Social

Respect for Human Rights and Diversity

Basic Approach to Respect for Human Rights

　The IWATSU Group believes that we must manage our businesses in a way that respects the human rights of all people involved in our business activities.
　We believe that it is the IWATSU Group’s social responsibility to earnestly face and contribute to solving various risks related to human rights in the value chain, including the Group itself, and we are thus working to solve issues in this area.

Overview of Activities Related to Respect for Human Rights

■ Formulation of Statement of Policy in Response to the ILO Core Labor Standards

　IWATSU ELECTRIC and Iwatsu Manufacturing have formulated internal policies based on the “International Labor Organization (ILO) Declaration on the Fundamental Principles and Rights at Work,” and they endeavor to spread awareness and understanding of these policies, and ensure compliance with them.

■ Response to Modern Slavery Act

　Even in modern times, there are many problems related to slavery, such as forced labor, where pressure from threats, violence, or other means is used to force people to work. In order to address the risk of “modern slavery” in our procurement process, the IWATSU Group is developing a set of procurement guidelines.

■ Education or awareness-raising activities related to human rights

　IWATSU ELECTRIC believes that it is necessary to deepen understanding of human rights and a diverse range of values, and is taking steps to enhance related education and efforts to raise awareness.
　Specifically, IWATSU ELECTRIC engages in initiatives such as education and awareness-raising to prevent harassment for employees of all levels of seniority, and education related to the importance of human rights in business for new employees.

Basic Approach to Respect for Diversity

Overview of Activities Related to Respect for Diversity

■ Hiring of foreign nationals

　IWATSU ELECTRIC is strengthening hiring activities with the aim of securing human resources from a diverse range of cultural backgrounds, and is also endeavoring to enhance the internal environment and systems.

■ Promoting active participation by senior employees

　At IWATSU ELECTRIC, we have introduced a rehiring system for employees who retire upon reaching retirement age, enabling us to provide a workplace where ambitious and skilled human resources can continue to actively participate. Senior employees are essential human resources from the perspective of handing down technical expertise, so we will continue working to create opportunities and an environment that enables them to actively participate over the long term.

Human Resources Development

Basic Approach

　The IWATSU Group believes that “people” are an asset, and that the growth of each and every employee will contribute to the growth of the Group. Accordingly, we have listed “human resources development and technological transfer” as one of the themes of our activities based on our areas of key sustainability issues. Based on this belief, we have developed education systems in each Group company and are endeavoring to enhance the skills and knowledge of our employees.

Overview of Activities

■ Development of human resources through the ICAP education program

　IWATSU ELECTRIC has established the ICAP (Iwatsu training program for Creativity, Ability & Possibility) education program, and is using it to provide opportunities for growth. We are utilizing ICAP to promote the development and training of human resources who will contribute to the achievement of our business targets.
　Specifically, in addition to on-the-job training (OJT), we also provide education for employees at each level of seniority, in order to develop employees’ awareness of expected roles at each stage of growth. We have also created systems to support the development of individual skills. These support systems mainly support the enhancement of business skills and employees’ career formation.

ICAP system diagram

■ Specialist education

■ Development of human resources involved in manufacturing processes

Health and Productivity Management and Work-Life Balance

Basic Approach

　The IWATSU Group believes that ensuring that each and every employee is able to actively participate with a sense of vitality will contribute to enhancing corporate value. To ensure that all employees can sufficiently exercise their respective skills and capabilities, we are developing systems and measures to support the balance of physical and mental health and a fulfilling life and work.

Overview of Activities

■ Health support

■ Support for giving birth, raising children, and nursing care

　For employees who are giving birth, raising children, or caring for relatives, IWATSU ELECTRIC has created leave systems, shortened working hour systems, and offset shift systems that employees can use regardless of whether they are male or female, in addition to statutory leave systems. In this way, we are supporting the balance between home and work.

■ Promotion of flexible workstyles

　In order to make more flexible workstyles a reality, in fiscal 2021, IWATSU ELECTRIC introduced a system that allows employees to take paid leave in units of one hour. The company is also actively working to prevent long working hours, including enhancing various types of leave system and setting days with company-wide finishing times.

■ Promotion of new workstyles in anticipation of the post-COVID-19 age

　IWATSU ELECTRIC introduced teleworking as part of countermeasures against COVID-19. We are taking steps to establish new workstyles, by distributing laptop computers to all employees and enhancing our environment for remote access. In September 2021, the Company opened a satellite office (Minato-ku, Tokyo), partly to support employees working remotely.

Satellite office (Prime Terrace KAMIYACHO)

Occupational Health and Safety

Basic Approach

　To ensure that each and every employee can enjoy peace of mind as they work and exercise their abilities, the IWATSU GROUP believes it is important to develop, maintain, and enhance occupational health and safety in the workplace. We are promoting the creation of a comfortable workplace environment that meets employees’ needs from a social, psychological, and physical perspective, by working to prevent illness and occupational injury among employees in advance, and tackling causes of stress, etc.

Promotion system

　IWATSU ELECTRIC and Iwatsu Manufacturing have established systems to manage health and safety, in order to prevent occupational injury and promote the creation of a comfortable workplace environment.
　IWASAKI ELECTRIC has established a Health and Safety Committee, whose members include the Manager Responsible for General Health and Safety, occupational health physicians, representatives of labor unions, and the Secretariat. Representatives of health insurance associations also participate as observers. The Company endeavors to share and enhance awareness of the content of this committee’s deliberations and reports among employees, through internal newsletters and the intranet, as necessary.　
　Iwatsu Manufacturing has established Health and Safety Committees at each business site. The members of these committees consist of safety mangers, sanitation managers, occupational health physicians, representatives of labor unions, and the Secretariat. Iwatsu Manufacturing has also established Workplace Health and Safety Committees at two business sites, and the members of these committees play an active role.

Health and safety management organization chart (IWATSU ELECTRIC)

Health and safety management organization chart (Iwatsu Manufacturing)

Overview of Activities

■ Stress checks

　As part of measures to address mental health, IWATSU ELECTRIC holds stress checks for employees once a year. Due consideration is also given to privacy, to ensure that the Company does not obtain the results of stress checks without the subject’s consent.

■ Risk assessment for chemical substances

　Once a year, IWATSU ELECTRIC performs chemical substance risk assessments for departments that use solder, chemical solvents, and other chemical substances.
　Chemical substances are mainly used in design and development. Assessments conducted in July 2021 showed that no highly harmful substances are in use, and the amounts used of chemical substances are also low. As a result, no workplaces were found to present a high risk to health.
　We also perform similar assessments at Group companies that use chemical substances for manufacturing, repair, etc. Based on the results of assessments at each company, we introduce protective equipment and improve facilities, while also endeavoring to reduce the usage of harmful chemical substances used in manufacturing processes and the risk of exposure.

■ Initiatives to prevent fire and disaster

　Once a year, each IWATSU Group company holds fire and disaster prevention drills.
　In addition to statutory drills, IWATSU ELECTRIC also works to spread awareness throughout the Company of how to use AEDs and disaster prevention equipment, what to do in the event of disaster, etc., as part of its endeavor to increase awareness of disaster prevention.

Fire and disaster prevention drills

AED hands-on learning

(both at IWATSU ELECTRIC)

■ Initiatives against COVID-19

　The IWATSU Group’s countermeasures against COVID-19 include the promotion of teleworking, a shift from group meetings to online meetings, the placement of acrylic sheets to prevent droplets, and thorough measures to circulate air.
　Iwatsu Manufacturing has also been taking steps to prevent infection, while prioritizing business continuity, by using antibody test kits on visitors at the time of entry.
　IWATSU ELECTRIC has also placed our own brand of alcohol disinfectant, “ALMEE,” within the company, and is using it for hand sanitization.

Supply Chain Management

Basic Approach

In the corporate environment of our time, globalization has accelerated, making it important to address global issues including issues related to human rights, the environment, pandemics and the increasing severity of natural disasters associated with climate change. At the IWATSU Group, we respond to social requirements by working together with all of the trading partners involved in our supply chain, including in the procurement of parts and materials, development, production, sales, services and recycling, aiming to build a sustainable society and increase our competitiveness.

Overview of Activities

■IWATSU Group supply chain management

　Almost all products offered by the IWATSU Group are manufactured at one of five production sites (four in Japan and one overseas), with materials procured from numerous trading partners in Japan and overseas. Under our Sustainable Material Procurement Policy, we inform our trading partners of our Sustainable Procurement Guidelines, request that they implement initiatives accordingly, and audit their plants to manage the quality of the procured goods, thus promoting supply chain management.

Main procured items at productin sites

• Electronic components
• PCBs
• Molded resin products
• Sheet metal materials and processed sheet metal products
• Chemicals

■Materials seminars

At the IWATSU Group, we hold yearly materials seminars to share our business policies and approach to new business development and procurement with trading partners and to promote business activities together with them.

■Sustainable Procurement Guidelines and Green Procurement Standards

At the IWATSU Group, we established the IWATSU Group Sustainable Procurement Guidelines and the IWATSU Group Green Procurement Standards which supplement the guidelines in January 2023 in light of the social situations related to sustainable procurement in recent years.
We promote sustainable procurement by prioritizing business partners who support and comply with these guidelines.

■Responsible minerals procurement

　Because some of the minerals mined in the Democratic Republic of the Congo and surrounding countries are used as a source of funds for armed groups that commit inhumane acts, the US Financial Regulatory Reform Act (Dodd-Frank Act) and the EU Conflict Minerals Regulations have been enacted.
Also, there is a growing movement to require companies to conduct due diligence to ensure that the mineral resources they procure do not promote conflict or human rights violations.
For example, the OECD requires all companies to responsible minerals procurement based on the "OECD Due Diligence Guidance for Responsible supply Chains of Minerals from Conflict-Affected and High-Risk Areas".
In order to fulfill our social responsibility in procurement activities, the Iwatsu Group will continue to promote efforts to eliminate the use of conflict minerals as a source of funding for armed groups, with our business partners while ensuring transparency in our supply chain.

Quality Management

Basic Approach

　The IWATSU Group believes that it is important that we work to resolve social issues and contribute to achieving a sustainable society by providing high-quality and highly safe products and services. Based on this approach, we have established a Quality Policy, and we are working to enhance the quality of our products and services as well as customer satisfaction.

• The above Quality Policy applies to ISO 9001-certified organizations in Japan.

QMS Promotion System

　In the IWATSU Group, we have created a quality management system (QMS) based on ISO 9001, and we are now operating and managing this system as part of our efforts to ensure quality and enhance customer satisfaction.
　Under the direction of the manager responsible for the QMS, the Group Secretariat coordinates with each department and internal auditors to promote continuous performance improvements through internal audits, management reviews, and other measures.

Status of acquisition of ISO 9001

* Including sales sites
○: Acquired as Group certification by the head office of IWATSU ELECTRIC●: Acquired as individual certification. Iwatsu (Malaysia) Sdn Bhd has developed and operates a separate QMS promotion system to that of our operations in Japan

■ Internal audits

■ External inspections

■ Management review

■ Initiatives targeting quality improvements

　The Quality Satisfaction Dept. of the head office of IWATSU ELECTRIC leads efforts to reduce product defects and enhance process quality, in coordination with plant quality departments and manufacturing departments.
　Senior management receives direct reports on the status of market quality and process quality at regular meetings of the Quality Committee, as part of efforts to appropriately share information and respond promptly.

■ Prevention of product accidents

　The IWATSU Group has put in place internal regulations that we have developed to enable us to respond promptly and appropriately to any major accidents or emergencies related to our products. In addition to spreading awareness of whistleblowing rules through pages on the internal intranet, we also use education to promote the thorough implementation of these rules.
　We also endeavor to provide timely and appropriate disclosure and information concerning product recalls on our website.
　In fiscal 2021, there were no quality accidents that had any significant impact on the assets of our customers.

■ Prevention of violation of laws and regulations

　We assess the status of compliance with laws and regulations related to our products through design inspections and verification by engineering departments, as well as checks of validity by quality satisfaction departments.

■ Customer satisfaction surveys by sales departments

　Each sales department in IWATSU ELECTRIC gathers information on the views and desires of customers and sales agents regarding IWATSU products and services, and reflects them in its business activities. The company uses analysis of these views, etc., to improve the performance of products, quality, and level of service.

Community Contribution Activities

　Each and every member of the IWATSU Group promotes coexistence and communication with local communities by actively engaging in regional and social contribution activities as a good corporate citizen.

■ Examples of IWATSU ELECTRIC activities

• Participation in regional bodies

• Takaido Police Relations Society, Takaido Police Safe Driving Managers Association, Ogikubo Hazardous Materials and Disaster Prevention Association, Ogikubo Fire Prevention Society, etc.

• Installation of temperature monitoring system for COVID-19 vaccine freezers in community vaccination centers under the jurisdiction of Suginami City Office

• Provision of emergency materials support sites for disasters (Suginami-ku disaster support plan)

• Sponsor of Suginami Charity Walk

• Support for Kugayama Firefly Festival

• Support for spring / fall nationwide traffic safety campaigns, etc.

Suginami Charity Walk

The Suginami Charity Walk and Kugayama Firefly Festival were suspended in fiscal 2020 and fiscal 2021 as a result of the COVID-19 pandemic. The photograph is from fiscal 2019.

■ Installation of temperature monitoring system for COVID-19 vaccine freezers in community vaccination centers under the jurisdiction of Suginami City Office
　

　

　IWATSU ELECTRIC provided Suginami City with systems for monitoring the temperature of freezers for storing COVID-19 vaccines.
　There were issues related to the management of “vaccine freezers,” including reports of vaccines being disposed of because of electrical problems.
　These systems combine a USB camera with IWATSU’s “Keiki Yomu Zo” automatic meter reading software to read and constantly log temperatures in freezers, and automatically send out alert emails if it detects any abnormal temperatures.
　This prevents the waste of vaccines by making it possible to quickly identify and respond to any issues, even in the early morning, at night, and other times when workers are not present.

• As of October 2022, this system is in operation at all community vaccination centers managed by Suginami City, excluding medical institutions.

■ Iwatsu Manufacturing activities

• Participation in regional bodies
  Sukagawa Zone & Shirakawa Zone Police Supporters Association, Sukagawa Regional Fire Fighting and Disaster Prevention Society, Sukagawa Business Association for Safe Driving Management, Shirakawa Zone Fire Fighting Management and Liaison Council, etc.
  

• Participation in Matsuaki Akashi (one of the three great fire festivals of Japan)

• Participation in the Tsuburaya Memorial Marathon

• Flower-planting and beautification activities around plants

• Eco cap activities

• Support for blood donations in the workplace