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Fair Operating Practices

Business Continuity Plan/Management (BCP/BCM)

The Fujikura Group's Business Continuity Policy

We established the Fujikura Group Business Continuity Policy in March 2012. We subsequently formulated the Group's basic business continuity plan and the head office's business continuity plan in line with the policy.

The Fujikura Group's Business Continuity Policy

In line with the following principles, we will foster business continuity management (BCM) so that we can continue to fulfill our corporate social responsibility and supply our products and services in a stable manner even in the event of an emergency.

Goals

  • As the Fujikura group considers business continuity one of the most important business administration issues, we are engaged in ongoing organizational efforts group-wide. We prioritize businesses to create concrete business continuity systems for, then expand these to other businesses.
  • We formulate business continuity plans that aim for rapid corporate function recovery and that ensure safety for employees and their families in the event of an emergency.
  • We set reasonable standards for rapid recovery or business continuity in the event of an emergency by defining priority business functions and risks to business continuity. We then draft business continuity plans to achieve these standards, and focus our resources when responding to emergencies.
  • We will systematically promote preparedness and plans for response to ensure the effectiveness of the business continuity plan.
  • To stay abreast of changes in social attitudes, technical progress, or environmental changes such as legal system reforms while maintaining business continuity, we will continue to update our business continuity plan.
  • We will regularly implement training based on the business continuity plan, review the dissemination and proficiency level of organizations, and implement examinations of the effectiveness of coordination with outside organizations.

Management System

The risk management committee is designated as the decision-making organization for the business continuity plan, with an organizational structure of: general affairs manager as chief executive, and general affairs and public relations divisions as chief divisions. The chief divisions implement and engage in ongoing improvements to the business continuity system in conjunction with representatives selected from all departments for business continuity management activities. Furthermore, responsibilities also include requesting explanations, reports, and materials from all departments as required to complete business continuity management activities.

Initiatives of FY 2016

Formulation and promotion of BCP

Fujikura is formulating a widely applicable BCP by appropriately identifying business risks, thereby making the necessary preparations and building a system to respond to any emergencies. Through these efforts we are working to ensure a stable supply of our products to the market and gain more trust from our customers and other stakeholders.

Developing BCP Formulation for the Entire Group
In fiscal 2009, we chose pilot departments to be included in the target for a BCP, and began examining and formulating a plan for the selected departments. Specifically, we planned what to do in the departments and across their value chains in the event of a large natural disaster. We have subsequently expanded the BCP target to include three other departments. Following the Great East Japan Earthquake, we have also decided to formulate a BCP for head office, assuming that a large-scale inland earthquake will hit the Tokyo metropolitan area. By formulating a BCP across the business segments, we aim to shorten the time required to recover from an emergency and eventually to strengthen our business foundation. We will thus improve our overall ability to respond to disasters and see to it that we can give a reliable response to requests from our business partners, even in case of emergency.

We also started BCM training, aiming for more practical application while shifting from BCP to BCM.

Developing BCP formulation for the entire group

BCP and the Kumamoto Earthquake

Massive "Kumamoto Earthquake" Occurred in the Central Kumamoto Area
On April 14, 2016, a massive magnitude 7.0 earthquake struck the central Kumamoto area. This earthquake was called the “Kumamoto Earthquake”. The earthquake was followed by aftershocks, and a number of casualty and injuries occurred and the news reported that many buildings and houses, including Kumamoto Castle, were nearly destroyed reaffirmed the importance of preparing for natural disasters. Our group expresses our heartfelt condolences to those who passed away in the Kumamoto earthquake, and we hope that many of the affected people make a speedy recovery as soon as possible.

The group companies located in Kumamoto Prefecture, which became the focal area, is Fujikura Line Tech West Japan and Fujikura Precision. Immediately after the earthquake, the Group established the "Group Disaster Countermeasure Headquarters" within the Fujikura headquarters based on the "Fujikura Group Business Continuity Plan (BCP)". Local disaster countermeasures headquarters were set up in Fujikura Precision in the disaster area, and in cooperation with each other, we worked together for recovery according to the series of procedures determined by BCP.

Fujikura Precision had almost no earthquake damage in Fujikura Precision due to the series of Kumamoto earthquake from 14th April when a huge earthquake of seismic intensity 7 occurred, but in Fujikura Line Tech west Japan, part of the building It was damaged and there was damage such as overturning of machinery equipment. Immediately after the earthquake, the support team of the Group entered the site, repaired the machine equipment and confirmed the safety, and restarted operation from May 2, two weeks after the earthquake occurred. Based on the product supply responsibilities to customers, the Group began shipping inventory products on April 22, when the logistics system revived, aiming to minimize inconveniences. In addition, while considering donation to the afflicted area, the Group has been offering Fujikura Line Tech West where there are many affected people at home, on April 20th from Group companies' west Japan Nippon Electric Cable Co., Ltd. (Oita-shi) We delivered 200 servings. Also, on April 30, employee volunteers came from Western Japan Electric Cable to clean up the affected employees' homes and continued their support activities.

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