Continual business operation is a prerequisite for the sustained growth of a company. Sumitomo Metals identifies potential risks and takes preventive measures against possible impacts from such risks.
During the process of responding to and recovering from the Great East Japan Earthquake that struck on March 11, 2011, we were able to demonstrate the results of our regular training and preparation. Based on the lessons learned from this earthquake, we are also improving our crisis management plan in preparation for disasters in the future.
Employees evacuated to higher ground at
the Human Resources Development Center
following a tsunami warning
[Risk Management Council]
The functions of the Risk Management Council include establishing basic policy; identifying, evaluating, and analyzing risk items; and deciding on policies to counter them.
Based on these efforts, the individual staff members of each division work to address risk management on a daily basis, and by taking steps in advance we are able to minimize the effects of risk.
| Primary risk items | Primary countermeasures and other responses |
| Compliance violations | Observe the Anti-Monopoly Law, insider trading restrictions, labor-related laws, Public Offices Election Act, Political Fund Control Law, and other laws and regulations, and carry out quality management, security trade control management, and correct subcontractor control management. |
| Natural disaster, war, or civil disturbance |
Conduct disaster-prevention management, safety and health management, and stable procurement of raw materials and supplies. |
| Environment | Observe environmental regulations. |
| Accident | Conduct equipment diagnosis and create information backup systems. |
| Litigation | Manage intellectual property. |
[Crisis Management Committee]
Preventive measures alone are not sufficient for risk management. In the event of an emergency, the Crisis Management Committee will be launched in order to ensure rapid and appropriate decisions and action. Training is also carried out for this purpose.
Activating BCP*
*Business Continuity Plan: Planning and preparation aimed at ensuring continued business operation in the event of a disaster.
We have prepared guidelines for action in the event of a disaster, and have carried out preparations for a major earthquake. Each year we are improving our practical response capability with a new menu of training items, including training in the use of satellite telephones, emergency power, and other equipment; training for returning home safely; and training in first-aid.
Group companies based in our head office also participated in training at the Tokyo Head Office during 2010, which was conducted without advanced notice. Approximately 40% of the Disaster Recovery Headquarters staff were replaced during this training by regular participating members (half of them women) so that we can be better prepared to respond to an earthquake even when large numbers of headquarters staff are outside the company.
The results of this training were put to effective use in the launch of the Disaster Recovery Headquarters following the Great East Japan Earthquake.
 Disaster Recovery Headquarter at the Tokyo Head Office |
 First-aid life saving drill |
We have established response guidelines in case of outbreaks of new infectious diseases. Organizations and actions have been determined in order to minimize harm to the health of Group employees and their families in the event that a new infectious disease breaks out, and to ensure the continuity of our business. Information on new strains of influenza is posted on the company intranet, calling the attention of employees to them, and recommending precautionary measures.
We are systematically conducting seismic diagnosis of Group buildings and reinforcing them to better withstand earthquakes.
Prevention of large-scale equipment trouble
Large-scale equipment trouble is another critical risk. We have introduced equipment risk management methods in order to prevent inconvenience to our customers, concern by the residents of local communities, and large effects on company operations. For this purpose we are reinforcing our inspection and diagnosis functions, and working to maintain the soundness of our equipment. Information on trouble that occurs at other companies is also shared within the Group and protective measures are taken.
