Canon Sustainability Report 2013 Editorial Policy Contents

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Canon Sustainability Report 2013 Editorial Policy Contents Canon Sustainability Report 2013 Editorial Policy Contents Our report focuses on Canon’s efforts Editorial Policy - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -1 toward realization of a sustainable society. Kyosei: Canon’s Corporate Philosophy - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -2 To meet the expectations of our various stakeholders, Canon publishes the Canon Sustainability Report every Message from Management - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -3 year. The report offers a comprehensive description of our efforts to achieve a sustainable society. Canon Group Overview - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -5 For 2013, we are publishing the full report in PDF format, enabling readers to view its contents all at once. Canon’s Medium- to Long-term Management Plan - - - - - - - - - - -7 We also offer in the same format a summarized version of the report, highlighting only key points for quick review. CSR Approach - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -9 Contents of PDF Report Key Activities Report High Contributing to Society through Business Activities - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -11 Materiality to Canon Summarized version Contributing to the Promotion of Both Enriched Lifestyles and the Global Environment - - - - - - - - - - - - - - - - - - - - - - - - - - -15 Contributing to Cultural Improvement; Full report Support the Arts, Science, Sports, etc. - - - - - - - - - - - - - - - - - - - - - - - - - - - - -19 Providing Humanitarian Support to People and Regions High Facing Harsh Conditions due to Disasters, etc. - - - - - - - - - - - - - - -21 Materiality to stakeholders Contributing to the Realization of a Sound and Fair Society - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -23 Reporting Scope In principle, this report covers Canon’s economic, social and environmental activities within the scope of consolidated accounting for Reporting in Accordance with ISO 26000 2012 (January 1 to December 31, 2012). The scope of Canon’s environmental activities is not limited to development, production and Global Environmental Conservation - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -25 sales operations at operational sites, but covers every stage of the product lifecycle, including raw materials and parts manufacturing by Respecting Human Rights - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -69 suppliers, as well as product usage by customers. Supplemental information on important targets, indicators, and initiatives prior to 2011 Establishing a Proper Workplace Environment - - - - - - - - - - - - - -75 and beyond 2013 is referenced in this report. Information that is specific to a region or organization is indicated. In this publication, “Canon” refers Fair Operating Practices - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -87 to the Canon Group, while “Canon Inc.” indicates the non-consolidated parent company. Customer Care - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -99 Reference Guidelines Regional and Community Contributions - - - - - - - - - - - - - - - - - - - - - -109 • GRI Sustainability Reporting Guidelines, Version 3.1 (G3.1) • Environmental Reporting Guidelines (2012 version) from Japan’s Organizational Governance - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -115 Ministry of the Environment • Environmental Accounting Guidelines (2005 version) from Japan’s Ministry of the Environment GRI Guideline Implementation- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -127 Published Third-Party Opinion - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -131 June 2013 (previous: July 2012, next planned: June 2014) Other Information Previously disclosed data has been revised to reflect changes in calculation methods and the expanded scope of sites covered. Accordingly, some data in this report differs from data presented in last year’s report. Disclaimer This report contains not only past and present facts about Canon, but also future forecasts based on plans, prospects, management policies and strategies Canon’s website contains the most recent information on as of the publication date. These future forecasts are assumptions or our CSR activities. estimations based on information available at the time the report was CSR Activities prepared. Due to a range of variables, however, the results or circumstances of http://www.canon.com/csr/index.html our future business activities may vary from the forecasts contained herein. We ask for your understanding in this regard. 1 Canon Sustainability Report 2013 Kyosei: Canon’s Corporate Philosophy Promoting CSR activity through a corporate philosophy of Kyosei Canon adopted kyosei as its corporate philosophy in 1988, the 51st regardless of race, religion, or culture, harmoniously live and year since our founding. This philosophy clarifies Canon’s stance work together for the common good into the future. on partnerships formed with stakeholders around the world. Canon is pursuing the realization of a sustainable global Kyosei means aspiring to a society in which all people, society based on the principle of kyosei. Canon’s Stakeholders Local and Global Communities Employees Other Companies National and Suppliers Local Governments Corporate Philosophy Kyosei Living and working together for the common good Shareholders Universities and and Investors Research Institutes Customers NGOs/NPOs Global Environment Company Overview Company name: Canon Inc. Common stock: ¥174,762 million Established: August 10, 1937 Group companies: 275 consolidated subsidiaries Headquarters: 30-2, Shimomaruko 3-chome, Ohta-ku, Tokyo, Japan 9 equity method affiliates Chairman & CEO: Fujio Mitarai Note: Figures for common stock and Group companies are as of December 31, 2012. 2 Canon Sustainability Report 2013 Message from Management In addition to achieving sound business growth, we are committed to contributing to society as a good corporate citizen. Fujio Mitarai Chairman & CEO Canon Inc. Meeting Stakeholder Expectations with New and we must promote CSR activities that effectively leverage the Challenging Reforms company’s advanced technological strengths, global business In 2013, in response to the drastically changing business deployment, and diverse, specialized human resources. environment, we will decisively carry out reforms focused on future prospects as we pursue sound business growth. Driving Social Development through Product With the domino effect triggered by the debt crisis in Strength and Advanced Technologies Europe, the global economic slowdown, and the continued Since its founding, Canon has contributed to social challenges posed by the historically high yen, 2012 proved to development by releasing technologically advanced products be an extremely difficult year. But amid this difficult business to the world. In 1940, Canon developed Japan’s first indirect environment, Canon remained focused on achieving the goals X-ray camera, thus contributing to the maintenance of proper we set for Phase IV (2011–2015) of the Excellent Global public health at the time. Since then Canon has worked Corporation Plan, our medium- to long-term management steadily and diligently, and today offers a range of digital plan, releasing more new products than usual and radiography systems and ophthalmic devices. In addition, the implementing various measures. Unfortunately, despite these company collaborates with world-leading university hospitals efforts, we were not able to avoid a decrease in sales and profit. and research centers to develop cutting-edge imaging Canon, however, will overcome these difficult times, technologies and medical equipment that enable the early pressing forward toward a path of growth by continuing to detection of diseases while reducing the burden on patients. transform our operations in response to changes in the times Additionally, in 2011, we launched a new business with the and business environment. release of the Cinema EOS System, which has helped open up Such activities, however, cannot be undertaken without new possibilities within the filmmaking industry and ensuring environmental stability and social development. Even supported the development of film culture. We are also in the face of adverse business conditions, we must remain pursuing further expansion in our network camera business mindful of a corporation’s role as a public institution and strive and are confident that we can respond to the need for safer to fulfill the responsibilities expected of us by our stakeholders. and more secure communities. Accordingly, guided by our Canon Group CSR Activity Policy, We are determined to keep in step with the needs of an 3 Canon Sustainability Report 2013 Message
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