In 2016, Arcadyan established the CSR Committee, which was expanded and reorganized under the Board of Directors in 2020, and renamed the "Sustainability Committee." The President serves as the chairperson, with meetings held at least once a year to report on sustainability progress and future plans to the Board. Agenda items include:
(1) identifying key sustainability issues and developing responsive action plans;
(2) setting and revising goals and policies related to sustainability;
(3) overseeing the implementation of sustainability initiatives and evaluating their execution.
The President assigns senior executives to lead the Sustainability Execution Team, collectively reviewing the company's core operational capabilities and devising short, medium, and long-term sustainability plans, with progress tracked in regular quarterly meetings. Additionally, a "Sustainability Development Office" was established, with dedicated personnel to promote sustainability efforts and ensure top-down implementation of corporate social responsibility.
Starting in 2024, Arcadyan has integrated sustainability-related indicators into the performance targets of executive management. Linking executive compensation with sustainability performance aims to encourage leaders to prioritize corporate sustainability goals. Arcadyan evaluates the involvement and contributions of executive management to company operations and reviews the compensation system in response to external factors and regulatory changes. The President determines the allocation of executive compensation based on the achievement of performance targets and reports to the Chairman. Final decisions are made by the Remuneration Committee and the Board of Directors.
The performance target allocation for Arcadyan’s executive management is as follows:
