Toyoda Gosei Co., Ltd. Toyoda Gosei Co., Ltd.


Basic Philosophy

Toyoda Gosei’s management philosophy states, “We promote business operations with integrity through the establishment of a system founded on thorough compliance and corporate ethics.” Together with highly ethical and fair business practices, we strive for thorough compliance in all areas based on this philosophy.

The Toyoda Gosei Group Charter for Business Ethics sets forth shared values and a code of conduct for the entire Toyoda Gosei Group. Group companies in Japan and other countries then formulate and implement their own code of conduct based on the Charter. Toyoda Gosei Co., Ltd. has also established the Toyoda Gosei Guidelines for Business Ethics, which it expects every employee to follow, and has worked to familiarize all employees with these guidelines.

Compliance Implementation System

Toyoda Gosei has established the Internal Controls Committee with the Company’s president serving as chairman and all company officers as members, whose activities include reporting on and discussing the status of compliance with business ethics, laws, and regulations. The items reported and discussed in the Committee are shared with the compliance advocates selected by each department in the Company-wide Compliance Implementation Council so that they will be incorporated into the activities of each workplace.

The Committee works for thorough compliance with a unified approach between management and the workplace.

Regular compliance liaison conferences are also held with Group companies in Japan. Group companies in other countries have also established compliance committees, appointed compliance advocates, or set up other compliance systems suited to the circumstances in their region and company. Compliance activities are carried out globally in coordination with Toyoda Gosei Co., Ltd.

■Toyoda Gosei Compliance Promotion System
Toyoda Gosei Compliance Promotion System
Specific Compliance Initiatives

■Training and Educational Activities

Toyoda Gosei conducts various training and education activities with the aim of raising and solidifying compliance awareness in every employee. Trainings are conducted by level in the company and by risks corresponding to the work. The level-specific trainings target new officers, new managers, mid-level employees, new employees and others as an opportunity to spread and deepen awareness of compliance at various career stages. Risk-specific training is conducted for specific risks. These trainings include training for transferees prior to overseas assignments, antitrust law training for people in sales and other business departments, training for sports clubs, and more. The training programs are proactive in incorporating online training so that a large number of eligible participants can participate.

Educational tools are also prepared, including a Compliance Academy that is regularly published in the company newsletter, and Compliance KY Case Studies using various case study materials.

List of Workshops/Education at Toyoda Gosei

Category Workshop name/education Recipients Main content Frequency
Workshops For each level Workshops/study sessions for officers Company officers Company law, fiduciary duty, etc. As needed
New manager training New managers Compliance, mental preparation as a manager, anti-trust laws, bribery, etc. 1 time/year
Legal affairs/compliance training General employees (mid-level) Compliance, contracts, internal company regulations, laws (antitrust laws, bribery, etc.) 1 time/year
Fifth-year employee training General employees (skilled workers) Compliance in manufacturing settings 1 time/year
New employee training New employees Compliance, laws When joining the company
For each risk Pre-overseas assignment training Management/General employees Compliance precautions in other countries (anti-trust laws, bribery, etc.) As needed
Antitrust law training Management/General employees (sales) Laws, internal company regulations 1 time/year
Product liability law training Management/General employees (technical) Laws, internal company regulations 1 time/year
Training for sports clubs Management/General employees (athletes, staff) Compliance overall 1 time/year
Education Compliance Academy (company newsletter) All employees Introduction of compliance cases 4 times/year
Compliance KY Case Studies All employees Theme-based cases and interpretations (100)
Number of employees receiving compliance training (non-consolidated)
  • * As a rule, 100% of the people targeted for compliance training complete the training
From the FY2022 Compliance Implementation Questionnaire

■Compliance Awareness Surveys and Self-Inspections

To ascertain the degree to which compliance awareness has penetrated the company and whether there are any signs of problems, an annual compliance sustainment questionnaire survey of all employees is conducted. The results of the survey are reported to the Internal Control Committee, and companywide measures are implemented while each workplace undertakes improvement activities centered on a compliance advocate with reference to feedback reports for each section of the questionnaire. In the FY2022 survey, awareness of the Toyoda Gosei Guidelines for Business Ethics was 93.9%, and the implementation of activities to promote compliance and make the Guidelines known to people was 95.1% (see figures above).

Domestic and overseas Group companies conduct annual self-inspections of the status of their compliance implementation systems, status of compliance with antitrust and competition laws, bribery regulations, and other important laws and regulations, as well as risks in key functions including internal controls, human resources, accounting, procurement, and quality. The results of these inspections are reviewed by each functional department of the Company, and feedback reports are provided to support each company in making improvements and taking action so that the entire Toyoda Gosei Group is working to ensure thorough compliance by implementing the PDCA cycle.

■Initiatives for the Prevention of Antitrust and Competition Law Violations

Initiatives for the Prevention of Antitrust and Competition Law Violations The Group Charter for Business Ethics states that the Toyoda Gosei Group will conduct business activities with a spirit of “fair and free competition” (compliance with antitrust and competition laws). We have formulated the Codes of Conduct for Antitrust Law Compliance as guidelines to be followed by our employees, and are working to ensure thorough compliance by employees through training and educational activities. Antitrust law compliance manuals based on the laws of each country are prepared for the regions where Group companies are located, and initiatives are made to prevent anticompetitive acts globally.

■Anti-Bribery Initiatives

The Toyoda Gosei Group Charter for Business Ethics clearly states that in its relationships with government agencies, political parties, and public officials, the company shall strictly refrain from any behavior that could be mistaken for “back-scratching” or cronyism in the eyes of society in general, and shall strive to maintain highly transparent and sound relationships. Global Anti-Bribery Guidelines have also been formulated as a common guide for global activities, and efforts are being made to prevent bribery, accounting fraud, and other forms of corruption. Education to prevent corruption is provided to employees through level-specific training and training for Group companies doing business in high risk regions.

■Initiatives to Ensure thorough Export Controls

Toyoda Gosei has established an import/export controls system to ensure that goods, technical materials, software, and other items subject to import/export restrictions, as well as items that violate laws and regulations (such as counterfeit products), are not taken out of the country or brought into the country without proper authorization.

In addition to ensuring compliance with laws and regulations through the Security Export Control System and company regulations, the Company ensures that domestic and overseas Group companies conduct installation and check for defects through self-inspection, and provide appropriate support in cooperation with the head office and overseas control companies.

■Early Detection and Correction of Problems through an Internal Reporting System

Toyoda Gosei has established compliance consultation offices both inside and outside the company for the purpose of early detection and correction of compliance problems and violations of internal rules and laws and regulations in the course of business operations. The office can be consulted via telephone, email, or direct interviews. Outside lawyers are in charge of the external offices to deal with problems from an objective standpoint. This system allows all employees of the company and family members living with them to come forward with concerns, and the company has established internal rules to thoroughly protect their privacy and ensure that they will not be treated unfairly because of their report. Thus, the system can be used with assurance. In addition to internal consultation offices at each Group company in Japan, there is also an external compliance consultation office that is used in common with the Company. Internal or external consultation offices have also been established for overseas Group companies. In FY2022, as a result of making the consultation offices known to all and building trust, 66 reports and consultations were received from within the company and its domestic affiliates, mainly concerning labor management, workplace problems, and harassment. These cases were promptly investigated and appropriate corrective measures were taken to resolve the issues.

No. of Compliance Consultations/Reports (Japan)

FY 2019 2020 2021 2022
No. of cases 48 69 42 66