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Initiatives for Dependable Quality

Based on the Quality Policy established in accordance with our MISSION and Charter of Conduct, we listen attentively to our customers and promote initiatives to improve and maintain the quality of our products and services. To earn the trust of our customers, we work with our suppliers to ensure dependable quality control.

Formulating customer satisfaction indicators

We strive for the highest level of customer satisfaction in order to realize “a beautiful smile” as stated in our PURPOSE. Accordingly, we have formulated customer satisfaction indicators so that all employees can satisfy our customers through our products and services. Our concept of customer satisfaction consists of the following six indicators, which we believe will result in the very best customer satisfaction.

Promotion system

In FY2024, we set KPIs for each of six indicators and established a system that encourages related divisions to take responsibility for efforts to achieve the targets. In FY2025, we introduced processes for regularly monitoring and assessing achievement of these targets. Now that we can visualize progress and swiftly identify issues, our improvement process is stronger. This has increased the effectiveness of the indicators, expedited improvement actions, facilitated crossdivision sharing of issues, and substantially advanced our operation of the PDCA cycle. We will institutionalize these monitoring and assessment processes in an effort to continuously improve our KPIs and to increase customer satisfaction.

 KPIs based on six indicators

Assessment:  ✓Achieved target (90% or more)                   
 Failed to achieve target (Less than 90%)

Indicator KPIs FY2025
assessment
(i) Activities for safety and security

Indicator improvement rate according to quality audits
Employee attendance rate for safety and security training

✓
(ii) Ensuring safety and security

Number of violations of laws and regulations concerning products and services

✓
(iii) Activities to improve customer satisfaction

Rate of comments linked to improving customer satisfaction

✓
(iv) Achieving customer satisfaction Customers’ intent to continue using products according to customer satisfaction surveys (NRS* values) ✓
(v) Activities for realizing our PURPOSE Implementation rate of activities for realizing our PURPOSE ✓
(vi) Achieving customer satisfaction to work toward our PURPOSE Contribution to customers’ smile level according to customer satisfaction surveys ✓

* Net Repeater Score

Quality initiatives

To ensure that customers can use our products with confidence, we have established a quality control system and are taking measures based on our Quality Policy. 

We are especially committed to safety and security—specifically, our Quality Assurance Section assesses whether products manufactured by OEM partners meet our quality standards by obtaining samples before products are shipped. We conduct stability tests and use the results to check quality according to predetermined standards. Whenever values fluctuate (even if they are within the standards), we check directly with the OEM partner to ensure dependable quality. We have also established quality manuals, quality assurance regulations, and written procedures based on the Act on Securing Quality, Efficacy and Safety of Products Including Pharmaceuticals and Medical Devices for internal use to ensure thorough quality control and quality assurance.

FY2025 activities for safety and security
Indicator improvement rate according to quality audits 100%
Employee attendance rate for safety and security training 100%

Human Capital

We consider people to be our strength and are working to develop people who embody our Image of Ideal Human Resources. We are working to establish a human resources development system so that each employee can demonstrate their individuality and play an active role, and to create environments in which they can work vigorously and with a sense of fulfillment.

Image of Ideal Human Resources

In order to realize our PURPOSE, the ideal employee will embody the philosophy as an employee of Shinnihonseiyaku and have the ability to put the CREDO into practice.
  1. As an employee of the company, the ideal employee will have an attitude toward work, sense of ethics, and people skills commensurate with their position.
  2. The ideal employee will treat everyone with love, take nothing for granted, and always act with a spirit of gratitude both inside and outside of the company.
  3. The ideal employee will have the ability to see the positive in changes in social circumstances and business conditions, use them as opportunities for personal growth, and channel the results into creating innovation.
  4. The ideal employee will have the ability to act in a challenge, change, and growth-oriented manner while resolving issues, and leverage their experience to perform at a high level and produce results. 
  5. The ideal employee will have the ability to contribute to the development of future generations by always focusing on our PURPOSE and spreading that awareness to everyone around them so that the company is always advancing and they themselves are constantly growing.

Human Resource Development Policy

We believe that in order to realize “Beyond innovation, for a beautiful smile!,” as stated in our PURPOSE, all employees must have dreams and aspirations and grow by seeking out challenges on a daily basis.

  1. We will pursue our MISSION and management policy and develop the next generation of leaders who will solve social issues.
  2. We will develop human resources who continue to seek out challenges without losing sight of their own value, even in a complex, ever-changing environment. 
  3. We will develop diverse human resources who can continue to create new value in times of high uncertainty by respecting differences in age, gender, nationality, expertise, experience, and other individual attributes. 
  4. We will develop human resources who take nothing for granted and strive to realize their dreams and aspirations with a spirit of gratitude.

Internal Environment Development Policy

Our Charter of Conduct requires us to improve work environments. To create work environments where employees feel comfortable and fulfilled, we have formulated the Internal Environment Development Policy. We respect the character, individuality, human rights, and diversity of our employees, and accordingly create comfortable, pleasant, and fulfilling work environments. 

1.Respect for human rights and diversity

We respect all kinds of diversity—from nationality, race, gender, and age to experience, sensitivities, values, and expertise—and accordingly create environments in which each employee can demonstrate their individuality and abilities and play an active role. 

2.Promoting employees’ safety, security, and physical and mental health

To create environments where each and every employee can perform their duties safely and with peace of mind, we will enhance organizational capabilities through active communication and create environments that generate innovation. As a company that delivers innovation in beauty and health around the world, we are committed to raising our employees’ awareness of health and promoting their physical and mental health.

3.Accommodating flexible work styles

We aim to improve productivity and the work-life balance of each employee by supporting flexible work styles.

4.Creating a fulfilling culture

We value the autonomy and willingness to face challenges of each and every employee and strive to maximize performance by creating a culture in which everyone can work vigorously and with a sense of fulfillment to achieve personal growth.

Improving work environments

To ensure that employees can engage in their work with peace of mind and good mental and physical health, we are taking steps to improve work environments, for example providing a company cafeteria that offers healthy meals to employees and counseling services for mental and physical health.

Promoting human capital management efforts: Proposed 2027 Human Capital Management Policy

Basic policy Create organizations and develop human resources who have dreams and aspirations and act in a challenge, change, and growthoriented manner.
Objective Realize our PURPOSE and become a leading company in the field of health and beauty
  • Basic policy
    Create organizations and develop human resources who have dreams and aspirations and act in a challenge, change, and growthoriented manner.
  • Objective
    Realize our PURPOSE and become a leading company in the field of health and beauty

To actualize management strategies in this time of sweeping social changes and extreme volatility, uncertainty, complexity, and ambiguity (VUCA), we must tackle issues from new angles and reach solutions. Given this, we have established a Company PURPOSE to explain the reason for our existence: to leverage novel ideas to continue to deliver innovation in beauty and health to our customers. We also explicitly state in our Image of Ideal Human Resources that we need employees who act in a challenge, change, and growth-oriented manner while resolving issues and are capable of producing results. To become a leading company in the field of health and beauty, our human capital strategy looking forward is to encourage employees to act in a challenge, change, and growth-oriented manner in terms of three aspects—personnel systems, talent creation, and well-being management—and proactively promote people from within in addition to successfully establishing a structure of teams and individuals focused on management strategies to contribute to achieving the Medium-Term Management Plan.

Basic strategy 1: Personnel systems

Objective: Reward results, encourage desire for challenges and growth

  1. Ratings: Encourage desire for challenges and growth
  2. Evaluations: Properly evaluate results and contributions

  3. Compensation: Reward commensurate with results

Our personnel systems are structured such that they reward employees’ efforts and results and encourage their desire for challenges and growth. We also provide base pay increases and year-end bonuses as rewards for contributing to profits based on salary increase rates that reflect recent inflation.

Basic strategy 2: Talent creation

Objective: Develop employees who constantly adapt to change, seek out challenges, and pursue growth

  1. Hiring:
    Hire a diverse range of people (people with advanced expertise, people with global experience)
  2. Training:
    Train people to become Group managers and acquire advanced expertise
    Train candidates for the next generation of executives
    Instill and foster a corporate culture (permeation of PURPOSE and MISSION)

We provide many opportunities for learning and programs to develop employees who constantly adapt to change, seek out challenges, and pursue growth.

ⓐ Shinnihon University (a corporate university)

We operate Shinnihon University, a corporate university that provides training tailored to different levels. We also hold Innovation Business Conferences (IBCs) for managers and Junior Board Conferences for select employees (mostly young) on a regular basis to develop a shared understanding of our history and vision and foster a key mindset. Through these efforts, we aim to swiftly develop the core people who will actualize our management strategies.

ⓑ Strategic job rotation

As part of our human resource development, we strategically rotate employees through jobs. We aim to develop people who can flourish in a wide range of fields by equipping our employees with knowledge and expertise gained from varied work experience based on our value chain.

ⓒ Promoting autonomous career development

To encourage employees to develop their own careers, we use career design sheets to learn what they want out of their careers and then support their careers. Then, through one-on-one meetings, they learn more about themselves and gain a sense of personal growth while mapping out their own careers.

Basic strategy 3: Well-being management

Objective: Create motivation, improve engagement

  1. Health and productivity management:
    Promote employees’ physical and mental health
  2. Create motivation:
    Establish motivating work environments
    Create internal communication

Based on the concept of being ourselves in good health and happiness every day, we promote well-being management with the aim of creating fulfillment and improving engagement for each employee.

ⓐ Promoting physical and mental health

Under our health and productivity management declaration, we engage in efforts to promote physical and mental health. In terms of mental health care, we have established an external contact for consultations, enlist professional counselors to provide support, and operate a program developed in collaboration with our occupational physician to help employees return to work after a period of leave. As for physical health, we encourage regular medical examinations and have also established a system that allows female employees of all ages to receive breast cancer screenings. 

ⓑ Company cafeteria

As a company that delivers innovation in beauty and health, we want to contribute to our employees’ health first and foremost. Toward that end, we have a company cafeteria on the top floor of our Head Office building that serves daily specials and a “smart lunch” prepared under the supervision of a registered dietitian and designed to provide nutritional balance such that it provides around one third of the daily energy intake needed by adult women.

ⓒ Award programs for encouraging pioneering

Our award programs encourage employees to voluntarily and proactively explore new frontiers based on our CREDO, “Act in a challenge, change, and growth-oriented manner.” With the Shinnihon Award recognizing unprecedented success, the Challenge Award for achieving results with innovative efforts, and other events to recognize employee efforts, we are fostering a culture that admires challenging themselves from many perspectives.

ⓓ Commemorative gifts for long service

We express our gratitude for the contributions of employees who have worked for us for many years, and present them with travel vouchers and special leave to give them opportunities to refresh.

ⓔ Revised rules on childcare and nursing care leave

In April 2025, we revised our childcare and nursing care leave system to reflect changes in society. We expanded nursing care leave to a maximum of 180 days and introduced measures such as allowing employees to reduce their working hours by up to two hours per day when providing long-term care to family members who require it. With these revisions and the 12 days of time off for nursing adult family members provided annually, we aim to strike a balance between a supportive work environment and sustainable growth.

Basic strategy 4: Organizational structure focused on management strategies

Objective: Establish an organizational structure for achieving management strategies

  1. Organizational strategies:
    Identify strategic divisions and establish a personnel structure for achieving the Medium-Term Management Plan
    → Formulate and execute organizational strategies (organizational introspection) and workforce planning
  2. Personnel KPIs:
    Establish and monitor based on organizational strategies

We maximize the performance of teams and individuals by examining how to structure the organization to actualize management strategies and visualizing employees’ skills and experience to leverage in human capital strategy for assigning and developing human resources. We have also established personnel KPIs and proactively implement personnel measures designed to fill gaps in an effort to enhance our corporate value.

ⓐ Workforce planning

Based on organizational strategies, we formulate workforce plans that reflect not only headcount, but also the skills and experience required at each level. We use written job descriptions to ensure objectivity in qualitative assessments, and execute workforce planning through outside hiring and promoting from within.

ⓑ Scheduled monitoring and improvement action on personnel KPIs

By regularly monitoring personnel KPIs to visualize the progress of our human capital strategy and revising measures in response to issues, we enhance the effectiveness of our human capital strategy and contribute to the actualization of our management strategies.

Human Rights and Diversity

We aim to create work environments in which diverse human resources with different values and ideas can demonstrate their individuality and abilities and play an active role. We also work with our business partners to conduct business activities that respect human rights throughout the supply chain.

Respect human rights and diversity

We have established respect for human rights and diversity in our Internal Environment Development Policy, and are committed to creating work environments where everyone can play an active role and a culture that respects human rights and diversity. In addition, our Procurement Policy clearly lays out our respect for the human rights and diversity of employees and aims to create comfortable work environments. Based on these policies, we will create environments in which individual employees can demonstrate their individuality and abilities, and conduct business activities that respect human rights and diversity throughout the supply chain.

Promoting women’s participation and advancement

We developed the PERFECT ONE All-in-One Gel series—our main products—so that busy women in any number of diversified lifestyles can experience the benefits of skincare without spending much time or effort. At our company, where approximately 80% of employees are women, we have identified promoting women’s participation and advancement as a material issue and aim to create work and social environments where women can play an active role.

Formulating action plans* based on the Act on the Promotion of Women’s Active Engagement in Professional Life and the Act on Advancement of Measures to Support Raising Next-Generation Children

To create work environments in which women and other diverse human resources can play an active role, we have formulated an action plan that includes support for women’s careers and consideration of initiatives to encourage participation in childcare regardless of gender. We are promoting initiatives in line with this action plan.

* This action plan has been published on the Ministry of Health, Labour and Welfare’s “Information site to support efforts to balance work and family life: Support for Balancing Work and Family Life.” 

System for balancing childcare and nursing care with work*
Maternity/paternity leave Leave that can be taken for up to 28 days within 8 weeks after the birth of the child to be cared for
Childcare leave Leave that can be taken to care for a child up to the age of 2
Reduced working hours for childcare A system under which working hours can be reduced by up to two hours a day when raising a child until the end of the third grade of elementary school
Nursing care leave Leave that can be taken when caring for a family member in need of nursing care Up to 180 days can be taken
Changes in working hours to facilitate childcare A system under which working hours can be changed when raising a child until the end of the third grade of elementary school
Changes in working hours to facilitate nursing care A system under which working hours can be reduced by up to two hours a day when caring for a family member in need of nursing care
Time off for nursing children Time off that can be taken to take care of children, etc. until the end of the third grade of elementary school (5 days per fiscal year; 10 days per fiscal year for two or more children)
Time off for nursing adult family members Time off that can be taken to care for a family member in need of nursing care (12 days per fiscal year, regardless of the number of family members)

* Requirements apply for some leave and time off.

Creating workplaces where everyone can play an active role

We employ people with disabilities at the Logistics Center responsible for shipping products. They are in charge of sorting and packaging products, work that is essential for delivering those products to customers.

Trends in employment of people with disabilities
  FY2023 FY2024 FY2025
Employment rate for people with disabilities*

4.0%

3.6%

3.1%

* Employment rate (including non-regular employees) as of June 1 each fiscal year according to government calculation basis

Supply Chain Management

Cooperation with suppliers is essential for sustaining our business and addressing social issues. We are committed to sustainable procurement activities, including compliance with laws, regulations, and social norms and consideration of the environment, human rights, and occupational safety and health.

Formulating the Shinnihonseiyaku Group Supplier Guidelines

We have Shinnihonseiyaku Group Supplier Guidelines in place to establish a responsible supply chain in cooperation with all of our suppliers. These guidelines aim to strike a balance between fulfilling our social responsibilities and continuously advancing our entire supply chain so that we can sustainably supply reliably safe products to our customers. We will continue to work together with our suppliers to engage in sustainable procurement activities throughout our entire supply chain to build a sustainable society.

Shinnihonseiyaku Group Supplier Guidelines

As a company that supplies products that are a part of people’s everyday lives, we believe it is important to work with our suppliers to form a sustainable supply chain so that we can fulfill our social responsibilities at every step along the way. Accordingly, we formulated the Procurement Policy. Based on this policy, we also formulated nine compliance items of the Supplier Guidelines that we expect every supplier to observe.

(1) Compliance with laws
  • Conduct business in compliance with laws, regulations, and international and social norms
(2) Fair, equitable trade
  • Prohibit corruption and bribery

  • Exclude antisocial forces

  • Establish a whistleblowing desk

  • Engage in highly transparent transactions in compliance
    with antitrust and subcontracting legislation

(3) Rigorous information management
  • Protect and manage confidential and personal information
(4) Environmentally friendly business activities
  • Develop environmentally friendly products and services

  • Reduce waste

  • Reduce CO2 emissions

  • Take measures to prevent environmental pollution

  • Conserve biodiversity

(5) Human rights
  • Respect human rights and diversity

  • Eliminate child labor and forced labor

(6) Labor
  • Maintain safe and secure work environments

  • Prohibit long working hours

  • Respect people’s freedom of association and right to
    collective bargaining

(7) Quality assurance
  • Provide products and services that satisfy laws and regulations and the company’s quality standards
(8) Sustainable supply
  • Establish systems for dependable supply

  • Sustainably procure raw materials

(9) Information disclosure
  • Disclose information to stakeholders properly

Promotion system

We administer SAQ* to our main suppliers in pursuit of more advanced sustainability and risk management throughout the supply chain. In FY2024, we used the SAQ to collect basic data and gain a better understanding of our suppliers’ compliance on key issues such as laws and regulations, the environment, human rights, and labor. Based on our findings, in FY2025, we further enhanced our efforts and implemented a series of processes that included administering the SAQ as well as conducting assessments based on internal standards, cross-checking responses, and engaging in communication geared toward improvement. We engage in constructive communication with our suppliers to clarify issues and drive improvements based on assessment results and continuously monitor progress through follow-up.

Through these efforts, we have established an operational framework for a continuous improvement cycle centered on the SAQ. Looking ahead, we will continue to enhance this cycle while building stronger trust with our suppliers and working to enhance transparency and resilience throughout the supply chain.

* CSR procurement self-assessment questionnaires

Stakeholder Engagement

To realize our PURPOSE, we are proactively disclosing information and using surveys and other means to learn what our stakeholders think and want and reflect our findings in our business activities.

Communication with stakeholders
Stakeholders Dialogue and communication Frequency
Customers Sales and marketing activities Daily
Call Center, websites, and other customer touchpoints Daily
Websites Constantly
Customer questionnaires Daily
Customer satisfaction surveys As needed
Shareholders and investors General Meeting of Shareholders Once per year
Financial results briefings Regular
Small meetings with investors As needed
Individual interviews As needed
Corporate website As needed
Responses to questionnaires and surveys from ESG rating agencies As needed
Suppliers Procurement activities Daily
Supplier briefings As needed
Quality Conferences Regular
SAQ Regular
Employees Employee attitude surveys (motivation surveys) Once per year
Workplace Representative Committee As needed
Health Committee Once per month
Other meetings As needed
Management policy presentations Once per year
Intranet and internal newsletters As needed
Internal mixers As needed
Local communities Participation in local events As needed
CSR As needed
NPOs, NGOs Meetings and collaboration with NPOs and NGOs As needed
National and local governments, industries, and academic societies Participation in industry activities As needed
Research in collaboration between industry and academia As needed
Local community revitalization measures As needed

Dialogue with shareholders and investors

General Meeting of Shareholders, financial results briefings, and individual interviews

We hold quarterly financial results briefings for shareholders and investors, as well as individual interviews and small meetings for follow-up as needed. We held a total of 78 individual interviews and small meetings in FY2025. We also hold a General Meeting of Shareholders each year and endeavor to engage in dialogues with shareholders.

Dialogue with employees

Management policy presentations

At the beginning of each fiscal year, we hold a presentation called the Midterm Strategy Conference (MSC), which gives employees the opportunity to hear management strategies and execution plans for the fiscal year directly from top management and division managers. After the MSC, we administer a questionnaire to all employees. The results are reported to management and reflected in the management of the conference to facilitate communication.

Dialogue with local communities

Participation in a local event: Hakata Dontaku Harbor Festival

The Hakata Dontaku Harbor Festival is a local festival held in Fukuoka City in early May that attracts more than 2 million visitors and dates back nearly 840 years. Each year, with the aim of injecting energy into Fukuoka— where our headquarters is located—and expressing our unending gratitude to the local community, we form the Shinnihonseiyaku Dontaku Troupe to appear in the festival’s parade. In FY2025, a group of more than 100 employees performed a “Yosakoi” dance with smiles on their faces to a famous Kyushu-style tune about the Gods of Fortune from across Japan.

Dialogue with national and local governments, industries, and academic societies

Local community revitalization measure: Illustrating a future with beautiful smiles through beauty and health—Illustration Contest in collaboration with the Fukuoka City hometown tax donation program

Inspired by our participation in Fukuoka City’s hometown tax donation program, we teamed with the city and its soccer team, Avispa Fukuoka, to hold an illustration contest open to children aged 12 and under in Japan. With the theme of “a future with beautiful smiles through beauty and health,” we held an awards ceremony to honor the three winning entries selected from among the 60 total submissions through a rigorous judging process. The winning illustrations were used as limited-edition packaging for PERFECT ONE Wrinkle Stretch Gel gifts sent to people who donated their taxes to Fukuoka. Looking ahead, we will continue to collaborate with local governments and groups to promote initiatives that revitalize local communities and support children’s beautiful smiles in daily life.

CSR

We are committed to CSR activities that bring beautiful smiles to local communities. Each of our employees actively takes part in the activities, fostering a sense of participation in society.

Pink Ribbon Campaign at Avispa Fukuoka home match

About 80% of our employees are women. For this reason, and to create environments where all women can work with peace of mind, we have improved our system so that female employees of any age can receive breast and cervical cancer screenings during their medical examinations. Additionally, to improve the low breast cancer screening rate in Fukuoka Prefecture, we have implemented the Pink Ribbon Campaign since 2021 at an Avispa Fukuoka home match for which we serve as the title sponsor. We are also working with NPO Happy Mamma to raise awareness of medical examinations by putting up educational posters and distributing original goods.
Breast cancer screening targets
Breast cancer screening availability for employees Maintain 100%
Improve breast cancer screening rate in Fukuoka Prefecture

55% or more by 2026*

* Plans to refer to the “Comprehensive Survey of Living Conditions” published by the Ministry of Health, Labour and Welfare in 2026

Oita International Wheelchair Marathon

First held in 1981 as the world’s first international competition exclusively for wheelchair athletes in Oita, a leading prefecture in sports for people with disabilities, this race has since grown into one of the planet’s largest wheelchair marathons, and is a major goal for wheelchair runners worldwide. We endorse the marathon’s mission and have been a sponsor since 2009. We also have new employees participate as volunteers to serve as a human resource development opportunity.

Supporting efforts for a future with beautiful smiles: Japan Heart Asia Children’s Medical Center

With their vision of “Build a world where everyone can be grateful for the gift of life,” we have long supported the activities of International Medical Volunteers Japan Heart, an organization that provides medical care in underserved areas. In FY2025, Japan Heart Asia Children’s Medical Center opened just outside the Cambodian capital of Phnom Penh. The opening ceremony was attended by around 300 people, including local government officials, medical professionals, and Japanese companies— including us—as well as individual supporters. The new hospital focuses on treating pediatric cancer—an area where international support is lacking and disparities are pronounced—in addition to training local medical personnel in pursuit of sustainability.

Main CSR activities

Collaborator Activity content
Avispa Fukuoka Premium Uniform Partner
RIZING ZEPHYR FUKUOKA Official Partner,
Wheelchair Team Sponsorship
International Medical Volunteers Japan Heart Sponsorship
Heartspace Approved Specified Nonprofit Corporation Sponsorship
Oita International Wheelchair Marathon Sponsorship
Fukuoka Marathon Sponsorship
C’s Athlete, an employment center
for athletes with disabilities
Sponsorship
Kyushu Pro-Wrestling,
Non-Profit Organization
Kyushu Genkitai Platinum Member