Stakeholder Engagement

Approach
Lion’s Main Stakeholders
Stakeholder Engagement
Stakeholder Dialogue

Approach

The Lion Group recognizes the importance of meeting the expectations and demands of stakeholders. To that end, mutual understanding with our stakeholders is essential for us to continue our sustainable growth. We strive to actively engage stakeholders in dialogue and collaboration by through various forms of communication.

We value and take seriously our stakeholders’ opinions and suggestions. After analyzing and reviewing them internally, we incorporate them into our future corporate activities to further improve our sustainability efforts.

Lion’s Main Stakeholders

Lion considers its main stakeholders to be its shareholders, investors, customers (consumers) and business partners, as well as municipalities, governments, non-profit organizations, local communities and employees.

To ensure that it will be able to continue to contribute to society, Lion listens carefully to the opinions of stakeholders and promotes stakeholder engagement* via the following communication methods. The opinions we receive are reported to management and the relevant departments and are utilized in our business activities.

* The process in which a company actively engages with its stakeholders through dialogue and other means to achieve mutually acceptable outcomes in order to fulfill its corporate social responsibility (see the Japan Business Federation’s Implementation Guidance on Charter of Corporate Behavior, 7th Edition)

Main Stakeholder Communication Methods

Putting Our Purpose into Practice: “Make a difference in everyday lives by redesigning habits: ReDesign”
Stakeholder	Major responsibilities	Main engagement opportunities
Shareholders and investors	Business growth (sales and profit) Returning profits to shareholders Sound and transparent management Accountability and constructive dialogue Effective corporate governance	Annual Meeting of Shareholders, Annual Meeting of Shareholders convocation notice Financial results briefings Briefings for individual investors and institutional investors IR tours: Individual interviews with overseas institutional investors and analysts
	Enhancing disclosure content Timely disclosure of management-related information	Website: Investor Relations and News Release sections
	Proactive disclosure of financial and non-financial information	Integrated Report
Customers (consumers)	Redesigning habits	Promotional activities and exhibition events
	Safe and reliable manufacturing	Factory tours
	Product development emphasizing the consumer's perspective	Consumer research: group interviews, monitoring surveys
	Supplying superior products and services useful for everyday living	Commercials, in-store shopping, online shopping
	Promoting information useful for everyday living	Lion’s website and social media
	Appropriate, sincere customer service	Customer support

Stakeholder	Major responsibilities	Main engagement opportunities
Business partners	●Suppliers (raw material manufacturers, production contractors) Establishing supply chain management that takes human rights and the environment into consideration Responsible raw material procurement	Self-checks/feedback based on the Lion Group Supplier CSR Guidelines Compliance consultation and whistle-blowing system (AL Heart Hotline)
Business partners	●Retail stores, wholesalers Building relationships of trust through fair and equitable trade Stable supply of products Proposing value-added products and services that meet consumer needs Contributing to the revitalization of markets in each category	New product briefings, product seminars Lion network, wholesaler meetings Sales floor strategy proposal meetings, merchandising meetings Collaborative events and fairs Collaborative environmental initiatives
Governments and municipalities	Appropriate dialogue with supervisory authorities	Councils, committees, opinion exchange meetings, personnel exchanges
	Collaboration to resolve local social issues	Conclusion of agreements, collaborative events and initiatives
	Building and maintaining equitable and sound relationships	Debriefings and information exchange meetings
Non-profit organizations	Collaborative, cooperative support for solving social and environmental issues	Conclusion of agreements, collaborative events and initiatives Opinion exchange meetings Support through monetary and product donations
Local communities	Solving social and economic issues	Social contribution activities and participation in the local community
	Contributing to regional revitalization and development and collaboration with local communities	Connecting with local residents through events
	Promoting health and educating the next generation on hygiene and cleanliness Proposing educational curriculums Environmental education	Health seminars Disaster relief Supporting science classes Forest maintenance activities
	Consideration for the natural environment	Environmental beautification activities
	Biodiversity conservation	Conservation activities with local residents

Stakeholder	Major responsibilities	Main engagement opportunities
Employees	Providing a comfortable working environment for employees. Support for job satisfaction	Internal communications through the Group intranet, etc. Employee awareness and behavior surveys Compliance Awareness Survey
	Building good relationships Fostering an organizational culture that encourages innovation	Roundtable with the President to exchange ideas with management Creating new businesses through the new value creation program
	Fair evaluation and treatment Improving the employee benefits system	Labor-management meetings Individual interviews
	Utilizing and developing human resources	Various educational programs and training for skills acquisition and ability development Rank-specific training
	Promoting occupational safety and health	Workplace accident prevention program e-learning training
	Promoting and managing health	Health checkups, dental checkups
	Respecting human rights	Compliance consultation and whistle-blowing system (AL Heart Hotline) e-learning training
	Respecting diversity

Stakeholder Dialogue

Lion regards dialogue with stakeholders as a valuable opportunity for seeing how its aspirations as a company compare with society’s demands and calibrating its sense of balance as a good corporate citizen.

In recent years, in light of the growing importance of responding to new demands from society, we hold study meetings for management as part of our stakeholder dialogues. These meetings bring together outside experts with Lion’s top management to discuss sustainability topics directly related to corporate operations. The suggestions and opinions expressed in these dialogues are reflected in Lion’s operations and used to further promote sustainability activities.

In May 2022, we held a study meeting on the topic of respect for human rights, which has been attracting attention as a major social issue in recent years. At this meeting, an outside expert specializing in human rights served as an instructor, leading discussion with Lion’s chairman, president, directors, Audit & Supervisory Board members and executive officers.

We will continue working to understand and meet the needs of our customers and society through a variety of forms of dialogue with stakeholders.

Implemented	Participating stakeholders	Theme
2022	Outside experts	Respect for human rights (United Nations Guiding Principles on Business and Human Rights)—Why it is crucial to strengthen initiatives to ensure respect for human rights now
2021	An NPO	The Okuchikarada Project for children (Inclusive oral care)
2021	Outside experts, employees	Spreading awareness of sustainability
2020	Outside experts	ESG-oriented management
2019	Outside experts	Promoting sustainability-oriented management