Society

Society

  • Human capital
  • Human rights and supply chains
  • Supply chain management
  • Community and Society contribution

Human capital

Human Resources Basic Policy

At our Board of Directors meeting on April 21, 2021, we established the following " Funai Soken Group Human Resources Basic Policy" in order to disclose our approach to "human resources," one of our Materiality (Key Issues) , to all stakeholders .

Basic Concepts
Funai Soken Group recognizes the importance of "human resources" as a crucial source of value creation for realizing a sustainable society . We will make securing and educating outstanding human resources our top priority, and contribute to Society by providing value.
Human Resources Basic Policy
  1. Diversity & Inclusion

    In order to cultivate human resources who can continuously create value increasingly diverse society , we aim to contribute to Society through our business activities while respecting each individual's background, including nationality, gender, and age, and acknowledging diverse ways of thinking.

  2. Creating Growth Opportunities

    To create a better society and to development employees who can adapt to the changes demanded by the times, we will enhance our education and training system, create even more opportunities for growth, and contribute to the growth of a sustainable society .

  3. Improving Employee Engagement

    We aim to be a group that fosters employee engagement, where employees grow together through their work, share values, and enhance teamwork within the organization, thereby promoting a positive cycle in business activities and ultimately contributing to the resolution of social challenges .

  4. Health and Productivity Management

    We will promote diversification of employees' working hours and locations, while fostering a support system that enables them to work in a way that is fulfilling both physically and mentally, in order to achieve high-quality work, enhance customer satisfaction, and create value for Society .

  5. Information Disclosure

    We will strive to Information Disclosure necessary for our engagement with Society regarding the Initiatives of our basic policy on human resources.

  6. Compliance

    In our relationships with all stakeholders through our business activities, we will strive to comply with all relevant laws and regulations, and to act fairly in in accordance with social norms .

Date Established : April 21, 2021

Funai Soken Holdings Inc.

Takayuki Nakatani, President

iconHuman Resources Policy (Chinese)icon

Human Resource Management

Our group believes that the success of diverse talent is essential for sustainable growth. Therefore, we have set "proactive investment in human resources" and "instillation of the group purpose" as key policies in our management plan, and we will strive to further enhance our human capital, which is the source of our group's growth.

Human Resources Strategy

We will challenge ourselves to increase our "consultant talent," which directly impacts sales, at an average annual growth rate of 10%.

Furthermore, we will prioritize recruitment , development and development, and retention, and actively invest in human resources.

(*1) Funai Consulting Inc. aims for Average annual salary of 10 million yen for its consultants by 2030, and is working to continuously improve starting salaries and compensation levels.

Main Human Capital Policies

KPI Targets
recruitment Active recruitment of consultant talent that directly impacts performance. Number of consultants
1,150 people in 2025
(1,018 people in 2024)
development Training time per employee Implementation of training exceeding 100 hours per year
Retention & Empowerment Improving the compensation levels of consultants Consultant at Funai Consulting Inc.
Average annual salary in 2030: 10 million yen (*1)
(7.8 million yen in 2024)
ratio of female managers 25% in 2025, 30% in 2030
( 24.1% in 2024 )
Human Resources recruitment

We are actively promoting recruitment measures to reach our target of 1,800 employees by 2025. Specifically, we are strengthening recruitment new graduates to increase the number of consultants in upstream processes, strengthening Mid-Career Recruitment in high-growth areas such as DX and highly specialized M&A, and strengthening recruitment of management personnel to enhance the group's capabilities.

New graduate recruitment

In addition to industry-specific recruitment activities, we will strengthen our recruitment pool, differentiate ourselves from competitors, and maintain a strong hold on the market by approaching student demographics that we previously had little contact with from an early stage through new Initiatives such as group-wide DX recruitment events and DX internships (workshops, networking events).

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Internship

Our group offers internships as part of recruitment for new graduates.

We have been offering internships since 2012, including short-term programs lasting three days or a week, as well as long-term programs lasting three months or more. The purpose is to help students who are about to start their job search to gain a concrete understanding of the work content and experience the workplace atmosphere.

A cumulative total of 2,845 students targeted for 2026 new graduate recruitment participated in the internships held in 2024.

Mid-Career Recruitment

We are focused on securing highly skilled professionals who can immediately contribute to our team. We are expanding our recruitment channels and shortening the selection process to ensure smooth recruitment .

In particular, we have created a dedicated webpage to strengthen recruitment for DX (Digital Transformation) talent, which is essential for improving the group's future performance.

Furthermore, we view the increasing recruitment of alumni in recent years as an effective means of securing highly skilled professionals who can immediately contribute to our team, and we are actively working to recruitment diverse professional talent.

development and success

Our group's basic human resources policy emphasizes " Creating Growth Opportunities ," and we are working to enhance our education and training system to create a better society and to development employees who can adapt to the changes demanded by the times. We are further expanding our educational programs and increasing our investment in education, including the early development of young employees and the acquisition of digital skills that lead to increased productivity.

development program

We development human resources by operating a variety of training programs tailored to different levels (new employees, mid-career hires, middle management, executives, etc.), skills, and themes. We focus on ensuring that employees acquire the necessary skills at the right time, and that they can immediately apply them in their work by incorporating many real-world examples and workshops, rather than just learning theory through lectures.

Furthermore, in the consulting field, we have compiled a list of DX skills necessary to achieve results and organized educational content corresponding to each skill. By linking this with the promotion program, we aim to improve the skills of each employee and systematically development DX talent. In addition, some members receive DX training utilizing external content with the aim of further acquiring specialized skills.

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DX Training

To development and integrate DX (Digital Transformation) talent, each company implements programs such as training sessions, study groups, and e-learning.

Funai Research Institute offers 22 DX training courses as part of its "DX Enablement" program. The program systematizes the skills necessary to achieve results with digital technologies and DX, aiming to ensure skill acquisition. By linking the acquisition status of each skill with actual results, the program continuously evolves the learning content through a PDCA cycle.

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Consulting Training

We offer a total of 1,014 training courses as part of our "Consulting Enablement" program. Our focus is on practical application, aiming to equip participants with skills that translate into tangible results—improving our clients' business performance. The training emphasizes hands-on practice, including input using educational content, output in real-world work situations, and KPI review based on performance.

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Training hours per employee (FY2024 results)

・92.8 hours

*The above figures are calculated by adding up the time spent participating in training, accompanying new graduate consultants, and attending management policy presentations, with the number of consolidated employees as the denominator.

On-the-job training (OJT) through accompanying senior employees on sales calls.

Our group is committed to enhancing development programs and focusing on on-the-job training (especially sales shadowing) in human resource development . New graduate consultants in their first year gain practical knowledge by experiencing sales shadowing, learning key points, skills, and know-how related to sales activities.

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(Photo) [A must-see for job seekers] A day in the life of a Funai Research Institute consultant
Strengthening the management layer

Since organizational leadership and member development by managers are directly linked to achieving KGIs and corporate growth, we will restructure our management programs.

Promotion Program

A development program for employees aiming for promotion in terms of rank and position.

You will acquire the required roles, skills, and mindset through lectures, e-learning, and workshops.

Executive training

We are deepening the knowledge of existing managers by implementing programs in various formats.

Examples: Study group / Executive review / Thematic committee / Vision meeting

evaluation

Our group's human resources system consists mainly of three systems: a grading system, an evaluation system, and compensation system . It embodies our human resource strategy in order to achieve our group purpose.

Our grading system clarifies the roles and growth steps expected of each employee, providing diverse career paths.

Our evaluation system emphasizes not only results but also the processes and actions that lead to those results (such as practicing the Funai Way). Through fair and multifaceted evaluations and thorough feedback, we strongly promote employee growth.

The evaluation results are appropriately reflected in compensation, ensuring a fair distribution commensurate with contributions. Opportunities for career changes and departmental transfers are also provided, allowing employees to build their careers flexibly in line with their vision and life stage.

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Throughout these systems, Funai Soken Group aims to achieve both the maximization of individual "lifetime value" and the sustainable growth of the company by enabling each employee to demonstrate their abilities, grow, and contribute to the company in diverse ways. The personnel system is continuously improved, and optimization is always pursued.

Grading system: Diverse career paths and steps for growth
Funai Soken Group 's grading system is a system that classifies the abilities, duties, and roles expected of employees. This system defines the roles and abilities required for each course and grade, as well as the criteria and regulations for career steps such as promotion, in order to enable further individual growth.

The ranks are classified into six levels (may differ in some courses) according to expected abilities, contributions, and achievements, and authority, responsibilities, and compensation are determined according to the required role and work performance capabilities.

Funai Soken Group offers a variety of career advancement courses tailored to different business areas and roles. These include management courses for leading organizations, specialist courses for pursuing individual expertise, consulting development courses, business development courses, corporate professional courses, and corporate staff courses, which are available at each group company.

These courses aim to help employees achieve a " sustainable growth career" that allows them to enrich both their work and personal lives and continue to thrive. Furthermore, the system is designed to allow employees to choose their career paths in line with changes in their life stage and personal vision. This is based on the philosophy of supporting a "jungle gym" type of career development, where employees can move freely up and down the ladder rather than a "ladder" type where they only move up or down.
Performance evaluation system: Measuring growth and fair contributions.

The evaluation system is a mechanism for conducting performance appraisals based on the employee profile defined in the grading system. Its purpose is to assess performance against goals set over a certain period, promoting goal achievement and growth through those achievements. It also plays a role in fairly and equitably evaluating individual achievements in accordance with diverse ways of contributing, and reflecting these in compensation. Evaluation is not merely about determining compensation; it is also a platform for fostering growth through development , process management, and feedback.

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The evaluation cycle varies depending on the company and course, but in most cases, it operates on an annual cycle. The cycle of "goal setting," "task execution," and "evaluation/feedback" is implemented throughout the year.

The evaluation process is based on a multi-stage evaluation system that begins with self-evaluation, followed by supervisor evaluation, inter-departmental coordination, and evaluation meetings before the final decision is made. For management-level personnel, 360-degree evaluations are also introduced to provide a more multifaceted perspective. Furthermore, customer feedback is taken into consideration to enhance the objectivity of the evaluation. Through these measures, we aim to correct biases in evaluations from multiple perspectives and achieve evaluations that are highly satisfactory. The final evaluation results are communicated from supervisors to subordinates through feedback meetings, ensuring transparency and facilitating discussions on growth and problem-solving, including appreciation for the current period, expectations for the next period, and specific action plans.

In addition to the above, we provide meticulous support for each individual's growth by conducting regular one-on-one meetings and providing continuous feedback through daily work.

Details of evaluation items

The evaluation criteria are set according to the company's goals and the individual's role. The main criteria include the following:

Outcomes and Objectives
  • Achievement status of individual goals
  • Achievement status of departmental goals
  • New Solutions and New Business Development
  • Seminar attendance
  • Number of Management Workshops members
  • Consulting quality (support retention rate, NPS)
  • Turnover rate
Process objectives

The process of achieving the results and goals
We will evaluate the specific action plan.

Behavioral goals / competencies
  • Understanding and practicing the Funai Way
  • Self-management
  • Teamwork
  • compliance
  • Business etiquette

We evaluate not only results, but also the processes and behavioral guidelines used to achieve those results. In particular, we place importance on the practice of values included in the Funai Way, such as Adventureship ( Converting change into momentum and contributing to company-wide activities), Empathy (supporting customers and departmental managers), and Integrity (honesty and keeping promises). At Funai Shanghai, the fulfillment of the values of "loving the company, loving the work, and loving colleagues" is also included in the evaluation criteria.

Compensation system: Fair distribution based on contributions

The compensation system defines compensation based on job grade and performance, and plays a role in encouraging desirable behavior. Compensation consists of "variable pay" through bonuses and "fixed pay" through base salary and allowances.

Monthly salary

Monthly salary is determined by your rank, pay grade, and various allowances. Your pay grade changes based on your performance evaluation (personnel assessment and total evaluation score), and this is reflected in your monthly salary for the following year.

bonus

Bonuses are paid based on company performance and individual performance evaluations. Summer bonuses are often based on company performance (performance coefficient) and base salary, while winter bonuses are an important factor that reflects not only company performance but also individual performance evaluations and assessments.

Various allowances

Job allowance / Position allowance Paid according to grade and course.
Qualification allowance Support for obtaining certain qualifications
Family allowance Provided if you have dependents.
Commuting allowance Reimbursement of actual expenses
Overtime pay and late-night work pay Paid for overtime work
Adjustment allowance Payment due to changes in the wage system, etc.

Systems that support diverse working styles and career development

At Funai Soken Group , we have established systems to support diverse working styles and career development in order to realize a " sustainable growth career" for each and every employee.

Course transfer system

The career transfer system allows employees to move between different career tracks, such as between management and professional tracks, depending on their individual aspirations, abilities, or the organization's needs. The career transfer process involves the employee expressing their intention, a recommendation from their supervisor, and deliberation and approval by executives. Monthly salaries are adjusted based on the salary of the previous career track, according to the salary scale of the new career track.

Deployment of change system

Furthermore, a departmental transfer system (transit system, job offer system, and personnel transfer) is in place, allowing employees to change departments without changing their career path. This system aims to enhance individual value and improve management skills by allowing employees to experience multiple fields according to their preferences. Under the transit system, employees can request a transfer to their desired department, and under the job offer system, transfers are possible by applying to internal job postings. In these systems as well, there is a mechanism in place to consult directly with the human resources department without going through a supervisor.

Kounotori budget system

Furthermore, as a system to support life events, there is the "Stork Budget System," which allows employees to transfer their already determined personal budget to the company or department when they take maternity or childcare leave due to pregnancy or childbirth of themselves or their spouse. This system is designed to ensure that employees can face life events with peace of mind.

Career development philosophy

At Funai Soken Group , we have established systems to support diverse working styles and career development in order to realize a " sustainable growth career" for each and every employee.

From "ladder type" to "jungle gym type"

At Funai Soken Group , we support a "jungle gym" type of career development, which allows for free movement in all directions, rather than the traditional "ladder" type of career that only moves up and down. This allows employees to flexibly choose their careers according to their life stage and aspirations.

For example, employees can choose from a variety of career paths, such as switching from a management track to a specialist track, or transferring to a different department. This reflects Funai Soken Group 's human resources philosophy, which aims to achieve both the maximization of an individual's "lifetime value" and the sustainable growth of the company.

Balancing work and personal life

Achieving a " sustainable growth career" requires a fulfilling work-life balance. At Funai Soken Group , we prioritize creating Environment where employees can thrive long-term by offering work options tailored to their life events.

Continuous growth opportunities

We support our employees' continuous growth through regular feedback via our performance evaluation system and the provision of diverse career paths. This is based on the belief that individual growth leads to company growth.

Sharing of values

We emphasize the sharing and practice of corporate values, exemplified by the Funai Way, and reflect this in our performance evaluations, thereby fostering organizational culture and clarifying individual behavioral guidelines.

Establishment

To ensure that All employees can continue to thrive while feeling a sense of purpose in their work, we are promoting the widespread understanding and acceptance of our management policies and group purpose, thereby improving employee engagement and expanding group synergies.

Initiatives to improve EVP

We have set "improving EVP (Employee Value Proposition)" as a key part of our human resources strategy in our medium-term management plan, and we are continuously working to improve employee satisfaction.

Employee satisfaction

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  • - Revitalizing communication through the creation of a single office at the group headquarters.
  • - Sustainable improvement of compensation levels
  • Promoting diverse and flexible working styles such as flextime, remote work, and course changes.
  • - Development of evaluation and personnel systems that support diverse career paths, etc.
Efforts to instill Initiatives in order to improve engagement

Purpose Town Hall Meeting

Group CEO and the heads of each group company visit the sites to directly communicate the background and intentions behind the setting of the group purpose to employees, and to exchange opinions through question-and-answer sessions with employees.

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Greeting Campaign

Volunteers from each company stand at the office entrance during employees' commuting hours, greeting and speaking to them. By reviving and re-establishing the "culture of valuing greetings" that was temporarily damaged by the COVID-19 pandemic, new forms of communication and synergy are being created.

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Founder's Spirit Infiltration Campaign

To understand the Founder's Spirit, next-generation leaders selected from each company participate in workshops. Through visits to the Founder's Memorial Hall and lectures by evangelists, they learn about the founder's spirit that should be continuously passed down within their organizations.

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Diversity & Inclusion

We believe that diversity management, including the promotion of women's participation in the workforce, is essential for creating the foundation necessary for innovation, value creation, and productivity improvement.
We will create Environment where employees can continue to work with enthusiasm and promote Diversity & Inclusion .

Women's active promotion

Funai Soken Group is promoting various Initiatives to achieve its targets for the percentage of female employees and ratio of female managers by 2030.

In 2025, female employees will account for 38.6% of the total number of consolidated employees. Non-regular employees (contract employees, temporary staff, etc.) will account for 6.3% of the total number of consolidated employees.

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Overview of the 2023 fiscal year

Due to an increase in recruitment of male consultants and engineers, the percentage of female employees and ratio of female managers temporarily decreased slightly.

・Policies and achievements for fiscal year 2024

In order to realize career development and value creation that leverages diverse values, we have strengthened our efforts to actively recruitment and promote the advancement of women. As a result, the percentage of female employees improved to 38.0% and ratio of female managers to 24.1% in FY2024.

・A sense of accomplishment from value creation and Society responsibility

In our consulting division, where ratio of female managers is high, we have observed improvements in employee satisfaction and productivity. We consider this an essential element for sustainable growth, and we will continue to focus on recruitment and supporting the success of outstanding talent, not only within our own organization but also to contribute to the development of our client companies' entire industries through our consulting services.

iconGender wage gaps should be disclosed in ESG data.icon

Key points and specific Initiatives for promoting women's participation in the workforce.

Human resources are our greatest asset: Aiming for a 30% ratio of female managers

  1. ratio of female managers (achieved the target set in the previous medium-term management plan)

    In our previous medium-term management plan (FY2023-2025), we achieved our non-financial target of having ratio of female managers of "25% or more." The actual figure for FY2025 was 27.5%, a steady improvement from FY2022 (23.8%).
    Furthermore, the percentage of female directors is 33.3% (as of fiscal year 2025), indicating increasing diversity within the management team. We are progressively expanding the appointment of women to positions responsible for decision-making.

  2. Targets for sustainable corporate value enhancement

    As one of our Sustainability goals, we aim to maintain and achieve the following levels by 2030: " ratio of female managers , over 40% in employee positions," and "a ratio of over 30% in director positions." Simultaneously, we are steadily promoting the advancement and promotion of women while simultaneously working towards a plan to increase our consulting staff, whose contributions directly impact our performance, by an average of approximately 10% annually.

Career development support for young professionals; CareerNavi CAFÉ

"Career Navi CAFE," conducted by Funai Consulting Inc. , is a workshop-style program where senior female employees who serve as role models are invited to share their experiences in career development and learn how to create career and life plans. It is an in-house training program held three times a year for all female employees in their first or second year at the company.

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Review and promotion of systems and Environment aspects

  • Human resource systems and promotion programs that promote an increase in ratio of female managers
  • Encouraging flexible work arrangements that suit individual lifestyles, such as remote work, flextime, and course changes.
  • Women's Empowerment Support Project
  • Study sessions and information exchange meetings for female consultants
  • Training for managers to support the success of their female subordinates.

Transforming and promoting diversity

  • Acquired "Eruboshi Certification" based on the Act on Promotion of Women's Participation and Advancement in the Workplace.
    Funai Soken Holdings Inc. .: 3-star rating (certified October 20, 2025)
    Funai Consulting Inc. .: 3-star rating (certified October 20, 2025)
  • Women's Empowerment Promotion Committee (Strategic measures and promotion for women's empowerment by department heads)
  • Parental leave return program (including iPad loan, pre-return interviews (about working style after returning to work), etc.)

Promoting women's advancement by leveraging the characteristics of the business

  • Human resource allocation and development that leverages the characteristics of the business.
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Promoting paternity leave for men

  • Funai Soken Group is working to create Environment that encourages men to take paternity leave. Our goal is to achieve a 100% paternity leave rate for men by fiscal year 2025.

Pick Up

Funai Soken Holdings Inc.

Thanks for the support from the members.

In the group's finance department, where women make up about 60% of the staff, each member thrives by working in a way that suits their life stage. I myself have experienced taking maternity leave and returning to work twice, and I was able to return to work with peace of mind thanks to the support provided, such as remote work, flexible working hours, and information sharing during leave (including the provision of PCs and mobile phones). And above all, the support I received from my colleagues in the department during and after my leave was incredibly reassuring and appreciated.

Akiko Nishimura

Akiko Nishimura

Group Accounting Department Manager
Funai Research Institute Human Capital Consulting Co., Ltd.
Directors

Pick Up

Funai Research Institute Digital (now Funai Consulting Inc. )

Women are playing an active role in new business areas.

At Funai Research Institute Digital (now Funai Consulting Inc. ), where the ratio of female employees and ratio of female managers is close to 70%, women are active in a wide range of fields.

BPO services (list and call center services, seminar operations, etc.)

Leveraging the operational know-how of the staff division, we transformed the external sales division from a startup to a core revenue-generating business.

Creating Back Office Consultants

Creating back-office consultants who focus on improving operations in back-office tasks and other areas of work that are predominantly female, and who engage in value creation within the workplace.

From RPA Operator to Back Office Consultant

As part of business process improvement, an employee with a liberal arts background ran RPA for approximately 9,000 hours over four years. One of the female staff members who was involved in this work has since transitioned to a back-office consultant role and is now actively contributing to the company.

Yuko Tasaka

Yuko Tasaka

consultant

Hiring mid-career: Employment and success

Pre-employment support

Before receiving a job offer, candidates create a "Career Vision Sheet" with their prospective department head. By solidifying their vision of success before the final interview, we support them in becoming valuable assets immediately after joining the company.

1-on-1 after joining the company

We conduct one-on-one meetings with the head of the Human Resources Development department to discuss any discrepancies or inconsistencies you may have experienced since joining the company, as well as key points for your future success.

Reluctant meeting/seminar

These study sessions, discussion groups, and training programs for mid-career hires are designed to help them gain a deeper understanding of the company and its operations, and to foster connections both within and outside the company.

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Promoting employment for people with disabilities

Funai Consulting Inc. has established a "Challenged Success Unit" within its Employee Success Division.

Funai Consulting Inc. , the core company of the group, has been actively recruitment , establishing Clean Support and Business Support at its Osaka office in 2015, and Line Support in Ehime Prefecture in 2020. Furthermore, in 2024, it established Office Support at its Tokyo office.

Through these Initiatives , Funai Consulting Inc. has achieved the legally mandated employment rate of 2.5% for people with disabilities. Moving forward, we will leverage the employment expertise cultivated at Funai Consulting Inc. to expand to other group companies, working towards achieving the legally mandated employment rate (2.5% in 2025 and 2.7% in 2026) for group companies with 40 or more employees.

Furthermore, at Funai Consulting Inc. we are preparing to assist our client companies in promoting the employment of people with disabilities, thereby contributing to the realization of diversity, equity, and inclusion in Society as a whole.

Job satisfaction, fulfillment in work

We are working to create a workplace Environment where employees with disabilities can work in a way that suits their specific disability and career vision. Actively collaborating with members from other departments, producing results, and becoming an indispensable asset contributes to their retention.

Leading ESG initiatives

Members of the Challenged Success Unit themselves lead ESG initiatives by conducting awareness campaigns at company-wide morning meetings and conferences regarding "creating a comfortable working Environment " and "promoting diverse working styles."

Work environment

We are constantly taking on new challenges, such as increasing workload through productivity improvements and developing business proposals in collaboration with consultants.

(Examples of increased productivity: Transcription 2.9 times, number of direct mailings 1.9 times)

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Scenes from the online awards ceremony

We received many messages of gratitude for our daily activities.

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Promoting the success of foreign employees

We believe that employing diverse talent and allowing each individual to demonstrate their unique abilities enhances the organization's competitiveness, and therefore we support the success of our foreign employees.

Community for foreign employees

Example: Global study group (study group, information exchange meeting, and networking event for foreign employees)

Training and Education

Example: Diversity training (conducted for managers, covering topics such as key aspects of diversity and guidelines for accepting foreign employees)

Support for foreign nationals joining the company

Examples: Translation of onboarding documents, Other support for onboarding procedures.

Health Management & Occupational Safety

Health and Productivity Management and attitudes towards labor

Our group recognizes that ensuring the occupational safety and health of all executives and employees is the most important element of our business activities. We are committed to creating a workplace Environment where our employees, who are our most valuable asset, can work safely, in good physical and mental health, and with a sense of purpose. Our key priorities regarding labor are clearly defined in Funai Soken Group Human Rights Basic Policy, which applies to all officers and employees of the group.

Dissemination of ideas about labor
Our group believes it is important for employees to correctly understand the group's policies and approach to labor. Therefore, we conduct comprehensive training and awareness- Initiatives for all employees, including topics such as human rights, occupational safety, corporate philosophy, and group purpose. New employees receive training within 90 days of joining the company. In addition, our basic human rights policy, basic human resources policy, and group purpose are translated into English and Chinese, taking into account the composition of our employee base.

Occupational Safety and Health Management System

Our group's occupational safety and health management is headed by President and Group CEO Takayuki Nakatani, who is promoting the creation of a safe and healthy workplace throughout the group. In practical terms, the "Health Committee," chaired by our HR Executive Officer, works in cooperation with the health management departments of each group company and our HR Operations Department to promote these measures.

In accordance with the Industrial Safety and Health Act, our group companies in Japan have established health and safety committees and other bodies, in which employees (including union members) and industrial physicians participate in deliberations and implementation of measures to maintain and improve health, prevent health hazards, and reduce the risk of Workers' Compensation / Occupational Accident Claims .

Once a month, a health and safety committee meeting is held at each workplace to review trends in employees on leave and those returning to work, progress in health checkups, the situation regarding employees working long hours, and safety and health risks. In addition, we strive to create a more comfortable working Environment by receiving workplace inspections and advice from an industrial physician from a medical perspective. The minutes of the health and safety committee meetings are posted on the intranet and distributed to all employees to ensure transparency of information.

Important matters related to the risk of serious Workers' Compensation / Occupational Accident Claims , such as the promotion of Health and Productivity Management , are reported to the Board of Directors at least once a year, and a system has been established in which the Board of Directors oversees these matters.

Chief Executive Officer Takayuki Nakatani ( President and Group CEO Funai Soken Holdings Inc. Holdings)
Deliberative and promotional bodies Hygiene Committee (Chairperson: Executive Officer in charge of HR)
Important matters related to occupational safety and sanitation discussed by the committee are reported to President and the Board of Directors, and are subject to oversight by the Board of Directors.
Secretariat Funai Soken Holdings Inc. Human Resources Department
Goals and achievements regarding Workers' Compensation / Occupational Accident Claims
Goals and Achievements for 2023-2025 Goals and Initiatives Plan for 2026-2028
Occupational Safety and Health Target 1
Zero Workers' Compensation / Occupational Accident Claims by 2025
(Achievements)
Fiscal Year 2023: 3 cases (falls, sprains, etc.)
Fiscal Year 2024: 4 cases (falls, etc.)
Fiscal Year 2025: 7 cases (falls, injuries, etc.)
Target 2
Zero fatal accidents by 2025
(Achievements)
2023: 0 items
2024: 0 items
2025: 0 items
Target 1
Zero Workers' Compensation / Occupational Accident Claims by 2028
Target 2
Zero fatal accidents by 2025
Initiatives Plan
Review of safety education
Thoroughly known
- Promoting risk assessments for existing facilities and strengthening occupational safety management during office relocation.
- Implementation of risk assessments regarding operational safety (At Funai Soken Supply Chain Consulting's warehouse, near-miss management is being implemented and risk assessments are being carried out to prevent serious accidents.)

Our group aims for zero Workers' Compensation / Occupational Accident Claims each year, and we report our achievements to the Health and Safety Committee.

While our goal for fiscal year 2025 was zero Workers' Compensation / Occupational Accident Claims accidents, we recorded seven Workers' Compensation / Occupational Accident Claims . These included three incidents involving contact with furniture and other equipment within the facility, and four incidents of falls during work or movement. Within the facility, we are strengthening awareness campaigns to prevent recurrence, including installing warning signs at hazardous areas and disseminating the contents of the Health and Safety Committee's deliberations to all employees via the intranet. We will continue to strive for zero Workers' Compensation / Occupational Accident Claims and work to create a safe working Environment . There were no fatalities reported.

Safety risk assessment
Our group conducts risk assessments related to workplace safety through our Health and Safety Committee and Risk Management Committee.
Specifically, at Funai Research Institute Supply Chain Consulting's warehouses, we are implementing near-miss management and conducting risk assessments to prevent serious disasters and accidents.
Lost-of-Work Accident Frequency Rate (LTIR)
2021 2022 2023 2024 2025 Scope of aggregation
Funai Research Institute
Holdings
0 0 0 0 0 Funai Soken Holdings Inc. and its six consolidated subsidiaries

[Company-wide - Office Equipment]
Tokyo Head Office [Previous location: Marunouchi]
[After relocation: Yaesu]
Osaka Head Office [Previous location: Yodoyabashi]
[1 Business Unit]
Gotanda Office
[1 warehouse]
Funai Research Institute Supply Chain Consulting's warehouse
Funai Consulting Inc. 0 0 0 0 0
Initiatives to reduce excessive work hours

To prevent overwork, our Human Resources Department takes the lead in checking the work status of all employees multiple times throughout the month to ensure that statutory overtime hours (overtime exceeding 40 hours per week) do not exceed 45 hours per month. For employees who may exceed this limit, we request work adjustments through their direct supervisors.

To prevent health problems caused by overwork, we provide employees who work overtime exceeding the standards set by the Industrial Safety and Health Act with face-to-face guidance from an industrial physician and a proposal for improvement measures involving their supervisor and the Human Resources Manager. Similar opportunities are also provided to employees who work less than the legal standard (more than 45 hours but less than 80 hours per month).

An example of an initiative to reduce overtime work

① Task rotation to standardize operations, and business efficiency improvements through win-win relationships involving customers.

② Improving employees' awareness of time management through a system that requires prior approval for overtime work.

③ Setting no-overtime days; employees coordinate with each other to set no-overtime days.

④ Announcement of recommended days for taking paid leave

Emergency safety measures

In the event of a disaster, incident, or accident, our group prioritizes the safety and security of our employees and related parties, while also striving to protect our customers' critical information systems and information assets and to ensure business continuity.

We post emergency action guidelines and contact procedures on our intranet to ensure thorough dissemination within the company, and we also strive to improve employees' crisis management awareness by conducting regular e-learning sessions. In addition, to prepare for emergencies such as disasters and accidents that may occur around employees, we distribute "mobile contact cards" containing emergency contact information and procedures to all group employees.

To ensure that business operations can continue even in situations where employees cannot come to the office due to large-scale natural disasters or when attendance is restricted due to infectious diseases, we are building a crisis response system in a telework Environment and continuously reviewing our business continuity plan.

[New Initiatives ] Establishment of an emergency hotline for relatives of foreign national employees (to begin in 2025)
Starting in 2025, we have established an emergency hotline that allows relatives of foreign national employees Contact Us directly in English or Chinese. This hotline will serve as a point of contact in English or Chinese for family members in the event of an emergency such as a disaster or accident that occurs around an employee and prevents them from contacting the employee directly. This will provide a safer working Environment for foreign national employees and their families.

Health Management Initiatives

Health and Productivity Management Declaration (Policy)

Funai Soken Holdings Inc.

Takayuki Nakatani President and Group CEO

(Declaration date: Approved at the Board of Directors meeting held on August 27, 2025)

Based on its " Basic Human Resources Policy (4. Health and Productivity Management ) ," Funai Soken Group will implement Initiatives to maintain and improve the health of its employees as a foundation for enabling them to realize their potential and maximize productivity.

The effects to be achieved by promoting Health and Productivity Management

- To improve the long-term success and engagement of employees

- Improving retention rates through early health follow-up

Maximizing ELTV (Employee Lifetime Value)

System for promoting Health and Productivity Management

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Quantitative targets for Health and Productivity Management in 2025 (Aiming to improve indicators with low consultation rates. Target: Funai Consulting Inc. and Funai Soken Holdings Inc. )

① Participation rate in specific health guidance: 60%

② Secondary examination participation rate: 100%

③ Interview rate for high-stress individuals: 50%

  1. Mental health support
    1. ① Establishment of a consultation service for workplace stress.
      We have established a consultation service staffed by industrial physicians and public health nurses so that employees can easily discuss concerns about workplace stress, as well as anxieties and questions regarding their overall health. We can provide comprehensive support, including consultations about unusual physical and mental conditions, even before specific health problems arise, and advice on health checkup results.

      These consultations are conducted with the utmost consideration for individual privacy and in strict adherence to confidentiality obligations, so you can use them with confidence.
    2. ② Thorough dissemination of information about consultation opportunities
      To ensure that all employees can easily utilize the consultation service, we regularly provide information about consultation opportunities every month via the company intranet to ensure thorough awareness.
    3. ③ New Initiatives in 2025*
      To understand the physical and mental health of our employees at an earlier stage and provide appropriate support, we have started the following new Initiatives from fiscal year 2025.
      • Conducting health nurse interviews for all new employees.

        We conduct health nurse consultations for all new employees (we do not solicit requests; we provide every new employee with the opportunity to have a health nurse consultation). This allows us to familiarize new employees with the company's support system early on, leading to the early detection and response to potential health risks, and ultimately, to their early return to work.

      • Providing self-care training videos tailored to business characteristics and risks.

        We are informing everyone about this. The aim is to enable employees to recognize changes in their own physical and mental health at the early stages, before symptoms appear, and to take appropriate action early on.

        *This scope is as of June 2026 and includes the group's core companies: Funai Consulting Inc. , Inc., Funai Soken Supply Chain Consulting Inc. , Funai Soken Human Capital Consulting Inc. Inc., and Funai Soken Holdings Inc. Inc.

    4. ④ Workplace reintegration support program
      When an employee returns to work after taking leave due to illness or injury, a diagnosis by their primary physician is mandatory. A return-to-work plan tailored to their individual circumstances will be developed in consultation with the company physician. We actively utilize trial work periods and gradual workload adjustments to support a smooth and manageable return to the workplace. Even after returning, we support recurrence prevention and job retention through regular follow-up interviews with the company physician and the establishment of a company consultation service (Human Resources Department).
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  2. Review of optional items in regular health checkups and promotion of awareness regarding secondary examinations.
    • Cost burden of gastroscopy

      When employees aged 35 or older undergo a comprehensive health checkup, the company will cover the cost of the optional gastroscopy examination.

    • Cost burden for secondary examinations

      Failing to undergo a follow-up medical examination could potentially lead to problems in your work and daily life in the future. For employees with abnormal findings in their regular health checkup results, the company will cover a portion of the cost of the follow-up examination to encourage them to undergo it.

Employee support program

Realizing flexible and diverse work styles

At Funai Soken Group , in order to accommodate the diverse lifestyles and work characteristics of our employees, we have introduced several flexible work systems in addition to our regular fixed working hours.

  • Flexible working hours*¹
  • Work-from-home system*²
  • Short-duty system*³
  • Time zone attendance system*⁴
  • A system that allows employees to take paid leave in half-day or hourly increments*⁵
Support systems related to childbirth and childcare

We provide the following support to help our employees balance childbirth, childcare, and work with peace of mind.

  • If your spouse/partner gives birth: 2 days of special leave*⁶
  • Subsidies for babysitting fees*⁷
  • The "Stork Budget System"*⁸ is designed to support the career paths of consultants.
  • Support for work arrangements upon returning from parental leave
  • Promoting paternity leave
    1. ① Conducting individual guidance and publishing interview articles with employees who have obtained the qualification on the company intranet (internal communications).
    2. ② Conducting information sessions at the departmental level*⁹
  • Leave system for infertility treatment: One day of special leave per month is available (available to both men and women)*⁷
Support systems related to long-term care

To support employees with family members who require care, we have established the following systems:

  • Support system for long-term care (subsidy for home helper dispatch fees)*¹⁰
Other leave systems

This is a leave system designed to allow employees to refresh themselves and to accommodate special circumstances.

  • Year-end and New Year holidays*¹¹
  • An additional 5 days of annual paid leave will be granted*¹²
  • Saved leave (a system that allows employees to accumulate up to 40 days of unused annual paid leave)*¹³
  • Special leave (for celebrations, condolences, etc.)
Support for late-night and holiday work

In some departments where nighttime and holiday work is necessary due to business needs, we have recruitment flexible working hours and shift work systems, taking into consideration the actual circumstances of each department, including management.

Eligible companies and details for each program (as of the end of December 2025)

*1: Target business company: c
*2: Target companies: a, details of the system are set for each company.
*3: Target companies: a, primarily to support work-life balance for childcare and elder care.
*4: Target companies: a, primarily to support work-life balance for childcare.
*5: Businesses eligible for half-day leave: a. Businesses eligible for hourly leave: d. HR Force does not have a system for taking paid leave in hourly increments, as all employees are subject to a flextime system.
*6: Target business company: b.
*7: Target business company: c
*8: Target business company: e
*9: In addition, Funai Consulting Inc. and Funai Research Institute Agata FAS hold information sessions for each department, upon request from those eligible to obtain the certification.
*10: Target business company: f
*11: Target business company: b.
*12: Target company: b. Proceed Inc. grants an additional day of birthday leave.
*13: Target business companies: b. There are specific eligibility requirements such as illness, hospital visits, childbirth, childcare, nursing care, and child nursing.

Symbols indicating the scope of target operating companies (as of the end of December 2025)

Percentage of employees in the total number of consolidated employees
a Funai Soken Holdings Inc. , Funai Consulting Inc. , Funai (Shanghai), Funai Research Institute Logistics, Proceed, HR Force, Funai Research Institute Agata FAS Over 95%
Basically, it is Funai Soken Group (domestic and overseas), with some exceptions.
b Funai Soken Holdings Inc. , Funai Consulting Inc. , Funai Research Institute Logistics, Proceed, HR Force, Funai Research Institute Agata FAS Over 95%
Basically, it is Funai Soken Group (domestic), but with some exceptions, it accounts for more than 40%.
c Funai Soken Holdings Inc. , Funai Consulting Inc. , Funai Research Institute Logistics, HR Force, Funai Research Institute Agata FAS 90% to less than 95%
d Funai Soken Holdings Inc. , Funai Consulting Inc. , Funai Research Institute Logistics, Proceed, Funai Research Institute Agata FAS 90% to less than 95%
and Funai Soken Holdings Inc. , Funai Consulting Inc. , Funai Research Institute Logistics, Funai Research Institute Agata FAS 85% to less than 90%
f Funai Soken Holdings Inc. , Funai Consulting Inc. , HR Force, Funai Research Institute Agata FAS 85% to less than 90%

Human rights and supply chains

Basic Policy on Human Rights

Recognizing that "respect for human rights" is an important element and responsibility for a company in promoting its business, including its consulting business, Funai Soken Group has established the following " Funai Soken Group Basic Policy on Human Rights" and will strive to promote Initiatives to respect human rights throughout the group and fulfill its responsibilities.

Basic Policy on Human Rights

  1. Compliance with laws and regulations and respect for human rights

    Our group respects human rights in accordance with international norms such as the International Bill of Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, the "Children's Rights and Business Principles," and the UN Guiding Principles on Business and Human Rights. Our group does not discriminate against employees in employment, treatment, Other any other way based on birth, race, nationality, religion, sex, sexual orientation, disability, etc., and prohibits harassment that infringes on individual dignity. In addition, we are Initiatives to responsible labor practices, including providing a safe working Environment , reducing excessive work, ensuring the minimum wage, and properly managing working hours, and we promise to respect freedom of association and the right to collective bargaining. We do not tolerate slavery, forced labor, or child labor, including human trafficking. Our group complies with the laws and regulations applicable in the countries and regions in which we conduct business activities regarding all matters including those mentioned above. If there is a conflict between the laws and regulations of a country and international human rights norms, we will take measures to respect international human rights norms.

  2. Scope of application

    This policy applies to all officers and employees of the group. We will also work to ensure that our business partners respect this policy.

  3. Implementation of human rights due diligence

    Our group is aware of the negative impacts on human rights that may arise from our business activities. We conduct regular risk assessments to identify these impacts and implement preventative and mitigation Initiatives . In the event of any negative impacts, we will promptly take appropriate and effective corrective and remedial measures.

  4. Education and training

    Our group strives to prevent all forms of harassment, and therefore regularly conducts training for all employees on various types of harassment, including sexual harassment and power harassment. In Other , our group will provide appropriate education to officers and employees to ensure that this policy is incorporated into All of our group's activities.

  5. Information Disclosure

    Our group will appropriately Information Disclosure on Initiatives to respect human rights based on this policy through our website and other channels.

Date Established : March 1, 2022

Last revised: December 16, 2022

Funai Soken Holdings Inc.

Takayuki Nakatani, President

iconBasic Policy on Human Rights (Chinese)icon

Implementation of human rights due diligence

In today's increasingly diverse work environment and work styles, Funai Soken Group is also building a human rights due diligence system based on the United Nations' Guiding Principles on Business and Human Rights, and will be working towards this goal as follows.

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Summary of anticipated human rights risks

In our group's business operations, group employees are our most important management asset and stakeholders. In the "Identification and Assessment of Negative Impacts on Human Rights" section of our human rights due diligence, we have identified the human rights risks of our most important stakeholders in our group's business operations.

Furthermore, we will regularly review human rights risks and expand the scope of our scope in the future.

subject Group employees
Potential human rights risks Discrimination and harassment
Freedom of association, right to collective bargaining
• Working hours, fair wages
Occupational safety and health
• Right to privacy
• Access to relief (e.g., internal whistleblowing hotlines)
Impact on business - Damage to human capital
- Decline in engagement
- Worsening employee turnover rate
Risk prevention measures ・Utilization of internal whistleblowing system
- Support provided by specialized staff
• Continuous awareness-raising through e-learning, etc.
Relief measures - Reporting to the Risk Management Committee and verifying the facts.
- Corrective instructions after fact-finding
- Implementing awareness campaigns to prevent recurrence, etc.

Human rights education Initiatives

We are Initiatives to human rights education, including the prevention of unfair discrimination and harassment. In addition to a basic understanding, our aim is to help students understand points to be aware of to prevent human rights violations and harassment, and ways of thinking to create Environment where such incidents are less likely to occur.

e-learning

With the aim of promoting the creation of an organizational culture and environment where all employees respect and support one another, we will implement harassment training via e-learning.

Our group is committed to creating an organizational culture where all employees respect and support one another. Furthermore, to prevent all forms of harassment, we conduct e-learning for all employees, covering definitions, examples, and responses to various types of harassment, including sexual harassment and power harassment. For managers, we provide management training on compliance risk management, prevention of various types of harassment (including sexual harassment and power harassment), and responses to incidents.

Training for managers

We conduct workplace compliance and harassment training for managers with subordinates. Participants learn how to respond appropriately as managers.

Employee training on human rights and labor standards

Our group conducts annual training sessions on human rights and labor standards for all employees within the group.

Since fiscal year 2023, we have been using video content created by the Human Resources Department as training material. The main topics covered are our group's human rights policy and labor standards, and the current state of human rights compliance within the group.

Through this training, we aim to improve the human rights awareness of all employees in the group, and also to provide an opportunity to inform employees about various Initiatives , such as the utilization of labor unions, working hour management, and the enhancement of mental health and insurance systems.

For our employees in Shanghai, we provide training materials in Japanese translated into the local language.

The company-wide participation rate for fiscal year 2025 was 97.8% (1,589 participants).

Initiatives to ensure a basic human rights policy

  1. Prevention of child labor and forced labor

    Our group thoroughly verifies the age of all employees during recruitment process to prevent child labor. Furthermore, to prevent forced labor, we do not store employees' important documents, such as passports, or restrict their freedom of movement.

  2. Adherence to the minimum wage and prevention of wage inequality among workers

    Our group adheres to the legally mandated minimum wage. Furthermore, we apply a unified compensation system for genders performing the same work.

  3. Establishment of an internal reporting system and a harassment reporting hotline.

    As outlined on our "Governance" page, our group has established an internal whistleblowing system and a separate harassment reporting hotline. Reports can be made anonymously through either hotline, and we prohibit any detrimental treatment of whistleblowers or those who cooperate with investigations. We also protect the anonymity of whistleblowers if they so desire. To ensure the safety and security of whistleblowers, retaliatory actions are strictly prohibited, and violations will be subject to disciplinary action.

  4. Strengthening the consultation and response system for harassment.

    Our group has established a consultation and response desk for harassment both inside and outside the company, which is managed by the head of the Human Resources Department. The head of the Human Resources Department handles consultations either personally or with the consent of the person seeking advice, together with the appropriate staff member. All employees can submit consultations and complaints regarding conduct that harms the work Environment to the consultation desk. As a measure to resolve the problem, the head of the Human Resources Department takes necessary measures to improve the working conditions and work Environment of the victim, such as transferring the perpetrator. Furthermore, when a workplace harassment incident occurs, our company takes appropriate measures to prevent recurrence, such as reinforcing awareness and conducting training, and analyzing the cause of the incident.

Creation of employment opportunities

Our group includes Funai Consulting Shanghai Inc. based in Shanghai, which contributes to local job creation and economic development. We are particularly active in promoting local employment in China, and in fiscal year 2025, we hired 6 new graduates and 3 mid-career professionals. We will continue to actively recruitment locally. In addition, Funai Consulting Inc. has a satellite office in Matsuyama City, Ehime Prefecture, where 10 employees with disabilities (as of the end of December 2025) provide support to consultants. The company focuses on what its employees with disabilities "can do" and aims to expand the range of work and job opportunities in which individuals can thrive and create new employment by creating a work Environment that suits each individual's situation. We will continue to strive to expand employment.

Communication between management and labor unions

Within our group, labor unions are organized at Funai Research Institute Holdings, Funai Consulting Inc. (including the former Proceed), Funai Research Institute Supply Chain Consulting (formerly Funai Research Institute Logistics), Funai Research Institute Human Capital Consulting (formerly HRForce), and Funai Soken Agata FAS Inc. The number of union members in fiscal year 2025 is 1,453.

As a result of communication, a request was made to revise the system of accumulated leave, and the employment regulations were revised to allow employees to take leave in one-day increments for purposes such as medical treatment.

Our company will continue to engage in ongoing dialogue with the labor union and promote the introduction of systems and measures to improve Environment that reflect the voices of union members, etc.
As a guideline for steady implementation, we aim to achieve 1-2 goals per year and will continue to work towards creating a more comfortable working Environment .

Supply chain management

Under our group purpose, Funai Soken Group recognizes the importance of cooperation with our business partners (suppliers) involved in our business activities and promotes appropriate communication.

Our group has established a basic policy on fair trade, and we comprehensively consider not only quality, price, and delivery time, but also the company's Initiatives regarding Environment , Society , and governance (ESG) factors.

Furthermore, in April 2026, we will establish a Supplier Code of Conduct and aim to fulfill Society responsibilities throughout the entire supply chain through continuous dialogue with our business partners.

Funai Soken Group Supplier Code of Conduct

Introduction

In recent years, there has been an increasing demand for companies to take on ESG ( Environment , Society , and Governance) Initiatives . Funai Soken Group , together with our business partners and suppliers, aims to promote procurement activities that take Environment , Society , and governance factors into consideration, in order to fulfill Society responsibility throughout the entire supply chain.

This Code of Conduct outlines the matters that we ask our suppliers to understand and comply with in order to achieve our goals. We ask for your understanding of the intent of this Code of Conduct and your cooperation in promoting Initiatives , including those within your supply chain.

1. Human Rights and Labor

We support international norms such as the International Bill of Human Rights, ILO International Labor Standards, the UN Guiding Principles on Business and Human Rights, and the Principles of the UN Global Compact on Human Rights. Therefore, we ask our suppliers to adhere to the following:

  1. (1) Do not force an individual to work against their will or to perform work that restricts their freedom to leave their job.
  2. (2) Not employing children below the legal working age.
  3. (3) No discrimination in recruitment , compensation, or other treatment will be made based on factors other than rational factors such as the individual's abilities and aptitude. Furthermore, unfair dismissal will not be permitted.
  4. (4) We respect the human rights of our employees and will not engage in inhumane treatment such as abuse, corporal punishment, or harassment.
  5. (5) We will comply with the legal minimum wage of the country and region and aim to provide wages that meet the basic living needs of our employees (living wage).
  6. (6) Comply with legal requirements regarding working hours and properly manage the working hours of employees.
  7. (7) Respect the freedom of association and the right to collective bargaining among employees, and provide opportunities for dialogue between labor and management. In addition, establish a channel through which employees can report and consult about their concerns without being subjected to retaliation, threats, or harassment, and respond sincerely to such inquiries.
  8. (8) Identify the risks of accidents, harmful chemicals, noise, and foul odors that may occur during work, and ensure a safe, hygienic, and healthy working Environment .

2. Fair business practices

  1. (1) Maintain a sound relationship with the government and public officials, and refrain from offering, promising, or making offers of money, gifts, entertainment, Other economic benefits in exchange for business.
  2. (2) Do not engage in inappropriate exchange of benefits with customers, business partners, etc.
  3. (3) Avoid any personal conflicts of interest or relationships with our employees that could hinder objective and fair judgment in transactions with our company, and report to our company immediately if any such conflicts of interest are discovered.
  4. (4) Do not engage in unfair practices such as collusion, cartels, or abuse of dominant position.
  5. (5) We will not have any relationship with anti- Society forces or organizations.
  6. (6) Do not infringe on the intellectual property rights of others.

3. Environment

  1. (1) In order to reduce the burden on Environment and biodiversity caused by our business activities, we will comply with international norms, laws and regulations relating to these, and set voluntary targets as necessary to work towards improvement.
  2. (2) We will promote voluntary Environment conscious Initiatives such as the effective use of resources and Energy , waste reduction, and the "measurement, understanding, and reduction" of greenhouse gas emissions. In addition, we will cooperate if the Company requests the provision of Environment data such as greenhouse gas emissions.

4. Maintaining confidentiality

We will appropriately manage and protect personal and confidential information obtained through our business activities, and implement defensive measures (cybersecurity measures) against threats such as cyberattacks.

5. Coexistence with the local Society

We will actively promote Initiatives to reduce the negative impact of Initiatives business activities on local Society and residents, and to contribute to societal development .

6. Fraud Prevention and Detection

We will provide education and training to our employees and establish a system (such as a whistleblowing system) for the early detection of misconduct and concerns. In operating the whistleblowing system, we will ensure that it is thoroughly known, prohibit retaliation against whistleblowers, and strictly protect confidentiality. In the event that human rights violations or other issues are confirmed, we will promptly take corrective measures and strive to rectify the damage.

7. Information Disclosure

We will proactively disseminate information to Society and stakeholders, ensuring transparency in our business activities and fulfilling our accountability.

Date Established : April 23, 2026

Funai Soken Holdings Inc.

Takayuki Nakatani, President

Community and Society contribution

Collaboration with the community through business activities ( Society contribution activities)

Related Materiality (Key Issues)

● Contributing to the local Society through consulting for small and medium-sized enterprises.

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● Contributing to the local Society through consulting for small and medium-sized enterprises.

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Relevance to business strategy

● We provide industry-specific and company-phase-based consulting services to our clients, which are small and medium-sized enterprises, offering long-term support from the growth phase to maturity and exit.

● Contributing to the local Society through consulting services that help client companies grow into businesses with 10 billion yen in sales.

Kobe University is offering a sponsored lecture series on the theme of "Growth Strategies and Performance Improvement for Medium-Sized and Small Businesses."

Funai Consulting Inc. delivered a sponsored lecture series at Kobe University from October 2023 to January 2024 on the theme of "Growth Strategies and Performance Improvement for Medium-Sized and Small Businesses."

In the lecture, seven consultants from Funai Consulting Inc. explained how to build a company that can achieve sustainable growth while responding to challenging Environment changes and anticipated social challenges . Participants were given case studies based on numerous success stories, and discussions were held on their growth strategies and methodologies for improving performance.

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Future developments

Funai Consulting Inc. and Kobe University have launched a joint research project on the theme of "Value Creation for Small and Medium-Sized Enterprises."

This guide identifies the essential elements required for companies and their managers aiming to reach 10 billion yen in sales, thereby supporting business growth.

≪Overview of the Joint Research≫

This joint research aims to identify the key drivers (factors that most significantly influence the degree of achievement) for becoming a company with 10 billion yen in sales, based on data from companies that have reached 10 billion yen in sales and those that are stagnating in that area.

In this joint research project, we will identify factors that hinder and promote growth by combining management data from approximately 40,000 companies and survey and interview data of business leaders accumulated by Funai Consulting Inc. through its management consulting work, with multiple management theory frameworks researched by the Graduate School of Business Administration at Kobe University. Furthermore, beyond company research, we will focus on "business leaders" who have a significant impact on corporate growth, and clarify the mindset and behaviors that business leaders need at each stage of a company's growth.

≪Goals of the Joint Research≫

Through this joint research, we aim to identify the elements necessary for more business leaders and companies to achieve sales of 10 billion yen, thereby contributing to the development of the Japanese economy.

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