Investor and Company Engagement
Our businesses are expected to generate sustainable growth and value via positive interaction with our institutional investors.
Also increase company value throughout the medium to long term based on their own business principles, resulting in overall economic growth and steady value formation for our broad end customers
The Guidelines are meant to supplement the Management Code and the Corporate Governance Code. Although the Guidelines are not intended to oblige institutional investors and businesses to "comply or explain" with respect to the Guidelines, they are meant to encourage institutional investors and corporations to successfully apply both Codes on a "comply or explain" basis.
Specific company strategies and plans are developed and presented in order to accomplish long-term growth and boost corporate value. These business strategies and plans adhere to the company's corporate principles.
Risks associated with the Business
Management effectively calculates the company's cost of capital while appropriately factoring business risks. Management manages the business with a knowledge of the company's cost of capital in mind, establishing benchmarks for profitability and capital efficiency in order to generate long-term growth and enhance corporate value.
Even when a firm complies with a principle, it is desirable for the company to proactively describe its particular implementation actions in order to encourage positive dialogue between institutional investors and enterprises. There are several circumstances when a firm is managed as part of a corporate group, and the Guidelines have been developed with such companies in mind. In such instances, investors are expected to evaluate the firm in light of its corporate group status.
We embrace holistic development and support for employees with the aim of being a first-choaIn its management strategies and plans, the corporation responds effectively to changes in the environment surrounding the business, such as increased social demand for and interest in ESG and SDGs, development in digital transformation, the need to address cyber security, and the need for fair and acceptable transactions throughout the supply chain.ice employer within our sectors. Through a unique combination of engineering, construction and design disciplines and expertise.
Investment Strategy and Financial Management
Investments in fixed assets, R&D, and human resources, including personnel expenses, to generate sustainable growth and increase corporate value over the medium to long term, carried out strategically and systematically using the company's resources and with the goal of generating returns that cover the company's cost of capital over the medium to long term.
Based on the company's business and investment plans, financial management strategy (including capital structure choices and the use of cash on hand in recognition of the company's cost of capital) is formed and maintained effectively.
There is an established policy on CEO credentials in order to designate a CEO who can make critical decisions to generate long-term growth and increase corporate value. A qualified CEO is appointed through objective, timely, and transparent methods that allocate adequate time and resources. In order for these processes to be effective, an independent nominating committee with the necessary mandates and active participation is formed.