DOWA CSR REPORT 2014

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CSR REPORT 2014

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To Carry out Responsibility as a Cooperate Citizen

Society

Together with our employees

The DOWA group sets forth in Standards of Conduct that human resources are the basis of business activities and employees should be evaluated with their ability to conduct their jobs regardless of education, age and gender. We are promoting various activities with the following goals so that employees can exercise their full potentials.

Go back to the origin of organization function to create a competitive team.

Make company a place where employees want to work, with their own initiatives.

Employment Status

The DOWA group tries to promote proper allocation of employees, considering our business plan and employ diversified human resources who have talents and capabilities necessary for our business.

As of March 31, 2014 we have total 5,411 employees, increase of approximately 100 persons compared to previous year. Of those who were employed in Japan, 88% (4,397) are male and 12% (608) are female.

The number of employees outside Japan, mainly in Asia, increased due to our global business deployment. There was an increase of approximately 100 employees involved including those from Thailand and China.

<Employment status in Japan>

FY
Classification
2011 2012 2013
Male Female Male Female Male Female
Regular employees in Japan Directors 123 1 124 0 121 0
Managers 681 8 707 8 715 9
Ordinary employees 2,699 288 2,727 294 2,703 296
Non-regular employees in Japan Dispatched employees 432 318 405
Part-time workers,temporary workersand seasonal workers 826 265 846 291 859 405
Total 5,323 5,315 5,411

<Number of employees per region>

FY
Region
2011 2012 2013
Japan 5,323 5,315 5,411
Other Asian countries 1,325 2,520 2,622
Europe 4 4 10
North America 78 92 80
Central & South America 3 1 1
Total 6,733 7,932 8,124

Fair Evaluation and Treatment of Human Resources

Under the philosophy to evaluate employees based on their ability to conduct business as stipulated in Standards of Conduct, the DOWA group strives to evaluate and treat employees in a fair manner. We make use of our evaluation system in fostering employees under the following policies.

Both an evaluator and an employee should deepen understanding of the evaluation system and the criteria and make best use of the system in evaluating and fostering employee development.

Employees should share organizational goals and understand the skills and capabilities required for each rank and improve skills required for conducting their jobs.

We offer training to newly appointed managers as an evaluator this year and we will try to promote proper evaluation, treatment and fostering by continuously offering training opportunities.

Development and Utilization of Human Resources

The DOWA group aims at developing professionals who can play an important role in global markets and establishing a corporate culture to foster and develop human resources. In this effort, we endeavor to educate employees in each workplace continuously, promote measures to enhance On-The-Job Training (OJT) programs for young employees and offer opportunities for practical experience and different job experiences (both planned and adaptable personnel reshuffling) to our employees.

Main Achievements in 2012

[ Education ]

Education according to work levels

Next generation business leader (On going) Training to foster business leaders (16 persons for the period from April through December)
Manager (On going) Training for new managers (Approximately 30 persons) and coaching training (Approximately 30 persons for the period from October through December)
Mid-Career (On going) Proactive (leadership) training for newly promoted employees to Grade 5 (Approximately 50 persons for the period from October through December)
Mid-Career Engineer (New) Strengthening the ability to think (7 persons for the period from October through August)
Employees up to the third year of employment (Continued) Training for newly employed (from April to the middle of May), I – IV follow-up training and enhanced OJT (Approximately 130 persons)
Global (On going) English presentation (Approximately 40 persons) and intensive training before being dispatched (Approximately 10 persons)
Female career (On going) Basic career training (21 persons)

Exchange Program between Young Engineers and Universities

We prepared an exchange program between our young engineers and Tohoku University in the Functional Materials Laboratory at DOWA Electronics Materials in July 2013. This program is offered every year, as a place for DOWA's young engineers to discuss with outside researchers and gain new knowledge and insight from a different angle. Approximately twenty engineers in Okayama district participated in this program this year and actively discussed and presented research results.

[ Utilization of Human Resources ]

Career Matching System

We put the Career Matching System in place as part of our career support activities for our employees. Qualified employees can apply for in-house job opportunities directly without going through their supervisors or their own department.

Promotion of Diversity

Employees must respond diversified values and make use of diversified strengths to respond to global business deployment and expanding business areas. We believe that employees with diversified talents exercising their full potential will lead to the growth of a company. The DOWA group is now propelling forward the following activities.

Consideration at the Time of Recruitment

The DOWA group is now building a framework for employees to work on a global basis regardless of nationality from the recruiting stage.

Active Utilization of Experienced Employees

We reemploy experienced retired employees who want to continue working in the DOWA group. We revised the reemployment system by newly adopting a job rank system so that employees can continue to fully exercise their skills and capabilities they have cultivated. In 2014 we will further improve the system, for example, offering a seminar to provide information on how to spend life after retirement.

Employment of the Disabled

The number and the rate of employment of the disabled both increased in 2013 across the DOWA group and some of companies achieved the employment rate stipulated by law; however the DOWA group as a whole has not achieved the rate. Our production sites are not built for the disabled to work comfortably. Therefore, we do not require each business entity of DOWA to achieve the same rate equally. Instead, we try to increase the employment rate across the entire group by improving environment for the disabled in business entities that have already had those people working or encouraging them to experience a workplace.

Promotion of Health

The DOWA group considers it important for all employees to enjoy an active life both in terms of body and mind and health as the foundation of developing human resources.

Physical Examination

DOWA offers opportunities for employees to take periodic physical examinations and also subsidizes expenses for gynecological examinations for female employees. We also strive to increase the number of employees' dependents to take specific physical examinations.

In 2013 we offered compensation for the expenses for influenza vaccination.

 

Mental Health Initiative

The DOWA group has put the mental health counseling in place and we have educated management on mental health issues to protect the health of employees. We are now considering to introduce a system for each employee to check his/her mental condition by a self-checkup.

 

Work-Life Balance

The DOWA group endeavors to improve the workplace for employees. Our worklife balance program aims at helping all employees to exercise their abilities to the fullest extent according to their life style both at work and at home. We implemented a more flexible working system like flexible working hours and leave of absence system for raising children and caretaking of family members.

Utilization of the System

As a result of these efforts, users of these systems are increasing every year. In 2013, 12 employees took child-raising leaves of absence and four employees used shorter working hours for raising children. Ten male employees and five female employees took caretaking leaves for their children.

Action Plan to Support for Fostering the Next Generation

We prepared a new action plan to support fostering the next generation in 2013.

In addition to legally stipulated systems, we introduced specific support measures such as paid leaves of absence for taking care of sick children (up to five days) and a system to limit relocation of employees that results in moving from their present residence if they have reasons related to raising children. In 2014 we will raise awareness of the system so that more employees can use it.

We also try to reduce total working hours of employees through strict control of working hours by promoting initiatives agreed upon between labor and management and implementing a new control system of working hours, in addition to the existing system of flex-time working hours without specified core working hours.

Questionnaire

The CSR Department conducts a survey targeted for newly employed every year. More than 40% wanted to use the flex-time system and a day for no overtime work in 2013, because they wanted to use their time more for their career development, including improving language skills or obtaining qualifications. We will continue to promote work-life balance, considering those opinions.

Working together with our employees' families

Family members of our employees are also DOWA's important stakeholders. We plan plant visits and events not only to notify our employees of CSR activities across the DOWA group but also for their family members to deepen their understanding of the DOWA group.

Communication through an Ecoevent for Parents and Children during Summer Vacation

The DOWA headquarters in Tokyo held an eco-event for family members of employees in August 2013. Seventy-one (40 children and 31 parents) participated in this event from Akita and Kumamoto Prefectures and enjoyed a workshop called "Dream Factory" produced by an event company, "Chemical Entertainment." In the workshop, children participated in an experiment of air foams and made LED lights turned on by wind power.

This event started as part of our environmental education activities where children of our employees visit the workplace of their parents to gain insight on environment and also to raise environmental awareness together. Every year the CSR Department plans an event related to environment such as biodiversity and recycling. We enjoy planning and operation of such events.

We will not only hold such events in the headquarters but also encourage our business entities outside Tokyo to hold such events.

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