Society

Approach to Local Communities

As set forth in our Code of Ethical Conduct, we place importance on social responsibility and proactively contribute to local communities. With the aim of fostering mutual prosperity with local communities, we promote projects that create social value. We also place importance on dialogue with local communities and proactively engage in activities that promote mutual understanding.

Initiatives for Local Communities

Addressing Social Issues Through Our Business

We promote the solution of social issues through our business, including the following specific initiatives in each business division.

Logistics Business

Demand for cold storage facilities has grown in recent years due to the expansion of e-commerce and increased consumption of frozen foods. Additionally, labour shortages have become a major challenge in the logistics industry due to reforms in truck drivers' working conditions and the harsh working environment in cold storage facilities.
→We develop frozen and chilled warehouses, automated frozen warehouses and three-temperature-zone warehouses. We are also incorporating universal design principles to create comfortable work environments for a diverse workforce. Furthermore, our automated frozen warehouses will be fitted with automated equipment to eliminate the need for on-site staff, enabling 24-hour operation.

Hotel Business

Although Japan boasts abundant tourism resources and many attractive cities, there is still a shortage of accommodation suitable for family and group trips by domestic and international travellers.
→We expand a nationwide network of hotels—primarily in major tourist cities—where groups of four or more can stay comfortably. This initiative meets the ever-growing demand for tourism and contributes to regional revitalisation. Furthermore, to ensure accessibility for a diverse range of guests, we are actively promoting the provision of barrier-free rooms and multilingual support.

Healthcare Business

In Japan’s ageing society, the shortage of healthcare facilities has become a chronic social issue.
→As a developer supplying new facilities to the market, we  address this issue by creating 'open hospices' that are easily accessible to families and allow residents to feel connected to the local community. Our facilities feature spacious, multipurpose common areas that serve as venues for communication among residents and for hosting events designed to foster interaction with local community members.

Interaction with Local Community / Social Contribution Activities

Sponsoring a Pro Basketball Team

In 2023, we made SENDAI 89ERS Co., Ltd., the management company of the SENDAI 89ERS, a consolidated subsidiary. This has enabled the company to strengthen its efforts to nurture its athletes and enhance its facilities in order to realize its corporate philosophy of “contributing to the creation of a prosperous society and developing the vibrant city of Sendai through basketball.” Through this tie-up, we also plan to collaborate with and contribute to the local community in multiple ways, including revitalizing the regional economy and providing sports education to children.

Furthermore, the Group company FHG hotels Co., Ltd. provided hotel accommodations as the official hotel partner of BLACK SUMURAI 2025 THE CAMP, an athlete development project organized by pro basketball player Rui Hachimura. 

fav and HERALBONY Joint Project

In collaboration with the experimental welfare unit Heralbony, we are pursuing an initiative to set up art rooms featuring the work of artists with intellectual disabilities. The joint project between the companies began with the introduction of art rooms featuring the work of artists under contract with Heralbony at fav Hiroshima Stadium in August 2022. Today, rooms based on this concept have been set up at multiple facilities. Under this project, a total of 500 yen per room per night (of which 250 yen is from hotel guests and 250 yen from our subsidiary FHG hotels Co., Ltd.) is paid as royalties to the artist through HERALBONY. Rather than providing support to people with disabilities, we are paying to exhibit their works, thereby expanding the scope of opportunities for artists, which will promote and popularize their creative activities.

Other Social Contributions

Healthcare Business

Spacious multi-purpose spaces within hospice facilities are used as places for communication between users as well as holding events that deepen interactions with local residents.

Hotel Business

• At fav Takamatsu, restaurants where employees go to socialize are recommended to customers by posting them on a noticeboard.
• At seven x seven Itoshima, employees participate in a monthly beach cleaning activity.
• At fav Tokyo Ryogoku, in order to engage with the local community, the hotel opens up its first-floor café as a water station for people carrying mikoshi (portable shrines) during the annual Ushijima Shrine Festival and provides them with drinks and snacks free of charge.

Approach to Human Capital

The fundamental structure common to all our business activities is creating value (i.e., profit) by identifying issues within the world and solving them. The ability to think critically is essential to achieving this. The sense that something is not right with existing systems and the inclination to question whether the status quo is really acceptable lead to the discovery of new challenges and business ideas.

However, raising questions alone does not create new value. To give shape to such questions in a feasible way, it is essential to have human resources who can take action while working with those around them and earning their trust—in other words, trustworthy people.

Our human resources policy of developing trustworthy people with the ability to think critically focuses on fostering these characteristics.  

Creating value by addressing social issues is the heart of our management strategy, and the way to achieve that is through the power of our people. Our human resources strategy is an important element supporting value creation in conjunction with our management philosophy, and we continue to intentionally strengthen this connection.

Initiatives for Human Capital

Recruitment

We place great importance on discovering talent who share our philosophy of “Turning Challenge into Value” and can tackle challenges with us. To recruit trustworthy people, we actively make use of referral-based recruitment, whereby we hire human resources who share our values and aspirations through referrals from our employees.

Recruitment based on trusted connections also helps new employees to become settled into the organization and quickly play an active role. We will continue strengthening our use of referral-based recruitment as a means of both spreading our philosophy and improving the quality of our human resources.

Human Resource Development

Based on our belief that people are the source of sustainable value creation, we place human resource development at the core of our management.

To embody this idea, we are implementing our own development program, the Toranomon Juku (cram school). Our goal is to develop the kind of talent that any company would want by providing experience at our Company, and we aim for growth with a human touch rather than simply pursuing knowledge acquisition and producing human resources. Toranomon Juku is at the forefront of our efforts, and this year we are focusing on development of the management team in particular, working to strengthen their practical skills through training and 360-degree evaluations.

We are also working toward full-scale development of CxO personnel who will drive corporate transformation.

Training

We develop training plans tailored to issues facing our company and employees.
Training content examples: 

Training content examples: 

• Training for new hires : company orientation
• Training in specialized fields : real estate finance, AI
• Training for managers : management training (including 360-degree survey), harassment training
• Compliance training : insider seminar (preventing illegal transactions), information security training, etc.

Supporting acquisition of qualifications

To promote employees’ personal growth, skills development, and career advancement and enhance our organizational vitality, we have introduced an education support program that covers expenses such as courses, materials, and registration fees to promote the acquisition of qualifications designated by the company (e.g., real estate transaction specialist, first-class architect).

Personnel evaluations and feedback

Every six months, we conduct regular personnel evaluations for all full-time employees. These evaluations involve interviews between superiors and subordinates based on targets set by employees. Feedback is provided after sharing opinions about career advancement and other topics. 

Diversity

We believe that diverse perspectives are the starting point for discerning the true nature of problems and creating new value. Of our mid-career hires, 40% are promoted to managerial positions, and employees are promoted regardless of their background or experience. Based on our philosophy of “Turning Challenge into Value,” we aim to be an organization that respects and leverages the power of individuals with diverse experiences and the ability to raise questions. We will continue to view diversity not simply in terms of composition ratio but as a force that drives our business forward, and we will accelerate our efforts to promote it.

Engagement

In order to provide sustainable value to all our stakeholders, we believe it is essential to first create an environment in which each employee feels fulfilled both mentally and physically and can take on challenges with confidence in their abilities. No matter how ambitious our ideals and strategies may be, they are ultimately driven by the will and energy of each individual. Based on this understanding, we have expanded employee benefits and improved working conditions, as well as developing a mechanism to accurately capture the perspectives of employees in the workplace through an engagement survey (conducted once a year for all employees) and 360-degree evaluations. Viewing engagement as a source of value creation rather than a means to an end, we will continue seeking to enhance it in the future. 

Initiatives to Improve Engagement

As part of our initiatives to develop trustworthy people with the ability to think critically, as outlined in our human resources policy, we hold a new business proposal competition that enables all employees to directly pitch ideas to management. This encourages employees to independently think about the company’s business and is expected to improve engagement.　
To visualize the views of officers and employees and the challenges facing them and reflect them in our organization-building measures, we have introduced an employee suggestion box system to collect opinions and requests from officers and employees. 
Opinions submitted to suggestion boxes are provided directly to the representative director in summarized form.

Engagement survey results

• Motivation Cloud engagement

Initiatives to Improve Engagement

As part of our initiatives to develop trustworthy people with the ability to think critically, as outlined in our human resources policy, we hold a new business proposal competition that enables all employees to directly pitch ideas to management. This encourages employees to independently think about the company’s business and is expected to improve engagement.　
To visualize the views of officers and employees and the challenges facing them and reflect them in our organization-building measures, we have introduced an employee suggestion box system to collect opinions and requests from officers and employees. 
Opinions submitted to suggestion boxes are provided directly to the representative director in summarized form.

Corporate Culture Reform

Work style reform

Believing that free thinking and proactive actions are sources of creating new value, we are promoting initiatives that fundamentally reconsider conventional work styles. In July 2025, we expanded our office space, moving forward with creating a space that allows diverse workstyles to coexist and fosters casual communication.

Furthermore, we are devoting effort to improving our environment in order to facilitate more dynamic interactions, which will naturally foster interactions between employees and enhance the organization’s sense of togetherness and creativity. Based on our philosophy of “Turning Challenge into Value,” we are rebuilding the foundation for value creation in terms of both how and where we work.

We have also introduced various programs to enhance employee happiness. These include the promotion of flexible work styles so that all employees can make full use of their skills and contribute to the organization’s growth, programs to support both mental and physical health, and programs to enhance work-life balance. We have developed.

Benefit programs for all full-time employees

*The following are some examples:
・Secondary employment
・Workcation system
・Accommodation subsidy
・Company-rented housing system
・Loan system
・Collaboration with welfare service providers

Occupational safety and health

To maintain the work environment at our head office, a health manager visits each floor once a month and inspects it for hazards and impediments. We have also established a health committee with one member from each department, which holds meetings once a month.

Compliance consulting service

We have established a compliance consulting service which all employees may use to discuss or report matters anonymously. In accordance with the Compliance Manual, the anonymity of whistleblowers’ personal information is maintained and the reported information is kept confidential. In addition, whistleblowers are legally protected under the Whistleblower Protection Act, which ensures they will not be subjected to any detrimental treatment. 

Health and Productivity Management

We view employees’ health as one of our most important management priorities and have positioned health and productivity management as the foundation for value creation. Mental and physical wellbeing is a prerequisite for employees in exercising their ability to think critically and be trustworthy people, creating a foundation for sustained growth of the organization. By establishing an online medical consultation system that can be used by both employees themselves and their families and minimizing the impact of health concerns on their duties, we have established an environment that enables employees to focus on their work with peace of mind. Health is not just for work—it enriches life as a whole and is the basis for living your best life. We are developing a sustainable organization founded on physical and mental wellbeing that enables each and every employee, as well as their families, to enjoy a positive, active life.

Please see the following Health and Productivity Management page for details.

HR data

Basic information

Recruitment and turnover

• Excluding dispatched employees whose term has expired, etc.

Promotion of diverse work styles