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Basic Policy of Corporate Citizenship Initiatives

Within its statement of Purpose, NEC has committed itself to creation of the social values of safety, security, fairness and efficiency to promote a more sustainable world where everyone has the chance to reach their full potential.

Guided by this concept, each member of NEC, from directors to employees, acts as a good corporate citizen by carrying out “NEC Make-a-Difference Drive” corporate citizenship initiatives aimed at solving social issues over the medium to long term.

Through these activities, we work with local communities, NPOs and NGOs, local governments, universities, etc. to promote three universal themes: “Personnel Development,” “Environmental Preservation,” and “Regional Contribution Activities and Disaster Aid.” NEC recognizes sustainable local communities are what enables business activities to be carried out in those communities. As members of communities, we want to support them in achieving the solutions.

This thinking is also connected to “co-existence with regional societies” in the “NEC Group Code of Conduct.”

In addition, NEC has positioned the “NEC Make-a-Difference Drive” as key plank in its efforts to promote “Sustainably and socially literate human resources,” which is specified in our “materiality,” which are priority management themes from an ESG perspective. Through the “NEC Make-a-Difference Drive,” officers and employees engage in dialogue and co-creation with various stakeholders, such as local communities and the social sector. This provides them with situations and opportunities to experience of social problems that merit NEC’s attention as a Social Value Innovator .

We believe that through these situations and opportunities, employees acquire a mindset for volunteerism and co-creation, enabling them as highly socially literate personnel to sensitively grasp the true nature of issues facing customers and society, so they can create businesses inspired by social issues.

Basic Policy of Social Contribution Program Creation

To effectively carry out socially relevant and sustainable programs, NEC has established basic policies in the creation of social contribution programs and the guidelines in collaborating with NPOs.
In addition, we conduct yearly evaluation and refinement of the programs based on social circumstances, independence level of partners, and the directions of NEC’s business strategies.

1.Effective utilization of management resources

  • Management resources: funds, products, human resources, facilities, information, and knowledge, etc.
  • Relationship with businesses

2.Partnerships with NPOs and NGOs

  • Promoting solutions of social issues based on win-win relationships.
  • Supporting the creation of social businesses.
  • Strengthening NPO foundation.

3.Participation of officers and employees, cooperation with domestic and overseas affiliate companies

  • Promotion of volunteer activities by officers and employees
  • Promotion of initiatives for cooperation with NEC domestic and overseas affiliate companies

4.Contributing to improving our corporate value

  • Visible activities of NEC's presence
  • Cutting-edge volunteer programs
  • Promoting information delivery

Guidelines for Coordination with NPOs

We assess the partnership using the following five criteria when establishing a relationship with NPO/NGO.

1.Certified by NPO Law (In principle)

2.Activity record

  • Must have advanced and unique activities, and prior history.
  • Must have specialized know-how, the ability to complete projects and the ability to output information.

3.Financial details

  • Making efforts to disclose the status of financial management, revenue and source of funds.
  • Have diverse financial resources.

4.Organizational foundation

  • Clear mission, vision, goals and personnel makeup.
  • Clear division of labor between management, specialized staff, paid staff, volunteers, etc.

5.Leadership and management

  • Clear leadership, enthusiasm, and high quality of responsible personnel.
  • Considers governability, transparency, and accountability.

Social Contribution Program Assessment System

We assess all social contribution programs each year based on the social contribution program assessment system.

Social Contribution Program Assessment System

* Both "Social value" and "Value for NEC" are quantified and assessed for each item.

Assessment criteria: Social value

Public Interest
  1. Tracking the needs in the community and society
  2. Not limited to a few beneficiaries or participants, but contributes to a wide range of people
  3. Working together with NPOs, public administrations and universities
  4. Obtaining opinions (feedback) from program partners
Effectiveness
  1. Specific goals are made for social issues and results are being achieved.
    • Output (Result)
    • Outcome (Effect)
    • Impact (Spread)
  2. The approaches are being developed effectively.
    • Contains ideas and mechanisms to spread its effect
    • Contains global elements

Assessment criteria: Value for NEC

Strategy
  1. Continuously improving programs based on PDCA management.
  2. Utilizing resources (funds, products, human resources, facilities, information, and knowledge).
  3. Collaborating with NPOs.
    • A win-win relationships is established.
    • Supporting a stronger NPO foundation.
    • Promoting communications with NPOs.
Effectiveness
  1. Contributing to businesses (business creation and sales contribution)
  2. Contributing to nurturing employee human resources.
  3. Contributing to improving corporate reputation and building trust from the community and society.
    • Program participants are greatly satisfied.
    • The amount of advertisement cost conversion for PR results exceeds investment cost.
    • Programs are introduced in seminars, forums, symposiums, popular SNS, etc. as case studies.
    • Awards are given by external organizations or programs are evaluated by SRI, etc.

Social Contribution Expenses

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