Tokyu Fudosan Holdings Corporation prepares and operates a risk management system based on the "Risk Management Basic Rules". This risk management system refers to ISO 31000 which is a representative risk management framework.
The Company recognizes all internal and external factors that adversely affect its management, such as financial loss, loss of brand image, discontinuance or suspension of business continuity, as a risk. In order to comprehensively manage them, we are grasping the serious risks of the whole company and implementing countermeasures systematically and on a scheduled basis according to priority. In addition, each group company evaluates and analyzes the risk and manages it.
Management risks, business process risks and other risks that seriously affect management (such as crisis management response) are managed as "Major Risks". They are managed in the following individual risk unit.
《Major Risks》
①Investment risk ②Financial capital risk ③Personnel labor risk ④Legal compliance risk ⑤IT strategy risk・Digital strategy risk ⑥Information security risk ⑦Crisis management response
ESG risk is managed as a sub category of "major risks".
《Example of ESG risk》
･Climate chang · Biodiversity conservation · Environmental pollution · Waste reduction and appropriate treatment · Resource utilization · Water resources conservation · Human rights protection · Prevention of child labor · Contribution to the community and society · Employee health and safety · Employee human rights · Corruption, Bribery · Corporate governance, etc
Risks that have a greater impact on business performance and financial status
①Investment risk ②Financial capital risk ③Personnel labor risk ④Climate change risk
Article 4 of the Basic Regulations on Risk Management stipulates that the chief officer for risk management is the President & Representative Director. Also,
In our group, the corporate Auditors audit the execution of risk management by the President and Representative Director, who is the head of risk management, based on the "Risk Management Basic Rules", and the Internal Audit Department of the Group audits risk management systems and risk management operations at each group company.
The Board of Directors has established the "Compliance Regulations" as guidelines for actions of executives and employees, and we supervise corporate activities in good faith and fairness and ensure the soundness of management based on self-discipline.
Risk management is managed through the Group Management Committee and the Board of Directors and The Risk Management Committee manages the risk management carried out by each group company in a comprehensive manner. Corruption and bribery are centrally managed within the risk management system, regardless of the level of risk. Especially for high-risk businesses, we have established departments responsible for individual risk, and that department grasps, evaluates and analyzes the risk management structure and management situation of the group. The results of the Risk Management Committee are reported to the Board of Directors and the risk management process is reviewed as necessary.
In our group, we address significant ESG events or incidents as follows:
・Selection of important risk (creation of risk map) or review and formulate measures (practical plan)
・Investment · Financial Capital Risk Management (Business Risk Management)
Understanding total risks(Calculation of VaR value),
Market forecast (KRI setting, monitoring),
Individual investment management (Report progress on large-scale investment projects to the Group Management Council,Board of Directors)
⇒The Risk Management Committee summarizes in the fiscal year and reports to the Board of Directors.
・In accordance with the role in the report route at the time of the crisis, appropriate crisis management is carried out based on the emergency response basic manual.
Before commencing any business, Tokyu Land Corporation always conducts a corruption risk survey of its business partners, brokers, and other counterparties.
Before commencing any business, Tokyu Land Corporation always conducts a corruption risk survey of its business partners, brokers, and other counterparties. We comprehensively assess risks related to corruption, bribery, embezzlement, fraud, labor violations, crime, abuse and slavery, tax evasion, money laundering, extortion, and human rights violations, and work to prevent corruption. In cases where we determine that there is a particularly high risk, we review the results of the investigation in detail and, if necessary, conduct additional investigations to reconsider and manage the situation.
At Tokyu Fudosan Holdings, accordance with the regulations of the audit firm based on the Certified Public Accountant Act, etc., has been operating as follows.
・ Audit partners cannot be involved in the auditing business of the Company for more than seven accounting periods, and the Senior audit partners for more than five accounting periods.
・ Audit partners cannot be involved in the auditing business of the Company again for five accounting periods after the replacement, and the Senior audit partners again after the replacement.
Our Group have established a point of contact to receive comments and suggestions not only from our employees, but also from our customers and other external stakeholders.
Our Group have established a point of contact to receive comments and suggestions not only from our employees, but also from our customers and other external stakeholders. All reports and other information received will be kept confidential.
In the event of a violation of laws, regulations, or internal rules, our group will investigate and respond to the violation in accordance with the Compliance Rules, including the parties involved, the history of the facts, the nature and details of the violation, the amount of damages, and the impact on interested parties, as well as report to the relevant government agencies, formulate measures to prevent recurrence, and take disciplinary action.
In the event of a violation of laws, regulations, or internal rules, our group will investigate and respond to the violation in accordance with the Compliance Rules, including the parties involved, the history of the facts, the nature and details of the violation, the amount of damages, and the impact on interested parties, as well as report to the relevant government agencies, formulate measures to prevent recurrence, and take disciplinary action.
At the end of every fiscal year, our group estimates the amounts of penalties for ESG issues or legal settlements that are likely to occur in the future due to events (including corruption and bribery ) from the current and previous fiscal years (if the loss of a court case is expected) and sets aside a reserve fund. We determine whether to disclose this amount or not (including in notes to financial statements) on a case by case basis in light of the materiality of the amount on the consolidated balance sheet. Over the previous three years, there have been no disclosures with regards to legal settlements or other matters. Future plans for disclosure are as follows.
Management Structure Basic Views on Corporate Governance Corporate ...
The Group has established the Compliance Helpline, as an outlet for all emp...
Corruption risk assessment in business Covering anti-corruption comprehensi...
Tokyu Fudosan Holdings does not make donations to political activities as s...
Employee Discipline, Dismissal, and Fines/Penalties Resulting due to non-co...
Goals, Initiatives, and Achievements Dealing with serious ESG events and i...
Before commencing any business, Tokyu Land Corporation always conducts a co...
Regular rotation and re-involvement of audit partners At Tokyu Fudos...
Our Group have established a point of contact to receive comments and sugge...
In the event of a violation of laws, regulations, or internal rules, our gr...
Reserve Fund for Legal Violations and Litigation At the end of every fis...
Management Structure Information Security Management System Informati...
Goals, Initiatives, and Achievements Each Group company develops policies,...
