Fujitsu 2014 Annual Report Download - page 84

INTERVIEW WITH AN EXTERNAL AUDITOR
External Audit & Supervisory Board Member
(Independent Audit & Supervisory Board Member)
Koji Hatsukawa
What do you feel is expected of you in your
role as an external Audit & Supervisory
Board member?
Fujitsu is one of Japan’s major multinational corporations, and as
a leading ICT company with a large-scale solutions business and
a global reach, it recognizes that it is always in the public eye.
Given this fact, the most important role of an external Audit &
Supervisory Board member is to properly check from the inde-
pendent standpoint of society whether corporate governance and
compliance are functioning in an effective manner so that the
company is fulfilling its responsibilities to society.
I also recognize that it is my duty as an Audit & Supervisory
Board member to utilize my experience in accounting audits and
the application and review of international accounting standards
to monitor the decision making of the Board of Directors and
ensure there are no problems in terms of rationality and trans-
parency. By performing this role, I contribute to raising share-
holder value and corporate value and help to ensure that Fujitsu
upholds the public’s trust.
How do you rate corporate governance
at Fujitsu?
I think it is laudable that Fujitsu has appointed several people
with diverse backgrounds to serve as both in-house and external
directors and Audit & Supervisory Board members. The Audit &
Supervisory Board has members with extensive business experi-
ence, members with legal knowledge and ample practical expe-
rience, and members who are experts in financial reporting and
internal controls. All give their opinions from their respective
perspectives and engage in very substantive debates. The audi-
tors work well as a team to perform their duties, helping to
enhance and strengthen corporate governance. As a result, I find
that management transparency at Fujitsu is maintained and that
governance functions effectively as shareholders and other
stakeholders would expect.
As an external Audit & Supervisory Board
member, what do you usually focus on?
My background is in financial accounting and auditing, so natu-
rally when I approach my work my interests are in the account-
ability of public corporations and more specifically in the
transparency of financial reporting. Fujitsu adopted IFRS in fiscal
2014, and I expect this move will further advance the Company’s
information provision for helping investors to make decisions
going forward. At the same time, since IFRS is more principles-
based, there is more latitude for selecting accounting policies,
financial statement formats and so forth. We Audit & Supervisory
Board members will therefore be watching closely to ensure that
there is always a healthy discussion going on within manage-
ment regarding what kind of financial reporting is most benefi-
cial for stakeholders.
In May 2014, Fujitsu announced its “Profit Growth Roadmap” in
its new medium-term management plan. I think it is important
to monitor progress on the roadmap, such as the business plans
and policies proposed by management, and the Group’s overall
goals for realizing healthy earnings and sustainably raising
shareholder value and corporate value. In addition, as an Audit &
Supervisory Board member, I intend to verify the overall consis-
tency of progress on these plans and the information that is
provided to shareholders and investors through IR activities.
Q.1
Q.2
Q.3
Corporate governance is becoming ever more important for the Fujitsu Group as it accelerates management innovation
and expansion of its global business activities. At the same time, shareholders and investors have become increasingly
focused on structures and management systems for ensuring that corporate governance functions effectively.
Audit & Supervisory Board member Koji Hatsukawa possesses extensive knowledge of corporate management
from an accounting and auditing perspective. Among other experience, he has been involved in accounting audits
as a member of an auditing firm, participated in the application and review of international accounting standards,
and served as an external Audit & Supervisory Board member for a financial institution and a private-sector
company. We interviewed him about Fujitsu’s corporate governance and efforts to raise corporate value.
082 FUJITSU LIMITED ANNUAL REPORT 2014