Tanabe Consulting Co., Ltd., a pioneer in Japan’s management consulting industry headquartered in Chiyoda-ku, Tokyo and Yodogawa-ku, Osaka, and led by President and Representative Director Takahiko Wakamatsu, has launched its “Group Governance Development Consulting” service. 1. Background of Development In recent years, mid-sized companies in Japan have increasingly shifted toward group management structures as part of their strategies for sustainable growth, including the expansion of subsidiaries through M&A and transitions to holding-company structures. At the same time, as group management expands, corporate governance issues such as misconduct at subsidiaries and deficiencies in internal controls have become more apparent. Revisions to Japan’s internal control reporting system, effective from April 2024, require stronger monitoring systems across entire corporate groups, including subsidiaries and affiliates. In addition, Japan’s Corporate Governance Code calls for verification of resource allocation and accountability in group management, further increasing expectations for group-wide risk management. The number of listed companies disclosing internal control deficiencies is also rising, and because many of these issues originate at subsidiaries, building an effective subsidiary management system led by the parent company has become an urgent priority. However, many mid-sized companies face a shortage of specialized personnel and struggle with questions such as where to begin. As a result, demand is growing for partners that can provide hands-on support from system design through implementation and establishment. Against this backdrop, Tanabe Consulting developed its Group Governance Development Consulting service. Drawing on extensive experience supporting group management at mid-sized companies, the service provides end-to-end support from governance structure design to institutionalization. 2. About the Group Governance Development Consulting Service This