Basic Approach to Corporate Governance

The basic Kanamoto approach to corporate governance is to engage in business activities according to a management philosophy that builds and strengthens trust with shareholders, customers, partner companies and local communities as well as employees and their families, which not only enhances corporate value but also helps realize the sustainable development of our Group. Therefore, we strive to build internal management systems as well as maintain and improve the transparency and fairness of management. Our basic approach to corporate governance establishes an information cycle for timely informational disclosure and feedback to management as well as engages in prompt and precise governance measures. We have also defined the action guidelines below to raise specific awareness throughout the Kanamoto Group about our management philosophy.

1. Pursue innovation and mobilize every resource to energize our company

The external environment around Kanamoto is always changing and will never stop. Our Group must evolve to adapt to these changes and avoid weakness and bankruptcy in the future. Ceaseless self- reformation is essential to achieve an ever vibrant organization. Previous success clearly leads to overconfidence. We must quickly put our successes in the past and learn from our mistakes in the pursuit of mental readiness.

2. Always remember Kanamoto competes for profits

The product and service offerings of a company strive to accomplish many things from contributing to society and paying taxes to ensuring stable employment. However, any effort is pointless if the company ceases to exist. Only profit guarantees the survival of a company, and revenue is earned by beating the competition.
However, profit should not be earned by any means necessary. Every company and its employees must adhere to compliance as business professionals while never engaging in inappropriate acts as a public entity (company).

3. Maintain a self-directed and independent mind

None of us can rely on others to protect our company and our lifestyles. We must trust in our own abilities to take us leaps and bounds ahead and understand that no one will help us overcome our failures. All of us must be responsible for our actions.
The best time to evolve and differentiate oneself from competitors is when the business environment around us is unfavorable.