HUMAN CAPITAL REPORT 2022

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Strategies

Training

Systems

CorporateCulture

18Recruiting

SYSTEMS
CorporateCulture

Strategies

Systems

Training

HUMAN CAPITAL REPORT 2022 - CHAPTER 4

CHAPTER 4

Recruiting

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Strategies

Recruiting

Training

Systems

Corporate
CulturePersonnel systems play an important role in showing employees a company’s
expectations and the direction of its growth.

As another expectation, our personnel systems contain the message that wewant employees to increase the speed of their growth. Based on our unique

As one of our expectations, our personnel systems convey the message thatview of time, in which three months for the rest of the world is one year for the

we want to link the direction the Group intends to take with the vision of each

Link and Motivation Group, we have designed various systems with theemployee. To improve employee engagement, we consider it crucial that each

expectation that our employees will grow at four times the speed of the rest ofemployee feels that they are getting closer to achieving their own vision whilethe world.

meeting their company’s expectations. For this reason, we have implemented

many measures that provide opportunities for aligning these elements.

We believe that incorporating messages on what we consider most importantin our personnel systems in ways like these enables us to increase employee
engagement as we conduct management.

HUMAN CAPITAL REPORT 2022 - CHAPTER 4Conveying Messages from Management
through Our Personnel Systems

19

HUMAN CAPITAL REPORT 2022

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Strategies

Recruiting

TrainingSystems

CorporateCulture

20

CHAPTER 4 Systems
O1 Linking Corporate and Employee VisionsTimeframe3 years

Management plansubmission rate

Linking Corporate and Employee Visions
to Improve Employee Engagement
To improve employee engagement, we emphasize the connections between

2020

2021

2022

the company’s vision and the vision of each employee. We believe that

98.7％

98.2％

97.4％

clarifying the career path an individual will follow and how they will grow whileworking at a company—and as a result how this will get them closer toachieving their own vision—helps to improve employee engagement.
1 yearSurvey Feedback
Based on the results of the level-specific role survey, employees receive
advice from employees at the same level, superiors and other colleagues
to clarify growth issues and their action plan.

Therefore, we provide opportunities on various timeframes for individuals toalign their visions with the company’s, as shown above. We have employees
set targets and evaluate them for every three-month period, provide survey
feedback to clarify targets for the next year, and conduct the i-Company

3 months Target Setting/Evaluation
Targets are set along two axes: performance, which indicates the degreeof contribution to the company’s business results and the employee’sorganization; and a stretch goal, which indicates the degree of individualgrowth.

Average individualevaluation score

Branding System for targets three years in the future. Each of these measurescommunicates the company’s intended direction and expectations of eachindividual, then offers an opportunity for individuals to make clear theirintentions and growth objectives.

2020

2021

2022

Performance

4.7

4.8

4.7

We believe that these measures allow employees to reaffirm what working

Stretch Goal

5.0

5.0

5.0

for the company means to them, and consequently help to improve employee

Total

9.7

9.8

9.7

engagement.

Note: Performance and the stretch goal are evaluated on a scale of 1 to 9, with 5 being “metexpectations.”

HUMAN CAPITAL REPORT 2022 - CHAPTER 4i-Company Branding System
Each employee creates a “management plan” for their i-Company tooutline their career direction, then aligns their ideas with the company’s.

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Strategies

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Training

Systems

CorporateCulture21

CHAPTER 4 Systems
O2 Growth at Four Times the Speed of the Rest of the World

Three-Month Cycle
Jan.
▲

Sense oftime atLMG▲

Mar.

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

▲

★
●
◆▲

Dec.
★
●
◆（●）（▲）
★
●
◆

Nov.

★
●
◆▲

★
●
◆A unique perspective toward time has supported discontinuous growth at theLink and Motivation Group since its founding. Based on our belief that runningon a cycle with a short span is important for growth, we share a unique view oftime, in which three months everywhere else is one year at the Link andMotivation Group. Accordingly, we set milestones every three months. By doing▲：Target setting

Employees set targets for individual achievement (performance) and growth (stretchgoal) for a three-month period. Since the cycle is a short period of 3 months, employees
can remain constantly aware of their targets.
●：Evaluation and compensation

Evaluations are conducted according to the targets that have been set, with promotions
or demotions based on the evaluation results. Bonuses (premium compensation) arealso paid every three months.
★：Group General Meeting

Treated the same as other companies’ end-of-year general meeting, including a review
of business results and awards for MVPs.
◆：Paid vacation

Employees receive “pit stop” vacation days that correspond to other companies’ yearend and New Year holidays. A three-day holiday after every Group General Meeting
gives a sense of having reached a milestone.

so, we aim to create an environment where employees maintain a high level ofmotivation as they continue to grow and to achieve speedy businessdevelopment.
All organizational operations, including management of business results,
target setting, personnel evaluations, promotions or demotions, payment ofbonuses, the Group General Meeting, and vacations (year-end and New Yearholidays), are divided into units of three months and conducted four times ayear. This intentional division of time acts as a mechanism that makes us
conscious of using time to the fullest every day.
As a result, Link and Motivation has a very high score of 4.9 out of 5 for theitems “growth environment for employees in their twenties” and “employee
morale” in OpenWork’s survey. We believe this is proof that our employees aremaking full use of their time.

HUMAN CAPITAL REPORT 2022 - CHAPTER 4General
sense oftimeFeb.

Treating Three Months as a Year for Growth
at Four Times the Speed of the Rest of the World