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Tokai Carbon Sustainability

Basic ideas

As various issues related to the global environment such as global warming and abnormal weather, and various social issues such as human rights violations and poverty become apparent, the importance and urgency of efforts to realize a sustainable society are further increased.
We have established our basic philosophy "Ties of Reliability" and have been engaged in CSR activities aiming the coexistence and co-prosperity with society.
In order to clarify our stance of contributing to the global environment and social issues aggregated into the SDGs (Sustainable Development Goals) through our corporate activities, establishing ESG management base was set as a key medium-term measure.

SDGs

Policy

Sustainability Policy

Tokai Carbon Group engages in corporate activities based on the corporate philosophy of "Ties of Reliability" with our stakeholders. Our management strategies are based on good consideration of ESG (Environmental, Social and Governance) and work to solve social issues through our business, thereby contributing to a sustainable society as well as to the sustainable enhancement of corporate value.

Structure

CSR activities are overseen by the CSR Committee, which is led by the head of the General Affairs Department, Member of the Board and includes responsible members from the Corporate Planning, General Affairs, Human Resources, Legal Affairs, and Environment Safety Management departments. The CSR Committee, generally holds meetings four times a year.The committee is responsible for discussing and making decisions on important CSR related matters, bringing matters before and submitting reports to the Management Committee, and overseeing information disclosure through Integrated Report preparation and other means.
The activities of the CSR committee provide a focal point for PDCA cycles we engage in to achieve prosperous coexistence with each of our stakeholders.

Tokai Carbon Gorup Stakeholders

Important managerial Issues (Materiality) and Goals

In November 2019, as a first step to establish an ESG management base, we specified our “Materiality” that we should focus on.
In terms of specifying the materiality, we ①identified the issues from the perspective of both Tokai Carbon Group and our stakeholders, ②assessed each materiality, ③discussed those at the CSR Committee which works under the management committee, referring to the opinions of external experts and ④finally, it was decided by resolution of the Board of Directors.
Hereafter, we will sincerely face each materiality, contribute to the realization of a sustainable society, and appropriately disclose the status of its efforts.

Materiality

Goals

Scope*2

Themes

Elements

Harmony with the global environment Reducing environmental impact Reduce greenhouse gas emissions Reduce energy consumption per unit production (cut by 1% or more annually) Domestic group*3
Reduce pollution Dispose of all low-concentration PCB waste by March 31, 2025 Domestic group
Maintain zero environmental claims against the Company (contamination of air, water, etc.)
Realizing a recycling-oriented society Recycle waste Recycle 80% or more of waste Domestic group
Final disposal rate of 25% or lower
Contributing to society through our business Technological Innovation Emphasize research and development
Devote 80% or more of development expenditures to reducing environmental burden TCJ
Devote 60% or more of development expenditures to reducing environmental burden TKK
Make 80% or more of patent applications in areas related to reducing environmental burden TCJ
Make 60% or more of patent applications in areas related to reducing environmental burden TKK
Supplying safe and secured products Further elevate quality Reduce electrode consumption rate*1 (3% reduction from 2019) TCJ
Supply chain management Raise supplier awareness of CSR Ensure that 100% of key suppliers are aware of our procurement policy on a consolidated basis Consolidated
Reduce CSR risks at suppliers Conduct a CSR survey among key suppliers on a consolidated basis Consolidated
Respect for human rights Raise employee awareness of human rights Provide harassment training based on results of the harassment awareness survey TCJ
Provide due diligence training on human rights Domestic group
Improve understanding of global human rights policy Domestic group
Contribution to community Actively engage in community contribution activities Consolidated
Strengthening our management base Strengthening Corporate Governance Establish a consolidated governance system Consolidated
Ensuring compliance Maintain ethical standards, regulatory compliance Commit no serious regulatory violations Consolidated
Formulate a global code of conduct (tentative name) and inform subsidiaries around the world about it Consolidated
Human resource development Increase employment of women Increase percentage of female career-track employees on a non-consolidated basis TCJ
Percentage of new female graduates hired for career-track positions: 30% on a non-consolidated basis TCJ
Effectively implement training Total training hours planned by head office (New-hire training / specialist training) Domestic group
Promoting Occupational Safety and Health Reduce occupational accidents Reduce frequency rate of occupational accidents (0.98 or lower) Domestic group
Reduce severity rate of 0.007 or lower

*1The rate at which a graphite electrode is used up in the steelmaking process.
*2TCJ:Tokai Carbon Japan, TKK:Tokai Konetsu Kogyo
*3Domestic group: TCJ + major domestic subsidiaries (Tokai Konetsu Kogyo, Tokai Fine Carbon, Tokai Material)

FY2021 Targets

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