東京計器（7721） – Sustainability Report 2021

Sustainability Report2021Management PhilosophyIt is the mission of our Company and our Group to contribute to society, with a focus on our business of leveraging electronics and other advanced technology to create products that embody functions of human senses: measurement, cognition, and control.1. Continually hone our technology to develop products that lead the world.2. Anticipate changes in the market and create new value.3. Prioritize quality in our products and earn the trust of customers.4. Develop human resources who improve their abilities and their character to contribute to fulfilling our mission.5. Engage in sound and fair corporate activities in line with social norms.6. Protect the environment and work to conserve limited resources.7. Increase our overall corporate value and meet the expectations of our stakeholders.1TOKYO KEIKI Sustainability Report 2021Company profile (as of Thursday, September 30, 2021)ContentsTrade name: Tokyo Keiki Kabushiki-gaishaManagement Philosophy …………………… 1Company name in English: TOKYO KEIKI INC.Founded: Established: May 1, 1896December 21, 1948Paid-in capital: ¥7,217,597,300Employees: 1,319 (Consolidated: 1,709)Editorial policy / Contents ………………… 2Message from the President ……………… 3Message from the Chief Sustainability Promotion Officer …………………………… 5Company History …………………………… 6Our Businesses …………………………… 7Financial and Non-Financial Highlights … 9Microwave Level Gauges Active in the Field of National Disaster Readiness …… 11Spotlight 1Spotlight 2Establishment of the Sustainability Office …………………………………… 13Stakeholder Engagement ………………… 15Environmental InitiativesEnvironmental Policies and Frameworks ……………………………… 17Climate Change Initiatives ……………… 19Realization of a Recycling-Oriented Society …………………………………… 21Social InitiativesCompliance and Risk Management …… 25R&D and Quality Management Initiatives … 29Together with Employees ……………… 33Human Rights …………………………… 36Occupational Health and Safety ………… 37Social Contribution ……………………… 38Corporate GovernanceCorporate Governance ………………… 40Editorial policyWe issue this report for the purpose of providing easily understood information on sustainability at TOKYO KEIKI to stakeholders including customers, business partners, shareholders, investors, local communities, and employees. Our goal is to make this report a useful tool for communication with our stakeholders.Period coveredFiscal 2020 (April 2020 to March 2021)Some data and information on activities from April 2021 are also included.TOKYO KEIKI INC. and its domestic and overseas Scope of coverageFinancial information:consolidated subsidiariesNon-financial information:TOKYO KEIKI INC.TOKYO KEIKI AVIATION INC.TOKYO KEIKI POWER SYSTEMS INC.TOKYO KEIKI RAIL TECHNO INC.MOCOS JAPAN CO., LTD.TOKYO KEIKI PRECISION TECHNOLOGY CO., LTD.Referenced guidelinesGRI Standards2TOKYO KEIKI Sustainability Report 2021Message from the PresidentWith the world at the mercy of COVID-19 in fiscal 2020, to change will necessarily disappear. Another pressing our Company was forced to restrict its activities in many issue for us is adapting to the scheduled spring 2022 scenarios, making the year one that tested our patience market restructuring of the Tokyo Stock Exchange, which with the inability to move forward with plans. Looking will set up a Prime Market with stricter listing standards.at our operating results, net sales declined 11.3% year on year to ¥42.08 billion, operating profit declined Continuing as a company needed by society33.3% to ¥1.25 billion, ordinary profit declined 27.5% to ¥1.46 billion, and profit attributable to owners of parent declined by 33.7% to ¥950 million.Major changes are taking place in circumstances surrounding our Group. In response to the global heightening of environmental awareness spurred by climate change and the biodiversity crisis, the achievement of a carbon-neutral society has become an urgent issue. The government of Japan has declared its aim to realize such a society by cutting greenhouse gas emissions to virtually zero by 2050. As a company existing in this age, we recognize our natural responsibility to act with consideration of the sustainability of society and the planet by making efforts not only in the environmental field but also in matters such as gender equality and achieving a just society. In May 2021, we celebrated the 125th anniversary of our founding. Long before the terms “SDGs” and “ESG” came into being, we have engaged in business with a mission of creating a safe and secure society and under a principle of solving issues in society. We were the first company in Japan to tackle many of our fields of business, and we have created products that boast top spots within their business niches. We were also early to undertake improvement of the work environment and employee welfare, during a history that includes the establishment of Japan’s first health insurance association. These achievements have come down to us today as the DNA of TOKYO KEIKI, which strives to solve social issues while also advancing our business. Now, at this major turning point in our history, we hope to return anew to our origin and connect it to the development of We further recognize that companies unable to respond our business.3TOKYO KEIKI Sustainability Report 2021Message from the PresidentA growth strategy that starts with sustainabilityBy continuing to grow sustainably through the dual activities of contributing to protection of the global environment and solving social issues to ensure people’s safety and security, we seek to continue as a company that is needed by society. With this determination in mind, in June 2021 we launched TOKYO KEIKI Vision 2030 with the aim of achieving sustainable growth and improvement of our medium- to long-term corporate value through the creation of global niche-leading businesses from the approach of the SDGs.TOKYO KEIKI Vision 2030 is our declaration of intent to make a sharp turn toward growth rooted in sustainability and ESG initiatives. To achieve this, we identified the management issues faced by our Group and the social issues toward which our Company can make Our basic policy is to continue creating unique, high-value-added products aimed at solving the social contributions. We further clarified five business domains issues addressed by the SDGs. By growing profits that we should strengthen, key points for deepening our existing businesses, and issues related to human through contributions to safety and the environment and by achieving sustainable growth and enhancing our resource development and organizational reform, among medium- to long-term corporate value, we intend to meet other matters. Based on our vision, we seek to grow as the demands and expectations of our stakeholders. To a company that once again takes on the challenge of leading the resolution of social issues.achieve this, we plan to move forward with initiatives based on three basic policies: (1) Expansion of our As a part of our internal reforms aimed at this, we business domains, (2) Promotion of globalization, and (3) created two new organizations: the Future Design Unit Continuous strengthening of our existing businesses.that aims for bottom-up innovation, and the Sustainability Office that seeks to promote ESG- and SDG-related activities across the company. To supervise the We applied for a transition to the Tokyo Stock Exchange’s Prime Market in the spring of 2022, and Sustainability Promotion Office, we also established a have made it our mission to prepare a commensurate Sustainability Committee, of which I serve as Chairman. level of governance and to continuously enhance our Under this new structure, we intend to draw out innovation from the standpoint of sustainability and connect this to growth strategies.Medium-term Business Plancorporate value. At the same time, the number of issues that our Group must solve, such as the creation of a sustainable society and the advance of a digital society, is increasing. While linking these to each other, we will continue our efforts toward becoming a company that Spanning three years from fiscal 2021, our Medium-term grows sustainably.Business Plan has the primary goal of strengthening I ask all of our stakeholders for their continued foundations and solidifying fundamentals based on our medium- to long-term strategy, to achieve the ten-year goals set in TOKYO KEIKI Vision 2030. The three-year period also marks a phase of identification, incorporation, and development of the growth drivers that will support our future.guidance and support.Representative DirectorPresident & CEO4TOKYO KEIKI Sustainability Report 2021Message from the Chief Sustainability Promotion OfficerSince our founding and long before the word continuously add new ability to create corporate value “sustainability” became recognized, our Group has that solves environmental problems and social issues.made contributions to society by providing products and services that solve issues in Japan’s social To sustainably add this new value, all of our infrastructure.employees must hold a strong sense of responsibility While we acknowledge that this historical that seeks to contribute to society through the background makes us a company that is highly business activities they are involved in. Transforming attuned to the sustainability concept of connecting the Group as a whole into a collection of employees company growth with contribution to solving that hold this mindset is also one of the roles environmental and social issues, our launch of assigned to the person in charge of sustainability sustainability organizations took place in June 2021. promotion.As such, we have just begun corporate management with awareness rooted in the context of sustainability.We will organize our in-house structure and examine diverse sustainability initiatives, including With my appointment as the person in charge of the earlier-mentioned enhancement of corporate promoting sustainability, I recognize my mission as value in a manner considerate of the environment reorganizing our conventional business from the and society, actions aimed at carbon neutrality and modern perspective of sustainability management TCFD recommendations, and promotion of diversity and connecting this to the future vision indicated in and inclusion, and will press forward to demonstrate TOKYO KEIKI Vision 2030, to lay a foundation for our concrete initiatives.next 100 years of development.Executive Officer, Chief of Sustainability PromotionYukihiko SuzukiRecent years have seen active movement around the world involving sustainability, including the expansion of ESG-related investment and the European Green Deal set of policy initiatives. In order for our Group to continue as a sustainable company listed on the Tokyo Stock Exchange Prime Market and to remain a company that will long be needed by society, I believe it is imperative that we not only demonstrate superiority in our conventional products and services and in our financial base, but also 5TOKYO KEIKI Sustainability Report 2021Company HistoryCompany HistoryBegins manufacture of navigational instruments such as compasses and depth sounders1896 Begins production of pressure gauges in Koishikawa, Tokyo as Wada Keiki Seisakusho, Japan’s first instrument factoryBegins manufacture of Sperry gyrocompassesHead Office moves to Kamata, TokyoCompany reorganized as TOKYO KEIKI CO., LTD. Optical instruments business spun off and established as Nippon Kogaku K.K. (now Nikon) with Mitsubishi joint-stock companyBegins development of aeronautic instrumentsCompany name changed to TOKYO KEIKI SEIZOSHOCompass installed in bridge of the flagship “Mikasa”Successfully develops Japan’s first marine radar systemMK-II Mod.0 Radar DisplaySuccessfully develops the world’s first ultrasonic flowmeter and moves into the field of flow measurementUF-100 Ultrasonic FlowmeterEstablishes NEW TOKYO KEIKI (now TOKYO KEIKI Yaita Plant) for mass production of electronic and measurement productsDevelops radar warning system used in the F-4EJ fighter planeCelebrates 100 years of operationsEstablishes Maritime Traffic Department in the Electronics Systems DivisionRestores the “TOKYO KEIKI” corporate nameEstablishes Chinese subsidiary TOKYO KEIKI (SHANGHAI) CO., LTD.Introduces company-based organizational structureChanges corporate governance system to have an Audit and Supervisory Committee1901191719181923193019481952195419621963196819691970197119731990199619992005200820112012201320162021Flight CompassBegins manufacture of hydraulic equipmentDevelops a rail inspection car using ultrasonic flaw detection technologyEstablishes TOKYO VICKERS CO., LTD. (now TOKYO KEIKI Sano Plant) for mass production of hydraulic equipmentCompany name changed to TOKYO KEIKI CO., LTD.Establishes DAIICHI TOKYO KEIKI CO., LTD. (now TOKYO KEIKI Nasu Plant) as a specialized factory for the manufacture of aerospace and terrestrial electronic productsCompany name changed to TOKIMEC, INC.MRG-10 microwave level gauge goes on saleEstablishes TOKYO KEIKI PRECISION TECHNOLOGY CO., LTD. in Vietnam as a base for hydraulic equipment manufacturingCelebrates 125 years of operations6TOKYO KEIKI Sustainability Report 2021Our BusinessesMarine Systems BusinessSupporting safe and secure ocean navigation through cutting-edge gyrocompass technology and marine autopilot technology ● As the nautical equipment pioneer and the first manufacturer of marine radar, gyrocompasses, and autopilots in Japan, we offer a lineup of nautical equipment necessary for piloting. We supply these products around the world.● As a top manufacturer of marine gyrocompasses and marine autopilots, we also participate in unmanned vessel development projects.Hydraulics and Pneumatics BusinessSupporting manufacturing and infrastructure development on the ground● We provide hydraulic, pneumatic, and electronic products that feature excellent energy efficiency and operability, mainly in the industrial machinery and construction equipment markets. We support the creation of societal infrastructure.● We contribute to the proliferation of next-generation energy through our hydrogen compression system.Marine Systems CompanyMOCOS JAPANAutopilotElectronic Chart Display and Information SystemFluid Power & Control Systems CompanyTOKYO KEIKI POWER SYSTEMS INC. TOKYO KEIKI PRECISION TECHNOLOGYHigh-pressure, low-noise, variable-displacement piston pumpDisplay for construction machineryHydraulic hydrogen compressors for hydrogen filling stationsFluid Measurement Equipment BusinessMeasurement Systems CompanySupporting the management of water resources and prevention of river disasters through accurate measurement technologySupporting safe living through gas-based fire extinguishing systems● We achieved the world’s first practical application of ultrasonic flowmeters. We contribute to the effective use of valuable water resources through flow rate monitoring of water and sewerage systems and of agricultural water.● Our microwave level gauge-based water level monitoring system aids in ● Ever since we became the first in Japan to develop inert gas-based fire extinguishing systems, we have protected valuable assets from fires at facilities not suited to water- and foam-based fire extinguishing.prevention and mitigation of river flooding and urban flooding.High-precision ultrasonic flowmeterMicrowave level gaugeGas-based fire extinguishing systems7TOKYO KEIKI Sustainability Report 2021Defense & Communications Equipment BusinessElectronics Systems CompanyCommunication & Control Systems CompanyTOKYO KEIKI AVIATION INC.Supporting society through proprietary microwave application technology and inertial sensor technology● We develop and provide aircraft electronic equipment and submarine inertial navigation systems for the defense market. ● We provide a vessel traffic service system that handles vessel traffic control in congested sea lanes, including in Tokyo Bay and Osaka Bay. ● Our high-performance microwave application products contribute to the miniaturization of semiconductors and to space projects.● We support smart agriculture through inertial sensors and control technology.● We provide attitude control systems that bring together our core technologies, including gyrosensors, accelerometers, and magnetic azimuth sensors, for helicopters, media relay vehicles, and more.Our BusinessesAircraft radar warning receiversVessel traffic service systemSolid state microwave power supplyAutomated straight-line assistance device for agricultural vehiclesAntenna directioning systemOther BusinessesInspection Systems CompanyTOKYO KEIKI RAIL TECHNO INC.Our Printing Inspection Equipment business contributes to maintaining quality in printing● Our high-precision image processing technology detects printing troubles, contributing to improved quality in printed matter.Our Railway Maintenance business supports safe transport on railways● We support railway maintenance work through rail inspection cars and rail flaw detectors. Our products are used by over 70% of Japan’s railway companies.Printing quality inspection systemRail inspection car8TOKYO KEIKI Sustainability Report 2021Financial and Non-Financial HighlightsFinancial informationChanges in consolidated net salesChanges in consolidated operating profit¥42,081 million(million yen)3,000¥1,250 million41,39443,80346,692 47,44042,0812,4401,8751,2502,5002,0001,5001,00050001,3191,121(million yen)50,00040,00030,00020,00010,0000Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Consolidated net sales segment ratiosFiscal year ended March 31, 2021Consolidated operating profit segment ratiosFiscal year ended March 31, 2021Others7%Marine Systems20%Others19%Marine Systems14%Defense & Communications Equipment39%Consolidated net sales¥42,081 millionConsolidated operating profit¥1,250 millionHydraulics and Pneumatics 25%Defense & Communications Equipment30%Fluid Measurement Equipment37%Fluid Measurement Equipment 9%(Hydraulics and Pneumatics: -¥424 million)Changes in earnings per share117.19¥57.6786.7657.67(yen)14012010080604020067.618.54ROE（%）7654321093.1%6.84.94.13.12.7Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021TOKYO KEIKI Sustainability Report 20215,139 kℓ5,3875,1397.4Financial and Non-Financial HighlightsNon-financial informationCarbon dioxide emissionsNote: Data is aggregated for the Head Office, Nasu Plant, Sano Plant, Yaita Plant, Energy usage (crude oil equivalent)Note: Data is aggregated for the Head Office, Nasu Plant, Sano Plant, Yaita Plant, Tanuma Plant, Hanno Plant, and TOKYO KEIKI PRECISION TECHNOLOGY (Vietnam)Tanuma Plant, Hanno Plant, and TOKYO KEIKI PRECISION TECHNOLOGY (Vietnam)11,85811,525 11,2145,7655,7405,6809,737 t-CO210,5579,737Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Annual leave utilization ratioAverage overtime hours55.9 %(hours/month)257.4 hours/month41.838.945.155.755.919.416.315.815.4October 1, 2016 to September 30, 2017October 1, 2017 to September 30, 2018October 1, 2018 to September 30, 2019October 1, 2019 to September 30, 2020October 1, 2020 to September 30, 2021Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021Reemployment rate for employees past retirement ageWomen/foreign nationals in management positionsNumber of women in management positions: 2Number of foreign nationals in management positions: 2(number of persons)592%92948397693130212122Fiscal year ended March 31, 2017Fiscal year ended March 31, 2018Fiscal year ended March 31, 2019Fiscal year ended March 31, 2020Fiscal year ended March 31, 2021As of April 1, 2017As of April 1, 2018As of April 1, 2019As of April 1, 2020As of April 1, 202110(t-CO2)12,00010,0008,0006,0004,0002,0000(%)6050403020100(%)100806040200(kℓ)6,0005,7005,4005,1004,8004,5002015105043210TOKYO KEIKI Sustainability Report 2021Spotlight1Microwave Level Gauges Active in the Field of National Disaster ReadinessSince our founding, our Group has engaged in business under a mission of creating a safe and secure society and a philosophy of solving issues in society. The DNA of TOKYO KEIKI, which tackles solutions to social issues as a pioneer, lives on in the field of national disaster readiness. The following is an introduction to an application employing microwave level gauges, which have attracted particular attention in recent years.The history of our Group’s microwave level gaugesFrom around 1955, our Company entered the field of process control systems with a focus on petrochemicals. We began developing markets in the automation field in partnership with overseas companies, centered on the “microsen” electronic process control device. In the process of doing so, we developed and sold capacitance-type and ultrasonic-type level gauges. In 1974, ahead of competitors, we began joint development of microwave level gauges with the University of Electro-Communications. We subsequently strengthened our microwave level gauge business through a domestic exclusive sales agreement for high-precision marine microwave level gauges developed by SAAB Marine Electronics (SME), a division of Swedish company SAAB. In 1993, we expanded our business domains, including supplying SME with our microwave transmitter/receiver modules. We currently offer a varied lineup of microwave level gauges developed in-house, along with microwave level gauges for ships (manufactured by Rosemount Tank Radar, originally SME).A microwave level gauge is a measuring instrument that calculates liquid level from the time required for microwaves transmitted from the device and reflected from the measured liquid level to return to the instrument. Ultrasonic-type devices based on the same principle also exist, but as ultrasonic waves are sound waves, these devices face problems including an inability to accurately measure propagation time when, for example, the speed of sound changes due to change in the temperature of the space between the device and the measured surface. Accurately measuring and correcting temperature distribution along the propagation path is particularly difficult outdoors, and wind and rain can also affect measurement. Microwaves, by contrast, are electromagnetic waves (i.e., light) and are nearly unaffected by these factors. Accordingly, microwave level gauges have found wide use in many fields in recent years.Tide level and tsunami observation facilities, and crisis management water gaugesSurrounded by the sea, Japan constantly faces the risk of disasters caused by major earthquakes and tsunamis. In response, the Japan Meteorological Agency has set up tide level and tsunami observation facilities around Japan to monitor the coast. Our microwave level gauges are active in the facilities as measuring equipment used for observation and measurement of tide levels.Recent years have seen many natural disasters attributed to climate change caused by global warming. If global warming further progresses and the atmospheric temperature rises by 2°C, predicted changes related to climate change include precipitation in Japan increasing to about 1.1 times the current level and the probability of flooding roughly doubling. Due to the climate change-related increase in heavy rainfalls, the number of rivers in which water has exceeded the flood hazard level (i.e., the water level at which overflowing may occur) is on the rise.Under these conditions, the importance of river water level gauges is growing day by day. At the same time, the high cost of conventional water level gauges has made installation and maintenance costs an issue for widespread use along small- and medium-sized rivers. To solve these problems, the Ministry of Land, Infrastructure, Transport and Tourism has taken the lead in developing low-cost water level gauges (with a cost of under 1 million yen for the gauge unit) specialized 11TOKYO KEIKI Sustainability Report 2021Microwave Level Gauges Active in the Field of National Disaster Readinessin water level observation during floods. Our new crisis management water gauge seeks to promote the proliferation of water level gauges in rivers previously lacking these and rivers requiring detailed water level assessment at the level of riverside land, thereby enhancing the water level monitoring network.Pressure-type, ultrasonic-type, microwave-type, and other sensors exist for these water level gauges. Our Group provides high-performance microwave level gauges.The TOKYO KEIKI Group’s microwave level gauges for crisis management-oriented and disaster readiness monitoring water level gaugesMD-10 microwave level gauge for crisis management water gaugesOur MD-10 microwave level gauge is a microwave water level gauge widely adopted for crisis management by the Ministry of Land, Infrastructure, Transport and Tourism, with a record of delivery of about 2,500 units so far. Developed by leveraging our technology and know-how gained through extensive experience and achievements in the field of river water level measurement, the MD-10 achieves accurate and stable water level observation even during floods.RPL-10 flood control level gaugeThe frequent occurrence of localized heavy rains in recent years has increased the risk of inland flooding in which water flows in reverse out of drainage manholes, creating a need for water level monitoring inside manholes. Our RPL-10 flood control level gauge was developed to meet this new need for monitoring the water level of inland inundation. It combines the merits of a microwave level gauge and a pressure-type level gauge to reliably measure water levels in manholes. This product for mitigating flood damage is unique to our Group and unrivaled by other companies.MD-10 microwave level gauge for crisis management water gaugesAddressing increasingly severe natural disastersRPL-10 flood control level gaugecognition, and control,” and will continue our untiring challenge to make this mission a reality. We invite you to closely watch our Group’s activities in the future.In addition to the products introduced above, our Group is advancing development of varied equipment for national disaster readiness. We are focusing on the particularly urgent field of flood preparedness, and have set a business strategy of contributing to the safety of society through fluid measurement, monitoring, and management. Microwave level gauges have recently found application not only in simple water level measurement but also in flood control areas such as automatic control of discharge gates in reservoirs where emergency release is required when water inflow increases due to heavy rain.We will continue making it our mission to achieve safety for society and happiness for people through proprietary technology centered on “measurement, Reservoir gate automation equipment12TOKYO KEIKI Sustainability Report 2021Spotlight2Establishment of the Sustainability OfficeIn June 2021, our Group established the Sustainability Committee and the Sustainability Office as Group-wide organizations to promote sustainability management, which seeks to enhance business sustainability through consideration of environmental, social, and economic sustainability. The background to the establishment of these new organizations and their structures are introduced below.Background to the establishment of the Sustainability OfficeIn May 2021, our Group celebrated its 125th anniversary, ESG are weak. Reflecting on this, we established the marking what is truly a history of innovation. Long before Sustainability Office as an organization that will provide the terms “SDGs” and “ESG” came into being, our a top-down view of ESG issues in our Group as a whole Group engaged in business under a mission of creating and will propose strategies and measures for connecting a safe and secure society and under the principle of this view to sustainable growth of the Group by resolving solving issues in society, At this 125-year juncture, we the issues. The goal of the Sustainability Office is to are making a major course change from “stability” to share our visions for the coming 10 years and 20 years “growth” that takes in a broader perspective, to shift with all Group employees, to create new innovation to a stage of medium- to long-term corporate value toward that end, and to create a new TOKYO KEIKI enhancement and sustainable growth through the Group that achieves sustainable growth while solving creation of global niche top businesses that take the social issues.SDGs as their approach.We also established a Sustainability Committee We have also decided to transition to the Prime chaired by the President & CEO. This Committee Market amid the market restructuring of the Tokyo Stock deliberates and shares sustainability management-Exchange. From here on out, we will be tasked with the related policies and measures drafted by the mission of maintaining a level of governance appropriate Sustainability Office in collaboration with other Head to a company listed on the Prime Market, and of Office staff departments, and executes decisions across constantly pursuing enhancement of our corporate the Group without delay.value. At the same time, as the world now takes great steps toward the achievement of the SDGs and drastic Last year, to provide information concerning ESG, changes begin, initiatives that consider ESG are we published an ESG Report with an awareness becoming important corporate management metrics for of IR aspects. From this year, in light of the report’s achieving corporate value, and movements to demand significance as a report on the activities of the ESG information disclosure by companies are gaining Sustainability Office and the Sustainability Committee, strength. Issues related to the elements of ESG that our we have changed its name to Sustainability Report.Group must solve, such as the creation of a sustainable society and the advance of a digital society, are expected to increase significantly.Under these circumstances, last year we produced our first ESG report. Doing so made clear to us that our Group-wide functions and organizations for addressing issues and goals pertaining to elements of 13Members of the Sustainability OfficeTOKYO KEIKI Sustainability Report 2021Establishment of the Sustainability OfficeSustainability Management and TOKYO KEIKI Vision 2030Sustainability management is the formulation of business strategy with consideration of the impacts of the company on the environment and society, while at the same time considering the impacts of these on the company. It is not possible for a company to survive in an era of rapid change without making changes itself, taking the influence of its surroundings into consideration. Sustainability management also means responding from a long-term perspective to opportunities and risks that the environment and society pose to our Group, and reallocating management resources accordingly. In other words, sustainability management is business management itself. To achieve sustainability management, our newly established TOKYO KEIKI Vision 2030 reaffirms the Group DNA that has been handed down over 125 years and aims for continued sustainable growth into the future. The Sustainability Office is planning a number of measures aimed at making TOKYO KEIKI Vision 2030 a reality.We have made the content of TOKYO KEIKI Vision 2030 available on our website.TOKYO KEIKI VisionAchieve safety for society and happiness for people through proprietary technology centered on measurement, recognition, and controlMissionOur missionWe will strive to solve social issues related to the safety of people worldwide through our proprietary technology, and will be a company that contributes to achieving a sustainable society.VisionOur vision for ourselvesUntiring challengeValueThe values by which we fulfill our mission and achieve our visionAt the center of our Group, the Sustainability Office (Monitoring by the Board of Directors)Sustainability promotion systemplans and promotes measures involving sustainability management.The Sustainability Committee is chaired by the President & CEO and selects Members from Internal Directors and Executive Officers. It functions as a meeting body that discusses and shares sustainability management-related policies and measures, and executes decisions without delay across the Group. It also makes proposals on key measures and issues progress reports to the Management Conference and the Board of Directors.Message from the Sustainability OfficeBoard of DirectorsRepresentative Director, President & CEOManagement ConferenceBusiness Departments (Companies, etc.)Headquarters staffSustainability Office* Drafting of important measures; reporting on progress, etc.Sustainability Committee* Selection of members from internal directors and executive officers* Drafting of items related to sustainability management; committee secretariat workThe slogan of the Sustainability Office is “Let’s all be of enduring for 125 years, the Sustainability Office will happy!” We cannot achieve the ultimate goal of the boldly transform our behavior to meet the coming era, SDGs, a world that leaves no one behind, unless each of with all members of the Office working as one to create our stakeholders is happy.a company that is better than ever. Our Group has many For all of us, including our stakeholders, to be happy, employees who hold an awareness of issues and who it is essential that our Group generate sustainable profits will support our future. We hope to involve employees like and grow. At the same time, we exist in an age in which these in creating a new history for our Group.companies that do not consider the environment and society will be abandoned by customers, by suppliers, and even by markets and shareholders, and will necessarily disappear. Not being content with our history 14TOKYO KEIKI Sustainability Report 2021Stakeholder EngagementTo the extent possible, we provide opportunities for dialogs with stakeholders to discuss and exchange thoughts on the status of our business and our initiatives to resolve social issues through our business. We will continue such efforts to enhance communication.Major areas of stakeholder engagementStakeholdersCommunication methodPoint of contact for dialogCustomers・Daily sales activities・Explanation of product operation・Training・Product maintenance and service・Exhibitions, etc.・Hydraulic School (course on hydraulics)・Business Divisions (sales/service departments) ・Corporate Communications OfficeShareholders / Investors・General Meeting of Shareholders*1・Financial results briefings*2・Disclosure of financial results briefing materials on IR-related web pages・Individual meetings with institutional investors*3・Holding of business policy briefing sessions (cooperating Suppliers / partner companiesfactories, distributors, agents) ・Daily procurement activities・Auditing of cooperating factories・Legal Governance Affairs Office (Handling of General Meeting of Shareholders)・Corporate Communications Office・Material Management & Purchasing Office, factories’ materials sections・Business Divisions (sales departments)・Labor-Management Negotiations / Management Council (labor-management deliberations)Employees・Briefings on programs, dialogs with the President & Department・Human Resources and General Affairs ・Corporate Planning & Administration OfficeCEO*4・Evaluation interviewsCommunities・Dialogs with industrial park unions, etc.・Dialogs with local residents’ associations, etc.・Community cleanup campaigns together with companies in vicinity of industrial parks・Sponsorship of local events (fireworks displays, etc.)・(Headquarters District) Human Resources and General Affairs Department・(Factories) Factory administration sections・(Hanno) TKA Administration Department*5・(Tanuma) TPS Administration Section*4Government・Dialogs with government officials (local government, police, fire department, etc.)・Response to government agencies in the event of accident or incident・(Headquarters District) Human Resources and General Affairs Department・(Factories) Factory administration sections・(Hanno) TKA Administration Department*5・(Tanuma) TPS Administration Section*6・Corporate Planning & Administration Office (Government agency response)Notes *1 Video streamed following the General Meeting of Shareholders due to the COVID-19 pandemic (from June 2021) *2 Video streamed due to the COVID-19 pandemic (from June 2020)*3 Telephone conferences and online conferences held due to the COVID-19 pandemic*4 Held with a limited number of participants and support for online conferencing due to the COVID-19 pandemic*5 TKA: TOKYO KEIKI AVIATION INC.*6 TPS: TOKYO KEIKI POWER SYSTEMS INC.Specific initiativesEngagement with customerslistened to their opinions.Our Group is working to promote smart agriculture aimed at labor efficiency and greater precision in agricultural work through the use of inertial measurement technology and automatic control technology. Our automated straight-line assistance device for agricultural machinery uses advanced technology to automate straight-line driving by skilled tractor operators. During development, we had both experienced drivers and those not accustomed to straight-line driving perform driving, and In November 2020, we participated in a Nasu District workshop on smart agriculture in Otawara, Tochigi Prefecture, sponsored by the Nasu District Certified Agriculture Council and the Nasu Agricultural Promotion Office. There we demonstrated a tractor equipped with our AG-GEAR3 automated straight-line assistance device for agricultural machinery. Customers participating in the event experienced automated steering and offered their opinions from users’ perspectives. We will continue to 15TOKYO KEIKI Sustainability Report 2021deepen our engagement with agricultural practitioners to aid in solving issues such as ensuring stable supplies of food, and will connect this engagement to product development that contributes to the sustainable development of agriculture.Engagement with shareholdersWe view the General Meeting of Shareholders as a valuable forum for dialog with our shareholders, and have held these meetings at our Head Office. However, to prevent COVID-19 contagion we requested limitations on the number of participants, and decided to stream the meetings online from the end of the annual General Meeting of Shareholders held in June 2021. By doing so, we hope to deepen understanding of the Group’s business activities among our many shareholders, including those who refrained from attending in person and those located far away.In January 2021, we introduced the TOKYO KEIKI Premium Benefits Club shareholder benefit program. Through a questionnaire aimed at shareholders who register as users for the online service of this benefit program, we have been able to listen to shareholders more directly than ever. We reflect the encouragement that we receive from many shareholders in our management activities. We also make use of a “Shareholders Post” function on the Club website to deliver information from our Company to registered shareholders. From June 2021, shareholders are also able to exercise electronic voting rights through the TOKYO KEIKI Premium Benefits Club, increasing convenience for shareholders and achieving lower environmental impact by reducing mailings.Online stream of the 90th General Meeting of ShareholdersStakeholder EngagementEngagement with institutional investorsWe normally hold financial results briefings at meeting venues, primarily for institutional investors. From June 2020, however, we have been streaming videos online to prevent COVID-19 contagion. The streamed financial results briefings have been well received as, unlike physical venues, they place no restrictions on date, time, or place. In addition, we handle IR interviews through telephone conferences and online conferences to avoid face-to-face meetings.As our Group’s businesses are diverse, we make refinements to materials for every financial results briefing, to make our business activities more easily understood.Online stream of the financial results briefing for the fiscal year ended March 2021Communication of information through the mediaOur Group works to deepen understanding of our business activities by communicating information to stakeholders through varied media. President & CEO Ando has made appearances recently in the following media to explain our Group’s products and business activities, which are widely deployed throughout society yet rarely seen by the public. The media appearances also allow explanation of our long-term plan expressing management targets through 2030 under the TOKYO KEIKI Vision 2030 announced in June 2021, along with the growth drivers and other factors by which we will achieve that plan, to deepen understanding among our stakeholders.Communication of information through media appearancesDateMediaInformation communicatedApril 2021June 2021Radio NIKKEI, “Kono kigyo ni chumoku! Soba no fukunokami (Company Watch! The Market God of Luck)”Nikkei CNBC, “Toppu ni kiku (Top-Level Interview)”Business overview; growth businessesBusiness overview; TOKYO KEIKI Vision 203016TOKYO KEIKI Sustainability Report 2021Environmental Policies and Frameworks“Protect the environment and work to conserve limited resources” is part of our management philosophy. Bearing the importance of conserving the global environment in mind, we will conduct our operations so as to reduce environmental impact in all our business areas, thereby helping to achieve a society that can develop sustainably and a healthy global environment.TOKYO KEIKI has contributed to society by using Environmental policies at our plantsOur Nasu, Yaita, and Sano plants have drawn up their own environmental policies based on the company-wide policies, taking into account the characteristics of the manufacturing they perform and consideration for the surrounding environment. In order to put our basic philosophy into practice, each internal company has formulated its own environmental policies and is working actively to acquire various certifications, including ISO 14001.ISO 14001 compliance statusLocationDate acquiredNasu PlantDecember 2005Yaita PlantSano PlantJanuary 2007April 2007Tanuma PlantNovember 2006Environmental policieselectronics technology to commercialize the functions of human senses, such as measurement, cognition, and control.We have always given full consideration to the environment in the course of our business activities, but we have now reaffirmed the importance of environmental conservation on a global scale. As such, in order to pass on a rich natural environment and limited resources to the next generation, we will go one step further and work with the participation of all employees to conserve and improve the environment to the extent technically and economically possible.1. We will evaluate the environmental impact of all our business activities and the products we provide to our customers at during production, use, and disposal, and strive to save resources and energy, reduce waste, and prevent pollution.2. We will establish and maintain a PDCA cycle by setting environmental objectives and targets for these initiatives.3. In addition to complying with environmental laws and regulations, ordinances, industry codes of conduct, and agreements with local communities, we will establish and maintain independent management standards wherever possible.4. We will establish an environmental management system in which all employees participate, using audits and reviews to make improvements on an ongoing basis.5. We will provide education to all employees to improve their awareness of the environment and the environmental management system, as well as asking our affiliates and partner companies for their understanding and cooperation.6. These environmental policies shall be publicly disclosed.17Environmental InitiativesTOKYO KEIKI Sustainability Report 2021Environmental Policies and FrameworksOrganizational structureThe Environment Committee is in charge of company-wide environmental policy, and the Environmental Management Subcommittee has been established beneath it. The head of the Human Resources & General Affairs Department chairs both committees, and the managers of the Nasu, Yaita, and Sano plants serve as committee members.President: Organizational bodyProduct Environment CommitteeCompany-wide Environment Officer (Human Resources & General Affairs Dept. Manager)Environment CommitteeEnvironmental Management SubcommitteeOther subcommittees (established as necessary)Headquarters DistrictEnvironment OfficerNasu DistrictEnvironment OfficerYaita DistrictEnvironment OfficerSano DistrictEnvironment OfficerHanno DistrictEnvironment OfficerHeadquarters DistrictEnvironmental Management OfficerNasu DistrictEnvironmental Management OfficerYaita DistrictEnvironmental Management OfficerSano DistrictEnvironmental Management OfficerHanno DistrictEnvironmental Management OfficerHeadquarters DistrictEnvironment CommitteeNasu DistrictEnvironment CommitteeYaita DistrictEnvironment CommitteeSano DistrictEnvironment CommitteeHanno DistrictEnvironment CommitteeIndividual workplaceEnvironment Officers (Dept./Sect. Managers)Individual workplaceEnvironment Officers (Dept./Sect. Managers)Individual workplaceEnvironment Officers (Dept./Sect. Managers)Individual workplaceEnvironment Officers (Dept./Sect. Managers)Individual workplaceEnvironment Officers (Dept./Sect. Managers)Individual workplaceEnvironment LiaisonsIndividual workplaceEnvironment LiaisonsIndividual workplaceEnvironment LiaisonsIndividual workplaceEnvironment LiaisonsIndividual workplaceEnvironment LiaisonsEnvironmental targets and performanceThe Environmental Management Subcommittee, headed the Japanese government’s GHG reduction target (in the by the head of TOKYO KEIKI’s Human Resources industry sector) for FY 2030, our new target for FY 2030 & General Affairs Department, sets targets for for Scope 1 and 2 GHG emissions is a 37% reduction in environmental activities, draws up environmental plans, comparison with FY 2013.and puts them into practice. In addition to company-wide targets, targets have also been set for each plant, with Business-specific targetsefforts ongoing at each.New TOKYO KEIKI Group environmental targetsAs part of the environmental management system, our these targets. By implementing a PDCA cycle to promote Group has long worked to reduce its overall energy usage. initiatives aimed at achieving these KPIs, we are working In FY 2021, we aimed to engage in management that is to reduce our environmental impact.For each plant, reduction targets are set for failure costs, electricity consumption, waste, material consumption, etc., and KPIs are set to serve as indicators for meeting even more environmentally and socially conscious than ever before. The newly established Sustainability Office took the lead in re-evaluating our Group’s medium- to long-term greenhouse gas (GHG) reduction target, which was then deliberated on and approved by the Sustainability Committee. In line with the thinking behind 18Environmental InitiativesTOKYO KEIKI Sustainability Report 2021Climate Change InitiativesAdapting and taking measures to prevent climate change, which poses a threat to human security that transcends national borders, are shared global challenges. As a company that operates globally, we are committed to reducing the environmental impact of our business activities, thereby contributing to the resolution of climate change and the development of a sustainable world.Our approach to climate changeWe at TOKYO KEIKI are strongly aware that the impact order to fulfill our responsibility as a company to mitigate and risk posed by climate change to our businesses and climate change, we are promoting initiatives to reduce all of our stakeholders are important business issues. In GHG emissions from each of our divisions.Specific measures to fight climate changeMore efficient energy use to reduce GHG emissionsElectricity use(Thousand kWh)In hardware terms, we are replacing plant equipment 25,000with that which emphasizes energy efficiency. Specific measures include switching to LED lighting and energy-efficient air conditioners, replacing power receiving equipment with high-efficiency devices, introducing energy-efficient transformers, upgrading air compressors to inverter systems, using thermal barrier paints on roofs and exterior walls, and using “green curtains” of plants to reduce use of air conditioning.On the operational side, we are pursuing more efficient energy use through measures such as overall optimization using demand-based power monitoring, reduction of power consumption through combined heat-treatment operations, turning off lights when no one is present, making efficiency improvements to cut down operating hours, and implementing mixed loading of delivery trucks to reduce the number in operation.HeadquartersNasu PlantYaita PlantSano PlantTanuma PlantHanno PlantTPT20,00020,30120,08819,9491,5791,6681,7332315412465802285836,6946,5536,27118,9271,76618,3311,4592354952684495,6135,42815,00010,0002,8722,8302,8532,8492,3145,0005,5335,4105,4805,1935,5952,8522,8012,8012,7782,818020162017201820192020 (FY)* Data aggregated for additional sites in comparison with ESG Report 2020Energy consumption and carbon dioxide emissions（Scope 1, 2）Switch to LED lighting(KL)Crude oil equivalent (Scope 1)Crude oil equivalent (Scope 2)(t-CO2)As part of the ISO 14001 initiative, each of our plants is CO2 emissions (Scope 1)CO2 emissions (Scope 2)14,00010,000CO2 emissions (total)11,85811,52511,2148,00010,2989,8989,6296,0005,7656224,0005,1435,7406505,0905,6806375,04310,5579,0455,3876044,7841,5611,6261,5851,5122,000012,0008,0006,0004,0002,00009,7378,4795,1395084,6311,25820162017201820192020(FY)* Data aggregated for additional sites in comparison with ESG Report 2020switching from fluorescent to LED light bulbs to reduce electricity use by an average of 1% per year, in line with the non-binding targets set by the Energy Conservation 10,000Act. With the exception of a few areas, this initiative, which started in FY 2014, was completed at the end of FY 2019, and the Sano Plant and Hanno Plant have already achieved a 100% LED conversion rate.The Nasu and Yaita plants, which have LED conversion rates of 99% and 98% respectively, will continue to work towards full conversion.Through the replacement of fluorescent bulbs with LEDs, we have achieved total reductions in energy consumption of 1,248,393 kWh/year at our major business sites.19Environmental InitiativesTOKYO KEIKI Sustainability Report 2021Climate Change Initiativesin addition to assembling electronic equipment, the plant also engages in the machining of mechanical components utilizing a variety of machine tools, and here we pursue optimum work processes.Improving hydraulic valve spool and sleeve machiningIn the machining of spools and sleeves for hydraulic valves, we took on the challenge of reducing operating hours for machine tools used in sleeve polishing (lapping), something that previously required many hours. Previously, 3μ lapping powder was used for all relevant sleeve lapping. We then switched to using 6μ lapping powder to perform a “rough” lapping before using the conventional 3μ lapping powder to perform a “finishing” lapping. This improvement resulted in a 3,498-minute annual reduction in machine tool operating hours, helping to reduce power consumption by 64 kWh per year.Reducing machining times for internal high-precision gyrosensor componentsWorm gears, screw-like gears used in high-performance gyrosensors, are produced at the Nasu Plant. The existing machining method was an issue. It involved many processes and required a lot of time. Revising the machining method to reduce the number of processes from eight to five and switching to numerical control (NC) made it possible to drastically reduce machine tool operating hours by 84%. This improvement resulted in a 1,802-minute annual reduction in machine tool operating hours, helping to reduce power consumption by 45 kWh Upgrading to energy-saving equipmentWhen upgrading or introducing new equipment for use in offices and plants, we work to reduce the amount of energy we use by selecting energy-efficient products.When introducing new equipment, the staff member in charge selects a model and vendor after assessing the energy efficiency of multiple products, and this selection is then approved by a supervisor. At that time, the Workplace Environment Officer also checks the relevant legal regulations, and the results are reported to the Environmental Management Officer for approval via the Environment Office.Sequential replacement of water-cooled air conditioners with energy-saving air-cooled modelsReduction of design defectsDesign defects can not only lead to serious incidents, but also to significant material and energy losses due to reduced yield rates. As such, reducing design defects is also essential to minimizing environmental impact.We are continuing our efforts to prevent design defects by conducting design reviews for all new products, existing products, and products with design changes. For software, design management is carried out using per year.operating procedure manuals. By creating a database of past design defect information, design defects can be shared companywide and checked as needed to prevent new design defects from occurring.Reducing electricity use by promoting process improvementReducing machine operating hours for drill machine processesAluminum sensor blocks used for high-precision inertial measurement units are produced at the Nasu Plant. Each block has 158 screw holes for mounting components, requiring numerous taps to be drilled. As Even with highly energy efficient equipment and the this required much time, efforts were made to improve prevention of defects in the design stage, waste in the work process. The process was changed and a production processes limits the effectiveness of energy switch was made from using a radial drill machine to conservation. Our Group is working to reduce electricity perform the work, to using two machining centers (MCs). use in the production stage as well by eliminating waste This improvement resulted in a 2,922-minute annual in production processes.reduction in machine tool operating hours, helping to The Nasu Plant boasts the largest scale in our Group. reduce power consumption by 330 kWh per year.As a production site for precision mechatronics devices, 20Environmental InitiativesTOKYO KEIKI Sustainability Report 2021Realization of a Recycling-Oriented SocietyIn the manufacturing industry, it is our social responsibility to try to minimize our impact on the environment when we choose materials and use energy to make our products. We are committed to delivering sustainable growth by carrying out our business activities.Our approach to the creation of a recycling-oriented societyIn recognition of the fact that all human activities, initiatives for the development of a sustainable, recycling-including those of TOKYO KEIKI, are dependent on co-oriented society.existence with the natural environment, we are pursuing As a result of promoting the “3 Rs” at each plant, the company’s overall waste output is on a downward trend. Although reducing waste while increasing production volume and making capital investments is a big challenge, TOKYO KEIKI, as a company with a responsibility to the environment, will continue looking for various ways to cut our waste output.Recycling metal shavingsAt our Nasu Plant, we are working to recycle the metal shavings produced during the machining process. Scrap metal (aluminum, iron, etc.) produced during lathing, milling, and other stages of the parts machining process is taken to an industrial waste disposal company, which recycles the scrap aluminum into aluminum products and the scrap iron into iron products. In FY 2020, we managed to recycle 4,717 kg of scrap metal (1,218 kg of aluminum, 3,150 kg of iron, and 349 kg of other metals).Metal shavings to be separated and stored for recyclingSpecific measures for reducing wasteCompliance with laws and regulationsWaste is disposed of appropriately in accordance with laws and government ordinances, as well as the regulations of the municipalities where our factories and plants are located.Promoting the “3 Rs”・ReuseWe are now reusing some of our used products and parts (including electronic parts) instead of disposing of them.・ReduceSome of our customers and our partner factories have introduced reusable containers that can be used to move goods between each other’s factories, thereby eliminating waste of consumable materials such as cardboard and packaging materials. In addition, the evaporation and drying of waste water from glass processing and the use of equipment to reclaim cleaning solutions are helping to reduce the amount of industrial waste water we produce.・RecycleWe are continuously taking measures to prevent the waste of resources, such as promoting the recycling of paper, ensuring proper separation of water and oil before collection, and sorting shavings by metal type for recycling.Amount of waste producedNasu PlantSano PlantHanno PlantYaita PlantTanuma Plant22643921027920422101431441401982116128(t)3002502001501005002403010159301027526429233020162017201820192020(FY)21Environmental InitiativesTOKYO KEIKI Sustainability Report 2021Recycling used wash oilThe Sano Plant alone accounts for approximately two-thirds of the company’s overall waste output, and roughly half of that is water-soluble cutting fluid, wash oil, and other types of waste oil. In the past, contractors were hired to collect all of this. Having established a goal of reducing waste, however, we installed equipment to recycle hydrocarbon wash oil. As a result, we were able to separate the oil content from wash oil and recycle approximately 90% of our wash oil. We confirmed that the amount disposed was one-tenth of what it was previously. In FY 2020, we achieved 3,017 L, and we plan on reducing waste output even further by expanding this initiative to other departments going forward.Amount of waste oil reduced through use of wash oil recycling equipment (FY 2020)Amount reduced (L)Total amount reduced (L)3,5007006005004003002001000Apr. MayJun.Jul. Aug. Sep. Oct. Nov. Dec.Jan.Feb. Mar.Amount reduced (L)Total amount reduced (L)6565250176280655721345182724092760315491771836 1,408 1,542 2,060 2,332 2,741 3,017 3,017Introduction of reusable containersThe reusable containers, which are used as part of our efforts to reduce the amount of cardboard, packing materials, and other consumable materials produced as waste, have been introduced to carry items between our factories and those of nearby assembly contractors and customers. At the Nasu Plant, for example, their use currently accounts for 8% of total order value, resulting in an annual waste reduction of about 1,000 kg of cardboard.Realization of a Recycling-Oriented SocietyIn the 1980s, ahead of our competitors, our Group utilized a total office automation (TOA) system powered by a core system implemented on a general purpose mainframe computer. Via this TOA system, we were able to digitalize schedule management, time cards, and various applications such as business trip expenses, increasing work efficiency.The functions of this TOA system were retained when we switched to an open system and built our current core system, but during the switchover, we still had many paper-based applications. In addition to the issue that processing these paper-based applications required many sheets of paper to be used, there were a variety of other problems, such as the need to physically come to the company to make an application, and the inability to know the progress of a matter while an application was being processed. This also meant that, particularly for plants and regional offices, there were many inefficient work processes, such as mailing applications to Headquarters and post-approval filing taking large amounts of time. Building an application system into our core system in order to resolve these challenges would have required a great deal of time and money. In addition, with each matter involving its own individual planning and design, resulting in operations and input that were neither uniform nor unified, it was feared that this would actually decrease efficiency.Accordingly, in 2019 we