System for driving risk management

In July 2023, we set up a Sustainability Committee under our management philosophy to enhance both economic and social value and continue to pursue initiatives related to sustainability, including those related to climate change, in response to rising demands and expectations that companies contribute to realizing a sustainable society. Chaired by Representative Director, the committee enhances and drives overall operations related to sustainability. The committee meets four times a year to discuss issues, including the planning of policies and measures related to sustainability, such as social and environmental problems, the formulation and revision of materiality, their KPIs, steps to take, and targets to set in tackling climate change based on TCFD scenario analysis, and the management of their progress. These deliberations are reported to the Executive Committee and the Board of Directors at least once a year. The Board of Directors oversees the deliberations.

Achievements and Information Disclosure

Once a year, we proactively disclose information, including the number of meetings of the Sustainability Committee and its achievements, as part of our commitment to transparency.

FY2024 Results

In FY2024, the Sustainability Committee convened to discuss key issues surrounding our group, including environmental challenges such as climate change and water resources, trends in international disclosure standards, and responses to external evaluations. The committee reviewed ESG issues comprehensively from both risk and opportunity perspectives, examined measures to accelerate our group’s contribution to sustainability efforts, and made recommendations to relevant departments.
Building on these outcomes, we are promoting the integration of sustainability into management and strengthening group-wide initiatives.

[Main Discussion Topics]

• Climate Change Response: Identifying and expanding disclosure of greenhouse gas (GHG) emissions, including Scope 1, 2, and 3; quantifying environmental contributions through product use. (Scope 4)
• Water Resource Conservation: Promoting water-saving and recycling initiatives in regions with high water risks.
• Research and Technology Dissemination: Sharing advancements in vacuum and environmentally conscious technologies; contributing to environmental improvement from the research and development stage.
• Employee Engagement and Awareness: Promoting awareness initiatives focused on “water conservation” and “recycling.”
• Group-wide Deployment: Achieving the FY2030 GHG emissions reduction target for standalone operations in FY2024; exploring the establishment of new group-wide reduction targets toward carbon neutrality.
• Enhancing External Communication: Strengthening social communication capabilities through AI-based analysis of external evaluations.