Reinforcing Group governance
Pigeon Group consists of Pigeon Corporation and its consolidated subsidiaries—totaling 27 companies—and operates across four business segments: Japan, China, Singapore, and the Americas & Europe. We view strengthening Group governance as a individual issue that is essential for enhancing growth and profitability over the medium to long term. Critical challenges include ensuring governance functions effectively on both the “offensive” and “defensive” sides of management, optimizing the business portfolio, and enhancing the overall effectiveness of Group governance.
Pigeon Group Corporate Philosophy
The Pigeon Group believes that it is important for all employees to understand and respect the Pigeon Group DNA, the Pigeon Way, and our purpose as the basis of all our activities, and we are continuously working to promote their understanding.
Approach to Strengthening Group Governance
As a shareholder, the Company shall be involved in important decision-making at the Board of Directors and other meetings of each group company through active dialogue based on a relationship of trust, and shall promote collaboration among all businesses and group companies, including the Company.In addition, we will share and practice Pigeon Group DNA and PigeonWay within the group, respond quickly and appropriately to changes in the business environment and sustainability requirements under the leadership of GHO, and evolve the group's business portfolio into a more solid one in order to maximize corporate value. We will strive to maximize corporate value by evolving the Group's business portfolio more firmly.
Internal Controls
In order to operate the organization in a sound and efficient manner, we have determined a basic policy for the establishment of an internal control system in accordance with the Companies Act and the Ordinance for Enforcement of the Companies Act, and based on this policy, we have established and are operating an internal control system for the entire Group.
Basic Policy for the Internal Control System
Risk Management
We have established a risk management policy and is committed to risk management as a foundation for business continuity. Governed by the Rules for Risk Management, which systematically stipulate the Group’s risk management responses the Global Head Office (GHO) Risk Management Committee operates under the supervision of the President and CEO. The Committee is chaired by the President and Representative Director (or a delegated Executive/Business Officer) and consists of Risk Owners appointed by the Chairperson. Directly below the GHO Risk Management Committee are the Risk Management Committees of each business segment, which are chaired by the head of operations in each segment (Japan Business, China Business, Singapore Business, and Americas & Europe Business). This framework enables information about risk to be collected across the entire Group, provides necessary controls, and empowers each segment to respond rapidly to risk issues.