Continuing the Moving Experience Creation Cycle (ESG) Themes of ESG and SDGs Initiatives Customers Society With reference to environmental, social, and governance (ESG) factors and the Sustainable Development Goals (SDGs), the Products and Financial SEGA SAMMY Group has identified important issues and endeavors Services Foundations to highten awareness of whole Group companies and takes mea- sures to address them. Human Resources and In accordance with our mission of continuing to create moving Organizational Capital experiences, we will generate economic and social value simultaneously, thereby enhancing our corporate value. Human Resources and Organizational Capital Enhancement of Job Satisfaction and Diversity and RelatedSDGs SDGsActivity Elimination of Inequality Viewing human capital as one of our advantages, we are focusing on job satisfaction and diversity enhance- ment. For example, we have consolidated head office functions to reform work styles and create employee- friendly workplaces. Products and Customers Society Services Countermeasures to Addiction RelatedSDGs Activity SDG We understand that we have a responsibility to take measures to tackle and prevent addiction. The types of addiction associated with our businesses include “gaming disorder,” which is an addiction to video games that seriously affects health; addiction to playing pachinko and pachislot machines; and gambling addiction, which is strongly related to the IR business. Products and Customers Society Services Environmental Preservation and RelatedSDGs Activity SDGs Reduction of Environmental Burden The SEGA SAMMY Group designs products, recycles materials, and reuses components with a view to lowering the environmental burden of manufacturing processes and enhancing efficiency. Further, we are advancing efforts to preserve the environment and reduce power consumption. Products and Customers Society Services Response to Japan’s Super Low Birth Rate and RelatedSDGs Activity SDGs Aging Society We are moving forward with measures that heighten corporate value by using entertainment in catering to the needs of Japan’s super low birth rate and aging society. These efforts focus on two areas: improving chil- dren’s education by making learning fun and enhancing the well-being of senior citizens by enabling them to develop their interests and enhance social lives as well as to maintain and improve their capabilities. Corporate Governance RelatedSDGs Activity SDGs For details on governance, please see P.76. Corporate governance and compliance are important to us. Therefore, we design systems and conduct flex- ible business management with a view to bolstering the supervision of various types of operational implemen- tation and strengthening operational implementation 64 SEGA SAMMY HOLDINGS Toward Contributing the Achievement of the SDGs We are fully aware of our responsibility not only to grow our businesses but also to help invigorate Japan’s economy as a whole, realize sustainable growth worldwide, and sustain human society. Accordingly, we have begun using our unique capabilities to contribute to the achievement of the SDGs. Our initiatives focused on the SDGs have only just begun. However, we will con- tinue examining our options with the aim of remaining a corporate group that society trusts, needs, and respects. For example, the SEGA SAMMY Group will consider incor- porating SDG-related initiatives into its next medium-term management plan. February 2019 Identification of Priority SDGs The Group’s Board of Directors approved a resolution on preparing and revising SDG-related policies as well as on Group companies’ establishment and operation of plan–do–check–act (PDCA) cycles for the advancement of SDG-related initiatives. Based on this resolution, we revised and renamed our policy on the advancement of CSR and efforts to help achieve SDGs. The new policy sets out priority themes for our SDG-related initiatives: Enhancement of Job Satisfaction and Diversity and Elimination of Inequality (Related SDGs 5, 8, and 10), Countermeasures to Addiction (Related SDG 12), and Response to Japan’s Super Low Birth Rate and Aging Society (Related SDGs 3, 4, 8, and 12). In addition, we are proceeding processing with discussions on measures for reducing environmental burden. April 2019 Establishment of the CSR & SDGs Office The Group changed the name of the Group CSR Office to the CSR & SDGs Office, which is responsible for the overall control, management, and support of the Group’s initiatives related to CSR and the SDGs. Further, with the aim of stepping up SDG-related initiatives, the Group has given the CSR & SDGs Office enhanced capabilities for strengthening collaboration within the Group and supporting the measures of respective divisions and departments. May 2019 SDGs Training for Officers To increase awareness and knowledge of the SDGs, approximately 70 directors and executive officers of SEGA SAMMY HOLDINGS and Group companies received SDGs training. July 2019 Establishment of New Action Plans Each operating company has begun preparing plans for the advancement of SDG-related initiatives. After carefully considering many different types of projects, such as those conducted within the framework of existing businesses, those that start up new businesses, and those focused on improving the environment, operating companies will advance SDG-related initiatives through PDCA cycles. INTEGRATED REPORT 2019 65 Continuing the Moving Experience Creation Cycle (ESG) Human Resources and Organizational Capital Enhancement of Job Satisfaction and RelatedSDGs SDGsActivity Diversity and Elimination of Inequality Aim of Setting Out “Enhancement of Job Satisfaction and Diversity and Elimination of Inequality” as a Theme The diverse values and talents of our personnel are the source of the innovations that we create as an entertainment com- pany. Also, as a super low birth rate and aging society approaches, we believe that it is important to prevent the loss of human capital caused by employees resigning to provide family members with nursing care, for example. With this in mind, we are creating workplace environments that are amenable to diverse work styles. Reduction of Long Overtime Hours The SEGA SAMMY Group has been taking measures to reduce long overtime hours since 2013. Measures such as consultations with superiors for employees working long overtime hours and the issuance of individual alerts for employees in relation to overtime hours per month have lowered those working more than 80 hours of overtime per month to approximately 1.0% of all employees. Further, for the Group as a whole the percentage of paid leave taken is improving steadily, reaching 69.5%. P.75 Primary Measures Results · Labor training, compliance training (establishing and improving · Reduced number of employees working long overtime hours awareness) (more than 80 hours per month) by 80%–90% · Management of attendance status, enforcement of punching-in · Currently reviewing initiatives for further improvement (check for excessive or unpaid overtime) · Individual alerts for employees on a monthly basis · Monthly reports on number of employees working overtime and amounts of overtime (Releasing report through executive com- mittee or the council of managing directors and sharing informa- tion regarding actual conditions) · Consultations with superiors for employees working long over- time hours · Establishment and fixation of no-overtime and no-meeting days · Adjustment of work volumes, streamlining of meetings, revision of operational flow, etc. Promotion of Work–Life Balance With our sights set on full-fledged introduction of flextime and telework systems, we introduced these systems on a trial basis at major operating companies between June and November 2018. At the same time, we conducted questionnaire surveys of employees and established a range of systems. We have introduced a work-at-home system, which recognizes work performed by employees outside of the office, and the Job Plus (JOB+) side job system, allowing certain employees to obtain side job employment. Also, initiatives to encourage respect for diversity included the establishment of workplace environments in which LGBT employees feel comfortable working in February 2019. 66 SEGA SAMMY HOLDINGS Relocation and Consolidation of Head Office Functions In 2018, the Group consolidated its head office functions at a new office. By eliminating physical distances between Group companies’ offices and having shared functions between divisions, we have established an environment that removes barriers among divisions, encourages interaction between personnel, and is conducive to business collaboration and synergy creation. With a view to enhancing productivity, we have introduced leading-edge information and communications technology (ICT) to all companies that have relocated to the office. Further, the new office includes a co-working space of 1,322 square meters, which supports the businesses of startups and individual entrepreneurs. In addition, we are eliminating overlapping functions by using the relocation as an opportunity to consoli- date management functions in such areas as accounting, human resources, finance, general affairs, legal affairs, and IT solutions integrate licensing functions and streamline decision-making processes. Opening of SEGA SAMMY Soramori Nursery School —New Work Styles for Employees with Children Aiming to help employees meet their work and child-rearing responsibilities, we opened SEGA SAMMY Soramori Nursery