correct and improve any issues extracted.

March has been established as Compliance Month at the company for employees to understand and develop a will for compliance. Further, in addition to compliance seminars and other education by rank and specialized training, we implement e-learning-based comprehension tests for all employees. To instill awareness of compliance and establish it as a corporate culture, in addition to such education and audits, we implement various awareness-raising activities, including reading through the Code of Conduct.

The company has established an “ethics and complaints desk” as a point of contact for employees to report and consult outside of the normal organization if they discover or foresee a violation of law, standards for conduct or internal regulations, or an act that may be a violation. In addition, we also accept reports and requests for consultation from business partners.
In principle, we receive the details of reports and consultation in registered form, investigate the facts promptly with utmost care and deal with problems immediately. Further, we observe the privacy of people who report or seek consultation strictly and protect them so that they will not suffer any disadvantage by reporting or consulting with us.