CSR Policy

Pillars of CSR Policy

1.Contribution to society through business

• We will produce a new value by providing knowhow and/or technology for a better world.
• We will provide products which contribute to the long term good of the environment, improvement of safety and creation of a culture to realize a sustainable society.
• We will aim to be a company needed by everyone.

2.Trusted Company

• We will aim to be a sustainably growing company, trusted by shareholders and investors.
• We will aim to be a company that establishes a governance and compliance system trusted by society.
• We will aim to be a liked and respected company that is trusted by the local community.

3.Practice of Core Values

• We will aim to be a company where every team member plays active roles cheerfully and lively.

Stance toward each stakeholder

Stance toward customers

• We will ensure quality, which produces peace of mind and trust.
• We will provide the optimal solution to solve customers’ issues.
• We will aim to produce unique products that are not an imitation.
• We will promote “Advanex Perfection: The Pursuit of excellence in production.”
• We will never assist production of arms.

Stance toward suppliers

• We will conduct fair and sound trade based on the Regulation of Procurement Management.
• We will never accept gifts or entertainment, that are out of conventional wisdom, or an inappropriate benefit, which is given by using any advantageous position or authority.
• We will establish strong business partnerships with suppliers for the joint fulfillment of our social responsibilities.
• We will not use material provided through our supply chain which assists or conflicts with any violation of human rights.
• We will never be involved with anti-social forces or assist its activity.

Stance toward global environment

• In line with our Basic Environmental Policy, we will make an effort to maintain the global environment.
• We will minimize and deal with waste or contaminants in the appropriate manner.
• We will propose and promote production methods that are environmentally friendly.
• We will contribute to reduce the burden on the environment through our business activities eg. development and expansion of environment-friendly products.

Working together with our team members

To become a company where members can work in the appropriate way for each member’s character

• We will never discriminate against sexuality, nationality, disability or religion.
• We will endeavor to understand each country’s traditions, values and culture to recognize and respect the differences and character of each other.
• We will never assist forced labor, child labor, people trafficking or exploitation.

To become a company where each team member succeeds cheerfully and lively

• We will implement and work to our 7 Core Values.
• We will provide the culture to allow our team members to succeed fairly.
• We will provide opportunities for the development and acquisition of skills and knowledge.
• We will provide a safe and clean workplace.
• We will be aware of our member of society and will comply with laws.

Working together with our shareholders and investors

• We will disclose timely information and be transparent in our management of the Company.
• We will consider a stable dividend as a basic principle and will endeavor to enrich returns to shareholders.
• We will endeavor to make our business activity understood correctly through IR activity.

Working together with our community

• We will be aware of the citizens of our community and will voluntarily work to contribute to society.
• We will take interest and support community issues.
• We will voluntarily support helpful activities in a disaster.

Corporate Governance

Corporate organization and internal controlling system

(1) Basic information of corporate organization

We are adopting Board of Auditors’ system and shareholder’s meeting, board of directors and board of auditors are set up as corporate functions, which are regulated in the Company law. We have 4 full-time directors and 2 outside directors, the number of which is suitable for prompt decision-making and business management. All the matters to be resolved by directors, which are regulated in the Company law, are discussed in the board of director’s meeting every month. Also the board of director’s meeting is flexibly held at any time if necessary. Board of corporate auditors is composed of three external auditors. They attend important meetings such as board of director’s meeting and can supervise appropriately with abundant experiences, findings, and experiences about the director’s duty accomplishment. Besides this, the internal auditing office is set up as an internal controlling system, which is not regulated by laws. This is also an internal audit organization of the president, which supervises accomplishment of corporate policies and the whole business activities by cooperating with board of auditor’s meeting and, thus, makes advices and recommendations for the business improvement.

(2) The structure of Corporate Governance

(3) Organizational structure

(Directors and the Board of Directors)

At ADVANEX, the Board of Directors decides on key matters related to the execution of operations. The board comprises 4 full-time directors and 3 outside directors, which we consider an appropriate scale for swift decision-making and dynamic management. The board meets regularly once per month and an ad hoc basis as needed. The board deliberates on all matters related to the fundamental management policies and other matters of importance for the operation of our business. Decisions are made only after due deliberation of such matters.

(Auditors and the Board of Corporate Auditors)

The Company has adopted an auditor’s system. Board of corporate auditors is composed of three members including three external auditors. They participate in the Board of Directors’ meetings and other important meetings and audit the business execution of the Board of Directors and group companies. In addition, the Board of Corporate Auditors works to enhance the effectiveness of the audit process by sharing information and opinions and otherwise maintaining close contact with the Internal Auditing Office and the accounting auditors. The Company has no personal, capital or business relationships or other conflicts of interest with three external Auditors.

(Management meetings)

ADVANEX convenes executive committee meetings once per month for the purpose of deliberating on management issues, reporting, and unifying understanding. Committee members are directors and auditors.

(Internal audit)

We set up the Internal Auditing Office, comprised of two members who report directly to the president and also work for internal audits, under the direct control of the president. In cooperation with the Board of Corporate Auditors and our accounting auditors, this office monitors the implementation of management policies and corporate operations in general, and offers specific advice and points for improvement.
We began to build an in-house control system to comply with Financial Instruments and Exchange Law. We have improved quality of corporation along with reliability improvement of financial reporting, ensuring of transparent and efficiency based on full check, standardization and documentation of business process, and thoroughness of ensuring security based on enhancement of risk control.

(Compliance structure)

To help ensure that all Group employees conduct more highly ethical business activities, the Company has formulated the ADVANEX Group Basic Policies and Ethical Guidelines Concerning Ethics and Legal Compliance, outlining specific behavior guidelines for all executives and employees, both in Japan and overseas, to ensure that they comply with, and abide by the spirit of, all laws and regulations. Also, as part of the corporate ethics program a Corporate Ethics Committee has been established with the aim of spreading and establishing corporate ethics, and preventing problems before they occur.
We set “Basic Policy for Information Security”, provide “Guideline for Information Security” and “Working Rule” of concrete information management and handling rule, and try to eliminate risk of leaks of corporate information and protect IT systems.

Corporate Ethics & Law-abiding Basic Policy

Basic policy of Advanex group’s ethics and the compliance management

The mission of the Advanex group is “Satisfaction-plus network for a better world”.
Adopting an ethical approach, we observe the laws and rules to achieve our mission to be good global citizens.
Using our own initiative, Advanex will keep aggressively contributing to society.

The action guides for achieving the “basic policy”

1. Sound management

(Reasonable, fair management and information disclosure)

• We recognize our responsibilities to be good global citizens, and to operate transparent, sound management practices.
• We disclose accurate information to all stake-holders by the appropriate time and the method.
• The facts are revealed whether it benefits or hinders us.
• We faithfully react to complaints and/or proposals.
• We do not support any unethical practices.

2. Observance of law and regulation

(Esteem of culture and human rights)

• We observe the laws, rules, and the spirit of them in each country.

3. Respect for different culture and contribution to the region

• We respect the culture and customs in each region.
• We contribute to the economy and progress of society by the adoption, the promotion, and the appointment of the local people.
• We positively contribute to society.
• We respect our employees’ human rights.
• We provide growth opportunities, self-actualization and a safe workplace for our employees.

4. Contribution to improvement of environment

• We save resources and energy by the promotion of paperless systems and minimizing power consumption.
• We minimize waste by promoting the 3R principle (REDUCE REUSE RECYCLE).
• We pledge never to do anything that has a negative effect on the environment.

5. Conservation of company asset and effective use of them

(Conservation and effective use of “intangible assets like information, time and knowledge and “tangible assets”.)

• We never misappropriate company assets for private purposes.
• We respect others’ assets and rights.

Core Values

Core value is what we think is the most important thing as a company or group, as it is called the working style or the sense of value which is shared by each ADVANEX member. We chose 7 Core value as showing in the below, so that we can always work keeping them in mind and judging promptly.

Advanex’s Value & Purpose

By pursuing the 3 cores and sustaining our corporate activities, we will contribute to the future of the earth, the development of society, and the realization of the well-being for all stakeholders.

• Global: Expand globally with new ideas
• Change: Proactively adapt in anticipation to changes in society and markets
• Innovation: Always innovate and deliver new value and technology