N i p p o n S o d a G r o u p C S R R e p o Nippon Soda Group r t 2 0 1 6 CSR Report 2016 For inquiries about this report, please contact the following department: Corporate Social Responsibility Dept., Nippon Soda Co., Ltd. Shin Ohtemachi Bldg., 2-2-1 Ohtemachi, Chiyoda-ku, Tokyo 100-8165 Tel. +81-3-3245-6237 Fax. +81-3-3245-6027 URL http://www.nippon-soda.co.jp/ CONTENTS 3 Top Commitment 5 Long-Term Vision Concept behind CSR 7 Creation of Nippon Soda Group’s Value 9 Materiality Identification 13 Stakeholder Dialogue [Special Section] To Create New Value through the Power of Chemistry and Contribute to Society Creating New Value through the Power of through Products as a Chemical Group 15 Special Section 1: Agriculture Contribution to ensuring food safety and security and Chemistry and Contributing to Society sustainable agriculture using agricultural chemicals 17 Special Section 2: Environment through Products as a Chemical Group Contribution to ensuring the environmentally sound recycling of resources using chemistry (technical competence) 19 Special Section 3: Information Contribution to the development of information appliances friendly to the environment and all people by supplying high-function materials CSR Topics 21 Agro Products Business 22 Chemicals Business The Nippon Soda Group’s CSR 23 The Nippon Soda Group’s CSR 24 CSR Promotion System 25 New Medium-Term CSR Activity Goals 26 CSR Activity Policies 27 CSR Activity Policies and Evaluation Results for Medium Term and FY 2016 CSR Activity Report 29 Organizational Governance and Management System 33 Human Rights/Labor Practices 37 Environmental Protection 43 Process Safety & Disaster Prevention/BCP 47 Occupational Safety and Health 53 Distribution Safety, Quality Assurance and Consumer Issues 57 Chemicals and Product Safety 61 Community Involvement & Development/Social Dialogue/ Contribution to ensuring food safety Contribution to ensuring the environmentally Contribution to the development of Fair Operating Practices/Compliance CSR at Plants and Research Centers and security and sustainable agriculture sound recycling of resources using information appliances friendly to the environment 69 Nihongi Plant using agrochemicals chemistry (technical competence) and people by supplying high-function materials 71 Takaoka Plant 73 Mizushima Plant 75 Chiba Plant Editorial Policy Scope of the Report (ISO) for environmental management systems Responsible Care Corporate Profile (As of the end of March 2016) 77 Odawara Research Center The CSR Report 2016 is designed to provide This report summarizes CSR and RC (EMS). It specifies requirements for an Responsible Care (RC) was launched in Name: Nippon Soda Co., Ltd. 79 Chiba Research Center information on the corporate social activities of Nippon Soda Co., Ltd. and major environmental management system. 1985 in Canada. The International Council Location of Head Office: responsibility (CSR) and responsible care (RC) Nippon Soda Group companies (three ■ ISO 9001 is the international standard of Chemical Associations (ICCA) was Shin Ohtemachi Bldg., 2-2-1 Ohtemachi, Group Companies activities—and their results—of the Nippon manufacturing group companies: Nisso of the International Organization for established in 1989 and, as of January Chiyoda-ku, Tokyo 100-8165 81 Feature Article on Group Company’s CSR Activities: Soda Group. Its aim is to promote transparency Metallochemical Co., Ltd., Nisso Fine Co., Standardization (ISO) for quality management 2016, more than 44 countries and regions Tel. +81-3-3245-6054 Nisso Metallochemical Co., Ltd. and accountability. The information contained Ltd. and Shinfuji Kaseiyaku Co., Ltd.; and five systems (QMS). It specifies requirements to around the world participate in the Foundation: February 1920 83 Manufacturing Group Company in this report is arranged by RC Codes and non-manufacturing group companies: Nisso enhance customer satisfaction, including Responsible Care initiative. In Japan, the Representative Director, Chairman: CSR Core Subjects. Shoji Co., Ltd., Sanwa Soko Co., Ltd., Nisso quality assurance. Japan Responsible Care Council (JRCC) Yutaka Kinebuchi 86 Non-manufacturing Group Company This report complies with the GRI G4 Engineering Co., Ltd., Nisso Construction ■ OHSAS 18001, the abbreviation of was established in 1995 under the Japan Representative Director, President: 89 Nippon Soda Group Network guidelines. (See the GRI Correspondence Co., Ltd. and Nisso Green Co., Ltd.). Occupational Health and Safety Assessment Chemical Industry Association (JCIA) Akira Ishii Table on pages 96 to 98.) This report provides the actual results for Series 18001, is the international standard for by 74 companies, most of which manufacture Stock Listing: Tokyo Stock Exchange, First Section 91 Nippon Soda Group Environmental Data Sheet fiscal 2016 (April 1, 2015 to March 31, 2016). occupational safety and health management and handle chemical substances, with the Capital: 29,166 million yen Stakeholder Engagement Publication Date The data on occupational accidents presented systems (OSHMS). The objective of OHSAS aim of standardizing and augmenting Number of Employees: 93 Third Party Verification Report: Japan Chemical Industry Association September 2016 in this report are based on the actual results 18001 is to help companies reduce risks and environmental and safety activities that 2,664 (consolidated, including contract employees) (Next report scheduled to be issued in from January 1, 2015 to December 31, 2015. the recurrence of problems by identifying were previously conducted by individual 1,279 (non-consolidated, including contract employees) 94 Opinion on Property Conservation Survey: September 2017) The financial data covers 19 consolidated risks related to occupational safety and companies as well as raising public Business Description: Sompo Japan Nipponkoa Risk Management Inc. subsidiaries and four equity-method affiliates. employee hygiene, developing preventive awareness of RC activities. The JRCC Manufacturing, processing and marketing 95 Third-party opinion from an academic expert Guidelines Used as References For a list of major companies, refer to the measures, and implementing such measures became the “JCIA RC Committee” in May of caustic soda, potassium products, chlorine Response to the third-party opinion from an academic expert Global Reporting Initiative: G4 section titled, “Nippon Soda Group Network” (achieving continuous improvement). 2012. As of March 2016, the committee and chlorine products, synthetic resin, dyes, Comparative Table with GRI Guidelines The Japanese Ministry of the Environment’s on pages 89 to 90. ■ ISO 26000 is an international standard on has a membership of 111 companies. The pharmaceuticals and pharmaceutical Environmental Reporting Guidelines 2012 social responsibility for organizations aim of RC activities can be summed up as intermediates, agrochemicals, and various 96 General Standard Disclosures Japanese Standards Association ISO 26000: 2010 International Standards Certifications released by the International Organization for follows: To do what is ethically right and other kinds of chemical industrial products 97 Specific Standard Disclosures Guidance on Social Responsibility ■ ISO 14001 is the international standard of the Standardization on November 1, 2011. to implement proactive measures to International Organization for Standardization reduce risks. 1 Nippon Soda Group CSR Report 2016 Nippon Soda Group CSR Report 2016 2 Top Commitment Three efforts to achieve remarkable growth and our goals The following three priority actions implemented under the medium-term plan for the second stage will be completed: Expansion of growth drivers Efforts have been focused on the development of three new agrochemicals. We have already started the construction of manufacturing facilities at the plant and a production system is being established. With regard to chemicals, a system to increase the production and sales of HPC2 has been established. We are also considering enhancing the production of functional polymers, developers and other chemicals. Enhancement and restructuring of the business foundation Efforts have been made to ensure ongoing cost reduction and improve research efficiency on the manufacturing side and, on the management side, to improve operational efficiency and develop globally competent employees and an organizational structure that facilitates global operations. In our restructuring efforts, we will carefully review various aspects, including impacts on other departments, so as not to leave anything undone. Improvement of the Group’s comprehensive capabilities As part of our efforts for the improvement of the Group’s comprehensive capabilities, we made Sanwa Soko Co., Ltd. our wholly owned subsidiary in fiscal 2015. We hope to generate synergistic effects for the Nippon Soda Group through the physical distribution function at the earliest possible time. With primary importance placed on the improvement of the value of the entire Nippon Soda Group, we will continue discussions with group companies so that we can effectively use the resources of the entire Group. Sound and transparent business management to contribute to the development of society Our CSR activities shifted into full gear in fiscal 2013 and, in fiscal 2015, were expanded throughout the Group. Akira Ishii Companies are increasingly expected to fulfill their responsibilities to society. To meet social expectations, the entire Representative Director Nippon Soda Group commits to collaborative