Human Capital Management Framework

The People and Culture Division, which comprises specialized departments for human resources, organizational transformation, general affairs, labour, and human resource development, promotes human capital management for NEC under the leadership of the Chief Human Resources Officer (CHRO). Depending on the agenda, the Executive Committee, the Business Strategy Committee, or the Risk Control and Compliance Committee discusses and resolves important matters as needed to promote human capital management.

To advance the “transformation of people and culture,” a tenet of Mid-term Management Plan 2025, the Company has established the I&D Steering Committee, chaired by the President, and the I&D Acceleration Team to take concrete action to make the most of diversity. At the same time, the Corporate Human Rights Promotion Committee, established in 1997, continues its work to promote activities that raise awareness of human rights, such as the elimination of discrimination and the prevention of harassment.

Furthermore, under the direction of the President, the CHRO oversees activities related to occupational health and safety, including risk management, and reports on these activities to the Board of Directors.

In addition, as part of efforts to achieve Mid-Term Management Plan 2025 the Company is conducting measures to enhance human resources involved with DX. In fiscal 2024, a system was created for human resource development throughout NEC Corporation and consolidated subsidiaries in Japan. It involved establishing new job-specific human resource development committees chaired by the top executives in each job category.

As a mechanism for promoting mobility and assigning personnel to appropriate positions in a timely manner, in 2020 the Company established NEC Life Career, a specialized company that assists employees with job and career changes, and Employees' Career Ownership.

Human Capital Management Strategy

Viewing people as its greatest management resource, the NEC Group has been investing in its people by transforming systems and improving environments in ways that maximize the capabilities of employees and organization.

An NEC Group management policy in Mid-term Management Plan 2025 is integrating purpose, strategy and culture to maximize corporate value. Engagement scores are positioned as a core indicator for culture.

Key Strategic Themes

In order to implement its business strategies, the Company will steadily acquire, develop and utilize human resources to enhance and optimize the NEC Group’s talent portfolio. In acquisition, the Company is strengthening mid-career recruitment activities. In development, it is strengthening measures throughout the Group by having executives take ownership of a human resource development system for each job category. In utilization, the Company is promoting activities to build systems, mechanisms and support structures for assigning personnel to appropriate positions in a timely manner.

Key Themes for Culture

The key themes for fostering and inculcating culture are increasing resonance with management policies and strategies and fostering pride in work; ensuring that evaluations and compensation are carried out appropriately to increase motivation; and developing systems and mechanisms that achieve employee well-being and growth.

Risk management (including opportunity generation) in human capital management is described on the following pages.

Medium- to Long-term Goals, Priority Activities and Progress, Achievements, and Issues

Medium- to Long-term Goals and Priority Activities

(Scope: NEC Corporation unless otherwise specified; Period: April 2021 to March 2026)
M: Major non-financial indicators related to materiality

M：Employer of Choice–Transformation into an employer of choice and increase in job satisfaction
Engagement score of 50%¹

Other indicators and goals are presented in the sections at right.

FY2024 Goals, Progress, Achievements and Issues, and FY2025 Goals

FY2024 Goals

Increase engagement score
2023 One NEC Survey engagement score: +5 points year on year

Progress, Achievements and Issues

2023 One NEC Survey engagement score: +3 points year on year
The initial milestone toward the Mid-term Management Plan 2025 goal of 50% has already been reached.

Issues are as follows.

FY2025 Goals

Increase engagement scores
2024 One NEC Survey engagement score: +6 points year on year

Initiatives to address issues are as follows.

Employee Survey

One NEC Survey

To realize the NEC Group’s Purpose, the Company believes highly motivated employees are essential, and it has been conducting initiatives aimed at transforming into an employer of choice. Once a year, the Company conducts a global survey of all NEC Group employees, aiming to achieve an engagement score of 50%² by fiscal 2026. By achieving this score, the Company believes it will achieve its target of becoming a highly engaged team corresponding to Tier 1 at the global level. The whole Company is continuing to undertake these initiatives.