Last Updated: 2026.03.03
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Our Approach to Risk Management
Fast Retailing believes that preventing actual or potential risks by calculating unforeseen risks such as large-scale natural disaster or leakage of customer information, and ensuring appropriate risk management are essential to the sustainable growth of its business. The company regularly identifies potential risks to its operational activities, and is always seeking to strengthen its frameworks for specifying and managing significant risks.
Risk Management Framework
Fast Retailing has established a Risk Management Committee under the direct jurisdiction of the Board of Directors. The Risk Management Committee, chaired by the Group CFO, is responsible for the central management of group-wide risks. The Committee analyses and evaluates the frequency and impact of any risk on operations, debates countermeasures in the order of risk priority and seeks to contain any risk before it occurs. The Committee also submits reports on significant risks to the Board of Directors, and provides concrete support to individual departments on risk management and countermeasures.
Information Security Framework
We consider information security management to be one of our most important management issues given our expanding global operations and rising proportion of online sales and the growing risk of cyberattacks and other threats to overall security. With those considerations in mind, we have been strengthening and rigorously implementing information security-related initiatives across the Group. At Fast Retailing, the Chief Security Officer (CSO), who is appointed by the Company Chairman and President, strives to ensure robust information security throughout the Group in their capacity as the manager and executive officer with the highest authority and responsibility for information security. The Information Security Office (ISO) is a global organization under the direct jurisdiction of the CSO that strives to strengthen and deepen our information security frameworks and deals with any information security-related incidents. In the unlikely event that an information security-related incident does occur, ISO would work together with the relevant departments to bring the problem swiftly under control, ensure business continuity, restore trust, and promptly formulate and implement measures to prevent a recurrence. In addition to establishing and operating our Basic Rules on Information Security and Basic Rules on the Handling of Personal Information, we also run regular education and awareness programs on information security for all employees to help develop a deep understanding of the importance of information security across the Fast Retailing Group. With regard to our partner factories and other business partners, we confirm the robustness of our partners' information security systems before entering into any business arrangements and periodically audit those systems throughout the business relationship. These measures are designed to help ensure effective security management across our entire supply chain.
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Crisis Management Framework in Times of Natural Disaster
Fast Retailing has put in place a crisis management framework to use if a natural disaster occurs in areas where it have store operations. We offer swift support to secure the well-being of our customers and employees, and help restore store operations. In the event of a major natural disaster, each operation's sales support department sets up an emergency response headquarters enabling us to confirm people's safety and gain a swift understanding of any store damage. Depending on the extent of any damage, we decide if a store can continue operating or not, and inform customers of our decision. In the event of extensive damage, we will establish an emergency response center headed by the Fast Retailing president, chairman and CEO to formulate and implement a coordinated recovery plan and individual store reconstruction measures.
If a fire or an earthquake occurs during store operating hours, we will follow the instructions listed under the disaster response sections of our operations manual in undertaking an initial response, and when guiding and evacuating customers.
Natural Disaster Response Process
