Our Material Topics
Non-financial metrics
We have set KPIs and targets that are linked to our material topics as non-financial metrics for VISION 2030. We aim to enhance our corporate value by effectively monitoring the financial and non-financial aspects of our management practice. For KPI, we have designated an officer or a general manager who is responsible for monitoring the progress, and each division manages these KPIs by incorporating them into their annual budgets and targets. In addition, the Corporate Sustainability Committee and the Company-wide Strategy Committee will review progress and related issues from the perspective of how progress toward KPIs each fiscal year will contribute to the achievement of non-financial targets for 2030 (consistency and appropriateness of KPI/target setting) and how efforts to achieve non-financial targets will contribute to the achievement of financial targets (relationship between financial and non-financial targets).
In the FY2023 review, the non-financial KPI related to the material topic "Stable production" was changed from "Implementation of advanced production technology centered on AI/IoT" to "Number of problems involving high-value losses." This was because it was judged that the relationship between "Stable production" and "Implementation of advanced production technology centered on AI/IoT" was difficult to visualize, and the results of the implementation of advanced production technologies in stable production were not clear.
Targets and Results
Contributing to a sustainable society
Non-financial KPIs | Blue Value™ products sales revenue ratio | |
---|---|---|
Responsible officer | Responsible officer for Corporate Sustainability Division | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
24% | 26% | 40% |
Non-financial KPIs | Rose Value™ products sales revenue ratio | |
---|---|---|
Responsible officer | Responsible officer for Corporate Sustainability Division | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
24% | 26% | 40% |
Non-financial KPIs | GHG emissions reduction rate (Scopes 1 and 2) *compared to FY2013 | |
---|---|---|
Responsible officer | Responsible officer of the Carbon Neutral Strategy | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
25% | 27% | 40% |
Prerequisites for business continuity
Safety
Non-financial KPIs | Incidence of major accidents & serious occupational injuries | |
---|---|---|
Responsible officer | Center Executive, Production & Technology Center | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
Zero | Zero | Zero (over the course of VISION 2030) |
Respect for human rights
This table is scrollable.
Non-financial KPIs | Response to human rights risks | |
---|---|---|
Responsible officer | Responsible officer for Corporate Sustainability Division | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
|
| Identification & correction of risks by setting up a human rights due diligence system for all of our bases, both domestic and abroad |
Compliance
Non-financial KPIs | Incidence of major legal and regulatory violations | |
---|---|---|
Responsible officer | Responsible officer for Corporate Administration & Legal Division | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
2 cases | Zero | Zero (over the course of VISION 2030) |
Product quality
Non-financial KPIs | Incidence of PL accidents & serious product quality incidents | |
---|---|---|
Responsible officer | Responsible officer for RC & Quality Assurance Division | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
Zero | Zero | Zero (over the course of VISION 2030) |
Stable production
Non-financial KPIs | Production and equipment reliability | |
---|---|---|
Responsible officer | Center Executive, Production & Technology Center | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
Advanced production technologies implemented: 14 | Number of problems involving high-value losses: 8 or less | Number of problems involving high-value losses: Zero |
Abilities essential to business continuity
Corporate culture
Non-financial KPIs | Improvement of employee engagement Engagement score | |
---|---|---|
Responsible officer | Chief Human Resources Officer (CHRO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
36% | 38% or more | 50% |
Human capital
Non-financial KPIs | Key talent management Successor coverage rate for critical positions | |
---|---|---|
Responsible officer | Chief Human Resources Officer (CHRO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
220% | 235% or more | 250% |
Non-financial KPIs | Diversity
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---|---|---|
Responsible officer | Chief Human Resources Officer (CHRO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
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Non-financial KPIs | Health-focused management
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Responsible officer | Chief Human Resources Officer (CHRO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
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Digital transformation
Non-financial KPIs | Training of DX specialists Number of data scientists | |
---|---|---|
Responsible officer | Chief Digital Officer(CDO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
72 | 120 or more | 165 (by FY2025) |
Innovation
Non-financial KPIs | Pipeline expansion Number of development themes in the latter half of our Stage Gate System | |
---|---|---|
Responsible officer | Center Executive, R&D Center | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
Stage 1 themes registered: 48 | Percentage advanced to preliminary market development stage: 20% or more | Double or more (vs. FY2020) |
Non-financial KPIs | Value creation for beyond 2030 Number of new areas of development at our Frontier Technology Center | |
---|---|---|
Responsible officer | Center Executive, R&D Center | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
3 candidate | R&D themes: 5 or more | 3 or more areas |
Partnerships
Non-financial KPIs | Sustainable procurement ratio | |
---|---|---|
Responsible officer | Chief Digital Officer(CDO) | |
FY2023 Results | FY2024 Outlook | FY2030 Target |
Promotion of sustainable procurement Opinion exchange held with partners to build shared vision: 16 companies | Dissemination to partners Briefings to explain procurement guidelines to key partners in each domain: 8 companies or more | 80% |
Reflection in Executive Compensation
In FY2023, we revised the executive compensation system to reflect the non-financial metrics of VISION 2030 in executive compensation.
The progress on these non-financial metrics is incorporated into the bonuses of responsible officers as the evaluation coefficient for performance of the division in charge. Additionally, to strongly encourage the achievement of non-financial metrics, we have selected particularly important non-financial indicators*, and their attainment levels are reflected in the bonuses of all directors and executive officers as an evaluation coefficient for non-financial indicators.
* Particularly important non-financial indicators:
Blue Value™ products sales revenue ratio, Rose Value™ products sales revenue ratio, GHG emissions reduction rate, incidence of major accidents, incidence of major legal and regulatory violations, and engagement scores