Organization

Approach

The management of a Motivation Company, which uses employee motivation as its growth engine, places its business and organization on an equal footing. We believe that linking a business strategy that maximizes customer value and an organizational strategy that makes the most of human capital while investing an appropriate amount of time and money in both to obtain returns will increase corporate value over the medium to long term and enable us to carry out our mission.

1. * Human capital ROI = Adjusted operating income ÷ Investment in human capital
   Adjusted operating income is a profit indicator that measures operating results. It excludes temporary factors such as goodwill, right-of-use assets, and impairment of fixed assets from operating income.
   Investment in human capital reflects total expenditures, including employee salaries and bonuses, statutory internal and external welfare expenses, commuting expenses and other executive compensation.

Productivity

Human capital ROI based on ISO 30414 has been steadily rising and is at a high level of over 50%.
Gross profit per employee has also continued to increase, and we expect further improvement in productivity going forward.

Human Resource Capabilities

Human resource capabilities show the degree of alignment between the abilities required by the organization and the abilities possessed by the individual in it. As a management KPI, we use an 11-level ratings scale for role survey scores, which are calculated by measuring the degree of alignment between the expectations and satisfaction of others regarding the performance of the survey subject.

Rating of the status of performance of required roles at each rank on an 11-level scale based on a score calculated by measuring the degree of alignment between the expectations and satisfaction of others.

• *Calculated based on data from approximately 850,000 respondents in 7,790 corporate diagnoses

The Role Survey Rating, which indicates human resource capabilities, remains at a high level, with A or higher ratings for more than 50% of employees overall, and more than 70% of managers.

Engagement

Engagement shows the degree of alignment between the organization’s vision and individual motivation. We use Engagement Rating as a management KPI for the status of engagement in an organization. This indicator is on an 11-level scale based on Engagement Score^*1,which is calculated by measuring the degree of alignment between employee expectations and satisfaction.

Rating of the status of engagement in an organization on an 11-level scale based on a score calculated by measuring the degree of alignment between employee expectations and satisfaction

The Engagement Rating, which indicates organizational strength, remains at a high level, with all Group companies*⁴ continuing to receive an AA or higher rating.

1. *1  Engagement Score is a registered trademark of Link and Motivation Inc. (Registration number 6115383).
2. *2  Engagement Rating is a registered trademark of Link and Motivation Inc. (Registration number 6167649).
3. *3  Calculated based on data from approximately 5.09 million respondents in 12,650 corporate diagnoses.
4. *4  Excluding Link Dining Inc., which is engaged in other businesses.