Annual Report 1999 ［ PDF：672KB ］ - Shiseido group website

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Social Contribution Activities
In our ongoing quest to create a beautiful global culture, we at Shiseido apply our accumulated
knowledge and skills to our corporate activities. The scope of our activities is wide, covering such
areas as welfare and regional social activities, educational support, “graceful aging” activities, and
artistic and cultural support.
In fiscal 1999, we energetically undertook social activities related to the aging of society. These
included beauty-related workshops held at homes for the elderly, as well as instruction in cosmetics
application techniques for elderly people suffering from senility. In addition, we supplied beautyrelated
information cassettes and books in braille to libraries for the visually impaired.
In recognition of our grassroots activities, we received Prominent Company Social Contribution
awards in 1998 (Special Award) and 1999 (Consumer Awareness Award) from the Asahi Newspaper
Cultural Foundation. In September 1998, Shiseido received the ninth Award for Companies with
Excellent Consumer Awareness, bestowed by the Minister of International Trade and Industry. This
award underscores the widespread recognition we have won for our efforts to make customers and
society happy.
Responding to the Year 2000 Computer Problem
We at Shiseido recognize that the Year 2000 (Y2K) computer problem is a serious issue that has the
potential to fundamentally affect our operations. The issue must also be treated as a potential problem
for society in general. This understanding is shared by everyone in the Shiseido Group, from top
management to employees in Japan and overseas. Accordingly, we have adopted a sense of urgency in
implementing various countermeasures.
The products and services offered by Shiseido are unlikely to play a causal role in Y2K-related
errors. As a manufacturer, however, we are responsible for the steady supply of products, and to
guarantee this we inaugurated a full-scale Y2K project team in 1997. Aware that the need for swift and
steady responses increases with each passing day, we recently reinforced our implementation capabilities.
In March 1999, for example, we established the “Y2K Committee,” chaired by a senior executive
director of the Company.
By September 1999, we are scheduled to complete tests and other aspects of Y2K compliance
enforcement covering information technology (IT) areas related to computer systems; non-IT areas,
such as microchip-embedded equipment; and tests with our business partners within and outside the
Company, both in Japan and overseas. We are currently making steady progress, with IT-related compliance
testing almost completed. In addition, in June 1999 we formulated a basic contingency plan
covering our core operations, including main production facilities. We plan to develop an action
manual based on this plan by September 1999.
We have allocated an expenditure of approximately ¥1 billion for Y2K compliance enforcement
measures covering the entire Shiseido Group. Of this total, around ¥700 million has already been
used. Aware that additional unforeseen expenditures may be required, we are prepared to allocate
extra funds as necessary. It is our policy to cover such expenses in a way that minimizes their effect on
the Company’s bottom line.
Even after having completed our Y2K compliance plan, we cannot fully guarantee the uninterrupted
supply of products if unforeseen circumstances arise. Be that as it may, we are doing our
utmost to minimize the risks involved.
Annual Report 1999
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