Ricoh 2012 Annual Report Download - page 26

Ricoh Group Sustainability Report 201225
Corporate Governance
The Ricoh Group has established The RICOH Way, a set
of guiding principles that serves as a foundation for its
business activities. Abiding by these principles in corporate
ethics and legal compliance and maintaining adequate
transparency in corporate management, the group
strives to continuously improve its corporate governance
system, through which it ultimately aims to enhance its
competitiveness.
● Ricoh’s board of directors and GMC oversee the group’s
overall business operations and take charge of decision-
making. To ensure effectiveness of such efforts,
managerial regulations concerning the group’s affiliated
companies have been formulated, while supervising
organization has been set up as a central function
responsible for each official company.
● Ricoh has developed a basic disclosure policy to ensure
that disclosed corporate information is accurate, timely,
and comprehensive, and the “Disclosure Committee,” an
independent body in charge of verification of the process
to prepare information to be disclosed, has been put
in place.
● Ricoh has established a set of common rules, the Ricoh
Group Standard (RGS), and has ensured adherence to
these rules across the group.
● In order to thoroughly implement the Ricoh Group CSR
Charter, which sets forth the principles of corporate
behavior including compliance, and the Ricoh Group Code
of Conduct, which articulates the general rules of conduct
for Ricoh Group employees, a Specialty Committee and
a hotline for reporting incidents and seeking advice
have been established. In addition, various training
programs have been set up to enhance compliance both
domestically and internationally.
● The Ricoh Group is operating a total risk management
(TRM), which allows us to identify, examine, and address
risks faced in a comprehensive and across-the-board
manner. Basic objectives of the TRM is to realize stable
and sustainable development of the Group and increase
corporate values.
● An integrated internal audit (U.S. SOX Act audit, financial
audit, operational audit, etc.) has been conducted to
ensure the reliability of our financial reports, improve
operational efficiency, confirm compliance to laws and
regulations, and check how risk management measures
are implemented.
Risk Management
Excecutive Officers of the Ricoh Group will acknowledge possibilities of
favorable or unfavorable results based on uncertainties surrounding the
corporation. Management should perform integrated risk management
activities which consider uncertainly related to business opportunities
and uncertainly related to execution of business activities.
Accordingly, the group identifies risks that may exert a significant
influence on the group’s business operations. Risk management is
performed mainly by a management division assigned to each individual
risk, while conducting daily business activities. These efforts prevent
the occurrence of an incident* that may significantly adversely affect
the Ricoh Group’s corporate activities. In addition, an initial response
standard has been put in place that clearly states which division will be
primarily responsible for incident control (depending on incident type)
should a crisis occur, along with the reporting levels. It also explains
the process of consecutive reporting to the president and managers
concerned in accordance with the president’s instructions.
Furthermore, a business continuity plan (BCP) has been formulated to
prepare for natural disasters such as earthquakes and epidemics, including
new strains of influenza. The BCP defines measures to minimize any
possible damage and achieve prompt recovery and business continuity.
* “Incident” refers to an event or an accident that can seriously affect the Ricoh Group’s business
operations.
<Major risk management items>
• Violation of compliance (fraudulence in relation to business operations,
bribery and corruption, insider trading, etc.)
• Natural disasters (earthquakes, typhoons, deluge, etc.)/Serious accidents
• Human rights issues
• Serious Quality Problem (violation of laws, product liability, etc.)
• Information security (personal information protection, leakage of trade
secrets, etc.)
• Violation of expert and import related legislation
• Administrative disposition, Claim for damages, etc.
• Others (harmful rumors, brand devaluation, etc.)
Internal Control System Organizational governance Fair operating practices
ISO 26000
Risk factors www.ricoh.com/IR/risk.html
WEB
■ Risk management
President and CEO
Management division
of each risk
Each division and affiliate
Group Management Committee
Internal Control Committee
Proposal and
report
Checking and
audit
Internal Management and
Control Division
Risk Management Support Division
● Development of a group risk
management action policy and
proposal to the Internal
Control Committee
● Coordination of cross-
organizational risk manage-
ment and support for executives
Roles