Value Report 2023
SEKISUI HOUSE

Long-Term Vision andMaterial Issues

Contents

Mechanisms andCatalysts for Creating Value

ESG Management

Mid-Term Management Plan for
Sustainable Growth

G: Governance E: Environment S: Social

Financial Data, Company
Information and Share Information

Human Capital Management in Action

The Sekisui House Group’s Approach to Human Resource Value
Human Resource Value = Employee Autonomy × Alignment of Efforts

Human Resource Value Enhancement Drives Growth

The Sekisui House Group sees human resource value as the product of employee autonomy and the alignment of the efforts of its people.
Human resource value enhancement is a growth driver for

These two factors multiply one another, so when employees use Company resources to pursue autonomous career development while

the Sekisui House Group. We aspire to invest in humanaligning their efforts with the Company’s vision and business strategy, we are sure that the value created will result in tremendous growth.

resources to raise their value, making both individuals andthe organization stronger to provide new value to custom-

Corporate value enhancement

Miwa Yamada

Realizing our global vision to make home the happiest place in the worldChairperson of the Social
Improvement Subcommittee
Executive Officer
Head of Diversity andInclusion Promotion
Department

Human resource value enhancement
Employee autonomy

Alignment of efforts

ers and society.
It is our employees that will make this aspiration a reality.
To achieve our global vision to make home the happiest
place in the world, we must first make our employees
happy. In other words, we think it is crucial that we makeSekisui House—the professional “home” of employees—
the world’s happiest company.

Enhancing Human Resource Value as a Foundation for Well-Being
Our conception of employee autonomy is, necessarily, not something imposed onemployees, but that emerges from them—not for the sake of the Company, but in an
employee’s own pursuit of a happier life. To understand and address issues in this area,in 2020 we commenced the Well-Being Survey. The well-being of both individuals andSupporting self-directed
career development• Self-directed career development education• Career development supportsystem• Sekisui House Innovation &Performance (SHIP) Awards
Program

Promoting DE&I• Promoting the participation ofwomen• Promoting the participation ofglobal human resources• Promoting the participation ofpeople with disabilities• Promoting employee understanding of the LGBTQ community

Promoting diverse
workstyles

Building a foundation
for well-being• Enhancing the diversity ofworkstyle programs• Expanding systems for fairevaluations• Creating a workplace culturethat ensures psychological safety• Assisting the pursuit of family
happiness (encouraging male
employees to take childcare
leave, nursing care leave, etc.)• Supporting health improvement
efforts• Continuing the Well-Being Survey

Alignment of efforts• Nurturing leaders capable ofdisseminating our Corporate
Philosophy and strategies• Securing staffing in line withstrategies and optimally
allocating employees

the workplace as a whole has increased through efforts to foster a workplace culture inwhich every individual can examine what well-being means to them and, through dialogue, take action toward that ideal.
Employee happiness can become the foundation for contributing to customer andsocietal happiness, which in turn enriches employee happiness. The enhancement ofsocial and economic value achieved through this cycle of well-being is Sekisui House’s
ESG management in action.
The following Human Resource Value Story highlights some of our initiatives toEmployee happiness
The diverse people of the Sekisui House Groupenhance human resource value. Through employee autonomy and the alignment of ourefforts, we will continue working to enhance human resource value as a part of our business strategy aimed at enabling employees and the Company to grow together.

42Value Report 2023
SEKISUI HOUSEContentsLong-Term Vision andMaterial IssuesMechanisms andCatalysts for Creating Value

Mid-Term Management Plan for
Sustainable Growth

ESG Management
G: Governance E: Environment S: Social

Financial Data, CompanyInformation and Share Information

ESG Strategy—Human Resources Strategy

Human Resources Strategy

Key Measures under the Sixth Mid-Term Management Plan

Looking Back on the Four Reforms under the Fifth Mid-Term Management Plan

Employee Autonomy

To maximize the happiness of its customers, employees and communities, under the Fifth Mid-Term ManagementPlan, the Sekisui House Group advanced the following four human resources strategy reforms.

1 Career consciousness reform: Self-directed careers
Our self-directed career development approach continued to take root among
employees, as indicated by a rise in scores for items related to employee autonomy
on the Governance Awareness Survey (an employee awareness survey) conducted byGroup companies. In addition, the revamped internal human resources recruitment
system has been proactively used for self-directed career development, with 84 applications for the seven positions posted.

2 Leader appointment reform: Leadership pipeline
We worked to enhance the leadership pipeline by expanding the scope of multi-rater
assessments to include managerial positions with authority over employee assessments and by selecting and developing successor candidates for key positions(employed executive officers, operating officers, general managers of head office andtechnology and production divisions, branch heads, the Head of Technology andHead of General Affairs.

3 Group human resources interchange reform:
Group human resources database

We enhanced our human resources database both quantitatively and qualitatively,
for example, enabling users to search Group-wide human resource data and creating a training program utilizing department-specific skill sheets.

4 Governance reform: Appropriate deployment of Group
governance specialists

In Group governance, we increased the rate of divisions with governance specialists(usually persons in charge of general affairs) to 95% and launched a common Group
educational program alongside the creation of training opportunities by individualGroup companies. Through such efforts, we made significant progress in reinforcing
governance Group-wide.

PolicyFoster awareness of self-directed
career development
Key Measures• Rebuilt the Self-Directed Career Development
Course career training program• Self-directed career development course•Communication through career interviews•Use of the Human resources recruitment system

PolicyEnhance the leadership pipeline
Key Measures• Successor management for key positions• Expanded scope of multi-rater assessment

Key Measures
In light of the steady progress made under the Fifth Mid-Term Management Plan tofoster self-directed career development mindsets, under the Sixth Mid-Term
Management Plan, we will work to build growth cycle mechanisms by which individuals can realize their career goals and thereby further increase human resource value
through the initiatives listed at right.
Specifically, we will improve the visibility of employee skills and experience using thehuman resources database and build platforms for learning by expanding e-learning. Inaddition, we will provide opportunities for proactive career development as well as leavesystems and advanced study support systems to facilitate self-directed career development. Through such efforts, we aim to expand measures to support employee growth.

AimsKey Measures

Support learning and skill growth• Improve visibility of employee skills andexperience• Build platforms for learning

Provide a variety of opportunities
for proactive career development• Invigorate human resources recruitment• Use career declaration tools

Enable a variety of workstyles tosupport autonomous employees• Leave systems for self-directed careerdevelopment• Advanced study support systems(graduate school support)• Increase external assignments, internalside job system

We aim to enable employees who are highly motivated to grow to benefit from growthmechanisms and leverage the resources of the Sekisui House Group to achieve professional success. Going forward, we will communicate examples of successes
achieved by such employees to other employees to strongly motivate them to utilize similar growth cycles. We expect this toaccelerate the enhancement of overall human resource value.

Alignment of Efforts
PolicyExpand data input into the humanresources database
Key Measures• Expand data
• Increase usage frequency

PolicyReinforce Group-wide governance
Key Measures
Appropriate deployment of governancespecialists

Key Measures
For each division of the Sekisui House Group to implement its specific strategies, external human resources are increasingly important. Through the measures listed at right,
we aim to better understand the gaps between the human resources we need andthose we currently have in both quantitative and qualitative terms and then increase theachievement of each division’s strategies through personnel hiring and reallocation.
During the Fifth Mid-Term Management Plan, we made significant progress inenhancing the leadership pipeline of the Company, so we will now expand the scopeof leader development to the entire Sekisui House Group.

AimsKey Measures

Human resource planning• Better understand gaps between
needs and current conditions• Plans for human resource recruitment,
transfer and allocations, and internal
development

Leader development• Apply leadership pipeline mechanisms
to Group companies• Reinforce governance specialists anddevelop next-generation successors

Demand is particularly rising for human resources with governance knowledge,advanced expertise or overseas work experience. We aim to use technology to improve operational efficiency and recruit
human resources from a longer-term perspective, considering how operations will change several years down the line. Byadvancing such initiatives, we hope that leaders at each site will become aware of the need to concretely estimate the numberof personnel and required skill sets from the perspective of strategy execution and for the leaders themselves to continue growing by expanding their perspectives to include Group-wide personnel transfer and allocation.

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