Basic Approach

Under our corporate philosophy framework—Purpose, Vision, and Values—the Yokowo Group has established the Sustainability Action Guidelines. Guided by these principles, we are committed to practicing compliance management with integrity and the highest ethical standards.

Compliance Promotion Framework

Under the Sustainability Committee, we have established a Compliance Committee, chaired by the Executive Officer in charge of compliance, to promote awareness and education on compliance.
The Compliance Committee reports to the Board of Directors after the Sustainability Committee reviews its initiatives to address compliance-related issues and the progress toward KPI targets.
Under the Compliance Committee, each business division, headquarters, and center appoints a Compliance Officer. In addition, Compliance Promoters designated by these Compliance Officers foster compliance awareness within their departments by utilizing resources such as newsletters and e-learning programs distributed by the Compliance Committee.
Compliance Promoters also attend the Compliance Committee’s general meeting to deepen their understanding of compliance and strive to cultivate a strong compliance mindset across the organization.

Compliance Structure

Compliance Initiatives

The business environment surrounding the Yokowo Group is constantly evolving. Even under such circumstances, we recognize the need to fulfill our corporate social responsibility by complying with laws and regulations and acting in accordance with social ethics.
Serious compliance violations can lead to loss of stakeholder trust and damage to corporate value. To ensure that all officers and employees of Yokowo Group adhere to laws, internal rules, and social ethics, and to build a company that earns society’s trust-“creating a good company and connecting to a better society”—we have adopted the theme “Compliance that Protects People”. Under this theme, we continuously provide compliance education and awareness programs through group training sessions and e-learning.

Compliance Training

Compliance Training in FY2024
The status of compliance training conducted in FY2024 is as follows:
(Figures in parentheses indicate participation rates.)

1. 1. Group Training
   • Compliance training for new employees (100%)
   • Compliance training for newly appointed managers (100%)
2. 2. E-learning
   • For domestic group companies: Prevention of power harassment (90.6%), prevention of sexual harassment (86.8%)
   • For domestic and overseas group companies: Prevention of Bribery and Corruption (98.5%)
3. 3. Group and Online Training
   • Compliance training for mid-career hires (conducted in the month of joining) (100%)

Self-Assessment Program for Amended Laws and Regulations

Under the Compliance Committee, Self-Assessment Officers for amended laws and regulations are assigned to each business division, headquarters, and center. Based on updates on amended laws and regulations, they conduct quarterly reviews assess the impact on operations and keep records of their findings. When necessary, they revise business processes and internal rules to ensure alignment with the latest legal requirements.

Internal Compliance Awareness

The Legal Department regularly publishes compliance-related information on the company intranet to raise compliance awareness across the organization. These updates cover topics such as case studies, legal trends, and practical points for daily operations. Through these efforts, we strive to foster a strong compliance mindset among all employees.

Whistleblowing System

To enhance our whistleblowing system, we have established external consultation hotline in addition to internal channels. This enable the early detection and correction of compliance violations or potential misconduct.
The Compliance Promotion Subcommittee and the Harassment Prevention Subcommittee handle reported cases, including those received through hotlines or direct consultations. Investigations and responses are carried out in collaboration with external legal counsel and experts as necessary.
In FY2024, there were 13 whistleblowing cases, all of which were appropriately investigated and addressed.

Whistleblowing Process based on Internal Whistleblowing Regulations

Performance

Please refer to the ESG Data Book for detailed results of each initiative.
For compliance-related KPIs, please refer to Sustainability Management.