Total Risk Management (TRM) system
Based on the Risk Management Principles stipulated in the Ricoh Group Corporate Management Principles, the GMC/Internal Control Committee has established a risk management area of responsibility for each business risk and implements thorough risk management in daily execution and business operations. In addition, the Group has established a Risk Management Support Division that provides comprehensive support for executives, risk management areas, and all divisions within the Group.
Risk management process
Determining and reviewing business risk
The Group assigns a risk value based on frequency and degree of impact for external risks such as world trends, incidents and accidents, as well as for internal risks such as changes in the business structure, and creates a two-dimensional risk map to define business risk. This is reviewed annually at the time the business plan is being created.
The Ricoh Group pays particular attention to the following types of risk to prevent incidents that may have a major negative impact on corporate business activities, and to minimize the damage in the event that they do occur.
- Natural disasters
- Serious accidents
- Exchange rate fluctuations
- Serious quality problems
- Difficulty in acquiring raw materials
- Leaks of personal information and corporate secrets
- Bribery and corruption
- Insider trading
- Violation of environmental regulations
- Violation of export/import regulations
- Human rights issues
- Fraud in relation to business operations, etc.
Responding to incidents and accidents
To respond quickly and appropriately to an incident, we clarify areas of management responsibility and reporting levels according to the nature of the incident. At the same time, we determine the implementation sequence of emergency response procedures and reports to the president and relevant executives based on the president’s policies as applied to the RGS.
The Ricoh Group has created a Business Continuity Plan (BCP) to enable the business to quickly recover and continue and to minimize the degree of damage in the event of an unanticipated disaster or accident.
The BCP has been implemented throughout the Group to ensure a common response to new strains of influenza and widespread natural disasters in Japan.
Participating in METI's competitive business model program
Since the Great East Japan Earthquake, business continuity planning and energy management are issues that corporations and government institutions in Japan have had in common. In 2013, METI undertook efforts to enhance the competitiveness of Japanese companies and organizations, as well as institutional strengths and brands by introducing its competitive business
model. The Ricoh Group participates in this initiative.
The Ricoh Group's competitive business model theme
"Turning the Experience of the Great East Japan Earthquake into a Strength"
~ Strengthening competitiveness by utilizing a Business Continuity Management System (BCMS) throughout the entire supply chain ~