Risk Management

Approach to Risk Management

 Alps Alpine’s business environment is subject to a variety of risks stemming from business globalization, technological advancements, market changes, and other factors. In order to realize sustainable growth and enhance its corporate value, the Company understands the importance of ascertaining the level of impact and significance of such risks on its operations and of planning and executing counter-measures over the medium to long term.
 Alps Alpine identifies risks that are relevant to its operations and conducts interviews with each headquarters based on the risks identified. The information obtained from these interviews is verified from both risk and opportunity standpoints by the Sustainability Promotion Office. The results of these verifications are presented for approval to the Board of Directors as issues to be addressed (mate-rial issues) by the Company.
 The following risks have the potential to impact the Company’s operations.

Macro environment Sovereign and political risk, economic risk, social and cultural risk, environmental preservation risk, and legal and regulatory risk
Business environment Market risk, user risk, competitive risk, and technological and business model risk
Business and entity Business model risk, business portfolio risk, resource allocation risk, organizational risk, and supply chain risk
Management resources Human resource risk, product and facility risk, capital risk, technological risk, information risk, system risk, and credibility and brand risk

 Alps Alpine will continue to assess the level of significance and impact of these risks on its operations and revise them accordingly.



Crisis Management

 In addition to fires, natural disasters, such as earthquakes and heavy rains, and infectious diseases have a significant impact on a corporation’s operations and management as well as on its supply chain. To prepare for such crises, the Alps Alpine Group is promoting measures to realize a prompt recovery in its operations and minimize damage.
 To enable prompt responses in the event of a crisis, the Group has prepared a crisis management manual and updates the contents thereof as required. Based on this manual, the Group is also preparing a crisis management manual for each facility in Japan and overseas tailored to the specific characteristics of their operations.

Crisis Management Policy (Excerpts from the Crisis Management Manual)

  • We will place top priority on ensuring the safety of employees, all people on Company premises (including visitors, related Company employees, on-site subcontractors, and temporary staff), and the families of employees.
  • We will continue business activities and do everything we can to maintain the supply of products and provision of services to customers.
  • We will endeavor to preserve both tangible and intangible Company assets and make efforts to minimize damage using the most suitable methods.
  • We will demonstrate responsible conduct, take quick and appropriate action, and strive to restore operations when risks do eventuate in order to earn the trust of customers, shareholders, and all other stakeholders.