Risk Management
Basic Concept
To sustain and advance our business, it's vital that we meet our corporate social responsibilities and effectively manage various risks inherent in our operations.
The Tsubaki Group has established a Risk Management Policy, under which it strives to prevent the actualization of risks and minimize possible losses by continually identifying and understanding risk factors regarding a host of risks that could significantly impact on management.
Risk Management Policy
Tsubakimoto Chain Co. and its group companies in both Japan and abroad have established the following principles to prevent potential risks that may have material adverse effects on the business management of the Tsubaki Group and to minimize damage if a risk does occur. The Tsubaki Group strives to become resilient to risks and to maintain the public trust and confidence that it has enjoyed.
1.We will identify, analyze, and assess risks associated with global business activities and take efficient and effective risk control measures. We will regularly monitor how the measures are being taken and make improvements where necessary.
2. We will have a risk management system in place and take continuous measures with a focus on risk prevention. We will ensure that the risk management system is well communicated throughout the Group and work as a team toward accomplishing a goal.
3. We will provide education and training to employees to raise their risk awareness and risk response skills so that risk management becomes a part of their routine.
4. In the event of a disaster, accident, or other emergency situations, we will promptly set up an emergency task force. With safety of life as the highest priority, we will work closely with the local community, take actions, and conduct recovery operations promptly.
5. We will adapt risk control measures to best suit the specific requirements of the country or region.
Established: September 2003
Revised: November 2013
Promotional System
The Tsubaki Group has established several committees regarding corporate ethics; information security; the environment; quality; health and safety; and compliance and crisis management under the supervision of the Sustainability Committee in order to promote effective and efficient risk management. These committees promote risk countermeasures on a Groupwide basis by coordinating among one another to advance various ongoing measures geared toward identifying and evaluating risk factors as well as preventing the actualization of these risks.
In addition, we have established and are operating an emergency contact system on a global basis in the event of risk materialization to minimize possible losses.
Principal Initiatives
The Tsubaki Group regularly assesses the status of risks associated with each of its constituent companies and the status of response measures regarding such risks. Our various committees focused on corporate ethics, information security, the environment, quality, occupational health and safety, and compliance and crisis management undertake specific risk management initiatives in each area according to these assessment criteria.
In FY 2023, we focused on five key areas: addressing changes in the environment, managing human rights issues and labor-related risks, managing supply chain risks, strengthening our crisis management systems, and bolstering our cyber security measures.
These activities are reported to the Sustainability Committee and necessary instructions are provided at appropriate intervals.
Business Continuity Planning/Disaster Preparedness Initiatives
In order to be prepared for natural disasters, incidents, and other unforeseen large-scale disasters that have become increasingly common in recent years, the Tsubaki Group has formulated a Basic BCP Policy and is implementing a variety of disaster preparedness initiatives.
(BCP: Business Continuity Plan)
(1) Business continuity plan revision initiatives
Since FY 2022, Tsubaki has been revising its business continuity plans not only in-house but also at other Group companies in Japan. The aim is to have each business division and the general affairs department cooperate to achieve early restoration of business activities during an emergency, with priority placed on the safety of human lives. We will also hold BCP seminars for officers and Crisis Management Committee members, and work on strengthening the relevant systems.
(2) Disaster preparedness drills
We hold evacuation and fire-fighting drills (in principle, at least once a year) for regular daytime employees and night shift workers, and for a variety of work hours when a disaster may occur. In FY 2023, we conducted two sessions of e-learning to raise awareness about disaster preparedness for head office and branch employees who work in high-rise building, and carried out risk management activities.
(3) Utilization of the safety confirmation system
To quickly confirm the safety of employees and their families in the event of a serious disaster such as an earthquake, typhoon, torrential rain, or heavy snowfall, we have introduced a safety confirmation system using smartphones. By conducting regular drills, we have been able to quickly confirm the safety of employees and the damage situation during an earthquake.
(4) Stockpiling of disaster preparedness and mitigation items
We are stockpiling water, food, simple toilet liner bags, blankets, lanterns, satellite telephones, and other supplies at each business site, in anticipation of difficulties in returning home in the event of a disaster.
As an emergency power source in case of power outage, we have installed emergency generators and eLINK* V2X bi-directional EV charging systems in the welfare buildings at plants in Japan. We are ensuring that the functions of the Disaster Response Headquarters can be maintained in the event of a power outage, and we are preparing an environment that will enable us to provide meals to those experiencing difficulties in returning home.
* eLINK: Bidirectional charging system for sending and receiving electrical power between a building and EV (our company’s product). In addition to EV charging, the power stored in the EV battery can be supplied to other locations.
