Material Issues

How We Identify Material Issues

Using the SDG Compass guide, we first identified issues based on our group's past initiatives. Then, using a materiality matrix, we evaluated the importance of each issue in relation to society and to our business, which allowed us to define our material issues. For each material issue, we've set out a vision and targets for FY2030, and we are now using backcasting to examine short-to-medium-term key performance indicators (KPIs).

Materiality Matrix

Sustainability Management Initiatives Based on Defined Material Issues

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Understanding of SDGs	SDG study sessions and other events are held to deepen understanding of initiatives towards creating a sustainable society and to grasp the relevance of each goal to our group's businesses.
Identifying Priority Issues	Priority issues are identified by looking at the social issues related to each SDG goal and comparing them against our group's business activities.
Setting Targets	Specific targets are set by evaluating the importance of each social issue and narrowing down the items along the axes of "Impact on Society" and "Impact on Business."
Integrating into Management	Group policies and action plans regarding sustainability are formulated and integrated into the executive organization to address operational challenges.
Reporting and Communication	The status of our sustainability activities is disclosed and discussed with stakeholders.

List of Material Issues

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Material Issues	Future Initiatives
Environment Creation of products that contribute to the environment and society	We will utilize inexhaustible resources and improve production processes to create products that contribute to the conservation of the global environment and the sustainable development of society.
Environment Activities aimed at achieving carbon neutrality	We will advance energy-saving and resource-saving measures by reducing our electricity consumption in production processes and recycling waste to combat global warming.
Society Establishing a sustainable supply chain	We will share guidelines with suppliers that clarify our policies on labor, safety and health, environmental conservation, management systems, and ethics to achieve sustainable growth and fulfill our social responsibilities.
Society Building a dynamic workplace focused on safety, comfort, and health	We will promote diversity and encourage a healthy work-life balance by hiring and promoting a diverse range of talent, as well as establishing internal employment systems and support structures to improve our workplaces.
Society Training and retaining the next generation of group talent	We will develop an educational system to retain talent capable of managing group-wide operations amid increasing globalization.
Governance Strengthening risk management	We will build a group-wide risk management structure and communicate the status of our risk management initiatives.