Producing an employee-friendly workplace

Company profile

Feature Story

Harmony with the environment

Improving value

Communication with society

Producing an employeefriendly workplace

Supply chain management

Governance & compliance

Improving in-house systems

Diversity efforts

Promoting work-life balance■ Promoting female employees

We are actively working to support balance between

INOAC enables female employees to demonstrate their skills and capabilities, actively seeking out roles for them andwork and family life, to have an employee-friendly

creating environments where they can contribute to the company. Two female employees were promoted toworkplace and promote the advancement of women.

manager roles in FY 2020, raising the ratio of female workers who comprise our management roles to 4%.

According to our regulations regarding childcare leave,■ Work related to the Act on the Promotion of Female Participation and Career Advancementin the Workplace

two years old. Special (paid) leave is also available toWe promote women's success at work with the three goals below. They are designed to encourage female
employees to demonstrate their potential and develop their careers in a variety of departments over a period of five
years from April 1, 2021 to March 31, 2026.

employees are able to take leave until their children areattend to sick or injured children: five days are provided
to employees with one child and ten days toemployees with two or more children. In addition, weoffer a system of reduced working hours, which can beused for up to three years (available until the childfinishes third grade in elementary school). We alsoGoals

institute five days of special paid leave when a spouse(1) Raise the ratio of females among all INOAC workers to 20% or more.
(2) Raise the ratio of female employees in sales roles to 15% and in technical roles to 7%.
(3) Make the usage rate of managers' annual paid vacation equal to that of general employees(54.8%).

gives birth to a baby.
* Flextime was changed from “with core time” to“no core time” on April 1, 2020.

■ Support systems to balance workand childcare (year enacted)
Paternity leave (before 1980)
Flextime system (1990)
Regulations regarding family care leave (1990)
Happy Holiday Leave (1991)
Regulations regarding childcare leave (1992)
Regulations regarding measures for maternity
health management (1998)
System for paid half days off (2000)
Family support holiday leave (2005)
Sick/injured childcare leave (2005)
Regulations regarding childcare leave amended(leave period extension) (2005)
System of reduced work hours for childcare (2008)
Family Care Leave (2010)
Regulations regarding telecommuting (2020)

Harassment prevention
INOAC implements the following measures against harassment in the company.

■ Employing persons with disabilities■ Users of the continued employment system

In order to realize a society where everyone can expand

Since January 2015, we have been actively engaged intheir potential, we actively hire persons with disabilities.

creating an environment in which senior citizens canDoing so, we found that employees become more

effectively put their career skills to use. We are increasing

considerate toward others and that it creates

wages for employees who continue to work with us,

heightened awareness.

thereby implementing a system that makes it
worthwhile to rise to positions of responsibility.

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CSR REPORT 2021

(1) Declaration and publication of company policy
INOAC declares and discloses its company policy concerning harassment, including sexual and power
harassment.
(2) Establishment of consultation desks
Consultation desks to address harassment in the workplace are established in workplaces across Japan(for each area). We also have dedicated consultation desks for women, and labor union consultation
desks.
(3) In-house fact-finding surveys
We administer the Power Harassment Questionnaire annually for all employees, gain an understandingof the actual conditions, and take action in response.
(4) Harassment prevention training
All managers at INOAC are required to attend Harassment Workshops.

Producing an employee-friendly workplace

Company profile

Feature Story

Harmony with the environment

Improving value

Communication with society

Producing an employeefriendly workplace

Supply chain management

Governance & compliance

Human resource development

Global human resource development

Personal development

The INOAC Group began full-scale overseas expansion in the late 1950s, and now operates factories and offices globally in more than 50 locations. In order to develop humancapital that can drive progress in globalization, INOAC stresses its Global HR Development activities - with a particular focus on younger employees.

■ Pre-overseas work training■ Overseas trainee system

INOAC provides five total days of training by instructors from various sections of thecompany as well as outside instructors for employees who are candidates foroverseas posts, to give them the skills and mindsets they will need to work outside ofJapan. Every year we gradually make improvements to the training content. In 2020,
this included content that highlighted the fulfillment of working overseas while
seeking to preemptively alleviate anxieties about living abroad, including various
online round table meetings with current expatriate employees and specificexamples shared by in-house instructors who have worked overseas. Local staff
members at overseas locations also appeared as supporters and role played meetings
in English, which intimidated many of the trainees. However, some commented thatat the end of the day, it had helped them realize the need for English language skills
as well as their own lack of communication skills with foreigners in business settings,and they became determined to turn the experience into something positive. We
also conduct training for risk management in situations such as terrorist incidents,
kidnappings, and property theft.
While there are certainly many things that those on their first assignments will
simply have to actually go abroad to understand, we are packing as much specificcontent as possible into the training.

In 2019 we picked out the inaugural batch of trainees and sent three young
employees on year-long training assignments to the US and China.
Responses from the local companies where they worked were also
overwhelmingly positive, and just as we were preparing for the second batch oftrainees, we had to suspend the program when COVID-19 pandemic struck in 2020.
However, we finalized the first overseas assignments again in 2021 after a year off.
Since this is designated to be training, their objectives differ from those of expatriate
staff. The chief objective of the trainees is to gain various experiences and take on
various challenges in that location. Based on support from local staff, they aredirected to think, act, and overcome challenges on their own for a year. Aftercompletion, trainees give results presentations both locally and back in Japan.

■ Welcoming international employees
Current restrictions on international travel have made it difficult to visit Japan fromoverseas. However, we have still held the same Global Meetings that have been heldeach year until now, gathering managers and director-level personnel from locationsin other countries together with main team members from INOAC departments toshare Japan’s new products, new technologies, and customer trends, and trade ideas
about how to deploy them internationally. Sharing the circumstances in each country
between local staff members in the different countries has also helped to establish
horizontal ties. These meetings were originally centered on the sales sections of major
business units, but since several years ago we have expanded the activity to also
include other sections such as technology, IT, and accounting. When the COVID-19
pandemic is over, we will once again invite large numbers of international personnel
to Japan and expand networking within our company.

■ Distance learning program
The Distance Learning Program and Qualification Acquisition
Support Program are available for employees who are seeking
personal development.
In our Distance Learning Program, we make over 100 types of
popular courses available each year and return 50% of course fees
to learners who complete the courses. Additionally, ourQualification Acquisition Support Program provides assistancesuch as course fees and incentives for acquiring officiallyrecognized qualifications, based on company rules.

Report from a First Batch Trainee

Yuki Narita(Production Engineering Section, Technical Department,
Global Automotive-related Products Division)

My training was in North America, starting inNovember 2019. In terms of work-related tasks, Ilearned how important it is to take the initiative
to exercise your capabilities and produce results.
Particularly in the US, I learned that doing so isthe first step in earning the trust of the local staff. The operational expertise I
had gained in Japan was extremely helpful in accomplishing this. Since mylanguage skills were a daily source of frustration, I also studied English on myown every day while I was there. During vacations I was also able to enjoy lotsof different experiences in North America such as long-distance road trips
around the continent, and visiting a number of different apple orchards. InJapan I will continue working hard so that I can display my capabilities
overseas again sometime in the future.

■ English language learning
In addition to lessons for young employees to learn English
conversation that they can utilize in business scenarios, this fiscal
year we also introduced a new, more practical online English
learning platform for all employees to give presentations and havediscussions in English. The number of course takers has more thantripled. We also held online social events to boost employee
motivation and shared tricks for making a habit out of English
learning.
We will continue working to create mechanisms that makeeven moreemployees
say, “I want tolearn English!”

Online English learning

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CSR REPORT 2021

Producing an employee-friendly workplace

Company profile

Feature Story

Harmony with the environment

Improving value

Communication with society

Producing an employeefriendly workplace

Supply chain management

Governance & compliance

Safety and health / Disaster prevention

Principles and basic policy for safety(1) Safety is the basis of the very existence of the company.
(2) All accidents and hazards are preventable.
(3) Safety is achieved through the awareness andresponsible action of each employee.
Based on the safety principles above, safety is prioritized above all,and this is demonstrated through action. When a risk becomes
known, our established practice is to “stop it, call it in, and wait.” Our
yearly activity plans include activities organized by the Ministry of
Health, Labour and Welfare and monthly activities that past disasters
have taught us to be of critical importance. We strive to improve thesafety, health and disaster prevention levels at all of our locations byconducting repeated training and improving any weaknesses wefind in our safety, health and disaster prevention assessments.

All INOAC Safety and Health Committee
meetings
The following safety activities are led by top management and attended
by all members of the company.
◎ Central Safety and Health Committee meeting: Held four times peryear◎ Field inspection by officers: Held twice per year
◎ Safety Practitioners Conference: Held six times per year
◎ Safety and Health Committee meeting at each location: HeldmonthlyThrough these activities, INOAC enhances company-wideawareness of safety, health, disaster prevention. We hold thesemeetings on safety tobuild organizational
culture and preventthe reoccurrence ofdisasters.

Field safety inspection by top management

Safety Practitioners Conference
1. Summary from the FY 2020 Conference(1) Reports on safety, health and disaster prevention activities(2) Statistics and analysis of disasters in the INOAC Group(3) Notices and changes in the Industrial Safety and Health Act
2. Education and awareness raising to prevent occupational accidents(1) Efforts to prevent occupational accidents
Locations far away participate online
3. Policy for FY 2021
(1) Explanation on safety, health anddisaster prevention activities
in FY 2021
(2) Proposals from the labor union

Safety Dojo disaster prevention activities
to develop safety-conscious workers
The Safety Dojo lets employees experience potential work hazards insafe settings using 15 simulators that enable the employees to see, hearand feel the hazards. The experience helps build workplaces capable ofachieving the zero-disaster standard by making employees moresensitive to potential hazards, training their ability to predict them, andbuilding habits in safe work
practices.
In 2020 we introduced a virtual
reality (VR) system and brought VR
equipment to each location for
on-site interactive safety training.

4. Organizing safety presentations
by outside instructors
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CSR REPORT 2021

Safety Dojo (1,000 employees
have participated)

Promoting employee healthManagers are improving their skills and knowledge so that they can lead by example.

◎ Establishing mental health and harassment consultation desks◎ Establishing outdoor smoking space to ensure separation of smoking areas◎ Taking environmental measures to reduce road surface
temperature and use the Thermax ceiling cover method tolower temperature inside plants◎ Organizing learning sessions and trainings by industrial
physicians and the health insurance association◎ Taking preventive measures against heatstroke
Heat insulating pavement (reducing◎ Measures to prevent the spread of the novel coronavirus road surface temperature byreflecting infrared rays)• Implemented a body temperature checking system atentrances• Arranged partitions inmeeting rooms anddiscussion areas• Placed hand sanitizer inpertinent areas
Body temperature checking
Partitions in discussion areas
system at entrances

Disaster prevention activities
We take action according to our Crisis Management Regulations to minimize damage by
natural and other disasters, execute accurate first responses, and ensure early recovery.
1. Large earthquakes◎ Measures to alleviate earthquake damage to buildings and facilities◎ Safety and disaster prevention equipment and stockpiles for earthquakes◎ Post-earthquake response◎ Stockpile of mattresses and other items to contribute to the community
2. Measures against fires, storms, and floods◎ Prevention of fires and explosions in manufacturing facilities◎ Preparedness and systems for dealing with stormand flood damage◎ Establishment of a weather information
distribution system
3. Disaster prevention education◎ Utilizing the Disaster Prevention Training Centerand performing disaster prevention training atworksites
Disaster Prevention Training Center