Corporate Motto and Management Principles

Corporate Motto

"Quality Products at Lower Cost"

Management Principles

We will continue our unceasing efforts to be:
  • 1.A company that is trusted by and essential to our customers;
  • 2.A company where colleagues work together and know their life and work value; and
  • 3.A company that is widely supported and admired by its local communities.

Corporate Charter

1. Compliance with laws and regulations, social norms, etc.
We will conduct corporate activities with a high ethical standard and fulfill our social responsibilities in compliance with relevant domestic and foreign laws and regulations, social norms, and company regulations.
2. Contribution to society
We will respect domestic and foreign cultures and customs, make every effort to preserve the environment, grow together with our local communities and become a company that is appreciated by its local communities.
3. Significance of the Company's existence
We will engage in research and development of cutting-edge technology, and provide products and services at quality and cost that satisfy our customers worldwide.
4. Fostering of better communication and corporate culture
We will listen with sincerity to the opinions of various people both inside and outside of the Company, regardless of their position, and foster a lively and energetic corporate culture that permits free thinking and active expression of opinion.
5. Respect for employees
We will respect the personalities and individuality of our employees, ensure a safe and pleasant work environment, and strive to realize comfort and affluence for our employees.
6. Appropriate information disclosure
We will appropriately disclose corporate information in order to increase corporate transparency and soundness.
7. Harmony with society
We will harmonize with society as good corporate citizens, and firmly oppose antisocial forces that pose a threat to social order and safety.
8. Growth and evolution with business partners, associated companies, etc.
We will always practice innovative management from a global perspective, and endeavor to grow and develop together with various stakeholders, including our business partners and associated companies.

Action Charter

It is as a code of conduct to observe work rules so that we conduct ourselves honestly, with sensibility, and a high ethical standard as the Company's officers and employees.

Action Guidelines

Chapter 1 Our Actions in Relationship to the Company

1. Creation of a bright and healthy workplace
  1. Ensuring health and safety: We will prioritize safety in the workplace, and strive to ensure health.
  2. Respect for personalities: We will respect personalities and improve our workplace environment and human relationships and never allow any sexual harassment or abuse of authority.
  3. Faithful actions: We will observe laws and the spirit of each law, and will not engage in improper or dishonest acts in the light of social common sense.
  4. Dedication to duties: We will understand the Management Principles correctly, devote ourselves to our duties, and improve order and discipline of the workplace.
2. Safeguarding of assets and management of confidential information
  1. Safeguarding of assets: We will value the Company's assets, and will not use them for any purpose other than business activities.
  2. Protection of intellectual property: We will take care of the Company's intellectual property so as not to allow their improper use, and will not conduct unauthorized use or illegal copy of others' intellectual property.
  3. Protection of trade secrets: We will strictly control the Company's trade secrets and strive to prevent them from leaking.
  4. Protection of personal information: We will appropriately manage all personal information in the possession of the Company.

Chapter 2 Our Actions in Company Activities

3. Environment conservation activities
  1. Environmental consideration: We will actively work on resource saving, energy saving, and recycling promotion, etc.
4. Sales and procurement activities
  1. Securing of fair transactions: We will comply with the Anti-Monopoly Act and other domestic and foreign competition laws, and conduct fair and equitable transactions with all business connections.
  2. Prohibition of bribery: We will never seek any unfair profits by means of bribery or any other improper means domestically or overseas.
5. Monozukuri (manufacturing) trusted by customers
  1. Safe work: We will conduct business operations base on the idea that "priority should be placed on safety."
  2. Securing of quality: We will strive to ensure product quality under the concept that the next process is the customer.
  3. Continuous improvement: We will improve our abilities and skills, and promote continuous improvement.
6. Aiming to be a company trusted by the world
  1. Respect for international and local laws, regulations and rules: We will observe both international and local laws, regulations and rules in our deployment of business activities.
  2. Contribution to the world through manufacturing: We will develop, and globally produce and provide products that follow the spirit of "quality products at lower cost."
  3. Management of export transactions: We will conduct fair export transactions by following statutory procedures.

Chapter 3 Our Actions in Relationship to Society

7. Open and fair communication with society
  1. Provision of timely and accurate information: We will listen to external voices, and provide accurate information in a timely manner.
8. To be a corporate citizen trusted by society
  1. Active participation in community activities: We will actively engage in volunteer activities as well as disaster and crime prevention activities, and participate in community events to deepen exchanges with local communities.
9. As a wholesome citizen
  1. Response to antisocial forces: We will not allow any sort of relationship with gangs and other antisocial forces, and will confront unreasonable demands resolutely as an organization.
10. As a considerate driver
  1. Observance of traffic laws and rules of the road: We will fasten seat belts, maintain speed limits, and observe traffic laws and rules of the road, and will never drive under the influence of alcohol.
  2. Driving with consideration: We will be a considerate driver, practicing good traffic manners.

FUTABA Internal Control Policy

Based on the "Futaba way," "Management Principles," and "Futaba Code of Conduct," We will conduct our business appropriately, throughout the Futaba group (FUTABA) . In addition, for endless improvement on quality of business and management, we implement the cycle of improvement through TQM(Total Quality Management)*, with following activities.

  1. Implementing operational system, including the concept of the internal control system such as three lines (Control for Risks, Guidance, Internal check and Internal audit)
  2. Clarifying roles and responsibilities among the group and realizing autonomy of subsidiaries
  3. Implementing education system regarding TQM activities and standards to enhance the ability of entity

Furthermore, FUTABA aims to enhance sustainable corporate value with our goals of the SDGs

We develop people with high ethical standards through these activities. Then, build an effective organization to implement our designated internal control.

1. Systems to secure executive officers delegated by directors and companies in each fields (executive officers) carrying out duties that comply with laws and the articles of incorporation

Establish "Futaba way," "Management Principles," "Futaba Code of Conduct," and other rules regarding corporate ethics. Then, we share our policy in compliance with laws and the articles of incorporation, among directors and executive officers.

  1. We provide education and training for directors and executive officers.
  2. Through the process of decision-making, i.e. the Board of Directors, we decide everything after deep discussion, in accordance with established agenda and decision making rules
2. Information storing/managing systems regarding the execution of duties by directors/executive officers
Documents and information (including electromagnetic records) regarding the execution of duties by directors/executive officers, e.g. minutes of board meetings, shall be managed in accordance with the established rules.
3. Risk management system regarding management

Setting up in-house organization and meeting body to deal with risks related to our business, e.g. Safety, Quality, Environment and Ethics. Through these organization's activities, design and implement risk management system.

  1. We manage funds based on the budget controlling system. When we operate and revise the fund management system, we obtain necessary approval from boards/meeting structures in accordance with the rules defining authority and agendas.
  2. We provide information timely and honestly, by following measures.Maintaining assets appropriately Documenting funds flow/management system
  3. We prepare for risks by implementing manuals for emergency, conducting emergency drill,insurance and other risk diversification measures.
  4. We build secure network that incorporates security measures in order to enhance the utilization of information among the group, using information technologies.
4. System for directors and executive officers to execute their duties efficiently

Based on the mid to long-term plan and company 'hoshin's, we structure 'hoshin's at each stage of the organization and manage 'hoshin's consistently.

  1. Keep efficiency of business with agile decision-making by granting the authority of executing operations to executive officers, based on the rules defining the duties, roles and responsibilities of each department.
5. System to make employees perform their duties in compliance with laws/regulations and the Articles of Incorporation

Establish "Futaba way", "Management Principles", "Futaba Code of Conduct" and rules regarding corporate ethics. Then will thoroughly inform them through training and development for employees.

  1. We will establish the guideline to operate our business effectively in accordance with these rules/policies. Then implement them throughout the entity, to ensure the effectiveness of them.
  2. We set the department of internal auditor, independent from other departments. The department reports the audit results to the Board of Directors timely in manner, then feeding back the result to relevant parties, with suggesting remediation measures. Then following up for recurrence prevention measures.
  3. We provide the "FUTABA Corporate Ethics Helpline" as a whistleblowing system to grasp information on legal compliance/corporate ethics promptly and to resolve effectively.
6. System to conduct appropriate business in FUTABA

Share "Futaba way", "Management Principles", "Futaba Code of Conduct" and other rules regarding corporate ethics among Futaba group. Then, communicate these to all employees through the training and other means.

  1. We establish and implement guidelines, to conduct our business effectively based on the above rules.
  2. Headquarter's board and other meeting body shall discuss about subsidiary's significant management subjects, based on the rules defining intercompany delegations of authorities, roles/responsibilities and pre-approval requirements. In addition, directors are dispatched to provide management guidance, auditing and support to subsidiaries.
  3. Through the local whistleblowing system in each subsidiaries and the "FUTABA Corporate Ethics Helpline", we grasp information on legal compliance/corporate ethics promptly and to resolve effectively.
7. Maintaining the independency of employees, those assists the corporate auditors
Assisting corporate auditors by Corporate Auditor's office staffs, then concrete its independence by defining staffs and organizational structure of Corporate Auditor's office in prior to its operation.
8. Reporting system for directors/executive officers, employees and directors of subsidiaries to report their execution of their duties to corporate auditors

Directors/executive officers, employees, directors of subsidiaries and others, will report necessary information as requested by the corporate auditors timely in manner.

  1. In particular, if they discover any facts that may lead significant damage to FUTABA, immediately report to corporate auditors.
  2. No whistleblower will be prejudiced by making above report.
9. Other systems to ensure effectiveness of audits by corporate auditors

We enable our corporate auditor to grasp the management's working status timely in manner, through establishing system including attendance of major meeting such as board meeting, and inspecting important documents on management.

  1. Establish a system that enables corporate auditors to exchange opinions regularly, with the representative director, accounting auditor, internal audit department, and other necessary person.
  2. FUTABA bear the applied audit costs in accordance with the rules decided by the Board of company auditors.

Corruption Prevention (Anti-Bribery) Policy

We, the Futaba Group (hereinafter referred to as "FUTABA"), will never seek any profits that can only be gained by means of bribery or any other improper means. Each employee shall be aware that compliance with corporate ethics is a foundation of trust in FUTABA, and approach daily tasks, having a high ethical standard.

FUTABA has established the "Corruption Prevention (Anti-Bribery) Policy" to ensure corruption prevention (anti-bribery) in all areas of business globally.