Corporate Governance
Seeking corporate value of higher significance
Corporate Governance, Risk Management & Intellectual Property
YKK’s Policy Towards Corporate Governance
The corporate activities of the YKK Group are based on the Cycle of Goodness®, which embodies the belief that “no one prospers without rendering benefit to others.” Under this philosophy, being consistently fair is the foundation of all management activities, while the management principle “YKK seeks corporate value of higher significance” describes the commitment, direction, and consistency of management. It is in accordance with this philosophy that the YKK Group strives to further enrich its corporate governance system and enhance corporate value.
Under the Group’s corporate governance system, the Board of Directors functions as the executive decision-making and supervisory body, while the Board of Corporate Auditors serves as the auditing body. Meanwhile, Officers are responsible for the execution of business and operations.
YKK Global Criterial of Compliance (YGCC)
The YKK Group established the YKK Global Criteria of Compliance (YGCC), and has a compliance system in place and in operation. Topics covered under the YKK Global Criteria of Compliance include YKK’s Code of Business Conduct regarding Human Rights, a Request from Stakeholders regarding Labor Practices, Quality, Laws and Regulations regarding Fair Business Practices, Global Standards regarding the Environment, and a Compliance System.
Periodic evaluations and improvement activities are implemented in order to maintain and reinforce the compliance system.
YKK Vietnam Code of Conduct: Upholding Integrity and Responsibility
YKK Vietnam is committed to maintaining the highest standards of ethical conduct and integrity in all aspects of its operations. The YKK Vietnam Code of Conduct Manual serves as a comprehensive guide for all employees, outlining the principles and expectations that govern their behavior. This manual covers several key areas:
1. Respect for Human Rights
YKK Vietnam is dedicated to upholding human rights and ensuring fair treatment for all employees. The company strictly prohibits the hiring of child labor and forced labor. It promotes a workplace free from discrimination, harassment, and abuse. Employees are encouraged to exercise their right to freedom of association and collective bargaining. Additionally, all employment contracts are designed to be fair and transparent.
2. Labor Conditions
The company is committed to providing favorable labor conditions, including reasonable working hours and fair wages and benefits. YKK Vietnam ensures that all employees are compensated fairly for their work and that their working hours comply with legal standards.
3. Health and Labor Safety
YKK Vietnam prioritizes the health and safety of its employees. The company implements rigorous health and safety protocols to create a safe working environment. Regular training and assessments are conducted to ensure that all safety measures are up to date and effective.
4. Harmony with the Environment
YKK Vietnam is dedicated to environmental sustainability. The company has established an effective Environmental Management System (EMS) to comply with applicable environmental laws, regulations, and permits. Key areas of focus include:
Energy Consumption: Efficient use of energy resources.
Water Use: Sustainable management of water resources.
Waste Water Discharge and Effluents: Proper treatment and disposal of wastewater.
Waste Management: Reduction, reuse, and recycling of waste materials.
Air and Greenhouse Gas Emissions: Minimizing emissions to protect air quality.
Chemical Management: Safe handling and disposal of chemicals.
5. Fair Business Practices
YKK Vietnam is committed to conducting business transactions in a fair and equitable manner. The company adheres to competition laws and ensures that all business dealings are transparent and ethical.
6. Contribution to Communities
YKK Vietnam believes in giving back to the communities in which it operates. The company actively participates in community development initiatives and encourages employees to engage in volunteer activities.
The YKK Vietnam Code of Conduct Manual was created to provide a clear understanding of the conduct expected from all employees. By adhering to these principles, YKK Vietnam aims to foster a culture of integrity, responsibility, and respect.
Risk Management
YKK Group Risk Management Policy
To promote risk management Group-wide and enhance corporate value by proactively controlling risk levels, preventing various corporate risks, and reducing or avoiding human, material and other losses of managerial resources, as well as keeping to a minimum the damages and losses incurred during emergencies.
Risk Management Structure
YKK appointed a Chief Risk Management Officer (CRO), established a Quality Committee, Foreign Trade Control Committee, Crisis Management Committee, Technical Asset Management Committee and Information Security Committee, and adopts and enforces regulations on risk management.
Business Continuity Plans
YKK has formulated Business Continuity Plans (BCPs) for each company to address anticipated risk that may cause large-scale damage, and works to create structures to minimize the impacts on management resources. The formulation of BCPs is conducted in accordance with the following basic policy.
YKK Group Basic Policy of Business Continuity Plans
- The highest priority is placed on protecting the lives and safety of employees and all stakeholders.
- Efforts are to be made to recover from disasters and prevent secondary damage.
- Contribute to recovery in disaster-affected areas with an awareness of the Group’s social responsibilities.
- Make all possible efforts to continue the supply of products in response to the needs of customers and Business Partners.
Information Security
YKK’s fundamental approach regarding confidential and personal information in its possession is to prevent declines in competitiveness and disputes arising from leaks of information, maintain sustainable growth as a business, and fulfill our social responsibilities. To do this, we establish information management rules, carry our proper operational management, make continuous improvements, and strive to maintain and enhance information security.
Protection of Intellectual Property
YKK undertakes intellectual property activities as a part of its business operations. Optimal intellectual property protection measures are carried out by the Intellectual Property Division to protect the inventions created at development sites in Japan and around the world. By doing this, we seek to create environments in which customers can use our products with confidence. We have also adopted a determined attitude toward those who infringe on YKK intellectual property rights while giving maximum respect to the rights of other companies.