CSR Data Book 2020
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OLYMPUS CSR Data BooK 2020 OLYMPUS CSR Data Book 2020 Olympus Group Corporate Philosophy Corporate Philosophy All of our activities are based on our corporate philosophy, which consists of Our Purpose and Our Core Values. Framework of Corporate Philosophy The Olympus Group specifies the Basic Management Policies within the Framework of Corporate Philosophy, positioning its Corporate Philosophy at the top. The concrete guidelines for business execution are then compiled into two structures: Planning and Global Rules. Basic Management Policy Oversight by Board of Corporate Philosophy Directors Policy for Our Purpose Our Core Values Management Execution Olympus Global Code of Conduct Basic Policy on Corporate Governance Corporate Strategy Basic Policy on the Internal Control System Planning Structure Global Rule Structure Olympus Group Corporate Governance Rules Olympus Global Rules Management Execution Business Plan Olympus Global Business Rules Regional Rules Local/Individual Rules Execution of Daily Corporate Activities 1 CSR Data Book 2020 About the Editing Process The Olympus Group’s CSR Data Book presents our detailed data § Period Covered by the Report items from the Governance, Social and Environmental perspectives. [FY2020: April 1, 2019–March 31, 2020] (Details of corporate governance are presented in the Integrated The report contains some information outside this period. Report.) The disclosure items are in line with the standard items § Publication Date of the Global Reporting Initiative (GRI) Sustainability Reporting [Annual publication (Japanese and English editions)] Standard, the international standard for CSR reporting. • Japanese edition: October 30, 2020 Reference Guidelines (The previous edition was published on August 27, 2019. The • GRI, Sustainability Reporting Standard publication of the next edition is scheduled for September 2021.) The report does not, however, address all of the requirements of • English edition: October 30, 2020 the “comprehensive” and “core” level options of the guidelines. (The previous edition was published on September 27, 2019. The • Environmental Reporting Guidelines (2018) of the Ministry of publication of the next edition is scheduled for September 2021.) the Environment, Japan The ISO 26000 guidelines and the 10 Principles of the United Information Disclosure/Distribution Media Nations Global Compact were also used as reference when selecting items for inclusion in the report. The Olympus Group is ramping up efforts to disclose and distribute information in a bid to provide stakeholders with a deeper understanding of its activities. Excluding the Integrated External Assurance Report and CSR Data Book, the principal tools used to disclose § Scope of external assurance and communicate this information are as follows: The amounts of CO2 emissions in Scope 1, Scope 2 (location- • Principal corporate information disclosure and distribution based and market-based methods), and Scope 3: Categories 2 to media 8, 12, and 15; and energy consumption, water usage, and waste http://www.olympus-global.com/en/ discharged. • Financial information disclosure and distribution media § External Assurance Organization https://www.olympus-global.com/en/ir/data/ Lloyd’s Register Quality Assurance Limited (LRQA) • Corporate Governance • Securities Reports and other materials Organizations Covered by the Report • CSR related information disclosure and distribution media In principle, the organizations covered by this CSR Data Book are https://www.olympus-global.com/en/csr/ as follows (any change in the reporting organizations covered with respect to a specific matter is identified separately). Inquiries on this CSR Data Book • Corporate governance: The Olympus Group Olympus Corporation Communications Global: • Social aspects: The Olympus Group (However, some part of https://contact.olympus.co.jp/webapp/form/20709_nqeb_15/index.do information such as human resources, etc. covers Olympus Corporation or Olympus Japan subsidiaries) Disclaimer • Environmental aspects: The Olympus Group This report includes past and present performance details of the (However, small businesses are excluded.) Olympus Group, and outlines the Group’s plans and outlook as of Note: As the environmental performance data has been the date of publication, along with forecasts based on management revised due to expansion of the coverage of information plans and policies. These forecasts represent assumptions and disclosure, the data values may differ from past disclosed determinations based on information available to management as environmental performance. of the date of the report. Accordingly, the actual results of future The descriptions used herein denote the following. activities and events may differ materially from forecasts due to a ∙ Olympus Group: Olympus Corporation and subsidiaries (global) variety of factors. ∙ Olympus: Olympus Corporation ∙ Japan subsidiaries: Major subsidiaries in Japan ∙ Subsidiaries outside Japan: Major subsidiaries outside Japan Contents Olympus Group Corporate Philosophy 1 Society About the Editing Process/Contents 2 Product Responsibility 31 Procurement 41 Governance Human Rights 45 ESG Initiatives 3 Employment 48 Communication with Stakeholders 6 Labor Relations 53 Corporate Governance 8 Occupational Safety and Health 54 Compliance 10 Training and Education 69 Tax 17 Diversity and Equal Opportunity 72 Anti-Corruption 19 Social Contribution Activities 80 Information Disclosure 22 Information Security 25 Environment Personal Information Protection 27 Environmental Management 83 Risk Management System 29 Environmental Performance 91 Independent Assurance Statement Related to Environmental Data 111 GRI Content Index 113 CSR Data Book 2020 2 Governance Society Environment Governance ESG Initiatives All the activities undertaken by the Olympus Group are to respond to requests and Basic Approach and expectations from society and to fulfill our duties and responsibilities under our Policy Corporate Philosophy. We understand that Olympus as a corporation deserves to continue to exist only when we fulfill our responsibilities through dialogs with stakeholders—including customers, suppliers, shareholders, investors, employees and their families, local communities, and international society. The new Corporate Strategy that we announced in November 2019 opens with the following statement: “In accordance with our Corporate Philosophy, Olympus strives to uphold and expand our responsibilities to society and stakeholders, enabled by active engagement with ESG issues.” In this strategy, we confirmed that we will focus on six important ESG areas and listed four distinct ESG topics as our ESG enhancement measures. These six important ESG areas and four distinct ESG topics reflect our management strategies, benchmarks by an external ESG evaluation organization and stakeholders’ opinions, and have been established by the Group Executive Committee and the Board of Directors through the procedure described below: Procedure to Establish ESG Enhancement Measures STEP 04 STEP 03 STEP 02 • Derivation of ESG items STEP 01 • Collect opinions of • Identified 4 ESG topics • Verification of the importance external experts and • Creating a list of candidate of each element from inside extract six important issues and outside perspectives ESG areas Six ESG Areas Corporate Economic Product Environment People Society governance sustainability sustainability Four ESG Topics ¢ Healthcare access and outcomes ¢ Compliance, product quality and safety ¢ Responsible supply chain ¢ Diversity and inclusion “Healthcare access and outcomes,” the first focus of the four ESG topics, is directly linked to our core business. Therefore, we believe that we need to contribute to human health and communities and society in a realistic manner. Concretely, we must provide products and services that have high medical value based on the appropriate evidence and scientific analysis, and that are affordable and safe. Above all, it is of prime importance to offer medically valuable outcomes, improve the Quality of Life (QOL) of patients, and provide all stakeholders with easy-to-understand information about the economic value that such outcomes bring. To realize this, we have brought in a leader with expertise in this area, and restructured the Medical Affairs Department as the Medical and Scientific Affairs Department. 3 CSR Data Book 2020 Governance Society Environment The CEO will be responsible for achieving the ESG goals by determining initiative Promotion Structure details, setting concrete targets, and deciding the priorities through reaching agreement on the direction of such activities in the Group Executive Committee and the Board of Directors. From FY2021, 10% of the remuneration of executive officers will be linked to the ESG evaluation results based on an external benchmark. Olympus adopts the Dow Jones Sustainability Indices (DJSI) as its benchmarks, which are reputed to be more reliable and have a wider coverage than other external ESG criteria. In October 2004, Olympus joined the U.N. Global Compact, Commitment to agreeing to uphold its 10 principles. External Initiatives The Global Compact (GC) is a voluntary initiative to create a global framework within which companies can contribute to good corporate citizenship and sustainable growth through responsible and creative leadership. The 10 principles of the Global Compact are incorporated into our Corporate Conduct Charter and related policies, and are reflected in our business