Appendix

41

Appendix
Productivity Metrics

Peremployee1

Workforce Metrics
2019

2020

2021

Revenues (thousand yen)

19,321

17,713

18,675

Officers1

Gross profit (thousand yen)

8,241

8,060

8,775

Employees

Net income (loss)(thousand yen)659(535)

2019

Number ofemployees

583

In 2020, the decline in revenues due to the COVID-19 pandemic was also
reflected in a decline in per-employee results. However, results per employee
Full-time/Part-time2

improved with the recovery in business performance in 2021.

Employee Attribute Metrics■ Male-Female Ratio

EuropeNorthFemale

Male

America

45%

55%

2%

1%

Other

2%

71-99

0.0%

61-70

1.8%

51-60

Japan

2830

1,390

1,498

1,493

516

381

403

ALTs

3,245

3,378

3,304

Total

5,175

5,285

5,230

Full-time

1,452

1,537

1,518

Part-time

478

370

408

1,654

1,738

1,748

1.1

0.9

0.9

Part-time staff

95%

Absenteeism (unplanned leave) rate (%)

In 2020, the number of employees increased because OpenWork Inc. wasmade a consolidated subsidiary. The number of part-time workers fell that

8.7%

41-50

22.7%

31-40year due to the COVID-19 pandemic but began increasing again in 2021.

25.9%

21-30
0-20

2021

24

Full-time equivalent (FTE)3■ Nationality (Region) ■ Age Structure

2020

40.8%
0.0%

Note: Excludes non-responses

In the Link and Motivation Group, we conduct hiring, evaluation,promotion, and other corporate functions based on each individual’s
performance and growth, irrespective of attributes such as gender,

We will continue to secure an appropriate number of employees and invest
in them, according to changes in the environment and business conditions.
1. Total of directors and executive officers, including outside directors.
2. Contractual working time of at least 40 hours a week is considered “full-time” and less than 40hours a week is considered “part-time,” regardless of the form of employment. (ExcludesALTs.)
3. Number of employees when converted to full-time (40 hours a week). Calculated by dividing
total working hours per week of all employees by 40 hours. (Excludes ALTs.)

nationality or age. Workforce diversity ratios at the end of 2021 withrespect to each attribute are shown above.

42Appendix
Metric Related to Employment of People with Disabilities
2019

2019

2020

2021

Total workforce costs1 (million yen)

19,934

19,875

21,349We have strengthened recruitment of people with disabilities, but although

External workforce costs2 (million yen)

12,013

11,54812,125the number of people with disabilities has increased, we fell short of theTotal costs of employment3 (million yen)

8,775

8,893

9,724

Employees with disabilities* (%)

1.04

2020

Cost Metrics

2021
1.52

1.35

legally mandated employment rate of 2.3 percent. While some Groupcompanies do satisfy this rate, this remains a management issue for theOur current policy is to scale back investment in offices and speed up

Group as a whole, so we will further strengthen our recruitment efforts.

investment in human resources and IT. Because of that, total workforce* Tabulated based on the contents of the Report on the Status of Employment of People withDisabilities submitted to the Ministry of Health, Labour and Welfare each year. The results shown
are as of June 1, in accordance with the aforementioned report.

costs and total costs of employment have generally been increasing,although reducing the number of employees had an impact in 2020.
Furthermore, external workforce costs are increasing, reflecting thetemporary increase in the cost of recruiting ALTs in the Matching Division

Metric Related to Hiring

due to the COVID-19 pandemic.
2019

Quality per hire*

10.0

2020

2021

10.1

10.1

To determine whether we are hiring people who meet expectations, we

1. Total costs the Group paid directly to employees.
Defined to include total costs for the external workforce (see note 2.) in addition to employees
the Group employs directly.
2. Total costs paid to outsourcers, temporary staff and other workers the company does not
employ directly.
3. Total costs incurred in employment.
Defined as total costs that directly benefit employees. (Training costs, benefit expenses, etc.)

monitor evaluation results during the probation period. Specifically, ourgoal is 10 or higher, which indicates “met expectations.” The result for
2021 was 10.1. We therefore believe that we are hiring people whoproduce results that exceed the company’s expectations.
* The six months after joining the company are a probation period. After the probation
period ends, employees are evaluated on a scale of 2-18, with 10 meaning “metexpectations.”

43

Appendix
Leadership Metrics■ Group Hierarchy Chart1
Directors, executive officers

24

Training Metrics■ Span of Control (Number ofMembers per Management Position)
Directors and executive
officers

62.2

Company managers

39.4■ Training Participation Rates
Name of Training
Top Gun seminars

98.5

Negotiation training

88.9

Logical thinking training

53.0

Self-motivation control training

100.0

Leadership training

63.2Career design training

79.2

New company president training

100.0

New manager training

100.0

on various factors such as business model, management maturity,

New employee stance training

100.0

composition of members, and organizational relationships, so we do not

Survey training for upper management

96.2

target a flat standard across the Group. For that reason, we constantly

Survey training for management

91.0

Survey training for senior employees

94.3

Survey training for leaders

95.9

of organizations, and make adjustments as necessary. Currently, given

Survey training for mid-level employees

93.2

that on the whole, organizations in the Link and Motivation Group have

Survey training for junior employees

97.4ManagementCompany managers

37

Unit managers, group managers

89
Non-management

Members

1,367

Unit managers andgroup managers

15.4

All managers2

10.1

The appropriate span of control at each hierarchical level differs depending

monitor the suitability of our hierarchical structure based on the results ofindividual surveys regarding managers and employee engagement results

Technical Skills

Participation
Rate (%)

Portable Skills

StanceStance(level-specificsurvey)

high employee engagement scores, we believe our organizational structure

All employees participated in multiple forms of training, and participation

to be appropriate.

rates for each type of training are shown above. In addition, average

In the future, we will flexibly change our organizational structure asnecessary in accordance with changes in employee engagement.
1. As hierarchy names differ depending on Group company, figures are calculated by classifying positions
within the hierarchy based on certain criteria. Outside directors, part-time workers and ALTs are notincluded in the number of people for each level.
2. Calculated by dividing the total number of people at all levels by the number of managers.

formalized training hours per employee, including training conducted at thedepartmental level, was 31.8 hours.* For Group-wide training, we aim fora participation rate of 100%.
* Calculated by dividing the total hours spent for all training in 2021 by the number of employees atthe end of 2021.

44

Appendix
Health and Safety Metrics

Metrics Related to Appointments and Critical Positions
2019

2020

2021

2019

2020

2021

Number of occupational accidents1(per million work hours)

3.82

3.74

4.15

Percentage of positions filled internally1 (%)

77.6

68.7

73.1

Lost time for injury1(total lost time in hours per million work hours)

10.49

12.80

3.80

Percentage of critical positions2 (%)

1.3

1.5

1.6

000

Percentage of critical positions filled internally3(%)

100.0

100.0

100.0

Succession effectiveness rate4 (%)

100.0

100.0

100.0

Percentage of vacant critical positions in relation
to all vacant positions (%)

0.0

0.0

0.0

Average length of time to fill vacant criticalposition (days)

0.0

0.0

0.0

Number of people killed during work1

20192020

2021

Percentage of employees who participated inhealth and safety training2 (%)

75.5

Percentage of employees who took time off formental health reasons (%)

0.8

0.6

0.9

Maternity leave rate (%)

100.0

100.0

100.0

Paternity leave rate (%)

8.3

13.6

25.7

87.4

92.4

In the Link and Motivation Group, we define critical positions as “directors
and executive officers (except outside directors), including those of Groupcompanies.” However, when a vacancy arises, we either appoint an

Most occupational accidents in the Link and Motivation Group occurred

immediate replacement or eliminate that position, so positions are neverduring commuting or travel. These results are reasonable since we have aleft vacant. Accordingly, the “percentage of vacant critical positions” andbusiness model where workplace accidents do not easily occur.

“length of time to fill critical vacant positions” are zero.

Moreover, the above results for metrics relating to employee health andRegarding appointment to critical positions, all have been filled

safety and the balance of work and childcare indicate that we haveinternally in the past three years. We believe that these results are ansupportive workplace environments.

indication of our systematic approach to successor development.

1. Calculated based on total number of employees (officers, employees, part-time staff and ALTs).
2. Calculated based on participation rate in annual stress checks.

1. Calculated as the number of vacant positions filled through internal recruitment divided by the total
number of vacant positions filled through internal plus external recruitment.
2. Calculated as the number of critical positions divided by the total number of positions.
3. Percentage of critical positions that opened up during the year that were filled through internalrecruitment.
4. Percentage of critical positions filled through internal recruitment as of the end of the year.

45Appendix
Correspondence with ISO 30414 Metrics
No.

Metric1Page(s)No.

Metric5Compliance and ethics

1-1

Number and type of grievance filed

32

5-1

Engagement/satisfaction/commitment

1-2

Number and type of concluded disciplinary action

32

5-2

Retention rate

1-3

Percentage of employees who have completed training
on compliance and ethics

32

1-4

Disputes referred to external partiesー

1-5

Number, type and source of external audit findings andactions arising from these

32

2

69-1

Total developing and training costs

22

9-2

Training participation rate

44

9-3

Average formalized training hours per employee

44

9-4

Percentage of employees who participate in training
compared with total number of employees per year

44

Workforce competency rate

ー

45

6-2

Number of occupational accidents

45

6-3

Number of people killed during work

45452-1

Total workforce costs

43

72-2

External workforce costs

43

7-1

EBIT/revenue/turnover/profit per employee

42

2-3

Ratio of the average salary and remuneration

31

7-2

Human capital ROI

82-4

Total costs of employment

43

82-5

Cost per hire

198-1

2-6

Recruitment costs

198-2

Quality per hire

43

2-7

Turnover costsー

8-3

Average length of time to fill vacant position

193

Diversity

Productivity

Recruitment, mobility, turnoverー

8-4

Average length of time to fill vacant critical position

45

8-5

Transition and future workforce capabilities
assessment

ー

8-6

Percentage of positions filled internally

45

3-1

Workforce diversity ratio with respect to age

42

3-2

Workforce diversity ratio with respect to gender

42

3-3

Workforce diversity ratio with respect to disability

43

8-7

Percentage of critical business positions filled internally

45

3-4

Workforce diversity ratio with respect to other indicatorsof diversity

42

8-8

Percentage of critical positions

45

3-5

Diversity of leadership team

27

8-9

Percentage of vacant critical business positions inrelation to all vacant positions

45

8-10

Internal mobility rate

24

8-11

Employee bench strength

25

8-12

Turnover rate

33

8-13

Voluntary turnover rate

33

8-14

Voluntary critical turnover rate

33

8-15

Exit/turnover reasons/leaving employment by reason

33

4

Leadership

4-1

Leadership trust

26

4-2

Span of control

44

4-3

Leadership development

26

Page(s)33

Lost time for injury

Number of qualified candidates per position

MetricSkills and capabilities

10, 12, 13

Organizational health, safety and well-being

Percentage of employees who participated in training

No.
96-1

6-4

Costs

Page(s)Organizational culture

9-5
10Succession planning

10-1

Succession effectiveness rate

45

10-2

Succession coverage rate

25

10-3

Succession depth rate: ready now

25

10-4

Succession depth rate: ready in 1-3 years/4-5 years

25

11

Workforce availability

11-1

Number of employees

42

11-2

Number of employees: full-time and part-time

42

11-3

Full-time equivalents

42

11-4

Contingent workforce: independent contractor

ー

11-5

Contingent workforce: temporary workforce

ー

11-6

Absenteeism: unplanned leave

4246