Corporate Governance

Compliance System

Compliance System

DFF Inc., 三越伊勢丹HD 総務部総務法務DIV, 三越伊勢丹HD 総務部広報株式DIV, 三越伊勢丹HD 総務部コンプライアンスDIV, 三越伊勢丹HD 秘書室, 三越伊勢丹HD 監査役室, 三越伊勢丹HD 人事部人事企画DIV, 三越伊勢丹HD 人事部人事DIV, 三越伊勢丹HD 人事部労務DIV, 三越伊勢丹ヒューマン・ソリューションズ 人財開発事業部

Compliance System

Our Views on Compliance

  • At the Isetan Mitsukoshi Group, we believe that allemployees working in the Group must embrace compliance as part of our values, consciousness, andactions if we are to truly respect not only laws but also ethics, social norms and rules.
  • For this purpose, As a measure for ensuring thorough understanding of these matters in regular business activities, we posts on employees with the Compliance Guidebook, which shows laws and regulations that must be complied with, and provides standards for ethical behaviors, in relationships with customers and business partners.
  • In order to audit the legality and acceptability of business activities, we have established an Internal Audit Department as an independent body to strengthen internal control functions.

Protection of personal information

  • To be equal to the trust customers place in us and fulfill their expectations, we have formulated and made public the Groups Privacy Policy for properly managing and using the personal information customers entrust to us.
  • In addition, we have established our Personal Information Management Rules based on our Privacy Policy. Under these rules, we use our customers personal information properly and ensure strict protection and management of such information.
  • The director in charge of the Isetan Mitsukoshi Holdings General Affairs Department oversees duties relating to the Groups protection of personal information as the Groups General Manager of Personal Information.

Establishment and operation of a system for preventing insider trading

  • We have established and operate a system for preventing insider trading that is trusted by equity markets and stakeholders. Specifically, we have established our Insider Trading Prevention Rules regarding the handling of unpublished important information. By following these rules, we take measures for ensuring strict management of information and raising awareness of the importance of proper information management. The system we have put in place also requires that executives and other employees assigned to certain divisions take steps such as providing prior notification when engaging in the trading of equity or other securities.

Development of IR Policy

  • We have formulated and disclosed our IR Policy and make strenuous efforts to practice fair information disclosure and enhance communication in our IR activities (public relations activities directed toward shareholders and other investors). These efforts are aimed at gaining the trust and understanding of our shareholders and other investors.

Establishment of an anti-bribery policy

  • The Isetan Mitsukoshi Group has declared that it will implement initiatives to combat bribery and it has established and released an Anti-Bribery Policy accordingly. The policy states that it is prohibited to provide money, goods, entertainment, preferential treatment, or other benefit, etc. to public officials or private officers for the purpose of gaining an unlawful benefit, irrespective of whether it is in Japan or overseas.。

Establishment and operation of systems for promoting fair trade

  • We have established our Fair Trade Guidelines, under which we promote establishment and strict management of systems for eliminating unfair restraint on trade and the similar acts, in our efforts to firmly maintain fair, free competition and continue to contribute widely to society as a corporate entity.

Response to antisocial forces

  • Our Basic Policy on Internal Control System Construction clearly states that the Isetan Mitsukoshi Group will reject relationships with antisocial forces, refuse inappropriate requests from them, and take measures to prevent damage they may attempt to inflict.

Establishment and operation of a whistleblowing office

  • We have established the Group Hotline Rules to swiftly bring to light and correct inappropriate conduct, illegal conduct, and harassment that occur within the Group. We have also established the Group Hotline, our whistleblowing system for all employees of the Group and the Groups business partners. Under this system, a specialized internal division and external entities (including a law firm) accept whistleblowing.

Compliance Guidebook posted on the Companys intranet

  • The Isetan Mitsukoshi Group includes compliance-related content at training sessions for new employees and newly appointed managers, etc. Furthermore, the Compliance Guidebook, which is a booklet that lays out laws and social norms to be observed by all employees in a manner that is easy to understand, has been posted on the Companys intranet.
[Examples of content]
・Providing safe and reassuring products
・Protecting personal information
・Respect for human rights
・Prohibition of harassment
・Creating a positive work environment
・Insider trading
・Preventing connections with antisocial forces
・Prohibition of bribery
・Dealing fairly with our suppliers
・Intellectual property rights
・Ensuring the safety of customers and employees
DFF Inc., 三越伊勢丹HD 総務部総務法務DIV, 三越伊勢丹HD 総務部広報株式DIV, 三越伊勢丹HD 総務部コンプライアンスDIV

Isetan Mitsukoshi Group Anti-Bribery Policy

Isetan Mitsukoshi Group Anti-Bribery Policy

To fully ensure compliance, the Isetan Mitsukoshi Group is taking measures against bribery, and does not permit any benefits gained through bribery nor any other dishonest means.
This Policy stipulates that no monetary amounts, rewards, advantages or other kinds of benefits shall be supplied to public servants or private executives or employees for the purpose of gaining unfair benefit either inside or outside of Japan.

In addition to the stipulations of the Japanese Criminal Code and the Unfair Competition Prevention Act of Japan, and in consideration of the tightening of restrictions, in both Japan and other countries, on regulatory measures against corruption, such as the US Foreign Corrupt Practices Act and the UK Bribery Act 2010, the Isetan Mitsukoshi Group broadly prohibits the supplying of dishonest benefits to public servants and other individuals of proportionate standing either inside or outside of Japan.

Isetan Mitsukoshi Group Anti-Bribery Policy
    • Monetary sums, rewards, advantages or other kinds of benefits shall not be supplied, offered nor promised to public servants or other individuals of proportionate standing for the purpose of gaining unfair benefits, either inside or outside of Japan. Additionally, no monetary sums, rewards, advantages nor other kinds of benefits shall be supplied, offered or promised to private executives or employees of business partners.
    • We will maintain and manage an organizational system required to prevent bribery and continue to regularly train and educate officers and employees on the prevention of bribery.

Toshihiko Sugie
President and CEO
April 1, 2018

DFF Inc., 三越伊勢丹HD 総務部総務法務DIV, 三越伊勢丹HD 総務部コンプライアンスDIV

Guidelines on Fair Trade

We, the Isetan Mitsukoshi Group, and our staff must properly recognize that our group companies are in a superior position in transactions with many of our trading partners, and must also bear the responsibility of allowing our customers to purchase products, etc., in reliance with the information that we provide.
Under this understanding, and with the objectives of the group adhering to fair and free competition, as well as a fair existence that continues to contribute broadly to society, we shall comply with the following Basic Policy on Fair Trade as well as the 11 Principles of Fair Trade Compliance.

Basic Policy on Fair Trade

(Conducting fair and transparent transactions)

  • We shall adhere to fair and free competition, and in addition, shall conduct fair and transparent transactions with all of our stakeholders, including customers and trading partners. We must not unfairly place any burden or loss, etc., on trading partners that should be borne by us, and must not take unfair gain from our trading partners.

(Provision of appropriate information on products and services)

  • We shall endeavor to provide our customers with the appropriate information on products and services, so that they are able to make accurate decisions.

(Compliance with laws and regulations, and social ethical codes)

  • We shall comply and respect the spirit of all relevant laws, regulations, and social ethical codes, including the Antimonopoly Act, the Act Against Delay in Payment, etc., to Subcontractors, the Act against Unjustifiable Premiums and Misleading Presentations, the Unfair Competition Law, the JAS Law, and the Food Hygiene Management Act.

The 11 Principles of Fair Trade Compliance

1 Prohibition of unfair returns

With the exception of where there is a defect in a purchased product, where a product was not ordered, or where conditions for return were agreed with the trading partner beforehand, we shall not return the products that we have purchased from our trading partners.

2 Prohibition of unfair discounting

With the exception of where there is a defect in a product, or where a product was not ordered, we shall not ask our trading partners to reduce the price of the products we have purchased.

3 Prohibition of refusal of receipt of private brand (PB) products, etc.

With the exception of where there is a defect in a product, or where a product is different to the one ordered, etc., we shall not refuse receipt of products we have ordered from our trading partners with special standards, designs, or models, etc., including private brand (PB) products and manufacturing consignment products.

4 Prohibition of inertia selling

We shall not ask trading partners to purchase the products or to use the services that we have specified contrary to the desire of the trading partner, including having a person involved in the purchase of products at the purchasing department or sales department, or a person engaged in the purchase of miscellaneous goods, etc., recommend a trading partner to purchase our company's products.

5 Prohibition of unfair requesting and use of dispatched sales personnel

If we make a request to send a member of our sales personnel to a trading partner, we shall provide a comprehensive explanation and hold sufficient discussions beforehand.
We shall not send personnel without the prior consent of the trading partner, and shall not make unfair use of the employees, etc., of a trading partner, such as have them perform business outside of that relating to the sale of the product that they are purchasing.

6 Prohibition of unfair requests for funding, etc.

If we ask a trading partner for funding, we shall provide a detailed explanation and hold sufficient discussion beforehand on the amount, use, and calculation basis, etc., based on our prescribed proposal document.
We must not request funding that is not in the direct interest of the trading partner, and we shall not ask for funding in excess of a reasonable range.
Outside of such funding, we shall not request any economic benefits, such as money from our trading partners, which would not normally be borne by them.

7 Prohibition of disadvantageous handling

We must not provide disadvantageous handing to trading partners, such as stopping transactions or delaying payments, on the grounds of a trading partner not having complied with an unfair request made by a group company such as that prescribed in these Principles, or on the grounds of a trading partner having notified a government agency such as the Fair Trade Commission of the fact of the performance of an unjust act by a group company.

8 Prohibition of other unfair trading conditions

We must not conduct transactions under conditions that are significantly disadvantageous to our trading partners, and must not unilaterally change trading conditions.

9 Prohibition of the provision of unfair gifts

We must not provide excessive gifts that exceed the legally prescribed maximum amount and total amount prescribed by law as a means for soliciting customers.

10 Provision of appropriate information and prohibition of misrepresentation

We shall provide the appropriate information on our products and services so that our customers are able to make accurate decisions.
We shall not make displays that mislead customers as a means to solicit customers.

11 Prohibition of unfair trading restrictions

We must not perform any act that restricts regular competition, such as agreeing with a competitor on the price, quantity, trading partner, and contractor, etc., for products and services.

Established April 1, 2008
Amended April 1, 2017
DFF Inc., 三越伊勢丹HD 総務部総務法務DIV, 三越伊勢丹HD 総務部コンプライアンスDIV