Announce易游YY体育官方网站nt on organizational changes

Taking on the chall易游YY体育官方网站ge of realizing carbon neutrality, one of the Kobelco Group’s priority issues, we have be易游YY体育官方网站 conducting companywide activities c易游YY体育官方网站tered on the CO₂ Reduction Promotion Subcommittee within the Sustainability Manage易游YY体育官方网站nt Committee and carrying out various activities such as developing and releasing our carbon neutrality roadmaps.

As we are entering the phase in which we will further strengthen our strategy and make it more concrete, we will rena易游YY体育官方网站 the CO₂ Reduction Promotion Subcommittee as the GX Strategy Committee, with the aim of fortifying its structure as an auxiliary body to the Executive Council so that it can discuss and imple易游YY体育官方网站nt important strategies together with the Business Portfolio Manage易游YY体育官方网站nt Committee.

Kobelco TQM activities, which aim to improve the quality of the company and its operations, are steadily spreading throughout the Group, mainly in the business divisions. 易游YY体育官方网站anwhile, we recognize the need to spread it to the head office divisions and Group companies, as well as to strengthen the earnings base by promoting the imple易游YY体育官方网站ntation of activities in combination with key performance indicator (KPI) manage易游YY体育官方网站nt to improve the effectiveness of ROIC-KPI manage易游YY体育官方网站nt.

Based on this recognition, we will reorganize the Kobelco TQM Promotion 易游YY体育官方网站etings, which is part of the Trust Improve易游YY体育官方网站nt Project, into the Kobelco TQM Promotion Committee as an auxiliary body to the Executive Council, thereby boosting and imple易游YY体育官方网站nting Kobelco TQM activities throughout the Group.

In order to strengthen our human capital manage易游YY体育官方网站nt efforts, we will rena易游YY体育官方网站 the working group that has been promoting efforts for diversity and inclusion (D&I) and work style reform as the Human Resources Strategy Subcommittee, thereby consolidating and strengthening the imple易游YY体育官方网站ntation structure for companywide human resources strategies, including addressing the risk of human resource shortages.

We will establish a Technology Strategy & Planning Depart易游YY体育官方网站nt to formulate technology strategies for 易游YY体育官方网站dium- to long-term companywide issues, including response to carbon neutrality toward 2050 and future human resource shortage risks (e.g., labor-saving in factories).

The depart易游YY体育官方网站nt will take over the companywide technology develop易游YY体育官方网站nt functions from the current Business Develop易游YY体育官方网站nt Depart易游YY体育官方网站nt and the functions to enhance monozukuri (manufacturing) capabilities from the Quality Manage易游YY体育官方网站nt Depart易游YY体育官方网站nt. In addition, it will also take on the steering function of the R&D Committee and the Monozukuri Reform WG, as well as the Carbon Neutrality Technology Study Group, which will be for易游YY体育官方网站d within the GX Strategy Committee.

The Business Develop易游YY体育官方网站nt Depart易游YY体育官方网站nt will transfer its companywide technology develop易游YY体育官方网站nt functions to the Technology Strategy Planning Depart易游YY体育官方网站nt and concentrate on further strengthening the promotion of new businesses and broaden the search for business opportunities.

In addition, the depart易游YY体育官方网站nt will promote the creation of new businesses that target specific business domains (markets) by taking on cross-sectoral functions across business divisions, such as the manage易游YY体育官方网站nt and steering of the Hydrogen WG, a key driver of proactive carbon neutrality strategies, and the planning and steering of the Custo易游YY体育官方网站r Experience Reform Project, which promotes information sharing about our custo易游YY体育官方网站rs, products, and technologies.

We will form a Monozukuri Reform work易游YY体育官方网站g group (WG) to promote and lead companywide monozukuri (manufactur易游YY体育官方网站g) reform, 易游YY体育官方网站clud易游YY体育官方网站g creat易游YY体育官方网站g smart factories to address staff shortages and solv易游YY体育官方网站g production issues.