Nisshinbo Group CSR Report 2009 Nisshinbo Group 2009 CSR Report
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Nisshinbo Group CSR Report 2009 Nisshinbo Group 2009 CSR Report Foreword Nisshinbo Industries, Inc. adopted a holding company structure in April 2009. In accordance with this change, Nisshinbo Holdings Inc. will issue the Group’s CSR reports starting this year. Business Segment Core Company Holding Company Textiles Nisshinbo Textile Inc. Automobile Brakes Nisshinbo Brake Inc. Nisshinbo Holdings Inc. Papers Nisshinbo Paper Products Inc. Mechatronics Nisshinbo Mechatronics Inc. Chemicals Nisshinbo Chemical Inc. Electronics New Japan Radio Co., Ltd. Period Covered Sources for Additional Information The period covered is the fiscal year ended March Nisshinbo Annual Report (Japanese and 2009 (April 1, 2008 to March 31, 2009), but some English) information from other periods is also included. Financial Results (Japanese) Business Report and Shareholders Report for Scope of Report the 166th Fiscal Term (Japanese) The scope of this report includes all Nisshinbo Securities Report (Japanese) Group companies subject to consolidated reporting, but the Overview of the Nisshinbo Group on page These documents can be downloaded from the Nisshinbo Holdings website. 4 covers only Nisshinbo Holdings and its consolidated subsidiaries. URL (Investor Relations page): http://www.nisshinbo.co.jp/english/ir/library/index.html Guidelines Used for Reference ・ Environmental Reporting Guidelines 2007, Ministry of the Environment ・ Environmental Accounting Guidelines 2005, Ministry of the Environment ・ Sustainability Reporting Guidelines, Third Edition, Global Reporting Initiative Note In this report, “the Company” refers to Nisshinbo Holdings Inc., and “the Company and its five core subsidiaries” refers to the scope of Nisshinbo Industries, Inc. prior to the corporate split. Executive Message 2 Overview of the Nisshinbo Group 1. Summary of Business 4 CSR Initiatives 1. Activities in the Fiscal Year Ended March 2009 6 Feature: Products That Contribute to the 9 Development of a Sustainable Society CSR Management 1. Corporate Governance 17 2. Risk Management and Compliance 18 Social Report 1. For the Benefit of Customers 20 2. For the Benefit of Shareholders 21 3. Working with Suppliers 22 4. Working with Employees 23 5. Working with Local Communities 26 Environmental Report 1. Business Activities and Environmental Impact 28 2. Energy Conservation 30 3. Preventing Global Warming 32 4. Resource Conservation 33 5. Management of Chemical Substances and Reduction of 35 Emissions 6. Transport Volume 37 7. Other Environmental Activities 38 8. Environmental Accounting 40 Nisshinbo Group 2009 CSR Report Executive Message Shizuka Uzawa President, Nisshinbo Holdings Inc. Setting a New Course clear in each business segment and the pace of In April 2009 Nisshinbo Industries, Inc. spun off its decision making increased to raise textiles, automobile brakes, papers, mechatronics, management efficiency, establish optimal cost and chemicals businesses as separate companies and structures, and maintain a balance between established a corporate group with six core business growth and governance. companies, including an electronics subsidiary, and If not implemented properly, the corporate with Nisshinbo Holdings Inc. at its center as a split also entails the risk of excessive centrifugal holding company. force that will lead to a breakdown in group The global economy is currently in the midst cohesiveness. It is for this reason that I believed it of a severe recession brought on by the subprime necessary to express a unifying idea that can serve loan crisis. The Nisshinbo Group has embarked as a backbone of the Group. against an adverse wind, but we are taking this as an The idea of acting as a “public entity” and opportunity to strengthen the foundations of the with “consistent integrity” has been developed newly established subsidiaries. Each company will throughout Nisshinbo’s history, and to them we adjust its course according to the business added “innovation” and adopted it as a corporate environment with the aim of becoming a robust principle. We also shifted the central theme of our enterprise in preparation for the coming economic corporate philosophy to environmental business. recovery. Acting as a public entity, which is part of our corporate principles, means that Nisshinbo will New Group Vision Adopted contribute to human society through our business The objectives of the corporate split were as activities and that we will guide corporate growth follows: for the benefit of all stakeholders. The continuous (1) Each core company will conduct fully growth of our environmental business is truly the autonomous management to respond rapidly to embodiment of this principle. extreme changes in the business environment, Our corporate principles and corporate exercise global leadership, and achieve philosophy are the most important things in the substantial development; performance of our business activities and bring (2) Responsibilities and authorities will be made them in line with our stance on CSR activities. Group Corporate Principles v Public Entity: We shall contribute to human society through our business activities. v Consistent Integrity: We shall respond to stakeholders with honesty and integrity. v Innovation: We shall create the future through continuous innovation. Group Corporate Philosophy v As the eco-company, we shall contribute broadly toward enhancing the comfortable lifestyles and cultures of people around the world. v We shall aim to conduct business activities with honesty and integrity as our social responsibility based on the belief that companies are public entity. v We shall constantly aim to raise corporate value and become a corporate group with a strong presence. Focusing on Environmental and Energy The Nisshinbo Group’s CSR Activities Fields The Nisshinbo Group’s CSR activities are Environmental problems are a crisis that threatens conducted as a part of its day-to-day business the very existence of humankind. The Nisshinbo activities. Today’s business environment is subject Group has made a major course correction toward to rapid and extreme change, and consequently the development of a sustainable society. rapid and appropriate responses are more important There are substantial expectations in the than ever. For this reason, Nisshinbo established a market that the carbon alloy catalysts for fuel cell special-purpose division to conduct CSR activities. use that Nisshinbo announced in March 2009 will We believe that when conducting business, it serve as low-cost replacements for the expensive is necessary that decisions be made with platinum catalysts that have impeded widespread consideration for the environment, society, and the fuel cell use. The Group is currently making economy and that employees keep these issues in preparations for the start of mass production in the mind at all times. A strong organization that can act spring of 2010. We also anticipate dramatic growth autonomously is needed. in photovoltaic module manufacturing equipment. We will work to gain the confidence and Nisshinbo will pursue opportunities to expand cooperation of stakeholders through honest dialogue business in related fields while making continuous and contribute to the development of a sustainable contributions to expanding the use of renewable society. I hope that this report will serve to deepen energy. understanding of the Nisshinbo Group’s business Nisshinbo is focusing management resources and CSR activities, and I look forward to your on businesses with high levels of originality that can continued support and guidance in the future. contribute to the prevention of global warming, including bipolar plates for fuel cells, electric double-layer capacitors, and high-performance chemical products (such as poly-carbodiimide), with the aim of achieving rapid growth. August 2009 Nisshinbo Group 2009 CSR Report 1. Summary of Business Overview of the (1) Corporate Data (as of June 26, 2009) Name Nisshinbo Holdings Inc. Nisshinbo Group Head office 2-31-11 Ningyo-cho, Nihonbashi, Chuo-ku, Tokyo, Japan Date of February 5, 1907 establishment Representative Shizuka Uzawa, President Telephone +81-3-5695-8833 Website http://www.nisshinbo.co.jp/english/ (2) Financial Data (consolidated; as of March 31, 2009) Capital 27,587 million yen No. of employees 12,726 persons Net sales 286,166 million yen Operating income 407 million yen Net loss 1,285 million yen Return on equity 0.66% (billions of yen) Net Sales Capital Investment and Depreciation 400 (billions of yen) 30 322.4 312.8 25 24.2 300 278.6 286.1 243.4 20 18.3 18.0 16.5 16.8 16.8 200 14.9 15 13.8 12.5 11.0 10 100 5 0 0 '04 '05 '06 '07 '08 '04 '05 '06 '07 '08 (FY) (FY) Capital Depreciation Percentage of Net Sales Segment R&D Expenditures (billions of yen) (%) 20 5.0 Real Estate Leasing and 3.9% 4.2% Other 3.4% 3.8% 8.1% Textiles 4.0 23.6% 15 12.4 Electronics 12.2 11.9 21.2% 3.0 Consolidated 2.5% Net Sales: 10 9.6 286.1 billion yen 2.0 Automobile 6.0 Brakes Chemicals 18.6% 5 11.4% 1.0 Papers 12.0% 0 0.0 '04 '05 '06 '07 '08 (FY) Mechatronics 5.2% R&D Expenditures Percentage of Sales Income (Persons) Number of Employees billions of yen ( ) 20,000 20 15.1 15 15,000 13,253 12,744 12,602 12,726 12.0 12.3 10.5 11.2 11.6 9.7 10 9,505 (4,961) 8.2 10,000 (5,475) (5,773) (5,295) (4,143) 5 5,000 (7,641) 0.4 -1.2 (7,269) (7,480) (7,431) 0 (5,362) '04 '05 '06 '07 '08 (FY) 0 '04 '05 '06 '07 '08 -5 (FY) Domestic Overseas Operating Income Net Income (3) Main Business Segments Textiles The textile business is centered on Nisshinbo Textile Inc., which conducts integrated manufacture and sale of shirts, denim, uniforms, casual apparel, knit, developed yarns, spandex, and other products. Automobile Brakes The automobile brakes business, centered on Nisshinbo Brake Inc., supplies brake parts to automobile manufacturers around the world. Nisshinbo has accumulated extensive data and expertise concerning the raw materials for friction Green Pads materials, which are key components of brakes, and has Environment-conscious brake established a solid reputation in the industry by using products cutting-edge testing equipment to enhance product reliability.