Our Approach
Mitsui Kinzoku Group is strengthening its response to risks related to business that could threaten the continuation of its operations and corporate survival. In order to identify risks and eliminate or minimize their impact, we are working to improve the Group's risk management and operate it effectively.
Risk management system
Mitsui Kinzoku Group has built its risk management system based on its Risk Management Rules. We have appointed the Managing Director in charge of the General Affairs Department as the person with the highest responsibility for risk management. We have also designated a department in charge of risk and crisis management at the Head Office to serve as the Secretariat and identified departments in charge of each risk category, under which relevant units and sites are positioned.
Our Risk Management Rules define risks that we need to respond to (Table 1). We manage our risk control status through yearly PDCA activities implemented over a three-year operation cycle aligned with the periods of the Mid-term Plan.
More specifically, we conduct a triennial risk survey for all sites and review and evaluate risks to create a risk map and plan countermeasures. Every year, we implement the countermeasures and review their progress and then update the risk map(Figure 1) based on the current status. The effect of these activities and management systems are reviewed once a year and as needed by the Board of Directors.
＊1 As the person with the highest responsibility for risk management, a Director who is in a position independent of the Directors who are Audit & Supervisory Committee Members has been appointed.
Risk management cycle
First and second years of the Mid-term Plan
1.Check the status of risk control at each site based on the risk map managed at the Head Office
2.Update the risk map, incorporating the check results as needed (rolling)
Last year of the Mid-term Plan
Conduct a risk survey for all sites for the next Mid-term Plan.
3.Each sector/site returns its response to the survey
4.Analyze risk control status at each site based on the response
5.Incorporate the aggregate results into the risk map, formulate a new plan, and incorporate it into the next Mid-term Plan
Emergency response
Mitsui Kinzoku Group has set out its Emergency Response Basic Policy. In the event of an emergency, we will place the highest priority on saving lives and protecting assets, while also aiming for early recovery and continuity of the business and working to prevent secondary disasters.
Moreover, we have built a system for possible emergencies and conduct business continuity management (BCM), under which we implement the PDCA cycle each fiscal year. Each sector creates business continuity manuals, including an incident management plan (IMP) for incident response and business continuity plan (BCP) for supply continuity and resumption of production.
We also conduct business continuity simulation exercises, assuming the responses to be taken for a few days immediately after an emergency, to enhance the effectiveness of the plan. We aim to roll out the plan, at first prioritizing major sites in Japan and overseas with higher risks of a large-scale disaster.
The scenario-based disaster drill in Hachinohe Smelting Co., Ltd.
Integrated Report Risk management