Compliance risk surveys at group companies outside Japan

We have handled compliance at group companies outside of Japan on an individual basis, taking into consideration the differences in the various laws and the cultural background of the country in which the companies are located. We carried out compliance risk surveys at fifteen group companies in Europe, North America, China, Asia, Oceania and Africa in fiscal 2008, as the first step to reaching an understanding of the level of awareness of compliance by the employees who work at the business front line.

The purpose of the compliance risk survey was determining the most serious risks facing the company and the country of location of the company, and revealing the state of the control of the risks. We conducted the surveys by directly asking the presidents of the companies, the compliance managers and other relevant people the questions that had been prepared for each company. Although the results of the survey varied, depending on the company, we realized that many companies are exposed to risks related to crisis handling and occupational health and safety.

We will plan trainings, etc., for above group companies in fiscal 2009, based on the results of the survey. In addition, we provided compliance trainings to employees in positions of assistant manager and above at Hitachi Construction Machinery (Shanghai) and at Hitachi Construction Machinery (China) during a visit to conduct the survey.

Compliance training at Hitachi Construction Machinery (Shanghai)