Ishikawajima-Harima Heavy Industries Corporation (IHI)

Rating Overview

Ishikawajima-Harima Heavy Industries Corporation (IHI) is Medium Risk.

IHI Corporation is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. IHI Corp occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	Lower Risk
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Medium Risk
Political Actions	No Data

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

IHI integrates ESG into its business practices. From its IHI Group Procurement Policy: “Business partners are expected to set emission reduction targets for CO2 and other greenhouse gases” (1). However, the company has not canceled customers, suppliers, or vendors based on political views or religious beliefs (2).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

Lower

Rationale:

IHI does not appear to discriminate against charitable organizations based on views or beliefs. The company’s charitable giving focus areas are “disaster relief initiatives” and “organizations and events that promote studying abroad and STEAM learning” (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

IHI appears to prioritize diversity over merit in its recruitment, hiring, promotions, and leadership composition. From its Diversity, Equity, and Inclusion report: “These initiatives include recruiting and developing female hires in key human resource roles to promote to middle and top management while also defining various goals to build a workplace environment where they can actively participate” (1). The company appears to prioritize diversity over merit in its business structure through the establishment of gender targets for its recruitment. From its Diversity, Equity, and Inclusion report: The company is seeking to achieve a 20% female recruitment rate by 2026 (2). The company offers unconscious bias and DEI training to its employees (3). The company protects its employees against viewpoint discrimination (4).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

In 2023, IHI “held an ally conference inviting LGBTQ+ community members and experts” (1). The company is aligned with the Paris Agreement, which entails a commitment to net zero carbon emissions by 2050 (2). The company supports DEI within its business practices. From its Diversity, Equity, and Inclusion page: “If DE&I is not ingrained into the corporate culture it may result in a lack of diversity within the organization, making it difficult to coordinate and collaborate with various stakeholders and inhibiting the creation of new ideas and innovation” (3). The company supports ESG within its business practices. From its IHI Sustainability Data Book 2024: “IHI Group ESG Management announced in November 2021 aims to address the global challenge of climate change, respect the human rights of those involved in the Group’s businesses, and empower diverse human resources as the driving force behind value creation” (4).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Medium

Rationale:

IHI sponsored Tokyo Rainbow Pride 2023 (1). Otherwise, there are no publicly known cases of the company using corporate funds to advance ideological causes, organizations, or policies (2).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

IHI does not operate a PAC or engage in lobbying at this time (1)(2)(3).