BCM (Business Continuity Management) Initiatives

■ Measures to Improve Business Continuity across the entire company

SMK has strengthened its measures against business recovery and business continuity in the event of disasters. The Great East Japan Earthquake in 2011 also caused severe damage to our supply chain. However, SMK was able to minimize the impact on stakeholders by changing suppliers and alternative production at our Overseas Subsidiaries.

SMK has been improving BCP (Business Continuity Plan), which combines alternative strategies and local recovery strategies across the whole company. We implement exercises considering various risks (earthquake, eruption, flood, lightning, fire, and infection) to strengthen our business continuity and employees’ ability to respond to crises. Also, in response to cyber-attacks, we strive to thoroughly implement and strengthen information security measures.

BCP training in the U.S.

■ Measures to Improve Business Continuity at SMK headquarters

In terms of information security, we moved our IT systems to seismically isolated data centers and utilize cloud service actively. In terms of import and export, we regularly examine and implement alternative transportation routes to mitigate the risk of business interruption. In terms of emergency stocks, we prepare not only water and food but also an independent power generator to continue regular work even during power outages. In terms of human safety, SMK introduced the safety confirmation system to support employees and their families and to recover and enable rapid business recovery and business continuity. Also, as one of the community disaster prevention, SMK provides firefighters with the fire cistern to be used in the event of a fire in the neighborhood.

Security Export Control

To maintain international peace and security, SMK complies with the export control related laws and regulations, including the Foreign Exchange and Foreign Trade Law.

Specifically, SMK has established “Security Trade Control Committee”, and established internal rules for Security Export Control. Then we properly determine whether our products are subject to the list-control and confirm the end-users and end-uses as much as possible.