Message fromthe President & CEO

Sustainability Management

Environment

SocialDisclosure Based on
the TCFD Recommendations

Governance

ESG Data

Internal Control
Basic Approach, Policies and Organization

MITSUBISHI MOTORS CORPORATION Sustainability Report 2024

fice under the supervision of the Executive Officer forInternal Control Promotion/General Administration/
Corporate Affairs to identify and prevent potentialrisks, respond to emergencies when risks materialize,
and make our major risks visible.
We have been working to establish a global internal
control structure by gradually establishing and operating internal control committees from FY2018 at main
affiliates in Japan and overseas. In addition, we haveestablished a system in which a designated department is responsible for the overall management of eachaffiliated company, and related internal departments
support the responsible department according to theirroles, providing various support, checks and balances,and supervision to strengthen the affiliate and promote its development. Furthermore, internal rules havebeen established to ensure that important information
at subsidiaries is reported to MITSUBISHI MOTORS in atimely and appropriate manner, and subsidiaries operatein accordance with these rules. To ensure the appropri-Accounting
AuditorAccounting
Audit

Report* See Corporate Governance Report for “Basic Policy on the Establishment of Internal Control Systems” PDF
PDF https://www.mitsubishi-motors.com/en/sustainability/
pdf/governance.pdf

Audit/Report

Coordination
Audit

Nomination
Committee

Coordination

Compensation
Committee

ReportExecutive Officer, President & CEO
ReportReportInternal Control Committee

ReportInternal Audit Division

Audit

Board of Directors

Audit Committee

Instruction/Report(specific issues ofmisconduct, etc.)

Targetl 16.5

ateness of financial reporting, a specialized organization
has been set up under the J-SOX Promotion Committee
described above. This organization follows up on andgathers information about systems in place at MITSUBISHI MOTORS and its affiliates, the scope of evaluation,
the evaluation status of companies subject to evaluation, the improvement status and other matters.
We have also positioned the Internal Audit Division
as independent of business execution. The Internal Audit
Division coordinates with other committees, including
the Internal Control Committee, with the aim of achieving
effective and efficient internal control system operation.
Going forward, we will continue with initiatives tofurther reinforce governance by working to ensurecompliance with laws and regulations and to promote proper, effective business execution in line withchanges in the domestic and overseas environments.

Internal Control Structure

ReportCoordination

Whistleblowing
contact

Based on the “Basic Policy on the Establishment ofInternal Control Systems”* resolved at the Board ofDirectors, MITSUBISHI MOTORS monitors the status ofoperations and strives to improve and reinforce internal control systems.
We recognize the gravity of its improper conduct infuel consumption testing, on top of past quality problems. As one of its priority measures aimed at regaining trust, in FY2017 we appointed a Global Risk Control
Officer to manage compliance and operational, hazard
risks and report regularly to the Board of Directors on
governance improvement measures. (In FY2023, thetitle was changed to the Executive Officer for Internal
Control Promotion/General Administration/CorporateAffairs.) Furthermore, in order to reinforce, and improvethe efficiency of, its handling of internal controls basedon laws and regulations, it revised its internal controlsystem. In the revised system, the J-SOX Promotion
Committee, under the direct control of the Executive
Officer, Executive Vice President (CFO), handles internal control related to financial reporting in accordancewith the Financial Instruments and Exchange Act. The
Internal Control Committee, chaired by the Executive
Officer, President & CEO and vice-chaired by the Executive Officer in charge of Global Risk Control, promotesinternal control related to the Companies Act. This
Internal Control Committee confirms and evaluates
the contents reported and/or resolved at subcommittees in each internal control field, such as Compliance,
Information Security, Business Continuity Management(BCM), and J-SOX, in accordance with the “Basic Policyon the Establishment of Internal Control Systems.”
From FY2022, we expanded the scope of risks
covered to address the new risks that have emergedin recent years and are intricately intertwined withmultiple risk factors (strategy, finance, operationaland hazard risks) for a single event. In addition, wehave established the Internal Control Promotion Of-Target
l 8.7

Executive Officer,
Executive Vice President (CFO)

ReportCoordination

Compliance
Committee

Information
Security
Committee

BCM
Committee

J-SOX
PromotionCommittee

Controls

ReportDepartments/Affiliates
Back ◀

104▶ NextBack to Contents ▶▶