Basic Philosophy on Corporate Governance

Our main approach to corporate governance focuses on enhancing corporate value, maximizing shareholder returns, and maintaining an organizational structure that allows for quick decision-making in a changing economic environment. The CEO and other directors are expected to act responsibly, make informed management decisions, and gather information to be accountable to stakeholders.
We emphasize the importance of sharing information openly, establishing a strong internal control system, and ensuring corporate auditors remain independent and perform their auditing roles effectively.

Overview of the Corporate Governance System and Reasons for Adoption

Our company’s corporate governance system ensures that the general meeting of shareholders, the board of directors, the board of auditors, and internal audit functions operate effectively and comply with relevant laws and regulations, including the Companies Act. We work with legal advisors on compliance and significant legal decisions. Besides regular board meetings, we have set up a system to clearly separate management and supervisory roles from business execution, using an executive officer system. We chose this system because it allows the Board of Corporate Auditors to perform independent audits, working with both internal audit staff and the accounting auditor. Our internal audits evaluate internal controls and regularly review business execution departments to ensure compliance, proper operation, and effectiveness.

Corporate governance system design