Human Resource Development

Human Resource Strategy to Realize Active Participation by All Employees

Human Resource Development

Supporting human resources to independently take on challenges and thrive

Nurturing the spirit of originality, enthusiasm and innovative challenge, we aim to build an energetic and promising workplace where dreams abound by stimulating our workplaces and raising the level of organizational capabilities through improvement activities.

Human resource development initiatives

To enable each and every employee to maximize their abilities, we firmly implement the “cycle of active participation and growth” by having a regular interview three times a year between superiors and subordinates and conducting various types of training consisting of training by job grade, function, and workplace. In particular, in training by job grade, we implement “preparatory training” to acquire the mindset, stance, and skills equivalent to higher role qualifications, aiming to smooth role fulfilment after promotion. We also provide reskilling opportunities to existing employees. Specifically, by learning the skills to respond to digitalization in line with market needs, we will expand the field of activity and realize the growth of the employees and the company. Along with this, Tokai Rika Training School’s educational curriculum is also shifting to a focus on software.

Cycle of active participation and growth

Supporting self-reliant career development

Our Company supports self-reliant career development in order to promote employees’ individual growth (which drives company growth) by leveraging their experiences, skills, and unique qualities. We implement various initiatives to help our employees foster self-reliant careers.

1 Transfer and development plans for employees requesting transfers for three consecutive years

To support each employee in developing their own career, we have introduced a new system where workplaces systematically respond to employees who have submitted transfer requests for three consecutive years. The company’s basic policies for this system are to have employees formulate a development plan and engage in dialogue with supervisors. Last fiscal year, 223 employees submitted requests, leading to the formulation of transfer plans for 37 employees, of whom 26 were successfully transferred. This fiscal year, 167 employees have requested transfers for the third consecutive year. We are encouraging more dialogue about career direction by reviewing each employee’s transfer and development plans.

FY 2024 transfer requests / Transfer and development plans
FY 2022–2024
consecutive
transfer applicants
223
Planned transfers and transfers
realized for FY 2024
26 of 37 employees transferred 108 employees
(with transfer plans
formulated between
FY 2024–2026)
Planned transfers for FY 2025 & 2026 71 employees
Non-transfer development plans 115 employees
FY 2025 transfer requests / Transfer and development plans
FY 2023–2025
consecutive
transfer applicants
167
Planned transfers for FY 2025 Formulated by each
department by the end of August 2025
Planned transfers for FY 2026 & 2027
Non-transfer development plans
2 A new free agency (FA) system

We newly introduced a free agency (FA) system to support our employees’ aspirations for growth. This system provides highly-rated and promotion-eligible employees—who demonstrate strong motivation to take on new challenges, even if their career direction is not yet clear—with new opportunities to thrive within the company. Our scouting department requests interviews based on the information of registered employees, and transfers are finalized after coordinating with the employee’s current department. By lowering the barriers to transfer, we support our employees in carving diverse career paths and moving closer to their future goals by allowing them to gain experience in workplaces suited to their interests and talents.

3 Expanded the incentive program

To spur more employees in challenging themselves, we expanded the scope of our incentive program introduced in January 2024 to include advanced examinations and qualifications equivalent to national certifications. We subsidize examination fees for all exam-takers and provide a lump-sum bonus to those who pass.
As of August 2025, there have been 61 employees who have applied and are taking on a challenge.

4 Developing human resources who can think and act independently based on principles

Building upon the philosophy of the Toyota Production System (TPS), we are developing human resources who can think and act independently based on principles. In addition to the ongoing use of TPS at our factories, we began implementing it within our offices for all Company activities in 2025. Through ongoing efforts, we aim to strengthen our corporate foundation and uphold the Tokai Rika spirit.

The management concept of TPS

Developing and effectively using the human resources we need

Our Company implements measures to develop the next generation of executives, leaders, managers, as well as young employees, to cultivate human resources who will enhance corporate value. We also provide training for line managers to strengthen their management skills in order to foster workplaces that encourage employees to take on challenges. For young employees, we offer an overseas trainee program that develops cross-cultural understanding and problem-solving skills, thereby promoting their growth as human resources that can thrive globally.

1 Development of select human resources

Our development program for future management, launched in FY 2025, aims to develop human resources that can enhance corporate value, selecting candidates for the next generation of executives, managers, and leaders.
For executive candidates, we offer a program where they can experience management reforms through the implementation of TPS, cultivating their management perspective, as well as their ability to make decisions and take initiative.
For future managerial candidates, we conduct developmental training aimed at fostering leaders who take initiative and inspire others, helping them build a foundation for adapting to internal and external changes. For future leadership candidates, we will provide them with opportunities that enhance their practical skills through difficult experiences and broaden their career possibilities.

Overview of our development program for future management

2 Training for line managers

We began implementing a training program for line managers (managerial level) in 2025 that aims to strengthen their management skills. First reaffirming the role of management, line managers then systematically learn how to both set goals that encourage employees to take on challenges and provide feedback that fosters growth. The program aims to instill these skills by having them practiced in the workplace and providing ongoing follow-ups. Through this training, we seek to improve our mindset towards human resource development and adopt management practices that encourage risk-taking.

3 Overseas trainee program

Tokai Rika offers an overseas trainee program for young employees to cultivate a global perspective and grow through difficult experiences. Trainees spend one year working at overseas locations under local managers, developing cross-cultural understanding and problem-solving skills. By working overseas, our employees gain new insights and opportunities for growth, enabling them to thrive in global business environments.

Indicators and Targets

We implement measures using the following indicators to realize our strategies, and our targets and results related to the indicators are as shown below.

Vision Indicators FY 2024 FY 2030
Targets
Measures
Team building to
realize active
participation by
all employees
Building an organizational culture where all human resources can work with vitality and thrive Percentage of respondents who are happy to work for their current company 71.2% Over 80%
  • Strengthening career counseling
  • Training line managers
Rate of absence from work due to illness 3.5% 2%
  • Expanding health checkups (milestone health screenings, cerebrovascular exams, etc.)
  • Walking Challenge
Decrease in productivity due to poor mental and physical health (presenteeism rate) 21.6% 12.4%
Percentage of employees with abnormal findings in health checkups 42% 35%
Childcare leave acquisition rate for male employees 91.4% Over 90%
  • Introducing a handbook on supporting work-life balance during childcare
  • Briefing sessions on supporting the balance of work and childcare
Average days of childcare leave taken by male employees 88.3 days 90 days
Percentage of female managers 2.0% 5.1%
Percentage of female supervisors 5.5% 8.5%
Support human
resources to
independently take
on challenges
and thrive
Encouraging the human resources we need to take on challenges and evolve Participation rate in diversity activities (cumulative) 15% 100%
  • Diversity management training
  • Cross-industry leadership lectures and networking events
Employees using the incentive program (who earned a certification bonus) 34 100
  • Expanding incentive programs
  • Strengthening career counseling/Planning transfers and development
  • Overseas trainee program
Developing and
effectively using
the human
resources we need
Building a system that leverages our human resources and generates results Employees using the outside challenges (side job) system 87 100
Employees taking part in on-demand training 635 1,400
Overseas trainees dispatched 0 30

To Achieve Tokai Rika Vision (TRV) 2030

To achieve our FY 2030 goals, we will further evolve our human capital management. Amid rapid environmental changes and technological innovation, the company’s sustainable growth will require us to maximize the capabilities and motivation of each employee and enhance the organization’s overall capacity for transformation. Therefore, we will pursue the following key priorities to achieve our goals for FY 2030 and sustainably enhance corporate value.