Risk Management

NEC Networks & System Integration Corporation

Risk Management

Basic Approach

To ensure sustainable development as a company, the NESIC Group needs to take appropriate measures to ascertain all manner of internal and external risks related to their business activities, perform risk assessments, take countermeasures against those risks, assess the implementation status of the risk countermeasures, and make improvements. Further, in the event that a risk manifests itself, it is ecessary to quickly gather information, ascertain the situation and take steps to minimize damage or injury due to the risk occurring. We engage in risk management based on this approach.

Advancing Risk Management

The Management Quality Improvement Committee comes together for quarterly meetings at which it hears reports by marketing and sales units, operations units, subcommittees and other bodies on improvement measures taken and risks identified. The committee then considers and discusses actions to take going forward.

Three high-priority risks identified by the Management Quality Improvement Committee for the fiscal year ended March 31, 2017 are given below. The marketing and sales unit, operations units, and corporate staff are now working together to prevent these risks from being realized.

 style=

 style=

Risk Management Activities

NESIC engages in activities to prevent major risks from manifesting. Every year, NESIC identifies business risks that are unique to the nature of operations at internal departments and Group companies, organizational risks that are shared by multiple departments and Group companies, and risks that must be systemically avoided based on laws, regulations, internal rules, and manuals. These risks are effectively managed in a PDCA cycle.

Internal Whistleblowing System

Summary

Based on the Whistleblower Protection Act, NESIC and Group companies maintain an effective internal whistleblowing system, which includes the Corporate Ethics Hotline and the Sexual Harassment and Human Relationships Hotline, based on internal rules.
NESIC promotes use of the internal whistleblowing system through training, education, and its internal website.

Corporate Ethics Hotline

While engaging in their work duties, employees may have questions regarding laws, regulations, internal rules, and other social norms. If for some reason they are unable to consult with their superiors or relevant departments, employees have the option of reporting matters and seeking advice through the Corporate Ethics Hotline.

Sexual Harassment and Human Relationships Hotline

This hotline offers consultations for employees distressed about human relationships, or who have experienced sexual or power harassment in their work relationships.

Reported Cases

The internal whistleblowing system was utilized a total of 69 times during FY2020, including 18 times through the Corporate Ethics Hotline and 51 times through the Sexual Harassment and Human Relationships Hotline. The matters brought to light through the system are being properly evaluated and dealt with.