Risk management framework
In principle, the Compliance and Risk Management Committee holds a general meeting once every six months. Special committee meetings are also held to discuss and implement various measures as necessary.
Additionally, each department at PARCO head office, each PARCO store, and each group company has a compliance and risk management leader
who promotes proper compliance and risk management, shares risk management information to facilitate discussion on proper and timely response methods, and encourages management and on-site employees to work together to enact measures in accordance with environmental changes both inside and outside of the company.
Details related to compliance and risk management initiatives, including the above strategies for serious risks, are reported to the Management Committee once every six months.
PARCO Group Business Continuity Plan (BCP)
In the PARCO Group, our disaster-readiness efforts include periodic fire drills for PARCO building staff, coupled with paramedic response training courses, to protect lives and safeguard assets in the event of an emergency. In addition, to provide services on a continuous basis, we have procedures in place to prevent or minimize risks that could occur in the event of a major disaster.
The “PARCO Basic Business Continuity Plan for Major Earthquake Disasters” was formulated in 2011, and revises it about once a year in line with changes in the times, and updates and improves the contents.
We conduct regularly scheduled BCP drills each year to test our about to react quickly to scenarios simulating the occurrence of an actual major disaster. At Nagoya PARCO, we adopted a ground filtration system as a measure to ensure potable water supplies exist should a natural disaster occur. The filtered groundwater is used for drinking water and facility equipment throughout the complex.
PARCO’s Business Continuity Plan for Major Earthquake Disasters was formulated to ensure that PARCO can quickly resume business operations and fulfill its social mission even in the event of a large-scale disaster that damages our commercial facilities or impacts Head Office functions.
Upon confirming the safety of customers, shop staff, and PARCO Group employees, the plan provides direction on mobilizing the strengths of all employees to maintain a level of service and commercial space that will enable us to continue to pursue our corporate mission of "creating welcoming spaces." The plan sets forth PARCO’s post-disaster recovery plans, ongoing support, and basic conditions for resuming business operations.
Proactively supporting local communities in the event of a disaster
Major earthquake disasters threaten not only businesses, but also local governments and residents, and cooperation with these groups is essential for the smooth and effective recovery of affected areas, including PARCO stores. We believe that proactive, mutual assistance for local areas and neighboring businesses should be carried out in parallel with the recovery of PARCO stores. PARCO’s Business Continuity Plan for Major Earthquake Disasters also sets forth our policy for providing assistance to customers who have difficulty returning home in the event of a disaster.
Pre-arrangements with tenant shops for sale of daily necessities
PARCO has made arrangements with shops that carry daily necessities—primarily food, medicine, outdoor goods, and light clothing such as underwear—so that these items can be provided or sold at outside locations in the event of a disaster to affected areas.
Collaboration with residents and government
Local cooperation, partnerships and support
To the extent possible, PARCO will provide voluntary assistance and relief support and equipment to victims of natural disasters in the areas in which we operate. We will also support regional restoration activities and work to provide information and other forms of aid through our tenant shops.
Cooperation with local governments
In the event of a large-scale disaster such as an earthquake, business continuity is necessary both from the perspective of resuming store operations and contributing to local recovery. For that reason, PARCO exchanges information with local governments not just when disasters occur, but in normal times too.
Mutual support among local businesses
PARCO is strengthening relationships with neighboring businesses in the areas in which we operate and exchanging information and establishing cooperative frameworks as a means of providing mutual support and assistance. In the event of a disaster, this cooperation helps facilitate local recovery by providing evacuation guidance, personnel, equipment, and supplies.