Management System

Management system to promote ESG management

In April 2022, we established the Sustainability Committee as a company- wide promotion body for ESG management, and have been promoting discussions on how to resolve social issues and create a sustainable society through our business activities. The committee is chaired by the President and convenes at least twice a year, calling together the executive officer in charge of ESG, the executive officers in charge of related operations, and other relevant affiliates.

The Sustainability Committee determines the highest priority issues based on the Basic Policies for Sustainability and Materiality (key issues), formulates related policies, targets, and key measures, and manages their progress. For priority issues, we established subcommittees headed by an executive officer to ensure effective implementation of initiatives. The results of these activities are reported annually to the Board of Directors.

Company-wide risk management process

The AEON delight Group implements risk management in response to important risks based on the AEON delight Group Basic Regulations for Risk Management. The Risk Management Committee selects key risks based on a risk assessment, and each appointed key risk owner is responsible for implementing and monitoring risk mitigation measures. The Risk Management Committee receives reports from key risk owners, evaluates and analyzes them, and reports to the Board of Directors.

• Risk Management

Sustainability-related risks

The AEON delight Group views climate change risks under the TCFD and risks under the materiality issues as sustainability-related risks. The Sustainability Committee evaluates, analyzes, and responds to these sustainability-related risks.

• Materiality

In FY2021, we have identified 12 materiality issues that are social issues that we will focus on, and have set 2030 targets for each of these items. The Sustainability Committee monitors the status of initiatives related to materiality issues. In addition, we disclosed our results for FY2021 and FY2022. With regard to the 2030 targets, we are looking into the possibility of revising them in the future to align them with the direction of the next medium-term management plan to be launched in FY2024 onward.

• Materiality

In FY2022, the first year of operating the Sustainability Committee, we identified human rights, safety, and health, as well as the environment and the supply chain, as issues that society is highly concerned about and that we must address as a priority. For each issue, we established a subcommittee with an executive officer serving as the subcommittee chair. The Human Rights, Safety, and Health subcommittee focused on activities related to respecting human rights, occupational safety and health, and health management, with the Environment subcommittee focused on our energy use and waste emissions, and the Supply Chain subcommittee on supply chain management related to the environment, human rights, and other issues.
In FY2023, we dissolved the Human Rights, Safety and Health subcommittee as a developmental step, and established a new Diversity subcommittee to complement the Environment and Supply Chain subcommittees. The Diversity subcommittee discussed measures to increase the ratio of female employees and managers at AEON delight, while the Environment subcommittee newly set GX as a theme to work on.

FY2022 Activities

Sustainability Committee meetings

FY2023 subcommittee meetings