CSR Promotion Framework
The Furukawa Electric Group established the CSR Division as a specialized unit for promoting CSR activities and appointed a Chief Social Responsibility Officer (CSRO) to supervise its operations. It enhances the monitoring of overall corporate practices from the point of view of CSR concerns such as internal controls, compliance, risk management, safety, environmental conservation, and social contribution, and takes a unified approach to CSR-related activities. In the event a problem occurs, it provides a system for taking the necessary measures, such as investigating the background of the problem and elucidating the cause, establishing and implementing remedial and recurrence prevention measures, disclosure, etc.
CSR Promotion Framework
Revision of the Furukawa Electric Group CSR Code of Conduct
The social importance of CSR and compliance has been rapidly changing in recent years, with more customers demanding the promotion of such activities across the entire supply chain. Also, in 2010, which was the International Year of Biodiversity, further efforts to develop global environmental conservation were discussed, and the international guidelines on social responsibility (ISO26000) were issued.
In response to these changes, in March 2011 we revised the Furukawa Electric Group CSR Code of Conduct so as to strengthen our CSR efforts across the entire Group, including our overseas bases, to take into account our international scope of activities. Also, in conjunction with this we published the Furukawa Electric Group CSR Compliance Handbook (4th Edition), which clearly explains the new Code of Conduct using concrete examples.
Integration of the Furukawa Electric Group Action Guidelines into CSR Code of Conduct
Risk Management
Risk Management
The Furukawa Electric Risk Management Committee assesses risks through its regular risk survey. It designates the five important risks that must be undertaken throughout the company as well as the units that are responsible for them, as it works to reduce the degree of risk and follow up on the status of risk responses.
For example, we have established a basic policy for information security and personal information protection so as to maintain information security, and thoroughly revised the related company-wide regulations accordingly. At the same time, we conduct e-learning courses along themes such as information leak prevention, trade secret protection based upon the Unfair Competition Protection Act, personal information protection and the prevention of unauthorized access, and promote activities for increasing risk awareness concerning information security.
New risks have arisen since the occurrence of the Great East Japan Earthquake on March 11, such as electrical power issues. We will further strengthen risk controls as we take a close look at changing risk trends.
Major Fields of Company-Wide Risk
- Compliance
- Quality control
- Large-scale disasters, such as earthquakes
- Information security
- Affiliated company controls
BCM (Business Continuity Management)
In fiscal 2011 the Furukawa Electric Group Central Disaster Prevention and Business Continuity Management Committee established the Business Continuity Management System (BCMS) based upon the British Standards (BS25999-2), which in practical terms is considered the international standard for business continuity management system. It determined that companies which had not set about creating business continuity plans (BCP) for important business should do so, prompting the start of BCM at all companies.
We took the lead with BCM promotion in fiscal 2009 in our laser diode business, which is one of our main businesses, and received British Standards (BS25999-2) certification for it on January 24, 2011. We provide products to domestic and overseas telecommunications equipment manufacturers and telecommunications carrier through this business, and the pivotal importance of this business in supporting the construction of a supply chain for telecommunications systems caused many customers to strongly demand business continuity capability. Therefore, this is an activity that increases our enterprise value, so we put effort into acquiring certification.
Also in fiscal 2011, the relevant units from Headquarters and the Chiba Works participated in a read-through of the BCP, which presupposes an earthquake with an intensity of upper 6 on the Japanese seismic intensity scale. Although this was only a tabletop exercise, its effectiveness was borne out by the lack of confusion and smooth initial response in our work to restore business in the aftermath of the Great East Japan Earthquake.
BS25999-2 Certification Ceremony
BCP-based exercise (Chiba Works)