Annual Review 2017 - International Post Corporation
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Annual Review 2017
Company Precepts
1. We ‘all’ represent the company
2. We deliver with a personal touch
3. We work with gratitude and politeness
Editorial Policy Profile
Having built up long-standing relationships of trust with all of its The special characteristic of management
many and varied stakeholders, the Yamato Group discloses not at the Yamato Group is its “management
only information of a legal nature but also information starts in the field” way of thinking.
considered necessary for the stakeholders. The Yamato Group Formulated in 1931 to serve as its
adopted the policy that such information shall be conveyed founding spirit, the Company’s precepts,
promptly and accurately as well as fairly and equitably. This which have not changed once since the
report focuses primarily on the Group’s business performance TA-Q-BIN services were started in 1976, are
and the initiatives it implemented in the fiscal year ended March positioned as the genesis of the Yamato
31, 2017. Group. The Yamato Group has been
creating unprecedented services that are
needed by society to respond to changes
The Group intends to communicate its medium- to long-term in social structure, markets, and customer
initiatives, including those of the new medium-term management needs (companies and consumers), which
plan, in an additional report to be published in the second half of have been subtly perceived by employees
the fiscal year ending March 31, 2018. in the field on the front line of business.
These efforts have given the Yamato
This report Additional report*
Group of today its competitive edge.
Business performance and Medium- to long-term
initiatives implemented initiatives, including those
in the fiscal year ended of the new medium-term
March 31, 2017 management plan
*T
o be published in the second half of
the fiscal year ending March 31, 2018
Management Philosophy
The Yamato Group helps enrich our society
by enhancing the social infrastructure of TA-Q-BIN networks,
creating more convenient services for comfortable lifestyles,
and developing an innovative logistics system.
Domestic Parcel Delivery TA-Q-BIN Annual Delivery Volume Sales Drivers
Market Share
46.9%
No. 1 1.8
billion parcels
Approx.
60,000
Proportion of Japan Covered by Employees TA-Q-BIN Centers
TA-Q-BIN Network
Approx. Approx.
100% 200,000 6,000*
* Number of organizations
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 01
Performance Highlights
Operating Revenues Operating Income
(¥ billion) (¥ billion)
1,600 1,466.8 80
1,200 60
800 40
34.8
400 20
0 2013/3 2014/3 2015/3 2016/3 2017/3 0 2013/3 2014/3 2015/3 2016/3 2017/3
Delivery Business Non-delivery Businesses
The TA-Q-BIN delivery volume increased in the Delivery Business due to Amid tight labor market conditions, costs to secure labor capacity to respond
expansion of the e-commerce market and an increase in delivery volume via to increased business volume rose, and payments for specially acknowl-
flea market websites. In addition, existing services in non-delivery businesses edged working hours were additionally recognized. As a result, operating
showed a solid performance. As a result, operating revenue rose 3.6% year income declined 49.1% year on year, to ¥34.8 billion.
on year, to ¥1,466.8 billion.
TA-Q-BIN Delivery Volume / Net Income Attributable to Owners of Parent / ROE
TA-Q-BIN Unit Price Growth Rate (YoY)
(Millions of parcels) (%) (¥ billion) (%)
1,867
2,000 8 45 9
1,000 4 30 6
18.0
0 0 15 3.4% 3
(3.3)%
(1,000) 2013/3 2014/3 2015/3 2016/3 2017/3 (4) 0 2013/3 2014/3 2015/3 2016/3 2017/3 0
TA-Q-BIN Delivery Volume (left scale) TA-Q-BIN Unit Price Growth Rate (YoY) (right scale) Net Income Attributable to Owners of Parent (left scale) ROE (right scale)
In addition to increased delivery volume centered on large-lot shipments for Net income attributable to owners of parent fell 54.2% year on year, to ¥18.0
e-commerce business operators, there was a rise in delivery volumes via flea billion. Accordingly, ROE declined 3.7 percentage points compared with the
market websites, which are driving growth in the C2C market. In light of these previous fiscal year and stood at 3.4%.
factors, overall TA-Q-BIN delivery volume was up 7.9% year on year, to 1867
million parcels. On the other hand, the TA-Q-BIN unit price growth rate was
down 3.3% year on year, due to a change in the composition of delivery volume.
Operating and Investing Cash Flows / Free Cash Flows* Total Shareholders’ Equity / Shareholders’ Equity Ratio
(¥ billion) (¥ billion) (%)
100
73.3
600 539.1 60
80
60
40 400 55
20 (0.6)
0
(20) 200 50
(40) 48.4%
(60) (73.9)
(80) 2013/3 2014/3 2015/3 2016/3 2017/3 0 2013/3 2014/3 2015/3 2016/3 2017/3 0
Cash Flows from Operating Activities Cash Flows from Investing Activities Total Shareholders’ Equity (left scale) Shareholders’ Equity Ratio (right scale)
Free Cash Flows
Despite net cash provided by operating activities increasing ¥23.6 billion year Despite basic net income attributable to owners of parent that was lower than
on year, free cash flows were down ¥20.1 billion due to a ¥43.7 billion initial expectations, we carried out dividend payments and acquired treasury stock
decrease in net cash used in investing activities year on year. in accordance with the Group’s capital policies. As a result, the shareholders’
equity ratio decreased 1.0 percentage point year on year, to 48.4%.
* Free Cash Flows = Cash Flows from Operating Activities + Cash Flows from Investing Activities
02 YAMATO HOLDINGS CO., LTD.
Annual Review 2017
Contents
ABOUT THE YAMATO GROUP
02 Performance Highlights
04 Organization
05 Business Performance Overview
OVERVIEW OF OPERATIONS
06 Overview of Operations by Segment
06 Delivery
08 BIZ-Logistics
09 Home Convenience
10 e-Business
11 Financial
12 Autoworks
13 Other Services
ESG
16 Yamato Group: Creating Shared Value (CSV) Initiatives
20 Corporate Governance
23 Directors / Audit & Supervisory Board Members / Executive Officers
FINANCIAL SECTION
26 Ten-Year Summary and Business Highlights
28 Consolidated Balance Sheet
30 Consolidated Statement of Income
31 Consolidated Statement of Comprehensive Income
32 Consolidated Statement of Changes in Equity
33 Consolidated Statement of Cash Flows
34 Notes to Consolidated Financial Statements
54 Independent Auditor’s Report
55 Corporate Data / Stock Information
Forward-Looking Statements
This annual review contains forward-looking statements concerning Yamato Holdings’ future plans, strategies, and performance.
These statements represent assumptions and beliefs based on information currently available and are not historical facts.
Furthermore, forward-looking statements are subject to a number of risks and uncertainties that include, but are not limited to, economic
conditions, customer demand, foreign currency exchange rates, tax laws, and other regulations.
Yamato Holdings therefore cautions readers that actual results may differ materially from these predictions.
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 03
Organization
As of March 31, 2017
n Consolidated subsidiarie l Non-consolidated subsidiaries
◆ Equity-method affiliates
n Yamato Transport Co., Ltd.
n Okinawa Yamato Transport Co., Ltd.
n Yamato Global Express Co., Ltd.
n Express Network Co., Ltd.
Delivery n Yamato Dialog & Media Co., Ltd.
n Yamato Contact Service Co., Ltd.
n Yamato Staff Supply Co., Ltd.
n Yamato (China) Transport Co., Ltd.
Packcity Japan Co., Ltd.
n Yamato Logistics Co., Ltd.
n Yamato Global Logistics Japan Co., Ltd.
n Yamato Multi-Maintenance Solutions Co., Ltd.
n Yamato Packing Service Co., Ltd.
n Yamato Packing Technology Institute Co., Ltd.
n Konan Industry Co., Ltd.
n Yamato Transport U.S.A., Inc.
n Yamato Transport Europe B.V.
n Yamato International Logistics Co., Ltd.
BIZ-Logistics n Yamato Logistics (Hong Kong) Ltd.
n Taiwan Yamato International Logistics Inc.
n Yamato Transport (S) Pte. Ltd.
n Yamato Transport (M) Sdn. Bhd.
l Yamato Transport Mexico S.A. de C.V.
l Shanghai Wai Gao Qiao Bonded Logistics Zone Yamato Warehouse Co., Ltd.
l Yamato Logistics India Pvt. Ltd.
l PT. Yamato Indonesia
Yamato Holdings Co., Ltd. l Yamato Logistics Vietnam Co., Ltd.
l Yamato Tidiki Express Pte. Ltd.
l CKE Transport Agency Sdn. Bhd.
l 3 other companies
GD Express Carrier Bhd.
Guangzhou Wisepower Transportation & Distribution Group Co., Ltd.
11 other companies
Home Convenience n Yamato Home Convenience Co., Ltd.
n Yamato System Development Co., Ltd.
e-Business
n Yamato Web Solutions Co., Ltd.
n Yamato Financial Co., Ltd.
Financial n Yamato Credit & Finance Co., Ltd.
n Yamato Lease Co., Ltd.
n Yamato Autoworks Co., Ltd.
n Yamato Autoworks Iwate Co., Ltd.
Autoworks n Yamato Autoworks Hokushinetsu Co., Ltd.
n Yamato Autoworks Shikoku Co., Ltd.
n Yamato Autoworks Okinawa Co., Ltd.
n Yamato Asia Pte. Ltd.
n BoxCharter Co., Ltd.
n Yamato Box Charter Co., Ltd.
Other Services n Yamato Management Service Co., Ltd.
n Yamato Multi Charter Co., Ltd.
n Kobe Yamato Transport Co., Ltd.
n Yamato Investment (Hong Kong) Ltd.
l Swan Co., Ltd.
Note: In June 2016, Yamato Transport (HK), Yamato International Logistics (Hong Kong), and
Yamato Payment Service (HK) merged to establish Yamato Logistics (HK).
04 YAMATO HOLDINGS CO., LTD.
Annual Review 2017
Business Performance Overview
Year Ended March 31, 2017
In the fiscal year ended March 31, 2017, operating revenue Operating income decreased by ¥33.6 billion year on year.
increased by ¥50.4 billion year on year. With respect to the The decrease was primarily attributable to factors such as high
Delivery Business, the increase was due to growth in the mail- costs incurred for securing workforce capacity to handle
order market as well as an increase in TA-Q-BIN delivery higher operating volume amid a tightening labor market, and
volume amid growth of the TA-Q-BIN Compact and Nekopos also attributable to having recorded payments for specially
services largely stemming from business via flea market web- acknowledged working hours additionally recognized.
sites. With respect to the non-delivery businesses, the increase
was primarily due to firm results from existing services.
Operating Revenues by Business
(¥ billion)
1,600
1,200
800
400
0 2012/3 2013/3 2014/3 2015/3 2016/3 2017/3
Delivery BIZ-Logistics Home Convenience e-Business Financial Autoworks Other
Operating Income (Loss)*
(¥ billion)
100
80
60
40
20
0
(20) 2012/3 2013/3 2014/3 2015/3 2016/3 2017/3
Delivery BIZ-Logistics Home Convenience e-Business Financial Autoworks Other
* Before consolidation adjustments
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 05
Overview of Operations by Segment
Delivery
With the goal of being one of Japan’s “most recognized and most endeared
companies,” the Delivery Business is engaged in business development
centered on TA-Q-BIN services to help enrich society.
Composition Ratio of Operating Revenues A Look Back on the Year Ended March 31, 2017
• Delivery volume grew due to such factors as the continued rise in sales
to mail-order business operators and efforts to increase use of the
TA-Q-BIN Compact and Nekopos services
78.5% • Promoted collaboration with multiple flea market websites, thereby
offering delivery services at a greater number of access points
• Established a system to improve the workplace environment and
reform working arrangements for employees with the aim of securing
labor capacity in response to the significant rise in parcel volume,
Breakdown of the Composition Ratio
which has been brought about by the recent rapid expansion of the
of Operating Revenues
e-commerce market, and the tightening labor market
■ TA-Q-BIN 71.4%
■ Kuroneko DM-Bin 5.8% • Cost increase due to external factors such as a rise in labor costs,
including those involving outsourcing workforce in order to maintain
■ Express 2.9%
service quality, and the expansion of size-based enterprise tax
■ Others 6.8%
• Payments for specially acknowledged working hours were additionally
recognized
• As a result of the above, operating revenue increased while operating
income decreased
Operating Revenues (¥ million)
1,200,000
Commenced Operation of Open-Type Parcel Lockers
Recently, nearly 20% of packages
800,000 delivered to homes end up
having to be re-delivered, and
400,000 reducing the number of
re-deliveries has become a
0 2013/3 2014/3 2015/3 2016/3 2017/3 significant issue for the entire
home delivery industry. To
address this issue and improve the level of convenience for users
of our services, we established the joint venture Packcity Japan
together with the France-based Neopost Group in May 2016 and
Operating Income (¥ million) commenced the operation of open-type parcel lockers that can
45,000
be used jointly by numerous operators. By establishing parcel
lockers in train stations and other locations to serve as not only
30,000 a destination for re-delivery when the recipient is not at home
but also as a delivery point for products purchased through
15,000 e-commerce websites, we make it possible for users to receive
their packages in a way that best fits their individual lifestyle and
0 2013/3 2014/3 2015/3 2016/3 2017/3 contribute to reducing the percentage of re-deliveries. By the end
of the fiscal year ending March 31, 2018, we intend to establish a
total of 3,000 parcel lockers, primarily in the Tokyo metropolitan
area. In the second half of the fiscal year, we will further enhance
the convenience and usability of this service in such ways as
incorporating a feature that allows users to not only receive
packages but also send them.
06 YAMATO HOLDINGS CO., LTD.
Annual Review 2017
Overview of Operations by Segment
Structural Reforms in the Delivery Business
The environment in which the Yamato Group operates is To meet the expectations of society as a whole, starting
rapidly becoming more and more severe due a variety of with our customers, and realize growth well into the future,
factors, including the greater-than-anticipated increases there is a need to implement management that prioritizes
in TA-Q-BIN delivery volumes, which have been brought efforts geared toward placing top priority on “heightening
about by the rapid expansion of the e-commerce market, employee satisfaction” through efforts that involve
and the tightening labor market. Under such circum- overhauling the workplace into a more upbeat working
stances, the employee working environment has been environment for employees, thereby allowing us to
deteriorating amid a situation where we have been falling provide high-quality, highly efficient services. To this end,
behind with respect to our efforts to build an operational we will take steps to create an environment that allows our
framework. employees to work with peace of mind, focusing on improving
After conducting investigations of employee working and implementing thorough labor management as well
hours centered on the sales drivers at our TA-Q-BIN as encouraging a work-life balance and other means of
centers, one issue we discovered is that a large number reforming working styles. In these ways, we will forge a
of employees were unable to report the fact that they robust corporate culture.
did not take long enough breaks. In response to this issue,
payments for specially acknowledged working hours were
additionally recognized.
In light of the current business environment, we have decided on the details regarding the structural reforms we will make
in our Delivery Business, which represents the Yamato Group’s core operating business, based on management that
emphasizes reforming working styles.
Details on Structural Reforms in the Delivery Business
1. Improving and developing employee working environment 4. Boosting efficiency by enhancing the “last mile” network
• Thoroughly implement and improve labor management • Accelerate the introduction of open-type parcel lockers and
• Modify service level for TA-Q-BIN enhance services
• Make pickup and delivery operations more sophisticated
through the use of IT
2. Placing controls on total TA-Q-BIN volume • Enhance the Kuroneko Members service
• Make requests to large-lot customers • Introduce discount shipping rates to individual customers who
• Examine the introduction of a pricing system for corporate cooperated in improving the efficiency of the “last mile” network
clients
5. Revising TA-Q-BIN basic fees and respective service standards
3. Optimizing the entire TA-Q-BIN delivery network • Revise basic fees for TA-Q-BIN
• Revise standards for Ski TA-Q-BIN, Golf TA-Q-BIN, suitcase
• Realize high-frequency, trunk-route transportation between deliveries, and other services
Atsugi Gateway, Chubu Gateway, and Kansai Gateway • Newly establish discount programs for individual customers
• Promote automation at our large-scale integrated bases who cooperate with improving the efficiency of pickup and
delivery operations, including digital discounts
• Newly develop a direct delivery service to TA-Q-BIN centers
Going forward, we will persist with efforts to further develop our “last mile” network, including open-type parcel lockers and
convenience store delivery, primarily in urban areas, as well as the establishment of networks that specialize in mailbox
services and services that address the needs of customers who wish to send packages outside of operating hours. In doing
so, we aim to realize further growth in the Delivery Business.
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 07
Overview of Operations by Segment
BIZ-Logistics
Guided by the slogan of “LOGINNOVATION,” which encapsulates its goal of
achieving logistics innovation, the BIZ-Logistics Business devotes its efforts to
satisfying and inspiring the Yamato Group’s corporate customers, as well as the
consumers they serve, through the creation of innovative logistics solutions.
Composition Ratio of Operating Revenues A Look Back at the Year Ended March 31, 2017
• Favorable results from services related to B2B logistics
• Actively promoted sales in such ways as acquiring new customers for
services that help revolutionize logistics operations, including
7.4% medical device loaner support (storage, cleaning, and delivery) for
medical service providers
• Sluggish movement of goods in the trading logistics services of the
overseas business
Breakdown of the Composition Ratio • Number of recalls decreased for multi maintenance services
of Operating Revenues compared with the previous fiscal year
■ Trading logistics service 2.4% • As a result of the above, operating revenue rose while operating
■ Sales and Logistics 2.8% income declined
■ Multi maintenance 0.9%
■ Products Logistics* 0.3%
■ Others 3.0%
*S
tarting with fiscal year ended March 31, 2017, the name of
“Export Factory” has been changed to “Products Logistics.”
Total Support for Japanese Companies Entering the
Operating Revenues (¥ million) E-Commerce Industry in China
120,000
At Yamato Global Logistics
Japan Co., Ltd., which provides
80,000
international logistics services,
we commenced one-stop
40,000
support services for Japanese
companies utilizing JD
0 2013/3 2014/3 2015/3 2016/3 2017/3 Worldwide, a cross-border
e-commerce platform in China
that handles Japanese products. These services cover everything
from setting up stores to displaying and delivering products.
Collaborating with the major Chinese e-commerce mall operator
Operating Income (¥ million)
JD.com, Inc. and with JD.com’s official partner in overseas
6,000
e-commerce malls FRANK, we are providing guidance to
Japanese manufacturers, retailers, and e-commerce business
4,000
operators on opening stores and displaying products on JD.com’s
e-commerce websites. In addition, by leveraging the parcel
2,000
shipping service Yamato China Direct, products can be shipped
from designated warehouses in Japan to buyers in China in as
0 2013/3 2014/3 2015/3 2016/3 2017/3 little as four days. This service allows sellers and store operators
to totally outsource operations, from backyard operations to store
management and delivery to end users. The service also allows
buyers to easily purchase Japanese products via the Internet.
08 YAMATO HOLDINGS CO., LTD.
Annual Review 2017Overview of Operations by Segment
Home Convenience
We provide lifestyle support services that help solve inconveniences at home.
In addition, leveraging our networks, we provide a range of solutions to
corporate customers in both the private and public sectors to support sales
growth and help reduce costs.
Composition Ratio of Operating Revenues A Look Back at the Year Ended March 31, 2017
• Solid results from the Comfortable Lifestyle Support Service and other
services that help address everyday inconveniences, including those
relating to house cleaning, home organization and storage, and
purchase of unwanted items
3.4%
• Actively promoted sales of procurement services for return goods
from Furusato Nozei (a tax scheme that allows taxpayers to divert part
of their residential tax to a specified local government) and other
goods, as well as office support services
Breakdown of the Composition Ratio
• Decreased sales in the “Technical Network Business” due to the
of Operating Revenues
shrinking market in household-energy equipment as well as a
■ Home convenience 2.9%
decrease in highly profitable one-off projects
■ Business convenience 1.2%
• As a result of the above, operating revenue was up while operating
■ Technical Network 0.3%
income was down
Commenced Operations of Home Appliances
Operating Revenues (¥ million) Recycling Service
60,000
In October 2016, we commenced
operations of the Kuroneko Home
40,000
Appliances Recycling Service in
collaboration with authorized
20,000 home appliance business
operators. This service allows
0 2013/3 2014/3 2015/3 2016/3 2017/3 customers to recycle electrical
appliances that are covered under the Home Appliance
Recycling Act at the same time as they use other Yamato Home
Convenience services such as moving services, the Comfortable
Lifestyle Support Service, and the Raku Raku Household TA-Q-Bin
Operating Income (¥ million)
E-Commerce Total Support Service. Leveraging the know-how we
1,200
have cultivated in moving services and household goods delivery,
this service handles all aspects of home appliance recycling,
600
from the pickup of electronic appliances and transport to the
nearest collection center to product confirmation and delivery to
0 recycling facilities. In these ways, the service eliminates the need
for customers to recycle items through separate collection
(600) 2013/3 2014/3 2015/3 2016/3 2017/3 services or transport large electronic appliances to recycling
facilities themselves.
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 09Overview of Operations by Segment
e-Business
Supported by ICT (Information and Communication Technology), the
e-Business will incorporate the “Value Networking” design and provide optimal
solutions that combine logistics functions with financial settlement functions
to contribute to customers’ business development.
Composition Ratio of Operating Revenues A Look Back at the Year Ended March 31, 2017
• Continued strong results from the “Setup and Logistics Solution
Business,” which is geared toward mobile virtual network operators
(MVNOs)
3.1% • Centered on existing large-lot customers, use of the Web-Based
Shipment Control Service, which provides comprehensive support for
such operations as dispatch information processing, printing of
delivery slips, and freight tracking, increased on the back of growth in
the e-commerce market
Breakdown of the Composition Ratio
• As a result of the above, both operating revenue and operating income
of Operating Revenues
increased
■ e-logistics solution 0.8%
■ Credit card solution 0.7%
■ IT operating solution 0.5%
■ Web-based mail order solution 0.4%
■ Others 3.7%
Providing Cutting-Edge Logistics Services Using 3D
Operating Revenues (¥ million) Printers
50,000 The 3D printing market is
40,000 expected to grow further in the
future. For this market, we
30,000
started the provision of the On
20,000
Demand 3D Printing Service, the
10,000 first service in Japan to combine
0 2013/3 2014/3 2015/3 2016/3 2017/3
a nationwide speedy
transportation network with 3D printing functions. We also
established the 3D Printing Center at Haneda Chronogate, which
provides made-to-order products and mixed model/low-volume
production services needed by business operators on a one-stop
Operating Income (¥ million)
basis, covering everything from the creation of 3D printing data
12,000 to molding and product delivery. At the moment, the center
primarily handles products for medical use, such as therapeutic
9,000
equipment and 3D models. The services the center provides
6,000 allow for substantial reductions in both production time and
delivery time.
3,000
Going forward, we hope to expand such services beyond
0 2013/3 2014/3 2015/3 2016/3 2017/3 products for medical use to include such areas as made-to-order
trial products for manufacturers. At the same time, we will set
our sights on entering markets in overseas countries, starting
with the ASEAN region.
10 YAMATO HOLDINGS CO., LTD.
Annual Review 2017Overview of Operations by Segment
Financial
Providing settlement and financial solutions in Japan and overseas, the
Financial Business aims to become a cooperative partner that realizes
consumer convenience and business operator logistics reform, while striving
to respond to a variety of settlement means.
Composition Ratio of Operating Revenues A Look Back at the Year Ended March 31, 2017
• Encouraged use of Kuruneko Web Collect and Kuroneko Pay After
Delivery services with customers who use TA-Q-BIN collect
• Generated steady results in the lease services businesses with respect
5.3% to financial leases, primarily involving trucks, and installment sales
• For e-money related services, promoted efforts to increase sales
generated by our Multi e-money Settlement Terminals Rental Service
• Stagnant growth in the payment business (formerly the TA-Q-BIN
Collect business) due to the shrinking market for cash-on-delivery
Breakdown of the Composition Ratio
settlements
of Operating Revenues
■ Payment* 2.5% • As a result of the above, operating revenue rose while operating
■ Lease 2.5% income declined
■ Credit & Finance 0.2%
■ Others 0.3%
*S
tarting with the fiscal year ended March 31, 2017, the name of
TA-Q-BIN Collect has been changed to “Payment”
Offering New Payment Functions in Collaboration with
Operating Revenues (¥ million) Fintech Operators in Malaysia
80,000
The e-commerce market in
60,000 Malaysia is expanding rapidly,
with an average annual growth
40,000
rate of 17%. At Yamato Financial
20,000
Co., Ltd., we are collaborating
with the Malaysian Fintech
0 2013/3 2014/3 2015/3 2016/3 2017/3 operator Soft Space Sdn. Bhd. and
began providing new payment functions that leverage “mPOS”*,
which settles payments using smartphones and tablets, in
October 2016. These functions help meet the needs of
e-commerce business operators in Malaysia. Through the
Operating Income (¥ million)
introduction of “mPOS” in the Credit Card On Delivery Service
12,000
offered by Yamato Transport (M) Sdn. Bhd., we are making it
9,000 possible to simultaneously conduct deliveries and settle
payments. This, in turn, helps eliminate buyer uneasiness
6,000
regarding settling payment before a product is delivered and
3,000 realizes smooth payment and receipt at the entrance of a buyer’s
residence. In addition, by offering buyers a wide range of payment
0 2013/3 2014/3 2015/3 2016/3 2017/3 options, we are increasing opportunities for repeat and additional
sales, thereby helping to improve the sales levels of distributors.
* Abbreviation for “mobile point of sales.”
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 11Overview of Operations by Segment
Autoworks
Based on a vision to transform our vehicle maintenance services into
the No. 1 autoworks for logistics and distribution business operators, the
Autoworks Business is developing a vehicle maintenance service offered
around the clock, 365 days a year without downtime.
Composition Ratio of Operating Revenues A Look Back at the Year Ended March 31, 2017
• Increased number of vehicles serviced due to the aggressive
promotion of Repairworks road service, which entails periodic on-site
customer visits
1.7% • Unit price of fuel declined and initial investment in new services was
carried out
• As a result of the above, operating revenue rose while operating
income declined
Breakdown of the Composition Ratio
of Operating Revenues
■ Truck solution 3.2%
■ Others 0.5%
Promoting Accident Prevention with the
Operating Revenues (¥ million) Repair Network
30,000
In terms of vehicle repair, a
service that is evolving on a
20,000
day-to-day basis, the workload
of service operators is gradually
10,000 increasing due to such factors
as the strict adherence to legal
0 2013/3 2014/3 2015/3 2016/3 2017/3 inspections, repairs resulting
from the wide variety of car models of numerous manufacturers,
and declining vehicle maintenance costs. At Yamato Autoworks
Co., Ltd., to address such issues through a one-stop process, we
added a service within our Repairworks road service, which
Operating Income (¥ million)
handles customer inquiries by visiting their offices with purpose-
4,000
built trucks equipped with maintenance equipment. This newly
3,000 added service, entitled Repair Network, involves regular visits by
expert licensed mechanics and is being offered at all our plants
2,000
across Japan. In addition to steadily implementing legal
1,000 inspections, Repair Network also conducts regular service and
inspections to predict and prevent accidents. In these ways,
0 2013/3 2014/3 2015/3 2016/3 2017/3 Repair Network supports the continuous operation of safe
logistics.
12 YAMATO HOLDINGS CO., LTD.
Annual Review 2017Overview of Operations by Segment
Other Services
Through Other Services, we provide a broad range of shared services
such as the arterial rout transportation business and the box charter
business. The JITBOX Charter service provides transportation by
transport box. The service takes advantage of a network consisting of
multiple companies and provides added value to customers through
timely delivery and frequent, right-volume delivery. In the fiscal year
ended March 31, 2017, service use grew steadily due to favorable
results with respect to chilled transport and other optional services,
in addition to existing services.
Excluding dividends that Yamato Holdings Co., Ltd., received from
the Group companies, operating income in Other Services increased
3.5% from the previous year, to ¥2,182 million.
JITBOX Charter
Operating Income Track Record of JITBOX Charter
(¥ million) (Units)
35,477 800,000
36,000 730,479
630,173
30,000
26,515 600,000 552,645
23,940
24,000
400,000
2,108 2,182
2,000
1,500
200,000
1,145
1,000
500
0 2015/3 2016/3 2017/3
0 2015/3* 2016/3 2017/3
Including Yamato Holdings Excluding Yamato Holdings
*A
mounts for the fiscal year ended March 31, 2015, have been reclassified to the
reportable segments for the fiscal year ended March 31, 2016.
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 13ESG
Yamato Group: Creating Shared Value (CSV) Initiatives
Based on the concept of Creating Shared Value (CSV), which involves realizing both economic and social value as a
company while addressing the needs of customers, the Yamato Group is collaborating with local governments
nationwide in an effort to create a totally new business structure.
Establishment of the Next Delivery SQUARE in
the Fujisawa Sustainable Smart Town
Making life more comfortable through smart, eco-friendly distribution services
In November 2016, Yamato Transport Co., Ltd. opened the Next In addition, Yamato Transport employees are conducting
Delivery SQUARE in the Fujisawa Sustainable Smart Town programs for children attending kindergartens and elementary
(hereinafter, Fujisawa SST).* The Next Delivery SQUARE serves and junior high schools located near Fujisawa SST that convey
as an infrastructure for comprehensive distribution for all of knowledge on traffic safety and the importance of having a job.
Fujisawa SST. By providing total support for the day-to-day Through efforts such as these, Yamato Transport employees
needs of residents of Fujisawa SST in such ways as on-demand are working to establish sustainable communities within
distribution, the Next Delivery SQUARE is contributing to more Fujisawa SST.
convenient, comfortable, and secure lifestyles. In doing so, the Going forward, we will create new ideas grounded in the con-
Next Delivery SQUARE is helping Fujisawa SST, which encour- cept of improving the quality of life for Fujisawa SST residents,
ages sustainable lifestyles, progress its transformation into a including the introduction of systems that allow residents to
more open, easy-to-live-in town. confirm where a sales driver is and about how long it will take
* Fujisawa SST is a “smart town” in Fujisawa City, Kanagawa Prefecture, that aims for the driver to arrive, as well as unmanned facilities that
for sustainable town development over the next 100 years by encouraging sus- enable parcel pickup even late at night.
tainable lifestyles for its residents and introducing new services and technologies.
Overview of the Next Delivery SQUARE
Packages in Fujisawa SST were previously delivered via different door-to-door delivery service providers. Through the Next Delivery SQUARE,
Yamato Transport provides a centralized delivery service that makes it possible to deliver packages all at once without having to rely on separate
service providers. In addition, the Next Delivery SQUARE integrates all package information and offers delivery notification services through smart
TVs installed in all residences in Fujisawa SST. These services transmit all scheduled deliveries for the day and inform residents if a package has
arrived while they were away from home. As residents are able to change delivery dates and times and designate delivery locations on the smart TV
screen, they no longer need to spend time and effort contacting each individual courier company to receive packages separately. This in turn
enables eco-friendly and smart home deliveries.
Before After
Package information
• Scheduled delivery time
• Notification of absence
Company A Company A
Destination A
Destination A
Next
Company B Company B Delivery
SQUARE
Company C Company C
Changing date,
time, etc.
Destination B
Destination B
14 YAMATO HOLDINGS CO., LTD.
Annual Review 2017Society
Change: Advance of social issues, such as Japan’s decreasing birthrate and aging population
Promotion of CSV in Cooperation with Local Communities (Project G)
In aiming to become the “company most loved and trusted by society,” the Yamato Group is promoting Project G,
which engages in revitalizing local communities and resolving issues in cooperation with local governments and
local government agencies. Project G’s solutions include expanding the sales channels for specialty products and
watch-over service support for the elderly all over Japan.
Number of Project G Solutions: 1,971 (As of June 30, 2017)
As of June 30, 2017
Breakdown of the 368 Project Agreements with Local Governments
Watch-over support 145 Disaster relief support 117
Shopping support services 20 Hometown tax payments 8
Product support services 15 Combined passenger-cargo operations using buses 6
Tourism promotion support 20 Comprehensive support 13
Event support 6 Other 18
Concluded Agreement with the Tokyo Metropolitan Expanding the Development of Combined Passenger-Cargo
Government to Support the Elderly Operations — TA-Q-BIN Transportation via Bus Routes
To realize local communities in which elderly people and their Our combined passenger-cargo operations represent efforts to
families can continue to live comfortably and with peace of switch over a certain portion of truck transportation to trans-
mind, Yamato Transport entered into an agreement with the portation via bus by removing a number of seats from buses to
Tokyo Metropolitan Government to help support the elderly. make room for cargo. These efforts help bus operators secure
Under this agreement, our sales drivers will not only watch over new sources of revenue to help maintain bus routes. For local
elderly residents, they will also provide support to elderly governments in mountainous areas where the population has
people suffering from dementia and their families by notifying aged and decreased, these efforts help maintain and improve
relevant institutions in cases where they observe signs of fraud lifestyle services for local residents through stable public trans-
or other acts that harm consumers. In doing so, our drivers will portation. These efforts also increase the amount of time our
help address local issues and invigorate local communities. sales drivers spend in local communities, thereby allowing
them to provide services that are more connected to local com-
munity needs. Furthermore, combined passenger-cargo opera-
Watching Over Elderly People Living Alone tions help us reduce our environmental burden.
In communities where the population has aged and These operations, which commenced in 2015 in Iwate
decreased, Yamato Transport is drawing on its TA-Q-BIN Prefecture, have now been expanded to cover Miyazaki,
network in collaboration with local governments to moni- Hokkaido, Kumamoto, and Hyogo prefectures. In addition,
tor the health, safety, and other conditions of elderly people starting from January 2017, we began bus operations in
living by themselves in a convenient and low-cost manner. Miyazaki Prefecture that allow for Cool TA-Q-BIN transporta-
Yamato Transport is expanding these efforts to watch over tion using special refrigerated boxes.
the elderly on a nationwide basis.
We are also working with local governments to regularly
deliver periodicals and other materials, and we summarize
and report the results of these deliveries to local govern-
ment agencies. For communities with a large number of
elderly people who have difficulty shopping on their own,
we offer services that provide shopping assistance to the
elderly, in addition to watching over their health. In these
ways, we customize our services based on the issues facing
individual communities.
Bus used in combined passenger-cargo
operations (Miyazaki Prefecture)
Special refrigerated box
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 15ESG
Safety
Safety Measures toward Achievement of Zero Accidents
The Yamato Group deems community streets and roads as the places to carry out its business activities. Based on our
corporate stance of thorough safety management that keeps respect for human life as its top priority, the Group
thoroughly adheres to its philosophy of placing safety first and business second to maintain respect for human life
as a priority at all times.
Safety Management Disclosure Information Ingraining Safety Awareness into Employees
With ensuring the safety of transport business operators as its With the aim of improving the safety driving levels of its
goal, the Yamato Group has built up a transport safety professional drivers, maintaining Companywide safety
management system, based on the Transport Safety awareness, and improving driving techniques, Yamato
Management System stipulated by the Ministry of Land, Transport holds the Yamato Transport Nationwide Safety Meet.
Infrastructure, Transport and Tourism, and remains actively At the Sixth Annual Yamato Transport Nationwide Safety Meet
involved in its implementation. Results for the fiscal year ended held in October 2016, a new category for two-ton multipurpose
March 31, 2017, and part of the goals for the fiscal year ending automatic transmission vans was added to the existing category
March 31, 2018, are listed below. for two-ton multipurpose manual transmission vans to respond
to the increase in the number of drivers who only have licenses
Transport Safety Goals and Achievement Status for vehicles with automatic transmission.
(Yamato Transport Co., Ltd.)
Traffic Accidents
Results for the fiscal year Goal for the fiscal year
Item
ended March 31, 2017 ending March 31, 2018
No. of serious traffic
4 0
accidents
No. of serious work-
0 0
related accidents
Source: Y
amato Transport’s publicly disclosed “Transport Safety Management”
information (Japanese-language only)
Results for the Fiscal Year Ended March 31, 2017
Skill test for driving two-ton multipurpose vehicles
Results for the Fiscal Year Ended March 31, 2017
1. Operating expenses for on-board See-T Navi systems�������������������¥336.0 million
2. L
ong-running no accident commendation awardees amount���������¥604.5 million
Supporting Safety by Thorough Maintenance Management
3. Expenses related to long-running no
accident commendation ceremony���������������������������������������������������¥62.0 million Covering the more than 4,000 pickup and delivery base
4. Expenses related to Nationwide Safety Meet��������������������������������������¥7.1 million locations of the Yamato Group, Yamato Autoworks is
5. Introduction of Event Data Recorders�����������������������������������������������¥62.0 million responsible for 50,000 vehicles and their maintenance
Budget Plan for the Fiscal Year Ending March 31, 2018 inspections. Their major maintenance factories are in
1. Operating expenses for on-board See-T Navi systems�������������������¥312.0 million
operation around the clock throughout the year. Aside from
2. L
ong-running no accident commendation awardees amount���������¥567.0 million
3. Expenses related to long-running no
naturally responding quickly in the event of a breakdown, they
accident commendation ceremony���������������������������������������������������¥71.5 million support the mandatory periodic inspections carried out on
4. Expenses related to Nationwide Safety Meet��������������������������������������¥8.2 million vehicles by collective management throughout the year.
5. Introduction of Event Data Recorders���������������������������������������������¥383.0 million
6. Safety-related training for team leaders����������������������������������������������¥6.0 million
Furthermore, they perform preventive maintenance to carry
out maintenance before breakdowns occur by frequently
Training of Sales Drivers Who Prioritize Safety Above All Else checking the status of vehicles and gathering information.
To train excellent drivers who prioritize safety above all else, the Of the approximately 940 mechanics, the number that hold
Yamato Group has expanded and upgraded its training system automobile inspector qualifications, which enable them to
and engages in the provision of detailed guidance on a daily carry out complete inspections to determine whether vehicles
basis. Yamato Transport drivers hired following a rigorous meet safety standards once maintenance has been completed,
aptitude test receive training when they join the Company that has climbed to 600 (as at March 31, 2017). During maintenance,
includes safety training and other training for approximately the accuracy of inspections is raised by double checks by
one month after they have entered the Company. After earning another mechanic who carries out interim and maintenance
their internal Yamato licenses, they come to the actual business completion inspections.
of driving for the first time. Even after that, they hone their
driving skills through training sessions one year after joining,
regular ride along instruction and on-the-road patrols by safety
experts and managers, and a driving manager aptitude
examination once every three years.
16 YAMATO HOLDINGS CO., LTD.
Annual Review 2017Environment
A Thoroughly Ecological Approach to Transportation to Achieve Cost Reduction
By considering that efforts form part of a corporation’s responsibility to society, the Yamato Group refers to its
environmental conservation initiatives as “Necology.” The Group establishes environment-friendly logistics by
thoroughly ensuring the environmental friendliness of all aspects, especially for packaging, transportation,
and delivery.
Companywide Promotion of Modal Shift Introduction of Semi-trailers and Full Trailers with
As an initiative designed to reduce CO2 emissions, the Yamato New Standards
Group is encouraging all its companies to perform a modal shift With the aim of improving the efficiency of high-frequency,
to utilize railways as their trunk-route transport. The Group’s trunk-route transportation between Atsugi Gateway, Chubu
efforts to bring about an increasing shift away from trucks, by Gateway, and Kansai Gateway, we collaborated with automo-
switching to railways or ships when shipping freight from bile manufacturers to introduce Japan’s first ever van-type
Hokkaido to Kanagawa Prefecture, helped realize a decrease in semi-trailers and full trailers with new standards and a
CO2 emissions of about 285 tons. longer overall trailer length compared with conventional
Following an assessment of this initiative, Yamato received the models. The new semi-trailers have roughly 8% greater load-
Modal Shift Excellent Business Entity Award (New Development ing capacity compared with conventional models, while the
Division) at the 14th Annual Awards Ceremony for Excellent full trailers have approximately 23% greater loading capac-
Business Entities Working on Modal Shift that has the Japan ity. This increase in loading capacity will help us realize
Association for Logistics and Transport as its main sponsor. more efficient high-frequency, trunk-route transportation
and reduce CO2 emissions.
Utilizing Railways and Ships for Long-Distance Transportation
Low-Emission Vehicle Introduction Patterns
Before (Yamato Transport Co., Ltd.)
Base in Sapporo, Individually sorted at (Units)
Hokkaido our plants and ware- 30,000
house in Hokkaido and
delivered to end users 25,229
all over the country 103
25,000 23,218
106
21,109 5,254
110 5,334
20,000 18,903 1,494
113 5,394 53
16,809 1,865
110 5,406
76 5,994
15,000 5,414 2,334
106 5,820
After Utilization of trucks, 2,727
railways, and ships in 118
3,003 5,834
Base in Sapporo, accordance with volume 10,000
Hokkaido and delivery date 140 5,824
12,331
5,833
5,000 7,331 10,017
4,715
2,309
0 2013/3 2014/3 2015/3 2016/3 2017/3
Electric vehicles Low-pressure gas (LPG) New long-term
Base in Yokohama, Delivered via TA-Q-BIN to end Hybrid vehicles vehicles compliance vehicles
Kanagawa users all over the country Compressed natural gas Replacement for new
(CNG) vehicles long-term compliance vehicles
CO2 Emissions from Vehicles (Yamato Transport Co., Ltd.)
Modal Shift Volume Trends (Yamato Transport Co., Ltd.)
(Thousands of tons) 600
600 484 459 458 465 469
387.0 398.7 390.4 379.7 368.9 400
276 282 269
400 252
217
200
200 119.2
106.2 95.8
69.5 65.6
0 1990/3 2014/3 2015/3 2016/3 2017/3
0 2013/3 2014/3 2015/3 2016/3 2017/3 CO2 emissions (thousand t-CO2)*1 CO2 emissions per basic unit (g-CO2)*2
Railway Transportation Waterborne Transportation Notes: *1. F
igures are calculated in accordance with the Ministerial Ordinance on Calculation of
Greenhouse Gas Emissions Arising from Business Activities of Specified Emitters.
*2. CO2 emissions per basic unit = Total CO2 emissions / Number of parcels delivered via
TA-Q-BIN service
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 17ESG
Corporate Governance
For the year ended March 31, 2017
Basic Position on Corporate Governance Characteristics of Corporate Governance System
Based on its corporate philosophy, the Yamato Group carries out (As of July 1, 2017)
business activities in accordance with the law and social norms and System Company with auditors
actively promotes compliance management. Striving to maximize Number of directors 8
corporate value by effectively utilizing the management resources of Outside directors 3
the Group is one of the top priorities of management, and we have Number of Audit & Supervisory Board members 4
implemented measures and bolstered management systems as part Outside auditors 2
of our corporate governance initiative. Term of directors 1
Executive officer system in place Yes
Independent auditor Deloitte Touche Tohmatsu LLC
Corporate Governance Framework
General Meeting of Shareholders
Elect Elect Elect
Nomination and
Audit & Supervisory Compensation
Coordinate Board Audit Committee
Board of Directors
Report Report
Make decisions / Supervise Propose / Report
Independent
Auditor Legal
Executive
Management Committee CSR Division Advisor
Accounting Conference
audit
Report
Execute business Execute business Propose / Report
Internal
audit
Audit Division Group Companies
Concurrent Posts and Main Activities of Outside Directors and Outside Audit & Supervisory Board Members
Attendance at meetings of the
Board of Directors and/or
Independent
Name Concurrent posts Main activities Audit & Supervisory Board
officer
during the fiscal year ended
March 31, 2017
• Adviser of Komatsu Ltd. Toshitaka Hagiwara has ample experience and extensive
• Outside Director of Zensho Holdings Co., Ltd. knowledge as a businessperson, and he comments and
Toshitaka Board of Directors:
YES • Outside Director of Hino Motors, Ltd. advises as needed on all aspects of business management.
Hagiwara 16 of 17 meetings
• Outside Director of Takamatsu Construction Furthermore, his collaboration with the independent auditor
Group Co., Ltd. and the Audit Division enhances governance.
• Vice Chairman of the International University
Masakatsu Mori has ample experience and extensive knowl-
Outside of Japan
edge as a businessperson, and he comments and advises as
Directors Masakatsu • Board of Director of SKY Perfect JSAT Holdings Inc. Board of Directors:
YES needed on all aspects of business management. Furthermore,
Mori • Board of Director of Stanley Electric Co., Ltd. 17 of 17 meetings
his collaboration with the independent auditor and the Audit
• Outside Audit & Supervisory Board Member of
Division enhances governance.
Kirin Holdings Company, Limited
• Outside Director of Happinet Corporation
Mariko
YES • Outside Director of Mitsubishi Materials (Appointed in June 2017) —
Tokuno
Corporation
Hiroyuki Kanae has ample experience in finance and accounting
through his professional experience as a lawyer. Furthermore, Board of Directors:
he attends regular meetings to exchange opinions with the 16 of 17 meetings
Outside Hiroyuki
YES • Partner, Anderson Mori and Tomotsune LPC representative director and president, outside directors, and Audit & Supervisory
Audit & Kanae
Audit and Supervisory Board members, monitoring directors’ Board:
Supervisory execution of duties primarily by asking questions related to 17 of 18 meetings
Board overseas business risk.
members
•R
epresentative of Takashi Yamashita CPA Office
Takashi
YES •O
utside Director of Shin Nippon Biomedical (Appointed in June 2017) —
Yamashita
Laboratories, Ltd.
18 YAMATO HOLDINGS CO., LTD.
Annual Review 2017The Company is a company with an Audit & Supervisory Board. In outside directors, thereby ensuring more robust gathering of
addition to the Board of Directors supervising important manage- information and encouraging teamwork.
ment decision-making and business execution, Audit& Supervisory
Board members and the Audit & Supervisory Board which are inde- Nomination and Compensation Committee
pendent from the Board of Directors shall audit the status of execu- •T he Nomination and Compensation Committee shall comprise
tion of duties by directors. outside directors and the same number or fewer internal directors
with an outside director serving as the committee chair.
Board of Directors • The committee shall deliberate on matters related to the appoint-
n Roles and duties ment or removal of senior management members based on business
• The Board of Directors shall make important decisions concerning performance and multifaceted observations and evaluation, thereby
the Company’s business and supervises the execution of duties by verifying the validity of such decisions, and decide policies on com-
executive directors and executive officers. pensation and other matters related to senior management members.
• The Board of Directors shall recognize the medium-term manage- •T he committee shall propose candidates as successors to the repre-
ment plan as one of the commitments to shareholders and do its sentative director to the Board of Directors, following deliberation
utmost to achieve the goals of the plan. Moreover, the Board of based on multifaceted observations and evaluations of candidates’
Directors shall sufficiently analyze the initiatives aimed at realizing track records, human nature, and other factors, thereby increas-
the goals of the medium-term management plan as well as the ing management transparency.
extent to which the plan’s objectives are being achieved. In addition
to providing explanations to shareholders, such analyses shall be Support Framework for Directors and Audit & Supervisory
reflected in future management plans. Board Members
• The Board of Directors shall encourage executive officers to demon- • The Company shall establish a support framework that enables it to
strate a healthy entrepreneurial spirit and not excessively avoid or provide necessary and adequate information at the necessary time to
curb risk, while at the same time establishing a framework that allow directors to effectively fulfill their roles and duties.
enables it to ensure accountability. •B y participating in key business strategy meetings for the overall
• The scope of responsibility of each executive officer shall be decided Group, such as the “Business Summit,” “Business Conference,” and
by the Board of Directors and disclosed. Executive officers shall “Management Plan Unveiling,” as well as by observing key Group
execute business in accordance with internal regulations. business sites, including those overseas, participants are able to
better understand the business strategies and provide opportunities
n Management to see how these strategies are being advanced.
• To allow Board of Directors meeting attendees the opportunity to •A s a system to help Audit & Supervisory Board members smoothly
prepare for meetings in advance, the Board of Directors secre- perform their duties, employees in the internal audit division shall
tariat shall send agenda items and related materials to directors be appointed to assist Audit & Supervisory Board members.
well in advance of the meeting date and provide explanations in •A udit & Supervisory Board members shall exercise their authority
advance as needed. to perform investigations in accordance with the Companies Act.
• The annual schedule of Board of Directors meetings as well as In addition, if a director or employee discovers a fact that could
anticipated agenda items shall be decided in advance, and this potentially inflict marked damage on the Company, he/she shall
information shall be provided to directors and Audit & Supervisory immediately report this fact to an Audit & Supervisory Board
Board members. member, even if there is no request to do so from an Audit &
• The number of issues to be deliberated as well as the frequency of Supervisory Board member.
meetings shall be appropriately set, and the time of meetings shall • I f a director or Audit & Supervisory Board member believes it to be
be decided so as to allow sufficient time for deliberations. necessary, he/she shall obtain advice from an outside expert at the
• As needed, meetings comprising Board of Directors meeting attend- Company’s expense.
ees shall be held for the purpose of exchanging ideas, thereby • The internal audit division shall regularly hold meetings with the
encouraging lively debate. full-time Audit & Supervisory Board members, and provide audit
• The effectiveness of the Board of Directors shall be evaluated reports in a planned manner to the Board of Directors and the Audit
through questionnaires and interviews performed by the chair. & Supervisory Board, thereby enhancing the provision of informa-
tion to as well as bolstering coordination with outside directors and
Audit & Supervisory Board outside Audit & Supervisory Board members.
n Roles and duties
• The Audit & Supervisory Board and its members shall exercise their Compensation of Directors and
authority actively and proactively, and they shall appropriately state Audit & Supervisory Board Members
their opinions at Board of Directors meetings as well as to members Total by compensation
Total compensation Headcount of eligible
of senior management. Directors and Audit & Supervisory and other
and remuneration
category directors and Audit &
• The full-time Audit & Supervisory Board members shall attend Board members remuneration
(Millions of yen)
(Millions of yen) Supervisory Board
members
Basic compensation
Board of Directors meetings and other important meetings related
Directors
to the execution of business, express reasonable opinions, hold 284 284 4
(excluding outside directors)
effective Audit & Supervisory Board meetings, and ensure that
Audit & Supervisory Board members
information is shared and that members work together in a coordi- (excluding outside Audit & 46 46 2
nated manner. Supervisory Board members)
• The Audit & Supervisory Board shall regularly hold information Outside directors and Audit &
46 46 4
Supervisory Board members
exchange meetings for the purpose of sharing information with
YAMATO HOLDINGS CO., LTD.
Annual Review 2017 19You can also read
