Human Resource Management

Governance

The Human Resource, Wellness and D&I Committee deliberates on the Group's overall policies and goals regarding the management of human capital. The committee was renamed in April 2024, being previously called the Wellness and D&I Management Committee, and it manages human capital across the Group and discusses the development of a human resources strategy that is linked to business strategy.
The content of committee deliberations will, in principle, be reported to the Board of Directors and the Management Committee at least once every six months. In addition, if there are any important matters related to the management of the Group, they will be reported to the Board of Directors and the Management Committee as needed.

Strategy

Approach to Human Capital

To realize our Group Vision of New Value, Real Value, we believe it is essential to utilize our human capital to its fullest, as it is the source of all value creation. Within the Group, we define human capital management as utilizing human capital to its fullest through a human resources strategy which is linked to our business strategy in order to realize the vision of what we want our Group to be.

Action Guideline
Integrated Report

Risk Management

Human Resources Strategy

In order to fully leverage the elements that comprise human capital, the Group's human resources strategy seeks to implement measures for securing, placing, promoting, and training human resources so that the right people are in the right places, as well as facilitating wellness, diversity and inclusion that leads to a better human resources environment. By pursuing a human resources strategy which is tied with our business strategy, seeking to ensure the right people are in the right places and to improve the human resources environment, we will strengthen our human capital both as individuals and as an organization. And it is by fully utilizing our human capital that we aim to realize the vision Nomura Real Estate Group has for itself.

Wellness Management

Diversity and Inclusion

Overview of our DX strategy

Indicators and Goals

Performance Data^*1

	Unit	Result for FY2020	Result for FY2021	Result for FY2022	Result for FY2023
Total training hours^*2	Hours	20,063	23,855	30,334	80,260
Training hours per employee^*2	Hours	9.87	4.21	3.87	10.08
Total training expenses	10 thousand yen	14,318	27,155	41,269	70,297
Training cost per employee	Yen	70,462	47,936	52,706	88,279
Human resources return on investment^*3	%	10.42	9.17	9.78	14.52

*1

Starting with fiscal 2021, figures have been revised from those of Nomura Real Estate Development alone to the entire Group.
*2

Covers only mandatory training and does not include open and selective training or e-learning courses. Please note that revisions to the method for calculating training hours were made for the fiscal year ending March 2024.
*3

Human resources return on investment = (Operating revenue − (Selling and general administrative expenses – Personnel expenses))/Personnel expenses.

Training Performance Data for FY2023

Training	Subject	Number of training hours	Number of attending companies	Number of participants
Group-wide training	New employee introductory training	38	7	304
	New employee follow-up training	7	7	304
	Employees in their second year	14	6	230
	Employees in their third year	14	6	205
	Newly promoted managers to core positions^*1	22	8	206
	Newly promoted senior managers	29	3	51
	Newly promoted manager training	9	4	25
	Newly promoted general managers (management)	37	4	17
Training only provided for Nomura Real Estate Development	New employee introductory training	96	ー	69
	New employee follow-up training	7	ー	69
	Employees in their fourth year	7	ー	70
	Employees in their fourth year (career design)	7	ー	63
	Employees in their fourth year holding section chief positions (career management)	6	ー	18
	D3 class^*2	11	ー	44
	V1 position^*3	14	ー	85
	V1 position 2nd year (career design)	11	ー	59
	V1 position 2nd year & direct post manager (career management)	6	ー	20
	V1 3rd year (next generation leader development program)	31	ー	33
	V2 2nd year (next generation leader development program)	31	ー	45
	Training (new section managers)	7	ー	39
	Training (new department managers)	7	ー	14
	Career training (age 40)	7	ー	54
	Career training (age 50)	7	ー	18
	Career training (age 57)	7	ー	54
	INSIDES training	2	ー	79
	Financial training for employees in their fourth to sixth year	7	ー	151

*1

After 13 years of service (generally)
*2

After 7 years of service (generally)
*3

After 9 years of service (generally)

ESG Data (Social)

Group Personnel Division Meetings Held

The Group holds monthly Group Personnel Division Meetings attended by officers responsible for human resources and managers of human resource divisions of Group companies. Participants exchange information and opinions regarding the personnel system, human resources development, and each company’s recruitment situation and wellness measures, and they share best practices in order to implement Group-wide measures for improving to human capital.

Training Framework

In order to ensure improvement in the abilities and motivation of all employees in the Group so that they can pursue their work as highly skilled professionals, we implement joint Group training programs in addition to those programs implemented individually by Group companies. One such program aimed at a portion of new managers involves six months of lectures and discussions around the theme of Designing the Future Management of the Nomura Real Estate Group and examining the ideal of what the Group should be, after which participants come up with management-related ideas.
Nomura Real Estate Development has established N-COLLEGE, a self-skills development system for employees. Participants are given support for obtaining real estate-related professional qualifications, such as real estate notary, first-class architect, certified real estate appraiser, and other recommended qualifications, and are provided with programs aimed at acquiring business skills, including business strategy, accounting, finance and other management skills, as well as language programs to develop global human resources, and digital transformation-related programs, among others. In addition, the Residential Development Division provides specialized training and knowledge sharing opportunities regarding product strategies and quality control for technical employees, including Building Knowledge Courses, the PROUD Quality Conference and Sustainability Lectures. Nomura Real Estate Development's basic human resource development policy places career at the center of human resource development, seeking to cultivate proactive personnel with a medium- to long-term perspective who can respond to changing times to become the managerial leaders that will foster future innovation. The aim is to ensure each employee can perform higher level duties and acquire a broad range of knowledge and experience.

Human Resource Development Programs for Career-track Employees (Business Skills)

■Training Programs for Career-track Employees

■Training Programs (Specialist Personnel/Particular Specialist Personnel)

■Training Programs (Business Associates)

Incentive from a Long-Term Perspective

The Nomura Real Estate Group introduced ESOP Trust for Granting Stock for employees of Nomura Real Estate Holdings and Group companies from fiscal 2019. The aim is to foster a sense of belonging to, and involvement in the management of, the Group among Group employees so as to enhance their enthusiasm and morale, leading to improved performance and increased share price over the long term.

News Release

Fair Evaluations and Remuneration

To ensure fairness in working conditions, the Group does not differentiate on the basis of gender the remuneration for employees in the same position, which falls under the “equal pay for equal work” rule in our Human Rights Policy. Moreover, the Group operates fair employee evaluation and remuneration programs by creating mechanisms whereby the opinions of employees can be heard by human resource divisions and supervisors.

Initiatives to Reduce the Gender Wage Gap

Target Management System

The Group introduced a target management system so that employees can take the initiative in their jobs and work with managers and supervisors toward achieving their targets. Every six months, all employees set their own targets with advice from supervisors, and bonuses are paid based on the degree of achievement of those targets. In addition, reviews of the abilities and actions that serve as the basis for promotions and raises are also conducted regularly to maintain fairness and strengthen employee motivation.

Evaluation of Superiors

Once a year, Nomura Real Estate Development employees complete a questionnaire regarding the skills, performance, personality, etc., of their supervisors and submit the questionnaire, via a third-party system, to the Human Resources Division.

Fostering a Corporate Culture that Encourages Challenges

Nomura Real Estate Group Awards

The Group has presented the Nomura Real Estate Group Awards every year since 2016 to foster a corporate culture in which employees are willing to tackle the challenges of value creation through innovation, strengthen Group synergy, and raise individual and organizational motivation. Under this program, exceptional businesses, products and services of the year are recognized.

■Major recipients in FY2023

Project aimed at addressing societal need for after-school programs
NRE Group-wide project: Monzen-Nakacho PJ
Trial office initiatives in preparation for relocation to a new head office

【Evaluation Criteria】

Reform

Innovation

Improvement in customer satisfaction

Group synergy

Sustainability

Continuity

Perseverance

Business Idea Proposal Program

In order to cultivate innovative human resources and foster a Group culture focused on value creation, our Group has run an innovation promotion program (known internally as NEXPLORER) since 2017. In the four years that the business idea proposal was running up to 2021, over 80 business ideas were proposed, and, from these, the co-living rental residence TOMORE was approved in October 2022. Starting in April 2022, the program has been operated as a Learning Program, which is focused on learning the basics of the innovation process, and a New Area Exploration Program, which explores areas on which the Group should focus. We are upgrading the system to cover not only business development but also research and business improvement, while maintaining close attention to management issues.
A total of 364 employees from Group companies have participated in the Learning Program over a three-year period, while those in the New Area Exploration Program are conducting research on nine new focus areas.

A shared house and office business that offers a new real and virtual space where people work, live, and enjoy time with their friends in an age when more and more people are open to different ways of working.

Click here for details on TOMORE (Japanese text only)