Sustainability
Compliance
We employ thorough measures to ensure compliance with laws and corporate ethics and always act with the highest ethical standards to achieve sustained corporate growth.
Basic policies on compliance
The Fuji Electric Code of Conduct states that Fuji Electric must “make global compliance a top priority.” In addition, we have defined the Fuji Electric Compliance Regulations, a guideline for compliance, under the supervision of the Board of Directors. We also globally promote compliance through the Fuji Electric Compliance Program and the Fuji Electric Business Ethics Whistle-Blowing Systems.
Compliance Promotion System
The Fuji Electric Compliance Promotion Committee is headed by our President and COO as its Chairman, and it consists of control chiefs (managers of businesses and corporate department heads) responsible for regulating laws and acts, with Standing Audit & Supervisory Board Members and outside experts (attorneys) as observers. The Committee meets twice per year to deliberate on the implementation status of the Fuji Electric Compliance Program and the Fuji Electric Business Ethics Whistle-Blowing Systems as well as the plan for implementing the Fuji Electric Compliance Program and then reports to the Board of Directors once per year. In the event of a compliance infraction, there is a system in place to take any necessary measures such as fact-finding investigations, corrective actions, recurrence prevention measures, internal punishments, and internal and external disclosure.
Status of Compliance Promotion
Fuji Electric Compliance Program
Fuji Electric has established the Fuji Electric Compliance Program to cover four aspects (rules, monitoring, auditing, and education) related to compliance with Japanese and overseas laws by both the Company and its Group companies in Japan and overseas. Through reviews and revisions made by the Fuji Electric Compliance Promotion Committee, we conduct activities while also actively acquiring external certifications and disclosing information externally in order to verify the effectiveness of our activities from an external perspective.
We promote wide-ranging and systematic compliance education and awareness through level-specific and jobspecific group training, online training, e-learning programs and web-delivered training, as well as by displaying posters internally and distributing pamphlets.
In fiscal 2024, to strengthen awareness of anti-bribery measures at our overseas bases, we provided education to our overseas sales companies on compliance with foreign competition laws, anti-bribery measures, and trade secret protection.
Fuji Electric Business Ethics Whistle-Blowing Systems
For the purpose of preventing and detecting violations at an early stage, Fuji Electric has introduced and is operating the Fuji Electric Business Ethics Whistle-Blowing Systems, whereby relevant persons inside and outside the Company can report violations of laws and regulations or internal rules in the course of business operations, or facts of that may lead to such violations, to the President and COO of Fuji Electric via whistle-blowing contact points (in-house contact points and external lawyers). (Anonymous reporting is also possible.)
In fiscal 2024, there were 25 reports in Japan and overseas, 3 of which involved violations (2 cases of harassment and 1 accounting issue). In all cases, necessary measures (e.g., corrective actions and recurrence prevention) were taken.
Regarding our response to the reports, we work meticulously to protect whistle-blowers by keeping their personal information confidential and prohibiting disadvantageous treatment and retaliatory or discriminatory acts on the grounds of whistle-blowing. In addition, we take all necessary steps to resolve issues raised by whistle-blowers, including fact-finding investigations, corrective actions, recurrence prevention measures, and disciplinary actions. We also provide the details of our response to the whistleblowers themselves as feedback. (We also strive to indirectly provide feedback through the above measures in the case of anonymous whistle-blowing.)
The Business Ethics Helpline handles reporting from Fuji Electric Group executives and employees in Japan and overseas (including retirees and dispatch employees). We strive to ensure awareness of the Helpline through posts in the company magazine and intranet.
The Partner Hotline handles reporting from outside stakeholders such as business partners. We strive to build full awareness of the system through posts on our public website and at explanatory forums for business partners.
Starting in fiscal 2025, we will participate in the “Engagement and Remedy Platform” operated by JaCER to accept reports on human rights issues and other issues from all stakeholders. JaCER’s platform for grievance redress is compliant with the “UN Guiding Principles on Business and Human Rights.” By accepting grievances through a third-party contact point, we aim to ensure fairness and transparency in our grievance handling process.
Results of Compliance Promotion
As a result of implementation of the Fuji Electric Compliance Program and the Business Ethics Whistle-Blowing Systems, in fiscal 2024 there were no compliance infractions with the potential to seriously impact the management of Fuji Electric.
With the article “Make global compliance a top priority” stated in the Fuji Electric Code of Conduct, we have declared our commitment to bribery and corruption prevention, and we have disclosed the Fuji Electric Anti-Bribery Policy as part of the Fuji Electric Code of Conduct. This policy declares that we endeavor to prevent bribery throughout the supply chain, such as by ensuring that no Fuji Electric employee (including dispatch employees) ever engages in bribery or any act that could arouse the suspicion of bribery.
We have also established the Fuji Electric Anti-Bribery Guidelines as a set of rules for Fuji Electric employees (including dispatch employees) to help them prevent bribery during their daily business, and we endeavor to prevent bribery through the execution of the Fuji Electric Compliance Program. Fuji Electric will subject all employees involved in bribery to strict disciplinary actions based on our work rules.
In fiscal 2024, there were no incidents of executives or employees being subject to disciplinary actions due to the violation of our anti-bribery rules, and no fines, surcharges, or settlements related to bribery were incurred.
We do not contribute to political activities aside from contributions to political parties and political fundraising organizations. Furthermore, when supporting the activities of political organizations, we ensure that such support is provided in accordance with appropriate internal procedures and in compliance with relevant laws and regulations, such as the Political Funds Control Act and the Public Offices Election Act.
Political contributions in fiscal 2024 totaled 11.6 million yen.
In an effort to prevent the violation of competition laws, we have established and appropriately revise daily business rules, including our Antimonopoly Act Compliance Manual and Foreign Competition Law Compliance Manual. We also perform daily monitoring by confirming quotations and estimates via a comprehensive bidding information management system and extensive record-keeping. In addition, our internal auditing divisions perform audits in accordance with auditing guidelines, and we conduct extensive level-specific and job-specific training. Any employee who is involved in the violation of competition laws will be subject to strict disciplinary actions based on our work rules.
In fiscal 2024, there were no incidents of executives or employees being subject to disciplinary actions due to the violation of the competition laws, and no fines, surcharges, or settlements related to competition laws were incurred.
