Internal Control System

Based on the FANUC Code of Conduct, which is derived from the basic principle of "strict preciseness and transparency", we have established basic rules for compliance. In addition, we have established detailed rules for compliance and deployed them internally through rules for an anti-corruption including bribery, the prevention of insider trading and the management of confidential information, the Antimonopoly Act, and rules for the protection of personal information, etc.

Whistleblowing System

FANUC has established a system under which officers and employees of FANUC and its domestic subsidiaries as well as other stakeholders including suppliers, can make whistleblowing reports to FANUC's internal and external contacts through hotlines.

In addition, FANUC has established a global whistleblowing system whereby officers and employees of overseas subsidiaries can make whistleblowing reports directly to FANUC through an external point of contact.

In response to whistleblowing reports from both Japan and overseas, we strive to enhance the protection of whistleblowers (including confidentiality of the contents of the whistle-blowing), so that they are not subjected to any disadvantageous treatment such as retaliation including dismissal by the Whistleblowing System Operation Rules, etc.
Whistleblowing reports can be made anonymously at any time (24/7), and are available in multiple languages.

Risk Management Committee

To address risks that may hinder the continuity of our business, the enhancement of our corporate value, or the sustainable development of our corporate activities, we have established a Risk Management Committee and risk management policies, and we are conducting appropriate risk management under the supervision of the Board of Directors. Further, the Internal Audit Department, which reports directly to the President and CEO, conducts internal audits of risk management.

Compliance

Issues related to compliance are discussed by the Compliance Committee, which is chaired by the Senior Executive Vice President, and we have a system in place to ensure the important issues are reported to the Board of Directors and the President and CEO. In addition, the Management Meeting, which mainly comprised of the executives of each business divisions, deliberates also on these issues. Furthermore, the latest cases of whistleblowing are reported to the Board of Directors at least twice a year, so that adequate deliberations are made on related compliance issues as necessary.

Further, the Internal Audit Department conducts business ethics audit including Anti-Bribery and Corruption at the FANUC Headquarters and its subsidiaries in Japan and overseas on an annual basis.

Employee Awareness and Training

We post various policies and guidelines on our company-wide portal site, and we are working to foster compliance awareness through awareness-raising and educating activities by providing various types of training.
In addition, we conducted the following compliance training for FANUC officers and employees (including part-time employees and contractors) through e-Learning.

• Whistleblower Protection Act
• Confidential information management (Unfair Competition Prevention Act）
• Insider trading regulations
• Regulations on bribery of public officials, etc. (for Japanese public officials, etc.)
• Regulations on bribery of public officials, etc. (for overseas public officials, etc.)
• Act on Prohibition of Private Monopolization and Maintenance of Fair Trade