Risk Management

Basic Policy

We in the ISK Group pursue risk management with the aim of preparing for various risks that could seriously impact the smooth operation of our business, and in the event of an emergency, appropriately and swiftly addressing it in order not to harm the health, safety, or interests of stakeholders, restoring our business operations as soon as possible, protecting our corporate resources, and minimizing the damage to our business.

Risk Management System

We have “risk management regulations” governing our basic policy on risk management and risk management system. We have also established the Corporate Risk Management Committee, aimed at appropriately managing and preparing for various risks surrounding our business. The Corporate Risk Management Committee is held twice a year, or whenever necessary, summarizing risk assessments, selecting major risks with high priority, discussing plans for risk countermeasures, and confirming progress on those countermeasures.
The Sustainability Promotion Committee’s jurisdiction includes priority issues (Materiality), climate change risk, and human rights risk, for which it advances their measures in coordination with the Corporate Risk Management Committee.

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Risk Management Process

Overview

Based on the risk assessment results, we select persons and divisions responsible for addressing the relevant risks.
The selected persons and divisions formulate and implement plans for countermeasures.
The progress of these plans is monitored by separately established persons and divisions responsible for monitoring, which review the countermeasure plans and improve the countermeasures.

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Risk Map

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Notes:

1. 1:
   Regarding level of effect on business and probability of occurrence, we set risk scenarios and assess each risk impact or damage in order for assessors to have a common understanding. The risk scenario used here is a worst-case scenario, i.e. the biggest threat among the possibilities.
2. 2:
   ISK defines risk as any possibility of physical or economic damage to ISK, loss of trust, or others causing disadvantages.

High Priority Risk

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