Multi-Stakeholder Policy

We believe that it is important to help resolve social challenges through “Yoki-Monozukuri^* with ESG integration” as we develop our business, while at the same time promoting appropriate collaborations with multi-stakeholders, including not only consumers and customers but also employees and business partners, shareholders and investors, local communities, national and local governments, NGOs and NPOs, academia, and organizations and other companies in the same industry, in our corporate management.

Furthermore, we will promote the appropriate distribution of revenue and outcomes produced through Yoki-Monozukuri to multi-stakeholders, reflecting the importance of returning profits to employees and considering business partners for the sustainable growth and development of companies and society.

Recognizing our employees as our greatest asset, we believe that we can achieve sustainable growth as a whole organization only when each of our diverse employees can make the most of their skills and individuality to maximize the power and potential of employees, increase productivity, and maximize added value.
In addition, we aim to return profits to employees on a continuous basis by proactively investing in a human capital area, which will contribute to enhancing employee engagement and further increasing activity and productivity, while at the same time improving our working conditions, including raising wages depending on the company’s situation by reflecting the revenues and outcomes it has generated in accordance with “the principles of wage determination”.

More specifically, we will work to improve employees’ remuneration based on the roles and responsibilities that individual employees fulfil as well as the contributions and results they deliver, by linking the new system for maximizing the power and potential of employees, which is called “Objectives and Key Results (OKR)” implemented in 2021, with our evaluation and remuneration of employees. At the same time, we will seek to enhance the corporate culture that encourages diverse individuals to take on ambitious challenges with enthusiasm, for example by providing a rich array of personal development programs to help employees to learn on their own to achieve the OKR targets they have set for themselves. Furthermore, we will strive to provide better work conditions and growth support opportunities to fulfill our corporate responsibilities and maximize the power and potential of each employee.

We continue to be committed to the Declaration of Partnership Building.

At Kao, we define our vision as follows in the Kao Way (corporate philosophy): “By deeply knowing and understanding our world and its people, we aim to improve people’s lives beyond their expectations for a future where humans and nature thrive together.” We deepen mutual understanding with stakeholders through interactive communication and provide information for the benefit of society and people’s lives, while reporting the opinions we receive from them at management meetings and board meetings to reflect them in discussions of important issues so that we can improve our management, corporate activities, and services more effectively.

We will continue to make steady effort on these issues as we monitor the progress of our initiatives.