Having identified “employees are the most important assets,” “working to improve the job satisfaction of
each employee,” and “aiming to achieve the management philosophy, growth strategy, and budget by drawing
out the strengths of each employee” as important perspectives of human resource management, the SUGI
Pharmacy Group aims to become a company that is needed for the long term by integrating them into its
management strategy. And the Group promotes human capital management under the six pillars of “personnel
system,” “human resource development,” “recruitment and retention,” “compliance and corporate culture
reform,” “diversity,” and “health and safety.” We work to achieve sustainable growth by realizing the
Total Healthcare Strategy, which is our group vision, and through “kind behavior,” “contribution to local
communities,” and “happiness and smiles of employees,” which are the tenets of the Group’s management
philosophy.
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Improving job satisfaction through personnel system reform
At SUGI Pharmacy, our core business, we have been upgrading our personnel system with regard to
evaluation, remuneration, and welfare benefits, based on the idea that employees are our most
important assets. As a result, we have achieved steady progress: the turnover rate has been reduced by
half since 2018; the engagement score, which measures job satisfaction, has exceeded that of other
companies for managers; and the company-wide average has increased every year. This year, we will
further advance the SUGI Pharmacy job-based personnel system, which evaluates the daily work of
managers and general office workers alike and reflects the evaluation in remuneration. We will
fundamentally revise the system for managers to clarify each individual’s role in job descriptions and
evaluate their duties and accomplishments more accurately than before. We will also adjust the level
of remuneration to align with the size of our business, taking into account the external environment.
For general office workers, we will increase the allowances of store managers, who play a central role
in our growth strategy. We will also introduce a new allowance for pharmacy and home-visit
prescription dispensing center managers. These changes aim to ensure that, in addition to individuals’
capabilities, employees who bear large responsibilities and deliver high results are evaluated and
awarded accordingly. We will expand this SUGI Pharmacy job-based personnel system to other group
companies and revise it into a personnel system that allows each employee to experience job
satisfaction and growth.
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Human resource development that cares for the needs of each employee
We will develop human resources by providing training to acquire knowledge and skills, as well as job
rotation to gain experiential skills. We will change our training program to a more personalized
approach. Each employee’s current position will be assessed, and they will be provided training in the
skills they lack. We will also strengthen the link between off-the-job training (OFF-JT) and
on-the-job training (OJT), fundamentally revise the training feedback system, and update training
programs to be more practical by integrating the training know-how of each group company. In job
rotation, we will actively exchange personnel among group companies to develop human resources that
can grow dramatically in a short period of time. We will also promote in-house job postings and a free
agent (FA) program, which are aimed at increasing employees’ willingness to take on new challenges and
improving their motivation. We will make group-wide efforts to develop self-directed employees.
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Securing human resources through recruitment and retention
In terms of securing human resources, we will strengthen the recruitment of new graduates and
mid-career hires and prevent employee turnover. In hiring new graduates, we will strengthen our
recruitment of student partners with the aim of hiring individuals who can become immediate assets and
contribute to local communities more than before. We will also accelerate job-based hiring, including
providing higher initial salaries to individuals with strong basic capabilities and skills, as well as
directly hiring individuals into head office divisions. Regarding mid-career hiring, in anticipation
of future expansions in business areas and size, we will strengthen our recruitment mainly of
specialists in healthcare, overseas businesses, and digital transformation (DX), as well as
individuals to lead next-generation corporate divisions, including corporate planning, finance, legal
affairs, and human resources. As for the prevention of employee turnover, we have made significant
progress, with the turnover rate cut in half as a result of company-wide retention activities.
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Developing an open corporate culture
Since its launch, the number of calls to the Workplace Concerns Consultation Hotline has continued to
increase, helping employees feel more psychologically secure. In FY 2025, the relevant departments,
including personnel and sales, will continue to work together to sincerely respond to feedback sent to
the call service. In order to improve our working environment, we have been conducting tours of all
stores by all officers since FY 2021 as part of corporate culture reform. This year, we have expanded
these initiatives to the entire Group and are working to develop an open corporate culture in which
management diligently listens to the opinions of employees and the voice of each employee reaches
management.
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Promotion of diversity management
As of the end of FY 2024, the percentage of female managers in the Group was 13.9%. Although women
make up about half of our workforce, the lack of promotion of competent female employees has been an
issue. Against this background, we will increase the percentage of female store and area managers
responsible for work sites to 20%, as well as the percentage of female officers and managers,
including department and section heads, to 15%, by the end of FY 2025. To this end, we will improve
our workplace environment to enable those with time constraints to play more active roles, as well as
add women’s empowerment to our evaluation targets to raise managers’ awareness. In addition, we will
assign senior management candidates an officer mentor who is not their direct supervisor. This mentor
will provide a wide range of support, both in work and in career development.
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Promotion of healthy and safe management
In addition to raising awareness of our health management policy within the Company and strengthening
coordination with occupational health physicians, we have promoted work style reform and taken
measures such as reviewing our compensation system and enhancing our benefit programs. As a result, we
have consecutively been certified as an Outstanding Organization of KENKO Investment for Health. Going
forward, we will promote health management at the Group level with the aim of obtaining a “White 500”
enterprise certification.