Attempting to resolve social issues as a true science company
The environment surrounding us has been growing more diverse and complicated than ever before. Above all, I believe that the long-term changes faced by the world are the population increase and digital transformation, which is said to be the second information revolution.
The global population is increasing by as many as 220,000 per day. It is projected to reach 10 billion in 2055. The population increase and the subsequent changes, including an increase in resource consumption and disposal and the acceleration of environmental destruction, are recognized as environmental issues. At the same time, there are people suffering from poverty, hunger, and inequality. As a result, there is a warning regarding the sustainability of mankind. Against this background, the Sustainable Development Goals (SDGs) have been set as agenda items that are common to all humankind, and the business sector is required to contribute to achieving the SDGs.
On the other hand, the digital transformation that is brought about by technologies such as AI, IoT, and blockchain is deemed promising as a means of resolving social issues. However, it forces humankind to face the fact that the existing social structure and human existence are being rebuilt.
We regard consumers as our ultimate customers. Accordingly, it is our mission to address these long-term changes as issues. I think that as a corporate entity working under the concept of a true science company, we should address these issues actively by regarding them as opportunities to grow and build a foundation that underpins trust.
We have implemented Scientific Innovation Chain 2027 (SIC27), a long-term corporate vision aimed at our sustainable growth toward 2096, when we will celebrate our 200th anniversary, and into the further future. Under this vision, we have set the period until 2027 as a period for changing our business structure into one that enables sustainable growth over a 100-year period. For this purpose, we have expanded the target of our Corporate Policy, a company that contributes to the enrichment of life and culture, from consumers to life and the global environment. We have also clarified the SDGs that are strongly related to our business activities. Based on these, we have established 11 domains in the three fields of science, that is, Life, Communication, and Sustainability, as the direction of the solutions. (See page 15.)
We have already begun to take actions such as a demonstration experiment of Fichvita™, a non-optical behavior detection system that uses a unique digital technology. We will aim to provide new value to society by building businesses strategically in these business domains.
Promoting CSR activities further by striving to link them with management
With regard to CSR activities, we have formulated a total of five material issues by holding repeated dialogs with our stakeholders. These include a material issue for achieving growth by resolving social issues, one for supporting sustainability, and one for building a solid base that underpins trust. In addition, we clarified the relevance between each material issue and the SDGs and began to take actions in fiscal 2018, which is the first year of the long-term corporate vision and the first year of SIC-I, the first medium-term management plan for the long-term corporate vision. We have clarified the KPIs and fiscal 2020 targets based on “Actions,” “Future Visions,” the results for fiscal 2018, and other aspects. We will continue to study more viable KPIs, the management system, and other aspects and focus on CSR activities through three-year PDCA cycles as we do for our medium-term management plans while seeking to link the activities to our management strategy.
At the 22nd Environmental Communication Awards, the CSR Report and Environmental Report for fiscal 2018 received the outstanding performance award, a higher award than the excellence award that our reports received in previous years. In fiscal 2019, we issued a report summarizing our major CSR activities and a separate CSR Data Book 2019 as supplementary material to ensure that the CSR activities of the Toyo Ink Group would be understood by many people. The details of our environmental activities are described in the latter.
Aiming to provide value represented as “For a Vibrant World” through repeated trial and error
In fiscal 2018, we launched the long-term corporate vision and the medium-term management plan called SIC-I under the slogan “Let's take a powerful first step to achieve SIC27 in the first year after the change of the fiscal year end.” While we made progress in the expansion of new projects and the commencement of operations in new domains, we posted an increase in sales but a decline in profit due to the worsened business environment. This result caused us to reconfirm the importance of accelerating specific behavioral changes by reffecting on the long-term corporate vision and medium-term management plan and sharing the Materiality on CSR in the entire Group, instead of continuing with our previous ways of doing things.
In fiscal 2019 we implemented a new slogan: “Let the overall Group work on business structural reform and the transformation of the business structure and take a leap forward as a science company, aiming to achieve SIC27.” We will engage in activities by positioning the second year of SIC27 as the halfway point of the SIC-I medium-term management plan for repeated trial and error under the following three basic policies.
- Develop new businesses and provide value by capturing changes in the market and customer needs.
- Lead the market with a technological advantage by fundamentally reviewing the supply chain, product mix and manufacturing methods and procedures at domestic and overseas bases as a manufacturing company.
- Renovate culture and the personnel system and reorganize businesses to encourage employees to take on challenges with a willingness to make changes occur.
We will aim to provide our unique value represented as “For a Vibrant World” and repay the trust of society by building on the strengths of the Toyo Ink Group and providing value for resolving social issues based on our longterm corporate vision and Materiality on CSR under the necessary partnerships.
(Except from the CSR Report 2019)