Corporate Governance
At Nikken Sekkei, as societal changes become increasingly complex and diverse, we are strengthening our governance framework with the aim of achieving stable and sound growth across the entire Group.
As part of this effort, Nikken Sekkei has established the Risk Management Center to develop a more robust governance framework that encompasses risk management and compliance (adherence to laws and regulations).
In addition, by establishing the “Board of Auditors,” we are strengthening the Board of Directors’ oversight functions. At the same time, we maintain a system centered on the Board of Directors to provide appropriate checks and balances on management, while ensuring responsible execution of business operations through a system centered on the “Executive Officer.”
As part of this effort, Nikken Sekkei has established the Risk Management Center to develop a more robust governance framework that encompasses risk management and compliance (adherence to laws and regulations).
In addition, by establishing the “Board of Auditors,” we are strengthening the Board of Directors’ oversight functions. At the same time, we maintain a system centered on the Board of Directors to provide appropriate checks and balances on management, while ensuring responsible execution of business operations through a system centered on the “Executive Officer.”
Strengthening an independent management foundation and governance
As a privately held company, Nikken Sekkei has built an independent management foundation that is not influenced by external capital, with all of its issued shares held by its officers and employees.
On the other hand, while leveraging this independence as a strength, we are actively incorporating the perspectives of external experts and third parties, such as by appointing outside directors and establishing a nomination and compensation committee, in order to enhance the transparency and objectivity of our management.
Outside directors leverage their expertise and extensive experience in their respective fields to provide objective advice on matters such as the appropriateness of management strategies, risk management, and transparency in organizational operations.
On the other hand, while leveraging this independence as a strength, we are actively incorporating the perspectives of external experts and third parties, such as by appointing outside directors and establishing a nomination and compensation committee, in order to enhance the transparency and objectivity of our management.
Outside directors leverage their expertise and extensive experience in their respective fields to provide objective advice on matters such as the appropriateness of management strategies, risk management, and transparency in organizational operations.
| Shareholders' Meeting | Nikken Sekkei's general shareholders' meetings are conducted under an internal shareholder system in which only current officers and employees are shareholders, emphasizing management independence and stability. |
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| board of directors | Nikken Sekkei's Board of Directors is comprised of diverse individuals with expertise both inside and outside the company. It meets approximately once a month to make decisions on important matters concerning business operations and group companies, and to supervise the performance of duties by directors. |
| Board of Auditors | Board of Auditors As the parent company, we are strengthening the supervisory functions of the Board of Directors. Board of Auditors The board consists of two outside directors and one inside director. |
| Nomination and Remuneration Committee | To ensure fairness, transparency, and objectivity in the selection of management and the compensation determination process, we have established a Nomination and Compensation Committee. The chairperson is an outside director, and the majority of the committee members are also outside directors. |
| Accounting auditor | We have entered into an audit agreement with an accounting firm, and that firm conducts accounting audits in accordance with the Companies Act. |
| Senior Executive Officer Meeting | At Nikken Sekkei’s Senior Executive Officer meetings, the company formulates and promotes management policies and makes decisions on important operational matters to ensure the smooth operation of Nikken Sekkei’s business. |
| Internal Audit Office | From an objective standpoint independent of business operations, we conduct audits covering all aspects of our company and our group's operations from the perspectives of internal control, risk management, and compliance. |