The Panasonic Group Code of Ethics & Compliance and our Basic Business Philosophy
Panasonic conducts business based on the management philosophy established by our founder, Konosuke Matsushita. All Panasonic members should put into practice the Basic Management Objective, the Company Creed, and the Seven Principles that form the basis of our management philosophy. We are committed to adhering to these principles and we share them with our customers, suppliers, business partners, shareholders and other stakeholders. On October 1, 2021 in view of our transition to a new operating company system with the aim of implementing autonomous responsible management, we significantly updated our Basic Business Philosophy taking into account the changes in social conditions and the business environment. The Basic Business Philosophy is the foundation for our practice to "devote ourselves to the progress and development of society and the well-being of people through our business activities, thereby enhancing the quality of life throughout the world", as set out in the Basic Management Objective.
Each of us at Panasonic must maximize and demonstrate our abilities and skills, clearly identify our ideal end state, share opinions that should be shared, make high-quality decisions speedily by integrating different opinions from diverse employees, and make untiring improvements. By doing so, we aim to be unrivalled in contributing to our customers and society. We must always take an honest look at the current situation, and if it conflicts with the direction of society, or if there is a better way, we will not hesitate to choose a new and better path promptly. We must put these basic values and principles into practice every day.
Our Basic Business Philosophy describes the practice of social justice, which is fundamental to our role as a responsible corporate citizen, and establishes the foundation for ethical corporate compliance. As a "public entity of society", we conduct our business using the managerial resources entrusted by society, so we must utilize these resources correctly for the benefit of society, and fulfill our responsibilities to the parties concerned. In addition to not violating laws and regulations, we must always consider what is right for society, and behave with integrity and with a sense of fair play. In order to do so, we must acquire proven wisdom and put it into practice. The tireless implementation of social justice will contribute to the true development of society, industry and our business partners.
In addition to outlining our commitment society, our Basic Business Philosophy also provides important guidance for us on how to manage our relationships with stakeholders on behalf of Panasonic in an ethical and compliant manner, including respect for the co-existence and mutual prosperity of stakeholders, respect for diversity, contribution to harmony with the global environment, and corporate social responsibility.
This Panasonic Group Code of Ethics & Compliance (this "Code") sets out “Our commitments” (the commitments that each Panasonic Group company must fulfill) and “My commitments” (the commitments that each Panasonic member must fulfill). Together, we commit to conduct business activities with the highest standards of ethics and compliance, embodying our Basic Business Philosophy.
- The Mission of the Enterprise
- The Mission of the Panasonic Group, and What We Must Do Now
- The Basic Management Objective
- The Company Creed and the Seven Principles
- The Basic Business Philosophy of the Panasonic Group
- Practicing the Basic Business Philosophy
- The Customer Comes First
- Autonomous Responsible Management
- Participative Management through Collective Wisdom
- Developing People and Making the Most of Their Potential
Enactment and scope of this Code
- Subject to paragraphs (1) and (2) below, this Code shall be established and revised by the Board of Directors of Panasonic Holdings Corporation and notified to each company in the Panasonic Group. This Code shall become effective at each Panasonic Group company immediately upon resolution by the relevant company's Board of Directors or by any other valid corporate procedure.
The Group CEO or Group General Counsel of Panasonic Holdings Corporation may make changes or updates, which do not substantially change “Our commitment” and “My commitment” (including changes or updates to the Resources section, photographs and designs in each Chapter and other stylistic or cosmetic changes) without the need for further approval by Panasonic Holdings Corporation or any other Panasonic Group company.
Any Panasonic Group company may, with the prior approval of Panasonic Holdings Corporation, supplement the content of this Code with additional requirements, specifically to align it with the laws, regulations and customs in its country and region and its business structures.
- For the purposes of this Code:
“Panasonic Group company” means any one of Panasonic Holdings Corporation, its subsidiaries (as defined in Article 2, Item 3 of the Company Act of Japan) and any other consolidated subsidiaries under IFRS, together “Panasonic” or the “Panasonic Group”.
“Panasonic members” means (1) all regular and contracted employees having employment relationships with any Panasonic Group company (2) all temporary staff and seconded employees working under the control and supervision of any Panasonic Group company and (3) all board directors, executive officers, executive counselors, fellows, corporate auditors, supervisory board, and corporate advisors or equivalent person appointed by any Panasonic Group company.
- This Code applies to all Panasonic Group companies which have validly adopted this code, to all their respective Panasonic members and, in certain circumstances (for example under the terms of a Panasonic commercial contract or as a pre-condition to doing business with a Panasonic Group company) and with respect only to certain relevant sections of this Code, to business partners of Panasonic Group companies, including suppliers and go-to-market intermediaries.
Violation of this Code
- Any Panasonic members who violate this Code may be subject to disciplinary action, up to and including termination of employment, in accordance with applicable internal rules, employment rules, individual contracts and local laws and regulations.
- In certain situations a violation of this Code may also be a violation of applicable international or local laws and regulations, carrying criminal penalties and administrative sanctions against any individuals involved as well as the company, including fines, imprisonment and other measures.
- Violation of this Code may also result in economic loss, loss of trust, and reputational damage for our company.