The NAGASE Group not only has trading house functions, but also operates a multifaceted global business based on its manufacturing and processing functions. This exposes the Group to the various risks inherent to each individual business it is engaged in. We therefore need to realize sustainable growth while minimizing harm from emerging risks. Each relevant department has accurately assessed the internal and external risks related to business activities and enacted countermeasures to improve the situation.
* Specific monitoring of risk management and compliance is managed by the Group's Risk Management & Compliance Committee, with defined function and authority and clear roles and responsibilities.
Risk Management & Compliance Committee
The Risk Management & Compliance Committee formulates the NAGASE Group Basic Compliance Policy to ensure corporate activities are strictly in line with the NAGASE Group Code of Conduct. Should an illegal act or other issue be discovered at NAGASE & CO. or a Group company, such should be reported immediately to the Risk Management & Compliance Committee, which shall report promptly to the Board of Directors and the Audit & Supervisory Board. In addition, the Group has introduced an internal compliance hotline whereby directors, officers, employees, and others, including those from Group companies, can report or discuss issues directly.
Business Crisis Management
We established the Crisis Management Guidelines to prepare for a business crisis that could disrupt business continuity. The guidelines aim to build a system that can swiftly and appropriately launch on-site first responses as well as a Group-wide organizational response, encompassing an assessment of the real situation, status reports, action guidance, and more.
Crisis Management Guidelines.
In an emergency, we will strive to maintain the stability of our business operations and minimize stakeholder losses under the Crisis Management Guidelines.
The NAGASE Group strongly recognizes the importance of protecting data assets owned and managed in the course of conducting business activities. The economic and social losses incurred from information leaks and other accidents are incalculable. As for information security measures, all NAGASE Group employees are aware of the importance and need to work together Group-wide on this matter. Regarding the promotion of information security, we have established the Basic Policy of Information Security, as well as the Guideline for Information Security Measures which comprehensively detail recommended security levels and rules that need to be followed.
In addition, each Group company creates a manual detailing rules and things to be careful about during daily tasks as well as various rules and procedures outlining how to implement information security countermeasures. We are also fostering greater awareness among all employees through regular education and training.
Information Security Hierarchy
The NAGASE Group's hierarchy for execution of information security management is as follows.
Information Security Committee
- The NAGASE Group has established an Information Security Committee under the umbrella of the Risk Management & Compliance Committee. The former is responsible for upkeep of the Group's information security, regularly reporting to the Risk Management & Compliance Committee.
- The Information Security Committee presides over formulating and updating basic policies and guidelines on information security, as well as planning, implementing, and evaluating information security measures.
The administration of trade secrets and intellectual property, the handling of trade secrets belonging to the company, the handling of trade secrets and intellectual property rights of third parties, and the protection of personal information are also clearly defined in the Code of Conduct. These stipulations are rigorously communicated within the Group.
We use these measures to appropriately company-held information assets on a daily, ongoing basis, and we strive to properly leverage confidential information and effectively utilize information assets.
Trade Secret Administration
The NAGASE Group recognizes that intellectual property rights are also key company assets and subsequently endeavors to protect these. Intellectual property rights include patents, utility models, designs, trademarks, and authorship rights of computer software. The handling of trade secrets belonging to the company and the handling of trade secrets and intellectual property rights of third parties, are also clearly defined in the Code of Conduct. These stipulations are rigorously communicated within the Group.
Crisis Prevention and Business Continuity Planning
Each NAGASE Group company has taken steps to mitigate such risks as those related to natural disasters that could impact the continuity of business activities as well as the safety and lives of employees. NAGASE has enacted measures for crisis prevention to protect human life and assets as well as business continuity plans (BCPs) to ensure steady operations. As for crisis prevention activities, we annually conduct one drill that coordinates our major domestic bases of Tokyo, Nagoya, and Osaka, checking the first responses during times of crisis, such as the transfer of head office functions. As for BCPs, each department has formulated a recovery plan to assure delivery to major business partners.
The NAGASE Group’s training facility NAGASE Global HR Development Center in Shibuya, Tokyo is highly resilient to earthquakes and is equipped with power generators. In an emergency in which the Tokyo head office cannot be used, this facility will function as a satellite office with a 150-person capacity.