Corporate Governance

Basic Approach to Corporate Governance

KAKEN's business philosophy is centered on what we call the “Three Joys” –“Joy for patients,” “Joy for society” and “Joy for employees.” “Joy for society” is based on the principle that KAKEN recognizes its social responsibility as a pharmaceutical company, engages in all activities with high ethical standards, and aspires to earn society's trust. Accordingly, the tasks of enhancing corporate governance, ensuring the transparency of management, and providing our stakeholders with proper explanations of the Company's activities, are among our top management priorities.

Corporate Governance Structure

KAKEN has adopted an Audit & Supervisory Board system, taking into consideration the scale of its business, management monitoring functions and other circumstances. Four Audit & Supervisory Board members, including two outside members, attend all important meetings, including Board of Directors meetings, and actively express their opinions. Outside Audit & Supervisory Board members provide their opinions from a neutral standpoint. KAKEN therefore considers its management monitoring functions to be fully functional under its current auditing system.
In addition, KAKEN has adopted the corporate officer system to speed up decision-making and to clarify responsibility for the functions of supervision and execution of business. Board of Directors meetings are regularly held once a month, and extraordinary meetings are held when necessary. Three of the directors are outside directors. Furthermore, Audit & Supervisory Board members, including outside members, and corporate officers attend Board of Directors meetings. In this way, the Board of Directors ensures the thorough implementation of management policies and the fairness and transparency of its decision-making.

Corporate Governance Structure