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CSR
HitachiSoft CSR
Corporate Governance
Concept of Corporate Governance
HitachiSoft recognizes that the strengthening of corporate governance is an important management issue, and has established the HitachiSoft Code of Conduct, which requires both executives and employees to conduct fair and transparent business activities, comply with laws and proper corporate ethics, respect management and technical information, and protect personal and customer information.
Board of Directors
The Board of Directors consists of seven board members, including three external directors. A meeting is in principle held once a month to determine critical management issues.
Fifteen executive officers have been selected to speed up managerial determination and to strengthen the management system. The management conference is in principle held twice a month.
Audit System
The Audit Committee receives audit plans and results from accounting auditors on a regular basis, exchanges information as required, inspects financial statements, and evaluates the performance of executive officers and directors. The appropriateness of business operations and asset management are inspected in the internal audits based on audit criteria, and recommendations for improvements are made, if necessary, according to the audit results.
Internal Control
The expansion and improvement of our internal control system not only enhances management efficiency and ensures the legitimacy of corporate activities (proper financial reporting, compliance, etc.) within corporate governance, but it is also critical to the fulfillment of our social responsibilities. HitachiSoft has adopted basic policies for internal control in accordance with corporate law and has established the Internal Control Committee to carry out those functions. We ensure the effectiveness of the internal control system within the Group by advancing the framework for reporting and operation of validity assessments on the internal control system and confirming the legality of executive officer conduct from the standpoint of overall control. As a member of the Hitachi Group, our internal controls related to financial reporting are already in compliance with the Sarbanes-Oxley Act (SOX) and also accommodate the Financial Instruments and Exchange Law (J-SOX) enacted in April 2008. We are continuously working to build and improve our internal control system.
