Corporate Governance System
Overview of Corporate Governance System
J. Front Retailing is a holding company, one of whose principal management goals is to strengthen corporate governance in order to ensure the legal compliance, transparency, objectivity, and health of Group-wide operations, acting as the central focus of governance for the Group.
As part of these efforts, we have adopted the "Company with Three Committees (Nomination, Audit and Remuneration Committees)" system for the following reasons.
(1) To strengthen management oversight functionality by separating auditors from directors.
(2) To promote transparency of authority and responsibility in carrying out operations and to make management more dynamic.
(3) To improve the transparency and objectivity of management.
(4) To build a globally-compliant governance system.
J. Front Retailing is a pure holding company, and as such entrusts the various operating companies with the authority to handle operations (not including important matters pertaining to the Group management) in order to ensure rapid decision-making and achieve greater clarity in management responsibility.
As a holding company, our roles and responsibilities are as follows.
(i) Planning, formulating and penetrating the Group Vision, the Group Medium-term Business Plan and the Group Annual Management Policy, and tracking the progress and results thereof;
(ii) Setting business domains of the Group;
(iii) Business portfolio management (optimal allocation of management resources);
(iv) Generating synergies between businesses;
(v) Establishing the Group-wide risk management system;
(vi) Organization design and operation of the entire Group;
(vii) Human resource management of the entire Group;
(viii) Management of shareholders;
(ix) Establishing corporate governance practices for the entire Group;
(x) Making decisions on important matters of business execution relating to the management of the Group; and
(xi) Providing advice and approval for the management policy and management strategy of respective operating companies, and oversees and evaluates progress thereof.
In addition, we are moving faster to address risks that arise from our rapidly changing environment, and are practicing sustainability management that incorporates the concept of sustainability into our strategies in order to achieve sustainable growth as a company.
Corporate governance plays a key role in supporting and promoting such sustainability management, and as a company listed on the Prime Market, we are therefore striving to further strengthen our corporate governance.
We have prepared a written "Corporate Governance Guidelines" which lays out exactly what kind of corporate governance the Group should have, and we are aiming for the best corporate governance by constantly revising it. We will publicize the statement throughout society to foster an ongoing good-faith and constructive dialogue with the Group's various stakeholders with the goal of improving the Group's ongoing growth and medium- to long-term enhancement of corporate value.
Corporate Governance Guidelines（PDF 152KB）
Corporate Governance Report（PDF 952KB）