Olympus CSR Report 2014 Toward the Realization of a Better Livelihood and Happiness The Olympus Group’s CSR
Toward the Realization of a Better Livelihood and Happiness The Olympus Group strives to realize better health and happiness for people by being integral members of society, sharing common values, and proposing new values through its business activities.
▶ Olympus Group Corporate Philosophy
INtegrity INnovation INvolvement Integrity in Society Creating Innovative Value Social Involvement
We aim towards establishing firm ties with society through the three IN’s
Since 1994, the Olympus Group has regarded the “Social IN” corporate philosophy as the starting point for management thought. The Olympus Group strives to realize better health and happiness for people by being integral members of society, sharing common values, and proposing new values through its business activities. This is “Social IN” and it describes the basic Olympus philosophy underlying all our activities. Social IN comes from Social Value IN the Company, a concept of incorporating social values into the Company’s activities.
Approach to CSR ■ The CSR Concept of the Olympus Group
Through its CSR activities, the Olympus Group responds to the needs and expectations of society and fulfills its obligations and responsibilities. We believe that to justify the continuing existence of Contribution to Society Olympus as a company and help people to enjoy healthier Contribution to Society through Other through Business: Voluntary Activities: and happier lives, we must fulfill our responsibilities through By providing needed value By investing in society and dialogue with all stakeholders (persons and organizations with to society and producing establishing a meaningful which we interact through our business activities), including profits through business relationship within it customers, suppliers, shareholders and investors, as well as Employees Customers Business Shareholders employees and their families, local communities*, and the in- partners and their families
ternational community*. Social demands and expectations *Local communities and the international community include general citizens, Local International NGOs, NPOs, and the government. communities communities
Ful lling all obligations through compliance with laws, regulations and business ethics to society Duties and
responsibilities The Economy
CSR = Development of both society and Olympus Society environment
1 OLYMPUS CSR REPORT 2014 Editorial Policy This report has been published to inform stakeholders about the basic philosophy behind the CSR activities of the Olympus Group, and the results of our activities in fiscal 2013. The reporting format used in this report is based on the Olympus Group Corporate Conduct Charter. Icons have been used in this report to show the linkage Olympus CSR Report 2014 between the Corporate Conduct Charter and the seven core subjects in the ISO 26000 social responsibility guidelines. These indicate the pages relating to each of Toward the Realization of the core subjects. a Better Livelihood and Happiness INtegrity Organizational Fair operating Human governance practices rights
INnovation Consumer Labor Contents issues practices
The Olympus Group’s CSR...... 1 INvolvement Editorial Policy / Contents...... 2 The Community Message from the President...... 3 environment involvement and development Building the New Olympus...... 5 Profile of the Olympus Group / Financial Highlights...... 6 ■ Organizations Covered by the Report The Business Activities and Social Responsibilities of the Olympus Group...... 7 This report covers Olympus Corporation, its consolidated subsidiaries and affiliated companies as of March 31, 2014. The social report covers Olympus Corporation, Olympus Medical Systems Corporation, Olympus Imaging Corporation. Other Olympus Products in Action 2014...... 8 companies are covered as indicated. The environmental report covers Olympus Corporation, Olympus Medical Systems Corporation, Olympus Imaging Corporation 1 Enhancing our Repair and Maintenance and their main domestic and overseas production subsidiaries. System to Help Ensure the Continuity of Medical Treatment...... 9 ■ Reference Guidelines 2 Supporting Researchers in Advanced ● GRI, Sustainability Reporting Guidelines Ver. 3.1 Fields and Contributing to Discovering ● Environmental Reporting Guidelines (2012) of the Ministry of the Environment, the Mechanism of Disease...... 13 Japan Supporting Solutions to Social Issues The ISO 26000 guidelines and the 10 Principles of the United Nations Global Compact 3 through “The Power of Photos”...... 16 were also used as reference when selecting items for inclusion in the report. For the GRI Guideline Reference Chart, please visit Olympus CSR Activities website. Realizing the “Social IN” ■ Period Covered by the Report Corporate Philosophy...... 19 April 1, 2013–March 31, 2014 The report contains some information outside this period. Activity Report 2013...... 22 INtegrity Integrity in Society...... 23 ■ Publication Date Creating Innovative Value...... 35 November 14, 2014 INnovation The previous edition was published in December 20, 2013. The publication of the INvolvement Social Involvement...... 41 next edition is scheduled for October 2015.
...... 54 ■ Contact Point for Comments and Inquiries Data Section Olympus Corporation Governance and Compliance Data...... 55 CSR Department, Group Compliance Division Personnel and Labor Data...... 56 Corporate Governance Office TEL: +81-3-6901-9299 Environmental Data...... 58 Email: [email protected] External Awards...... 61
■ Disclaimer Communication Tools...... 62 This report is based on information available at the date of publication. Please refer to timely disclosure data for information about the current situation. Some information in this report duplicates the content of the CSR Report 2013.
OLYMPUS CSR REPORT 2014 2 Message from the President In line with our Social IN corporate philosophy, we will work to achieve sustainable growth hand in hand with society.
Management Philosophy our development team successfully Olympus,” and “Profitable Growth.” and Starting Point for solved each challenge one by one so We steadily implemented measures Business that we were finally able to release a in line with those strategies, and as commercially available endoscope a result, the Tokyo Stock Exchange The Olympus Group strives to provide for this purpose. During the scope’s lifted its “security on alert” designa- people with health and happiness by earliest clinical applications, I remem- tion for Olympus stock in June 2013. being an integral member of society, ber being in tears when thanked by a Additionally, we were able to achieve sharing common values, and propos- family member of a small patient and our target of 30 percent for our equity ing new value through our business being grateful I worked in such a re- ratio three years earlier than planned. activities. warding industry. At Olympus, we are At present, we are reviewing the The Olympus commitment to the committed to developing products separate operations of the medical advancement of medical and bio- that contribute to the health and hap- and imaging businesses, examining logical sciences dates back to the piness of people around the globe. It how we can reorganize based on Company’s origins in Japan in 1919 is part of our corporate social respon- sharing values and strategies across with the development of microscopes. sibility and integral to the Company’s the Group, and optimizing the use of Subsequently, the company went on DNA, which has been passed down our managerial resources to boost to become the first in the world to from one generation of employees to performance as much as possible. commercialize a gastrocamera—an the next. initiative by company engineers who Meeting the Expectations shared a common vision with physi- Revitalizing Olympus of Society through cians for developing a way to treat into a Highly Reliable Business Operations stomach cancer. Today, Olympus Company technology is world renowned, and In April 2013, Japanese government the Company has around a 70 per- Soon after I became president of the emissaries visited Russia and the cent share of the global market for company in April 2012, I was instru- Middle East to improve their political gastrointestinal endoscopes. mental in formulating a medium-term and economic ties with Japan. I was Since I joined Olympus, I have vision, effective for the year ended able to take part in the visit to help been engaged in the development March 2013, aimed at regaining the represent the Japanese medical of medical equipment for many years trust of Olympus stakeholders—a equipment industry. Our visit to these now. In my 30s, when I was working trust the company had lost due to countries made me realize the mag- in the United States, I was involved financial misconduct and fraudulent nitude of their needs for minimally with the development of an endo- financial reporting that came to light in invasive endoscopic technologies scope to treat infants with jaundice in 2011. This new vision was designed that contribute to early diagnosis and response to requests from doctors. around our three core management treatment. That visit reinforced to It was a demanding process, but principles: “Back to Basics,” “One me the heavy responsibility Olympus
3 OLYMPUS CSR REPORT 2014 Hiroyuki Sasa President and Representative Director
carries to contribute to society through Implementing our exhibition in partnership with JICA development and expansion of our Social IN Management Yokohama. technologies and services, includ- Philosophy Our management incorporates ing fostering endoscopic treatment a diverse range of social values and and improving medical standards Olympus has been participating in expectations as part of our efforts in emerging countries. In 2008, we the United Nations Global Compact to fulfill our corporate social respon- established the Medical Training & since 2004. We also rejoined and sibility, including compliance with Education Center in Shanghai to sup- resumed our activities in the Global the Global Compact’s 10 principles port training in endoscopic treatment Compact Japan Network last year, and our contribution to the MDGs. for doctors in China and India. As a which is a domestic organization for We will continue to fulfill our social company working in the medical field, the global initiative. For our Millennium responsibility based on our Social we believe that it is our responsibility Development Goals (MDGs), we IN management philosophy and will to help improve the world’s medical continue to conduct enlightenment work to achieve sustainable growth standards in collaboration with our activities that use the power of for society through dialogue with our stakeholders. We will continue with photographic images. For example, customers, business partners, share- our activities to help solve societal when the fifth Tokyo International holders and investors, employees challenges in our three business Conference on African Development and their families, local communities, domains (medical, science, and (TICAD V) was held in Yokohama in and the international society. imaging). June 2013, we held a photographic
OLYMPUS CSR REPORT 2014 4 Building the New Olympus
Medium-Term Vision
Medium-Term Vision Toward Realization of a New Olympus The financial year that ended March 2013 was the first restore the confidence of our stakeholders by taking year of a new medium-term vision adopted by Olympus Olympus back to its roots so that we can create new in June 2012. Under this vision, for which the slogan corporate value. is “Back to Basics,” we aim to make a fresh start and
Corporate Management Policies and Basic Strategies Under the new management structure, we have des- and goals among all our employees around the world ignated three corporate management policies: “Back with the aim of building “One Olympus” and achieving to Basics,” “One Olympus,” and “Profitable Growth.” “Profitable Growth.” Expressing regret for our past misconduct, we aim to With these management policies as a foundation, we achieve growth with profitability by adopting “Back to will implement the following basic strategies to rebuild Basics” as the principle behind all our actions and strat- Olympus and create new corporate value. egies. We will make a concerted effort to share values
Corporate Management Policies
1 Back to Basics 2 One Olympus We aim to regain the credibility of our stakeholders, rebuild We will strive to maximize our corporate value by making a Olympus, and create new corporate value by going back to concerted effort to share values and goals among all our em- the basic values that existed when Olympus was first estab- ployees around the world, harnessing their collective wisdom lished and looking ahead to a fresh start. and demonstrating teamwork.
(Olympus’ founding basic values) 3 Profitable Growth ● Our mission to contribute to society and its development We will redefine our core business domains as “Medical through products and solutions. Business,” “Scientific Solutions Business*” and “Imaging ● Continuously strive to develop the world’s first and best Business.” This will enable us to abandon our previous ex- products. cessive emphasis on sales, comprehensively review our cost structures and achieve growth with profitability while pursu- ● Focus on customers and customer needs. ing efficiency.
Basic Strategies
Rebuilding of the Business Portfolio and Optimal 3 Restoration of Financial Health 1 Allocation of Management Resources We will secure reliable income flows and build shareholders’ We have identified the “Medical Business,” “Scientific equity by consistently implementing our business strategies. Solutions Business” and “Imaging Business” as our core We aim to achieve financial stability by improving our equity business domains. We will invest our management resources ratio as quickly as possible. strategically, with a special focus on the “Medical Business.” In non-business domains, we will reassess the best ways to 4 Restructuring of Governance improve the business value of each business and subsidiary. We will establish management systems based on a clear 2 Review of Cost Structures separation of executive and supervisory functions under our new corporate governance structure. Furthermore, we We aim to improve the earning performance of the Group will ensure that there is no repetition of financial misconduct by significantly reducing COGS and SG&A expenses. involving delays in accounting for past losses, by implement- Specifically, we will implement effective measures targeting ing group-wide initiatives to rebuild our governance systems, “personnel optimization,” “reduction in costs through the re- including measures to foster a commitment to high ethical structuring of production sites and reinforcement of procure- standards, raise awareness of compliance, and strengthen ment capability,” and “acceleration of group-wide activities to compliance promotion structures. curtail SG&A expenses.”
*In April 2014, the name of the Life Science & Industrial Business was changed to the Scientific Solutions Business.
Medium-Term Vision (Medium-Term Vision Toward Realization of New Olympus) http://www.olympus-global.com/en/ir/data/plan/
5 OLYMPUS CSR REPORT 2014 Profile of the Olympus Group
■ Company Outline
Olympus Corporation Established: October 12, 1919 Activities: Manufacture and sale of precision equipment Head office: Shinjuku Monolith, 3-1 Nishi-Shinjuku 2-chome, Shinjuku-ku, Capital: 124,520 million yen (As of March 31, 2014) Tokyo 163-0914, Japan Consolidated headcount: 30,702 (As of March 31, 2014) Company information http://www.olympus-global.com/en/corc/
■ Main Group Companies ● All Segments ● Manufacturing Site (except in Japan)
Main Group Companies in Europe Main Group Companies in the Americas Olympus Europa SE & Co. KG (All Segments) Olympus Corporation of the Americas (All Segments) Olympus Soft Imaging Solutions GmbH (Scientific Solutions) Olympus America Inc. (Medical, Scientific Solutions) Olympus Deutschland GmbH (Medical, Scientific Solutions, Imaging) Olympus Imaging America Inc. (Imaging) Olympus Winter & Ibe GmbH (Medical) Olympus Latin America, Inc. (Medical, Scientific Solutions) KeyMed (Medical & Industrial Equipment) Ltd. (Medical, Scientific Solutions, Imaging) Gyrus ACMI, Inc. (Medical) Olympus France S.A.S. (Medical, Scientific Solutions, Imaging) Olympus Canada Inc. (Medical, Scientific Solutions, Imaging) Olympus Moscow Limited Liability Company (Medical, Scientific Solutions, Imaging) Olympus NDT Canada Inc. (Scientific Solutions)
Main Group Companies in Japan Olympus Corporation (All Segments) Olympus Logitex Co., Ltd. (Other Business) Olympus Medical Systems Corp. (Medical) Olympus Engineering Co., Ltd. (Scientific Solutions) Olympus Imaging Corp. (Imaging) Olympus Intellectual Property Services Co., Ltd. (Other Business) Nagano Olympus Co., Ltd. (Medical, Scientific Solutions) Olympus Medical Science Sales Corp. (Medical, Scientific Solutions) Aizu Olympus Co., Ltd. (Medical) Olympus Terumo Biomaterials Corp. (Medical) Aomori Olympus Co., Ltd. (Medical) Olympus Digital System Design Corp. (Other Business) Shirakawa Olympus Co., Ltd. (Medical) Olympus-Supportmate Corp. (Other Business) Olympus Systems Corporation (Other Business) Olympus Memory Works Corp. (Other Business) Olympus Software Technology Corp. (Other Business) Sony Olympus Medical Solutions Inc. (Medical)
Main Group Companies in Asia and Oceania Olympus Corporation of Asia Pacific Limited (All Segments) Olympus Hong Kong and China Limited (Medical, Imaging) Olympus Soft Imaging Solutions Pte. Ltd. (Scientific Solutions) Olympus (Shenzhen) Industrial Ltd. (Imaging) Olympus (Malaysia) Sdn. Bhd. (Imaging) Olympus (China) Co., Ltd. (All Segments, Scientific Solutions) Olympus (Thailand) Co., Ltd. (Medical) Olympus (Guangzhou) Industrial Co., Ltd. (Medical, Scientific Solutions) Olympus Medical Systems Vietnam Co., Ltd. (Medical) Olympus (Beijing) Sales & Service Co., Ltd. (Medical) Olympus Medical Systems India Private Limited (Medical) Olympus Trading (Shanghai) Limited (Medical, Other Business) Olympus Imaging India Private Limited (Imaging) Olympus Korea Co., Ltd. (Medical, Imaging) Olympus Australia Pty Ltd (Medical, Scientific Solutions) Olympus Singapore Pte. Ltd. (Medical, Scientific Solutions) Olympus Imaging Australia Pty Ltd (Imaging) Olympus Imaging Singapore Pte. Ltd. (Imaging) Olympus New Zealand Limited (Medical, Scientific Solutions)
Financial Highlights
■ Consolidated Net Sales/ ■ Consolidated Net Sales ■ Consolidated Net Sales ■ Equity Ratio Operating Income/Ordinary Income/ by Segment by Region (%) Equity Ratio Others Net Income 40 219 (3%) Other Business (%) Equity Ratio Others (Million(%) of Yen) Equity Ratio Others Japan Imaging 264 (4%) 40 219 (3%) 40 Other Business 219 (3%) Other Business 32.1 Asia/ 1,726 Business FY ended FY ended FY ended FY ended JapanFY ended Imaging 264 (4%) Japan Imaging 264 (4%) Oceania (24%) 961 (13%) 32.1 March Asia/March March March 1,726March Business 32.1 Asia/ 1,726 30Business 1,187 2010 Oceania2011 2012 2013 (24%)2014 961 (13%) Oceania (24%) 961 (13%) (17%) 30 1,187 30 1,187 Net Sales 883,086 (17%)847,105 848,548 743,851 713,286 (17%) Total Total 20 15.5 ¥713.3 ¥713.3 Operating Total Total Total 14.1 Total billion billion 20 Income 61,160 38,379 35,518¥713.335,077 73,44520 ¥713.3 ¥713.3 11.0¥713.3 14.1 15.5 14.1 15.5 billion billion billion 10 billion 11.0 11.0 Scientific Ordinary 46,075 23,215 17,865 13,046 50,913 4.6 Europe Medical 10 Income 10 1,840 Solutions Business 4.6 Scientific 4.6 Scientific Americas Europe Medical Europe Medical (26%) 2,161 Business 4,923 Net Income 52,527 3,866 -48,985 8,020 13,627 Solutions Business 0Solutions Business 985 (14%) 1,840 Americas 1,840 Americas FY FY FY FY FY (30%) (69%) (26%) 2,161 Business 4,923 (26%) 2,161 Business 4,923 0 0 985 (14%) 985ended (14%) ended ended ended ended FY FY FY FY FY (30%) FY FY FY FY (69%)FY (30%) March March March (69%)March March ended ended ended ended ended ended ended ended ended ended 2010 2011 2012 2013 2014 March March March March March March March March March March 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014
OLYMPUS CSR REPORT 2014 6 The Business Activities and Social Responsibilities of the Olympus Group
■ Business and Main Products
Medical Business
Video endoscope Capsule endoscope systems Products include video endoscope systems, surgical endo- systems* scopes and related products, surgical treatment devices, and endoscopic devices. In terms of global market share, Surgical treatment Olympus is the leading supplier of gastrointestinal video en- devices doscope systems.
Main Products Video endoscope systems, medical information systems, broncho- Surgical Electrosurgical knives videoscopes, endoscopic ultrasound gastrovideoscope systems, videoscopes (endoscopic devices) capsule endoscope systems, endoscope peripherals, surgical en- doscopes and related products, surgical treatment devices, endo- *The logo is not displayed on actual capsule endoscopes. scopic surgery peripherals, and endoscopic devices
Scientific Solutions Business
Ultrasonic flaw Industrial Life Science products include biological microscopes and detectors videoscopes bioimaging equipment. The Industrial products category en- compasses industrial microscopes, industrial endoscopes, and ultrasonic flaw detectors.
Main Products X-ray fluorescence analyzers Laser scanning Upright and inverted microscopes, laser microscopes, stereo microscopes microscopes, fluorescence microscopes, bioimaging systems, metallurgical microscopes, measuring microscopes, industrial vid- eoscopes, industrial rigid scopes, ultrasonic flaw detectors, eddy current flaw detectors, phased array flaw detectors, and X-ray dif- Industrial microscopes fraction analyzers
Imaging Business
OM-D mirrorless SLR camera series, PEN series, and other compact digital cameras with long zoom lenses and tough Compact digital cameras features, as well as our market-leading audio recorders Digital SLR cameras
Main Products Digital SLR cameras, compact digital cameras, digital camera products, lens barrels for digital cameras, optical materials, audio recorders, and binoculars
Binoculars Audio recorders
7 OLYMPUS CSR REPORT 2014 Olympus Products in Action 2014 Examples of activities aimed at meeting the expectations of society through business ■ Society’s Expectations and the Responsibilities of Olympus
Medical Progress 1 Olympus responds to frontline medical needs, carries out research and development in collaboration with medical professionals, and supplies Enhancing our Repair and equipment that contributes to medical progress. Maintenance System to Help Improving Patients’ QOL Ensure the Continuity of Olympus aims to improve the quality of life (QOL) of patients by reducing Medical Treatment suffering and lifestyle limitations through the development of equipment Page 9 that contributes to the early detection of diseases and helps to reduce the burden on patients through minimally invasive procedures. Improving Medical Efficiency and Reducing Costs By developing and supplying technology that contributes to the early de- tection of diseases and facilitates minimally invasive procedures, Olympus is helping to shorten hospitalization and treatment times and reduce medi- cal expenses.
2 Advancing Life Science Research By supplying microscopes and bioimaging systems, Olympus supports basic life science research that leads to new medical knowledge, including Supporting Researchers in iPS cell research and research into brain functions and diseases. Advanced Fields and Making Life Safer Contributing to Discovering Olympus is helping to make the world we live in safer by supplying equip- the Mechanism of Disease Page 13 ment used to maintain and inspect social infrastructure and lifelines, such as roads, bridges, overpasses, power generation facilities, chemical plants, pipelines, and water supply and wastewater systems. Contributing to Industrial Progress Olympus contributes to industrial efficiency and progress by supplying in- dustrial inspection equipment used in research and quality control in such areas as mechanical and electronic parts and raw materials.
Enriching the Experience of Life Olympus enriches the life experience by helping people to enjoy the fun of photography and sound recording. Our affordable micro-SLR cameras 3 offer superb image quality and advanced functions, while our compact digital cameras can be used in an expanding range of situations thanks to their ability to withstand dust, weather, and accidental impact. Our audio Supporting Solutions to recorders make high-quality recording readily available. Social Issues through Page 16 Building a Barrier-Free World “The Power of Photos” Olympus audio recorders are designed for optimal ease of use. They have audio guide functions and support the playback of DAISY* audio books. Even inexperienced users find these products easy to operate thanks to their logical and intuitive designs and the use of Color Universal Design to enhance visibility for people with different vision characteristics. *DAISY (Digital Accessible Information System): DAISY is an international standard for digital au- dio books used in place of audio cassettes by those who are unable to read printed text, such as people with visual disabilities. This information system is developed and maintained by the DAISY Consortium, a Swiss-based organization with member organizations in over 50 countries.
OLYMPUS CSR REPORT 2014 8 1
Enhancing our Repair and Maintenance System to Help Ensure the Continuity of Medical Treatment Olympus endoscope systems are used daily at medical facilities. To ensure the safe use of these devices, Olympus operates a global repair and maintenance service. We continue to enhance our service delivery to meet the ongoing requirements of medical facilities and help them ensure the continuity of medical treatments.
An endoscope repair base
Contributing to Early Repair Service to Support to ensure the availability of prompt Detection and Minimally All of our Products repair and maintenance services. Invasive Treatment of Worldwide Before Olympus enters a new mar- Disease ket, we first make sure we are first An endoscope is a precision machine prepared to deliver a system to In 1950, Olympus became the first composed of a long tube (scope) service any products we sell in that company to develop a prototype incorporating a number of differ- region. Our “no service, no sales” gastrocamera, and in the years since, ent parts, including a video imaging approach means we can help our has made significant contributions in processor and a monitor. Because customers optimize the use of their establishing a method to diagnose endoscopes are used inside the hu- equipment and minimize their proce- stomach cancers. After our introduc- man body, they must be subjected dural downtime. Today, Olympus has tion of gastrocameras, the Company to rigorous cleaning and disinfection more than 200 repair bases across introduced glass fiber endoscopes protocols after each use to ensure the globe. and then video endoscope systems. patient safety. These reprocessing This ever-expanding network of Endoscopes have contributed to the requirements can take a toll on en- repair bases has played an impor- early diagnosis and detection of dis- doscope performance over time. tant role in maintaining the quality of ease, and the development of mini- To ensure our healthcare custom- Olympus endoscopes, providing our mally invasive treatment* methodolo- ers can deliver continuity of medical customers with the technology and gies using endoscopic devices and care, Olympus provides ongoing in- service they can trust. surgical endoscopes to improve the spection and maintenance services quality of life (QOL) of patients. to keep equipment operating at peak Global Activities to *Minimally invasive treatment: performance. Improve Repair Quality Treatment method that imposes a minimal At Olympus, we understand that burden on patients. we cannot fulfill our responsibility to In addition to expanding our ser- medical professionals just by selling vice network, we established a excellent products. We also need Quality Audit and Review system
9 OLYMPUS CSR REPORT 2014 Olympus Products in Action 2014 1
for our repair centers that is similar nine of these major repair service and West Japan. This will ensure that to the quality audits carried out at centers internationally. medical facilities can maintain conti- our manufacturing facilities. As part In the United States, we have nuity of medical services. of the process, we identified areas the San Jose National Repair for improvement, worked to imple- Service Center for U.S. customers. ment those improvements, and es- In Europe, we have repair service tablished Global Technical Service centers for the United Kingdom, Guidelines to provide all repair bases Germany, France, and the Czech with common guidelines to maintain Republic. In Asia, there are two ser- the same repair quality worldwide. vice centers for China, and we are Ultimately, the key to further im- working to establish similar centers proving repair quality has been our in South Korea, Vietnam, Thailand, commitment to enhancing the skills Singapore, and India. Nagano Medical Equipment Service Operation of our repair staff. Using our global Center opened in 2013 Quality Audit Review, we were able Launch of a Nagano to evaluate the skill levels at individ- Center to Expand Service ual repair bases to determine where in Japan additional training and improvements were needed. Globally, bases have Olympus established the Shirakawa been motivated to compete with Medical Equipment Service each other in improving their skill lev- Operation Center in Japan, a major els over a short period of time. As a repair service and rental accessories result, the evaluation scores of the management base in Nishigo Village, main repair bases have increased Fukushima Prefecture, in 2005. It by 20% or more on average over the has been working diligently since in- past five years. ception to improve its repair quality and shorten the repair period. Establishing Service As a result of our experiences in Centers Worldwide the Great East Japan Earthquake in that Offer Major Repair 2011, we wanted to be able to pro- Services vide a stable repair service even dur- ing a disaster. In 2013, we opened In addition to initiatives to continu- another repair service center, the ously improve repair quality, we have Nagano Medical Equipment Service worked diligently to expand our net- Operation Center, in Ina City, Nagano work of repair bases that can per- Prefecture. Now the Shirakawa cen- form major repair services such as ter covers East Japan and Hokkaido equipment overhauls. We now have and the Nagano center covers Mid
Responsible Provision of a Repair Service to Help Medical Facilities Ensure the Continuity of Their Medical Services
Endoscopes are delicate devices, and through It also provides us with satisfaction, knowing that repetitive use or improper handling, they can be our technology contributes to the early detection easily damaged. Regular maintenance and prompt and treatment of disease while our repair services repairs can help minimize overall repair expendi- help medical facilities ensure the continuity of their Kuniaki Horiuchi General Manager tures as well as the scheduling impact on medical care. Global Service facilities. Because we have a reliable service sys- Planning Department tem, we can sell our products to customers in a Olympus Medical responsible way, and they can buy and use them Systems Corp. with peace of mind.
OLYMPUS CSR REPORT 2014 10 Introducing a Licensing service operation on a global scale. reprocessing protocols that minimiz- System and Implementing Our goal is for all repair employees to es equipment damage, and product Preventive Maintenance be licensed before they can perform failures. To enhance this service, for Higher Service Quality repair services to ensure we always we are focusing on expanding our deliver the same high-quality repair field service staff as well as provid- In addition to implementing quality service anywhere in the world. ing them with additional training. We improvements across the board, the We have also been enhancing also intend to make more use of IT in service departments of our manufac- our preventive maintenance ser- the effort to help detect and prevent turing bases are now building up a vice, which can help prevent prod- product failures. licensing and training system. This uct failure that can lead to more will provide all of our service employ- costly repairs. During preventive ees with the same quality of training maintenance, our field service staff using a common database, with a visit our medical customers to help view to improving the entire repair them implement use, handling, and
The Same Repair Service Quality Anywhere in the World —Messages from Area Service Managers—
Europe Americas Maximizing customer Continuous improvement to satisfaction and productivity provide the best service with world-class service Service is the driving force of our The quality our customers expect from business. Listening to our customers Johannes Stecher Eddie Garcés Olympus medical products is the same Director enables us to meet their needs. Our MSG Service Division they require to receive during service Medical Systems & commitment to providing the best service V.P. Repair Operations Micro-Imaging Solutions Olympus America Inc. from the Olympus Medical service Group in our market is reflected in our organization. The entire European Technical Service Centre investments in personnel, customer- OLYMPUS EUROPA SE friendly systems, and continuous organization is committed to maximizing & CO. KG customer satisfaction by providing world- improvement. class service for Olympus products.
Providing safe and reliable Asia/Oceania service for the future Dedicated to helping customers properly use and maintain our Variations to standards or processes for devices repairing precision medical devices can Paul Stevens Due to the impact medical devices have have serious repercussions on product Director of Technical on human lives, our devices must always performance and safety. At Olympus, we Services and Managing Ichiro Nagata be in perfect condition and used in the are committed to providing safe and Director Medical Physics Managing Director International correct way. This is why we are Olympus Australia reliable repair services to ensure our Olympus KeyMed dedicated to ensuring that customers products perform reliably and as understand how to use and maintain expected throughout their usable life. their devices properly.
11 OLYMPUS CSR REPORT 2014 Olympus Products in Action 2014 1
Shift of focus from repair to prevention through customer contact
From my work developing endoscopes, I keenly Olympus some unique strengths. Today’s system understand the important role repair service plays is the result of strenuous efforts made over de- in the longevity of our equipment. An essential cades, and one we are committed to expanding part of that repair service is promotion of preven- and developing further to ensure our customers Yoshihito Shimizu tive maintenance, which requires regular contact can deliver continuity of care. Division Manager and collaboration with our medical customers. Service Division Our infrastructure, human resources, and early Olympus Medical development of a repair service system has given Systems Corp.
Column Support Given to Medical Facilities by Olympus Immediately after the Great East Japan Earthquake Giving Priority to Repairing Endoscopes Used at Medical Facilities Devastated by the Disaster and Loaning Endoscopes Free of Charge to Facilities in Affected Areas
The Great East Japan Earthquake of March 2011 inflicted serious damage on a range of medi- cal facilities, with significant impact on their medical services. Olympus Medical Science Sales Corporation—which is engaged in the sales, repair services, and customer support activities for medical, life science, and industrial machines manufactured by Olympus—sent out employees to more than 1,200 customers located in disaster-affected areas to check on the damage and inspect the endoscopes used at these facilities. Our visits made it clear that func- tioning endoscopes were needed at many of these locations. To meet this need, we granted priority repair status to equipment from customers in affected area. We also loaned endoscopes free of charge to customers who suffered sub- stantial disaster damage.
Onagawa Community Medical Center Useful Support from Olympus: Providing Endoscopes to Replace Those Swept Away by the Tsunami
Onagawa Community Medical Center (former opportunity to ask if it would be possible to have town hospital) is located on a hill overlooking an endoscope on loan. In the middle of May the port and the town. It combines a hospital 2011, when we resumed health treatment at a and nursing care center in one three-story build- temporary facility, Olympus delivered an endo- ing. In the March 2011 disaster, the first floor of scope to our facility. This significantly improved the building was flooded by the tsunami, which the quality of the service we were able to provide swept away the medical equipment, medicines, at the temporary facility, and we were very grate- and medical records of patients. While water ful. Medical services are as essential to people and power supplies were suspended, the hos- as electricity, gas, and water services and were pital resumed medical appointments with pa- critical in the recovery of our town. We would tients using just stethoscopes and blood pres- like to continue providing local citizens with sure monitors. Two to three weeks after the medical services that they can use with peace earthquake and tsunami, the number of victims of mind, and we hope that Olympus will kindly Mitsuru Saito suffering gastrointestinal disorders began to support us in providing local citizens with medi- Administrator increase because of mental stress caused by cal treatment by supplying a range of informa- Onagawa Community the disaster. However, we had no endoscopes tion on their endoscopes. Medical Center to examine these patients. When an Olympus Medical Science Sales employee visited us to check on the disaster damage, we took this
OLYMPUS CSR REPORT 2014 12 2
Supporting Researchers in Advanced Fields and Contributing to Discovering the Mechanism of Disease Olympus started in 1919 by developing and manufacturing microscopes. Since then, the company has continued developing microscopes for nearly 100 years, contributing significantly to the progress of science. Even now, biological microscopes represent a core product of Olympus’s scientific solutions business. At the forefront of life science, we are committed to developing products that meet the true needs of researchers.
In front of the Fundamental Medicine Memorial Hall and Faculty of Medicine Museum, Kyoto University
Live Imaging for Real-Time tissues. These methods help us to specimens in a stable manner. To Observation of Living Cells understand in-vivo biological phe- meet this requirement, Olympus cus- nomena, and are leading to epoch- tomizes its products to the needs of Many of you might have the experi- making achievements, including the individual researchers who are tack- ence of feeling astonished at the intri- development of new therapies. ling advanced themes, such as “ob- cate micro-world expanding in front serving living cells in vivo.” of you when you peer through a mi- Incorporating the To support users, Olympus co- croscope. Being able to see what is Opinions of Users in the operates closely with Olympus invisible with the eyes—this is a very Development of Products Engineering Co., Ltd. (OEC), an important challenge and a theme for life science and microimaging. Live imaging is made possible by a Molecular biology is one of the technology called fluorescence im- innovative fields developed in paral- aging,*1 and two-photon excitation lel with the development of micro- microscopy*2 represents the latest imaging, and provides the basis for advances in the field. Olympus man- research into regenerative medicine, ufactures the world’s finest micro- clarification of the mechanism behind scopes, making use of its long expe- cancers and studies of brain func- rience and knowledge accumulated tions, which are now attracting much in this field. attention from the public. In these It is not enough, however, sim- innovative fields, the main targets of ply to supply high-performance mi- microscopic observation used to be croscopes; to help our customers cells cultivated in containers. Now, make what is invisible visible the however, new observation methods microscopes need to be equipped are being used for the in-vivo, real- with unique concepts and useful de- Olympus’s microscopes support the progress time observation of living cells and vices to ensure that users can see of life science
13 OLYMPUS CSR REPORT 2014 Olympus Products in Action 2014 2
Observation of Living Cells Makes It Possible to Predict Efficacy
We are now witnessing an explosion in the support our viewpoint as users, was really in- progress of medicine and biology, triggered by novative and useful. The fixation device devel- the development of molecular biology. And it oped by Mr. Nakasho substantially increased is microimaging that is fostering the advance- the parts of specimens that could be ob- ment of molecular biology. Also in research served through microscopes, and will lead to into cancers, which is my specialty, the classi- a whole range of achievements. Mr. Nakasho cal method of observing collected cells is now also helped us communicate our requests to being increasingly replaced with the method OEC, which then developed a microimaging of observing living cells to predict efficacy. system that meets our expectations. Two-photon excitation microscopes are The basic methodology in the field of pa- Michiyuki Matsuda indispensable for our thology, which supports M.D., Ph.D. research. However, we the diagnosis of disease, Department of Pathology and are basically users rath- has been unchanged for Biology of Diseases er than experts on the decades. I would like to Professor, Graduate School of equipment. We wanted to make innovations in this Medicine, Kyoto University make various requests to field by using leading- Doctor of Medicine (University of Tokyo). microscope manufactur- edge microimaging Engaged in research into the mechanism of the canceration of cells at the University ers, but to our frustration, technologies. of Tokyo, Rockefeller University, Infectious we did not know how to Disease Surveillance Center, National Cen- communicate what we ter for Global Health and Medicine, Osaka really wanted to them University and Kyoto University. Became the first researcher to visualize Ras activation precisely. in living cells by using a fluorescence bio- The initiative with Professor Matsuda and sensor in 2001. Since 2011, he has been Olympus, in which the the Olympus IX83 inverted working on the visualization of information research microscope company sent an engi- communication in cells of live animals by (in his laboratory at Kyoto observing transgenic fluorescent mice with neer to work with us to University) a two-photon excitation microscope.
Olympus Group company, to offer Sending a Microscope Education, Culture, Sports, Science a comprehensive support service, Developer to the Forefront and Technology and was working to including initial interviews, custom- of Research Activities raise the level of Japan’s entire medi- ization and onsite troubleshooting. cal and biological fields. To this end, OEC thus supports researchers’ in- Collaboration with the team of the professor thought it necessary to novative activities, and the informa- Professor Michiyuki Matsuda at involve a microscope manufacturer in tion and know-how obtained in the Kyoto University’s Graduate School his activities and looked to Olympus. process are utilized by Olympus de- is one of the initiatives we imple- For Professor Matsuda’s research, velopment teams to develop the next mented to develop products that two-photon excitation microscopes generation of products. We are thus meet the needs of researchers en- are indispensable tools. During the contributing to raising the research gaged in advanced fields. period in which Eiji Nakasho was level as a whole by supporting a gen- Professor Matsuda’s team is transferred by Olympus to work with eration of researchers through the ahead of others in understanding the the professor’s team in his labora- release of new, easy-to-use prod- mechanisms of cancer using live im- tory, the team faced the problem of ucts that incorporate leading-edge aging technologies. Olympus trans- how to fix a live mouse on the obser- technologies. ferred an employee belonging to vation table. If the specimen moved *1 Fluorescence imaging the development department to the even a bit, the target to be observed Technology that implants fluorescent light- laboratory of the professor for a pe- in a world of several micrometers emitting genes in a specific protein and sheds riod of about two years from January would easily become out of focus. excitation light on the protein to make it emit light, thus making it observable 2011. The employee conducted re- Nakasho worked on this problem search with the team members and with Professor Matsuda and his *2 Two-photon excitation microscope Through the simultaneous absorption of two gained considerable insight into how students. photons with a special laser, this microscope our microscopes are used. At that To solve the problem, Nakasho enables fluorescence imaging with an excita- tion wavelength that is double the conventional time Professor Matsuda was serving first developed a software applica- wavelength. Compared with conventional micro- as research representative for this tion to enable the microscope to scopes, it causes less damage to specimens, new academic field (fluorescence live track the movement of the speci- while making it possible to observe deeper sec- tions of cells. imaging) supported by the Ministry of men. Then, through a trial and error
OLYMPUS CSR REPORT 2014 14 Olympus Products in Action 2014 2
Making Use of Firsthand Research Experience in the Development of Microscopes
Employees engaged in development at our com- the microscope itself, but on the device to fix the pany often visit research laboratories to listen to specimen to the observation table. Working with the opinions of users of our products, but the the team made me feel that we could also give long-term dispatch of an employee to a labora- various kinds of support to users regarding pe- tory was a first for Olympus, and as the employee ripheral devices for microscopes and other equip- who was dispatched I had new experiences every ment that they were using daily. Seeing young stu- day in Professor Matsuda’s laboratory. I had been dents devoting themselves seriously to research Eiji Nakasho working to develop products from the viewpoint also made me feel, from the bottom of my heart, Team Leader of the user, and working with the research team that I wanted to do something for them. What I Product Planning Dept. Product Planning & dramatically broadened my view. have learned directly from the attitude and culture Support Division, As a result, I developed a specimen fixation of the research team has become a great asset, Scientific Solution device. If I had not actually worked with the re- not only for me as a developer, but also for the en- Business Company, search team I would not have recognized the fact tire company as a manufacturer of microscopes. Olympus Corporation that the success of research depends not only on
process, he finally developed a suc- progress throughout the entire re- tioning device to fixate the specimen. search community. When the research team began Further in April 2013, at the re- their joint research with Olympus, quest of Professor Matsuda’s team, they were able to observe only a part Olympus made a new microimag- of a live mouse, such as the skin on ing system, in which an expensive the ear. As a result of the software laser oscillator is shared by an up- and device being developed, they right microscope and an inverted Olympus’s FLUOVIEW FV1200MPE two-photon can now observe far more parts of microscope, and the light intensity excitation laser scanning microscope used by a live mouse, including the organs, is increased for deeper live imaging. Professor Matsuda’s team (basic model) muscles and blood vessels. The system was then delivered to the laboratory. The team has since been has already been commercialized by Sharing Research Results encouraging the use of this system OEC and is being supplied to a vari- Widely to Make Progress as an “open laboratory,” giving re- ety of researchers. with Young Researchers searchers and students from other The devices and products devel- universities and institutes access to oped by Olympus based on its first- Professor Matsuda’s team created the system. hand research experience will sup- an instruction manual for the fixation The fixation device developed port advanced research conducted device they developed and disclosed jointly with Professor Matsuda’s team in the life science field and contribute the information on their website with was unveiled at an academic confer- to the health of people through the the aim of sharing their research re- ence held in December 2013 and re- achievements made in the research sults widely with others to accelerate ceived a huge response. The device activities.
Responding Promptly to Customers and Incorporating Their Opinions in the Development of Products
In cooperation with Olympus, at OEC we provide us- suction-type fixation device developed by Nakasho ers engaged in biological research with a range of so- and are working to spread the use of this device to lutions. As part of this activity, we respond promptly other research laboratories. to the requests of customers who are conducting We supply microscopes that contribute to the research to become top of their respective fields, progress of life science and people’s health. As an and incorporate the information and knowledge we engineer, I feel fulfilled in being directly engaged in obtain in the development of the next product. the development of these devices. We will continue Yoshiharu Saito Professor Matsuda’s “open laboratory” has to listen to the voices of our users and develop prod- General Manager two sets of two-photon excitation microscope sys- ucts equipped with new functions. Products Development tems in which two microscopes share a laser os- *Incubator Department, cillator. We have also customized a state-of-the-art This device allows users to observe living cells for an ex- Olympus Engineering two-photon excitation microscope in combination tended time by maintaining an environment that is similar to Co., Ltd. with an incubator*. We also commercialized the the in-vivo environment.
15 OLYMPUS CSR REPORT 2014 3
Supporting Solutions to Social Issues through “The Power of Photos” Photojournalists introduce social issues to the public by giving the issues concrete form with their photos. Olympus is developing and supplying cameras that meet the needs of photojournalists and support their activities.
Prize-winning photos from the Environmental Photo Contest for Employees All Over the World 2011 to 2014 (see page 46)
Revealing Social Issues both image quality and mobility and through “The Power of are equipped with the In-body 5-Axis Photos” Image Stabilization system that re- moves all types of camera shake.* You can record moments in your They also have a high dust-, splash- daily life and enjoyable events with and freeze-proof performance, allow- your colleagues and family by taking ing photographers to use them in a photos with your camera. Cameras wider range of situations. are also used to inform large num- *In-body 5-Axis Image Stabilization system E-M1, flagship model of the OM-D Series bers of people of incidents that are that removes all types of camera shake occurring across the world. This system can compensate for vertical, hori- zontal and rotational camera shake, thereby Photos thus communicate the allowing handheld shooting in a range of situa- photographer plays the leading role. reality of the world and inspire their tions. One advantage of having an in-body im- Photographers release the shut- age stabilization system is that the system can viewers. compensate for camera shake for any lens at- ter to capture the crucial moment. Olympus cameras, including tached to the camera. Olympus will continue creating highly the OM Series single-lens reflex film reliable cameras that meet the needs cameras, have been highly evaluated Engineers from Different of photographers to help them catch by photographers who frequently Fields Collaborate to Help the moment in their photos and show take photos outdoors because the Photographers Catch the it to the public. We believe that by cameras are compact and light- Moment doing this we will be able to contrib- weight, but also robust. The DNA ute to solving social issues through of Olympus cameras has also been Olympus’s cameras are made utiliz- “the power of photos.” inherited by the E-M1, the flagship ing the knowledge and experience model of the OM-D Series of mir- of engineers specializing in differ- rorless digital SLR cameras. These ent fields. The camera, however, cameras are excellent in terms of only plays a supporting part; the
OLYMPUS CSR REPORT 2014 16 Lifetime’s Work in Mongolia—Showing Nature and Social Change in the Country through Photography After I became an independent photographer, I the highly dust- and splash-proof Olympus E-1. I made my first visit to Mongolia to take photos of received the first Natori Yonosuke Award from the the wild snow leopards living there. Subsequently Japan Professional Photographers Society for one in 2004, I had a private exhibition of the landscape of these photos and there was a great response photos I had taken in Mongolia. At that time, my to the exhibition of the photos. I cannot save chil- daughter had just been born and I happened to dren in Mongolia but I can introduce their lives to think about the street children I had met in Mongolia the public through the power of photos, which is in- while taking her photo. My daughter and the street deed great. In Mongolia, I sometimes take photos in Tetsuro Shimizu Photographer children in that country were living in quite differ- sandstorms with a wind velocity exceeding 20 m/s. Born in Yokohama City in ent environments, and I began to think that I had With the OM-D E-M1, which I use now, I can take 1975. Graduated from the to use my photos to introduce to the world how photos even in these storms. The camera thus sup- Nippon Photography Institute. street children in Mongolia live in the space under ports me in introducing Mongolia to the public. My Became an independent pho- tographer at the age of 23 and manhole covers in winter, when temperatures drop life’s work has been in Mongolia and I will continue since then has taken a range to 30 degrees Celsius below zero. In order to take to visit the country to take photos of the changing of photos, including snapshots and documentary photos. Won photos of these children in these underground utility lifestyles, streets, and the lives of minority people the first Natori Yonosuke Award spaces, where the temperatures is higher than the living in the country. for a photo of a street child in outdoor temperature and it is very humid, I chose 2005.
Dispatching Information on Global Problems and Networking People
When I was in junior high school, I visited Cambodia OM-D E-M1 compact and lightweight camera helps in a summer vacation program implemented by an eliminate barriers between me as a photographer NGO and had exchanges with children who were and my subjects. I often take photos under severe victims of human trafficking. After that, I was car- conditions and it is also important that I can use the ried away by the impulse to save children, and was camera without worrying about breakdowns, which searching for ways to express my ideas through allows me to focus on the subject. speaking, writing or by other methods, when I saw In addition to taking photos in Cambodia, a photo that captivated me. It was a photo of the Southeast Asia and Africa on issues such as AIDS civil conflict in Angora in Africa taken by Atsushi and photos of refugees from Iraq and Syria, I make Natsuki Yasuda Photojournalist Shibuya, who is a photojournalist. This photo, visits to Rikuzen Takata to photograph the changes Born in Kanagawa Prefecture which captured only one moment in the life of the made to the March 11 disaster-devastated town. in 1987. Began working as a country, encouraged me to become a photojournal- Photos have the power to make people become photojournalist when studying ist and to take inspiring photos. interested in issues in which they had no interest in the Department of Educa- tion, Faculty of Human Sci- For me, taking photos is a way of communicat- before. I see it as my role to disseminate information ences at Sophia University. ing. By taking photos, I can have an enjoyable time about global issues and to network people through Won the 8th Natori Yonosuke Award for a photo of orphans with children in the area I visit for my work, and the photos. born with AIDS in Uganda.
Developing a Camera That Catches the Moment Even Under Severe Conditions
When taking a picture with an SLR camera, whether the moment without fail under any conditions. We a film camera or a digital one, the photographer looks have received a high evaluation for the camera also at the subject through the viewfinder, with the line of from professional photographers, who say the E-M1 sight on the light axis. This stable shooting posture is a camera made by those who really know about is preferred in particular by professional photogra- cameras. In developing it, we asked professional phers and highly skilled amateurs. The E-M1 mir- photographers to use the prototypes and made rorless camera is equipped with a large electronic improvements based on their opinions. Impressive Eiji Shirota viewfinder (EVF) comparable to the one mounted on photos have a strong impact on the viewer, who will Manager a full-sized SLR camera and has a high dust-, splash- remember them vividly. I think photos have power in Product & Marketing and freeze-proof performance with a compact and this sense. When a professional said to me, “I could Dept., Product & Marketing lightweight body. Users of this camera can take it to not have taken the photo without the Olympus cam- Planning Division, places under conditions that are too severe to take era,” I felt so privileged to have made a contribution, Olympus Imaging pictures with a conventional camera. The highly reli- albeit small, to that person’s work and was motivated Corporation able In-body 5-Axis Image Stabilization system and to develop cameras that were resistant to even more the high-speed AF system help photographers catch severe conditions.
17 OLYMPUS CSR REPORT 2014 Olympus Products in Action 2014 3
Photo on the left: Two boys popping their faces up from underground like moles. Around 2005, there were many poor “manhole children” in Mongolia. Photo on the right: Taken the morning after the sandstorm finally abated after raging for three days. The Gobi Desert sparkled in the golden morning sun. This landscape, which has never been inhab- ited by people, looked breathtakingly beautiful. © Tetsuro Shimizu © Tetsuro Shimizu
The town was covered with snow soon after the turn of the year. The lion dance team walked around the town on the festival day. Yuya, a five- year-old boy and other children visited houses with the dance team, wishing for the health of the household members. © Natsuki Yasuda (Rikuzen Takata, Iwate Prefecture) Dawn in my family’s town in Cambodia, where you can see the beauty of the rising sun in the dry season. Children who got up early gather at the side of a local pond. Now people begin a new day energetically under lots of sunshine. (Prey Veng Province, Cambodia) © Natsuki Yasuda
Column Bringing the Pleasure of Photography to More People Supporting the Organization of a I was engaged in developing the PEN E-PL, Senior High School Student Photo which is an entry model mirrorless SLR Competition camera. The OM-D E-M10 was developed Olympus gives full support to the organization of as an improvement on the model PEN E-PL. the first senior high school student photo competi- We worked to make it a camera that can be tion held on the theme “HAPPY” by the Nippon used by a lot of people by making it user- Photography Institute. The competition is intended friendly, compact and lightweight, while also Naohiro Tsuchida to encourage senior high school students to enjoy Team Leader incorporating the technologies and func- Manager photography in their daily lives; tions incorporated in the flagship model. Product Development specifically by taking photos The result is a compact camera that is easy Dept., of the precious moments they to use but produces high-quality photos. I R&D Division, have with people who are im- would like to supply this camera, which can Olympus Imaging portant to them and of the hap- Corporation take high-quality photos anytime you want, py moments in which they feel to more people. strong ties with their friends.
OLYMPUS CSR REPORT 2014 18 Realizing the “Social IN” Corporate Philosophy
Toward the Realization of a Better Livelihood and Happiness The Olympus Group strives to realize better health and happiness for people by being integral members of society, sharing common values, and proposing new values through its business activities.
As part of its efforts to put the “Social IN” corporate philosophy ■ Olympus Group’s Corporate Philosophy into practice, Olympus has adopted the Corporate Conduct Charter as guidelines for the conduct of all members of the Olympus Group. We have also formulated CSR-related guidelines, charters and ideals, which are being applied consistently throughout the Olympus Group. Revised versions of the Olympus Group Corporate Conduct Charter and Code of Conduct were adopted on June 20, 2012. The changes reflect our profound regret about the issues that came to light in 2011 concerning fraudulent INtegrity INnovation INvolvement financial reporting. As part of our efforts to build awareness Integrity in Society Creating Innovative Value Social Involvement of compliance, we ensured that the revisions would reflect the debate among workplace leaders and the view of Olympus We aim towards establishing firm ties with Group overseas employees. society through the three IN’s
Olympus’ Corporate Conduct Charter
Guided by the fundamental concept of “Social IN” and a keen awareness of our responsibilities as a corporate member of society, and as a company on which diverse people with different cultures and value systems depend, the Olympus Group continues to provide value to society by enhancing people’s lives through the products and solutions that we design and deliver. At the Olympus Group, we are committed to conducting our affairs with a strong sense of ethics, and accordingly, will strictly comply with all relevant laws and regulations. We have revised the Olympus Corporate Conduct Charter to serve as the basis for making appropriate decisions and taking responsible actions. All members of the management team and all employees of the Olympus Group hereby pledge to act in accordance with the new Corporate Conduct Charter in their global corporate activities.
*The Olympus Group Corporate Conduct Charter reflects the social responsibility principles required under the latest international guidelines, including ISO 26000, the 10 Principles of the United Nations Global Compact, and the 2011 OECD Guidelines for Multinational Enterprises. Olympus Group Code of Conduct http://www.olympus-global.com/en/csr/olycsr/socialin/principle/policy.jsp
19 OLYMPUS CSR REPORT 2014 Realizing the “Social IN” Corporate Philosophy
CSR-Related Philosophies and Policies
■From Corporate Philosophy to ■ Linkage between Corporate Conduct Charter and CSR Policies Policies/Plans/Actions The Olympus Group CSR-Related Basic Policies, Corporate Conduct Charter Charters and Philosophies Corporate philosophy, Social IN 1. Adherence to High Information Disclosure Policy INtegrity Ethical Standards Information Security Policy Group Corporate CSR-related Integrity in Procurement Policy Conduct Charter guidelines 2. Respect for Corporate Society Personal Information Protection Policy vision Human Rights Human Rights and Labor Policy Group Code of Conduct 3. Delivering INnovation Innovative Value Quality Philosophy Creating Medium-term business plan 4. Working Personal Information Protection Policy Innovative Human Rights and Labor Policy Company rules Value Environments with Vitality Annual business plan 5. Harmony with the INvolvement Laws, Environment Environmental Charter regulations Daily business activities Social Social Contribution Policy and social Involvement 6. Contribution to norms Society
Joined the United Nations Global Compact
Olympus agreed with and joined the UN Global Compact The principles of the Global Compact are incorporated in October, 2004. into our Corporate Conduct Charter and related policies The Global Compact (GC) is a voluntary initiative to and reflected in our business activities. create a global framework within which companies can Olympus also supports initiatives concerning climate contribute to good corporate citizenship and sustainable change under the Global Compact “Caring for Climate” growth through responsible and creative leadership. GC initiative, of which it has been a signatory since 2009. signatories support and practice the ten GC principles, which relate to the protection of human rights, the elimi- The United Nations Global Compact http://www.unglobalcompact.org nation of unfair labor practices, protection of the environ- ment, and the prevention of corruption, and are required to make continuing efforts, based on commitments by their own chief executive officers, toward the achieve- ment of the Millennium Development Goals of the United Nations.
■ The Ten Principles of the UN Global Compact
Human Rights Environment Principle 1: Businesses should support and respect the protection of Principle 7: Businesses should support a precautionary approach to internationally proclaimed human rights; and environmental challenges; Principle 2: make sure that they are not complicit in human rights Principle 8: undertake initiatives to promote greater environmental abuses. responsibility; and Principle 9: encourage the development and diffusion of environmentally Labor friendly technologies. Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; Anti-Corruption Principle 4: the elimination of all forms of forced and compulsory labor; Principle 10: Businesses should work against corruption in all its forms, Principle 5: the effective abolition of child labor; and including extortion and bribery. Principle 6: the elimination of discrimination in respect of employment and occupation.
OLYMPUS CSR REPORT 2014 20 Realizing the “Social IN” Corporate Philosophy
Communicating with Stakeholders
Olympus sees the reflection of public input in its manage- ment policies as vital to the realization of the “Social IN” corporate philosophy. We continually listen to the views of stakeholders in the context of our day-to-day activities.
■ Examples of Communication with Stakeholders
Customers Shareholders and Investors
Voice of Customer (VOC) activities are used throughout Olympus is committed to the fair, timely and accurate dis- the Olympus Group to reflect customer inquiries, opin- closure of corporate information, including management ions, wishes and criticisms in our products and services. policies, financial data, and information about business We are also working to expand opportunities for cus- activities and CSR activities. tomer contacts. For example, we have extended the op- When announcing our financial results, we hold IR erating hours for our customer call centers, and we also meetings to explain the results and publish financial data. hold seminars for customers. In addition, we use our website to distribute presentation materials and stream audio recordings of IR meetings, including Q&A sessions. Investor Information http://www.olympus-global.com/en/ir/
Suppliers Employees and Their Families
In addition to dialogue in the context of day-to-day The senior management of Olympus actively holds town transactions, we also hold regular briefings about our meetings that provide opportunities for direct exchanges procurement guidelines. Other opportunities for dialogue of views with employees. include on-line questionnaire surveys. Since fiscal 2012, In 2012, we conducted an opinion survey of all em- we have continuously conducted a CSR audit focusing ployees of Olympus Group companies in Japan. In addi- on overseas suppliers. tion, we held workplace meetings to discuss compliance In addition, suppliers can access our Compliance risks and review measures against them at all workplaces Hotline, which is used to report compliance issues or in Japan, including those of affiliated companies in 2013. seek advice on compliance-related matters.
Communities International Community, Civil Society
We actively participate in various community activities as Since 2012 we have studied human rights issues in co- part of our efforts to inform a wide range of stakeholders, operation with NGOs and NPOs through our participation including communities, schools and businesses located in the Human Rights Due Diligence Workshops run by the near its business facilities, about the activities of the Nippon CSR Consortium. Olympus Group. We are also working with various organizations, We also organize facility tours and work experience including NGOs, NPOs, student groups, international opportunities based on the characteristics of each agencies and government agencies, to raise awareness of business site. Other initiatives include the provision of the importance of achieving the Millennium Development instructors to schools, and participation in and support Goals (MDGs). We also undertake a wide range of social for community events. contribution activities.
21 OLYMPUS CSR REPORT 2014 Activity Report 2013
“From the Ocean to the Sky,” the Olympus Prizewinner at the Second Photo Contest for Children on the theme of “Ocean Legacy” (See page 49)
Main Activities (Page)
Strengthening Corporate Governance p. 23 Adherence to Promoting Compliance p. 27 High Ethical Fair Business Practices p. 29 INtegrity Standards Integrity Human Rights and Labor Policy p. 31 in Society Respect for Employees’ Human Rights p. 31 Human Rights Respect for Human Rights in the Supply Chain p. 32 Human Rights Due Diligence p. 33
Product and Service Creation from the Customer’s Perspective p. 35
Delivering Quality Assurance p. 36 Innovative Quality Evaluation at the Development Stage p. 36 INnovation Value Improving Customer Service p. 37 Creating Human Resource Development, Working Fair Assessment p. 39 Innovative Value Environments with Vitality Creating Free and Open Workplace Environments p. 39 Safety and Health p. 40 Creating Energized Working Environments p. 40
Environmental Management p. 41
Harmony Environmental Initiatives throughout INvolvement with the Product Life Cycles p. 43 Environment Environmental Education and Awareness Activities p. 45 Social Social Contribution Policies and Activities p. 47 Contribution to Involvement Local Activities p. 51 Society Support for Recovery from the Great East Japan Earthquake p. 53
The reporting format used in this report is based on the Olympus Group Corporate Conduct Charter. Icons have been used in this report to show the linkage of the seven core subjects in the ISO 26000 social responsibility guidelines. These indicate the pages relating to each of the core subjects.
Relating core subjects in ISO 26000 Organizational governance Fair operating practices Human rights Consumer issues Labor practices The environment Community involvement and development
OLYMPUS CSR REPORT 2014 22 INtegrity Integrity in Society Adherence to High Ethical Standards
1 Strengthening Corporate listing agreement violation penalty. At the same Governance time, all Olympus stock was designated as a “security on alert.” We are working to enhance transparency and soundness, both to maximize corporate Actions to Prevent Recurrence value, and to ensure that there can never be any recurrence of the recent problems. Olympus is implementing the following mea- sures to prevent problems of this type from Information Concerning the ever happening again. Financial Misconduct 1 Strengthen Corporate Governance Structure Following the collapse of Japan’s economic • Clear separation of executive and supervisory functions bubble, Olympus incurred substantial unreal- • Reinforcement of supervisory authority and ized losses as a result of its investment in finan- functions over executive functions cial assets. By the second half of the 1990s, • Fairness in selection of outside directors and those losses had climbed to almost ¥100 bil- corporate auditors, and expansion of the roles lion. To prevent this problem from coming to and functions of outside directors and corporate light, Olympus transferred financial assets on auditors which it had incurred unrealized losses up to • Active disclosure of information the year ended March 2000 into multiple “re- 2 Improve Internal Control Systems ceiver funds” at book value. The effect of this • process was to remove these assets from the Improvement of internal checks and balances consolidated balance sheet and delay the in- • Appropriate management of business investments, subsidiaries and affiliated companies clusion of the losses in the accounts. • Prevention of fraudulent activities through Starting in 2007, Olympus sought to dis- improvements to human resource management pose of the losses in three ways. First, three systems domestic subsidiaries were bought from the • Enhancement of internal audits receiver funds at inflated prices. Second, mas- sive advisory fees were paid when Gyrus Group 3 Review Compliance Systems PLC (“Gyrus”) was acquired, resulting in the • Improvement of management team’s compliance supply of funds totaling ¥135 billion and the awareness, and establishment of clear accountability elimination of the receiver funds. Third, goodwill • Establishment of systems to support further relating to the three domestic subsidiaries and reinforcement of compliance promotion Gyrus was shown in the accounts as assets. • Fostering of consistent awareness of compliance The problems surrounding the massive ex- • Improvement of Hotline systems penditures relating to the acquisition of three domestic subsidiaries and Gyrus came to light Highlights of Fiscal 2013 in October 2011. In November, Olympus es- Reports from the Third Party tablished a third-party committee consisting of The following developments related to the se- Committee and other Investigative attorneys and certified public accountants with ries of issues took place in fiscal 2013. Committees http://www.olympus-global.com/en/ no conflicts of interest with Olympus to carry info/2011b/if111206corpe.pdf out an investigation. In December, Olympus June 2013 became the subject of a criminal investigation Cancellation of Designation as Securities on Alert by the Tokyo District Public Prosecutor’s Office, Tokyo Stock Exchange notified Olympus that it has Toward Realization of New Olympus canceled Olympus stock designation as a “security Rebuilding Trust: The First 100 Days the Tokyo Metropolitan Police Department http://www.olympus-global.com/en/ and the Securities and Exchange Surveillance on alert.” common/pdf/csr_confidence_2012. Commission. In March 2012, the Tokyo District January 21, 2013: Olympus worked on restruc- pdf Public Prosecutor’s Office filed charges on sus- turing its internal control system on a group-wide basis, and submitted written affirmation on the in- picion that Olympus had violated the Securities ternal control system as set out in the Securities Investor Relations and Exchange Act and the Financial Instruments Listing Regulations. Corporate Disclosure and Exchange Act (fraudulent financial report- http://www.olympus-global.com/en/ June 11, 2013: As a result of the examination in ir/data/tes/2014/ ing). In January 2012, Olympus received an or- response to written affirmation on the internal con- der from the Tokyo Stock Exchange to pay a trol system, the Tokyo Stock Exchange canceled
23 OLYMPUS CSR REPORT 2014 INtegrity Integrity in Society
the designation of Olympus stock as a “security on alert” because no problems were found in the Message from the Chairman internal control system. As chairman and director since April 2012, I have been working July 2013 to establish a new corporate governance framework that excels Judgment of Breach of the Financial Instruments in both fairness and transparency. A management system that and Exchange Act separates business execution and supervisory functions has Olympus received a judgment from the Tokyo District Court imposing a penalty of ¥700 million (prosecu- been put in place, with the company president Hiroyuki Sasa tion’s demand: ¥1 billion). in charge of business operations as a whole and myself as March 7, 2012: Prosecuted for the facts as chairman serving as chair of the board of directors. Additionally, charged at the Tokyo District Court Office for external directors will make up the majority of the board of direc- breach of the Securities and Exchange Act and of the Financial Instruments and Exchange Act (filing tors to ensure full functionality of the control and supervisory annual securities reports with false statements). A functions. The external directors have all demonstrated a clear supplementary prosecution was issued on March and strong awareness of the problem and a sense of respon- 28 of the same year. sibility, and have expressed their open and sincere opinions in July 3, 2013: Tokyo District Court handed down its judgment, imposing a penalty of ¥700 million diverse discussions from a broad range of perspectives. (prosecution’s demand: ¥1 billion). The judgment In June 2013, the Tokyo Stock Exchange notified Olympus was confirmed once the period for lodging an ap- that it has canceled Olympus stock designation as a “security peal had passed, and the penalty was paid in full. on alert.” I believe that this was in recognition of our company- wide efforts to upgrade and reorganize our internal control sys- September 2013 tem and of this system functioning effectively as a result. I must Final Settlement of Litigation in the United States Olympus entered into a memorandum of under- express once again my sincerest apologies for the troubles and standing with the representatives of all purchasers the concerns the company has caused for our stakeholders. At of Olympus American Depository Receipts (ADRs) the same time, I am determined to continue to pursue further during a certain period, who filed a class action on development and reinforcement of our internal controls to build November 14, 2011, to pay $2,603,500. The class stronger trust with all parties. action was finalized on May 12, 2014. Olympus is capable of meeting the expectations of society November 14, 2011: Purchasers of Olympus American Depository Receipts (ADRs) in the US and contributing by offering products and services that enrich filed a claim for damages caused by plummeting lives, as well as the health and sense of safety and security of stock value. the public at large through its three business areas of Medical, September 26, 2013: Agreement was reached on Scientific Solutions and Imaging. In addition to complying with the details of the settlement by the representatives of the plaintiffs. laws and corporate ethics, I feel that it is my responsibility to May 12, 2014: The class action was finalized with create an environment in which Olympus can demonstrate its court approval. The court procedures were com- potential strengths and competitiveness and deliver maximum pleted on May 13. value to society. The company will unfailingly operate with transparent governance and the Olympus Group will devote its November 2013 energies into meeting the expectations of its stakeholders and Settlement of Lawsuit in Japan society at large to become a company that can win greater trust Judicial settlement was reached in the civil action filed by Terumo Corporation with the Tokyo District from all. Court with payment of ¥6 billion in damages. August 1, 2012: Claim for damages was filed against Olympus, due to past activities regarding deferral in posting of losses. November 18, 2013: In view of the details of the matter and potential legal costs arising from con- Yasuyuki Kimoto tinuing the lawsuit, it was decided that early settle- ment was the best way, and a settlement was ar- Chairman rived at.
OLYMPUS CSR REPORT 2014 24 INtegrity Integrity in Society
Adherence to High Ethical Standards
Corporate Governance Structure and the Chief Compliance Officer (CCO). The *1 Chairman and standing corporate auditors at- ■Directors and Auditors Olympus has an executive officer system. Its tend meetings as observers. (As of June 26, 2014) governance structure is based on a separation Chairman: Yasuyuki Kimoto of roles between the executive officers, who Corporate Auditors and Board President and Representative Director: are responsible for the performance of busi- of Corporate Auditors Hiroyuki Sasa ness operations, and the directors, who are Directors, Senior Executive responsible for management decision-making Olympus has adopted a corporate auditor system. Managing Officers: and the supervision of the performance of busi- To ensure the independence and neutrality of au- Hideaki Fujizuka Yasuo Takeuchi ness operations. dits, one of the two Standing Corporate Auditors Director, Executive Managing Officer: Highly independent outside directors make is appointed from outside of the Olympus organi- Shigeo Hayashi up the majority of our 13-member Board of zation, in addition to the two Outside Corporate Outside Directors: Directors*1. Normally the Board of Directors Auditors*2. A Corporate Auditors’ Office with full- Takuya Goto Shiro Hiruta meets every month to ensure timely decision- time staff has been established to assist the work Sumitaka Fujita making on management strategies and other of the Corporate Auditors. Motoyoshi Nishikawa important aspects of management, and to pro- The Board of Corporate Auditors normally Hikari Imai Kiyotaka Fujii vide appropriate oversight of the performance meets once a month. The Corporate Auditors Keiko Unotoro of business operations by executive officers. attend important meetings, including meetings Masaru Kato Board meetings are chaired by the Chairman, of the Board of Directors, and also have regular *Seven of the outside directors, who must be a person other than the President. discussions with directors and executive offi- excluding Mr. Masaru Kato, are independent directors as defined in The outside directors apply their specialized cers. Basically, they have quarterly exchanges the Securities Listing Regulations knowledge to the management of Olympus. of views with the representative director. The of the Tokyo Stock Exchange. There are specific terms of office and age Corporate Auditors are briefed by the account- limits for the President and executive officers. ing auditor about annual audit plans, items Attendance at Board Meetings Number of meetings: 19 The President’s term of office is in principle relating to quarterly financial results, year-end six years. Olympus has further strengthened audit reports and other matters. If necessary, Attendance of outside directors: 99.3% its governance by voluntarily establishing the the Corporate Auditors also have discussions (April 2013-March 2014) Nominating Committee and Compensation with the accounting auditor. Committee as independent committees, each Data *2 of which has a majority of outside directors. Establishment of Section ■Corporate Auditors These committees nominate candidates for the (As of June 26, 2014) Independent Committees Page 55 posts of Chairman, President, directors and Standing Corporate Auditors: Takashi Saito corporate auditors and set remuneration stan- We now have a Nominating Committee and a Masashi Shimizu (non-Olympus) dards for directors and executive officers. Compensation Committee, which are comprised Outside Corporate Auditors: The Executive Management Committee primarily of completely independent outside of- Nobuo Nagoya Katsuya Natori normally meets three times a month to assist ficers, effectively separating the authority related *The two outside corporate auditors the President with decision-making by deliber- to corporate officer nomination and compensa- are independent directors as ating on important matters. It consists of the tion from management. Under the guidance of defined in the Securities Listing President, managers of business divisions, these committees, the Company has been trans- Regulations of the Tokyo Stock Exchange. formed significantly. ■ Corporate Governance Structure At the suggestion of the Compensation General Meeting of Shareholders Appointment/Dismissal Appointment/Dismissal Appointment/Dismissal Committee, we intro- Audit duced a stock option Accounting Auditor Nominating Committee Audit & Supervisory Board of Directors Discussions/ Board • 5 directors Proposals system to reflect our Compensation Committee 2 standing and 2 outside Audit • 8 outside directors Discussions/ Cooperation audit & supervisory • Chairperson: Proposals shareholders’ perspec- board members Chairman of the board Compliance Committee Report tive in our compen- Reports/ Election/ Cooperation Audit Suggestions Supervision sation system. Also, Group Internal President and CSR Committee Cooperation Audit Office Report Representative Director Assistance based on the selec- with Executive Management decision-making tion of the Nominating Audit Audit Audit Committee • Chairperson: President Committee, we ap- • Observers: Chairman, Auditors pointed a female out-
Business divisions, corporate divisions, and Group companies side director.
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Internal Audit Organization ■ CSR Committee and Promotion Committees CSR Committee Internal audits are coordinated by the Group Risk Management Promotion Committee Internal Audit Office (23 people), which reports Information Security Promotion Committee directly to the President. It also carries out inter- CSR Procurement Promotion Committee nal audits of Olympus and its group companies Safety & Health Promotion Committee in cooperation with the internal audit divisions Social Contribution Promotion Committee (19 people) of regional headquarters in Europe, Corporate Culture Committee the Americas, and Asia. The Group Internal Risk Management System Audit Office assesses the development and im- plementation of internal control systems under Olympus promotes a range of global risk man- annual audit plans and conducts management agement activities in order to prevent and audits, including operational audits, compli- minimize risks in corporate management. If ance audits and system audits. Through these any risks are identified, we make all efforts to audits, it identifies areas in which improvements minimize potential damage by putting in place are needed and follows up remedial measures prompt and appropriate countermeasures. (as of April 2014). In implementing this system, we established The implementation of results of internal the Risk Management Promotion Committee audits are reported at regular intervals or as re- under the CSR Committee. Through the Risk quired to the President and Board of Directors. Management Promotion Committee, we are The Group Internal Audit Office also commu- putting risk management activities fully into nicates closely with the Board of Auditors and practice across the Group, including different the accounting auditor, including information business sites and affiliated companies. sharing about audit plans and results. It collab- A dedicated Risk Management Department orates with the Board of Auditors and the ac- has also been established. The department is counting auditor, including on-site attendance responsible for managing risks in a compre- at audits. hensive manner through organizing rules and Furthermore, we are focusing on the educa- related documents, assessing risks, and mini- tion of human resources in order to improve the mizing risks through verification. As a part of audit quality. We now have four Certified Internal the company-wide risk minimization measures, Auditors (CIAs), a Certified Fraud Examiner the Risk Management Department also creates (CFE), a Certified Information Systems Auditor and implements a Business Continuation Plan (CISA), and a Certified Public Accountant (CPA) (BCP) working together with a number of de- in the Office (as of April 2014). partments to prepare for a serious emergency, such as a large scale earthquake. Establishment of a CSR Committee
Olympus established the CSR Committee ■ Risk Management System under the Chairmanship of the President to President Task Force strengthen its CSR activities and ensure the Risk management leader (activated in the event of a crisis) realization of its “Social IN” corporate phi- CSR Committee losophy. By assisting the President in his Chairperson: President decision-making and promoting and monitor- Corporate Governance ing the implementation of decisions, the CSR Of ce Committee helps to disseminate and consoli- date CSR within the Olympus Group. Several Risk Management Risk Management promotion committees have been established Department Promotion Committee under the CSR Committee. These work with the CSR Committee to study measures and Executive groups, affiliated companies and develop plans, and promote their implementa- head office departments tion in the functional areas for which they are responsible.
OLYMPUS CSR REPORT 2014 26 INtegrity Integrity in Society
Adherence to High Ethical Standards
Data 2 Promoting Compliance Integrity Hotline Systems Section Page 55 The Compliance Helpline, a contact system Olympus will create an organizational envi- for employees to submit their concerns about ronment in which compliance concerns are compliance, is operated by an internal contact never disregarded under any circumstanc- point, and from May 2012, an external contact es. We make sure that compliance is firmly point managed by an attorney. in place by providing appropriate educa- This new system provides greater assur- tion and raising awareness of compliance ance of anonymity, since the attorney provid- among all parties involved in our activities. ing the service will not, without the approval of the whistle-blower, reveal any information that Compliance Promotion Structure could be used to identify the individual to staff within the company. We have further enhanced Olympus has appointed a Chief Compliance the system, including the addition of clearly Officer (CCO) whose task is to clarify defined rules to the corporate regulations re- compliance-related responsibilities. We have quiring follow-up action on all matters reported, also established a Compliance Committee, and efforts to report all matters of concern, with chaired by an outside director and consisting the aim of raising awareness of the system and of the CCO and independent members, to increasing its use. The number of reports made advise the Board of Directors. The Compliance to the Helpline in fiscal 2013 in Japan was 32. Committee works to strengthen compliance The Compliance Helpline is also accessible by initiatives through its meetings, which are suppliers of domestic Olympus group compa- normally held every quarter. nies to ensure prevention of compliance issues. Olympus holds quarterly meetings of Global Further, overseas regional headquarters Compliance Committees for compliance run their own Hotline Systems covering each officers from each regional headquarters country. worldwide. The purpose of these committees Data is to implement compliance-related policies Self-Assessment Section and measures, to identify issues, and enforce Page 55 countermeasures as required, both globally With the aim of ascertaining the state of man- and regionally. agement systems on a global scale, we con- ducted a self-assessment survey of the compli- ■ Compliance Promotion Structure ance management systems of 88 consolidated subsidiaries and four regional headquarters in General Meeting of Shareholders Japan and overseas between December 2013 Compliance Committee Reports/Proposals Members: Outside Directors, Board of Non-Olympus Members, CCO Instructions/Advice Directors and February 2014. The response rate was President 100%. Reports Requests Reports/Proposals CCO Executive The assessment results revealed that com- Management Committee panies generally have compliance structures Global Compliance Committees CSR Committee and mechanisms in place, but at the same Members: CCO, Regional Compliance Officers Each time, some issues to be addressed were identi- Europe Americas Asia Japan Organization fied. These results and issues were fed back to Actions undertaken by the compliance Compliance Promotion organization in each region Committee the relevant companies and regional headquar- ters and will be used to strengthen compliance structures in each region.
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Data Improvement of Section including speeches and intranet messages by Compliance Education Page 55 the President and executives. October is des- ignated as Compliance Month for the global In order to raise compliance awareness and Olympus organization, during which a message promote an understanding of important laws from the CCO about compliance is distributed and regulations, as well as to ensure consistent globally to promote our corporate philosophy compliance with them, Olympus is enhancing and the Conduct Charter as the basis of busi- its compliance education. Specific educational ness activities. activities are planned and implemented in each Also, senior management and the CCO region and provided through e-learning sys- continue to hold a series of town meetings for tems and new employee training. executives and employees, including those of
Outlined below are the main initiatives un- affiliated companies and overseas subsidiaries, Compliance Handbook derway in Japan. to promote thorough compliance and improve distributed to executives workplace communication. and employees at general compliance ● General Compliance Education education sessions Data All executives and employees receive educa- Compliance Surveys and Section tion about general aspects of compliance, Workplace Meetings Page 55 including the Olympus Group Corporate Conduct Charter, laws, regulations and so- Since fiscal 2012, we have conducted a cial norms. This type of education is provided survey among Olympus Group employees in through e-learning and study sessions, as well Japan concerning compliance awareness to as the distribution of compliance handbooks. monitor the level of awareness and identify any Particular laws and regulations that require related issues. more advanced knowledge are given prioritized We also held workplace meetings in differ- coverage in educational programs. ent offices and affiliated companies to discuss compliance risks in the workplace and review ● Function-Based Education the status of countermeasures. *Training of the staff Educational programs focusing on aspects of The results confirmed that compliance responsible for administering laws and regulations relating directly to staff awareness is well established. This aware- the Compliance Hotline work activities, such as CSR procurement, ness survey will continue to be conducted The staff responsible for trade controls, and the prevention of fraudu- regularly to uncover any issues and promote administering the Compliance Hotline are required to be certified lent transactions, are repeatedly provided to improvement measures, while also continuing as Business Ethics Experts by the relevant units and employees. Members of furthering ethical awareness and systematic Association of Certified Business corporate organizations whose work requires education. Ethics Expert JAPAN. They also undergo systematic training, highly specialized knowledge and awareness including participation in external of compliance, such as staff involved in the ad- seminars. ministration of the Compliance Hotline, receive specialized training relating to their specific functions, including seminars provided by ex- ternal organizations.*
● Rank-Specific Education In addition to general educational programs, Olympus also systematically provides training activities for people of specific ranks, includ- ing educational programs for management and executive personnel, for employees who have been promoted, and for new employees.
● Messages from Senior Management and Dialogue Opportunities The importance of compliance is repeatedly emphasized through management messages,
OLYMPUS CSR REPORT 2014 28 INtegrity Integrity in Society
Adherence to High Ethical Standards
3 Fair Business Practices consistently comply with those requirements, including the submission of notices concerning Olympus respects laws and regulations such transactions. and conducts its business activities fairly and in accordance with sound commercial Appropriate Trading practices and social norms. We comply with laws, regulations and social norms relating In our exporting and importing activities, we to gift-giving, entertainment and other ac- work to maintain international peace and secu- tivities. We prohibit any involvement in anti- rity by carrying out transactions appropriately social activities and maintain a sound rela- and in compliance with security export laws tionship with society. and regulations in Japan and the other coun- tries concerned. Prevention of Corruption In fiscal 2013, we provided e-learning pro- grams about export and import operations for Olympus will never engage in actions that could all employees in Japan. A total of 714 employ- be deemed to be corrupt in its dealings with ees involved in export work took part in 14 government officials (including officials of for- specialized educational programs, and a total eign governments), employees of government of 88 employees involved with imports took agencies (including international agencies), or four other specialized programs. Through the any other parties. To prevent such behavior, we collaboration of the export management of- have established corporate regulation based fices in each department, we continue to be *1 Authorized Economic on key laws and regulations and implemented an Authorized Economic Operator (AEO)*1 cer- Operator (AEO) Program comprehensive education programs. We have tified by Japan Customs through maintaining A program that offers relaxed also established structures to prevent actions and reinforcing our export control system that or simplified custom processes to operators certified as having that could be interpreted as corruption through conforms to the Compliance Programs desig- sufficient security and legal process controls. nated by the Ministry of Economy, Trade and compliance systems in place for Industry. managing shipments, in order to ensure both security and Exclusion of Antisocial Forces We also commenced organizing global smooth operations in international export control systems working together distribution. Olympus will have no involvement with antiso- with the regional headquarters in Europe, the cial forces that threaten the order of society, Americas, Asia, and Japan, in order to prepare and we will never engage in actions that could ourselves for the extraterritorial application of support their activities. We will respond reso- export-related laws by the U.S., and other le- lutely and in accordance with the law to any gal requirements. In Asia, export controls over fraudulent demands from antisocial forces. We the high-precision facilities in local production also ask the parties with which we do business sites also take account of Japanese laws and to sign agreements requiring the exclusion of regulations. antisocial forces. Dependable Corporate Prevention of Insider Trading Communication
Olympus Information Disclosure Policy Olympus is determined to ensure the fairness Olympus strives to gain the understanding and http://www.olympus-global.com/en/ and soundness of securities markets and earn confidence of all stakeholders, including share- ir/policy/disclosure/ the trust of shareholders and investors by holders and customers, through fair, timely, ap- working to prevent insider trading. The Insider propriate and proactive disclosure of corporate Trading Prohibition Regulations clearly forbid information, including management policies, use of undisclosed information gained through financial status, information about business ac- activities related to trading in stocks, and con- tivities and CSR activities. tinuous education about these regulations is provided to all employees through e-learning courses and other means. We have adopted rules concerning the buying and selling of our own shares, and we
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Information Transparency ● Enhancement of Compliance Helpline Olympus’s contact point for compliance issues, Ethics Committee ● The Ethics Committee the Compliance Helpline, was also made avail- (including minutes of meetings) Olympus is involved in regenerative medicine able to our suppliers from June 2012. We pro- (Only in Japanese) and genome-related business activities. These mote the helpline to an even wider audience http://www.olympus.co.jp/jp/csr/ integrity/fairness/ethic/ activities are reviewed from an ethical perspec- through our official website and procurement tive by the Ethics Committee, which consists policy briefing sessions. of experts. To enhance the transparency of the Principle of Transparency Ethics Committee’s activities, Olympus pub- ● Continuation and Enhancement of Guidelines http://www.olympus-global.com/en/ lishes the committee rules and membership Education on the Subcontract Act csr/integrity/fairness/transparency/ list, as well as the minutes of each meeting. Under the initiative of the Group Compliance policy.jsp Division, Olympus identifies important laws of ● Transparency Guidelines which the group should be aware in conduct- To ensure awareness of the fact that it conducts ing its business and promotes the comprehen- its business activities in relation to medical in- sive compliance to such laws. The Act against stitutions and similar organizations on the basis Delays in Payment of Subcontract Proceeds, of fair and appropriate decisions, Olympus has etc. to Subcontractors (Subcontract Act) is adopted a policy based on the “Transparency one such law. Along with the Subcontract Guidelines for the Medical Device Industry and Act, the Act on Special Measures Preventing its Relationships with Medical Institutions and and Correcting Actions that Interfere with Other Organizations” of the Japan Federation Shifting Consumption Tax with the Aim to of Medical Devices Associations (JFMDA), of Ensure the Smooth and Appropriate Pass- which it is a corporate member. In accordance On of Consumption Tax enforced in October with this policy, payments to medical institu- 2013 was also made the subject of awareness tions and similar organizations will be dis- raising. closed, starting with payments made in 2013. Following on from the previous term, edu- cation remained a major focus in fiscal 2013. Reinforcement of Compliance Programs were provided through e-learning in Relation to Procurement courses and individual study sessions to all Activities employees working in the business divisions, as well as in the research and development A comprehensive understanding and prac- departments. tice of compliance takes time. Our focus in We continue our education by reviewing the fiscal 2013 was on the continuation and en- contents and methods to ensure comprehen- hancement of existing compliance promotion sive compliance with the Subcontract Act. activities.
● Promotion among Suppliers Each of our business divisions holds briefing *2 Compliance-related topics 2 in fiscal 2013 procurement sessions* for their major suppliers to inform policy briefing session: them of our procurement policy and strategy ● Prevention of corruption and every year. unfair competition The fiscal 2013 briefings were held under ● Request to participate in the conflict minerals survey the collaboration of the procurement depart- ● Promotion of Compliance ments of each business division, the Group Helpline Compliance Promotion Department, CSR Department, and Corporate Procurement Planning Department in CMIC Headquarters. The briefings explained which compliance is- sues to be aware of and requested cooperation from the suppliers.
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Respect for Human Rights
Data 1 Human Rights and Labor Diversity and Opportunity Section United Nations Global Compact Policy Page 56 See page 20. In all of its business activities, Olympus avoids Olympus supports the Universal Declaration discrimination on any basis, including race, of Human Rights, which was adopted by the beliefs, gender, age, social status, family Olympus Human Rights and Labor United Nations in 1984. In October 2004, background, nationality, ethnicity, religion or Policy (Extract) http://www.olympus-global.com/en/ we also joined the United Nations Global disability. csr/integrity/humanrights/ Compact, which requires signatories to up- hold and apply universal principles relating ● Equality of Opportunity for Men and Women to human rights and labor. Respect for hu- Olympus excludes any gender discrimination man rights is a management principle un- in terms of employment, promotion, and salary der the Olympus Human Rights and Labor increases, and actively promotes human re- Policy adopted in March 2005, which also sources who are equipped with highly special- requires our business partners to protect ized skills and a sense of morality. As of June 1, human rights. 2014, the number of female managers stands at 17 and 98 female employees are registered 2 Employees’ Human Rights as managerial candidates. Also, there is one female outside director as of the end of June Olympus respects the human rights of its 2014. employees and aims to be a good employer. *1 Olympus-Supportmate Corp. We comply with local laws in the countries ● Employment of Global Human Resources Established: April 1, 2009 where we are active, and we implement our Olympus actively employs skilled and tal- Address: policies in ways that are in harmony with lo- ented people and strives to place each em- c/o Olympus Corporation, cal characteristics. ployee in the position for which he or she is Technology Research Facilities Utsugi best suited, regardless of nationality. As of 2-3 Kuboyama-cho, Hachioji-shi, Responsibility Structure for May 31, 2014, two people with foreign na- Tokyo tionality were employed by Olympus Medical Employees: Human Resource and Labor 68 (as of April 1, 2014) Issues Systems Corporation, while Olympus Imaging Businesses: Corporation had one foreign director. Cleaning of business sites and offices, sales of fertilizers, etc. Olympus aims to energize both individuals and organizations. We are actively striving to cre- ● Employment for People with Disabilities *2 Special-purpose subsidiary ate working environments in which individuals Olympus is committed to providing amenable A subsidiary approved by the can achieve their full potential and achieve self- workplaces in which people with disabilities Minister of Health, Labour and fulfillment, by respecting the human rights of can enjoy working. Olympus-Supportmate Welfare under the provisions of individuals, and by recognizing the importance Corp.*1, a special-purpose subsidiary*2 es- Article 44 of the Act on Employment Promotion, etc., of Persons with of diverse values and individuality. tablished in April 2009, has created working Disabilities as an organization environments and working conditions that are that gives special consideration to the employment of people ■ Organization of Personnel and Labor Issues appropriate both for the nature of each indi- with disabilities and is deemed as vidual’s disabilities, and for operational require- President one business office of its parent ments. Olympus will continue to implement company. Human Resources Committee specific initiatives designed to expand employ- Director in charge of *3 Preventing harassment personnel and labor issues ment opportunities for people with disabilities, Olympus has established a Human Resources Subcommittee including active recruitment and the develop- consultation service to deal with Personnel Department ment of working environments. sexual harassment and power harassment complaints. Any ● information disclosed to consultants Facility Facility Facility Facility Respect for Individuals is kept strictly confidential and General Manager General Manager General Manager General Manager Olympus works to prevent any form of harass- cannot be disclosed to any other Managers of business divisions such as affiliates and business groups ing behavior*3 in the office, including sexual party. As part of its efforts to raise awareness of sexual harassment, *The President is ultimately responsible for personnel and labor is- harassment, which injures human dignity, and Olympus has produced a Sexual sues, while the director in charge of personnel and labor issues takes prompt and appropriate steps to resolve Harassment Prevention Guidebook, supervises individual activities. Since, in some cases, several sub- which is available to all employees sidiaries and in-house companies are located in one facility, each such situations should they occur. via the intranet. facility has its own facility general manager to ensure the compre- hensive implementation of policies and measures concerning per- sonnel and labor issues.
31 OLYMPUS CSR REPORT 2014 INtegrity Integrity in Society
3 Respect for Human ● On-Site Inspections of Suppliers’ Facilities Rights in the Supply Olympus Group Procurement Based on our “Request to Suppliers,” Olympus Policy Chain has created a supplier checklist with the assis- http://www.olympus-global.com/en/ Olympus respects internationally recog- tance of outside experts. Using this checklist, procurement/procurement/ nized human rights and will never condone we carry out on-site inspections of overseas forced labor or child labor in any country or and some domestic suppliers’ compliance with region throughout the world. social and environmental requirements. Since “Request to Suppliers” fiscal 2012 we require suppliers to take remedi- (English and Chinese versions) http://www.olympus-global.com/en/ Olympus Group al action concerning any deficiencies in relation procurement/supply/ Procurement Policy to important items concerning human rights. From the human rights viewpoint, we select The procurement policy of the Olympus Group suppliers and coverage areas to be inspected is based on the “Social IN” management phi- to continue to reduce CSR risks. losophy. In addition to disseminating informa- tion about our basic stance on procurement ■ PDCA Cycle for CSR Procurement within and beyond the Olympus Group, we are also working to strengthen compliance with laws, regulations and social norms. We have also adopted “Request to Suppliers,” a docu- ment defining our expectations toward suppli- ers in such areas as respect for human rights, Request to Suppliers compliance with laws, regulations and social (English version) norms, including the laws concerning the ex- clusion of antisocial elements, the prohibition *4 Conflict minerals of corruption, bribery and similar behavior, the The Democratic Republic of the promotion of fair and equitable trading, and Congo (DRC) and surrounding countries produce minerals such as consideration for the environment. tantalum, tin, tungsten, and gold. Our procurement policy is defined by these Armed groups in the DRC, where two sets of guidelines. Through our procure- the civil war continues, use these minerals to raise funds, causing ment activities, we strive to build and strength- human rights violations (child labor en healthy relationships based on fair, equitable and sexual violence), as well as environmental damage. In July 2010 and transparent trading with our suppliers, as the United States sought to cut our partners in harmonious coexistence and off this supply of funds to armed shared prosperity. ● Basic Stance on Conflict Minerals groups by introducing an amend- ment to its financial regulation law The Olympus Group affirms international ef- defining these four substances as CSR Procurement Initiatives forts to resolve the problems of conflict min- conflict minerals. Companies listed erals*4. On behalf of the Olympus Group, the in the United States that use conflict minerals are now required to submit ● Continuous Supplier Survey System Olympus Corporation participates in a commit- reports to the U.S. Securities and Olympus conducts yearly surveys of key sup- tee established by the Responsible Minerals Exchange Commission (SEC). Other moves by international organiza- pliers to check various aspects of their busi- Trade Working Group established by the tions, governments, NGOs and ness activities, including their financial situation, Japan Electronics and Information Technology industry organizations to solve this structures for the management of quality, costs, Industries Association (JEITA). Working to- problem include the publication of the Due Diligence Guidance delivery dates, and the environment (QCDE), gether with suppliers, we ensure transparency for Responsible Supply Chains of and CSR initiatives. in our supply chains and continue the procure- Minerals from Conflict-Affected and The scope of these surveys was expanded ment of parts and materials that does not sup- High-Risk Areas by the Organization for Economic Cooperation and in fiscal 2013 to include development and trial port human rights violations. Development (OECD). production suppliers and major overseas sup- pliers. Based on this survey, we will expand it into an improvement activity, including pro- Japan Electronics and Information Technology Industries Association moting the understanding of CSR in terms of http://www.jeita.or.jp/english/index. procurement. html
OLYMPUS CSR REPORT 2014 32 INtegrity Integrity in Society
Respect for Human Rights
4 Human Rights Due Theme:
Human Rights Due Diligence Diligence Human rights issues that should be targeted Workshop by Olympus http://www.crt-japan.jp/EN/files/ Olympus is working to identify issues relat- Date: Thursday, July 18, 2013 human_rights_due_diligence/intro. ing to human rights through dialogue with Venue: Conference room, Shinjuku Monolith html Participants: multiple stakeholders. Hiroshi Ishida Professor, Institute of Business and Accounting, Participation in the Human Professional Graduate School, Kwansei Gakuin University Rights Due Diligence Executive Director, Caux Round Table Japan Kaori Kuroda Workshops Executive Director, CSO Network Japan In 2012, Olympus took part in the Human Makoto Teranaka Visiting Professor, Faculty of Contemporary Law, Tokyo Rights Due Diligence Workshops organized Keizai University by the Caux Round Table Japan. We clarified Olympus Corporation some of the critical issues in each business Hitoshi Ezaki (General Manager, CSR Department) sector through this workshop. Minoru Matsuzaki (CSR Department) Shuuichi Hada (Manager, Corporate Procurement Planning Department CMIC Step 1 Gaining some insight into issues of Headquarters) business and human rights Gaisuke Noguchi (Corporate Procurement Planning Department CMIC Headquarters) On three occasions since September 2012, we par- Facilitator ticipated in dialogues with representatives from 11 Yoshihiko Yamabuki NGOs and 39 companies (including Olympus) to General Manager of Corporate Communication Dept., deepen our understanding of human rights. Adviser of CSR Innovation Room, Cetus & General Press Inc. (Department names and titles as of July 2013) Step 2 Working together to identify key human rights issues by sector We worked together with other companies to iden- tify key human rights issues in each sector, using worksheets based on the Human Rights Guidance Tool formulated by the United Nations Environment Programme Finance Initiative (UNEP FI) in November 2011. Following the four dialogue sessions held in Participation in Conference on 2013 Dialogue by Experts 2012, and a public consultation on its draft, “Human concerning Human Rights Issues Rights Issues by Sector (2012)” was issued. CSR and Risk Management http://www.olympus-global.com/en/ common/pdf/duediligence-dialog. In September 2013, Olympus took part in the pdf Efforts to Identify Human Rights Conference on CSR and Risk Management. In Issues within Olympus the exclusive session, we participated in the discussion on CSR risks that should be consid- 2013 Conference on CSR and Risk Management In fiscal 2013, efforts made to address human ered when conducting human rights due dili- http://www.crt-japan.jp/EN/ rights issues within Olympus were reviewed gence with the key persons who took a leading press/130905_Conference_E.html and reorganized. In July, we also conducted role in implementing the Guiding Principles on a dialogue between the CSR Department, Business and Human Rights in the world*, and *Key persons who took a leading role in implementing Group Procurement Planning Department, and shared information on the current situation in the Guiding Principles on outside experts. Through this meeting, the ex- Japan and other Asian countries. Business and Human Rights perts provided us with useful feedback on our in the world are as follows: current efforts and advice for future activities, Puvan Selvanathan, UN Working Group on the issue of Human such as reinforcement of procurement audits Rights and Transnational and comprehensive procurement tracking, Corporations and Other Business improvement of the conflict mineral question- Enterprises; Roger D. Branigin, Executive Director of Global naire, and organizational reinforcement against Corporate Community of Practice human rights risks. (GCOP); Sandra Atler, Former Chair of ISO 26000 NGO Stakeholder Group.
Workshop participants
33 OLYMPUS CSR REPORT 2014 34 Integrity in Society in Integrity
Human Rights Issues by Sector v.2 Human Rights Issues by http://www.crt-japan.jp/files/ documents/HR_DD(2013)_ Report_E.pdf Hiroshi Ishida Hiroshi Executive Director, Japan Caux Round Table INtegrity OLYMPUS CSR REPORT 2014 REPORT CSR OLYMPUS I look forward to seeing how Olympus will de- seeing how Olympus to forward I look Endorsement 2013 Statement of Human Rights Due Diligence Status Check confirms that Japan herewith Caux Round Table Olympus Corporation has understood a holistic shown as the framework of Sustainable approach Navigation, and undertook the following activities. Olympus Corporation participated in a series of at the Human Rights Due Diligence Workshops Nippon CSR Consortium. During the workshops, Olympus contributed to identifying human rights to the value chain of the manufac- issues related while sharing expertise with other turing sector, companies, NGOs and ex- different members from perts. In addition, at the individual company level, Olympus has mapped existing CSR activities, and had a dialogue with experts. actions. termine policy and put this into concrete L STEP the report Reviewing research, development, design research, capital investment, procurement manufacturing production, storage, logistics distribution, sales and marketing consumption, utilization disposal, recycling
Review
Identify Prioritize Do Check Report Among various product families in electronic components, ferrite families in electronic Among various product chain was focused on. selected and their value (parts) were products
HRDDWS Materiality Action Review Report Sustainable Navigation* Activities at the 2013 Human Activities at the Rights Due Diligence Workshop *For the details of Sustainable Navigation: See http://www.crt-japan.jp/EN/files/Holistic_Approach/intro.html ■ Step A Step B - pro Based on the Human Right Issues by Sector products duced in fiscal 2012, we specified intended issues and services and assessed the human rights ticipated in the Human Rights Due Diligence Diligence Due Rights Human the in ticipated multiple stakehold- 2013, which is a Workshop by Caux Round held er engagement program our understanding and furthered Japan Table of human rights issues. with Since July 2013, we conducted two dialogues including those from a total of 10 representatives, We NGOs, NPOs, universities, and other experts. on possible human right infringe- attended lectures ments liable to corporate activities and understood the dialogues. of through other issues to be aware Following on from fiscal 2012, Olympus par fiscal 2012, Following on from INnovation Creating Innovative Value Delivering Innovative Value
1 Product and Service ● VOC*2 and VOC Shower Activities in the Creation from the Imaging Business Segment Customer support centers and repair centers Customer’s Perspective of Olympus Imaging Corporation receive some We gather information through manufactur- 20,000 inquiries and comments from custom- *1 Design and manufacturing reflecting customers’ ing research and by listening to the com- ers every month. From these comments, we comments ments and views of users of Olympus prod- can identify gaps between the needs of cus- New products and services ucts. This customer input is then applied to tomers and the products and services provided reflecting customers’ comments our manufacturing activities. The CAPD cycle in VOC-basedby Olympus. In order to eliminate such gaps business management Customers by reflecting customers’ inputs into our prod- Evalua- Communication Research and Require- tion & with C ucts andanalysis services, we compile complaints and Inquiries Proposals ments Com- Customer-Focused customers Identifying ments Manufacturing VOC requestsissues directly expressed by customers into Communi- 3 Face to cation by HP E-mail D the VOCA Shower* newsletter, made available Face Telephone VOC-based Delivery of We use methods based on the characteristics business to VOCall issues employees—including the President and Marketing products and management departments and services Cus- sales companies of each business unit to reflect customer input directors. VOC Shower functions as a means Show- tomer in Japan 1 P Support Overseas rooms in the products and services* that we create. Business for employeesDecision- to gain insights into the thoughts, Centers subsidiaries Planning strategies making and agents We have also raised the level of ourand activities Product feelings,Sharing and expectations of customers and execution strategies information by establishing interfaces for the sharing of in- enable them to apply such knowledge to new Discussions in Corporate culture based on customers’ standpoint relevant departments formation among our business units, allowing product development and better services. Marketing and Sales each unit to learn from successful initiatives Usability Development and evaluation Design Planning implemented by other units.
Reflecting customer comments in products and services
Approaches to provide products that can earn customers’ satisfaction
VOC Response Case Studies New products and services *2 Aims of VOC activities reflecting customers’ comments The CAPD cycle in VOC-based Making the Best Use of a Large Aperture Lens business management Customers Evalua- Communication Research and Require- tion & with C analysis We received the following comment Inquiries Proposals ments Com- customers Identifying ments VOC issues from a user of an OLYMPUS OM-D Communi- E-M5, a mirrorless SLR camera Face to cation by HP E-mail D A Face Telephone VOC-based launched in 2012. Delivery of business VOC issues “Design, quality, operability, and Marketing products and management departments and services response are all excellent. The EVF is Cus- sales companies tomer in Japan Show- P very clear, and the body is compact Support Overseas rooms Business Decision- Centers subsidiaries Planning strategies making enough to carry around easily. I really and agents and Product Sharing execution strategies information enjoy shooting photographs with this camera. However, a shutter speed of Fast mechanical shutter Discussions in Corporate culture based on customers’ standpoint relevant departments 1/4000 second at ISO 200 is too slow OLYMPUS OM-D E-M1 with a maximum speed of Marketing and Sales to make the best use of a large aper- 1/8000 second Usability Development and *C: Check, A: Action, P: Plan, D: Do evaluation Design Planning ture lens. It would also be useful to have a focus-peaking function.”
Reflecting customer comments This request was actually incorpo- in products and services *3 VOC Shower activities rated in the OLYMPUS PEN E-P5 and Period: the OLYMPUS OM-D E-M1, mirrorless Approaches to provide products that can earn customers’ satisfaction July 2011 through March 2014 SLR camera launched in 2013, both of- Frequency of publication: fering a shutter speed as fast as 1/8000 Bi-weekly second at ISO LOW (equivalent to ISO Delivered to: 100). This enables shooting photos President, directors and all with lovely soft-focus backgrounds by Left: F3.5 at 1/4000 shutter speed with ISO 200 employees Right: F1.8 at 1/8000 shutter speed with ISO LOW (equivalent to ISO 100) VOC cases covered in VOC Shower: making the most of a wide maximum 2,500 aperture even in bright daylight. These Number of times viewed by cameras are also equipped with a employees (cumulative total): focus-peaking function that helps when 52,468 focusing manually.
35 OLYMPUS CSR REPORT 2014 INnovation Creating Innovative Value
2 Quality Assurance 3 Quality Evaluation at the Development Stage With the aim of providing high quality and useful products and services to our cus- One of the ways in which Olympus ensures tomers, the Olympus Group endeavors to that its products and services can be used ensure quality through a range of activities. with confidence by customers is through quality checking, including checks based Quality Philosophy on various international certification stan- dards. We have established systems for this The Olympus Group realizes its quality philoso- purpose, and we are continually working to Quality Philosophy phy by ensuring that all employees approach improve those systems. http://www.olympus-global.com/en/ their manufacturing and service tasks from the csr/innovation/quality/policy/ customer’s perspective. Enhancing Quality Evaluation *4 EMC Electromagnetic Compatibility Quality-Related Organizational Electromagnetic compatibility (EMC) Structures Olympus places particular importance on quali- testing is carried out to ensure that ty evaluation at the development stage, which is electrical and electronic equipment We have developed quality assurance systems the starting point for manufacturing. Measures will not emit electromagnetic noise that exceeds acceptable levels and that reflect the characteristics of each business to ensure product quality at this stage include could affect other equipment, and segment. We use these systems to achieve the calibration, EMC*4 and safety testing, usability that it will not malfunction when required quality standards through quality im- assessment, mechanical and environmental exposed to such emissions. provement activities at all stages from develop- testing, and materials analysis. *5 10 m wave anechoic chamber ment through to production, sales and repair Olympus’s 10 m wave anechoic services. In addition, we have also established chamber is one of the most the Corporate Quality Assurance Department, advanced facilities of its type in the world and has been certified for use which works across all business segments. Its in electromagnetic testing under task is to assess quality management activities the National Voluntary Laboratory in each business segment and report its find- Accreditation Program (NVLAP) of the United States. ings to the President. It was also the first safety testing facility for electromedical devices in Japan to be certified by the Japan Accreditation Board for Conformity Quality Evaluation at the Development Stage Assessment (JAB) under ISO/IEC 17025:2005* in 2005, which is the international standard for the Calibration years, and related regulations expectancy. Tests include a vi- certification of testing facilities. As a Calibration is a process used to were enforced in various coun- bration test, drop test, and testing laboratory accredited under maintain the accuracy of mea- tries. We test our products in a environmental tests, including the ILAC-MRA system, this facility is also used to conduct compliance 5 suring instruments by ensuring 10 m RF anechoic chamber* operational humidity and temper- evaluations for electro-medical that all components are function- built in 2004. ature, to confirm that products will equipment under the IEC 60601-1 ing correctly. The precision of maintain their performance and standard. measuring instruments can vary Usability Evaluation have sufficient strength and life. *ISO/IEC 17025:2005: This standard from day to day in response to Multifunctional high-tech prod- defines general requirements changes in environmental condi- ucts are complex to operate, and Materials Analysis tions. As an entity certified under some people experience usability Olympus not only analyzes and the Japan Calibration Service problems. Olympus aims to sup- assesses parts and materials, System (JCSS), Olympus care- ply products and services that but also uses various analytical fully monitors errors caused by provide optimal usability for as systems to identify defects and these changes and applies ap- many people as possible. other issues through detailed proved calibration methods to its analyses carried out after prod- measuring equipment. Mechanical and Environmental ucts have been brought to Testing market. Findings from these Electromagnetic Compatibility Taking account of various condi- analyses are used to eliminate 10 m wave anechoic chamber and Safety Testing tions of usage, storage, and the causes of problems and pre- The significance of EMC is being transportation, mechanical tests vent recurrences. recognized more widely in recent assess product strength and life Olympus Ways http://www.olympus-global.com/en/ technology/way/ For more details about Olympus’ manufacturing and approach to provide innovative value, see Olympus Ways.
OLYMPUS CSR REPORT 2014 36 INnovation Creating Innovative Value
Delivering Innovative Value
Business 4 Improving Customer Fields Customer Response *1 Calls received at Customer Support Centers Service Widening the Scope of Products Covered by the Customer Support Center Imaging Medical Systems Microscopes (Calls) Olympus has developed systems to re- The Customer Support Center, operating under 219,189 214,926 Scientific the Scientific Solutions Business, has expanded 205,644 209,546 spond promptly and appropriately to inqui- 197,361 Solutions the scope of its support for microscopes and 1 industrial endoscopes to non-destructive testing 146,120 ries from customers* and provide timely 121,450 125,016 128,083 equipment, laser interferometers, micro- 117,933 repair services in the event that faults occur spectrophotometers, EE cleaning liquid, and in our products. We are also continuously X-ray analyzers. 17,054 16,976 15,353 18,099 18,700 improving our customer services. Seven Day Allocation of Call Center Staff 2009 2010 2011 2012 2013 (Fiscal year) *Excluding system maintenance days and year Customer Support System end/New Year holidays Enhanced Telephone and E-mail Support per Product Category Working with overseas subsidiaries and dis- Imaging We constantly check and improve customer tributors, the Olympus Group owns a global satisfaction through secret surveys by external network to provide customer support based on organizations and customer questionnaires, as well as by enhancing the communication skills product characteristics. Our websites are also and product knowledge of call center staff designed to provide clear information about members. points of contact for inquiries for different prod- ucts in different regions.
Repair System
■Customer Response Structures in Each Product As part of our efforts to ensure user confidence Important Notice Field (Japan) (Only in Japanese) in Olympus products, we have established a http://www.olympus.co.jp/jp/info/ Business Fields Customer Response dedicated website where users can view im- qinfo.jsp portant announcements and customer support Olympus has developed service systems designed to ensure the safety and reliability about our products and services. To minimize Customer Support of medical equipment. repair times and costs, we have developed a (Only in Japanese) ● Technical support for inquiries concerning handling of tools, troubleshooting, etc. repair service network to meet user needs in http://www.olympus.co.jp/jp/ Medical support/index3.jsp ● Specialist teams for endoscopes, cleaning, each region and product category. sterilizing, and filing ● Prompter responses to inquiries from frontline medical workers through liaison between call Microscope Seminars centers and regional support staff (Only in Japanese) http://www.olympus.co.jp/jp/ Customer Satisfaction Improvement showroom/technolab/tokyo/plan. Activities at Customer Support Centers cfm ● Provide feedback to development, production, and marketing departments, including minority comments ● Providing optimal solutions to differing requirements and enhancing related skills ● Centralized response to e-mail and telephone inquiries and management of related information Microscope Seminars ● Hosting and promoting Olympus Microscope Scientific Seminars Solutions ● Dispatching lecturers to biology and clinical laboratory science classes in universities and technical schools More about Our Microscope Seminars Olympus Microscope Seminars provide many customers with opportunities to learn about the fascinating world of microscopy and how to use their microscopes more effectively. We increased the number of seminars on polarizing microscopes used for asbestos testing in particular to respond to needs from analysis technicians. We also offer on-site microscope seminars to universities and technical schools to disseminate basic knowledge of microscopes.
37 OLYMPUS CSR REPORT 2014 INnovation Creating Innovative Value
■ Repair Service per Business Field and Improvement Efforts (Japan) *2 Endoscope repair service Medical Business *2 networks fails or is being repaired, Medical Service Operation Overhauls* are available at the Minimizing Downtime During Endoscope Failures Center Shirakawa centrally manages repairs and courtesy following locations: To minimize endoscope downtime when an endoscope equipment. Japan: Medical Service Operation Center Shirakawa, and the Medical Science Solutions Business Service Operation Center Nagano Overseas: Service centers in the Back-to-Base Repair Services for Microscopes On-Site Repair Services for Microscopes United States, Germany, France, Czech Republic, United Kingdom, Back-to-base repair services are provided for small equip- Technical staff specializing in microscopes are based in Tokyo and Osaka to provide on-site services, including China, India, etc. ment that is relatively easy to transport, or for items requir- *An overhaul involves the dismantling, ing major repairs or dismantling for inspection and repairs. maintenance inspections, calibration, repairs and relocation. inspection and repair of malfunctioning equipment. Repairing IPLEX Series Videoscopes and Fiberscopes Simple repairs to endoscopes and peripherals: One-Month Repair Period IPLEX Series videoscopes and fiberscopes are repaired in Available through a worldwide We aim to limit the turnaround time of microscope facilities equivalent to the manufacturing sites and within network of 200 repair sites repairs to within one month from the requested date, the same premises to ensure the same quality as factory- regardless of the type of repair. Minimization of repair shipped products. The target repair time is three weeks time and enhancement of after-sale services is a part from accepting products for repair at sales outlets. of our constant efforts for better customer satisfaction. For IPLEX Series products, a special maintenance con- Back-to-Base Repair Services for tract is offered to optimize customers’ lifecycle costs. Microscopes (Only in Japanese) http://www.olympus.co.jp/jp/support/ Imaging Business ind-micro/service/detail/leave.cfm
More Convenient Repairs through Various Services Improving the On-Time Rate for Back-to-Base Repairs Repair Service for Industrial We offer the following four services for more convenient Endoscopes product repairs: One of our target indicators for customer satisfaction is the on-time rate for back-to-base repairs. We are http://www.olympus-ims.com/en/ (1) Pickup service via website and telephone continually working to improve this rate through initia- service-and-support/service-centers/ (2) On-line repair booking and estimating service tives that include a review of service procedures during Internet-based service that enables customers to book re- busy periods. pairs, and check estimated costs and progress of the work. Repair Service for Imaging Products (Only in Japanese) (3) Flat-rate system for repairs ■Percentage of Repairs Completed within http://www.olympus.co.jp/jp/ For compact digital cameras and IC recorders only. the Allotted Time support/cs/digital/service/ A single charge repair service that includes both technical services and parts (excluding consumables and accessories). (%) (4) Quick Repair Service 100 Olympus Personal Information A repair service for mirrorless SLR camera bodies and in- 80 Digital compact cameras Protection Policy (Translation) http://www.olympus-global.com/en/ terchangeable lenses to minimize repair time. 60 Digital SLR cameras privacy/policy.jsp We also offer special repair services for Olympus prod- Audio 40 ucts (personal products) in communities covered by the 2009 2010 2011 2012 2013 Disaster Relief Act. (Fiscal year) Information Security Policy (Extract) http://www.olympus-global.com/en/csr/ innovation/cs/management/security.jsp Information Management In addition to organizing information control systems and regulations, we implement a *3 Major information security The Olympus Group recognizes the impor- range of measures to reinforce the efficacy of measures 3 ● Building and floor access control tance of protecting information in today’s net- information control* to ensure protection of in- using authentication systems work society and believes that it is the Olympus formation assets and respond to the trust from according to different security levels ● Network protection measures by Group’s social responsibility to handle and pro- our stakeholders. comprehensive implementation of tect information appropriately. The Information Security Promotion anti-virus and firewall functions Committee was established to support the ● Computer system security ● Personal Information Protection measures including software activities of the CSR Committee. The informa- vulnerability countermeasures Olympus handles personal information con- tion security plan created by this committee is ● Easy-to-access intranet publication cerning its customers and other stakeholders of company regulations, educational implemented across the company. documents, and case studies using appropriate methods in accordance with concerning information security its Personal Information Protection Policy. E-Learning Programs on Information Security ● Distribution of an emergency card for use in the event of loss or theft Number of Participants Attendance Rate of mobile devices ● Information Security Activities July 2012 11,126 99.8% ● Regular security education for Olympus specifies Information Security Policy directors and all employees and Personal Information Protection Policy as a February 2013 10,868 99.8% ● Information security awareness July 2013 10,970 99.9% raising through various events, part of means to provide safe and high quality such as Information Security Month products and services. February 2014 11,041 99.8%
OLYMPUS CSR REPORT 2014 38 INnovation Creating Innovative Value
Working Environments with Vitality
1 Human Resource ● Advanced Technician/Engineer Incentive *1 Olympus College Development, System The Olympus College offers over 250 Olympus has an advanced technician/engineer courses centering on management Fair Assessment incentive system to systematically improve and training, business training, technical training and global training. Olympus defines corporate value as the pass on technical and practical skills over gen- Employees can take courses that sum of the values of each individual. We erations of workers. reflect their own needs. therefore aim to develop and implement hu- The level of skill is evaluated by the Skill man resource management systems that Level Evaluation Table, and employees that Number of Advanced Technicians/Engineers allow every individual employee to achieve meet the qualification requirements are award- Fiscal Year 2011 2012 2013 2014 growth and realize his or her full potential. ed the special title of Advanced Technician/ No. Newly 6 7 6 11 Engineer and receive a bonus. As of April 2014, Qualified there were more than 100 such qualified tech- Total Management by Objectives/ Qualified 164 171 177 188 Assessment Systems nicians working for Olympus. *Total number qualified includes the num- ber newly qualified for that year. ● Encouraging Challenge and Growth with 2 Creating Free and Open MBO-S Workplace Environments Olympus has based its human resource man- agement systems on the belief that a compa- Olympus fosters a free and open corporate ny’s performance consists not only of its busi- culture based on mutual respect for individ- ness results but also of the growth achieved uality and diversity, in which individuals can by individual employees. This is reflected in the express doubts and opinions in the spirit of emphasis placed on independent challenges cooperation. and growth. One of the key systems for this purpose is MBO-S (Management by Objectives Corporate Culture Reform and Self-Control). Under this system, employ- Project ees create their own themes for business operations and skill development within the With the aim of understanding the status of framework of policies set by senior manage- our corporate culture and to utilize the insight ment. Employees and supervisors plan and gained to make further improvements, we implement initiatives based on these themes conducted a questionnaire survey in 2012 of *2 Corporate Culture as work targets. over 6,000 employees.*2 In 2013, we com- Questionnaire Survey piled comments from the questionnaire results This survey covered all 6,000 ● Fair and Reasonable Treatment by employees and the labor union and lead a employees of Olympus Corporation, Olympus Medical Systems Corp. Salaries and bonuses reflect each individual’s discussion about the preferred corporate cul- and Olympus Imaging Corp., and the activities. The criteria used are the level of ture. This developed into Oly-Com, a corporate effective response ratio was 97%. achievement under the MBO-S system and the culture reform project lead by the management skill displayed in work activities. Because cor- of each business division, which commenced porate performance depends on the contribu- activities in January 2014. tions made by employees, the funds available for bonuses are linked to business results. Dialogue between Senior Management and Employees Skill Development System Olympus actively holds town meetings for the ● Olympus College direct exchange of views between senior man- Olympus recognizes that people are the most agement and employees. By fiscal 2013, the important driving force for the improvement of Group Chairman and President had held a total corporate value. We established the Olympus of 100 meetings in seven countries with more College*1 as an internal education structure than 1,000 employees attending. A town meet- that values individuality and develops pro- ing is an important opportunity to inform em- fessionals with the ability to adapt quickly to ployees directly about management thinking changes in the business environment. and aims, and to absorb information, including employees’ views and workplace issues.
39 OLYMPUS CSR REPORT 2014 INnovation Creating Innovative Value
3 Safety and Health range of health examinations available. We have also created an environment in which em- *3 Health Promotion Activities Olympus has a strong commitment to ployees have access to advice about mental ● In addition to the regular health checkups, cancer examinations are the health and safety of its workers and health and the alleviation of lifestyle diseases.*4 also available. The Health Insurance Association meets most of the cost of is determined to provide environments in cancer examinations, which are also which individual employees can work with Data available to dependent family members 4 Creating Energized Section for a fraction of the cost. confidence. Page 57 ● Employees aged 35 or older can take Working Environments optional endoscopic gastrointestinal and colorectal examinations. Data ● Breast cancer and cervical cancer Occupational Safety and Section Olympus helps its employees to enjoy ac- examinations are available for female Health Management Page 56 tive and fulfilling family and social lives. We employees of all ages. have established a variety of systems in ● For the early identification and treatment of colon cancer, colonoscopy has been ● Promoting Occupational Safety Activities consultation with employees and unions. available since fiscal 2007 in addition to occult blood tests. Since fiscal 2009, The Safety & Health Promotion Committee has endoscopic colorectal examinations been established under the CSR Committee. were made available to all employees Helping Employees Enjoy Their aged 35 or more upon request. This committee promotes safety and health Work and Home Lives Approximately 2,000 employees activities throughout the Olympus Group and received the examinations in fiscal 2013. ● Brain scans and dental examinations are works to prevent recurrences of problems by The following systems and measures have also a part of the health checkup menu, promoting overall health checkups sharing information about initiatives by group been implemented in Japan. among employees. companies, the causes of accidents, and ● Apart from mental health counseling services within the Olympus countermeasures. ● Promoting Work-Life Integration organization, employees have free access to counseling services Led by the Safety & Health Committee, To enable employees to exhibit their full po- throughout Japan. These services are each company and business facility carries out tential and maintain active careers, Olympus also available to employees’ families. ● Health Examination System is accessible various activities designed to eliminate hazards promotes work-life integration that supports to dependents of employees aged 30 and older. Family members can take from the workplace and improve the health employees’ work-life balance and enhances examinations at a reduced cost. environment, including safety and health risk their synergies. We also offer various ways of assessments, regular patrols, and road safety working*5 for employees to continue their jobs *4 Support for Lifestyle education. in a diverse manner, such as part-time working Improvements schemes exclusive to Olympus that offer better In cooperation with the Health Insurance Association, Olympus arranges various ● Systematic Health Management conditions than the legal requirements. activities such as specific health advice, walking campaigns, exercise seminars, Implementation of comprehensive health man- quit smoking seminars, diet improvement agement across the entire Olympus Group is ● Welfare Cafeteria Plan seminars and health seminars. underway by appointing doctors, health work- Employees are allocated points each year and *5 The System for Promoting ers, and nurses. They offer general health ad- are able to use those points to obtain cash of Work-Life Integration vice, health checkups, and interviews to pre- payments by selecting from a menu of welfare ● Work at Home System vent health problems from overwork, as well as options according to their specific objectives. This system provides opportunities for a flexible approach to work by allowing private health counseling sessions. We provide additional support to employ- employees to work at home. ees for priority activities, such as language ● Reentry System This system gives employees the Health Promotion Activities studies, visits to relatives requiring care and opportunity to return to an active role in Olympus after they have previously bathing assistance, and for baby-sitting and resigned due to circumstances, such as a ● Health Promotion Activities*3 daycare facility fees. spouse’s work transfer or the need to care for children or aging relatives. Olympus helps its employees to improve their ● Task Flex System health so that they can enjoy greater fulfillment ● Refresh Plan This system allows executives who temporarily need to devote their in their lives. In cooperation with the Health The Refresh Plan is designed to reinvigorate energies to childcare or care for aging relatives to reconcile their work and care Insurance Association, we have expanded the long-service employees and renew their moti- responsibilities by setting aside their vation for work. Special paid leave and bonus- executive tasks for a specific period. ● Reduction of Working Hours es are offered to employees after seven years This system exceeds the statutory ■Health Promotion Cycle Based on and 20 years of continuous service. In addition entitlement to reduced working hours Lifestyle Improvement for childcare purposes (two hours until to this paid leave and bonus, employees aged the end of April in the child’s first year Evaluation of health Health guidance of elementary school, one hour until the Regular checkup results based on results 55 can attend a seminar with their wives or health end of April in the child’s fourth year of checkups partners to help plan their post-retirement lives. elementary school). Reduced working Lifestyle improvement hours are also available for employees planning caring for aged relatives. Olympus also operates its own working hour reduction program for pregnant employees. ● Lifestyle improvement (diet, exercise, etc.) ● Development of physical strength, health promotion
OLYMPUS CSR REPORT 2014 40 INvolvement Social Involvement Harmony with the Environment
Data 1 Environmental Promotion System for Section Management Environmental Management Page 58 Olympus has established an organizational Olympus Group Environmental We are working under the Olympus Group Charter Environmental Charter to maintain a healthy unit responsible for the promotion of environ- http://www.olympus-global.com/ environment and contribute to the creation mental management in group companies and en/csr/involvement/management/ principle/ of a society capable of sustainable de- business units. The Quality & Environment velopment by establishing environmental Administration Division is also working to pro- management systems and reducing envi- mote environmental management throughout ronmental loads. the Olympus Group. We regard our environmental management Olympus Group systems as essential environmental manage- Environmental Charter ment promoting tools. Our major production fa- cilities, as well as logistics and sales subsidiaries The Olympus Group Environmental Charter in Japan and overseas, have been accredited was adopted in August 1992 (amended in with ISO 14001 certification. We are continu- October 2005) with the aim of defining our ously improving our environmental manage- basic philosophy on environmental issues and ment systems through audits and other means. linking that philosophy to concrete action. We place great importance on the reduc- ■ Environmental Management Structure Board of Directors and tion of environmental loads throughout prod- Executive Management Committee uct life cycles, and we are actively working to President create environmentally-conscious products, to Director Responsible for consider the environment at our business sites, Environmental Affairs and to improve the environmental performance Environmental Management Supervisor of our logistics processes. Progress on these Olympus Group initiatives is reviewed by the Board of Directors Olympus Group Environmental Environmental Committee Management Division (Olympus Group and the Executive Management Committee as Environmental Secretariat) Eco-Products Approval part of efforts to achieve environmental load re- Committee
duction targets through continual improvement. Business Group Facility Environmental Environmental Local Overseas Management Management Subsidiaries Organizations Organizations
Summary of Results of Activities in Fiscal 2013 Priority Policy Target Results Future Plans Improvement of systems and processes to ensure Reinforced management of Improving management Promotion of Compliance with compliance with environmental environmental law compliance system by closer global liaison environmental environmental laws management laws Provided environmental risk Education on compliance with education to all employees in Enhancement of environmental environmental laws Japan education Created environmentally- Continuous creation of Increasing the cumulative total conscious products in all environmentally-conscious of Olympus Eco-Products business areas products Cumulative Total of Olympus Environmental Eco-Products initiative Reduction of throughout environmental Energy consumption rate: Energy consumption rate: Continuous reduction of 503 product life loads Reduced more than 1% Improved by 2.9% environmental loads through cycles (in Japan, compared to fiscal (in Japan, compared to fiscal improvement of production 418 efficiency and environmental 2012) 2012) improvement activities
The Olympus 286 Eco-Product mark Global implementation of Raising of environmental educational activities to raise Raising environmental Promotion of environmental awareness environmental awareness through awareness through 130 communications revitalization of environmental Sharing activities through continuous environmental Environmental communications internal exhibitions (22 sites in communications education and 40 Number of products Japan and overseas) 3 awareness raising Environmental contribution Conducting environmental 2003 2005 2007 2009 2011 2013 Social contribution activities under the theme of activities at each site Continuing environmental (Fiscal year) activities for global “Water Circulation—Protection activities through business environment of Forests, Rivers, and Activities under the theme of operations Oceans” “Ocean Legacy Project”
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Compliance with legally-compliant countermeasures, such as Environmental Laws replacing the contaminated soil with clean material and preventing the contaminated soil In fiscal 2013 there were no environment- from dispersing through air and water. Olympus Group Control Rules for related lawsuits, fines or penalty charges. Environment-Related Substances Neither was there any leakage that could Global Warming Prevention Used in Product http://www.olympus-global.com/ cause significant environmental impact beyond Measures en/csr/involvement/management/ the business premises. chemical/ ● Monitoring and Responding to the Impact Control of Chemical Substances of Climate Change on Business Activities Used in Products The Olympus Group recognizes that climate change could affect our business activities as In recent years, governments worldwide have follows. tightened regulations relating to the reduction Laws and regulations could be strengthened or control of chemical substances that affect in such areas as the energy efficiency of human health or the environment. products and emissions trading. Olympus has established the Environmental Increased frequency of typhoons, flooding Regulation Liaison Committee as an internal and other disasters could cause delays in the forum for the sharing of information on envi- procurement of raw materials and parts. ronmental regulations, and for deliberations on related measures. We established the Control We are working to address these impacts by Rules for Environment-Related Substances monitoring changes in the laws and regulations Used in Products. We rigorously control in Japan and other countries, and by diversify- chemical substances according to control ing our procurement networks. levels based on local regulatory requirements, Data such as the RoHS Directive and REACH etc. ● CO2 Emissions during Product Section in Europe, as well as other criteria, including Life Cycles Page 58 social trends. Olympus regards the reduction of CO2 emis- We also conduct in-house analyses on sions as a priority issue, and takes initiatives environment-related substances contained in reducing greenhouse gases over the entire in the materials and components used in our product life cycle. products. Information about environment- In fiscal 2013, we achieved a 20% reduc- related substances in procured products tion (on a year-on-year basis) through a com- is stored in a database and verified by bination of environmental initiatives, such as development and purchasing staff. This development of lighter, more compact and information is used to select or change more energy-efficient products, improvement materials, parts and suppliers as part of our of production efficiency, and modal shifts in our efforts to ensure that our products do not logistics. contain environment-related substances. Biodiversity Conservation Environmental Risk Management There is concern that the loss of biodiversity will have a serious impact on the global envi- Along with redevelopment our facilities, volun- ronment and our lives. tary inspections of soil and water were con- In fiscal 2013 Olympus continued environ- ducted on land owned by Olympus Corporation mental contribution activities, including water in Omachi, Nagano Prefecture, and the factory resources and green area management based of Aizu Olympus Co., Ltd. The inspections on our biodiversity conservation guidelines. found that some of the soil contained designat- ed substances beyond the permitted amount in both premises. We presented reports and held discussions with the administration, through which we are currently implementing
OLYMPUS CSR REPORT 2014 42 INvolvement 2 Environmental Initiatives throughout Product Life Cycles Olympus develops environmentally-conscious products and production technologies Social Involvement and supplies the benefits of that work to society. We assess environmental impacts and work to improve those impacts at every stage of product life cycles, including Harmony with the Environment development, procurement, production, sales and use.
Data Green Procurement Product-Related Initiatives/Olympus Product Life Cycle Assessments Section Page 58 Olympus published its approach to envi- We use the concept of Life Cycle ronmental activities as the Olympus Group Assessment (LCA) to identify each product’s ■LCA for the IPLEX RX/RT Green Procurement Standard and distributed environmental impact. Industrial Endoscope the Standard to all suppliers. We also con- In the industrial endoscope life cycle, for Disposal 0.0% Use 6.4% Disposal 3.0% Production tinuously improve the environmental initiative example, the raw materials and parts pro- Distribution 0.2% of raw Use 0.6% materials contents working together with our suppliers duction stage has the greatest environmen- Assembly of 14.7% parts 1.1% through surveys covering their environmental tal impact, while it is the distribution stage management systems and activities. in the digital camera life cycle. We are em- ploying optimal improvements appropriate Production Production of parts of raw Distribution Production Olympus Group Green Procurement Standard to each product. 29.4% materials 51.4% of parts (Japanese, English, and Chinese versions) 62.9% 29.7% http://www.olympus-global.com/en/csr/ involvement/products/procurement/ Assembly of parts 0.6%
Energy (total) 1,633 TJ (–6%) Office Supplies Electric power 136.30 million kWh (–1%) Copy paper 121 t (+16%) City gas 2.179 million m3 (–11%) LPG 694 t (+6%) Chemical Substances LNG 1,153 t (–3%) (PRTR substances handled) 39 t (–18%) Raw Materials and Sub-Materials Heavy fuel oil 315 kl (–18%) Metals (steel, aluminum, brass) Kerosene 37 kl (–25%) Water Plastics (optical plastics, ABS, PC, Diesel fuel 2,380 kl (–45%) Piped water 0.42 million m3 (–7%) polyethylene, polypropylene) Gasoline 30 kl (–16%) Ground water 0.76 million m3 (–5%)
INPUT
Procurement Research and Development Production
OUTPUT
Green House Chemical Substances 92,682 t-CO2 (–7%) 26 t (+15%) Gasses (total) (PRTR substances emitted)
Data CO2 generated 92,631 t-CO2 (–7%) Reducing CO2 Emissions Section from energy Discharge to Water Systems Page 59 CO2 not generated Water discharged 51 t-CO2 (+55%) 0.63 million m3 (–7%) CO2 emissions from our facilities in fiscal from energy (public waters) 2013 were reduced by 7% compared to the Water discharged 0.54 million m3 (–3%) previous year. Substances Emitted (sewage) We achieved this through streamlining NOx 90 t (–29%) BOD 2 t (+5%) production systems in Asia, improving the SOx 0.4 t (–18%) air conditioning system efficiency in the Hachioji facility, and continuous improve- Discharge ments to energy-saving activities in all our Waste discharged 3,859 t (–1%) facilities. Amount recycled 3,684 t (+1%) Most of the energy that we use consists of electric power. Initiatives to reduce power consumption include day-to-day energy conservation activities, the use of renew- able energy, loss visualization by means of Data electricity monitoring, and the development Conserving Water Resources Section of energy- and resource-efficient manufac- Page 59 turing technologies. These activities form an Water consumption in fiscal 2013 was re- of water used. In addition, we regularly important part of our efforts to improve the duced by 5% compared to the previous inspect facilities to ensure that all water environmental performance of our manufac- year. leaks are repaired. We also work to minimize turing activities. Olympus uses water to clean product environmental impacts by maintaining and We also utilize renewable energy in components. We develop manufacturing managing water treatment facilities and Japan and other countries, such as solar methods that help to minimize the amount monitoring the quality of wastewater. panels and purchasing green power.
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Product-Related Initiatives/Olympus Eco-Products
Under the Eco-Products Administration List of Certified Super Eco-Products ■LCA for the OM-D E-M1 Rules formulated in 2003, Olympus certi- http://www.olympus-global.com/en/csr/ Mirrorless SLR Camera Disposal 0.0% fies products that meet its own standards involvement/products/eco-products/listsuper.jsp Use 6.4% Disposal 3.0% Production for environmentally-conscious products as Distribution 0.2% of raw ■ Eco-Products System Use 0.6% materials “Olympus Eco-Products.” Assembly of 14.7% parts 1.1% In fiscal 2010, Olympus added new Super Eco-Products Standards environmentally-responsible design stan- Super Eco-Products must meet either one dards that are even more rigorous than the of the following requirements in addition to Super Production Production the Olympus Eco-Products Standards. Eco-Products of parts of raw Distribution Production Eco-Products Standards. Under these new materials 1. Compared to the predecessor as its 29.4% 51.4% of parts 1 62.9% 29.7% standards, products that make significant basis* , the rate of greenhouse gas emissions reduction is 50% or contributions to the reduction of environ- more*2. Eco-Products Assembly of parts mental loads are classified as “Super Eco- 2. Compared to the predecessor as 0.6% its basis*1, the rate of mass Products.” In fiscal 2013, 36 products were reduction is 30% or more*3. added to the list of Olympus Eco-Products, 3. Equipped with innovative bringing the cumulative total to 503, includ- environmentally-conscious technology. 4. Received environment-related awards ing nine Super Eco-Products. from outsiders. Use of Packaging 841 t (–55%) Materials (total) Olympus will continue these efforts to *1 Normally in comparison with FY2007 products *2 Calculated on an LCA basis Cardboard 499 t (–63%) reduce the environmental impact of every *3 Total mass, including the product, accessories and packaging Paper 175 t (–39%) product. As a manufacturer, we are deter- Plastic 115 t (–40%) mined to supply environmentally harmoni- Evaluation Items for Eco-Products Standards Metal 1 t (—)* ous products. ◎ Safety/environmental protection ◎ Energy conservation Glass 0 t (0%) ◎ Resource conservation (3Rs) Others 52 t (0%) ◎ Disclosure of environmental information *No use in previous year.
Transportation Fuel Only production facilities in Japan Global production facilities Transportation fuel (gasoline, diesel fuel, etc.) Difference in percentage from previous year in brackets
Logistics Sales Repair and Service Disposal
CO2 Emissions Major Products (total) 2,278 t (–33%) during Trans- 52,560 t-CO2 (–12%) Endoscopes 985 t (+19%) portation (total) Microscopes 579 t (+14%) CO2 (Japan) 1,898 t-CO2 (–2%) Digital cameras 577 t (–69%) CO2 50,662 t-CO2 (–12%) (international) Recorders 137 t (–37%)
Data Section Effective Use of Data Chemical Substance Safety and Control Resources Section Page 60 Page 59 Emissions and movements of PRTR sub- to be completely discontinued, limited use Waste emissions in fiscal 2013 were 1% stances in fiscal 2013 increased by 15% substances, and substances requiring ap- less than the previous year. from the previous year. propriate management systems. We will continue to enhance our resource Olympus specifies Control Rules for productivity through efforts on various lev- Environment-Related Substances Used in els, including the reduction of disposal in Products, based on the chemical regulation Logistics-Related Data Section landfills, the improvement of recycling ratios, trends across the world. In order to mini- Initiatives the reduction of processing losses, and the mize chemical substance emissions to the Page 60 design of products to minimize waste. environment, Olympus manages chemical Logistics-related CO2 emissions in fiscal substance usage under the four categories 2013 reduced by 12% over the previous year. specified in the rules: completely discon- Olympus is working to reduce trans- tinued substances, substances scheduled portation loads by reducing product and packaging weights. We are also cutting transportation-related CO2 emissions by Environment-related Substances Used in Manufacture Process Control Regulations improving transportation efficiency and http://www.olympus-global.com/en/csr/ expanding our modal shift to transportation involvement/products/chemical/basis2.jsp methods that produce less CO2.
OLYMPUS CSR REPORT 2014 44 INvolvement Social Involvement
Harmony with the Environment
3 Environmental Education • Basic Environmental Education (e-Learning) and Awareness Activities We provided this e-learning program for do- mestic employees to raise awareness of en- We hold regular programs to raise environ- vironmental risk management and recognize mental awareness among all employees, as individuals’ roles in our business. well as providing environmental education appropriate to each department. Outline of Basic Environmental Education (e-Learning) Participants All employees in Japan Environmental Education Period June 7 to 28, 2013 Completed by 11,020 employees Olympus provides environmental education for all employees. We also train internal envi- ronmental auditors for appropriate operation • Environmental Lectures of the environmental management system. An environmental risk management lecture was Educational programs tailored to business presented by an external expert to encourage characteristics and departmental functions are employees to recognize the environmental risks also provided. involved in business operations in each depart- ment and take actions to reduce such risks. Company-Wide Environmental Education Programs Implemented by Environmental Departments
Number of Seminar Seminars Number of Held Annually Participants
Training for ISO 14001 internal auditors 6 65
*These seminars are for Olympus Group companies in Japan.
Environmental Awareness Lecture on Environmental Risk Management
● Environmental Awareness Month Program Outline of Environmental Lectures
In June 2013 we launched the 38th Environ- Title Importance of Environmental Risk mental Awareness Month program. A num- Management and Its Implementation ber of programs were conducted across the Mr. Kazuki Satake, Lecturer Japan Environmental Management Olympus Group companies in Japan and other Association for Industry countries under the theme of “Raising Aware- Participants 195 ness of Environmental Compliance and Social Contributions for the Earth.” • “Lights Down Campaign” by the Ministry Main Activities in the 38th Environmental of the Environment, Japan Awareness Month We turned off lights in our premises on the • Global Environmental Photo Contest midsummer and July 7 evenings to support Global Environmental Photo The aim of this contest is to raise environmen- the “CO2 Emissions Reduction/Lights Down Contest http://www.olympus-global.com/ tal awareness. The theme was “Saving the Campaign” hosted by the Ministry of the en/csr/involvement/communication/ Blessings of Nature for the Future.” Environment. The campaign is to encourage photocon/2014.jsp The selected photographs were exhibited people to turn off the lights at illuminated facili- at 22 sites across the world. ties and people’s homes to support anti-global warming. Outline of Global Environmental Photo Contest Employees of Olympus Group companies Attendants and domestic affiliated companies, and their family members Period June 1 to 30, 2013 No of Entries 720
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Winning Entries in the Global Environmental Photo Contest 2013
Contest Overview Theme Saving the Blessings of Nature for the Future Views of forests, rivers, oceans, and vast fields. Also, the riches of nature, including the flora and fauna embraced by these environments
Photo exhibition within the company
Birth of a new life
Cross on the Klein Matterhorn
After the Storm
Nature of growing
OLYMPUS CSR REPORT 2014 46 INvolvement Social Involvement
Contribution to Society
1 Social Contribution Olympus will contribute to society in various other ways through the use of its management Policies and Activities Olympus Social Contribution resources, including its technology and hu- Policy Olympus will continue to use the manage- man resources. Our Social Contribution Policy, http://www.olympus-global.com/en/ ment resources gained through its business which we adopted in March 2005, focuses on csr/involvement/contribution/policy/ activities to help people enjoy better lives. four areas of social contribution: medicine and health, culture and the arts, the global environ- Social Contribution Policy ment, and natural science. It also encourages every employee to participate actively in volun- In addition to its contribution through business, tary activities.
Activities Relating to Support for the Japanese Foundation for Research and Promotion of Medicine and Health Endoscopy The Japanese Foundation for Research and Colorectal Cancer Awareness Promotion of Endoscopy, a public interest Campaign in Cooperation with incorporated association, was established Government Agencies to contribute to the development of medi- In February 2007, Olympus launched the cine and improvements for the welfare of Brave Circle Campaign to eradicate colorec- humankind by encouraging and subsidizing tal cancer. The aim of this campaign is to re- research into endoscopic medicine. It was duce the number of deaths from colorectal launched with a donation from Olympus in cancer by informing people in the target age 1982. Every year, Olympus gives donations group (40 and over) about the importance of to the Foundation to support its activities. having diagnostic checks. In July 2009, the In fiscal 2013, the Foundation provided re- Brave Circle Steering Committee was grant- search support to 48 recipients. ed the status of a non-profit organization (NPO), and the initiative has since evolved Other Activities to Increase the Public’s into a public service activity involving many Awareness of Endoscopic Examinations companies and organizations. ● Onaka no Kenko In fiscal 2013, Olympus provided some Dot Com 1,000 municipalities with explanatory book- To help the general
public understand Brave Circle Steering Committee lets on diagnostic checks to be enclosed with more about endo- (Only in Japanese) the letters sent by municipalities to their citi- scopes, we oper- http://www.bravecircle.net/ zens to encourage them to undergo medical ate the “Onaka no checkups, and also provided 173 municipal Kenko Dot Com” website, which departments in charge of fostering cancer presents informa- Onaka no Kenko Dot Com screening with the know-how and reference tion in layman’s (Only in Japanese) materials for the Colorectal Cancer Quiz. terms on top- http://www.onaka-kenko.com/ ics such as gas- Olympus actively supports these activi- trointestinal diseases, the importance of early ties as an official sponsor of the Brave Circle detection, and how to undergo an endoscopic examination. Steering Committee. The Japanese Foundation for ● Endoscopy Day on July 14 Research and Promotion of The Japanese Foundation for Research and Endoscopy Promotion of Endoscopy designated July 14 as http://www.endo-jfe.or.jp/e/ “Endoscopy Day” for the development and spread of endoscopic therapies, obtaining approval from the Japan Anniversary Association in July 2006. Onaka no Kenko Dot Com July 14 was chosen because “714” can be pro- (Only in Japanese) nounced “naishi” (“endoscopic”) in Japanese. http://www.onaka-kenko.com/ Supporting the organization Employees are supporting Olympus conducts a range of awareness-raising of a walking event for the events held jointly with activities on Endoscopy Day. elimination of colorectal cancer government agencies
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employees to work as volunteers for the Activities Relating to A DAY IN THE LIFE OF AFRICA Culture and the Arts committee. http://www.olympus-global.com/en/ Photos of more than 100 oyako (parent- event/DITLA/ child) groups taken at the Super Photo Toward Achieving the Millennium Session held on Oyako Picture This: Caring for the Earth 1 Development Goals (MDGs)* Day were displayed at (Only in Japanese) As an advocator of the eight goals to be Olympus’s photo galleries http://www.olympus.co.jp/jp/event/ attained by the international community, in Tokyo and Osaka. picturethis/ including the eradication of poverty and Production of a film ti- starvation, Olympus has been working to tled OYAKO began in 2013 Picture This: We Can End Poverty increase people’s awareness of the MDGs in commemoration of the (Only in Japanese) http://www.olympus.co.jp/jp/event/ using the power of photography and spe- 10th anniversary of Oyako picturethis2010/ cifically through the following events: “A Day Day in 2012, and Olympus Poster for Oyako Day in the Life of Africa (DITLA),” one of the big- has been giving its support. 2013 *1 Millennium Development gest photographic events of all time held in Goals (MDGs) 2002 and “Picture This,” the MDG-themed Overseas Photographic At the Millennium Summit held at the Field Work UN headquarters in New York City in photography competitions that Olympus September 2000, 189 representatives held in collaboration with the United Nations Olympus is giving support to the Overseas of UN member states, including 147 Development Programme (UNDP) and the Photo Field Work Program of the Nippon national leaders, adopted the United Nations Millennium Declaration as AFP Foundation (established by Agence Photography Institute (NPI), which is a pro- a commitment to working together France-Presse) in 2009 and 2010. gram to train documentary photographers. to build a safer, more prosperous In 2013, the eighth group of students and equitable world. The declaration and the development goals set at ■ Organization of a TICAD V took up the challenge of a continuous 183- the major international conferences Commemorative Photo Exhibition Jointly day photographic tour throughout Asia (10 and summits held in the 1990s were with JICA Yokohama summarized into the Millennium countries), and Olympus provided them with Development Goals (MDGs), which In 2013, Olympus held an exhibition of DITLA GPS-equipped compact digital cameras. show eight time-bound goals to be and Picture This photographic works jointly During the Singapore stage of the pho- reached by 2015, 21 targets and 60 indicators. with JICA Yokohama as a partner project for tographic tour, local staff from Olympus the Fifth Tokyo International Conference on Imaging Singapore Pte. Ltd. gave stu- African Development (TICAD V). We also ex- dents participating in the tour the opportu- hibited at the African Festa and Global Festa nity to hold exchanges with local students held by the Japanese Ministry of Foreign and citizens by staging a photo exhibition Affairs and cooperated with the Junior and a seminar at Glocal Connect Village at Logo for the MDGs Chamber International Japan, WASEDASAI, Temasek Polytechnic, an institute of higher and the Citizens’ International Plaza to in- education. After the students returned to *2 Oyako Day crease people’s Japan, the photos they had taken during the The Oyako Day initiative was awareness of the tour were exhibited at the Olympus photo a social action initiated by the photographer Bruce Osborn in MDGs. gallery. 2002 to encourage oyako (parents and children) to face each other and strengthen mutual ties on the fourth Sunday of July—Oyako Day (approved by the Japan Anniversary Association in 2005), which comes after Mother’s Day on the second TICAD V commemorative photo Sunday in May and Father’s Day on exhibition the third Sunday in June.
2 Oyako Day* In 2004, Olympus became the first corpo- Oyako Day Group photo taken at the exhibition venue in http://www.oyako.org/en/top.html rate supporter of the Oyako Day Promotional Singapore (Photo provided by NPI) Committee and has since been proactive in supporting the Committee’s activities by en- Overseas Photo Field Work gaging in its official events and encouraging http://www.npi.ac.jp/pfw/en/
OLYMPUS CSR REPORT 2014 48 INvolvement Social Involvement
Contribution to Society
Activities Relating to OWS, targeting el- the Global Environment ementary and junior high school students across Japan, and Environmental Conservation held an exhibition
Water Circulation and Forest, River and of the prize-winning “Tosshin (Dash)” winner of the Ocean Conservation photos and an award highest award for fiscal 2013 (Ms. Aya Yokoi, first grade In order to contribute to building a soci- ceremony. At the cer- at junior high school in Aichi ety capable of sustainable development emony, participants Prefecture) and to increase environmental awareness, were given the oppor- Olympus has been conducting localized en- tunity to learn more about the ocean through vironmental activities at its site, focusing on the photos of ocean environments taken by water circulation and forest, river and ocean professional photographers. conservation. ■ Conserving Coral Reefs ● Forest Conservation Olympus regularly organizes tree-planting programs, In June 2013, Olympus organized a coral- including fund raising as part of its contribution to planting and underwater photography proj- protecting local ecosystems. ect in cooperation with the Chura-Umi Save ● River Conservation the Coral Reef Organization, a non-profit Projects are regularly organized to remove litter from roads, parks and rivers across wide areas around organization. Olympus sites. ● Ocean Conservation Donation of Olympus/WWF* Calendars On the theme of “Ocean Legacy,” Olympus is conducting activities that include running a nature Since 1986 Olympus has been produc- school, organizing a photo contest and conserving ing Olympus/WWF Calendars and donat- coral reefs. ing them to WWF Japan. These calendars, which depict the wonders of nature and ■ Providing a Coastal Observation and are designed to raise awareness of the im- Photography Class portance of conservation, are sold at WWF In June 2013, Olympus organized a coastal Japan’s online PANDA SHOP, and proceeds observation and photography class for el- from sales are used for its environmental ementary and junior high school students conservation activities. in collaboration with the Oceanic Wildlife The photos in the 2014 calendar, the The Oceanic Wildlife Society Society (OWS), a non-profit organization. 29th in the series, depict Shiretoko and (Only in Japanese) Participants used Tough Series compact Yakushima, which are both World Heritage http://www.ows-npo.org digital cameras, sites. The incomparably unique nature pho- which provide ex- tos were captured by Mitsuaki Iwago, who cellent resistance to travels all over the world as a wildlife photog- water, dust and im- rapher, using an OLYMPUS E-SYSEM digital pacts, to photograph SRL camera to depict Nature in Japan in a and observe wildlife more deeply focused manner. *World Wide Fund for Nature and natural phenom- (WWF) Coastal photography class held ena in the coastal en- for elementary and junior high The WWF is a nature conservation school children organization that conducts activities vironment. They also in around 100 countries. It was made photo frames by using the seashells founded in Switzerland in 1961 to protect species at risk of extinction. and other materials collected in the cleanup Today it focuses on conserving activity conducted as part of the class. forest and ocean biodiversity, promotes the sustainable use of The 2014 Olympus/WWF Calendar natural resources such as wood ■ Organizing a Photo Contest on the and fish and the mitigation of global Theme of “Ocean Legacy” warming, working to build a society in which humanity and nature Olympus organized a photo contest on the coexist in harmony. theme of “Ocean Legacy” jointly with the
49 OLYMPUS CSR REPORT 2014 INvolvement Social Involvement
Activities Relating to Q?rius is a facility where students and gen- Natural Science eral visitors can experience how science is relevant to them and how they can develop the skills to become the scientists of tomor- Natural Science Observation Contest row through involvement with scientists and The Natural Science Observation Contest through observation of more than 6,000 The website of the Natural Science Observation Contest (Shizecon) is sponsored by the Mainichi kinds of specimens. The microscopic im- (Only in Japanese) Newspapers and the Society of Scientific aging systems donated by Olympus will be http://www.shizecon.net/ Photography. The contest has become wide- used at this facility for programs such as ly known as an opportunity for elementary experiential seminars in which mainly junior and junior high school students to publish and senior high students can enjoy learning the results of summer vacation projects in how their daily lives are related to science. the categories of free research and science. The 54th contest in 2013 attracted a Celebrating the 10th Anniversary of record 18,898 entries from 725 schools na- the BioScapes Competition tionwide. Olympus recognizes the need to Olympus Scientific Solutions Americas foster scientific thinking in children by en- has been supporting the organization of couraging them to discov- the Olympus BioScapes Digital Imaging er questions that interest Competition since 2004, with an eye to call- them and find the answers ing the world’s attention to the fascinating through their own efforts. stories about advanced research being told It has been a co-sponsor through microscope images. In 2013, during for the contest for over half which the Competition celebrated its 10th a century since its incep- anniversary, there were more than 2,000 tion in 1960. Olympus has entries to the international competition from supported the contest by more than 70 countries and regions across Winning entries in the creating websites to help 54th Natural Science the globe. Based on the belief that micro- participants select and Observation Contest scope photos provide the intersection of carry out their free research projects. It has science and art, any microscope photos, also been involved in the administration of regardless of the magnification, observation the contest, including the preparation of en- method and lighting method, are accepted try instructions, the judging process and the as candidates in the competition. The award award ceremony. ceremony is held annually, concurrently with the meeting of the American Society for Cell Donation of Microscopes to the Biology (ASCB), and the highest prizewinner Smithsonian is introduced on the large screen installed at With a view to increasing people’s interest Times Square. Q?rius https://qrius.si.edu/ in science through the spread of the use of First prize winner for 2013 Dr. Igor Siwanowicz microscopes, Olympus Scientific Solutions Americas donated 50 microscopic imag- HHMI Janelia Farm Research Olympus BioScapes Campus, Ashburn, Virginia, http://olympusbioscapes.com ing systems along with digital cameras for United States microscopes, monitors, software and other Specimen: Open trap of aquatic carnivorous plant, peripheral devices to Q?rius, a new experi- humped bladderwort ential learning cen- Utricularia gibba, with ter established at single-cell organisms inside. the Smithsonian’s National Museum of Natural History, a leading museum in the United States, in December 2013. Experiential learning center Q?rius
OLYMPUS CSR REPORT 2014 50 INvolvement Social Involvement
Contribution to Society
2 Local Activities
The Olympus Group is involved in various social contribution activities in each region.
Activities in Europe ● 2013 Christmas donation drive families in Beijing, China. In addition to donating books and stationery items, they As a yearly tradition employees voted helped with hearing and language rehabilita- ● 50,000 euro Jubilee donation— how to distribute the Christmas donation. tion through anniversary donation at street Totaling 10,000 euros were donated to hands-on festival for the 50th anniversary of three organizations assisting the homeless experience, Olympus in Hamburg in Hamburg, working on child protection, working to- etc., for Christmas 2013. Volunteers at one A donation of 50,000 euros was presented gether with of the organizations, “Midnight Bus for the to Fördergemeinschaft Kinderkrebszentrum the children Homeless People,” supply warm bever- Hamburg e.V. (Hamburg Children’s Cancer to harvest ages, food, blankets, etc., to the homeless Participating employees and Centre) to celebrate the 50th anniversary of vegetables. children at the facility in shelters. Olympus in the city of Hamburg. Also, 4,000 euros as the proceeds from a charity raffle ● collected from employees were donated to Healing with music Plan International, an NGO promoting re- Activities in Asia Working in cooperation with major children’s gional development and care of children in hospitals in Seoul, South Korea, patients developing countries. The donations are to who cannot normally go to concerts were be spent on the care of sick children and ● Volunteers visit nursing homes invited with their families to orchestral con- social assistance. certs. The objective is to instill happiness Under a theme of bringing smiles to senior and hope through the power of music. In citizens with a camera, Olympus employees the year ended visited a public nursing home in Shanghai, March 2013, 750 China, taking photos and giving them away were invited to on the spot. The senior citizens, who rarely enjoy this enter- have the opportunity to have their photos tainment involving 50,000 euros presented to För- taken, were very dergemeinschaft Kinderkrebs- both classical and happy with the Commemorative photo with zentrum Hamburg e.V. popular music. performers at the concert gifts. In addition ● Support for victims of flood disaster to the photos, in Germany towels, gloves and other daily 20,000 euros were donated to Aktion necessities were Activities in Japan Deutschland Hilft in response to the floods Members of the volunteer donated. program group in Germany in June 2013, which caused ● Wakuwaku Science Lab extensive damage. The money was used for evacuating victims, flood control using ● Support for a facility for children The volunteer group organized by employ- sandbags, assistance of food and water with disabilities ees at Olympus named Wakuwaku Project, and medical help. It was also used in remov- formed to communicate to children the Some 20 employees visited a facility for ing flood debris. fun and excitement of science, is holding children with hearing disabilities from poor
● Other activities in Japan
Aomori Olympus Co., Ltd.: Aizu Olympus Co., Ltd.: Shirakawa Facility: Hachioji Facility: Participation in the fiscal 2013 High Contribution at local event by the “Walk & Clean” program for cleanup Registration with Hachioji City’s “Adopt School Student Employment Support Japanese drum group Aizu Shoyo Daiko while walking in Shirakawa-Kominejo a Park” program for park maintenance Project & organization of safety education Park and surrounding area and improvement activities
51 OLYMPUS CSR REPORT 2014 INvolvement Social Involvement
TABLE FOR TWO meal, ¥20 is donated to Activities in the United the NPO, TABLE FOR TWO International. Likewise, a donation of ¥10 is added to the States price of a TFT beverage. The donations will be used to supply school meals to children ● Support for employee volunteer in developing nations. initiative: “Days of Caring” science classes for elementary and junior In April 2013, Olympus-brand mineral Olympus Corporation of the Americas high school students living close to the water exclusively for TFT was introduced. (OCA) has organized the “Days of Caring” Olympus Technology Research Institute Thanks to the program, Olympus was able project to actively support employee par- (Hachioji City, Tokyo). In fiscal 2013, around to collect more than ¥1 million a year to ticipation in volunteer activities. Under the 450 students from three elementary and help with school meals for children in de- project, employees are granted paid leave junior high schools attended events featur- veloping nations. for 16 hours each fiscal year to engage in ing the mechanisms and mysteries of light, This program has local volunteer programs. In fiscal 2013, 155 as well as lectures by Olympus employees been recognized employees partici- dispatched to their schools. Olympus sup- by the NPO, and pated in programs ports these activities and supplies and loans Olympus received for regional food equipment, products and supplies. Gold Supporter banks, facilities This activity has expanded to other certificates of ap- for the homeless, business sites. The staff volunteers from the preciation three Certificate of appreciation schools, zoos, and Tokyo Office visited three elementary and years in a row. from TABLE FOR TWO regional centers. Employees who junior high schools in Shinjuku, drawing an being presented to Olympus participated in the “Days attendance of some 140 students. At the of Caring” project Shirakawa Facility, a program was organized for some 100 ● Certificate of appreciation received for Tenryu River Basin ● Educational support for at-risk students in four Environmental Picnic young people nearby elemen- tary and junior Olympus Nagano Facility is participat- In cooperation with Communities in Schools, high schools, in ing regularly in the Tenryu River Basin the NPO supporting “at-risk” young people, cooperation with Environmental Picnic that started in 1994. students were invited to OCA’s Center Valley local authorities. A scene from activities at The program has been organized for en Headquarter in Pennsylvania. In order to the Shirakawa Facility masse cleaning of the river basin by all the stimulate the students’ work incentive in local governments along the Tenryu Water the areas of science, technology, engineer- Basin. In fiscal 2013, 150 employees partici- ing and mathematics, employees organized ● Beverage dedicated to TABLE FOR pated in the cleanup and collection of empty study programs using Olympus products, TWO introduced cans, burnable garbage, etc. In recognition including medical systems, microscopes and cameras. In fiscal 2013, educational Starting in October 2010, Olympus is par- of its long-standing contribution, the Facility opportunities were provided to 36 students. ticipating in TABLE FOR TWO, a program received a certificate of appreciation from aimed at eliminating starvation in developing the organizer Ina Techno Valley Regional countries and lifestyle-related diseases in in- Center of the Nagano Techno Foundation. dustrialized nations. Foods and dishes with a donation added to their prices have been introduced at employee canteens and vend- ing machines located at Olympus Group fa- cilities in Japan. When an employee buys a
Hinode Plant: Tokyo Office: Olympus Medical Science Sales: Nagano Facility: Participation in voluntary firefighting Contribution of 600 servings of Donation of biological microscopes to Donation of employee clothing to training & skill inspection meeting. emergency storage food to a food Mori wa umi no koibito (The Forest is developing nations and victims of disasters Improvement of firefighting skills together bank (Second Harvest Japan) the Lover of the Sea), an NPO in the in Japan and other countries through the with other organizations in the area Kesennuma area NPO, Japan Relief Clothing Center
OLYMPUS CSR REPORT 2014 52 INvolvement Social Involvement
Contribution to Society
3 Support for Recovery experts also attended the meeting, at which from the Great East challenges to be met for the recovery of the devastated areas and disaster management Japan Earthquake measures were actively discussed. The Olympus Group donated money and its In addition to supporting the organization products to victims of the Great East Japan of the meeting, Olympus also gave awards to Earthquake which occurred on March 11, groups of high school students who had made 2011 and also sent volunteer employees to unique proposals for disaster management, the disaster-afflicted areas. In addition we such as producing an independent disaster have been continuously contributing to ac- control brochure and having a special alarm tivities conducted by NGOs and other or- that would sound only in the event of a large ganizations in the afflicted areas to support disaster. Olympus also presented IC recorders the recovery. to members of the award-winning groups. The following describes the major ac- tivities conducted by the Group in and after Ms. Akie Abe (third from right in the front row), April 2013. winners holding the IC recorders given by *PhotoVoice Contributing to PhotoVoice Olympus, and Executive The PhotoVoice project is being Officer Masahito implemented to send strong Kitamura of Olympus messages from participants to Olympus donated 30 digital cameras, eight (front row center) society using combinations of IC recorders and 50 second-hand PCs to the photos and words. Specifically, many of the women who were Women’s Network for East Japan Disaster CP+Stage Show—The Power victims of the Great East Japan (supported by Oxfam Japan, an international of Photography Earthquake take photos of their NGO), to support them in contributing to the daily lives, work, and volunteer activities, meet and discuss the PhotoVoice* project implemented for women in CP+, which is sponsored by the Camera and words they want to add to the disaster-afflicted areas, and also invited profes- Imaging Products Association (CIPA), is Japan’s photos they have taken, and sional photographers to teach at photo class- biggest general camera and imaging show. use the combinations to make proposals to society from the es it arranged for the Network. Photos taken Held over a four-day period from February 13 viewpoint of women, to assist them with the digital cameras and voices of women to 16, the 2014 CP+ at PACIFICO Yokohama in recovering emotionally from the disaster and becoming more recorded with the IC recorders donated by attracted over 40,000 visitors. empowered. Olympus were displayed at the PhotoVoice Using a stage performance area in its booth exhibition held in Marunouchi, Tokyo in March at CP+, Olympus presented 12 talk shows fo- 2014 to introduce the challenges faced by cusing on the use of the power of photography PhotoVoice (Only in Japanese) areas afflicted by the disaster. In April 2014, to support recovery efforts in areas hit by the http://photovoicejapan.org/ Olympus donated another 30 digital cameras Great East Japan Earthquake. Photographers and four IC recorders to the Network. working in the disaster areas presented their work and told audiences about the wonder- Support for Organizing a ful communities of the Tohoku Region where people have continued to work undaunted Meeting on the Future of High The Power of Photography School Students in Tohoku to rebuild their lives after the disaster. Videos (Only in Japanese) of the on-stage sessions were streamed for http://fotopus.com/school/special/ power_of_photo/ Olympus supported RE: VISION JAPAN in or- those who were unable to attend the events in ganizing a meeting on the future of senior high person. school students living in Tohoku. In this meet- ing held in the Members’ Office Building of the Upper House on April 4, 2014, about 120 high school students participated from across Japan, including some 50 from prefectures dev- astated by the Great East Japan Earthquake, including Iwate, Miyagi and Fukushima. Ms. A talk show in the Olympus Akie Abe, the the First Lady of Japan, who booth at CP+ was a founding member of the meeting, Mayor of Otsuchi Town Yutaka Ikarigawa and other
53 OLYMPUS CSR REPORT 2014 OLYMPUS CSR REPORT 2014 Data Section
Governance ●Total Value of Remuneration by Director Type, Total Value by Remuneration Type and Number and of Directors Compliance ●Major Results in Compliance Education Data (Japan) Page 55 ● Strengthening Compliance with Key Laws and Regulations ● Number of Hotline Reports and Inquiries in Japan ● Self-Assessment ● Compliance Awareness Survey ● Workplace Meetings on Compliance
Personnel and ● Status of Employees Labor Data Number of Employees / Numbers of New Graduates and Mid-Career Employees Page 56 Recruited / Turnover Rate for Employees in First 3 Years of Service / Promotion to Executive and Management Positions / Percentage of Employees with Disabilities / Number of Consolidated Employees ● Labor Relations ● Number of Industrial Accidents and Incidence Ratio ● Leave Systems and Leave Utilization Situation Utilization of Refresh Leave / Utilization of Annual Paid Leave / Leaves of Absence for Voluntary Activities / Utilization of Childcare Leave and Leaves of Absence / Childcare and Family Care Support System / General Business Operator Action Program under the Act for Measures to Support the Development of the Next Generation
Environmental ● Environmental Management Structure Data List of ISO 14001 Certified Plants/Offices ● Global Warming Prevention Measures Page 58 Product Lifecycle CO2 Emissions ● Environmental Accounting Environmental Costs / Environmental Effects ● Manufacturing-Related CO2 Emissions Energy Consumption / CO2 Emissions at Manufacturing Sites ● Resource Conservation/Recycling Waste Emissions ● Conserving Water Resources Water Use / Wastewater ● Transportation-Related CO2 Emissions Transportation-Related CO2 Emissions ● Chemical Substance Safety and Control Emissions and Movements of PRTR Class 1 Designated Chemical Substances
External ● Major Awards Received in Fiscal 2013 Awards Page 61
OLYMPUS CSR REPORT 2014 54 Governance and Compliance Data
Total Value of Remuneration by Director Type, Total Value by Remuneration Type and Number of Directors
Total Value of Total Compensation by Type (¥ million) Number of Position Remuneration Directors/Audit Base Stock Bonus Retirement & Supervisory (¥ million) Options Benefits Board Members Directors (excluding outside directors) 379 288 38 53 ― 5 Audit & supervisory board members 56 56 2 (excluding outside audit & supervisory board members) ― ― ― Outside officers 105 105 ― ― ― 10
Major Results in Compliance Education (Japan) Description (Method) Target
Executives Training General Compliance Education (Lecture) Executives
Education in laws and regulations related to business, such as Subcontract Act, CSR procurement, trade control, the prevention of fraudulent transactions, etc., All employees or relevant (e-learning and study sessions) units Function-Based Education Staff of the Compliance Specialized education (seminars by external organizations) Hotline
Educational programs for management and executive personnel, for employees Rank-Specific Education who have been promoted, and for new employees (group training) People at specific rank
Messages from the President (intranet) and messages from the CCO (intranet) All employees Messages from Senior Management and Dialogue Opportunities Managers and all Town meetings in various workplaces (direct dialogue) employees
Strengthening Compliance with Key Laws and Regulations Number of Hotline Reports and Inquiries in Japan 27 Jurisdiction Name of Law/Regulation, etc. ■ External contract point ● ■ In-house contact point 18 Act on Prohibition of Private Monopolization and 10 17 Maintenance of Fair Trade (Antimonopoly Act) 15 ●Laws and regulations relating to the prevention of 6 5 unfair competition 5 ●National Public Service Ethics Act/rules of ethics 5 6 5 ●Agreements relating to fair competition 4 Laws, 2 2 3 regulations ●Act against Delay in Payment of Subcontract 1 12 17 12 10 and Proceeds, etc. to Subcontractors (Subcontract 1st 2nd 1st 2nd 1st 2nd 1st 2nd 1st 2nd 1st 2nd guidelines Act) half half half half half half half half half half half half in Japan ●Laws and regulations relating to insider trading 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 ●Labor Standards Act ●Transparency guidelines for the medical device industry in relation to medical institutions, etc. Self-Assessment (formulated by the Japan Federation of Medical Devices Associations) Period December 2013 – February 2014 88 consolidated subsidiaries in Japan and Target overseas and four regional headquarters ●Laws and regulations relating to corruption ●Laws and regulations relating to the prevention of Survey description The state of compliance management system unfair competition implementation ●Laws and regulations relating to measures Response rate 100% Laws, against antisocial forces regulations ●OECD agreements concerning the prevention and of the bribery of foreign public officials in guidelines international commercial transactions Compliance Awareness Survey in other ● United Nations agreements concerning the Compliance Awareness Survey countries prevention of corruption ●Foreign Corrupt Practices Act (FCPA, United Period February 3 – February 21, 2013 States) ●U.K. Bribery Act 2010 (United Kingdom) Target Olympus Group employees in Japan (11,089) ●Physician Payment Sunshine Provision Response rate 99.3%
Workplace Meetings on Compliance Workplace Meetings Period October 2013 – February 2014 Number of workplaces 340
55 OLYMPUS CSR REPORT 2014 Data Section
Personnel and Labor Data 1
Status of Employees
Totals for Olympus Corporation, Olympus Medical Systems Number of Consolidated Employees Corporation and Olympus Imaging Corporation 35,376 34,391 34,112 30,697 33,680 Number of Employees
Total Males Females
Number of employees 6,816 5,800 1,016
Average age 40.8 41.6 35.3
Average years of service 16.2 16.8 12.0 Year ended Year ended Year ended Year ended Year ended Number of employees with March 2010 March 2011 March 2012 March 2013 March 2014 1 18 foreign nationalities* ■ (number of people)
Number of consolidated 33,680 employees*2
*1 Number of employees with foreign nationalities working for Olympus Corporation, Labor Relations Olympus Medical Systems Corporation and Olympus Imaging Corporation *2 Total number of employees in the entire Olympus Group (excluding the average number of casual employees, which is 2,978) Name of labor union Olympus Labor Union
Numbers of New Graduates and Mid-Career Employees Recruited Number of members 4,981 (as of June 1, 2014)
Total Males Females
Recruited in April 2012 88 75 13
New Number of Industrial Accidents and graduates Recruited in April 2013 39 32 7 Incidence Ratio Recruited in April 2014 92 73 19 FY2011 FY2012 FY2013 April 2011–March 2012 93 68 25 Industrial accidents (work time lost) 9 4 3 Midcareer recruits April 2012–March 2013 52 40 12 Industrial accidents 10 12 17 April 2013–March 2014 47 37 10 (no work time lost)
Total incidents 19 16 20 Turnover Rate for Employees in First 3 Years of Service Incidence ratio 0.31 0.30 0.22 FY2013
Turnover rate (%) 3.8
Promotion to Executive and Management Positions
Total Males Females
Executives (section manager or higher) 1,431 1,414 17
Corporate officers 27 27 0
*Excluding outside corporate auditors and outside directors
Percentage of Employees with Disabilities (%)
March 31, 2012 1.82
March 31, 2013 1.81
March 31, 2014 1.98
*Total for seven companies classified as special-purpose subsidiaries
OLYMPUS CSR REPORT 2014 56 Personnel and Labor Data 2
Leave Systems and Leave Utilization Situation
Refresh Leave Utilization of Childcare Leave and Leaves of Absence FY2011 FY2012 FY2013 7th year of employment Paid holidays: 5 days Bonus: 55,000 yen Number of employees taking maternity leave 60 60 76 20th year of employment Paid holidays: 10 days Bonus: 330,000 yen Number of employees taking childcare leave 45 60 58 At the age of 55 Paid holidays: 5 days Participation in the PLP Seminar Subtotal: Males 1 1 4 Percentage of employees returning to work after leaves of absence for 96.6 97.6 94.9 Utilization of Refresh Leave childcare (%)
FY2011 FY2012 FY2013 Population*1 Females: 53 Males: 309 7th year of employment 305 355 188 Retention rate*2 Females: 98.8 20th year of employment 173 204 174 Males: 87.5 At the age of 55 120 78 114 Number of employees taking leaves of absence for family care 0 1 1
Annual Paid Leave *1 Population: Number of employees qualified for family care leave, classified by gender *2 Retention rate: Retention rate (for one year) after end of family care leavel Number of employees with company as of March 31 of the fiscal year after 20 days a year, starting the first year of reinstatement from family care leave during the previous fiscal year ÷ Number No. of annual paid employment (for employees who join reinstated after family care leave during the precious fiscal year holidays (for full-time Olympus between April and June). workers) Unused paid holidays can be carried over to the next year only. Childcare and Family Care Support System Employees are encouraged to take 5 Within one year, up to the child’s second Consecutive leave consecutive leave days. Leave of absence birthday (may be extended for an additional six promotion scheme months in special cases) (Creative Holiday) (These can be combined with ordinary holidays.) 2 hours until the end of April in the child’s first Reduction of year of elementary school Expired annual paid Saving of up to 50 days allowed for medical working hours 1 hour until the end of April in the child’s fourth holiday saving scheme year of elementary school (Special Sick Leave) treatment and family care (paid holidays). Exemption from Child- overtime work Until the child’s third birthday care Utilization of Annual Paid Leave Exemption from overtime Until the end of April in the child’s fourth year and night-time work of elementary school FY2011 FY2012 FY2013 The following numbers of paid leave days until Average days available 19.6 19.7 19.9 the end of March in the year when the child Nursing care leave starts elementary school (adjusted according Average days used 10.4 10.9 9.1 to the number of children) 1 child: 5 days per year Utilization ratio (%) 53.1 55.4 45.9 2 or more children: 10 days per year Up to one year per person in need of care per Leave of absence condition Leaves of Absence for Voluntary Activities Reduction in Up to one year per person in need of care per working hours condition per year Number of Persons Taking Leaves of Absence Family Exemption from overtime As mandated by law FY2011 1 care and late-night work The following number of paid leave days FY2012 1 (according to number of family members FY2013 1 Family care leave requiring care) 1 person: 5 days per year *Cumulative total since 1995: 6 2 or more persons: 10 days per year Preg- Reduction of nancy working hours One hour per day reduced working time
General Business Operator Action Program under the Act for Measures to Support the Development of the Next Generation
Olympus has explored work-life integration initiatives designed to realize synergy benefits and motivate employees by helping them to balance Objective 1: We will introduce a work-at-home system for employees with chil- dren in the third year of elementary school or younger, where both their work and home lives. This emphasis on work-life balance reflects parents are working or the family is a single-parent household. the fact that there are many highly skilled and motivated employees who are unable to achieve their full potential or are forced to cut short their —Measures— ■ Establishment of rules for work-at-home system (April 2013) careers due to family circumstances, such as the need to care for chil- ■ Dissemination of information using leaflets, etc. (from April 2013) dren or relatives. Olympus has responded to this problem by providing support for long-term human resource development based on long-term Objective 2: We will implement awareness-raising activities to encourage male employees to take childcare leave or leaves of absence. career formation, with the aim of increasing the work options for em- ployees with childcare and family care responsibilities. The following plan —Measures— ■ Dissemination of information using leaflets, etc. (from April 2013) has been formulated to enable these workers to enjoy fulfilling work and home lives. (2) Development of diverse working conditions to help employees review their work styles 1. Plan Period January 1, 2013–January 31, 2015 Objective 3: We will implement measures to enable workers to review their work styles as part of efforts to facilitate work-life integration. 2. Content of Plan —Measures— ■ Preparation of management guides suitable for employment (1) Provision of support to enable employees with childcare responsibilities management for use in dissemination of information in-house to reconcile their work life with their home life (from April 2013)
57 OLYMPUS CSR REPORT 2014 Data Section
Environmental Data 1
Environmental Management Structure Global Warming Prevention Measures
List of ISO 14001 Certified Plants/Offices Product Lifecycle CO2 Emissions
Plant/Office Location Date of Certification 695 426 435 375 302 74,957 68,102 78,382 76,285 75,342 3,918 2,235 1,428 1,354 67 33 Tatsuno-machi, Kami-ina-gun, 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166 Nagano Facility (Tatsuno)* Nagano February, 1998 Hinode-machi, Nishitama-gun, Hinode Plant Tokyo July, 1998 Aizu-Wakamatsu-shi, Aizu Olympus Co., Ltd. Fukushima October, 1998 Nishigo-mura, Shirakawa Olympus Co., Ltd. Nishishirakawa-gun, Fukushima October, 1998 Aomori Olympus Co., Ltd. Kuroishi-shi, Aomori November, 1998 Olympus (Shenzhen) Industrial Ltd. Shenzhen, China September, 1999 2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012 Technology Research Hachioji-shi, Tokyo March, 2000 Facilities (Hachioji) ■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year)
Olympus Winter & Ibe GmbH Hamburg, Germany May, 2001 *CO2 emission for total life cycle of products sold during the year (estimates) KeyMed (Medical & Industrial Southend-on-Sea, Equipment) Ltd. United Kingdom March, 2002 Olympus Logitex Co., Ltd. Kawasaki-shi, Kanagawa November, 2003 Olympus Medical Science Sales Co., Ltd. Shinjuku-ku, Tokyo October, 2004 Olympus (GuangZhou) Industrial Co., Ltd. Panyu, Guangzhou City, China October, 2004 Olympus America Inc., National Service Center San Jose, CA, USA December, 2005 5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 6 business sites including the 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76 Olympus NDT Inc. one at Waltham, MA, USA September, 2010 8 Street, Long Thanh Industrial Olympus Vietnam Co., Ltd. Zone, Dong Nai Province, January, 2013 Vietnam *The former Tatsuno Facility has been certified as the Nagano Facility since April 2013. Nagano Facility (Ina)* Ina-shi, Nagano May, 2014 *The former Ina Facility was certified in 1997. After consolidation with Tatsuno Facility and change into repair function, it was recertified in 2014.
Environmental Accounting 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Environmental Costs (Unit: Million yen) ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year) FY2011 FY2012 FY2013 Target period: Grouping April 1, 2011 – March 31, 2014 Investment Cost Investment Cost Investment Cost Scope: Head office functions, manufacturing Costs Inside Business Area 72 637 98 354 122 447 companies and distribution Prevention Cost of Public Nuisance 20 98 21 77 51 217 companies in Japan Notes: Contents Global Environmental Conservation Cost 52 349 42 116 71 48 1) Tabulation based on “Environmental Accounting Guideline 2005.” Resource Circulation Cost 0 191 35 161 181 2) Cost and depreciation that cannot be separated clearly in In Upstream Costs 1 89 1 94 1 77 environmental management are In Downstream Costs 8 8 10 6 not divided proportionately. Full 72 57 51 amount56 has been excluded54 in the 23.5 21.2 22.4 25.7 Environmental Management Activity Costs 1 400 6 119 376 115 0 101415 calculations. 68 63 3) Close scrutiny of data shows items R&D Costs 1 1,057 1 968 0 983 with differing figures for past results. Costs of Social Activities 1 2 5 Costs for Damaged Environment 11 2 0 Total 75 2,203 106 1,804 133 1,933
Environmental Effects (Unit: Million yen) Change Change Change Quantitative Effects of FY2011 FY2012 FY2013 from Previous 2009Percentage 2010 2011Economic Benefits2012 of 2013 2010 2011 2012 2013 Environment Preservation from Previous Environmental Protection from Previous Fiscal Year Fiscal Year (FiscalFiscal Year year) ■ Emissions and movements of chemicals (t) (Fiscal year) ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3) CO2 Discharged 51,773 50,142 49,444 -698 -1% Revenue Revenues from Sales of 0 (unit: t-CO2) Benefits Recycled Valuable Substances Waste Discharged Energy Costs 159 Effects (unit: t) 2,515 2,100 2,096 -4 0% inside Landfill Disposal Contracting Business Water Usage Costs -1 3 116 90 86 -4 -5% Cost Area (unit: 10,000 m ) Savings Resource Recycling Chemical Substances Contracting Costs -10 Discharged/Transferred 21 22 26 4 15% (unit: t) Costs of Water Usage -2
86,020 61,753 65,395 57,879 50,662 1,914 1,792 1,717 1,929 1,898 OLYMPUS CSR REPORT 2014 58
2009 2010 2011 2012 2013 (Fiscal year)
■ Domestic logistics (t-CO2) ■ International logistics (t-CO2) 695 426 435 375 302 74,957 68,102 78,382 76,285 75,342 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166
2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012
■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year) Environmental Data 2
Manufacturing-Related CO2 Emissions Resource695 426Conservation/Recycling 435 375 302 74,957 68,102 78,382 76,285 75,342 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166 Energy Consumption (Unit: TJ) Waste Emissions FY2009 FY2010 FY2011 FY2012 FY2013 5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76 695 426 435 375 302 74,957 68,102 78,382 City 76,285 gas 75,34299 105 108 110 99 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 LPG 23,047 17,34023 33 33 33 35 115,097 110,085 106,009 98,908 105,851 101,166 LNG 44 47 49 65 63 Heavy Direct fuel oil 50 54 50 15 12 2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012 Kerosene 11 1 1 2 1 ■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year) Diesel fuel 199 171 165 162 90
Subtotal 426 410 406 387 300 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Indirect Electricity 1,474 1,420 1,394 1,353 1,333 ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year) 2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012 Total 1,900 1,830 1,800 1,740 1,633 *Scope: Leading manufacturing & development sites in Japan and overseas ■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year) *Olympus processes wastes from its sites within their respective home countries and *Scope: Leading manufacturing & development sites in Japan and overseas do not ship wastes internationally, regardless of hazard designation under the Basel *Conversion coefficient based on Enforcement Regulation for the Act on the Rational Convention. Use of Energy
CO2 Emissions at Manufacturing Sites 5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76 695 426 435 375 302 74,957 68,102 78,382 76,285 75,342 Conserving Water Resources 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166 Water72 Use 57 51 56 54 23.5 21.2 22.4 25.7 119 115 101 68 63 5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76
2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year) 2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012
■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year) 2009 2010 2011 2012 2013 2010 2011 2012 2013 *Scope: Leading manufacturing & development sites in Japan and overseas (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) 2009 2010 2011 2012 2013 *Reporting based on the following GHG Protocol-based categories. 2009 2010 2011 2012 2013 Scope 1: Greenhouse gas emission from direct use of fossil fuels. ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3) ■ Waste (t) ■ Recycling (t) (Fiscal year) Scope 2: Greenhouse gas emission from secondary use, such as electric power ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year) purchase. *Scope: Leading manufacturing & development sites in Japan and overseas
Wastewater 72 57 51 56 54 23.5 21.2 22.4 25.7 *The sources for CO2 conversion coefficients are the following. 119 115 101 68 63 5,111 4,271 4,460 3,913 3,859 [Electric power] 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 Japan: Conversion coefficients for all power sources published by the Federation of 136 126 105 79 76 Electric Power Companies (FEPC) employed, with FY2013 coefficients used for FY2013. 86,020 61,753 65,395 57,879 50,662 Overseas: Coefficients for each nation in the “CO2 Emissions from Fuel Combustion 1,914 1,792 1,717 1,929 1,898 72 57 51 56 54 Highlights (2013 Edition),” International Energy Agency (IEA), employed. 23.5 21.2 22.4 25.7 119 115 101 68 63 FY2011 coefficients used for FY2012 and FY2013. [Fuels, etc.] Japan & overseas: Conversion coefficients based on Act on Promotion of Global Warming Countermeasures employed.
2009 2010 2011 2012 2013 2010 2011 2012 2013 (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3) ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year) *Scope: Leading manufacturing & development sites in Japan and overseas 2009 2010 2011 2012 2013 (Fiscal year) 2009 2010 2011 2012 2013 2010 2011 2012 2013 ■ Domestic logistics (t-CO2) ■ International logistics (t-CO2) (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3)
86,020 61,753 65,395 57,879 50,662 1,914 1,792 1,717 1,929 1,898 72 57 51 56 54 23.5 21.2 22.4 25.7 119 115 101 68 63
86,020 61,753 65,395 57,879 50,662 59 OLYMPUS CSR REPORT 2014 1,914 1,792 1,717 1,929 1,898
2009 2010 2011 2012 2013 (Fiscal year) 2009 2010 2011 2012 2013 2010 2011 2012 2013 ■ Domestic logistics (t-CO2) ■ International logistics (t-CO2) (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3) 2009 2010 2011 2012 2013 (Fiscal year)
■ Domestic logistics (t-CO2) ■ International logistics (t-CO2)
86,020 61,753 65,395 57,879 50,662 1,914 1,792 1,717 1,929 1,898
2009 2010 2011 2012 2013 (Fiscal year)
■ Domestic logistics (t-CO2) ■ International logistics (t-CO2) 695 426 435 375 302 74,957 68,102 78,382 76,285 75,342 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166
2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 2007 2008 2009 2010 2011 2012
■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year)
5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76
2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year)
72 57 51 56 54 23.5 21.2 22.4 25.7 119 115 101 68 63
695 426 435 375 302 74,957 68,102 78,382 76,285 75,342 3,918 2,235 1,428 1,354 67 33 27,857 26,463 24,765 23,047 17,340 115,097 110,085 106,009 98,908 105,851 101,166
Data Section 2009 2010 2011 2012 2013 2010 2011 2012 2013 (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) ■ Public water areas (10,000 m3) ■ Sewage systems (10,000 m3) 2007 2010 2011 2012 2013 2009 2010 2011 2012 2013 Environmental2007 2008 2009 Data2010 3 2011 2012 ■ (1,000 t-CO2) (Fiscal year) ■ Scope 1 (t-CO2) ■ Scope 2 (t-CO2) (Fiscal year) ■ エ ネ ル ギ ー 系（ t-CO2） ■ 非エネルギー系（t-CO2） (Fiscal year)
Transportation-Related CO2 Emissions
Transportation-Related CO2 Emissions 86,020 61,753 65,395 57,879 50,662 1,914 1,792 1,717 1,929 1,898
5,111 4,271 4,460 3,913 3,859 54 46 46 45 42 4,675 3,881 4,092 3,636 3,684 136 126 105 79 76
2009 2010 2011 2012 2013 (Fiscal year)
2009 2010 2011 2012 2013 ■2009Domestic logistics2010 (t-CO20112) ■ International2012 logistics2013 (t-CO2) ■ Waste (t) ■ Recycling (t) (Fiscal year) ■ Groundwater (10,000 m3) ■ Piped water (10,000 m3) (Fiscal year)
Chemical Substance Safety and Control
Emissions and Movements of PRTR Class 1 Designated Chemical Substances
72 57 51 56 54 23.5 21.2 22.4 25.7 119 115 101 68 63
2009 2010 2011 2012 2013 2010 2011 2012 2013 (Fiscal year) ■ Emissions and movements of chemicals (t) (Fiscal year) 3 3 ■ Public water areas (10,000 m ) ■ Sewage systems (10,000 m ) *Scope: Leading manufacturing & development sites in Japan
86,020 61,753 65,395 57,879 50,662 1,914 1,792 1,717 1,929 1,898
2009 2010 2011 2012 2013 (Fiscal year)
■ Domestic logistics (t-CO2) ■ International logistics (t-CO2)
OLYMPUS CSR REPORT 2014 60 Data Section
External Awards
Major Awards Received in Fiscal 2013
Olympus activities, products, and services were selected for the following external awards. Award Product, etc.
Environmental protection activities such as organization and action in continuing development of eco- CDP 2013 Japan 500*1 products, production rationalization, energy and power conservation for CO2 reduction
OLYMPUS STYLUS 1 compact digital camera Red Dot Design Award*2 THUNDERBEAT front-drive grip, advanced surgical energy device Product Design 2014 ENDOEYE rigid videoscope, surgical endoscope
OLYMPUS OM-D E-M1 mirrorless camera iF Design Awards 2014*3 OLYMPUS PEN E-P5 mirrorless camera
Silver Prize in the 65th National Calendar 2014 Olympus/WWF calendar “The Peninsula and the Island” (Shiretoko and Yakushima, World Exhibition*4 Heritage Sites)
OLYMPUS PEN E-P5 mirrorless camera
2013 Good Design Award*5 OLYMPUS STYLUS XZ-2 compact digital camera
THUNDERBEAT front-drive grip, advanced surgical energy device
2013 R&D 100 Awards*6 IX3 Series inverted research microscopes
2013 National Invention Award*7 Received the 2013 National Invention Award’s President’s Award for invention of the “High-Speed President’s Award and Commendation Atomic Force Microscope”*8 that can show movement of biomolecules, jointly with co-developers at for Invention Kanazawa University.*9 Also, Commendation for Invention was awarded for the same invention.
OLYMPUS PEN Lite E-PL5 mirrorless camera Red Dot Design Award*2 OLYMPUS STYLUS TG-2 Tough compact digital camera Product Design 2013 THUNDERBEAT front-drive grip, advanced surgical energy device
*1 CDP is an international non-profit organization offering the only global system in the world for measurement, disclosure, management and sharing of important environmental data on business enterprises and cities. It works with institutional inventors to encourage businesses to disclose information on their impact on the environment and natural resources and to implement mitigation measures. CDP possesses the world’s largest primary data on risk and product data on climatic changes, water and forests and supplies it for strategic decision-making in business, investment and policy planning. *2 These international product design awards are presented by the German organization, Design Zentrum Nordrhein Westfalen. *3 This design award program is administered by Industry Forum Design Hanover (iF), an international organization based in Germany with the aim of promoting good design. *4 Contest hosted by the Japan Federation of Printing Industries and Japan Printing News Co., Ltd. *5 This comprehensive design award program is administered by the Japan Institute of Design Promotion. *6 Award program hosted by R&D Magazine of the US to give recognition to the best products and technologies that have been commercialized around the world during the past year *7 Award program hosted by the Japan Institute of Invention and Innovation for the advancement of science and technology and development of industry in Japan *8 Patent applied for on Sept 4, 2002; patent registered on Feb 22, 2008; No. 4083517 *9 Website of the Biophysics Lab, Department of Physics, Kanazawa University http://www.s.kanazawa-u.ac.jp/phys/biophys/index.htm
Chosen as climate change performance leader for the first time in CDP 2013 Japan 500 hosted by CDP
Olympus was chosen by CDP for inclusion in the Climate for CO2 reduction. The selection was a recognition of these Performance Leadership Index (CPLI) as a company that ex- activities. cels in activities aimed at mitigating climate change. Twelve The survey results are published in the CDP Japan companies have been selected from the 500 (Japan 500) 500 Climate Change Report, that were surveyed in 2013. The Olympus Group engages which is shared by institutional in environmental protection activities that include organiza- investors and other decision- tion and action for continuing development of eco-products, makers in the market. production rationalization, energy and power conservation
61 OLYMPUS CSR REPORT 2014 Communication Tools
The Olympus Group tailors its information disclosure to meet the needs of its stakeholders. Nonfinancial information is provided in Olympus CSR Report 2014 while management and financial information is included in Annual Report 2014. In addition to these reports, which are published annually, Olympus also provides up-to-date information via its website.
Non-Financial Reports Financial Reports
CSR Report 2014 CSR Activities Annual Report 2014 IR Information http://www.olympus-global.com/en/csr/ http://www.olympus-global.com/en/ir/
Olympus’s museum of history Zuikodo
Zuikodo located at the Ishikawa Facility in Hachioji City, Tokyo, displays the company’s products from its beginnings to the present to show changes in the advances of technology and how Olympus has contributed to society with its products. The nickname Zuikodo derives from Olympus’s first camera lens ZUIKO in the im- age of the old cave where Olympus products were stored. Museum entrance The museum was opened to the public on October 1, 2013, accepting visits not only by Semi-Olympus I
our customers but also by schoolchildren and GT-I students who will become the driving force of Asahi microscope the future. It features Olympus’s first microscope, Asahi (1920), its first camera, Semi-Olympus ■ Information Address: Olympus Ishikawa Research and Development Center I (1936) and the world’s first commercial gas- 2951 Ishikawa-machi, Hachioji-shi, Tokyo 192-8507 trocamera, GT-I (1952), and other historic ob- Hours: 10:00-17:00 (last admission 30 minutes prior to closing) jects as well as an exhibit of current products Holidays: Saturdays, Sundays, national holidays and company holidays and technologies and sections offering hands- Admission: Free on use of products in the fields of science, im- Tour inquiry: Based on advanced reservation (Tel: +81-42-642-3086) ● Please call to make a reservation. aging and medical care. ● A tour guide will introduce each zone in the museum based on a basic program. ● The tour takes roughly 60 minutes but can be adjusted to your schedule. Please ask when making your reservation. We look forward to your visit. ● Photography is not allowed inside the museum. http://www.olympus.co.jp/jp/info/2013b/if130925zuikodoj.jsp#info (Only in Japanese)
OLYMPUS CSR REPORT 2014 62 Olympus Corporation
CSR Department, Group Compliance Division Shinjuku Monolith, 3-1 Nishi-Shinjuku 2-chome, Shinjuku-ku, Tokyo 163-0914, Japan TEL: +81-3-6901-9299 E-mail: [email protected]
Olympus Corporation Social Responsibilities Activities website http://www.olympus-global.com/en/csr/ Issued in November 2014