コニカミノル（4902） – Sustainability Report 2021(1/2)

Konica Minolta, Inc. Sustainability Report 2021ContentsContentsSustainabilityMessage from the PresidentMessage from the Sustainability OfficerBasic Approach and Systems for Sustainability ManagementSustainability Strategy・Material Issue Evaluation and Identification Process・Sustainability Targets and ResultsMaterial Issues・Material Issue 1: Improving Fulfillment in Work andCorporate Dynamism・Material Issue 2: Supporting Healthy, High-QualityLiving・Material Issue 3: Ensuring Social Safety and Security・Material Issue 4: Addressing Climate Change・Material Issue 5: Using Limited Resources EffectivelyActivity Report・EnvironmentPolicy & System Konica Minolta Environmental Policy Environmental Management Concept Environmental Management System Eco Vision 2050 Medium-term Environmental Strategy Response to New Framework for Climate-related Financial Information Disclosure Sustainable Solutions (Product Initiatives) Konica Minolta’s Approach Sustainable Solutions Certification System Saving Energy and Preventing Global Warming through Sustainable Solutions Resource Conservation and Recycling of Products Management of Chemical Substances in Products Helping Restore and Preserve Biodiversity through Products Provision of Product Environmental Information Sustainable Factory (Procurement and Production Initiatives) Konica Minolta’s Approach Sustainable Factory Certification System Saving Energy and Preventing Global Warming in Production Operations Resource Conservation and Recycling in Production Operations Reduction of Chemical Substances Risks in Production Addressing Biodiversity in Production Activities (Consideration of Water Resources and Wastewater, Proper Management of Greenery at Factories) Green Supplier Activities Green Procurement System Sustainable Marketing Konica Minolta’s Approach Supporting Customers to Solve Their Environmental Issues Providing Services to Solve Customers’ Environmental Issues Reducing Environmental Impact in Sales Activities Reducing CO2 Emissions from Distribution Reduction of Use of Packaging Materials Product Recycling Environmental Data Standards for Calculating Environmental Data CO2 Emissions Across the Entire Supply Chain Soil and Groundwater Environmental Communication1246101417223131374246505353555556586162707575778085899192969698101106108112115120122122123126128132134136138139142145147(Website information as of September 2021)・SocialHuman Capital Basic Concept Work-Style Reform Developing Human Capital Managing Occupational Safety and Health Initiatives to Increase the Health of Employees Promoting Reform of Corporate Culture and Communication Diversity Our Concept Supporting Women’s Career Building Utilizing Employee Experiences Gained Outside the Company and Abroad Supporting the Efforts of Diverse Employees Employment of People with Disabilities Customer Satisfaction and Product Safety Basic Concept Quality Management Achieving Top-Tier Quality and Reliability Enhancing the Security of Products and Services Creating New Quality Value Providing Useful Products to Meet Social Needs Responsible Supply Chain Basic Concept Konica Minolta’s Approach Konica Minolta’s Supply Chain Management Implementing CSR Procurement Practicing Responsible Minerals Procurement Procurement Initiatives Human Rights Contributing to Society Basic Policy Health, Medicine, and Sports Environmental Actions in the Society Scholarship, Research, and Education Disaster Recovery and Volunteerism・GovernanceCorporate Governance Corporate Governance System Internal Controls Risk Management Communication with Shareholders and Investors Compliance Basic Concept Compliance Promotion System Compliance Promotion Activities Putting Compliance into Practice Information SecurityEvaluation by External PartiesStakeholder EngagementParticipation in IntiativeESG Data・Environmental Data・Social Data・Governance DataList of PoliciesExternal AssuranceGuidelines Index・GRI Standards Index・ISO26000 Index・UN Global Compact Index・SASB INDEXSustainability Reporting Policy1481501501531561611681791841841861911931941951951972002052102152192192212232282362402422462462482512532562582592602792802832862862872902922942973053073113123203263283343363363613633643661SustainabilityEnglishChineseMessage from the Sustainability OfficerBasic Approach and Systems forSustainability ManagementSustainability StrategySustainability StrategyTargets and ResultsMaterial Issues2Activity ReportThis section introduces Konica Minolta’smedium-term environmental strategy,initiatives to reduce environmentalimpact in business activities, and effortsto achieve “Carbon Minus” status.This section introduces Konica Minolta’sinitiatives to strengthen the capacity anddiversity of its human resources, raisecustomer satisfaction, provide safeproducts, protect human rights, andensure social responsibility across thesupply chain.his section introduces Konica Minolta’scorporate governance, compliance, riskmanagement and information securitymeasures.Evaluation by ExternalPartiesStakeholder EngagementParticipation in IntiativeESG datapolicySustainability ReportArchivesSustainability ReportingPolicyExternal AssuranceGuidelines Index3Message from the PresidentRedefining the risks and opportunities facing our company as society is dramatically changed byCOVID-19COVID-19 has had a major impact on societies and economies around the world, greatly accelerating changes to our values andthe way we work and live, and has had a great impact on the business of the Konica Minolta Group. This year has seen theGroup face many new risks and opportunities due to such changes to society and human behavior.Such risks include an acceleration in the decline of print volumes due to the reduced numbers of employees commuting to anoffice caused by the expansion and normalization of working from home. This is a structural change that we were expecting tohappen gradually, but COVID-19 has certainly accelerated such change. The cancelation of events and closing of stores has ledto a drastic decline in demand for commercial printing.On the other hand, COVID-19 has accelerated behavioral changes in the way we live and work, which can be expressed bykeywords such as individualization/decentralization and remote /non-contact services, and has led to demand for safety,security, and health. I believe that such changes to society provide us with a new business opportunity. For example, thepopularization of working from home has increased the importance of information security. This has led to various customersasking us for proposals on workflow reforms that utilize the advanced security technologies and digitalization of the Company,and our solutions have been well received. Various workplaces have also been investigating methods for avoiding infection andensuring social distancing, and this has led to many inquiries about projects such as temperature screening services via imagediagnosis, remote medical care at hospitals, and services for automating the inspection process at factories. With COVID-19 alsoincreasing consumer interest in health, I feel that demand for services that support personalized medical care and earlydiagnosis will certainly grow.We have been promoting the three-year DX2022 medium-term business plan since fiscal 2020, and the fundamental objectivesof DX2022 are to “leap to highly profitable businesses through DX” and to “evolve into a company clearly committed to solvingsocial issues.” Viewing the social changes being prompted by COVID-19 as an opportunity, we seek to establish high-profitbusinesses that contribute to solving social issues.4Placing sustainability at the foundation of management strategy to improve our medium to long-termcorporate valueTo formulate DX2022, we held deep discussions on what we want society to be like a decade from now in the year 2030, andwhat environmental/social issues we will need to solve in order to achieve that vision. As the world moves toward anautonomous distributed society that develops sustainably, we have redefined our purpose as contributing to “Support people toachieve their own purpose” and “Realize a sustainable society.”This is the stance that has been at the foundation of our management strategy since the merger between Konica and Minolta in2003, and since being appointed President, I have focused management based on my belief that contributing to the realizationof a sustainable society where everyone can live with a purpose is the only way to achieve the sustainable growth of theCompany. This idea has carried over to our employees and we are seeing more and more voluntary initiatives, such as projectsfor solving social issues that were proposed and started by young employees. I find it extremely encouraging that we have suchhuman resources that truly want to improve the world.In fiscal 2020, we clarified our five material issues for contributing to solving social issues via our business activities as “Improving fulfillment in work and corporate dynamism ,” ” Supporting healthy, high-quality living,” “Ensuring social safety andsecurity,” “Addressing climate change,” and “Using limited resources effectively.” In regard to climate change in particular, wehave worked toward long-term goals since establishing the Eco Vision 2050 long-term environment plan in 2009. In fiscal 2020,we pushed forward our timeline for achieving Carbon Minus status to the ambitious target of 2030. We aim to increase theamount that we can contribute to reducing CO2 emissions at client companies and business partners compared to our own CO2emissions, by sharing our expertise and knowledge on environmental management in order to reduce the environmental impactof the entire value chain. As for to material issues not related to the environment, we will continue to quantify the social andeconomic impact that our business activities have, and set specific KPIs to accelerate our initiatives.Guided by our philosophy—”The Creation of New Value,” we will continue to create environmental/social value and economicvalue via all kinds of business activities. We will also contribute to a sustainable society as a company clearly committed tosolving social issues, while simultaneously improving our medium to long-term corporate value, and I hope for the continuedsupport of all of our stakeholders.Shoei YamanaPresident and CEO, Representative Executive OfficerKonica Minolta, Inc.August 20215Message from the Sustainability OfficerBalance New Value Creation for the Environment and Human Society with Business GrowthPursuing sustainability for society can lead to higher sustainability forcompanies. If greater social unrest is triggered by the destruction ofthe global environment, it will also impact economies and financialsystems worldwide. However, by working to solve globalenvironmental and social problems, we can minimize future risks whilecreating opportunities for growth.Konica Minolta’s management vision is “Imaging to the People,” and weare working hard to help build a sustainable society by continuing toevolve by practicing co-innovation with our customers. We will continueto take on the challenge of innovation that can promote both thegrowth of our business and the creation of new value for the globalenvironment and all of humanity.Promote Activities in Line with Five Material IssuesIn fiscal 2020, Konica Minolta established and began activities for its long-term vision, which looks ahead to 2030, and itsmedium-term business plan, DX2022. When establishing the plan, social issues that the Company should address in 2030 wereclarified, and the issues that should be addressed from a medium-term perspective were set through backcasting. Using theSDG framework, social and environmental issues were identified for 2030. The importance of these were assessed from therelationship with the Company’s business, and the five material issues (important issues) that the Company should addresswere identified. This makes the vision that Konica Minolta should aspire to even more clear.The material issues of “improving fulfillment in work and corporate dynamism,” “supporting healthy, high-quality living,”“ensuring social safety and security,” “addressing climate change,” and “using limited resources effectively” express the themesthat will enable Konica Minolta to generate substantial social value by utilizing its intangible assets to advance its business.2030 visions have been set for each of the five material issues, and the Company has confirmed the direction of value creationin the medium to long term.6Promote Activities in Line with Five Material IssuesResolving Social and Environmental Issues through DX BusinessThe world is looking to corporate innovation to help solve today’s increasingly urgent social and environmental issues. KonicaMinolta will work to transform the workflows used in the workplace using tools to visualize them and contribute to society bymaking people’s lives even more fulfilling. The foundation will be the Company’s unique imaging IoT platform. By combining AIand IoT technology with imaging technology, one of Konica Minolta’s strengths, the Company will create high value-added,high-revenue businesses utilizing data such as images continuously acquired from on site.Regarding the material issue of “improving fulfillment in work and corporate dynamism,” we are providing solutions thatincrease productivity and make creativity-inspiring work styles possible in diverse locations — all the while supporting people sothat they may achieve their own purposes, improving fulfillment in work, and fostering corporate dynamism as work stylescontinue to diversify.With regard to “supporting healthy, high-quality living,” another material issue, we are enhancing the diagnostic function of localclinics and other neighborhood primary care settings by providing diagnostic imaging analysis technology that uses AI, and bysupporting diagnosis through a network of specialists. In addition, we are helping to make the workflow concerning elderlypeople at nursing care facilities visible using image analysis and AI to reduce the burden on caregivers. By making it possible toprovide more finely tuned nursing care services, Konica Minolta is also helping seniors to remain independent.In order to address the material issue of “ensuring social safety and security,” we are providing technology to enable non-contactand remote monitoring and inspection at factories and plants. By predicting process irregularities and risks in ways that surpassthe visual skills of frontline workers, we aim to prevent accidents and ensure the safety and security of factories andsurrounding communities.Regarding the other material issues including “addressing climate change” and “using limited resources effectively,” KonicaMinolta will support more efficient production by reforming customers’ conventional production procedures through on-demandproduction. Raising production efficiency leads to reductions in customers’ CO2 emissions and helps to rein in customers’ useof resources.7Carbon Minus in 2030: GX Green TransformationEnvironmental problems such as climate change are urgent issues that have been brought up at G7 meetings. Companies havesignificant responsibilities in curbing environmental impact and creating sustainable societies. Konica Minolta expresses itsstrong determination to fulfill this responsibility in its long-term environmental vision looking ahead to 2050, Eco Vision 2050.In 2009, Eco Vision 2050 set an ambitious target of reducing CO2 emissions for the lifecycle of Konica Minolta products by 80%of fiscal 2005 levels by 2050. In 2017, the Company added the concept of Carbon Minus to signal its commitment to reducingsociety’s CO2 emissions to negative levels through its business, and expanded measures to encompass the entire supply chain.In 2020, Konica Minolta declared that it would achieve Carbon Minus in 2030, 20 years earlier than its deadline for meeting thisgoal.We view Carbon Minus as an activity in which efforts to reduce CO2 emissions at customers and suppliers surpass theCompany’s CO2 emissions across the entire product lifecycle thanks to products and services offered by Konica Minolta.With the Company’s business changing from products to services through DX, Konica Minolta will also shift to activities utilizingDX in its efforts to achieve Carbon Minus status. Konica Minolta calls this GX (Green Transformation).To achieve Carbon Minus, Konica Minolta will accelerate its initiatives to reduce CO2 emissions at every stage, including its ownmanufacturing, products, support for suppliers, and the provision of services to its customers. The Medium-term SustainabilityPlan 2022, which was established at the same time as DX2022, lowers the emissions volume to 970,000 tons by reducing CO2emissions along the life cycle of Konica Minolta products by 53%. In addition, the Company is aggressively introducingrenewable energy, and has set targets of 30% for 2030 and 100% by 2050. The target for fiscal 2022 has been raised from 6.5%in fiscal 2020 to 10%.By helping suppliers and customers reduce CO2, such as reforming customers’ operating processes by introducing theCompany’s on-demand print system, Konica Minolta can increase its contributions to CO2 reductions to 750,000 tons. Theseinitiatives will enable the Company to bring its contributions to CO2 reductions to three-fourths of its own CO2 emissions.8Collaborating with more companies through DX and making bold reductions in CO2Konica Minolta aims to collaborate with more companies using digital technology and achieve its challenging target of realizingCarbon Minus in 2030.One of the key initiatives for this is DX Green Supplier Activities. Up until this point, Konica Minolta’s environment and energyexperts have visited customers and helped them with energy conservation diagnoses, but the Company has now developed asystem that enables these diagnoses to be done automatically. After trial and error at several companies, the Companyintroduced the system on a full scale from fiscal 2020. By using a digital system, diagnoses can be done remotely. Compared tothe previous approach of visiting in person, the Company expects to conserve even more energy with efficiency that is severaltimes greater.Another important initiative is the Environment Digital Platform, launched as an eco system to reduce environmental impact. InJune 2020, 16 companies began activities, and the number of participating companies increased to 44 (as of the end of July2021). The value provided by this platform can be roughly divided into three categories. First, participating companies holddiscussions and use the information gathered at workshops in their environmental management. Second, the Navigation MAP,which compiles information that helps to improve environmental management, can be used to search for information whennecessary. Third, when a solution with immediate efficacy is needed, companies are matched with a solution company that hasthe environmental technology and expertise.Konica Minolta aims to raise efficiency by bringing together the wisdom of companies in different industries and using thisinformation, while accelerating the resolution of environmental issues through an affiliation between companies, promoting co-creation and the development of innovations, and helping to resolve environmental issues on a global scale.We are determined to achieve sustainable corporate growth by delivering on our three-year medium-term business plan. We willdo this by pursuing collaboration with many different companies in order to bring about drastic reductions of environmentalimpact in society as well as drive our own growth.August 2021Takenori TakahashiCorporate Vice PresidentGeneral Manager, Corporate Sustainability OperationsKonica Minolta, Inc.9Basic Approach and Systems for Sustainability ManagementBasic Approach: Grow the Business by Providing New Value That Helps Build a Sustainable SocietyKonica Minolta has prospered together with society by continuing to provide the new value required in each era, living up to itsphilosophy, “The Creation of New Value.” Helping to build a sustainable society also promotes corporate sustainability. If greatersocial unrest is triggered by the destruction of the global environment, it will also impact economies and financial systemsworldwide. However, by working to solve global environmental and social problems, Konica Minolta can minimize future riskswhile creating opportunities for growth.Konica Minolta’s management vision is “Imaging to the People.” It states the company’s determination to be a robust, innovativecompany, continually evolving and contributing to the sustainable growth of society and individuals. Konica Minolta willcontinue to take on the challenge of innovation — and co-innovation with customers — that can promote both the growth of itsbusiness and the creation of new value for the global environment and all of human society.Enhancing Corporate Value for Sustainable GrowthFor a company to grow sustainably, it must continually provide new value for human society as well as achieve business growth.To further its own evolution, Konica Minolta is determined to generate innovation to help solve social and environmental issues.By linking this effort to financial performance, Konica Minolta seeks to enhance its corporate value and achieve sustainablegrowth.10Konica Minolta Group Charter of Corporate BehaviorKonica Minolta’s efforts to achieve sustainability are based on the Konica Minolta Group Charter of Corporate Behavior and itsbasic approach to sustainability management. The Konica Minolta Group Guidance for the Charter of Corporate Behavior isshared globally and illustrates desirable behavior in each of the categories included in the Charter as a basis for understandingand practicing desired behavior.Konica Minolta Group Charter of Corporate BehaviorKonica Minolta Group Charter of Corporate Behavior (PDF:325KB, in ten languages)Guidance for Charter of Corporate BehaviorRespect for International Best PracticesThe Konica Minolta Group Guidance for the Charter of Corporate Behavior clearly states that the Group will respect and followwidely adopted international social responsibility initiatives, including the Global Compact initiated by the United Nations.Sustainability-Related Principles, Charters, and Norms That Konica Minolta ObservesUniversal Declaration of Human RightsSustainable Development Goals (SDGs)United Nations Guiding Principles on Business and Human RightsOECD Guidelines for Multinational EnterprisesISO26000Japan Business Federation (Nippon Keidanren) Charter of Corporate Behavior■Support for the Japan Business Federation Charter of Corporate BehaviorKonica Minolta, Inc., is a member of the Japan Business Federation (Nippon Keidanren) and respects its Charter of CorporateBehavior and Implementation Guidance for Charter of Corporate Behavior.Japan Business Federation (Nippon Keidanren) Charter of Corporate BehaviorOutline of the Implementation Guidance for Charter of Corporate BehaviorSustainability-Related Organizations in Which Konica Minolta Participates or Is a SignatoryJapan Electronics and Information Technology Industries Association (JEITA), Responsible Minerals Trade Working Group,Conflict-Free Sourcing Working GroupUnited Nations Global CompactResponsible Business Alliance (RBA)Responsible Minerals Initiative (RMI)RE100Task Force on Climate-related Financial Disclosures (TCFD)Japan Climate Initiative (JCI)”Challenge Zero,” Japan Business Federation (Nippon Keidanren)11Sustainability Management SystemAt Konica Minolta Inc., the President and CEO, who is a member of the Board of Directors, is tasked with the ultimateresponsibility and authority for overall sustainability management and is also responsible for the effectiveness of the company’ssustainability management. The actual sustainability management activities for the entire Group are executed by the GroupExecutive for Corporate Sustainability, under the President. The Group Executive for Corporate Sustainability creates a medium-term plan for sustainability, which is approved by the Board of Directors as a management plan for the entire Group. The GroupExecutive for Corporate Sustainability then reports monthly to the President and the Audit Committee established in the Boardof Directors on progress made on and issues in sustainability management.The same Group Executive also reports annually on sustainability progress under the medium-term management plan DX2022(FY2020-FY2022) during Board of Directors meetings, and obtains advice and opinions.The company established a Group Sustainability Promotion Committee as an organization that promotes the Group’s medium-term sustainability plan. The Corporate Sustainability Division serves as the secretariat of the Committee, whose members arepersons responsible for sustainability promotion appointed by the heads of the business divisions, corporate planning andmanagement divisions (planning, IR, HR and others), and R&D divisions. The Committee discusses the medium-termsustainability plan and the annual plan, checks the quarterly progress, and reviews the Group’s sustainability issues.Since fiscal 2017, the company has been promoting sustainability as part of its management activities by including non-financialindicators such as ESG in the performance evaluation items of executive officers.12Basic Approach and Systems for Sustainability ManagementKonica Minolta Group Charter of Corporate BehaviorCorporations, in addition to being economic entities engaged in the pursuit of profit through fair competition, should bebeneficial to society at large. For this reason, Konica Minolta Group shall behave in a socially responsible manner and shall haveall of its directors, officers, and employees clearly acknowledge the spirit of this Charter of Corporate Behavior.Senior management shall recognize that the fulfillment of the spirit of this Charter is its own role and responsibility, and shalltake the initiative to ensure that all directors, officers, and employees fully understand the Charter. In addition, the managementshall constantly pay attention to the opinions of internal and external parties, and shall promote the implementation of effectivesystems to secure ethical corporate behavior.1. Beneficial and Safe ProductsWe shall strive to earn the confidence of consumers and clients through the development and provision of socially beneficialproducts and services with the utmost consideration for safety.2. Fair and Transparent Corporate ActivitiesWe shall, in the pursuit of fair and transparent corporate activities, comply with laws and social regulations and act inaccordance with international rules and the articles of incorporation.3. Communications with Society and Information DisclosureWe shall communicate with society at large and disclose corporate information fairly and adequately.We shall acknowledge the seriousness of global environmental issues, and shall act voluntarily and affirmatively to protect theenvironment.We shall, with a global perspective, affirmatively make contributions to society while respecting local customs and cultures.We shall endeavor to make the lives of employees comfortable and fulfilling, provide a safe work environment, and respect eachemployee’s personality and individuality.In the event of a violation of the principles of this Charter, in order to solve the problem, senior management shall investigatethe cause of the violation and develop reforms to prevent its recurrence in accordance with corporate compliance procedures.Prompt public disclosure of precise information and an explanation regarding the violation shall be made, and responsibility forthe violation shall be clarified. Strict and fair disciplinary action shall be taken, including with respect to senior managementwhere necessary.Established on October 1, 2003The Konica Minolta Group is an economic entity engaged in the pursuit of profit through fair competition that seeks to be ofbenefit to society at large. As such, the Group complies with laws and social regulations and acts in accordance withinternational rules in pursuit of fair and transparent corporate activities.“Fair and Transparent Corporate Activities” include activities other than any illegal or unfair (fraudulent) activities such ascorruption, antitrust violations, illegal political contributions, or illegal charitable contributions and sponsorships.4. Environmental Protection5. Contribution to Society6. Respect for Employees7. Responsible Actions13Sustainability StrategyFive New Material Issues to Be Solved Through Digital Transformation (DX)The future is difficult to predict in a complex world characterized by population growth, developed countries with decliningbirthrates and aging populations, rapid digital transformation, greater use of biotechnology, multipolarity in internationalrelations, and a worsening climate crisis. Given the uncertain future the world faces, Konica Minolta has decided to identify thesocial and environmental issues it must help address. While reaffirming its corporate DNA, the company clarified issues to beaddressed by 2030, and then backcasted from that year to determine the targets it must tackle immediately.After gaining insight into social and environmental issues expected to be critical by 2030 by examining the UN SustainableDevelopment Goals (SDGs) and macro trends, Konica Minolta conducted a materiality analysis from the perspectives of socialissues that must be solved and Konica Minolta’s business growth. This led to the identification of five new material issues forKonica Minolta to tackle starting in 2020: (1) improving fulfillment in work and corporate dynamism; (2) supporting healthy,high-quality living; (3) ensuring social safety and security; (4) addressing climate change; and (5) using limited resourceseffectively. For each of these issues, vision were also established, thereby clarifying Konica Minolta’s medium and long-termdirections for value creation.These five material issues are linked to Konica Minolta’s business growth strategy and are now the cornerstones for action ineach business area. In alignment with the value creation process of each business unit, Konica Minolta will implement initiativesfor both business growth and sustainability to create value for customers and the broader society.14Vision for 2030 and SDGs Related to Each Material IssueMaterial issueVision for 2030Related SDGsImproving fulfillment inwork and corporatedynamismIncrease labor productivity for corporateclients, society, and Konica Minolta. Maketime for creativity, and promoteworkplaces where all individuals canthrive.Supporting healthy, high-quality livingPromote health and high quality of life atcorporate clients, in society, and KonicaMinolta. Help individuals lead fulfillinglives.Ensuring social safety andsecurityEnhance safety and security in theworkplaces of corporate clients and insociety. Minimize risks posed by KonicaMinolta products and services.Addressing climate changeReduce CO2 emissions by Konica Minolta.Enhance CO2 emissions reduction atcorporate clients and suppliers, andreduce the carbon footprint of society.Using limited resourceseffectivelyPromote the effective use of resources atKonica Minolta, while also helpingcorporate clients and suppliers to achieveeffective use.Click below for details on the material issue identification process.Material Issue Evaluation and Identification ProcessMedium-Term Sustainability Plan 2022As the first step toward achieving its long-term vision, Konica Minolta established the medium-term business plan “DX2022” in2020. The DX2022 plan aims to “leap to highly profitable businesses through DX,” and “evolve into a company clearlycommitted to solving social issues” by 2022. Under the plan, key performance indicators have been set to measure the creationof social and environmental value as well as economic value for each of the five material issues. By working to solve social andenvironmental issues, Konica Minolta can also foster its own growth.15Helping to Solve Social and Environmental Issues by Advancing Konica Minolta’s Imaging IoT Technology andCombining It with Digital TechnologyToday’s increasingly urgent social and environmental issues can only be solved by innovation. By combining imaging IoT anddigital technologies to “make the invisible visible,” Konica Minolta will work to transform the workflows used in the workplaceand contribute to society by making people’s lives even more fulfilling.Improving fulfillment in work and corporate dynamismAs work styles continue to diversify, we are providing solutions that increase productivity and make creativity-inspiring workstyles possible in diverse locations — all the while supporting the human quest for purpose in life, improving fulfillment in work,and fostering corporate dynamism.Supporting healthy, high-quality livingKonica Minolta is enhancing the diagnostic function of clinics and other neighborhood primary care settings by providingdiagnostic imaging analysis technology that uses AI, and by supporting diagnosis through a network of specialists. In addition,the company is helping to make the workflow at nursing care facilities visible using image analysis and AI to reduce the burdenon caregivers. By making it possible to provide more finely tuned nursing care services, Konica Minolta is also helping seniors toremain independent.Konica Minolta is providing solutions to enable non-contact and remote monitoring and inspection at factories and plants. Byforecasting and predicting trouble or danger in ways that surpass the visual capabilities of frontline workers, the company aimsto prevent accidents and ensure the safety and security of factories and surrounding communities.Ensuring social safety and securityAddressing climate changeKonica Minolta helps corporate clients in the commercial printing industry streamline their operations and reduce energyconsumption. The company is providing solutions for transforming their workflow while enhancing their productivity, inaddition to reducing its own CO2 emissions.Using limited resources effectivelyKonica Minolta is contributing to reduced resource consumption by helping corporate clients in the commercial printingindustry to shift to on-demand printing. This will eliminate the need for printing plates used in traditional offset printing andreduce customer process inventory.Driving Drastic CO2 Emissions Reduction with DX, to Achieve Carbon Minus by 2030 Instead of 2050With the implementation of the new long-term vision and the DX2022 medium-term business strategy, Konica Minolta hasdecided to bring forward its goal to achieve Carbon Minus status to 2030. Utilizing digital transformation (DX) technologies,Konica Minolta will promote collaboration with even more corporate clients and business partners, taking on the challenge ofbroad-scope reduction in environmental impact.In response to the material issues of addressing climate change and using limited resources effectively, Konica Minolta will helptransform the socially conventional business model of mass production and disposal by facilitating the adoption of on-demandproduction, work style reform, and edge computing. It will foster the transition to a fully paperless world while helping tominimize energy use in the digital society.One example of this is the digitization of its Green Supplier Activities, which provide business partners with Konica Minoltaenvironmental expertise. Until recently, the company’s specialists visited the factories of business partners to perform energy-saving diagnoses. By now, by digitizing and automating its diagnostic expertise, the company has developed a system thatallows business partners to perform energy-saving diagnosis and implement measures on their own. Konica Minolta anticipatesthat this will dramatically expand the scope of its activities and further accelerate environmental impact and cost reduction.Another key initiative is the company’s Environmental Digital Platform, launched in June 2020. This system helps to improve theefficiency of environmental management by allowing Konica Minolta and each participating company to share their knowledgeand expertise in order to co-create new value. The platform has a place for participants to co-create solutions and a place toshare and utilize proven solutions. Through these two digital spaces, Konica Minolta aims to help solve environmental issues ona global scale. The goal is to accelerate the resolution of environmental challenges through collaboration between companies,and to promote innovation through co-creation.16Sustainability StrategyMaterial Issue Evaluation and Identification ProcessUpdating the Material IssuesThe future is difficult to predict in a complex world characterized by population growth, developed countries with decliningbirthrates and aging populations, rapid digital transformation, greater use of biotechnology, multipolarity in internationalrelations, and a worsening climate crisis. Given the uncertainty the world faces, Konica Minolta has decided to identify the socialand environmental issues it must help address. While reaffirming its corporate DNA, the company clarified the issues to beaddressed by 2030, and then backcasted from that year to determine the targets it must tackle immediately.Konica Minolta believes that a sustainable and decentralized society with greater individual autonomy is on the horizon. When itarrives, organizations and individuals will be creating all kinds of value utilizing an explosively expanding amount of data. Alongwith greater prosperity based on individualization and diversification, countries will be able to solve many pressing social andenvironmental issues. Advanced technology will be required both for greater prosperity and to solve issues.After gaining insight into social and environmental issues expected to be critical by 2030 by examining the UN SustainableDevelopment Goals (SDGs), macro trends and various stakeholder requirements, Konica Minolta conducted a materiality analysisfrom the perspectives of social issues that must be solved and Konica Minolta’s business growth. This led to the identification offive new material issues for Konica Minolta to tackle. By addressing these five material issues, Konica Minolta will support thehuman quest for purpose in life and contribute to global sustainability.Evaluation and Identification ProcessStep 1. Issue AwarenessFirst, Konica Minolta made a list of diverse environmental, social, and economic issues by referencing international frameworksand guidelines such as the GRI Standards and SDGs, as well as macro trends in each specialized field.The list was prepared by referring to the Wedding Cake Model of the SDGs. This structural model was developed by theStockholm Resilience Center* as a way to understand the SDGs, and it helps to clarify the relationships among the SDGs. Withthis model, the 17 goals are divided into three layered categories, like the tiers of a wedding cake. These tiers from bottom totop are biosphere, society and economy. The model illustrates that achieving the biosphere and society-related SDGs can help tobuild a sustainable economy and society, upon which companies can help build the foundation for a sustainable economy. Withthis relationship in mind, Konica Minolta identified the issues of greatest importance to its business.During this identification process, Konica Minolta also considered social and environmental changes, regulatory and policytrends, and stakeholder requirements, all in light of the company’s current and potential business areas as well as thecorresponding supply and value chains.※ Stockholm Resilience CenterFrameworks and Guidelines referred to:GRI StandardsISO 26000Sustainability Accounting Standards Board (SASB)Sustainable Development Goals (SDGs)The Ten Principles of the UN Global CompactOECD Guidelines for Multinational EnterprisesTask Force on Climate-related Financial Disclosure (TCFD)Macro trends in various climate change and other specialized fields (the Paris Agreement, the European circular economy, etc.)International Integrated Reporting Council (IIRC), International Integrated Reporting FrameworkStockholm Resilience Center’s Wedding Cake Model for the SDGs17Evaluations, dialogues and requirements for Konica Minolta from stakeholdersDialogue with investors and other stakeholders at IR briefings, business briefings, etc.Dialogue with CDP and other international NGOs and NPOsItems requested in various ESG surveysDialogue with customers on Sustainable Marketing activitiesDialogue with companies participating in the Environmental Digital PlatformDialogue with investors and other stakeholders at the TCFD Consortium RoundtableStep 2. Issue Identification and PrioritizationFrom the initial list of issues, Konica Minolta identified fields that are particularly relevant to its business, and then conducted aprioritization process.Konica Minolta’s materiality analysis is unique in that it assesses both risks and opportunities. By evaluating both these aspects,the company aims to fulfill expectations for enterprises to tackle the SDGs. The expectation is that companies treat social andenvironmental issues as opportunities to grow their businesses, while helping to solve the issues through their businessactivities.In performing the materiality analysis, Konica Minolta evaluated and prioritized the issues based on the two perspectives ofimportance to stakeholders and importance to the business.Customers, business partners, shareholders, investors, and employees were defined as part of the analysis. Importance tostakeholders was quantified by scoring each issue from one to five. To analyze financial impact and importance to the business,each issue was similarly scored based on the amount of potential earnings for opportunity issues, and the amount of potentialloss for risk issues.【Opportunities for Each Material Issue】18Improving fulfillmentin work and corporatedynamismImproving productivity of customer organizations and increasing time for creativity by providingwork-style solutions using digital technologyImproving productivity and enhancing workplace motivation in the supply chains of customerorganizations by providing products and services that transform the workflows of frontline workersRealizing the full potential of human resources, who are the source of new value, and creatingworkplaces organizations where individuals thriveEliminating labor shortages and strengthening cyber security by eliminating the gap in IT accessfaced by small and medium enterprisesSupporting healthy,high-quality livingTransforming caregiver workflow with imaging IoT-based systems and onsite consultingservices, and creating a labor pool in the caregiving industryPromoting disease prevention and early detection by providing high value-added medicalservices, and reducing medical expensesStreamlining drug development by promoting innovation in drug discovery processes utilizinggenetic testing technologyImproving healthcare accessibility in developing countriesEnsuring social safetyand securitysuch as gas leak monitoring servicesImproving safety and security at client sites and for society by providing products and servicesSupporting the quality produced by corporate clients by offering products and services thatfacilitate high-tech measurement and inspectionAddressing climatechangemanufacturing process solutionsReducing energy consumption and CO2 emissions of customers and society by providingUsing limitedresources effectivelyCross-cuttingopportunitiesPromoting a paperless and ubiquitous computing society by providing solutions for work stylereformContributing to drastic CO2 emissions and cost reductions by helping business partners toreduce their environmental impact using DX technologyConstructing efficient supply chains for client companies using on-demand productionReducing workflow and supply chain loss for client companiesFostering a corporate culture that encourages role models for the generation of SDG innovationImproving ESG relations with investorsEnhancing customer relations by making the most of ESG initiatives19【Risks for Each Material Issue】Improving fulfillmentin work and corporatedynamismenvironmentsMismatches between employee skills and their work due to rapid changes in systems andDeclines in employee diversity, independence, and ability to innovate due to stagnated efforts tocreate workplaces that promote diversityEnsuring social safetyand securitydeath or injury to a userLoss of public confidence in the event of a product or service-related accident that results inLoss of public confidence in the event of a serious information security accident related to aproduct or service, which results in a personal data leak or privacy infringementImpacts on operations and product shipments due to the use of substances that polluteecosystems and pose human health hazardsAddressing climatechangeinstabilitySkyrocketing energy prices, increased material costs due to raw material shortages, and supplyGreater use of paperless systems due to skyrocketing energy prices and raw material shortagesSupply chain disruptions due to abnormal weatherUsing limitedresources effectivelyDecline in competitiveness due to delayed participation in the circular economyProduction or shipment delays due to water-related risks and water resource depletionCross-cutting riskDecline in public confidence due to lack of governance at business partners20Step 3. Results Confirmation and Issue IdentificationThe Konica Minolta Group Executive for Corporate Sustainability, who chairs the Group Sustainability Promotion Committee,confirmed the appropriateness of the material issue evaluation process and the prioritized issues. The selected material issueswere then discussed by senior management and approved by the Board of Directors. The process used to identify materialissues is reviewed annually, which guarantees the validity of the issues selected and the corresponding plan.21Sustainability StrategySustainability Targets and ResultsKonica Minolta has set indicators in line with its material issues based on the medium-term management plan, and uses them tomanage progress.Initiatives in the Medium-term Sustainability Plan 2022 (FY2020-FY2022)In 2030, Konica Minolta defined the social and environmental issues it should address, and used backcasting to identify fivematerial issues (priority issues) to tackle in 2020: Improving fulfillment in work and corporate dynamism; Supporting healthy,high-quality living; Ensuring social safety and security; Addressing climate change; and Using limited resources effectively. Foreach of these issues, visions for 2030 were also established, thereby clarifying Konica Minolta’s medium and long-termdirections for value creation.Under the Medium-term Management Plan DX2022 (FY2020-FY2022), a Medium-term Sustainability Plan 2022 was established,and targets and action plans to create social and environmental value and economic value in line with these five new materialissues were also formulated. Konica Minolta regularly reports on the sustainability targets addressed during the Medium-termManagement Plan’s duration and the progress of these activities.Click image to enlarge22Initiatives in the Medium-term Management Plan SHINKA2019 (FY2017-FY2019)Under the Medium-term Management Plan SHINKA2019 (FY2017-FY2019), sustainability targets and action plans in line withmateriality were set and activities pursued. The company regularly reports on the sustainability targets and the results of theseactivities during the three-year term of this medium-term plan.Click image to enlarge23List of Targets and ResultsSustainability Targets and Results during the Period of the Medium-term Management Plan DX2022 (FY2020 – FY2022)Improving Fulfillment in Work and Corporate Dynamism Vision for 2030: Increase labor productivity for corporate clients, society, and Konica Minolta. Make time for creativity, and promote workplaces where all individuals can thrive.ThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusStatus of achievements (self-assessment) 〇: 100% or more, △: 80% or more, ×: less than 80%Increasing customer productivity andmaking time for creativityStrategic assignments for managercandidates (%) *1Number of DX leaders*2 trained (people)70ー70ー10027100ーCreating an organization that draws outpotential talent so that individuals canshineSocial andenvironmentalvalueEmployee engagement scoreGES*3 designing GES designing*1 Percentage of employees assigned to strategic leadership positions*3 GES (Global Employee Survey)*4 Target scope: Konica Minolta, Inc.Percentage of management positions held bywomen (%) *4Percentage of women among new graduatehires (%) *4*2 DX leader: Leaders who can meet customer needs with digital solutions7.223GESimplementationProblemidentificationand goal settingImprovingengagementscore(Compared toFY2021)ー88% or more30% or more30% or more30% or moreSupporting Healthy, High-Quality LivingVision for 2030: Promote health and high quality of life at corporate clients, in society, and Konica Minolta. Help individuals lead fulfilling lives.ThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusPromote health and high quality of life atcorporate clientsBuilding safe andcomfortableworkplaces whereemployees feelmotivated*1ImproveorganizationalhealthEmployee health *4Rate of reduction in Level 4 workplaces (%) *2Social andenvironmentalvaluePercentage moving to higher level oforganizational health (%) *3Number of employees who are at high riskphysically (employees with the highesthealth risks)38-15-305501024% increase4% decrease8% decrease12% decreaseNumber of leave-of-absence days taken dueto mental health problems13% increase3% decrease7% decrease13% decrease*1. Target scope: Konica Minolta, Inc.*2 The rate of reduction from fiscal 2019 levels in the number of Level 4 workplaces, which have the highest level of stress (workplaces deemed to have the highest level of stress based on the results of a four-level stress check)*3 The rate of year-on-year change in the number of workplaces whose results in the organizational health survey improved from less than 3.5 to 3.5 or higher (upper level)*4 Rate of change from fiscal 2019 resultsEnsuring Social Safety and SecurityVision for 2030: Enhance safety and security in the workplaces of corporate clients and in society. Minimize risks posed by Konica Minolta products and services.ThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusProvide safety and security in the work anddaily lives of corporate clientsEliminatesubstances thataffect healthMinimizing RisksRelated to the Safetyand Security ofKonica MinoltaProducts and ServicesReinforce efforts toensure health whenproducts andservices are usedCompletelyeliminate seriousinformation securityincidentsSocial andenvironmentalvalueNumber of serious accidents*1 caused bychemical substancesEconomic valueSerious business losses due to chemicalsubstance management (JPY)Social andenvironmentalvalueNumber of serious product-relatedaccidents*2Economic valueMajor business losses related to productsafety (JPY)Social andenvironmentalvalueNumber of serious information securityincidents*3Economic valueMajor business losses related to informationsecurity (JPY)000000000000000000000000*1 Serious accident: A case that causes serious harm to the product user’s life and/or body and cases that cause serious and significant impact on the business of the product user*2 Serious product-related accidents refer to those accidents that cause serious harm to the product user’s life and/or body and accidents that cause serious damage to assets other than the product. to assets other than the product*3 Serious security incidents refer to those product-security incidents that cause serious and significant harm to the product user’s business〇ー〇ー△〇ー××〇〇〇〇〇〇24Addressing Climate ChangeVision for 2030: Reduce CO2 emissions by Konica Minolta. Enhance CO2 emissions reduction at corporate clients and suppliers, and reduce the carbon footprint of society.ThemesIndicatorsFY2020FY2021FY2022FY2030FY2050ResultsTargetsTargetsTargetsTargetsTargetsFY2020 TargetAchievementStatusReducing Energy Usage and CO2 Emissionsby Transforming Customer ProcessesSocial andenvironmentalvalueAmount of Carbon Minus contributions*1(thousand tons)Economic value Solution sales (billion yen)590700800604008030100△△ーー〇△〇ー〇〇〇〇Economic value Sales from sustainable solutions (billion yen)676670690700Using Limited Resources EffectivelyVision for 2030: Promote the effective use of resources at Konica Minolta, while also helping corporate clients and suppliers to achieve effective use.ThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusEffective Use of Resources by TransformingCustomer Business ProcessesReduction of waste discharge of customers(thousand tons)325330360370Energy Usage andCO2 EmissionsReduction Related toKonica Minolta Sites,Business Partners,Products and ServicesCO2 emissions over the productlifecycle*2Reduction of CO2 emissions (thousand tons)Reduction rate (%) over FY2005Reduction ofenvironmentalimpact of KonicaMinolta productionsites *3Reduction ofenvironmentalimpact through theuse of KonicaMinolta productsand servicesReduction ofenvironmentalimpact at suppliersusing DX*3Reduction of CO2 emissions (thousand tons)Economic valueMonetary equivalent of energy reduction(million yen)Amount of CO2 reduced throughprocurement of renewable energy (thousandtons)Percentage of renewable energy use (%)Reduction of CO2 emissions (thousand tons)Social andenvironmentalvalueSocial andenvironmentalvalueSocial andenvironmentalvalueSocial andenvironmentalvalueAmount of Carbon Minus contributions*1(thousand tons)Economic valueMonetary equivalent of energy reduction(million yen)*1 Carbon Minus contributions: Volume of CO 2 emissions reduced at customers, business partners and the broader society*2 CO2 emissions over the product lifecycle, from procurement, production, distribution, sales and service to use by the customer*3 Reduction amount for each fiscal year due to the measures implemented during medium-term planSocial andenvironmentalvalueSocial andenvironmentalvalueEconomic value Solution sales (billion yen)Reduction ofenvironmentalimpact of KonicaMinolta productionsites*Reduction ofenvironmentalimpact through theuse of KonicaMinolta productsand servicesReduction of waste discharge (thousandtons)Economic valueMonetary equivalent of waste reductions(million yen)Social andenvironmentalvalueAmount of resources saved and recycled(thousand tons)Economic value Sustainable solution sales (billion yen)Effective Use ofResources Relating toKonica Minolta Sites,Suppliers, Productsand Services*Reduction amount for each fiscal year due to the measures implemented during medium-term planCross-cutting Activities Supporting Material IssuesAttract ESG investment by providing solutions to social issues and sustainable growthThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusAttract ESG investment by providingsolutions to social issues and sustainablegrowthSocial andenvironmentalvalueESG initiatives continue to earn top marksHigh assessmentHigh assessmentHigh assessmentHigh assessmentResponse to social trends in regards to supply chainThemesIndicatorsFY2020FY2021FY2022ResultsTargetsTargetsTargetsFY2020 TargetAchievementStatusPercentage of suppliers requested to carryout CSR activitiesー100% of suppliers asked to take CSR measuresduring the medium-term plan’s period (FY2020-FY2022)CSR procurementSocial andenvironmentalvalueNumber of CSR assessmentsNumber of CSR third-party audits (RBA-VAP) One supplierFour Groupmanufacturingsites, 40suppliersCSR assessments carried out at all Groupmanufacturing sites and important suppliers (about100 companies) during the medium-term plan’speriod (FY2020-FY2022)CSR third-party audits (RBA-VAP) carried out atparticularly important Group manufacturing sitesand particularly important suppliers (total of sevensites) during the medium-term plan’s period(FY2020-FY2022)Number of final product production sitesreceiving RBA certification (Silver or higher)Economic value Loss of sales opportunitiesSocial andenvironmentalvaluePercentage of suppliers returning conflictmineral surveys (%)Percentage responding to requests forsurveys from customers (%)98Maintained at 95% or higher in every year100% responseMaintained at 100% or higher in every yearPracticing responsible mineralsprocurementOccupational Safety and HealthThemesIndicatorsFY2020FY2021FY2022FY2030ResultsTargetsTargetsTargetsTargetsPreventing occupational accidentsEconomic value Major business losses (JPY)Social andenvironmentalvalueSerious accidents*1Social andenvironmentalvalue*1 Serious accidents: (1) Death, disease requiring a long recovery period (or the possibility thereof), an injury resulting in a disability (or the possibility thereof), or a specific contagious disease(2) An accident resulting in the death or injury of three or more workers during work at one point or the contraction of a disease (including accidents not accompanied by lost worktime)*2 Frequency rate of lost-worktime injuries: The number of persons absent from work per one million total actual working hours for current employeesRate of lost-worktime injuries*2 (%)0.170.210.190.150.10 or lessFY2020 TargetAchievementStatus〇〇〇565518216047966.5241.522530.613012676000056ーー4896ー241.321580.511012670000066ーー1012ー262103.144711.02001469030007407697053184302010264.868831.2260147004000△△〇〇〇〇〇ー〇〇〇〇〇〇ーー25Sustainability Targets and Results for the Period of Medium Term Business Plan “SHINKA 2019” (FY2017-FY2019)Targets and Results Regarding Environmental Impact100% or above：〇　　80% of above, less than 100%：△　　Less than 80%：(cid:186)Green Products (planning and development)Medium-Term EnvironmentalPlan 2019Fiscal 2017 ResultsFiscal 2018 ResultsFiscal 2019 Results（1）Creation of Sustainable Green Products (SGPs) sought by customers and societyBusiness valueSalesSustainable Green Products sales:770billion yen (sales ratio: 70%)Cost reductionsResource-saving cost reductionSalesSustainable Green Products sales:657.6billion yen (sales ratio: 64%)Cost reductionsResource-saving cost reductionSalesSustainable Green Products sales:778.5billion yen (sales ratio: 74%)Cost reductionsResource-saving cost reduction◯◯SalesSustainable Green Products sales:733.1billion yen (sales ratio: 74%)Cost reductionsResource-saving cost reductionEnvironmental valuePreventing global warmingCO2 emissions reduction during productusage: 17.2 thousand tonsCO2 emissions reduction in theprocurement stage: 45.9 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 11.3thousand tonsReducing chemical substance risksControl emissions+ Social issue solutions based on SDGsPreventing global warmingCO2 emissions reduction during productusage: 10.9 thousand tonsCO2 emissions reduction in theprocurement stage: 37.1 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 10.3thousand tonsPreventing global warmingCO2 emissions reduction during productusage: 15.0 thousand tonsCO2 emissions reduction in theprocurement stage: 41.8 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 12.6thousand tonsPreventing global warmingCO2 emissions reduction during productusage: 14.8 thousand tonsCO2 emissions reduction in theprocurement stage: 39.2 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 12.4thousand tons◯◯（2）Complying with government procurement standards and environmental label requirementsBusiness valueSalesEliminate lost sales opportunitiesSalesEliminated lost sales opportunities◯ SalesEliminated lost sales opportunitiesEliminated lost sales opportunities◯ SalesEnvironmental value◯Environment overallReduced environmental impact throughcompliance with standardsEnvironment overallReduce environmental impact throughcompliance with standards（3）Dependably complying with product-related laws and regulationsBusiness valueRisk avoidanceEliminate effect on salesEnvironmental valueReducing chemical substance risksReduce hazardous chemical substancerisk by conforming to laws andregulationsReducing chemical substance risksReduced hazardous chemical substancerisk by conforming to laws andregulationsRisk avoidanceEliminated effect on sales◯Environment overallReduced environmental impact throughcompliance with standards◯Environment overallReduced environmental impact throughcompliance with standards◯ Risk avoidanceEliminated effect on sales◯ Risk avoidanceEliminated effect on salesReducing chemical substance risksReduced hazardous chemical substancerisk by conforming to laws andregulations◯Reducing chemical substance risksReduced hazardous chemical substancerisk by conforming to laws andregulationsGreen Factory (procurement and production)Medium-Term EnvironmentalPlan 2019（1）Excellent Green Factory activitiesBusiness valueCost reductionsEnergy and resource cost reductionEnvironmental valuePreventing global warmingCO2 emissions reduction in productionactivities: 19 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 2.8thousand tonsRestoring and preserving biodiversityWater consumption reduction: 220thousand m3Fiscal 2017 ResultsFiscal 2018 ResultsFiscal 2019 ResultsCost reductionsEnergy and resource cost reduction◯ Cost reductionsEnergy and resource cost reductionEnergy and resource cost reduction◯ Cost reductionsPreventing global warmingCO2 emissions reduction in productionactivities: 25.6 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 4.0thousand tonsRestoring and preserving biodiversityWater consumption reduction: 259thousand m3◯Preventing global warmingCO2 emissions reduction in productionactivities: 26.5 thousand tonsSupporting a recycling-orientedsocietyEffective resource utilization: 7.1thousand tonsRestoring and preserving biodive