Governance

Basic stance and policy

Aisin believes that compliance means more than adhering to laws and regulations and that it is equally important to meet the expectations and trust of all stakeholders as a responsible corporate citizen. In this regard, we are guided by the spirit of our management philosophy: “Inspiring ‘movement,’ creating tomorrow.”
To this end, we have adopted the AISIN Group Charter of Sustainability and the AISIN Group Principles of Corporate Behavior as our foundational policies. For key areas of law and regulation—specifically antitrust and anticorruption—we have developed and implemented a groupwide Antitrust Compliance Policy and an Anti-Corruption Policy along with detailed guidelines outlining specific directives for action. In response to stakeholder requests and expectations, we revised and republished our AISIN Group Anti-Corruption Policy as the Aisin Global Policy on Prevention of Bribery and Corrupt Practices in May 2025.

Aisin strives to ensure that every employee upholds high ethical standards of integrity, honesty, and fairness and impartiality that enable them to practice sound compliance naturally. We work diligently to spread this mindset across all domestic and international Group companies, with a goal of maintaining a strong compliance awareness and eliminating serious legal violations through the maintenance of a global legal and compliance framework covering our entire business.
Aisin believes that an open workplace culture where employees feel comfortable speaking their minds is the foundation of compliance. We are actively dedicated to creating such an environment, in which employees can consult their superiors when in doubt, and to raising awareness of the internal reporting system. Moreover, through workplace visits and ethics surveys that measure individual and collective compliance awareness, we gather authentic feedback from the workplace. By sharing both joys and concerns, we are promoting a thriving workplace culture of mutual respect and consideration.

Promotion Structure

Aisin has established the Business Ethics Committee, chaired by the head of group HR Division, as the body charged with governing key compliance policies and structures. Attended by presidents, executives, and auditors from 12 Group companies, the Committee reviews compliance activities and challenges in the legal and other domains and approves the following year's policies and implementation items.
To ensure consistent compliance across the entire Group, the Legal Affairs Department was established in January 2018 within the Group Head Office by consolidating the legal functions of each Group company. As the Group's sole specialized legal department, it exclusively plans and promotes compliance activities for Group companies both domestically and internationally. Concurrently, a compliance officer and compliance managers have been appointed at each Group company in an effort to build a framework for ensuring compliance globally.

Organizational Chart of the Business Ethics Committee

PDCA Cycle for Compliance Activities

Strategy

To reach a state of reflexive compliance practice, Aisin annually selects key focus areas at the Business Ethics Committee based on changes in the business environment and stakeholder expectations (FY2026 focuses: integrity, harassment, fair trading, bribery & corruption, antitrust law), and aims for zero material legal or serious compliance violations (materiality issues: KGI). Particularly for bribery/corruption prevention and antitrust law, as five years have passed since establishing policies and guidelines in 2020, we continuously promote efforts to deepen understanding and embed these practices into behavior. We also measure the level of compliance awareness (the KPI: positive response rate for ethics survey) through our ethics survey.

Key initiatives

Initiatives aimed at achieving zero serious violations of laws and compliance policies

Creating an open and transparent workplace culture

Aisin promotes an open and transparent workplace culture to enable the early detection, correction, and prevention of issues. Management personally visits work sites to hear employees’ candid and unfiltered expressions of concern and anxiety, recognize issues, and take direct responsibility for addressing them. Each workplace promotes frank discussions based on the results of the Group’s ethics surveys.

Early detection and remediation of issues via a whistleblowing system

Aisin has established a compliance reporting and consultation office that accepting inquiries from a broad range of stakeholders, including domestic and international officers, employees, retirees, their families, business partners, and local residents. When responding, we thoroughly prioritize privacy and the prevention of disadvantaging the reporting party. In this way, we strive for the early detection and correction of misconduct.
To accommodate different types of report and inquiry, multiple channels are available: company-specific consultation offices, a groupwide external legal office staffed by attorneys, and the Aisin Business Ethics Consultation Desk managed by the Group Head Office Legal Affairs Department. For external stakeholders, reports and inquiries are accepted via the web-based Aisin Global Hotline. Internal reports are consolidated at the Legal Affairs Department. For material cases, the Legal Affairs Department leads the response, establishing a process to enable early detection and correction of issues. Furthermore, regular reports are made to Aisin's auditors to monitor operational factors. Additionally, third-party attorneys are engaged to incorporate objective, specialized expertise, enabling swift handling of critical cases.

Aisin Global Hotline

Whistleblower system framework

Internal Reporting Routes within the Aisin Group

Use of internal reporting system

Number of reports received via internal channels

Total reports and consultations (domestic and international)

Primarily inquiries about internal rules/procedures and concerns about workplace relationships. While these are not compliance or misconduct reports, we address them in collaboration with relevant departments to alleviate employee concerns and enhance the work environment.

Ethics questionnaire

Each year, Aisin executes a common ethics questionnaire on compliance matters for all employees worldwide (including temporary staff, employees seconded to Aisin, reemployed retirees, fixed-term employees, and Group company employees). The response rate for FY2025 was 93.6%.
We assess the penetration rate for compliance initiatives, the existence of potential compliance risks, and the degree of awareness concerning internal reporting channels. We report these findings to the Business Ethics Committee and provide feedback to all internal departments and domestic/international Group companies. Moreover, we analyze the survey results and implement remedial initiatives for Group companies requiring targeted, focused support.

Education and awareness initiatives

Aisin manages a range of education and awareness initiatives to enable each employee to compliance as a matter of course. In FY2025, 93.5% of employees worldwide (including temporary staff, employees seconded to Aisin, reemployed retirees, fixed-term employees, and Group company employees) participated in compliance-related education or awareness activities. For training, we hold domestic and international group sessions and e-learning classes tailored to rank, job function, and responsibilities both. Additionally, our internal portal features on-demand training videos and animated features summarizing key points for preventing harassment. We thereby enable employees to access training and view materials at their leisure and make compliance more accessible.
For awareness activities, we publish a Monthly Legal News gazette and release case studies. We serve up the latest information and distribute discussion sheets based on various examples, including failures, to encourage employees to perceive compliance as personally relevant. And, in FY2025, we are distributing posters featuring messages from senior management, including those at overseas locations, to raise awareness among employees.

List of key education and awareness initiatives

Category	Training program/tool		Main content	Frequency
Education	By rank	Executive compliance seminar	Latest compliance topics	1 time/year
		Training for new executives	Executive responsibilities, key themes	When appointed
		Human Skills & Empathetic Communication Training	Essential Human Skills & Communication Abilities for Executives and Managers	1 time/year
		Compliance Training for Department Heads	Importance & Role of Compliance	1 time/year
		CSR Management Training (for New Managers)	Importance of Compliance	Upon Promotion to Management
		New Foreman Training	Importance and Role of Compliance	On promotion to foreperson
		New hire orientation	Compliance fundamentals, charter, and Code of Conduct	At hiring
	By job function	Compliance officer training	Role of corporate officers, key themes	1 time/year
		Export control officer training	Laws and company rules	1 time/year
		Overseas assignment training	Importance of compliance, key themes	Upon assignment
		Overseas Top management training	Compliance responsibility of officers	When appointed
		Whistleblowing Contact Person Training	Investigation Methods, Points to Note	1 time/year
	By theme	Antitrust law compliance training	Laws, company policies, and guides	As needed
		Anti-corruption training	Laws, company policies, and guides	As needed
		Insider Trading Prevention Training	Laws and company rules	As needed
Awareness	Articles	Economic security information	Legal and regulatory developments and latest trends	Monthly
		Group Headquarters Legal News	Introduction to laws, regulations, relevant compliance cases, and Legal Affairs Department initiatives	Monthly
	Comics	Workplace discussion sheets	Theme-based instruction and key considerations	Monthly

Key on-demand training items

• ・Antitrust law
• ・Insider trading regulations
• ・Subcontracting law
• ・Product liability
• ・Prevention of bribery and corruption
• ・Export transaction management
• ・Harassment
• ・Clear communication strategies
• ・Disguised contracting
• ・Labor
• ・Copyright
• ・Contracts, etc.