Human Resources Management
Approach and Policy
The Purpose of the Mitsubishi Chemical Group is to lead with innovative solutions to achieve KAITEKI, the well-being of people and the planet.
To empower all our employees to reach their full potential and to enable our highly motivated personnel to thrive even further, we have devised comprehensive measures aimed at enhancing various aspects of our workplace environment, systems, and opportunities.
Strategy
The Mitsubishi Chemical Group considers its human resources to be the source of value creation as well as the driving force behind the enhancement of its corporate growth and the realization of its Purpose.
We are working to achieve our management vision, KAITEKI Vision 35 (KV35), and Medium-Term Management Plan 2029 by connecting our diverse strengths to create value and by transforming our business structure in response to the changing business environment. Accordingly, we must synchronize our human resource strategy with our management strategies and maximize the value of our human resources.
Vision for fiscal 2029
| Synchronization of management and business strategies with HR strategies | ||
|---|---|---|
| Working environments that maximize potential | Places for growth and the taking on of challenges Leveraging of diverse values High psychological safety |
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| Attractive corporate group | A Place for top talent High engagement |
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| Lean and productive organizations | Appropriate delegation of authority (ownership) Appropriate personnel management |
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Governance
The Group is taking the following measures to ensure the effectiveness of its human resources strategy and organization.
Monitoring of human resources strategy led by the leadership team
We aim to improve the effectiveness of the entire organization and its performance by increasing the connectivity between management strategies and human resources strategy as well as by holding extensive discussions involving members of executive management when considering human resources strategy and measures. To enhance the effectiveness of these strategies and measures, the executive management team monitors the implementation status of key measures and utilizes the results of regular employee engagement surveys to confirm their effectiveness.
Furthermore, in the MOS Indices, which represent the Group's sustainability indicators, we have set "Employee Engagement" and "Diversity at the Decision-making Level " as indicators related to human resources strategy and measures. Progress is regularly monitored under the leadership of the executive management team, including the President and CEO.
Disciplined operations
In a complex and rapidly changing business environment, each employee must think and act independently. We aim to create an appropriate framework for delegating authority and allow each employee to make decisions independently with a certain degree of discretion. The foundation for this is a strong sense of discipline and compliance.
In addition to fostering awareness through compliance training and other means, the Group is also working to establish a system that supports fair and disciplined actions and decision-making. In recent years, we have established disciplinary guidelines globally, enabling consistency in operations.
Through these efforts, we will increase our credibility as an organization, leading to sustainable growth and value creation.
Risk Management
Risks related to securing talent
If we are unable to secure the human resources necessary to realize our management strategies, there is a risk that delays will occur in the implementation of management strategies and the progress of business plans.
To ensure that we can continuously secure the necessary talent, the Group is working to increase the value of working for the Group and employee engagement, thereby improving our competitiveness in recruiting and increasing retention. To ensure that talent can continue to play an active role over the long term, we are enhancing our operations to provide career support, growth opportunities, and fair evaluation and treatment. We have established systems that cater to individual career aspirations and life stages. We also work to maintain and improve employee motivation and engagement through regular career dialogue and feedback.
We are working to create a psychologically safe workplace and an environment where employees feel motivated to work. By evaluating employees based on the process rather than just the results, and actively praising employees, we encourage them to take on new challenges, which in turn fosters trust in the company and a sense of growth. At the same time, we are steadily recruiting by expanding recruitment channels to include, for example, alumni and referrals.
Through these measures, we aim to strengthen competitiveness in recruitment and increase retention, while also securing and developing human resources who have diverse values and can work responsibly to enhance corporate value in order to realize our management strategies.
Risks related to DE&I
Diversity, Equity & Inclusion (DE&I) is the concept of creating a work environment where each and every member of our diverse workforce is treated fairly and can maximize their abilities.
A lack of diversity, a source of value creation, could hinder a company's growth and reduce its resilience.
The Group strives to create a work environment where diverse human resources can demonstrate their abilities regardless of their individual personalities or backgrounds. We no longer use personnel management based on attributes and are promoting human resources to ensure that the right person is in the right position globally. We are working to raise awareness among employees, including management, in addition to developing systems and work environments that allow diverse talent to play an active role, leveraging their respective strengths, regardless of gender, nationality, age, disability, values, or career background.
We are also re-analyzing factors that hinder the advancement of DE&I and taking steps from a medium- to long-term perspective, such as through PR activities and event participation. Through these measures, we will create an environment where diverse talent can feel safe and take on new challenges and thrive.
Metrics and Targets
In the MOS Indices, which represent the Group's sustainability indicators, we have set "Employee Engagement" and "Diversity at the Decision-making Level " as indicators related to human resources strategy and measures.
"Employee engagement" indicates the percentage of positive responses to related questions in employee engagement surveys conducted periodically. We set targets based on these scores and also reflect the results of individual questions in our human resources policies and monitor progress.
Relationship between Employers and Employees
Major Group companies strive to maintain and improve relationships of trust between labor and management through such means as providing opportunities for regular dialogue between management and labor unions.
These Group companies hold central joint management councils with labor unions in accordance with each union's collective agreement and they regularly take time to explain their management statuses and share management information with the unions. When companies intend to make revisions to their systems that will result in changes to working conditions, they offer proposals to the labor unions and take sufficient time to engage in labor-management discussions over the proposed revisions.
