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The Citizen Group’s CSR and Risk Management Promotion Structure

The president of Citizen Holdings has overall responsibility for the CSR activities and risk management in the Citizen Group. Immediately under the president, the CSR Committee consists of representative members of Citizen Holdings, developing and proposing strategies and policies for the Group.
As an executive body, the Group CSR Promotion Committee consists of supervisory personnel in charge of CSR selected at operating subsidiaries. Individual subsidiaries have their own CSR committees. With respect to key issues to the Group, we have set up committees with Group companies to plan and execute measures.
Individual subsidiaries carry out activities to raise compliance awareness. They offer CSR education based on their own educational framework designed according to the level of their employees. We also organize separate educational CSR and compliance sessions for eligible members of staff at all Group companies as part of training for new recruits and induction training for new managers and new directors.

CSR Promotion Framework

Results of CSR Awareness Surveys

In an effort to ascertain the level of awareness of CSR and corporate ethics within the Citizen Group, we conduct CSR awareness surveys targeting employees (including temporary employees) at our subsidiaries (the number of subsidiaries targeted in fiscal 2010 was 38). In the responses to Q.1, we found that the propagation of CSR values has held steady. While recognition of the Corporate Ethics Hotline mentioned in Q.2 has risen, those responding “Yes” in Q.3 showed a declining trend. With respect to the trustworthiness of the system, including the strict respect of privacy for the reporting party and the fact that the reporting party will not be subjected to unfair treatment, we have put in place an external hotline in addition to the internal hotline, and will conduct further PR activities to highlight that trustworthiness is assured. We will continue to implement sustained, ongoing initiatives aimed at promoting CSR as part of our business activities on a Group-wide basis in the future.

Q1. Do you think engaging in CSR activities has strengthened your spirit of compliance?

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Q.3 Are you aware of the Corporate Ethics Hotline (CSR Hotline)?

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Q.4-1 If, in the future, you discovered a violation of the law that you found difficult to bring up with a supervisor, would you use the Corporate Ethics Hotline (CSR Hotline)?

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Q.4-2 (If you answered other than

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[Number of Respondents]
Fiscal 2008: 5,776 out of 9,047 employees (39 subsidiaries targeted: response rate of 63.8%)
Fiscal 2009: 6,605 out of 9,031 employees (37 subsidiaries targeted: response rate of 73.1%)
Fiscal 2010: 6651 out of 8,677 employees (38 subsidiaries targeted: response rate of 76.7%)