Risk Management

Risk Management

Risk Management System

JDI has identified eight risk categories, namely, natural disaster and accident risks, legal and compliance risks, financial risks, economic risks, labor risks, political risks, social risks, and business activity risks, and has tasked each department of JDI to perform assessments of assumed risks in regard to their probability of occurrence and their impact if they were to occur, study and formulate countermeasures for risks which are above normal levels of concern, and implement countermeasures within the department following a management review. Each year, JDI reviews the list and the content of the risk assessment (setting the level of significance). In addition, JDI has established the necessary rules and systems to prevent risks and minimize the effects in cases of occurrence. In general, risk factors are identified and understood through information sharing and reporting in the course of day-to-day operations, and the implementation status of measures to minimize the impact of these factors, such as prevention policies, is confirmed. When formulating an annual business plan or a medium-term business plan, JDI analyzes risks in the formulation process and incorporates countermeasures into the plans.
Furthermore, in Business Continuity Planning (BCP), possible risk situations (natural disasters, illness, damage related to an information security mishap, accidents, etc.) that may affect customers, client business partners or the supply chain and the degree of impact if a disaster situation occurs are estimated, following which proactive measures and preparations to minimize the impact of any disaster are taken to enable early recovery from the disaster.

Risk Management Flow

Efforts towards a Business Continuity Plan (BCP)

The Concept of a Business Continuity Plan

JDI has established Business Continuity Plan (BCP) regulations with the aim of minimizing the impact on production activities due to unforeseen circumstances and maintaining a state where we can recover quickly. In 2023, we established a crisis management committee to prepare for unforeseen situations caused by large-scale natural disasters such as earthquakes and floods, infectious diseases, terrorism, etc. In case of an emergency, we set up a response headquarters and have built a system that can take accurate and swift action in cooperation with related departments. Also, in the BCP regulations, we have clarified the basic policies, action standards, setting standards for the response headquarters, roles, etc. during an emergency situation.

BCP (Business Continuity Planning) Basic Policy

• Prioritize human life, closely coordinate with the local community and relevant parties, and prevent secondary disasters.
• Promptly restore business through pre-emptive measures and preparations, minimizing the impact on customers.
• Strive to continue business even in unforeseen circumstances.

Identification of Risks and Measures Taken

JDI identifies BCP target risks based on the degree of impact on business continuity in risk management, and prioritizes the assumption of a major earthquake that could interrupt business and have a significant impact on society to improve the accuracy of the BCP. Also, at our manufacturing sites, we conduct simulation training based on assumed scenarios for various risks such as fires and leaks of chemicals and gases, and promote initiatives that are grounded in reality. We will continue to regularly train and verify our BCP, aiming to strengthen and improve our business continuity capabilities.