List of Crucial and Major Items Concerning ESG Managemen

SEKISUI CHEMICAL Group maintains a list of main and important action items as materialities in ESG management.

Blue lines of text indicate the crucial items in each key theme.
✔: FY2020 targets achieved ×: FY2020 targets not achieved

Key Themes Crucial and Major Items Medium-term Targets (2020-2022) FY2020 Targets FY2020 Results FY2020 Self-evaluation Reference pages
Products to enhance sustainability Expansion of net sales of products to enhance sustainability
Expansion of net sales of contributing products
Net sales of products to enhance sustainability: ¥800 billion ¥710 billion ¥640.3 billion ×
Governance (internal control) Safety, quality, accounting, legal/ethical, information
Implementation of Group-wide risk reduction measures aimed at strengthening the management foundation Workplace accidents resulting in a fatality 0 0 1 ×
Major quality issaues 0 0 2*6 ×
Serious non-compliance and negligence 0 0 0
Safety Incidences of injuries attributable to machines and equipment 0 0 4 or less 7 ×
Quality Rate of application of measures for development risk prevention*1 100% 90% 94%
Accounting Accounting system standardization Completion of preparations for introduction to companies using major accounting systems in Japan Confirmation of specifications of major items in ERP introduction Confirmation of specifications of major items
Enhanced monitoring by unifying consolidated accounting information Completion of installation of major accounting systems in Japan and overseas Completion of installation of main domestic accounting systems Completion of acquisition of major domestic accounting systems
Conducting of educational programs/workshop meetings to improve accounting skills Ensuring completeness of accounting information by holding of educational programs/workshop meetings and conducting training Held four educational programs (including e-learning)/workshop meetings Four educational programs (including e-learning) and workshop meetings, enhanced methods to improve attendance rate
(Implementation of online education programs/video distribution, work in conjunction with accounting authorities)
Legal/ethical Strengthen overseas control Introduction of rules to prevent violations to antimonopoly laws, bribery and other serious offenses at overseas Group companies 100% installed (57 companies) Installation 63% completed (36 out of 57 companies) ×
Construct an internal whistleblower system in which anyone can easily report improper activity Whistleblower system introduced in South Korea Installation completed
Information management Prevention of cyber security incidents Operation of endpoint/boundary security integrated monitoring system (24 hours a day, 365 days a year) Establishment of implementation system Integrated endpoint/boundary security monitoring launch
Rapid response in the event of a cyber security incident Domestic CSIRT*2 operation established Implement training according to incident response flow Preparation of incident response flow and implementation of training
Overseas deployment of CSIRT Ascertain current conditions – preparations for deployment Ascertain current conditions Implementation of security assessments at overseas business sites
Risk management (BCP) Preparation of a functional BCP; establishment of a BCM (PDCA cycle) 100% target organization BCP document preparation and operating rate (PDCA establishment) BCP promotion project launch (promotion of formulation preparation) ・ Determination of Group-wide organizational framework formulation (143 organizations)
・ Preparation of a standard template
・ Review of BCM guidelines
Deployment of risk management organization-specific activities Group-wide including overseas Consolidated sales composition ratio 100% Consolidated sales composition ratio 93% Consolidated sales composition ratio 93%
DX Global management foundation innovation Completion of a backbone system for global rollout Determination of overview of measures to reform the management base, conclusion of SAP user agreements Formation of various measures and roadmaps, determination of scope for introduction of SAP, conclusion of SAP licensing agreements
Reform of global indirect purchasing Enhancement of Governance (Internal Control) by visualization of transaction status, improvement of efficiency by consolidating purchasing operations Configuration of purchasing systems for verification purposes, implementation at three plants in Japan Configuration and preparation for introduction of purchasing system, start of strategic purchasing function preparations
Enhancement and improvement of efficiency of sales and marketing duties Reduction of steps in inward operations, expansion of steps in sales activities and use of IT to expand sales Configuration and verification of new work processes Initiated demonstration at representative base
Promotion of remote work Provision of remote-work platforms for which security measures have been implemented Construction of MobileNET remote work bases Use by 1,200 people (Approximately 9,200 people can work remotely, including the conventional RemoteView platform)
Environment Climate change response Renewable energy ratio of purchased electricity increase
(Amount of renewable energy/Amount of purchased energy Group-wide (%))
20% 5% 7.2%
Realization of resource recycling Generated waste amount Reduction of unit of output ▲1%/ for three years ▲1.0% ▲0.8% ×
Reduction of water risks Reduction of water intake volume at production sites which use large quantities of water ▲10% ▲10.0% ▲10.5%
Human Resources Degree of challenging behavior expression*3 *3 *4 *4
Deployment of long-term vision throughout Group Rate of deployment of Long-Term Vision to each department 100% Implementation rate for long-term vision expansion workshops for heads of Group organizations in Japan 100% Implementation rate for long-term vision expansion workshops for heads of Group organizations in Japan 100%
Change to a challenging organizational culture Progress toward revision of HR system 100% Completion of examination of HR system (general employees) Completion of examination of HR system (general employees)
Changes to human resource management Rate of career interview implementation between superiors and subordinates for independent career development 100% Completed examination of career interview system Completed examination of career interview system
Fusion Number of new A-type products launched, number of A-type projects*5 Number of new A-type products launched, number of A-type projects Up 10% (vs. FY2020)a *4 *4
Increase in net sales from fusion Up ¥50 billion (vs. FY2019) *4 Up ¥12.4 billion (vs. FY2019)
Number of external collaborations in new areas gained (new business bases) 10% increase in number of external collaborations (vs. FY2020) Setting of business results for fiscal 2020 as the reference value Setting of business results for fiscal 2020 as the reference value
  • Rate of application of methods to prevent development risk at the product development stage (number of themes for implementation of methods to prevent development risk/number of development themes)
  • CSIRT: Abbreviation for Computer Security Incident Response Team. Plays a role in preventing cybersecurity incidents and a role in rapid response and recovery in the unlikely event of a cybersecurity incident.
  • Percentage of respondents taking concrete actions to realize the long-term vision
  • Undisclosed/undetermined
  • New A-type product: Product developed using new technologies with the aim of cultivating new markets and customers.
    A-type project: Large-scale subdivision project with more than 30 lots.
  • Based on individual divisional company standards