Corporate Governance

By strengthening its corporate governance, Daicel is increasing its corporate value. This is recognized as an important management initiative that will enable the Company to achieve its social mission and responsibilities as a listed company.
The Company maintains its agility by clarifying the responsibilities of each part of its organization and by adopting a management system that supports timely decision-making and implementation. Moreover, by actively soliciting external opinions and incorporating positive suggestions in its operations, Daicel is maintaining the soundness of its corporate management while improving management transparency and fairness.
Daicel has adopted a corporate auditor system. Also, by welcoming external directors and allowing them to provide opinions and advice based on their expertise, the Company is working to ensure that the decisions made by its Board of Directors are appropriate and the execution of director duties is effectively supervised. The Company has also adopted an executive officer system. The adoption of the executive officer systems has enabled the Company to clearly separate its decision-making, supervisory and business execution functions. Such a clear division of roles has allowed us to bolster our business management structure and, consequently, corporate activities.
In addition, Daicel has adopted an internal company system. Through this system, the Company is promoting various initiatives aimed at strengthening collaboration among its production, sales and R&D functions, improving productivity and strategic functions within its corporate departments, and reestablishing its R&D structure. Based on its corporate auditor system, the Company has established a corporate framework under which its Board of Directors makes management decisions in an efficient manner and fulfills its supervisory functions, and its Audit & Supervisory Board accomplishes its auditing functions. Such a framework has enabled us to keep reinforcing our corporate governance.

Corporate Governance

Corporate Governance

Risk Management Initiatives

Daicel established the Risk Management Committee in 2006 as an organization to coordinate and promote Companywide risk management activities. Since its establishment, the Risk Management Committee has guided the entire Company in aggressively conducting risk management activities.
Each department within the Company is taking stock of potential risks that could have a major impact on Daicel’s ability to achieve its business targets.
To fully assess the situation, the Company’s risk countermeasures and initiatives are entered into an intranet database. Countermeasures and initiatives are designed to prevent the incidence of risk or to reduce any subsequent impact. Each department assigns a priority level to each risk and caries out countermeasures accordingly. Steps are also taken to regularly update the status and progress of countermeasure implementation, and any newly identifi ed risks are promptly entered into the database. Utilizing this database, Daicel pursues a Plan-Do-Check-Act (PDCA) cycle in conjunction with the risk management activities of each department. Similar risk management activities are undertaken by Group companies in Japan and overseas*.
The Risk Management Committee periodically confi rms the status of countermeasure implementation by each department and Group company. Recommendations and support are then provided as considered appropriate. In addition, summary activity reports are submitted by each department at the end of each fi scal year. This process enables all appropriate parties to fully grasp the status of risk.
*Certain overseas Group companies are excluded from using the database.