Basic Policy

The Z Holdings Group strives to fulfill its social responsibilities and aims for a continuous social and environmental development, while maintaining open dialogues with our stakeholders.

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Charter of Corporate Behavior

For information on our Charter of Corporate Behavior, please click here.

Respect for Basic Human Rights

The Z Holdings Group, comprised of Z Holdings Corporation and its consolidated subsidiaries and affiliates, works to maintain a safe and secure working environment, with initiatives conducted in respect of human rights and individualities. To achieve this goal, the Risk Management Committee, chaired by the Co-CEOs, has organized a Human Rights Working Group to conduct human rights due diligence (risk assessment). Through risk assessment, we are working to reduce risks by identifying and assessing risks, formulating response plans, and understanding their progress at each Group company.
In addition, formulation of a Group Human Rights Basic Policy is currently being considered.

Management Structure

The Z Holdings Group has established the ESG Management Committee, which is owned by the Group CFO, in order to fulfill its own social responsibilities and achieve sustainable development of the society and the environment. The Committee promotes ESG measures and the four UPDATEs in cooperation with each Group company (divisions in charge of CSR management, corporate matters, and business matters). The Group CFO is committed to ESG-related issues, meets regularly with the Co-CEOs, and makes recommendations to the Top Management Committee and the Board of Directors as necessary.

This is a CSR promotion system.The Social Responsibility Promotion Headquarters promotes measures in cooperation with the relevant departments of each measure. The status of activities is then reported to the CEO and directors through the ESG Promotion Committee, which is managed by the Corporate Group Manager of the Managing Executive Officer and the Corporate Officer of Social Responsibility Promotion.

ZHD: Z Holdings Corporation

Materiality for the Z Holdings Group

Formulation Process

The Z Holdings Group formulates its priority issues as materiality with an intent to build a future with its stakeholders, in which everyone can be free and be in control utilizing the power of the Internet in safety.
The materiality was re-examined and revised, taking into account the new management structure following the business integration with LINE Corporation in March 2021. (March 2022)

(Note) We are re-examining the identified materiality from fiscal 2021, taking into account the new management structure accompanying the business integration with LINE Corporation in March 2021, and in light of changes in the social demands.

Evaluation Map

The Z Holdings Group organized its activities in light of social demands, and identified items of high importance to both its stakeholders and the Group, based on stakeholder expectations and internal analysis. The GRI standards and major ESG evaluation items were also referred to in this process.

Organization of Identified Materiality

Established "Six materialities" for realizing the mission and vision of the Z Holdings Group based on the evaluation map.

Materiality, and Our Mission

The Z Holdings Group established "Six materialities" in order to realize its mission: "UPDATE THE WORLDーUnleashing the infinite potential of all people, with the power of information technology."
By addressing these issues, the Group will build a future with its stakeholders in which everyone can be free and be in control utilizing the power of the Internet with peace of mind.

Basic Environmental Policy

The Z Holdings Group, comprised of Z Holdings Corporation and its subsidiaries and affiliates, will continue to implement initiatives to conserve the global environment for future generations through the use of information technology. For this, we will strive to:

1. Realize a low-carbon society

We will set medium-term environmental load reduction targets and work with the supply chain to achieve these targets.

2. Conserve natural capital

・We will consider the impact of our business on the ecosystem and strive for sustainable procurement, waste management, and conservation of water resources and biodiversity.
・We will support efforts to preserve the global environment.

3. Fulfill legal compliance and international responsibilities

・We will place importance on environmental issues and strive to reduce risks.
・We will comply with domestic laws and regulations related to environmental conservation.
・We will support international environmental initiatives and work in collaboration with the international community to combat climate change.

4. Cooperate with the society through our services

・In response to natural disasters associated with climate change, we will collaborate with the society through cooperation with local municipalities and disaster prevention and mitigation services, etc.
・We will expand and enhance our recycling-oriented services to realize a sustainable society.

5. Educate and enlighten our employees to create the future

We will educate and enlighten our employees so that they understand the importance of environmental issues and are able to improve services and create innovations that are environmentally friendly.

CSR Materiality Issues and Numerical Targets, Contribution to the SDGs

We have classified materiality issues into four UPDATE areas where we would like to put our strength behind, and set mid-term goals for each issue. The specific examples noted below are those for Yahoo Japan Corporation ("Yahoo! JAPAN").

Note: The Z Holdings Group's priority issues (materiality) were revised in March 2022. The revision of numerical targets/contribution to the SDGs is also in progress.

#1 Developing an IT Society

We promote various measures in order to achieve a safe and secure IT society, such as the use of password-less logins to prevent unauthorized access by malicious third parties. As for information security, we take company-wide initiatives to prevent information leaks, service stoppage, and loss/fabrication of data and contents as well as to prevent material incidents. We take special care when handling highly confidential information.

Issues	Data security and network reliability
Mid-Term Goals	Goal 1 By FY2020: 30 million password-less login users per month	Goal 2 Reduce material incidents(1) by 10% YoY in the following three fields: Leakage of personal information Telecommunication service Financial service (1) Incidents that occurred within the business activities of the Z Holdings Group, which require reports to regulatory authorities (excluding the number of preliminary reports) (*2) Revised goal in July 2020 considering the results in the past years
Results	FY2017: 1.97 million FY2018: 9.6 million FY2019: 25.2 million FY2020: 30.97 million	FY2017: 10 FY2018: 14 () FY2019: 60 FY2020: 24 () From FY2018, includes incidents that occurred in PayPay Corporation
Examples	Password-less login and other security initiatives Practical training against cyber attacks Yahoo! JAPAN Security Center Spam protection
Contribution to the SDGs	9.1　Develop quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all

#2 Supporting Disaster Relief and Social Issues

We are committed to carrying out disaster relief initiatives and to solving social issues with information technology. We conclude alliances with local authorities aimed at providing timely disaster information to residents when disasters strike. In addition, we will also support projects that solve various social issues such as disaster reconstruction, poverty and environmental issues by collecting donations.

Issues	Disaster support measures and solving social issues
Mid-Term Goals	Goal 1 Cover 90% of the population by FY2025: Conclude disaster alliance agreements with local municipalities() () Local municipalities refer to cities, wards, towns and villages	Goal 2 By FY2028: 10 million donations annually through Yahoo! JAPAN Internet Fund Raising
Results	FY2017: 58.3% FY2018: 66.3% FY2019: 84.5% FY2020: 93.1%	FY2017: 1,624,966 FY2018: 2,804,457 FY2019: 1,453,120 FY2020: 1,255,131
Examples	Disaster alliance Yahoo! JAPAN Weather & Disaster Yahoo! JAPAN Disaster Alert Tour de Tohoku Collaboration with Fisherman Japan Yell Market Social Emergency Management Alliance (SEMA) Search for 3.11 Yahoo! JAPAN Internet Fund Raising Yahoo Japan Foundation
Contribution to the SDGs	11.5　By 2030, significantly reduce the number of deaths and the number of people affected and substantially decrease the direct economic losses relative to global gross domestic product caused by disasters, including water-related disasters, with a focus on protecting the poor and people in vulnerable situations 17.17　Encourage and promote effective public, public-private and civil society partnerships, building on the experience and resourcing strategies of partnerships

#3 Building a Society Where Everyone Can Play an Active Role

We aim to create a company and a society where people from all walks of life can actively participate making full use of their strengths. Online information should be equally accessible to all users including the elderly and persons with disabilities. The Z Holdings Group will work first on lifeline-related services which can involve life and death situations.
In addition, we will continue to implement workstyle programs for our employees to allow them to work at various stages in their life, such as during child raising, nursing, and career changes.

Issues	Realization of a company and society where diversity is respected and performance is maximized
Mid-Term Goals	Goal 1 By FY2025: In terms of service accessibility, several lifeline related services will be partially compliant with Level A of JIS X 8341-3:2016() ()Official name for JIS X 8341-3:2016:Guidelines for Older Persons and Persons with Disabilities - Information and Communications Equipment, Software, and Services - Part 3:Web Content	Goal 2 Full implementation of the following diversity measures by 2025: Project to support working women Round table talks on nursing and work Meetings where management directly answers employees' questions. Projects to support balancing of child raising and work Promotion for sabbatical leave
Results	FY2017: n.a. FY2018: "Audible Election" complied with Level A of JIS X 8341-3:2016 Other results not in response to JIS; Conducted visibility test of weather map by low-vision users when renewing Yahoo! JAPAN Weather & Disaster; Secured visibility of Yahoo! JAPAN Finance app FY2019: Added item to verify accessibility in a usability check conducted by an external vendor Visibility test conducted by a member of the "Normalization Project", which promotes the development of work environments whereby employees with disabilities can exert their full potential, and which supports their career development and working as a role model. FY2020: "Post-release patrols" of released smartphone apps are conducted, asking outside vendors to check them from the perspectives of UX and accessibility. While expanding the scope of the patrol to include web services from FY2020, we found 612 points that require improvement regarding accessibility, and 422 of these points were improved (including planned improvements). In consideration of color vision diversity, we conducted visibility verification (color vision verification, contrast verification, and Harding check of videos) and worked to improve accessibility in the following contents.- Website on the business integration between ZHD and LINE　 - Webpages related to Cho PayPay Matusri - Smartphone evacuation simulation - 3.11 Feature - "Disaster Prevention is Empowering" - Commercials and online advertising (videos) - Corporate website featuring the business integration	FY2017: 100% FY2018: 100% FY2019: 100% FY2020: 100%
Examples	Program for athletes with disabilities Audible elections Co-hosting of one of Japan's largest accessibility conference Sponsorship of "Global Accessibility Awareness Day" "Potential hiring" Promotion of healthy management Basic policy on diversity Woman PJ (women's workplace participation) Rainbow project Supporting employee diversity Sponsorship of "MASHING UP"
Contribution to the SDGs	5.5　Ensure women's full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life 8.5　By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value

#4 Working toward a Sustainable Society

A healthy global environment is a premise to peoples' lives and society, and we cannot develop an IT society without it. Electricity, which is the most consumed form of energy in our business, still emits a vast amount of greenhouse gases during the process of power generation and continues to affect climate change. We are committed to the realization of a sustainable society by reducing our greenhouse gas emissions while also implementing our environmental measures both inside and outside our company.

Issues	Responding to climate change
Mid-Term Goals	Goal 1 By FY2030, reduce CO₂ emissions subject to the GHG Protocol Scopes 1 and 2 to net-zero *Goal revised in March 2022, accompanying Z Holdings Corporation's announcement of "2030 Carbon Neutrality Declaration"
Results	CO₂ emissions (CO₂-t) FY2018: 101,314 FY2019: 118,345 FY2020: 118,058
Examples	Z Holdings Corporation Announces "2030 Carbon Neutrality Declaration" Next generation datacenter Introduction of renewable energy Cultivation of firefly habitats in biotopes Green500 supercomputer Eco-friendly company initiatives
Contribution to the SDGs	12.5　By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse 13.2　Integrate climate change measures into national policies, strategies and planning

Communication with Stakeholders

We will actively listen to the voices of our stakeholders and promote our "four UPDATEs" to develop a sustainable society and to enhance our corporate value.

Stakeholders	Communication methods and content	Reflecting on our goals/ corporate activities
Users	Establish a contact point (e.g. inquiry forms for each service) Conduct customer satisfaction survey Conduct user interviews and hold supporters'club Collect information through various websites and social networking service pages Post corporate information and business results on our official websites and social networking service pages	Enhance customer service Provide new services/functions Continually improve services
Shareholders and other investors	Annual general meetings of shareholders Financial results briefings Dialogues with Japanese and overseas institutional investors IR website Issue Integrated Report	Provide timely, accurate information on such topics as business operating conditions Enhance quality of corporate management through constructive dialogues Shareholder return
Partners	Maintain daily communication through transactions Hold conferences, training sessions, and other events with advertisers, content providers, e-commerce store operators, and other partners CSR procurement Conduct periodic surveys	Strengthen relationships based on mutual trust Promote procurement based on Basic Policy on Procurement
Employees	Employee awareness surveys Compliance Hotline (internal reporting system) Harassment Hotline Intranet-based information dissemination Active implementation of internal projects Exchange of opinions between the employees and the management Informal gatherings of former Company employees	Improve workspace and work culture Plan and evaluate labor and human resources policies Respect the human rights and individuality of each employee Maintain employment
Regions and society	Participate in joint public-private sector projects Participate in economic and Internet industry organizations Collaborate with law enforcement and investigative bodies Cooperate in regional contribution activities and events at each business location Corporate fellowships (Outsource company personnel to governmental agencies/ministries, local municipal offices) Cooperate with NPOs/NGOs	Participate actively in regional communities Propose measures to invigorate the entire Japanese economy and Internet industry Leverage state-of-the-art information technologies to identify and solve social problems
The next generation	Provide Yahoo! JAPAN Kids service Collaborate with educational organizations for children's educational measure Internet education to prevent repeat offences provided in family courts, penal institutions, etc. Conduct Hack Kids, Yahoo! JAPAN MeetUP, etc. Organize SID Japan(), conduct workshops at international conferences () SID (Safer Internet Day): A day in which stakeholders around the world conduct awareness-raising activities toward the safer use of Internet	Increase appropriate Internet access points to children and raise awareness both inside and outside the Company Offer initiatives for next-generation Internet-based society