Human Resources Performance Report

Human Resources Performance Report

3 Times (2020)  9 Times (2025)

Target number of women in management

(compared with year 2014, Japan)

Basic Approach

Basic Policy for Personnel Management

Honda believes that human beings are born as free and unique individuals with  thecapacity to think, reason and create – and the ability to dream. The Company’s wish is to nurture and promote these characteristics in Honda by respecting individual differences and trusting each other as equal partners.

From this standpoint, Honda adopts Respect for the Individual, consisting of the three elements of initiative, equality and trust, as one of the Company’s Fundamental Beliefs. Honda believes this spirit should permeate all its relationships, not only with those in the Honda Group but with everyone in all companies with which Honda does business. The Company followsthe Three Principles of Personnel Management,  specifically Respecting Initiative, Ensuring Fairness and Encouraging Mutual Trust, when managing its human resources in areas such as recruitment, training, assignment and utilization, evaluation and treatment. Honda seeks to create an environment in which each associate’s ambitions and abilities can be developed, as well as a workplace where an individual’s potential can be actively exercised.

As Honda’s business activities expand into various parts of the world, taking into account “the Universal Declaration of Human Rights” as well as “the ILO Declaration on Fundamental Principles and Rights at Work,” it established Associate Relations Policies in March 2012 that are applied to Honda’s daily corporate actions, putting the Three Principles of Personnel Management into practice. Honda works to understand current conditions by conducting an assessment as to whether management operates in line with the Associate Relations Policies at each Group company and to respond appropriately in case any concerns are raised. Starting from FY2017, the assessment now covers joint ventures. In FY2018, there were no incidents identified.

Our Fundamental Beliefs

Examples of specific activities

Activities (Example) Target Description
● Pre-assignment training for persons stationed overseas(monthly) Associates stationed overseas Cultivating awareness for the importance of labor management based on the Associate Relations Policies
● Pre-assignment training for persons stationed overseas as officers of locally incorporated companies (annually) Associates stationed overseas as officers of locally incorporated companies Cultivating awareness for the importance of labor management based on the Associate Relations Policies
● Honda Associate Relations Policies practice level check (annually) Honda Group local subsidiaries, including joint ventures Paper-based assessment to confirm business operations are conducted in accordance with the Associate Relations Policies
● Global Human Resources Committee (annually)
● Regional human resources officers meeting (monthly)
Associates responsible for human resources at the corporate headquarters and regional operations Periodic meetings to share information and hold discussions with associates responsible for human resources in each region
●Global Monthly Report (monthly) Honda Group local subsidiaries, including joint ventures
A report for sharing the status of labor management of all local subsidiaries, including joint ventures

Global Management

Human Resources Vision and Strategies

In accordance with its Company Principle, “maintaining a global viewpoint, Honda is dedicated to supplying products of the highest quality yet at a reasonable price for worldwide customer satisfaction,” Honda has been proactively developing business with a view to entering the global markets since its foundation. In regard to its expansion overseas, Honda’s business model has evolved from exporting to local production and then to local development. In recent years, the Company’s production and development functions are being strengthened not only in developed countries but also in emerging countries, where demand for motorization is growing. Honda is striving for autonomy of its regional operations in six regions around the world.

In order to achieve this goal, Honda is pushing ahead with Global Human Resources Management Approaches that facilitate developing and assigning global personnel who plan, design and develop products that reflect market demand and who deliver quality products in a stable manner.

To be more precise, regional operation bases used to be managed mainly by Japanese expatriates; however, this style of management is being replaced by an approach where management is run by local associates, who are most familiar with the region. By assigning associates with experience in working for local and global operations to global functions, Honda tries to diversify and localize its workforce with multinational people in order to address market changes promptly and flexibly. Honda aims for the establishment of an organization in which it can demonstrate Honda’s total strength by
coordinating its operations globally.

Global human resources management approaches

Global human resources management approaches

Honda’s Approaches

Honda takes two approaches to supporting autonomous operations in six global regions and developing and assigning human resources to enhance Honda’s total strength.

The Company’s approach is to develop and reinforce local human resources. Starting with the Honda Philosophy, Honda core values and competency, Honda aims to share values with Honda Group associates and vitalize communication by creating a communication environment and making English the Company’s official language for interregional business operations. Honda provides training programs tailored for each region based on its needs and conditions, while offering at the global level shared training programs to develop global leaders.

Furthermore, in order for these global human resources to be able to play active roles worldwide, Honda has adopted a Global Job Grade System in which managerial positions varying from one operation base to another are defined by common grades across the group. The Company aims to realize ideal management level assignments with competent local personnel actively demonstrating their abilities in response to the needs of global operation bases.

Human Resources Management Structure

At Honda, the Human Resources Division and Associate Relations Division at the corporate headquarters in Tokyo draws up global human resources strategies from the mid- to long-term perspective in coordination with operations in each region. Strategies proposed by the division are discussed annually by the management members in the Global Strategy Committee.

The directions for personnel strategies deliberated in this meeting are broken down by theme for further discussion in the Global Human Resources Committee, in which associates responsible for human resources from six regions meet once a year. Once company-wide and regional plans and targets become concrete, activities are launched
throughout the Company.

Global human resources management

Global human resources management