Risk Management

Basic Stance

Daifuku strives to build a global corporate culture that is resilient in emergencies by sharing corporate risks within its Group companies worldwide to address all business risk responses in order to minimize the impact on corporate management, in accordance with its management policies and corporate code of conduct.

Risk Management Promotion Framework

Daifuku implements Groupwide risk management measures through the CSR (corporate social responsibility) Division, which is under the control of the CRO (Chief Risk Officer) to enhance its business continuity management. Daifuku also formulates a risk management promotion framework that comprises heads of each division. Under its risk management rules, the divisions and global affiliates conduct risk assessments across the Group once a year. According to the level of criticality, related divisions take measures to mitigate and minimize risks.

Development Status

The Compliance Committee addresses law violation risks that have a high impact. The Information Security Committee focuses on risks related to the Group’s information security. As for natural disaster risks, such as earthquake, wind & flood, lightning, fire and new flu strains, Daifuku continues to develop business continuity plans, manuals & procedures preparation, and training sessions and drills on crises management and disaster prevention, along with measures for quake-resistant buildings/facilities and stockpiled supplies to counter infectious diseases and survive disasters. Daifuku has also created emergency response structures to communicate within the Group worldwide in a speedy and appropriate manner.

During the fiscal year ended March 31, 2016, Daifuku built a system to share information on situations during disasters related to buildings/facilities, infrastructure, customers, etc. within the Group. Daifuku also introduced a system to confirm supplier’s operations to quickly understand their situations during disasters. Reflecting increased risks in its global business development, Daifuku strives to secure safety not only for global affiliates but also staff members traveling worldwide by announcing local risk information in a timely manner.

In addition, as a part of its CSR efforts, Daifuku donated preserved food, which were stored at its factories and offices across the nation for emergency purposes, to Hino Town, where the Shiga Works is located, and to the non-profit organization Second Harvest Japan (operated by Charles E. McJilton, Chairman of the Board).

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