Analysis and evaluation of the effectiveness of the Board of Directors
Issues and initiatives for FY2025
| Areas that required stronger initiatives in FY2025 | Main initiatives in FY2025 |
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| 1) Enrichment of discussion on growth strategy Further increase opportunities for and enrich the discussion on future strategy to facilitate the executive team’s realization of the growth strategy. |
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| 2) Thorough engagement in succession planning Establish a more sustainable management foundation, review and draw up plans to identify and develop talents. |
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| 3) Further upgrading of the “Audit on Audit” framework Fine-tune the audit framework to be better aligned with our Asset Assembler model. |
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Evaluation for FY2025 and issues for FY2026
- Guidelines for conducting FY2025 evaluation
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Evaluation subjects
All Directors for FY2025: 9 persons
Managing Executive Officer, General Counsel (GC): 1 personMethodology
Led by the Board Chair and the Chairperson of the Nominating Committee, we conducted the evaluation survey using a questionnaire while we appointed Towers Watson K.K. (WTW) as an independent third-party evaluator. Based on WTW’s analysis and evaluation of the survey results, the Board of Directors discussed the effectiveness of the Board.
Questionnaire items
The questionnaire covered topics such as the composition of the Board of Directors, preparation and operation of meetings, quality of deliberations, contributions by Directors, monitoring of execution, and the composition and operation of each committee.
Evaluation process
- Distributed the questionnaire to each Director and Executive Officer, and received responses
- WTW analyzed and evaluated the survey results
- Reported on and discussed the effectiveness evaluation at the Board of Directors meeting
- Overview of the FY2025 evaluation results
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Based on the analysis and evaluation of the survey by WTW, the Board of Directors concluded that the Board was generally effective in FY2025.
Summary of evaluation
- It was confirmed that understanding of MSV and the Asset Assembler model has been firmly established as a shared foundation for deliberations at the Board of Directors.
- Regarding discussions on growth strategy, in addition to securing sufficient opportunities for discussion, deliberations were enhanced by incorporating multifaceted perspectives.
- From the perspective of supporting a sustainable management structure, the need for continued consideration of succession planning was shared, and discussions were made.
- Progress was made in developing an audit framework suited to the Asset Assembler model, leading to clearer definition of the framework supporting “Audit on Audit.”
- Areas that require stronger initiatives in FY2026
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- Further enrichment of discussion on growth strategy
Contribute to the execution of strategies by the executive team and to the enhancement of the market confidence. - Thorough engagement in succession planning
Reinforce talent identification and development for a management structure suitable for the next stage of growth. - Further upgrading of the “Audit on Audit” framework
Operate “Audit on Audit” aligning with and effective in the Asset Assembler model.
- Further enrichment of discussion on growth strategy