Relationship with Employees

Takeda's basic human resource principal is to "develop a high-performance, results-oriented culture within our organization with motivated employees who take pride in and find a sense of accomplishment from their work."

To realize the management mission: "to strive toward better health for individuals and progress in medicine by developing superior pharmaceutical products," Takeda supports a culture of achievement and success by providing HR practices and policies that offer challenging developmental opportunities and recognize employee performance. We believe in challenging all employees to go the extra mile for themselves, for the customer, and for the organization.

To this end, Takeda has developed a system to provide employees with a variety of opportunities to learn to become genuine "professionals," with a strong sense of ethics and high level of universally accepted professionalism. There are other systems in place to fairly evaluate employees, based on their achievements and for appropriate placement, and provide them with various forms of support so they can be devoted to their work.

Takeda strives to attract capable people with diversified senses of value and talents by developing and/or enhancing such systems and structures.

Employees' Human Rights

Takeda has been conducting business activities based on the "Takeda Code of Compliance Standards," which defines Takeda's compliance standards, as well as required compliance with employment-related laws and regulations regarding the labor hours, minimum wages, child labor, and forced labor, etc. in each country. The "Takeda Code of Compliance Standards" prohibits not only unfair discrimination on the basis of nationality, race, ethnic background, belief, religion, gender, age, handicap, disease and social status but also other discriminatory treatment and harassment, while it also stipulates our commitment to avoid such matters. Takeda respects human rights from global perspectives in accordance with the code.

Global Human Resources Policy

Takeda has established the Human Resources Vision: "we develop a high-performance, results-oriented culture within our organization with motivated employees who take pride in and find a sense of accomplishment from their work." as a basic human resource principle. Takeda has previously implemented various reforms in terms of personnel affairs, and these initiatives have been compiled into the "Human Resources Philosopies" in order to realize the "Human Resources Vision." These philosopies describe the basic principles and concept regarding the personnel system and its operation, such as recruitment, assignment, development, assessment and compensation, and the Company implements human resources programs based on the philosophies.
Based on the 2006 - 2010 Medium-Term Management Plan, we have been proactively and intensively working to establish effective and efficient human resource management from global perspectives for "growth toward a world-class pharmaceutical company with Japanese Origin." The Strategic Global HR is striving to develop a work environment where every single employee can be active as a "professional" in the rapidly changing market environment.

Development of Global Leaders

In alignment with rapidly expanding business opportunities worldwide, Takeda has been proactively developing talented employees who can be a global leader of the company, regardless of different cultural and environmental backgrounds. A new global leader development program named "Takeda Leadership Institute" has started from April 2007 with participants from all Takeda organizations worldwide. The first module was held in Singapore. This program is positioned as a key part of our leadership development programs, and employees participating in the program are expected to achieve the goals stated below:

Performance Goal of the Takeda Leadership Institute

• • Having a clear profile of leadership, expected as a role model of leaders in the group
• • Understanding differences of culture and business environment in each part of the world, and learning how to improve cross-cultural communication
• • Establishing a global human network within the group

In Japan, Takeda provides a training program to develop next-generation leaders. This program is designed to provide educational opportunities for motivated and ambitious young talent by offering opportunity for employees to apply directly for the program, in addition to recommendations from each division. We will further enhance the human exchange from a company-wide and a global perspective, for the purpose of developing global talent who can lead business activities from the global standpoint.

Training Program For The Enrichment Of The Human Resource Pipeline

Takeda is also focused on developing autonomous professionals who are capable of fulfilling our mission: "we strive toward better health for individuals and progress in medicine by developing superior pharmaceutical products," as well as leadership development, and has established an educational training system to strengthen expertise and professional skills of employees.
Takeda provides training programs designed for each function - research, development, marketing, and production, etc. - with the aim of learning specialized knowledge as well as technical skills, and also have programs classified and delivered according to each stage of career - new employees, mid-career employees and newly-appointed managers, etc. In addition, the Company also focuses on reinforcing the organizational strength through support toward employees, wishing to strengthen their individual capabilities; namely the provision of training programs using e-learning courses as educational materials, in order to trengthen business and English skills.

Takeda Leadership Institute: the first module in Singapore

Japan

Utilization of Diversified Personnel

Takeda considers it vital to adopt the flexible use of human resources, regardless of gender and age. In Japan, Takeda has introduced a performance- based personnel system from as early as late 90's and has enhanced the system toward a performance-based and capabilitybased system, totally free of the influence of gender, age and academic background.
In response to the increased social demand for employment creation for females and aged individuals in Japan, Takeda is promoting the utilization of female employees as well as reviewing the reemployment system for aged individuals who reached mandatory retirement age. In fiscal 2006, Takeda launched the "Takeda Women's Network," which was designed for female employees to discuss problems and propose ideas for solution for themselves, from the viewpoint of creating a better work environment where women can be more active. Furthermore, Takeda also organized the "Female MR meeting," in which female MRs met together and exchanged opinions on many topics including career designing.

Work-life Balance

Domestic social trends in Japan, such as declining birthrate and increasing aging population, expanded business opportunities for women, and the change in the work environment, requires a more effective and diversified working styles. Currently, Takeda is implementing various approaches, aiming to realize the "work-life balance." One of such approaches is to review the working hour management. Takeda has introduced a variety of systems, such as a "de facto working hours system," for MRs who spend most of the time working outside the office and a "modified working schedule system" -staggered office hours - for those who spend many hours communicating with overseas sites. As for childbirth and nursing, the Company enhances its follow-up system to support those employees who give birth, while encouraging male employees to take paternity leave. We have also introduced a "system of taking consecutive holidays," which encourages employees to take consecutive holidays to take rest and refresh themselves mentally and physically, completely away from daily business environment. This will also help develop an environment and atmosphere which facilitate employees to take their holidays as planned.
In addition, Takeda also implemented an employee survey on corporate culture and employee satisfaction for all its employees, to know what is required to foster a corporate culture where employees are encouraged to work with energy and enthusiasm. Based on the survey results, active discussions have been made on specific subjects such as "what kind of approaches are required at each work site," and "what role each of the employees should play toward improvement of the work climate," etc. Currently efforts are being made to successfully improve the work environment.

The Employment of Handicapped People

L I Takeda Ltd. is Takeda's special subsidiary under the relevant law established in 1995, aiming to promote the employment of handicapped people. This has been the first example in the pharmaceutical industry, and operates with the Management Mission of "being a friendly company for handicapped workers." Forty-four handicapped people are employed among a total of fifty-four employees, and they comprise the majority of the workforce at the company. The company is engaged in business operations at Takeda facilities, including printing, cleaning, processing packaging materials and laundry, whereby each of the employees strives toward social independence through activities such as the production of brochures, leaflets, posters, etc. and the bagging of promotional tools.

Employees producing printing materials

LI Takeda Employees performing packing work