After a briefing by the company the Committee discussed the following agenda: (1) Progress in business ethics promotion program at affiliated sales companies (using Aichi Chuo Mitsubishi Motor Sales Company as a case study); (2) Status of recall process audit. The views expressed and recommendations made by the Committee are summarized below.

1. Business ethics program at sales companies (Aichi Chuo Mitsubishi Motor Sales Company)

• The Committee is encouraged to see that Aichi Chuo Mitsubishi Motor Sales Company is working enthusiastically and in a realistic manner in its efforts to promote business ethics principles throughout its organization. The Committee felt there is much about the Aichi Chuo program that MMC could learn from and believes Aichi Chuo should team up with other front-running dealers and work side-by-side in installing their programs. The Committee sincerely hopes Aichi Chuo will persevere in its efforts.
• The Committee was very impressed to see that Aichi Chuo had compiled a checklist of items specifically tied to the actual content of everyday work and duties. The Committee feels that incorporating the PDCA (Plan-Do-Check-Action) cycle of measuring, evaluating and following up would put Aichi Chuo's program on a par with other front-running sales companies.
• The Committee would like to see front-running sales companies come together to hold high-level discussions on promoting business ethics principles in the actual workplace and thereby raise the bar to a new level of excellence.
• The Committee notes that it is the accepted practice in the industry for companies to take the lead from those at the fore. The Committee would like to see Aichi Chuo become a front-runner.
• The Committee recommends that Aichi Chuo look into the question of how to make more effective use of female staff in the showroom.

2. Status of recall process audit

• The Committee would like to see the Quality Audit Department's brief clearly state that its role is to investigate whether the recall process is being conducted "promptly" and "pertinently".
• The Committee asks the company to develop a method of investigating defects in parts and areas that are common to different models.
• The Committee points out that because MMC is in the business of selling cars it considers that the recall process audit should be conducted not just from the safety perspective but also from the perspective of the customer's sense of confidence in his car.
• The Committee notes the company's report that it has shortened the time interval between filing a recall and contacting those customers concerned but considers that this notification process is still too slow.
• The Committee recognizes that in some cases it may be difficult to pinpoint the cause of a defect. However, the Committee urges the company to prioritize and clear up all cases causing concern from the "Putting the Customer First" viewpoint because investigations in some of these are taking a considerable amount of time.

Noboru Matsuda
Business Ethics Committee Chairman