As a nonprofit research institution, the Japan Corporate Governance Research Institute (JCGR) started a corporate governance survey in March 2002 for all companies listed on the First Section of the Tokyo Stock Exchange Stock Market.
However, with the advent of Abenomics in 2012, the corporate environment regarding corporate governance changed dramatically. In spite of the change, in order to capture the time-series changes in corporate governance of Japanese companies, JCGR kept changes in questionnaires to a minimum.
JCGR decided to revise the questions of the JCGIndex survey, making the most of the opportunity of JCGR’ separation from the Corporate Governance Network (CG-Net), to which JCGR was integrated in 2012. However, JCGR’s attitude towards corporate governance has not changed at all. In order to show the philosophy of JCGR’s corporate governance survey (JCGIndex Survey), its purpose stated in the wish letter at the time of the first survey (2002) is given below (corrected slightly).
From now on, JCGR will call 16 surveys from 2002 to 2017 as the first phase survey and the survey after 2019 as the second phase survey.
About publication of JCGIndex of individual company
Under globalization, corporate governance is becoming one of the key criteria for corporate evaluation. Investors, as well as all stakeholders in the company, are interested in corporate governance. In that sense, we expect all companies to answer and that we can publish the index. We also ask that you approve the publication of your JCGIndex.
JCGR hopes that all respondents willingly accept the announcement, but JCGIndex for companies that do not receive approval will keep it confidential. However, we will announce the names of all the companies that responded. Also, for the top half companies with large JCGIndex figures among all responding companies, the company name and JCGIndex will be announced as the top group. Please confirm the approval in the form attached to the answer sheet.
In any case, we will report the JCG Index of each company to the companies that you have answered, so please use it inside and outside the company. However, when publishing, please specify that it is the JCG Index of the Japan Institute of Corporate Governance (JCGR). As JCGR, we analyze the JCGIndex of each company statistically and announce the “overall picture” of the responding company.
If you would like to know the details of a particular company’s response and the JCG Index, please request written consent from the company that allows us to provide the information. We offer it under certain conditions such as confidentiality.
Phase 2 Survey Report
Financial supporter for the JCGIndex survey
The Corporate Governance Survey has been funded by the University of Michigan Ross School of Business Mitsui Life Financial Research Center since 2008.