Raise Safety and Security Quality in Design and Construction

Approach and Policies

The Nomura Real Estate Group provides buildings and spaces that serve as the foundations for living and business to customers, local communities, and other stakeholders over the long term through a range of business activities from design and construction to operation and management.
Accordingly, the deterioration of urban functions as a result of the aging and obsolescence of buildings and infrastructure as well as the shrinking population and aging of society are significant concerns, and as natural disasters including large-scale earthquakes increase in frequency, designing and constructing safe and secure buildings and spaces is an important responsibility of the Group.
It is with this understanding that we are working to enhance the quality of safety and security in design and construction, in collaboration with design and construction companies and other suppliers as well as governmental agencies, by complying strictly with Design and Construction Standards and Quality Manuals and implementing rigorous quality control.

Management

Management Structure

The officer responsible for quality management and architectural design has been put in charge of this issue for the Group, and we are working to enhance the quality of safety and security in design and construction. In addition, the CSR Committee, which comprises Nomura Real Estate Holdings and Group company directors and others and is chaired by the Nomura Real Estate Holdings executive vice president and Group COO, deliberates on and decides related policies and action plans. The CSR Committee sets targets each year regarding enhancement of the quality of safety and security in design and construction, and is monitoring progress.

Targets

To enhance the quality of safety and security in design and construction, the Group endeavors to comply strictly with Design and Construction Standards and Quality Manuals and implement rigorous quality control.

Compliance with Design and Construction Standards and Quality Manuals

To ensure the quality of safety and security in building design and construction, the Group has formulated Design and Construction Standards (structures, architecture, equipment, electrical) and Quality Manuals and has established designs and specifications for the following products that have been developed in series. These Standards and Manuals are distributed to suppliers including design and construction companies and are strictly complied with.

PROUD Design and Construction Standards (excerpts)
PROUD Design and Construction Standards (excerpts)

【Subject Products】
Residential Development Business Unit
・Condominiums: PROUD, OHANA
・Detached houses: PROUD SEASON
・Leased condominiums: PROUD FLAT
The Commercial Real Estate Business Unit
・Leased office buildings: PMO (Premium Midsize Office)
・Commercial Facilities: GEMS
・Logistics Facilities: Landport

Thorough Quality Control at Construction Sites

Implementation of Quality Control Inspections

Nomura Real Estate Development quality control engineers directly perform inspections regarding compliance with Design and Construction Standards and Quality Manuals and confirm the status and progress of construction in every major phase of construction.
In addition, all accidents and problems that occur at construction sites are reported to quality control personnel and the officer responsible for quality management and architectural design. Information regarding the details and responses are shared at periodic meetings and on the Group intranet, and measures are taken to prevent reoccurrence.

A quality control inspection at a construction site
A quality control inspection at a construction site

PROUD Quality Conference

The Group holds the PROUD Quality Conference once a year to share information on quality control technologies at condominium construction sites. At the conference, which is attended by architectural and quality control personnel from around the country, information on updates to Design and Construction Standard and Quality Manuals as well as construction related issues is shared.

Supporting the Development of First-Class Architects

The Group supports the acquisition of the first-class architect qualification, to ensure safety and security. As of April 1, 2019, Nomura Real Estate Development had 177 employees with first-class architect qualifications, comprising 13.02% of its total main career track workforce.

New Construction Progress Reports

With the aim of gaining the understanding of customers regarding building safety and security, the Group has created a website for customers that have signed purchase agreements and posts progress reports on new construction and explanations of the details of major aspects of the construction.

Site for Contract Holders
Site for Contract Holders

Performance

Promotion Measures

Fiscal 2018 performance against the set targets was as set forth below.

Comply with Design and Construction Standards and Quality Manuals

The Group has established and complies with Design and Construction Standards and Quality Manuals in the Residential Development Business Unit (PROUD and OHANA condominiums, PROUD SEASON detached houses, PROUD FLAT leased condominiums) and in the Commercial Real Estate Business Unit (PMO (Premium Midsize Office) leased office buildings, GEMS commercial facilities, Landport logistics facilities).

FY 2017 FY 2018
Compliance with Design and Construction Standards and Quality Manuals in the Residential Development Business Unit 100% 100%
Compliance with Design and Construction Standards and Quality Manuals in the Commercial Real Estate Business Unit Formulation of Design and Construction Standards and Quality Manuals 100%

Responses to Safety Issues

To ensure the safety of customers, if there is a violation of the Building Standards Act, Fire Service Act, or other applicable laws and regulations or the Group, necessary responses will be implemented rapidly.
In fiscal 2018, there were no significant safety-related violations of relevant laws and regulations or internal standards.