Work Style Reform Suggestion Committee Started with Retailers for
True Work Style Reform

Work Style Reform Suggestion Committee Started with Retailers for True Work Style Reform

Working Environment Navigation Tool that visualizes the issues existing in the customer's working environment

Working Environment Navigation Tool that visualizes the issues existing in the customer's working environment

Seizing a business opportunity in the trend for work style reform, which many companies are striving for, KOKUYO started the Work Style Reform Suggestion Committee (nicknamed "Action to Change Workstyle" (ACW)) together with retailers who are KOKUYO Jewelry Members (KJM)*. The most important goal of this committee is to strengthen the relationship between retailers and customers, resulting in sustained growth for both KOKUYO and the retailers. Between April and May 2017, ACW Kick-off meetings were held at five locations. Afterwards, a forum was held at 29 locations throughout Japan to explain specific activity details to the sales staff of the retailers that had agreed with the objectives of the ACW. The ACW has also prepared a variety of mechanisms to support retailers' sales activities, such as tools for effectively drawing out customer issues and needs, and workshops to improve proposal-making skills.

There have been strong public calls regarding the importance of work style reform and initiatives to achieve it. However, while many IT tools and various systems for preventing overwork are being introduced, working-level people are increasingly complaining that efforts toward work style reform have not produced any results and that the situation has actually gotten worse. Therefore, the ACW will proceed with proposal-making activities to achieve a working environment that is truly friendly to workers and in which both efficiency for the company and comfort for individual workers can be achieved so that individuals and teams can demonstrate creativity. The process will begin with reform of the working environment (working space), which directly affects the mindset and actions of workers, as well as tools (stationery and furniture necessary for working), and operation (the 5S rule, etc.).

* A system to rank and incentivize retailers who sell more than a certain amount of KOKUYO products based on annual sales.

Basic Concepts

Building Stronger Relationships of Trust with Our Suppliers

As corporate activities are becoming more globalized, KOKUYO Group is well aware that managing its own company and subsidiary companies is insufficient for fulfilling the scope of social responsibility. In 2013, the Group therefore invited 32 principal subcontractors to give an account of the procurement policy and implemented a self-examination questionnaire for feedback to the subcontractors. In 2014, we sent the basic procurement policy and guidelines to nearly 400 suppliers. We will strive to further build relationships of trust through these activities.

KOKUYO Group's Procurement Policy

The KOKUYO Group shares its Corporate philosophy of "Enrich the world though our products" with its suppliers and, while working to create relationships of mutual understanding and confidence as well as fulfilling its social responsibility, continues to contribute to social development.

Pursuit of Quality and Safety
The Group strives to maintain its position as the first choice of its customers, while responding to the special needs of various countries and regions as well as pursuing the highest standards of quality and safety.
Mutual Development
The Group respects and observes the regulations as well as social norms of various countries and regions, while also conducting fair and transparent transactions, as it works to structure sincere relationships of mutual trust and achieve mutual development.
Respect for Human Rights
The Group understands the culture and business customs of various countries and regions in the aim of creating a society where the rights of all people are respected.
Environmental Protection and Symbiosis with Local Community
The Group takes environmental protection initiatives on a global scale and, by actively participating in the life of the community and acting as a good corporate citizen, seeks to create mutually beneficial relationships with society.

KOKUYO Group Procurement Guidelines

The Kokuyo Group fulfills its social responsibilities throughout its supply chains. To contribute to society through its business activities, the Group has prepared its Kokuyo Group Procurement Policy and the Kokuyo Group Procurement Guidelines.

KOKUYO Group Procurement Guidelines

Project to Link Logitem Delivery Center to Head Office Divisions

At the Fourth Training held on February 15 and 17, participants were divided into two-person teams and tried out assembly work

At the Fourth Training held on February 15 and 17, participants were divided into two-person teams and tried out assembly work

During the relocation of KOKUYO Logitem's head office divisions to the second floor of the KOKUYO headquarters office, an area where employees can actually see and touch KOKUYO products was set up in the middle of the office. Named the "Touch & Look Hub," its purpose is to facilitate linkage between the head office and the delivery center. Here, the "Linking Project"* regularly holds trainings with the goal of helping head office employees to improve their product knowledge and become more familiar with operations that take place at the site (delivery center).

The Linking Project plans to continue holding a variety of training sessions at the Touch & Look Hub to build a mechanism that links the head office with the delivery center.

* The Linking Project is made up of KOKUYO Logitem female employees who worked on workplace environment improvement as part of the "What I'd like to be" project, as well as members of the Future Workshop, which is deliberating future distribution issues related to KOKUYO furniture.

New Product Briefing Held in Hanoi, Vietnam, Inviting Partner Companies

Plaques presented to express appreciation to wholesalers with excellent results in 2016

Plaques presented to express appreciation to wholesalers with excellent results in 2016

On March 2, 2017, KOKUYO Vietnam Co., Ltd. held a meeting in Hanoi to demonstrate new products for FY2017, inviting approximately 130 influential wholesalers and retailers in the northern part of the country. In addition to new product explanations, the meeting introduced the Campus 1 Gia Dinh? Campaign ("1 Gia Dinh?" means "One family?" and is a key policy, chosen with the hope that the manufacturer, wholesalers, and retailers will grow together like a family). Incentive trips to Japan were also introduced and wholesalers with excellent results were recognized by presenting them with plaques.

KOKUYO aims to build strong bonds with distribution partners in Vietnam and grow together to become companies that are cherished by customers.

Events Held to Celebrate the 20th Anniversary of the Founding of KOKUYO Malaysia

Commemorative photo taken for the 20th anniversary with people forming the number

Commemorative photo taken for the 20th anniversary with people forming the number "20"

On April 21 and 22, various events were held, including a 20th anniversary ceremony for KOKUYO Malaysia Sdn. Bhd. In the anniversary ceremony on April 21, commemorative photos were taken and tree planting was carried out with a hope for the future expansion of international business. On the day of the ceremony, the International Business Division also held an ASEAN strategy meeting, attended by representatives from local sales subsidiaries (in Malaysia, Thailand, Singapore, and Indonesia) that had generated record-high profits in 2016, and animated discussions were held for the achievement of further growth.

At the annual dinner* held on April 22, all participants, including guests from Japan, wore traditional Malaysian batik clothing, making the party quite lively and full of enriching interactions.

* A party that Malaysian companies hold once a year and invite their employees to. It is similar to the "forget-the-year party" in Japan.

Subcontractor Meetings Held by Kokuyo's Furniture Business Division

Explanation by Mr. Sakagami, Group Managing Officer and Head of Furniture Business Division

Explanation by Mr. Sakagami, Group Managing Officer and Head of Furniture Business Division

Ceremony to formally recognize superior subcontractors

Ceremony to formally recognize superior subcontractors

Kokuyo's Furniture Business Division holds subcontractor meetings with the executives of major subcontractors twice a year.

In 2017, the meetings were held in May and December. At the May meeting, participants reflected upon the high demand season and shared their forecast for future sales trends. At the December meeting, the furniture business division reflected upon the current financial period, and also explained their policies for the 2018 high demand season and market trends.

In addition, KOKUYO expressed its gratitude by formally recognizing subcontractors that took excellent initiatives. Their initiatives were also presented, enabling us to learn from one another to support our coexistence and co-prosperity, and cooperate to improve the entire furniture business.

In November, a study meeting was held targeting mid-level employees in the design and development departments of subcontractors, to share KOKUYO's approach to market analysis and design concepts in its monozukuri.

"Driver Competition" contest for achieving impressive deliveries

In addition to simulated delivery and assembly, vehicle guiding was newly added as one of the categories in this year's competition In addition to simulated delivery and assembly, vehicle guiding was newly added as one of the categories in this year's competition

In addition to simulated delivery and assembly, vehicle guiding was newly added as one of the categories in this year's competition

Since 2010, KOKUYO Logitem, the company responsible for distribution, has held the Driver Competition involving truck drivers of partner companies and other operators, with the goal of further improving customer satisfaction in the delivery of our furniture products. The level of recognition for this competition has been increasing both inside and outside the company year after year as a platform for fully demonstrating abilities in product assembly and customer service cultivated through everyday efforts. The competition level has also been increasing every year. The theme for the eighth competition held in 2017 was "Thoroughness in Basic Actions." The national final was held on September 9, and the winner among 364 entrants from all over Japan was chosen. The event helped the participants to return to the basics of product delivery and also learn techniques for preventing the increasing number of accidents resulting in property damage.

Stationery Business Conducted an Audit of Subcontractors

The Stationery business has been implementing an audit of subcontractors for the purpose of securing reliability of environmental indicators in product catalogs. In 2017, we conducted a factory audit of 90 companies.

We visit our subcontractors to check for compliance with standards concerning environment-friendliness established by the Green Purchasing Law, etc. The audit follows the audit procedure established by KOKUYO to confirm whether the ratios of used paper and reprocessed resin conform to the standards, whether specified materials that meet the standards aroused in the production process, and whether there are any issues in the legitimacy of materials. In addition, we work with the subcontractors to consider challenges to properly guarantee compliance with environment-conscious standards in the audit.

By exchanging information on examples of cases where reliability with regards to production control was improved, we will strive to ensure the reliability of environmental indicators in the future.

In order to enhance the values that we offer to our customers, we will aim to achieve mutual development based on long-term relationships of trust by sharing our strategies and policies with both our manufacturing and logistics service suppliers periodically.