The Gunze Group recognizes that legal and regulatory compliance is essential for fulfilling social responsibilities and meeting its basic management policy of delivering ever-improving corporate value. Furthermore, group management places a high priority on swift decision-making in the face of social and economic changes, and timely disclosure of accurate information to stakeholders so as to improve transparency of management. The Gunze Group also strives for upgrading and strengthening its internal control functions while also promoting dialogues with stakeholders to widen the circle of trust.
Corporate Governance System
The Gunze Board of Directors meeting is held monthly to deliberate and resolve crucial corporate matters while overseeing the fulfillment of management tasks. In addition, an Executive Officer meeting attended by chief officers is held roughly once a week to enhance management efficiency and facilitate more agile decision-making regarding business practices. To strengthen oversight of management practices and improve transparency, the Board of Directors includes two outside directors. In addition, Gunze has introduced a Corporate Officers System to more clearly separate management decision-making and supervisory functions from business operations, while augmenting both.
The Board of Corporate Auditors consists of four members including two outside auditors. The auditors perform a monthly audit to monitor the directors’ fulfillment of duties and validity of internal controls. They also attend such important corporate meetings as the Board of Directors meetings and Executive Officer meetings, while conducting audits for Gunze’s various departments and its Group companies. To boost auditing effectiveness, the corporate auditors actively exchange information and views with directors, members of the Business Audit Section and accounting audit firm staff, while also giving guidance to the Business Audit Section and other related sections to fulfill assigned tasks as necessary.
The Business Audit Section, established under the direct supervision of the President, is in charge of internal inspection of business practices for Gunze's various departments and Group companies whenever necessary.