Sustainability Management

Our Officers’ Commitment

Value creation platform ESG Management

Nobuya Fujiwara

Nobuya Fujiwara
Excutive Officer
Supervisor of Corporate
Sustainability Department

The Toyobo Group has been growing and expanding its business by responding to the demands of society and contributing solutions to of social issues since its founding in 1882, long before the concept of CSV was formed. In recent years, we have been broadening the concept of CSR to encompass initiatives for environmental conservation and contribution to local communities.

Sustainability is a natural extension of this for a company with such a history, and in fiscal 2021 we began full-fledged sustainability management activities.

To be sustainable, the Toyobo Group must have both economic value and social value. The Corporate Sustainability Department was created in April 2020 with the objective of building those two values by incorporating ESG elements into the Group’s management and strategies and by improving the communication of information to stakeholders. Some of the main activities under way in 2021 include steps to achieve carbon neutrality and a circular economy as well as measures to apply risk management from an overall company perspective.

I believe there are two main avenues to achieving sustainability. The first is to apply an ESG perspective to identifying opportunity and risk and strengthening the management base. The second is to apply a CSV perspective to using our business to address social issues and making that a driver for business growth that gives us a competitive advantage. Utilizing the Group’s various technologies and services in solutions for social issues and to achieve the SDGs, such as by helping reduce environmental burden, will be directly connected to the company’s purpose for its existence.

In addition, in the future society made up of people with different values, it will be essential that each employee feels pride and purpose in their work. We are instilling the concept of sustainability along with our corporate philosophy into our business approach and integrating sustainability into our management and business strategies as we seek to fulfill our long-term vision.

Conceptual Framework-Sustainability, CSV and ESG

Conceptual Framework-Sustainability, CSV and ESG

Policy and Approach

Policy:

  1. Management focused on social sustainability
    Social sustainability is the foundation for our corporate sustainability
  2. Sustainability to establish a solid management base: Management base axis (ESG)
  3. Sustainability to fortify competitiveness and drive growth: Business axis (CSV)

Approach:

Since being founded in 1882 as Japan’s first large-scale spinning mill company in the private sector, the Toyobo Group has addressed a range of issues as a good member of society through the supply of clothing fibers. We have also expanded and grown with the times and contributed to solving social issues with a focus on the environment in our aim to realize better lives for people around the world.

In 2019, we redefined our corporate philosophy Jun-Ri-Soku-Yu (adhering to reason leads to prosperity). After many discussions based on it, we enhanced our corporate philosophy system TOYOBO PVVs. Through this discussion process, we were convinced that the essence of the Toyobo Group’s activities to date lies in making a contribution to ensuring the sustainability of people and the earth.

Contributing to the realization of a sustainable society is the embodiment of the Toyobo Group’s Vision “We will continue to create the solutions needed by people and the earth with materials and science.” This expresses the Toyobo Group’s approach to sustainability.

At the same time, it is important to continually enhancing corporate value. The Toyobo Group’s contribution to realizing a sustainable society generates profits leading to enhancement of the Group’s corporate value. This enhancement of corporate value leads in turn to the next level of realization of a sustainable society through growth in the Group’s business. Maintaining this positive spiral is what the Toyobo Group regards as sustainability.

To meet the expectations of stakeholders, the Toyobo Group will further enhance its dissemination of information as well as taking active initiatives so that all employees feel personally involved in sustainability in order to promote companywide activities as a united force.

Sustainability management system

In April 2020, the Toyobo Group reorganized its organizational structure from product-oriented to solution-oriented with the intention of contributing to solving social issues even more than in the past by providing solutions. At the same time, we positioned sustainability at the core of management and established the Corporate Sustainability Department to promote sustainability companywide, and became the Department that directly reports to the president in April 2021. This department will provide recommendations on incorporating the sustainability perspective into growth strategy and support strategies for achieving it as well as strengthening the compilation of internal information on ESG and dissemination of this information internally and externally.

The officer with responsibility for sustainability is the Executive Officer who is Controlling Supervisor of the Corporate Sustainability Department.

Toyobo has also established the Sustainability Committee (executive office: Corporate Sustainability Department) chaired by the President to promote sustainability companywide. The committee checks on the progress of companywide sustainability activities each quarter and discusses issues that require new initiatives as well as company-wide risks. The content of these discussions is reported regularly to the Board of Directors. Going forward, this system also leads progress management for the material issues.

Nine committees* which handle more specialized, individual themes have been established below the Sustainability Committee and work in collaboration with it.

  • * Nine committees: Safety and Disaster Management Committee, Global Environment Committee, Product Liability Prevention/Quality Assurance Committee, Compliance Committee, Export Reviewing Committee, Internal Control Committee, Information Committee, Research & Development Committee, and Intellectual Property Committee… as of December 1, 2020, the eight committees will be reorganized into nine committees

Sustainability Promotion Structure

Sustainability Promotion Structure

Participation in Initiatives

UN Global Compact (UNGC)

UN Global Compact (UNGC)

In January 2020, TOYOBO CO., LTD. became a signatory to the UN Global Compact (UNGC), and also joined Global Compact Network Japan, which comprises Japanese companies and organizations that are UNGC signatories. As a responsible corporate citizen, this reflects our endorsement of the goal to resolve global issues and realize sustainable growth. We also gather information through our participation in the subcommittees of Global Compact Network Japan, utilizing this in our day-to-day activities. From fiscal 2021, we are participating in the following subcommittees: ESG, Supply Chain, Environmental Management, Kansai-based regional subcommittee, Reporting Research. Toyobo will abide by the ten principles of UNGC and strengthen measures to realize a sustainable society.

The Ten Principles of UNGC

Human Rights Principle 1:
Businesses should support and respect the protection of internationally proclaimed human rights; and
Principle 2:
make sure that they are not complicit in human rights abuses.
Labour Principle 3:
Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;
Principle 4:
the elimination of all forms of forced and compulsory labour;
Principle 5:
the effective abolition of child labour; and
Principle 6:
the elimination of discrimination in respect of employment and occupation.
Environment Principle 7:
Businesses should support a precautionary approach to environmental challenges;
Principle 8:
undertake initiatives to promote greater environmental responsibility; and
Principle 9:
encourage the development and diffusion of environmentally friendly technologies.
Anti-Corruption Principle 10:
Businesses should work against corruption in all its forms, including extortion and bribery.

Task Force on Climate-related Financial Disclosures (TCFD)

The Toyobo Group’s Vision is to be a group that continuously creates solutions demanded by people and the global environment through “Materials and Science.”

As part of its efforts, the group aims to help realize a sustainable society through the provision of products and services.

The Toyobo Group has expressed its support for recommendations made by the Task Force on Climate-related Financial Disclosures (TCFD) and joined the TCFD Consortium of companies and financial institutions in Japan that agree on the recommendations.

Now, we are undertaking analyses of our key businesses and aim to disclose the information early.

TCFD