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J-Oil Mills Report 2020 -OIL MILLS REPORT 2020 OIL MILLS REPORT “Mastering the Art of Oil, Creating Happiness 2020” Inquiries: Corporate Communications St. Luke’s Tower, 8-1 Akashi-cho, Chuo-ku, Tokyo, 104-0044, Japan TEL : +81-3-5148-7101 FAX : +81-3-5148-7107 https://www.j-oil.com/ 2021.2 01 - OIL MILLS REPORT 2020 - OIL MILLS REPORT 2020 02 Corporate Philosophy Contents Editorial Policy In October 2017, the J-Oil Mills Group newly formulated a Corporate Philosophy. This report is published with the intention of introducing the J-Oil With our corporate Value as our foundation, we will realize our Mission, to be a master of oil, designing tastes that Corporate Philosophy .................................................................. 02 Mills Group’s efforts to increase its corporate value over the medium- to long-term. move hearts; we set “Joy for Life To make life tasty and fun” as the Vision towards which we will aim in the future, President’s Message .................................................................... 03 The fiscal 2020 edition has been devised with an awareness of the deep connection between business strategy and the and we expressed all of this in the form of a drop of oil. Trajectory of the Fifth Medium-Term Business Plan ...................... 09 strengthening of management foundations (the advancement of ESG management). The President’s Message and the Trajectory In formulating our Corporate Philosophy, all the members of the J-Oil Mills Group team discussed their respective The J-Oil Mills Value Creation Story of the Fifth Medium-Term Business Plan provide an explanation thoughts concerning the form that our company should take, and the Philosophy was created on this basis. of the status of progress of our Fifth Medium-Term Business The Evolution of J-Oil Mills and Its Future ..................................... 11 Plan, which commenced in fiscal 2017. The purpose of the special articles is to convey information on our R&D, which is The J-Oil Mills Value Creation Model ............................................ 13 the source of our value creation, our overseas business, which is a field of focus, and our contribution to the SDGs through our J-Oil Mills’ Materiality ................................................................... 15 products. J-Oil Mills’ R&D ............................................................................ 17 In addition, seeking to further advance our activities in these Our Vision areas and increase the sophistication of our disclosure of To always strive and evolve for our ideal SPECIAL CONTENTS ① information, we have again invited opinions from Mr. Tamio future. To make life tasty and fun Contribution to the SDGs through J-Oil Mills’ Business Yamaguchi, one of the Directors of the NPO Junkan Workers ..... 19 Club, and we have reproduced his valuable comments at the SPECIAL CONTENTS ② end of this report. Going forward, we will continue to report on the initiatives of the J-Oil Mills’ Overseas Expansion ........................................... 23 J-Oil Mills Group, seeking to further promote communication Our Mission Mastering the Art of with all of our stakeholders. Oil & Developing Deliciousness Business Overview Period Covered by This Report To create new values by using our unique This publication reports mainly on J-Oil Mills Group activities in strengths to fulfill our mission in society. Oishisa Design Business Outline .......................................................................... 25 fiscal 2019 (April 1, 2019–March 31, 2020). Some information concerning activities outside this time frame is also presented. Oils and Fats Business ................................................................ 27 Scope of This Report J-Oil Mills Action Guidelines / Code of Conduct Oil and Fat Processed Products Business ................................... 29 Financial data presented in the report are consolidated financial Our Values information for J-Oil Mills. Environmental data encompasses all Foodstuffs/Fine Material Business ................................................ 31 of J-Oil Mills’ production sites (Chiba Factory, Yokohama Factory, To integrate our unparalleled love for oil and Shizuoka Plant, Asaba Factory, Kobe Factory, Kurashiki Factory, Exploring oil, Taking on new areas Creating Performance Highlight ................................................................. 33 our inherited knowledge to cultivate original learning people of challenge new values and Wakamatsu Factory) until fiscal 2018, and all of J-Oil Mills’ Exploration Challenge Creativity sites and a Group company (J-CHEMICAL, Inc.) from fiscal 2019. values. New Products Information ........................................................... 34 Acting with integrity Being considerate to others Date of Publication Integrity Compassion Materiality Report February 2021 Guidelines Consulted Our unparalleled love for everything oil J-Oil Mills’ Businesses and ESG Management ............................. 35 • Ministry of the Environment, LOVE-Oil Environmental Reporting Guidelines (2018 Edition) Discussion: President × Outside Directors ................................... 37 • Global Reporting Initiative, GRI Sustainability Reporting Standards Enhancement of Corporate Governance ...................................... 42 • Japanese Standards Association, Oil is a nutrient that is essential to human life. Creating Diverse Value in Oils and Food ....................................... 50 ISO 26000: 2010 Guidance on Social Responsibility We fry, bake, and stir fry using it, and sometimes we sprinkle it just as it is on our food. • International Integrated Reporting Council (IIRC), At home and in restaurants, in prepared lunchboxes, and in snacks from the deli section, Contribution to Society and the Planet the International <IR> Framework • Ministry of Economy, Trade and Industry, it is something that we use every day. The Environment ...................................................................... 53 Guidance for Integrated Corporate Disclosure and The delicious flavor of oil is something special. Company-Investor Dialogue for Collaborative Value Creation Supply Chain Management ...................................................... 55 J-Oil Mills’ Website Sweet, sour, salty, bitter, umami, and pungent tastes–no matter what the taste, it becomes deeper when paired with oil. Collaboration with and Contribution to Local Communities / This report integrates the former Business Report, published for And it is not only taste–oil can be enjoyed with all of the five senses, for its appearance, sound, aroma, and texture. investors, and CSR Report, published for all stakeholders, in one Enhancing Communication with Our Stakeholders ................... 57 This is the charm of oil. volume, and provides a comprehensive report concerning J-Oil Mills’ corporate value. Detailed data that cannot be included Oil contains boundless possibilities. Creating an Organization That Promotes Mutual Enhancement of in this report are published on the J-Oil Mills website. With An ingredient in foods, but also used in medicines, fuels, and cosmetics, Individuality and Mutual Growth ................................................... 59 regard to the content reported, this report prioritizes information concerning J-Oil Mills’ activities that will be of importance to the we are confident that oil will continue to bring great happiness into the future. greatest number of stakeholders. “Joy for Life”–This is a phrase that we arrived at after sketching out our vision of the future that we should strive towards. Data (Non-financial Data) ............................................................. 63 • IR Information https://www.j-oil.com/ir/ • Sustainability Information Loving oil more than anyone else, mastering oil to the greatest extent possible, MD&A (Analysis of Financial Condition and Business Results by https://www.j-oil.com/sustainability/ designing tastes that move the hearts of our customers, Management) .............................................................................. 65 we will seek to increase flavor and happiness in the lives of as many people as we can. About Future-Oriented Predictions, Projections, and Plans Company Information .................................................................. 73 All future predictions made in this report are based on the information It is realizing this future in itself that is “Joy for Life” for J-Oil Mills. available at the time of its compilation. Results and outcomes may vary due Third-Party Opinion ...................................................................... 74 to factors such as changes in the business environment. 03 - OIL MILLS REPORT 2020 - OIL MILLS REPORT 2020 04 President and CEO’s Message In a rapidly changing operating environment, we at J-Oil Our mission as an infrastructure company that supports the food industry ■ With the spread of COVID-19, we have recognized once again our mission and Mills seek to strengthen our management foundations responsibility as a company to support food industry Under the global spread of COVID-19, one of the most infectious diseases we have ever and create value for growth in order to remain a company experienced, we are adjusting to a new normal, a change in behavior and values. This means our ordinary life has changed into out-of-the-ordinary. In such an environment, the style of that is necessary to our customers, society, and providing food is changing, but the underlying fact is that food is an important
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