CSR REPORT 2016

Report on Corporate Social Responsibility Activities

Continuously contributing
to fulfilling lifestyles
as a mainstay of
information and culture
All of us within the Toppan Groupwill recognize the issues facing society andwork with stakeholders to find solutions.

United Nations Global Compact
The United Nations Global Compact is a voluntarypolicy initiative through which businesses andorganizations enlist their participation in the establishment of a globally recognized practical framework under which every business and organizationcommits to the vision of sustainable developmentby implementing responsible, creative leadershipinitiatives and acting as a responsible member ofsociety. Toppan participates in the United Nations
Global Compact, supports its 10 principles in thefour areas of human rights, labour, environment,
and anti-corruption, and implements those principles in its own corporate activities.
Human Rights
Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights; andPrinciple 2: make sure that they are not complicit in human rights abuses.
LabourPrinciple 3: Businesses should uphold the freedom of association and the effective
recognition of the right to collective bargaining;
Principle 4: the elimination of all forms of forced and compulsory labour;
Principle 5: the effective abolition of child labour; andPrinciple 6: the elimination of discrimination in respect of employment and occupation.
Environment
Principle 7: Businesses should support a precautionary approach to environmental challenges;
Principle 8: undertake initiatives to promote greater environmental responsibility;andPrinciple 9: encourage the development and diffusion of environmentally friendly
technologies.
Anti-Corruption
Principle 10: Businesses should work against corruption in all its forms, including
extortion and bribery.

1

TOPPAN CSR REPORT 2016

CSR Report 2016
The Toppan Group considers stakeholders’ interests and reports its
corporate social responsibility (CSR) activities in line with the sevencore subjects set under the International Organization for Standardization (ISO) 26000 standard, a globally recognized set of guidelines
on social responsibility.
I Period Covered: This report mainly covers activities in fiscal 2015
(from April 2015 to March 2016), though information on prior andlater years is also included in parts.
I Scope and Boundary: Toppan Printing Co., Ltd. and its Group entities
consolidated for accounting purposes. The information on personnel
principally applies to personnel within Toppan Printing Co., Ltd., theparent company. The environmental performance data covers T­ oppanPrinting Co., Ltd. and 15 manufacturing subsidiaries in Japan.
I Publication Dates (English version)
Previous report: November 2015
Current report: November 2016
Next report: November 2017 (planned)
I Related Information
CSR information: http://www.toppan.co.jp/english/csr.html**Including CSR Report 2016: Detailed Data
IR information: http://www.toppan.co.jp/english/ir.html
I Guidelines
This report was edited according to the Environmental Reporting
Guidelines (fiscal year 2012 version) issued by the Ministry of theEnvironment of Japan. The report also presents information in linewith General Standard Disclosures required by the Global Reporting
Initiative (GRI) G4 Sustainability Reporting Guidelines.
I Contact Information
CSR Promotion Department, Public Relations Division
Toppan Printing Co., Ltd. (Tokyo, Japan)
Email: csr@toppan.co.jp

Special
Report 1

10

Creating New Value
P.
with a Focus on
HealthCONTENTS

Group Business Outline 

2

Executive Message 

4Toppan’s Corporate Social Responsibility Activities:
Digest 2015 

6Toppan’s CSR 

8Special Report 1 

10Creating New Value with a Focus on HealthSpecial Report 2 

14SpecialReport 2

Popularizing and Promoting Para-Sports
Special Report 3 

14Popularizing
and Promoting
Para-Sports

P.

Supporting
Education to
Improve Literacy

P.

18

Supporting Education to Improve Literacy
Initiatives at Toppan and
the Seven Core Subjects under ISO 26000 

20Organizational Governance 

21

Human Rights 

24Labor Practices 

26

Fair Operating Practices 30Consumer Issues 34Community Involvement and Development 

38

The Environment 40   Toppan’s Environmental Activities 40   Environmental Management Activities 40   Toppan’s Environmental Burden and Environmental Impact 

42  Eco-protection Activities 42  Eco-creativity Activities 46   Environmental Communication Activities 

46

Independent Assurance 48

Independent Assurance Report 

49

SpecialReport 3

TOPPAN CSR REPORT 20161801

Group Business Outline
Corporate Profile

Business Fields

Corporate name

Information & Communication

Toppan Printing Co., Ltd.
Head office

1, Kanda Izumi-cho, Chiyoda-ku,
Tokyo 101-0024, Japan
Phone +81-3-3835-5111

Providing solutions to enhance the value of
information and deliver it effectively to customers who require smooth communication.

Established

1900
President & Representative Director

Content Business

Shingo Kaneko
Number of employees(nonconsolidated)

8,993 (as of the end of March 2016)
Number of employees(consolidated)

46,705 (as of the end of March 2016)
Capital (nonconsolidated)

104.9 billion yen
Secure Business

Marketing

Living & Industry

Group Profile
The Toppan Group (“the Group”) comprises Toppan Printing Co., Ltd. (“theCompany”) and 167 related companies(146 subsidiaries and 21 affiliates)
engaged in manifold businesses in threefields: Information & Communication,
Living & Industry, and Electronics.
Detailed information on related companies can be found in the financial statements posted on the Toppan website(http://www.toppan.co.jp/ir/material/
report.html [in Japanese]).

Providing a wide range of
products and services to create living environments thatoffer comfort and peace ofmind.

Packaging

Functional Product & Energy
RelatedInterior Décor Materials

Display Related

Semiconductor RelatedElectronics
Using advanced technology
and manufacturing capabilities to develop products
related to displays and semiconductors.

02

TOPPAN CSR REPORT 2016

Group Business Outline

DATA
Net Sales

1,474.6 billion yen(billion yen)■Consolidated ■Nonconsolidated

2,000
1,500

1,510.4

1,000

1,502.3

849.2

1,532.0

819.9

1,526.9

815.7

2011

2012

2013

781.5

2014

Net Sales by Region(billion yen)(billion yen)

Information &Communication
925.8 (63%)

Electronics
152.6 (10%)

Asia, excluding Japan
156.8 (11%)

Other regions
56.8 (4%)

1,474.6
773.6

500
0

Net Sales by Business Field

Living &Industry396.1 (27%)

Japan
1,260.9 (85%)

2015(fiscal year)

Operating Income

Net Income

Total Assets & Return on Assets (ROA)

48.5 billion yen

35.2 billion yen

1,876.5 billion yen / 1.8%

(billion yen)(billion yen)■Consolidated ■Nonconsolidated

60
45
30

32.0

31.5

15

4.4

24

–7.1
2011

2012

18.5
15.1

16
7.7

10.1

6.8

8

20.619.2

22.8
11.1

3.0

2013

2014

2015
(fiscal year)–8(billion yen)

1,500
6.5

4.0
1,994.6
1,586.8 1,633.0

1,712.3

1.2

1.2

1,000

2012

2013

2014

2015
(fiscal year)

0

2011

2012

2013

Capital Expenditure

R&D Expenses

1,066.8 billion yen / 3.8%

63.2 billion yen

17.9 billion yen(billion yen)(%)(billion yen)

1,250

5.0

100

1,000

1,082.8
888.4

866.2

750

2.5

1,066.8

913.1
2.7

80

3.0

60

2.0

40

1.0

20

5

0

0

0

2.7

250
0.4
2011

2012

2013

2014

2015
(fiscal year)

Number of Employees■Consolidated ■Nonconsolidated
48,87848,751

48,99946,70540,00020,000

0

72.1

63.2

20

1.0

21.4

2014

–1.0

2015
(fiscal year)

20.6

19.8

19.0

17.9

2012

2013

2014

2015
(fiscal year)

15
10

2011

2012

2013

2014

2015
(fiscal year)

2011

Company-wide positions
1,243
Electronics
5,292

Information &Communication
28,809

Living &Industry
11,361

30,00010,00066.8

1.8 2.0
1.2

Number of Employees by Business Field(consolidated)

46,70550,000 47,872

76.1

3.8 4.0

500

0

25
76.8

3.0

0

Net Assets & Return on Equity (ROE)(billion yen)

1,876.5

0.2

500
–3.2
2011

(%)

2,500
2,000

0

0
–15

35.2

32

48.5

40.8

35.7

■Consolidated ■Nonconsolidated

8,508
2011

8,587
2012

8,604
2013

8,900
2014

8,993

2015
(fiscal year)

TOPPAN CSR REPORT 201603

Executive Message

Contributing to Fulfilling Lifestyles
First of all, let me express my condolences and heartfelt
sympathies to the victims and those who lost friends or
loved ones as a result of the Kumamoto Earthquake incentral Kyushu in April of 2016. My thoughts are with everyone who has been affected by the loss of life and property
damage in the quake. We are all praying for swift reconstruction and recovery in the affected regions.
Turning to the economy, the U.S. recovered steadily
enough in fiscal 2015 to depart from its zero-interest-rate
policy. Recovery trends also gradually spread in Europe,
but the economies turned downward in Russia, China,
and other emerging countries that had been leading the
global economy.
The fiscal 2015 outlook in Japan remained uncertain,
clouded by factors such as the diminishing effects of thegovernment’s economic policy, downside risks from theslowdown in Asian emerging countries, collapsing oil
prices, and volatile financial and capital markets.
While the growth of digital sectors such as online advertising and e-books expanded, the shrinking trend of paperbased printing businesses and the fall in unit sales prices
continued to constrain markets in the printing industry.
Net sales of the Toppan Group fell slightly in fiscal 2015,
though operating income, ordinary income, and net income
all increased year-on-year in spite of the challenging conditions described above. We credit these results to ouraggressive initiatives to take on Toppan’s three management challenges: advancing our Group-wide structuralreform, creating new businesses and new markets, andaccelerating global business expansion.

Towards a “New Age for Printing”
Three industrial revolutions have transformed manufacturing industries in the last several hundred years: the invention of the steam engine in the late 18th century, the adoption of electricity in the early 20th century, and theinformation revolution from the late 1960s. Now we arepoised to enter a fourth industrial revolution driven byIndustrie 4.0 and the Industrial Internet using the Internetof Things (IoT).
Big opportunities come whenever societies enter phasesof major change across industries and national borders.
I am leading the Toppan workforce on an endeavor toembark on the development of a new era, a “new age forprinting.” We can use the printing technologies we havebuilt up since our foundation and equip ourselves with

04

TOPPAN CSR REPORT 2016

information to bring out the boundless expertise of ouremployees. With this technology and information we aim
to solve the challenges of our client companies with everhigher effectiveness and evolve into a group of companies
that provides total solutions to help overcome challenges
facing our societies and planet.

Being a Company that Grows Steadily withSociety
We position TOPPAN VISION 21 as the foundation for allof our corporate activities. This vision consists of a Corporate Structure (the Corporate Philosophy, Corporate Creed,
and Conduct Guidelines defining the values and standards
we should respect) and Business Fields based on the Corporate Structure. If we are to truly realize TOPPAN VISION
21, I am convinced that we will have to fulfill our social
responsibility as a corporation committed to solving social
issues and driving our growth in step with all of society.
As an invaluable guideline to fulfill our social responsibility, Toppan has been participating in the United Nations
Global Compact and supporting its 10 principles on humanrights, labour, environment, and anti-corruption since September 2006. I will continue espousing the United Nations
Global Compact and directing our corporate social responsibility (CSR) activities accordingly.
We incorporated the International Organization forStandardization (ISO) 26000 Guidance on Social Responsibility (international standard for organizations) into our
CSR management practices in fiscal 2011. We have beenpushing forward with CSR activities by piecing together aclear picture of the social issues we should help solve andthe social responsibilities we should fulfill. The ISO 26000
standard condenses various social issues to address. Our
measures to tackle these issues correspond directly to therequirements of the United Nations Global Compact.

Solving Diverse Social Challenges
I value our employees as precious “human assets” of the­Toppan Group and understand how deeply the Groupdepends on them. The key challenges for me as the top
manager are to safeguard the health of employees andtheir families and enable them to perform at their very best.
The Group Health Management Declaration established in
October 2015 has two goals: to further enhance the healthof employees and their families and to contribute to society
by supporting public health-promotion initiatives throughExecutive Message

health-related businesses.
Working in cooperation primarily with our health insurance union, we have launched a series of measures toenhance the health of employees and their families. We
also support local government-led health-promotion activities by leveraging our solutions in customer relationshipmanagement (CRM), business process outsourcing (BPO),
and so on.
We are now accelerating diversity management efforts
in the hope of actualizing a growth strategy focused on
employee diversity. To disseminate this policy to society atlarge, we initiated our para-sports support activities in2015. We launched a website highlighting the virtues ofpara-sports with a view to popularizing and heightening
awareness of para-sports and drawing spectators to thevenues. We have also held hands-on events to give
employees opportunities to learn more about para-sports
and appreciate their value.
In September 2015 the United Nations published a setof Sustainable Development Goals (SDGs), a series of targets for social issues for the international community tocommit to solving. Literacy inextricably links to the end ofpoverty and hunger, healthy lives, gender equality, andother SDGs. The Toppan Group has embarked on literacy
improvement activities as a fast-track strategy for progressing towards the SDGs. Since fiscal 2007 we have been
holding the Toppan Charity Concert series, a fundraisingmechanism to support literacy in developing countries in
Asia through the Asia-Pacific Cultural Centre for UNESCO(ACCU). We have supported classes on literacy and maternal and child health for expectant mothers and mothers
raising young children. In fiscal 2015 Toppan discussed
the challenges encountered in the literacy classes with the
ACCU and a Cambodian NGO working on the initiative.
We considered how best to operate and support the literacy classes under the initiative going forward.

With Our Stakeholders
At Toppan we would like to continue disclosing information
through this CSR report, one of our most valuable tools forcommunicating with our stakeholders. I am eager to hear
your candid opinions about this report.
We will keep up our work towards the creation of fulfilling
lifestyles in a sustainable society. We rely on your ongoingsupport and guidance.

August 2016

Shingo Kaneko
President & Representative Director
Toppan Printing Co., Ltd.

TOPPAN CSR REPORT 201605

Toppan’s Corporate Social Responsibility Activities

Digest 2015
The Toppan Group engages incorporate social responsibility (CSR)

Human Rights

activities in line with action points andtargets established based on

P. 24–

Action Points for Fiscal 2015

the seven core subjects under ISO 26000.

I Heightening awareness of the I Working for equal opportunity inindividual career development
importance of respecting
and helping employees pursue
basic human rights
their own career paths
I Providing an open
I Supporting second careers forenvironment and information
retired employees
for recruitment
I Proactively appointing female I Promoting the employment of
persons with disabilities
employees to higher positions
I Supporting para-sports

The following two pages enumerate
the main activities undertaken under
the core subjects.

Main Results in Fiscal 2015
Number of female
managerial andsupervisory staff(nonconsolidated)

Action targets, measures, results, self-evaluation, and other details
relevant to the seven core subjects are posted on the Toppan website.

http://www.toppan.co.jp/english/csr/csrreport.html

Organizational Governance

P. 21–

Average monthly number ofpage views of SPORTRAIT,
Toppan’s para-sports
information website

299

5,958
*September 2015–
March 2016

*As of April 2016

Labour Practices

P. 26–

Action Points for Fiscal 2015

Action Points for Fiscal 2015

I Developing CSR management based on ISO 26000
I Facilitating business continuity management (BCM) activities

I Supporting work-life balance
I Creating a better working
environment throughpartnerships between laborand management
I Ensuring occupational healthand safety and reinforcing
countermeasures against fires

Main Results in Fiscal 2015

Main Results in Fiscal 2015

Number of management
and operation audits

31

20,105

pvs

I Reinforcing countermeasuresagainst disasters
I Promoting healthcare andhealth enhancement
I Arranging measures formental healthcare
I Developing and fostering
human assets*

Number of employees who have taken
childcare leave (nonconsolidated)295(including 160 male
employees)

Ratio of regular
medical check-ups for
Number of employees who
participated in Group-widee-learning-based education
programs on CSR and theenvironment

dependents of
employees

73.7%*Toppan values its employees as precious “human assets.”

06

TOPPAN CSR REPORT 2016

Toppan’s Corporate Social Responsibility Activities: Digest 2015

The Environment

P. 40–

Consumer Issues

P. 34–

Action Points for Fiscal 2015

Action Points for Fiscal 2015

I Reduce CO2 emissions
I Reduce final landfill waste disposal
I Reduce VOC emissions into the atmosphere

I Ensuring consumer safety through the strict prevention ofquality-related accidents
I Evaluating environmental impact (disclosing CFP)I Establishing a management structure towards the complete
elimination of information security accidents

Achievement rate for the
reduction target for final
landfill waste disposal

Main Results in Fiscal 2015
Achievement rate forthe reduction target forCO2 emissions

Emissiontarget613

Actualemissions133.3%
achieved

Disposaltarget240

kilotons

13

Main Results in Fiscal 2015
Number of products registeredin the carbon footprint of
products (CFP) system

tons

160

Number of regular training
sessions in information
security management

Actualdisposal

340

tons

551 110.2% achieved
kilotons

Fair Operating Practices

P. 30–

Community Involvement
and Development

Action Points for Fiscal 2015

Action Points for Fiscal 2015

I Heightening awareness of laws, regulations, and theConduct Guidelines
I Complying with transaction-related laws and regulations
I Promoting CSR initiatives in the supply chain

I Arranging social contribution programs to help
solve social issues

Main Results in Fiscal 2015

Main Results in Fiscal 2015

Number of employees who
have worked as Conduct
Guidelines Promotion Leaders

7,581*Cumulative total fromfiscal 2004 to fiscal 2015

Number of business
partners who haveparticipated in briefing
sessions on the Toppan
Group CSR Procurement
Guidelines

2,068*Cumulative total fromfiscal 2014 to fiscal 2015

P. 38–

Number of countries where Toppan
has supported initiatives to provide
literacy education through the
Toppan Charity Concert series

I Thailand
I Bangladesh
I Cambodia

3

ABC

countries*Cumulative total fromfiscal 2007 to fiscal 2015

TOPPAN CSR REPORT 201607

Toppan’s CSR
Toppan’s Ideal “Corporate Structure”
TOPPAN VISION 21 sets forth the basic concepts and direction for the ongoing growth of the Toppan Group in harmony
with society and the global environment. The vision consistsof a “Corporate Structure” and a set of “Business Fields.”
Toppan believes that endeavors to realize the Corporate
Structure will support the sustainable development of theGroup and society as a whole.
Corporate Structure
The Corporate Structure is made up of three elements:­Toppan’s Corporate Philosophy, the Corporate Creed, and theConduct Guidelines.
The Corporate Philosophy specifies ideals and the mostimportant values and concepts for the Group. The Corporate
Creed expresses the standards to be kept foremost in mind
when performing business operations. The Conduct Guidelines set out the basic concepts and behavioral norms for
Toppan employees both as businesspeople and as membersof society.

CSR Activities
Corporate social responsibility (CSR) activities are prominent
among Toppan’s many endeavors to realize the ideal Corporate
Structure the Group envisions. The United Nations Global
Compact is an invaluable guideline for the Group as it undertakes CSR activities. Toppan also keeps close track of ISO
26000 Guidance on Social Responsibility, an international
standard for organizations. ISO 26000 encourages organizations to address seven core subjects—organizational governance, human rights, labour practices, the environment, fair
operating practices, consumer issues, and community involvement and development—and emphasizes stakeholder
engagement.
Dialogues with Stakeholders
The Toppan Group has identified categories of stakeholders
who are either vital for its business operations or potentially
impacted by them: customers (client companies, consumers),
business partners, communities, shareholders/investors, andemployees.
Stakeholder opinions learned in the course of daily operations are reflected in the Group’s CSR initiatives. Toppan­Printing Co., Ltd. takes part in the Global Compact Network
Japan. In fiscal 2015 the Company entered dialogues withexperts within the network to discuss various topics pertaining
to human rights, the supply chain, and other areas.

Material Issues
To promote CSR activities, the Toppan Group has selectedissues expected to become more important based on theprinciples of materiality. By assessing CSR-relevant issues
according to two criteria, the “influence on stakeholder assessments and decisions” and “Toppan’s economic, environmental, and social impacts,” the Group has identified the following
as issues that will become more material: human rights, humanresource development and diversity, the environment, promoting social responsibility in the value chain, and privacy (personal information protection).
The Toppan Group will advance measures pertinent to thematerial issues identified and review the issues as necessary.

n Selection StepsClassifying detailed issues andidentifying relevant issues
Toppan classified detailed social issues featured in the ISO
26000 and GRI G4 Sustainability Reporting Guidelines andidentified the issues considered relevant to the Group.

Prioritizing issues
Toppan prioritized issues after assessing each for its“influence on stakeholder assessments and decisions” andconnections with “Toppan’s economic, environmental, andsocial impacts.”
I Assessment points for the “influence on stakeholder
assessments and decisions”• Issues raised during stakeholder dialogues• Criteria for socially responsible investing (SRI)• Approaches by benchmark companies

I Assessment points for “Toppan’s economic,
environmental, and social impacts”• Relevance to the management challenges• Relevance to the Corporate Structure• Progress of Toppan’s CSR activities

Opinions from outside Toppan
Toppan engaged outside experts in dialogues and listened
to their opinions on the process the Group uses to selectmaterial issues.

08

TOPPAN CSR REPORT 2016

Toppan’s CSR

n Toppan’s Ideal “Corporate Structure”
Corporate Philosophy
Each of us shallreciprocate our customers’continued trust,create dedicated products by

Corporate Creed

Conduct Guidelines

To build our customers’ trust throughsincerity, enthusiasm, and creativity inall our corporate endeavors.

Chapter 1: Basic Principles
1. Respecting basic human rights
2. H
 aving high ethical standards andacting as a responsible memberof society
3. C omplying with laws andcompany rules and conducting
fair business operations
4. A
 voiding all links with antisocialgroups
5. S triving to improve quality
and providing creations
that contribute to customer
satisfaction
6. R ecognizing the importance of
information related to businessand managing it appropriately
7. P roactively undertaking
conservation of the global
environment
8. E
 mbracing change and taking on
new challenges
9. B
 uilding trust from society
through social contribution
activities and appropriate
disclosure of information
10. B ringing together individual
strengths to fully exploit the
integrated strength of the group

To strive for total innovation froma global perspective by conducting
marketing and technologicaldevelopment rich in originality.

harnessing our vibrant knowledge
and technology,
and contribute to a fulfilling lifestyle asa mainstay of information and culture.

Established in June 2000

To conduct fair and open business
operations while acknowledging oursocial responsibilities and aspiring forharmony with our global environment.
To create a positive working
environment by maximizing ourindividual talents and strengths
as a team.

TOPPAN VISION 21
http://www.toppan.co.jp/english/corporateinfo/
vision/corp_image/rinen.html

To enhance our corporate standing
and promote the continual
development of the Toppan Groupthrough the exploration of new
possibilities.

Established in June 2000; revised in
November 2010
Established in June 2000

See page 33 for Chapter 2: Specific Conduct
Guidelines.

n Issues Expected to Become More MaterialIssues Expected to Become More Material

Influence on
stakeholder
assessments
and decisions

I Human rights
I Human resource
development anddiversity
I The environment

I Promoting social
responsibility in thevalue chain
I Privacy (personal
information protection)

Issues Judged to be Fundamentally
Material for Toppan as a Group of Companies
I Labour practices
I Fair operating practices
I Consumer issues

I Community involvementand development

Toppan’s economic, environmental, and social impacts

TOPPAN CSR REPORT 201609

Special
Report 1

Creating New Value witha Focus on Health
Health is an important precondition for enjoying an active life and working more productively.
The Toppan Group has declared a commitment to practicing thorough health management toimplement initiatives towards improved health.

Health Management for the Future of Companies and Communities
A healthy body and mind allow an employee to fully apply
his or her individuality and abilities at work. The health of
employees is vital to a company’s efforts in advancing corporate activities and offering value to society.
Based on the fundamental concept of respect for people, the Toppan Group has been active since its foundationin launching various measures for employee health in cooperation with the Toppan Group Health Insurance Union. In
October 2015 the Group announced a Health Management
Declaration to maintain and enhance the health of Group
employees by visualizing and reorganizing health promotion
plans and actions. The President & Representative Director has been put in charge of health management andundertaken a set of tasks and responsibilities to accelerate
the Group’s health management efforts.
The Health Management Declaration states policies forpromoting the health of employees and their families andcontributing to society through health-related businesses
that support community health promotion activities. Toppan
has also created a Health Management Promotion Council where representatives from the Group and its healthinsurance union can carry out various measures througha collaborative process.
The Group and the health insurance union work handin hand to push forward with health-related businesses

10

TOPPAN CSR REPORT 2016by leveraging wide-ranging knowhow and capabilities
in-house. Both will engage in businesses to develop andimprove innovative solutions for health maintenance andenhancement in order to contribute to the creation of awholesome society that enables peace of mind.

n Structure for Health Management Promotion
Collaborating in
implementing measures
Head of healthmanagement(President &Representative Director)

Health Management
Promotion Council

Health management
promotion supervisor(Director in charge of
personnel and generalaffairs departments)
Collaborating

Healthinsurance union andpersonnel andgeneral affairs
departments
at the head office
Collaborating

Departments
Publicinvolved in healthcare
relations
Collaborating department
businesses

General affairs
departments at
operational sites
Toppan Printing
Labour Union
Safety and
Health Committee
Industrial physicians
Clinics andmedical specialists

Industrial counselors

Special Report 1: Creating New Value with a Focus on Health

Promoting the Health of Employees and their Families
Toppan defines a healthy employee as a person sustainedby a strong motivation to take on new challenges, an ambition to work vigorously with a healthy body and mind, andan earnest commitment to follow through on tasks to­completion.

Measure1

Health Enhancement Measuresby the Toppan Group Health
Insurance Union

Toppan has consolidated various health-related services
implemented by the Toppan Group Health Insurance Union
into the Toppan Group GENKI (good health) Program. This
program encourages operational sites, the labor union, andthe health insurance union to work together with employees
and their families to achieve good health. In parallel, clinics
operating at 35 Group sites across Japan provide medicalcare and review the results of health check-ups to offer specialist advice such as guidance and referrals to outside clinical care providers for those employees who require it. These
services seek to prevent lifestyle-related diseases proactively
and support the good health of employees and their families
and the vibrancy of the operational sites where they work.
The Group’s countermeasures to prevent diabetes andhypertension from worsening are key in its work against
lifestyle-related diseases that can potentially affect employees. Based on analyses of health examination data provided by Toppan, the health insurance union provides
nutritional instructions and other healthcare guidance andrecommends early clinic visits for employees at high riskof serious conditions.
Measures for improving the ratio of medical check-ups
for the prevention of lifestyle-related diseases among
dependents (i.e., employee families) have achieved­significant results. The health insurance union worked withthe operational sites in fiscal 2015 to encourage dependents to come in for check-ups. Invitation postcards weresent out in autumn to attract more applicants. Families yet
to respond were sent out reminders 45 days before theclosing date for application. These measures raised the
medical check-up rate among dependents to 73.7% in
fiscal 2015.
The Group will plan more measures and schemes topersuade employees and their families to participate inhealth enhancement activities.

The Group will continue promoting the health of employees and their families by helping them maintain and improvetheir mental and physical condition and by adopting new
mechanisms focused on further health enhancements.

Measure Art Salon, a Clinical Art Workshop
2 Program
Art Salon is a workshop program to activate participants’brains and refresh their minds through art. This program
has been created in collaboration with a Group company,
Institute of the Formative Art Co., Ltd., based on a clinicalart approach.
Art Salon sessions aimed at promoting employee healthare held at Group sites across Japan, including special
sessions for employees and their families during summer
holidays.

Measure3

Toppan Sports Festival Jointly
Organized by Labor andManagement

Toppan regularly holds a Group-wide sporting event tofacilitate communication among employees, build a senseof unity within the Toppan Group, and enhance an understanding of the Group among employee families.
Two key features define the festival: Group employees
and managers of all ages participate; and the event is
exclusively planned, prepared, and operated by employees,
mainly young ones.

TOPPAN CSR REPORT 201611

Spreading Health Enhancement Knowhow across Society throughToppan’s Businesses
The Toppan Group exploits its accumulated printing technologies to expand healthcare-related businesses in collaboration with partner companies. Solutions in customer
relationship management (CRM) and business process
outsourcing (BPO) will be leveraged in areas such as health

Case

1

enhancement, early prevention, and general nursing support systems for communities. To achieve good healthacross society, the Group will provide one-stop support
for formulating strategies, executing measures, verifying
benefits, and improving actions.

Increasing the Medical Check-up Ratio for Early Detection ofLifestyle-related Diseases—Initiative in Fukuoka City, Fukuoka Prefecture

Japan’s national healthcare expenditure reached 40 trillion
yen in fiscal 2013. The figure is expected to continue­growing as the population ages and medical technology
advances. Cancer, hypertension, and lifestyle-related diseases such as diabetes account for a large portion ofhealthcare spending, over 30%. Early detection and cureare certain to play more critical roles in the future.
Japan is faced with the challenge of improving the ratioof the population who receive medical check-ups focusedon metabolic syndrome. The Ministry of Health, Labourand Welfare has set the goal of raising the rate to 60%
among persons covered by the national health insurance
schemes operated by municipalities by fiscal 2017. The
rate in fiscal 2013 was 34.3%, far below the 2017 target.
The Toppan Group is helping the nation address thischallenge by offering a program to improve the ratio ofpeople receiving medical check-ups for lifestyle-relateddiseases performed by municipalities. This program serves
as a one-stop solution to provide every function necessary
to raise the rate. The Group created the program withknowledge and knowhow it acquired in analyzing customer
information, supporting the planning and implementationof communication strategies, and facilitating communication with the elderly. The program also leverages various
CRM communication approaches focused on individuals
with a view to increasing the check-up ratio.
In fiscal 2015 Fukuoka City, Fukuoka Prefecture
entrusted Toppan Printing Co., Ltd. with a project to support several measures to improve the check-up ratio. Specifically, Toppan analyzed demographic data to classify the
persons yet to receive lifestyle-related disease check-ups(covered by the national health insurance) into multiple
segments based on their ages, addresses, and other variables. Based on the results, the Company created direct
mail and other types of notifications tailored to different
age segments. One piece of direct mail, for example,
described the prospective risks faced by people who
receive no check-ups. Another explained potential risks
likely to go undetected even in routine visits to doctors forother health conditions. Toppan also organized multiple
measures such as questionnaire surveys and a handout
listing medical institutions that perform health check-ups
for citizens searching for institutions near their homes.

n Analysis and Segmentation of Target Examinees
Information to be analyzed (example)

Examinee
profiles(basic data on
target examinees)

Medicalcheck-up results

Questionnaire
responses

Target examinee segments
based on the analysis results

Type XXType XXType XXType XXType XX

Developing touchpoints andcreative tools by segment
Direct mail notifications in Fukuoka City customized to the recipient’s ages

12

TOPPAN CSR REPORT 2016

Special Report 1: Creating New Value with a Focus on Health

Case Granting Walking Points to Make Healthy Habits Fun
2 —Initiative in Yokohama City, Kanagawa Prefecture
Like much of Japan, Yokohama City in Kanagawa Prefecture is now coping with the problems of a rapidly aging
population. According to forecasts, people over the ageof 64 will number about 1 million by 2025, making up
26.1% of the citizenry. Among the worries and problems
looming ahead, survey respondents have voiced strong
concerns about their own health and lives after retirement,
as well as the health and everyday problems of their­families.
Yokohama City has established a 10-year plan to be
implemented from fiscal 2013 to 2022 to extend the healthy
life expectancy of its citizens. This plan encompasses ahost of measures to enable all citizens to lead independent
lives as long as possible.
The Yokohama Walking Point project was launched in2014 as a part of the 10-year plan. The project is jointly
operated by the city government and private companies
such as Toppan Printing Co., Ltd. Adults who live or workin Yokohama City can join in. Project participants earnpoints according to their accumulated step counts andredeem their points for entry into prize draws. Points are
saved whenever a participant’s pedometer passes over areader installed at a partner store or location in the city.
This scheme gives citizens a fun incentive to casually walktheir way to good health.

As the back-office administrator, Toppan is responsible
for managing and delivering the pedometers, accepting
applications, responding to inquiries, reviewing and registering applications, linking pedometer counts with the point
system, holding prize draws, delivering gifts, and providing
other services for the citizens participating.
The city government sought to register 50,000 participants in the first year of the project, fiscal 2014. The projectdrew unexpectedly strong attention, attracting over 80,000
citizens by December 2014, only a month after the official
project launch. Toppan had to act swiftly and deftly to copewith the flood of incoming applications. In the years since,
Toppan has continued operating a broad range of administrative works. The Company solicits stores in local shopping areas to participate and cooperate in events andregularly monitors the status of the pedometer readers
installed at more than 1,000 locations (as of April 2016).
Local stores benefit from the incoming traffic the readers
attract.
The latest project goal is to register 300,000 participants
over the four years up to the end of 2017. Participants
totaled about 170,000 as of June 2016. Toppan will use
its resources to offer better, higher-quality services to satisfy the changing operational requirements that come withthe growing scale of the project.

Roles of Toppan

Flow of the Projectn Flow of the Walking Point Project and Toppan’s RolesP
Registering
an application

Cooperationin promotion
I Advertising the
project and designingand delivering
application tools
I Planning andorganizing various
events

Receivinga pedometer

Reading pedometerdata via a reader
Walking withinstalled in a partner a pedometer
store or location

Contact centerI Accepting applications
I Responding toinquiries
Tool managementand delivery support
I Managing anddelivering pedometers

Development of the operating system

Project organizer

Saving points via
Winning a gifta reader installed in Checking thecommensurate withpedometer dataa partner store
points earned!
or location

Services on site
I Finding stores that agree to install
readers (by holding briefings forcandidate stores and inviting themto join) and installing andmanaging readers

Cooperation in promotions
I Holding prize draws and delivering
gifts

I Inputting application data I Linking pedometer counts with the point system
I Managing pedometer data

I Project design I Verification I Co-sponsorship and cooperation

TOPPAN CSR REPORT 201613

Special
Report 2

Popularizing andPromoting Para-Sports
The Toppan Group is helping popularize and heighten awareness ofpara-sports by disseminating information and organizing events.

Supporting Para-Sports More
WidelyThe Toppan Group continues to leverage female talent andemploy persons with disabilities through positive action aspart of its push for diversity management. Schemes suchas an employment system for people specializing in sports
have also been introduced to further develop a growthstrategy emphasizing employee diversity.
To extend Toppan’s growth-through-diversity policy outside the Group, Toppan Printing Co,. Ltd. became an official partner of the Japanese Para-Sports Association(JPSA) in January 2015. Toppan endorses JPSA’s mission
to pursue the “creation of a vigorous, coexistent society”
and has launched various activities to support para-sports.

Website SPORTRAITThe Nippon Foundation has surveyed the awareness andinterest of the general public in the Paralympics in six countries: the U.S., Germany, France, Australia, South Korea,
and Japan. According to survey results released in November 2014, 98.2% of Japanese adults, the highest percentage in the six countries surveyed, know of the Paralympics.

14

TOPPAN CSR REPORT 2016

Photo: Takao Ochi (KanPara Press)

The U.S. respondents had the lowest rate of awareness,
at 71.1%. The country showings were different, however,for the percentages of respondents who had attended
para-sports events other than the Paralympic Games asspectators. Here, the highest ratio was recorded in Germany, at 18.9%, followed by the U.S., at 17.9%. The rate
for Japan was 4.7%. The survey results show that many
Japanese respondents have seen the Paralympic Gameson TV or online, while very few have watched para-sports
at actual event venues.
Based on these results, Toppan hypothesized that thelow para-sports participation and viewing levels in Japanare partly due to a failure to draw spectators. The Group
therefore considered an information dissemination program
designed to draw spectators to the venues. In September
2015 Toppan launched SPORTRAIT, a para-sports information website.
SPORTRAIT provides three essential types of content
to help spectators understand and enjoy their first experiences watching para-sport events. ATHLETES’ CORE
presents the dedication, commitment, and outstanding
talent of athletes with impressive portraits, photographic
accounts, and up-close interviews. POINT OF THE GAMES
introduces the sports to first-time spectators by offering
clear guidance and commentary on the main points, rules,
and other aspects of the events with graphics and illustra-QR code
http://sportrait-web.com

tions. THE SUPPORTERS highlights the games from different perspectives to shed light on the passion and determination of the athletes by focusing on the people,
technologies, organizations, and other elements that makepara-sports possible.
The Toppan Group will continue providing information
to popularize and promote para-sports by linking to official
SNS portals and expanding content.

Highlighting the Appeal of
Para-Sports with Hands-on
EventsThe Toppan Sports Festival has been held annually as alarge-scale labor-management event since fiscal 2012. This
event aims to strengthen the bonds linking colleagues andtheir families.
The 2015 festival, held at Makuhari Messe in Chiba
Prefecture, drew a huge turnout. Over 4,000 employees,
family members, and others came to vie in a medley ofgames in September.
Event organizers set up a “Para-Sports Zone” at thevenue to present para-sports and provide an opportunity
to experience them.

Panels installed at the Para-Sports Zone introduced
12 para-sports events. Another exhibit displayed thewheelchair, tennis whites, and racket used by wheelchairtennis player Yui Kamiji, along with the plate she received
as the 2015 Wimbledon Ladies’ Wheelchair Doubles
champion. Bell balls and eye masks for blind football werealso on display.
Visitors to the Para-Sports Zone were encouraged toexperience four para-sports events: wheelchair tennis,
blind football, wheelchair rugby, and wheelchair racing.
In simulators set up for wheelchair racing, participants
tried to keep pace with Toppan Printing’s Suguru Watanabe
in a one-minute sprint. The simulation was a vivid demonstration of Watanabe’s ability as an athlete.
The Toppan Group will continue holding these hands-on
events to enhance the understanding and interest in parasports and attract new fans through communication withathletes.

TOPPAN CSR REPORT 201615

Opinion Exchange on Para-Sports Support
Toppan held a meeting in March 2016 to exchange opinions on strategies to promote para-sports. Participants
discussed the tasks and challenges corporations were
expected to address and how Toppan could support parasports. Valuable input and opinions voiced at the meetingare summarized below. Toppan will incorporate them in its
future activities to promote para-sports.
Purposes and Philosophy of Support
Fujita: Corporate sports teams in Japan often have a toughtime staying afloat when the Japanese economy slows
down. The Japanese Para-Sports Association (JPSA) has
a vision of continuously supporting and developing parasports beyond the Tokyo 2020 Paralympic Game. Japanesecompanies need to agree to this vision. Specifically what
philosophy do you follow as a supporter of para-sports?
Ogawa: The idea of enhancing our support for para-sports
emerged in the natural course of our company’s growth asa longtime proponent of social welfare and supporter of
persons with disabilities. The timing was also good, as it
coincided with our company’s 60th anniversary.
Tsubomatsu: When considering new CSR initiatives, thepara-sports theme clearly matched our corporate philosophy and the “yatte mina hare (give it a try)” spirit, ourcorporate sense of value. We decided to give it a try.
Yamamoto: The most important thing for us, JBFA, is to16

get companies to understand our philosophy and work
together with us towards creating a society where theimpaired and unimpaired mingle together naturally.
Ida: At JPSA we spent a year developing a vision of the“creation of a vigorous, coexistent society” in order to clarify the ideals we pursue. We hope to synchronize our vision
with the philosophies and missions of various companies
and collaborate with companies poised to change society
together as the JPSA family.
Tsubomatsu: The official JPSA partners share the challengeof extending the support beyond 2020.
Yamamoto: Sports associations may be unable to expect
support after 2020 if the sole motivation of corporations
supporting para-sports is to put themselves in the spotlightin the years leading up to the Tokyo Paralympic Games. In
terms of continuous support, it will be essential for us toshare our vision with companies and clarify the value we
aim to offer every company and community.
Types of Support Provided
Fujita: Corporations can support para-sports by employing
para-sports athletes. Do you employ any?
Ogawa: We employ a visually impaired marathon runner.
Supporting his athletic activities enhances the awarenessand understanding of para-sports in our company. He plays
a great role as an ambassador.

Motoaki Fujita, Facilitator

Tomohiro Ida

Kouta Yamamoto

Chairman of the Preparation Committee
Faculty of Sports Science, Nihon Fukushi
University(When the meeting was held: Professor
at Faculty of Health & Sports Science,
Doshisha University)

Director of the Marketing andPublic Relations Department
Japanese Para-Sports Association (JPSA)PR Team Manager of theBusiness Administration Department
Japan Blind Football Association (JBFA)

Naoko Ogawa

Hiroyuki Tsubomatsu

Shinichi Okubo

Corporate Philanthropy Team Leader(When the meeting was held)
CSR & Environmental Affairs Department
Mitsubishi Corporation

Senior General Manager of CSR Department
Corporate Communications Division
Suntory Holdings Limited

Senior Managing Director
Toppan Printing Co., Ltd.

TOPPAN CSR REPORT 2016

Special Report 2: Popularizing and Promoting Para-Sports

Date and place: 3:00 p.m. to 5:00 p.m. Friday, March 18, 2016;
Meeting room, Head Office Building, Toppan Printing Co., Ltd.

Ida: At JPSA we understand that athletes treated well as
employees will be reluctant to migrate when other companies try to recruit them. How a company treats them as
employees overrides how it treats them as athletes. If a
company appreciates them mainly for their athletic abilities,
para-sports athletes will fear for their contracts when injuries or other problems keep them from playing. Many seek
stable employment for second careers after retiring as
athletes. They wish to join a company that is committed
to addressing the employment conditions of the parasports athletes.
Fujita: So far it has been challenging for Japan to increase
the number of companies who employ disabled athletes.
Would the situation change if Japan had excellent coaches
and instructors?
Ida: At JPSA we have about 22,000 people registered inour certified instructor program. Coaching certificates canbe acquired at universities, junior colleges, and vocational
schools. But once these people are employed, manychoose not to use their certificates. Few become established as instructors with close ties to support their athletes.
Yamamoto: Do corporate volunteer activities work well atathletic meets?
Tsubomatsu: Interactions with athletes through volunteer
activities help create fans.
Ida: Some of the volunteers lack opportunities to interact
with the athletes, especially the parking lot attendants,
receptionists, and lunch servers. That’s my observation as
an event organizer.
Tsubomatsu: We would like to see organizers build systems
for cooperating with volunteers, such as exchange meetings between athletes and volunteers on the eves of events.

provide them with as many opportunities to experience
the sports as soon as possible. These factors will lead tocontinuity.
Ogawa: Volunteer activities have added momentum to our
support for para-sports throughout the company andhelped foster a sense of unity.
Opinions on Toppan’s Efforts
Fujita: In closing, could you offer any advice to Toppan?
Ida: Treat your athlete employees as you treat everyoneelse. You might also consider employing several athletes
within your company.
Yamamoto: If you dispatch your employees to sports associations, you can use what they learn there to innovateinternally and develop human resources.
Ogawa: A company acting alone can only do so much.
Let’s work together to create more opportunities to do big
things by bringing together the contributions each of us
can offer.
Tsubomatsu: Continuity is the key. Once we start, we cannot stop halfway. We must be determined to continue such
CSR activities as long as needed.
Okubo: We at Toppan should work to make the people
who join us as para-sports athletes feel at home. Our­persistence will be the true key. Thank you very much foryour time.

Effects and Changes Achieved through Efforts
as a Para-Sports Supporter
Fujita: Has anything changed in your people since you
began supporting para-sports?
Tsubomatsu: Our employees gained a lot of awarenessfrom watching wheelchair basketball games and taking
part in hands-on events. It was extremely important forthem to directly feel the power and enjoyment of games
and witness the skills of the athletes. It was also key to

TOPPAN CSR REPORT 201617

Special
Report 3

Supporting Education to
Improve Literacy
Reading, writing, and calculating with proficiency are essential skills in daily life.
Toppan has driven a support project to improve literacy in developing countries since fiscal 2007.

Literacy—an Issue Shared Globally
Defined generically, literacy is the ability to read, write, andcalculate well enough to function competently in daily life.
Obstacles such as poverty, discrimination, and conflict still
prevent many people around the world from acquiring literacy. Illiterate adults are estimated to number about 781
million worldwide.
A person who remains illiterate has difficulty in gaining
elemental information necessary to live a healthy and safe
life, gain or keep a stable job, or undertake academic study.
Without literacy, he or she is unlikely to acquire the knowledge and knowhow necessary to improve his or her own
livelihood in the future. Literacy is an essential skill for protecting and improving the life conditions of both oneself
and one’s family.
In 2015 the United Nations published a set of Sustainable Development Goals (SDGs) for the international community to commit to achieving. A 15-year agenda, theSDGs aim to end poverty and hunger, improve health,ensure education, achieve gender equality, tackle climatechange, and address 11 other social issues by the target
date of 2030. On education, SDG 4 seeks to “ensure inclusive and equitable quality education” and promote learning
opportunities to acquire reading, writing, and basic calculation skills for all people.

18

TOPPAN CSR REPORT 2016n Examples of Daily Troubles More Likely to
Affect Illiterate Persons

Shortchanged when buying vegetables in a market

Unable to take appropriate medicine when ill

Losing one’s way (unable to read road signs)

Missing a wedding party in a village (unable toread the invitation)

Special Report 3: Supporting Education to Improve Literacy

Toppan Charity Concerts to
Support Improvement in
Literacy
Since its foundation, Toppan has promoted the diffusionand development of the written word and multiple otherforms of information and culture. As part of this effort, theCompany launched the Toppan Charity Concert series infiscal 2007. This annual concert series serves as a fundraising mechanism to support education to improve literacy
in developing countries.

Supporting Efforts in Cambodia
Literacy among Cambodian adults is estimated at 74%, afairly low rate in the global context. While literacy exceeds
90% in Cambodia’s cities, researchers estimate that it
drops off to nearly 75% in surrounding rural districts. Therefore, raising literacy rates in the districts surrounding thecities is seen as an issue that needs to be addressed.
Toppan has donated the proceeds from the concert
series to the Asia-Pacific Cultural Centre for UNESCO(ACCU) since fiscal 2010. The funds are used for literacy
education in Cambodia. In conjunction with the ACCU, theCambodian Women’s Development Agency (CWDA) holds
classes on literacy and maternal and child health for
expectant mothers and mothers raising young children in

Cambodia. The classes provide opportunities for expectant
and nursing mothers to learn about childcare, health andhygiene, nutrition, and other maternal issues while acquiring literacy in the process. The mothers who attend theclasses become more literate, pursue healthier lives fortheir families, and take a deeper interest in education for
their children.
Class-goers and community members reported positive
outcomes from the classes in a survey performed in fiscal
2015. One mother giving feedback said that she hadlearned calculation and could now put aside a bit of money
every month. A local village officer commented that womenfrom the community could now fill in their birth registrations
and other notifications.

Looking Forward
In fiscal 2015 Toppan invited CWDA staff to Japan when
the concerts were held and discussed how to operate theclasses in the future. Mothers attending the classes voiced
their desire to learn knowledge useful for bettering theirlives and incomes, in addition to literacy skills and knowledge on maternal and child health. To respond to theirwishes, the introduction of programs for improving farming
techniques and other skills that contribute to their livelihood
is now being considered. Training courses for local residents and CWDA staff will also be enriched to enhancetheir capabilities as teachers in the classes.

A stilt house where literacy classes are held

CWDA staff at the concerts

Feedback meeting with the learning mothers to monitor the effects of­literacy classes

Discussions between the ACCU, CWDA, and Toppan about the challenges
from here on

TOPPAN CSR REPORT 2016

19

Initiatives at Toppan and the Seven Core
Subjects under ISO 26000
Seven Core Subjects and Issues

Organizational governance

Human rights
Issue 1: Due diligence
Issue 2: Human rights risk situations
Issue 3: Avoidance of complicity
Issue 4: Resolving grievances
Issue 5: Discrimination and vulnerable groups
Issue 6: Civil and political rights

Issue 7: Economic, social and cultural rights
Issue 8: Fundamental principles andrights at work

Labour practices
Issue 1: Employment and employment relationships
Issue 2: Conditions of work and social protection
Issue 3: Social dialogue
Issue 4: Health and safety at work
Issue 5: Human development and training in the workplace

Fair operating practices
Issue 1: Anti-corruption
Issue 2: Responsible political involvement
Issue 3: Fair competition
Issue 4: Promoting social responsibility in the value chain
Issue 5: Respect for property rights

Consumer issues
Issue 1: Fair marketing, factual and unbiased
information and fair contractual practices
Issue 2: Protecting consumers’ health and safety
Issue 3: Sustainable consumption
Issue 4: Consumer service, support, andcomplaint and dispute resolution

Issue 5: Consumer data protection and privacy
Issue 6: Access to essential services
Issue 7: Education and awarenessCommunity involvement and development
Issue 1: Community involvement
Issue 2: Education and culture
Issue 3: Employment creation and skills
development
Issue 4: Technology development and access
Issue 5: Wealth and income creation

Issue 1: Prevention of pollution
Issue 2: Sustainable resource use
Issue 3: Climate change mitigation and adaptation
Issue 4: Protection of the environment, biodiversity and restoration of natural habitats

TOPPAN CSR REPORT 2016

I Respecting Basic Human
RightsI Collective Labor Agreement
I Working for Equal
Opportunity and Eliminating
Discrimination

I Basic Approach Regarding
Human Assets
I L abor-Management PartnershipIS upporting Work-Life BalanceIO ccupational Health and Safety
I Measures for Mental
Healthcare
I Developing and Fostering
Human Assets
I Disseminating the Conduct
Guidelines
I Toppan Group Helpline
I Compliance Education
I Promoting CSR Procurement

I Assuring Product Safety andQualityI Protecting Consumers by
Safeguarding their Personal
Information
I Universal Design Initiatives
I Contributing to Sustainable
Consumption

Pages

P. 21–

P. 24–

P. 26–

P. 30–

P. 34–I Community Involvement
and Development

Issue 6: Health
Issue 7: Social investment

The environment

20

For Details
I Corporate Governance
I CSR Initiatives
I Risk Management Structure
I Business Continuity
Management

P. 38–

I T oppan’s Environmental Activities
I Environmental Management
Activities
I Toppan’s Environmental Burden
and Environmental Impact
I Eco-protection Activities
I Eco-creativity Activities
I Environmental Communication
Activities

P. 40–

Organizational GovernanceCorporate GovernanceDirectors, Board of Directors, and Various Meetings
Toppan has 26 directors, including two outside directors, on its
board (as of the end of March 2016). Board meetings are held
monthly and whenever a pressing matter requires action ordeliberation. Especially important matters are deliberated
beforehand by the Management Committee, a body made up
of directors selected by the President & Representative Director.
The goal is to lay weight on managerial efficiency in businessdecision-making. Toppan will reinforce its corporate governancein fiscal 2016 by introducing an executive officer system andestablishing an advisory committee to deliberate on the appointment of directors and the remuneration they recieve.

Organizational GovernanceCorporate governance provides the foundation for addressing
the seven core subjects under ISO 26000.
Toppan has strengthened its governance structure throughthe establishment of a Management Audit Office, ComplianceDepartment, and Ecology Center under the purview of a Boardof Corporate Auditors* according to the Companies Act ofJapan. Toppan implements governance aimed at maximizing
the corporate value of the entire Group under the Related
Company Administration Regulations prescribed for theadvancement of fair management for the Group.

Corporate Auditors, Board of Corporate Auditors, andAudit Firm
As of the end of March 2016, Toppan has five corporate auditors, including three external auditors, of whom two are independent officers. Along with their own board meetings, thecorporate auditors attend various meetings, including meetings of the Board of Directors and Management Committee
and important meetings on risk management. They systematically carry out audits for operational sites and Group companies in close cooperation with the audit firm and internal
audit-related departments of the Company. By these means,they audit and advise the Company from a preventive perspective to ensure the legality of the operations of the directors
and departments and smooth and appropriate corporate management in line with company policies and regulations. They
also regularly convene a board of corporate auditors from
related companies to improve the effectiveness of the audits
by corporate auditors across the Group.
Toppan has had KPMG AZSA LLC verify the propriety of
the Company’s accounts through audits to enhance the reliability and transparency of the Company’s financial information.
*Effective from April 2016, two official names in English have been changed:
Corporate Auditors ➞ Audit & Supervisory Board Members
Board of Corporate Auditors ➞ Audit & Supervisory Boardn Corporate Governance Structure (as of March 2016)
Meeting of Shareholders
Appointing or dismissing

Appointing or dismissing

Appointing or dismissing

Board of Directors

Auditing
Supervising

Selecting or
dismissing

Auditing

Special Committee (fordefending against takeover bids)

Crisis Management Committee

Management Committee

President & Representative Director

Auditing

Business Divisions
Group Companies
Independently check, evaluate,
and make improvements under
the direction of departments
responsible for laws and regulations

Observingandguiding

Management
Audit Office

Investigates and audits the legality andappropriateness of operational activities

Promotes, monitors, and verifies the strict
observance of business-related laws andregulations and the establishment of
ethical business practices
Ecology Center Coordinates, supervises, and verifies
Toppan’s environmental activities

ComplianceDepartment

Instructing

Guiding

Chief Information Security Manager

Other organizations for control
Safety and Health Committee
National Eco-protection Committee

TPM National Conference

ReportingAssistingNational Conduct Guidelines
Promotion Supervisors

Auditing

Corporate Auditors Office

Audit Firm

Directors in Charge

Considering issues prior to
Board of Directors’ meetings

Board of Corporate Auditors

Responding to emergencies

Advising andcounseling

Working together
The latest information on corporate governance can be found on the Toppan website (http://www.toppan.co.jp/ir/management.html [in Japanese]).

TOPPAN CSR REPORT 2016

21

Strengthening Audit Functions
The Management Audit Office is a body established independently from the business divisions of the Company. Working from legal and rational viewpoints, the office conducts fairand objective audits on the administrative and operational
systems and practical status of the Company’s management
activities. The office provides feedback to the relevant departments on problems, proposes measures for improvement, andreports the audit results to the President & Representative
Director, directors in charge of relevant departments, and corporate auditors. The office carried out 31 management andoperation audits in fiscal 2015. It also conducted maintenanceand operational evaluations of internal controls over financial
reporting for all business divisions and main subsidiaries.
The Compliance Department in the Legal Affairs Division
spearheads the Company’s initiatives to ensure the strict
observance of laws and regulations and to firmly establish
ethical business practices. The department facilitates the complete awareness of the Conduct Guidelines, organizes
employee education on compliance with applicable laws, andimplements internal audits on information security (➞PP. 30,
34). The Ecology Center in the Manufacturing Management
Division supervises environmental activities, conducts internal
audits at operational sites, and monitors the progress ofimprovements (➞P. 40).
Remuneration to Directors and Corporate Auditors
In fiscal 2015 the total annual remuneration to directors was
1,096 million yen and the total annual remuneration to corporate auditors was 115 million yen. Please refer to the section
on corporate governance, etc. in the securities report (in Japanese) for details on the method used to determine remunerations and remuneration-related information.

CSR Initiatives
Promotion Mechanism
Under the President & Representative Director and the Director in charge of CSR, the divisions of the head office work incollaboration with each other to promote CSR activities.
Each division confirms the materiality of action points inline with the seven core subjects set under ISO 26000. The
divisions devise action plans and carry out measures basedon shared information about the issues they are addressing
and the progress they are making. The head office divisions
also coordinate and share information with Group companies
to advance Group-wide CSR initiatives.
Every year Toppan organizes training sessions on CSR
management for new employees (306 participants in fiscal
2015) and e-learning-based basic education programs for
employees at the Company and main Group companies(20,105 participants in fiscal 2015).

22

TOPPAN CSR REPORT 2016

Risk Management Structure
Toppan manages risk comprehensively to avoid risk and minimize loss incurred when an event at risk of occurring actuallyoccurs.
The Rules on Risk Management have been established toaddress matters regarding risk avoidance and the minimizationof loss when a potentially damaging event occurs. In accordance with these rules, the Company has set up a risk management structure under which the responsibilities for risk management are allotted to specific divisions in the head office basedon the types of risk involved. Under this structure, the directors
in charge of each relevant division are responsible for taking
measures to prevent, avoid, and correct each type of risk.
Toppan reviews various types of risk to be managed oncea year and examines countermeasures to be taken in line withthe rules. The Company also holds a regular Risk Management
Liaison Meeting for the persons in charge of risk managementin the head office divisions in order to share information on acontinuous basis and respond to risk practically.

Business Continuity Management
To prepare for the possible occurrence of a wide-scale disaster, the Toppan Group institutes business continuity management (BCM) activities under the Basic Plan for Countermeasures against Earthquake Disasters. These activities aim tominimize damage to the Group and maintain a steady supplyof products and services to customers.
To enhance Group-wide competence for business continuity, Toppan repeats various BCM drills, reinforces buildings
and structures with seismic strengthening retrofits, installs
satellite-based mobile phone networks, and takes other proactive measures necessary for BCM.
In fiscal 2015 Toppan equipped all Japanese sites with IP
transmission systems to doubly protect the lines of communication in an emergency. In addition to regular BCM assessments of business partners, the Group held training sessions
for business partners to secure the stable supply chainsrequired for more effective BCM.
Toppan Printing Co., Ltd. received the Grand Prize at theBusiness Continuity Advancement Organization (BCAO) Award
2015 in recognition of its business continuity efforts over the
past five years.
The Toppan Group seeks to coexist with communities asa social benefactor through ongoing BCM activities.

n CSR Promotion Structure
President & Representative Director

CSR promotion departments
Administration
Public Relations Division
Secretary Office
Corporate Planning
Division
Personnel & Labor
Relations Division
Legal Affairs Division
Finance & Accounting
Division
Manufacturing
Management Division
Business Development& Research Division

BCM drill (Higashinihon Division)

Types of Risks to Be Managed
Accidents involving
Accidents or complaints related to products (Manufacturing
products or product liability Management Div.)
Accidents related to main computer systems (ICT Management Div.)
Occupational accidents, traffic accidents, or other accidents involving
employees (Personnel & Labor Relations Div.)
Incidents related to notes or accounts receivable (Finance & Accounting Div.)
Legal problems with orders received (Legal Affairs Div.)
Accidents or disasters
related to company
Leakage of personal information, internal confidential information, etc.
operations(Legal Affairs Div.)
Accidents or disasters related to fires or explosions (Manufacturing
Management Div.)
Illegal activities related to the storage of solvents, management of
dangerous chemicals, etc. (Manufacturing Management Div.)
Damage to the company’s internal computer system due to cyberterrorism, illegal access or use of company information, or leakage ofDefamation, slander, or
personal information, internal information, etc. (ICT Management Div.)other criminal damages
Acts of violence against the company (threats, kidnapping, or robbery)(Personnel & Labor Relations Div.)
Unreasonable demands from antisocial organizations or transactions
Relationships with
conducted between business partners and antisocial organizations
antisocial organizations(Legal Affairs Div.)
Material losses or personal accidents suffered by customers or the
Natural disasters
company due to earthquakes, wind or water damage, lightning, etc.
(Personnel & Labor Relations Div.)
Risk in business management Shareholder derivative lawsuits or hostile takeovers (Legal Affairs Div.)
Unlawful activities related
Violations of the Subcontract Law of Japan or illegal transactions withto external contracts
business partners (Manufacturing Management Div.)Infringements of intellectual
Infringements of patents, trademarks, or copyrights (Legal Affairs Div.)
property rights
Violations of environmental laws or standards or illegal disposal ofEnvironmental problems
industrial waste (Manufacturing Management Div.)
Product accidents, environmental problems, fires or natural disasters or
Risk in overseas businessdamage to human or physical resources caused by international
activities
conflicts, terrorism, etc. (Corporate Planning Div.)

Receiving the Grand Prize at the BCAO Award
ceremony

Organizational GovernanceDirector in charge of CSRn Types of Risks to be Managed and the Relevant Head Office Divisions in Charge

Comprehensive disaster-preparedness drill(Akihabara)Countermeasures against Disasters
The Toppan Group takes comprehensive disaster-preparedness measures throughout the operational sites across Japan under the Basic Plan for Countermeasures against Earthquake Disasters. The basic plan specifies that Toppan employees are to: 1) take safety-first actions based on the concept ofrespect for people; 2) fulfill social responsibilities by maintaining steady supplies of products and services that society needs most; and 3) cooperate withgovernments and communities to minimize damage and provide aid for affected people.
All Japanese sites hold disaster drills and employee firefighting training sessions. In their communication drills, for example, they use their own communication systems to confirm their ability to promptly confirm the safety of their employees and employee families in the event of an actual disaster. In
February 2016 Toppan tested an inter-operational-site drill to enable sites to confirm the safety of each other’s employees from remote locations by
issuing safety confirmation alerts to employees in the Kanto region and the Kinki region on two separate days, one in each region. The head office site in
Akihabara and other main Group sites also organize regular comprehensive disaster-preparedness drills to rehearse the actions to be taken during actual
wide-scale disasters: the initial damage assessment and safety confirmation, the evacuation procedures, the employees’ journeys back home from theworkplace on foot, and the distribution of stockpiled supplies. In conjunction with these drills, the Group sites continue stockpiling water, food, and otheremergency supplies to support local communities and commuters who will have no means to return to their homes.
The regular repetition of these drills will keep all Toppan employees on alert and provide them with the know-how necessary for dealing with emergency
situations quickly and properly.

TOPPAN CSR REPORT 201623

Human Rights
Respecting Basic Human Rights
The Toppan Group operates business under the foundational
concept of respect for people. The Conduct Guidelines, which
set out behavioral norms for Toppan personnel, call for respecting basic human rights (respecting personal qualities and individuality; prohibiting discrimination and harassment; prohibiting
child labor and forced labor; and so on [➞P. 33]). Based on
The Toppan Group Declaration on the Global Environment andthe Basic Policy on Biodiversity, the Group promotes environmental conservation initiatives to avoid negative impacts on
the lives of people living near its operational sites (➞P. 40).
Toppan has been carrying out education on human rights
through CSR training for new employees and e-learning-based
programs on CSR and the environment for all employees of
the Group. To disseminate initiatives for respecting humanrights throughout the entire supply chain, the Group sets forth
an article on respecting basic human rights in the Toppan
Group CSR Procurement Guidelines and asks business partners to comply with this article (➞P. 32).
Toppan has also set up dual hotlines through which employees and business partners can promptly report inappropriate
actions.

Collective Labor Agreement
The Toppan Printing Labour Union and the Company’s management have concluded a collective labor agreement in orderto stabilize labor-management relations, maintain and improve
working conditions, and secure the corporate concord. The
agreement sets forth a fundamental policy between labor andmanagement, the rules governing union activities andlabor-management negotiations, and employment conditions
such as wages and working hours.
As a fundamental policy between labor and management,
Article 1 of the collective labor agreement, the General Principles, stipulates that the Company and union shall contributeto society through business operations and collectively workfor the benefit of the Company and long-term stability of theemployees’ livelihood. Labor and management both uphold
this policy as a common goal. Article 2 of the agreement clearlystates that the union has all the rights established by law,
specifying that the Company shall respect the union’s rights
to organize and collectively bargain and act.
The Toppan Printing Labour Union is run by members from10 Toppan Group companies. The union and the Company
have concluded an agreement to impose a uniform set of
liability-related clauses (rules governing union activities andlabor-management negotiations) on all 10 Group companies.

Working for Equal Opportunity andEliminating Discrimination
Toppan pursues diversity management to innovate and create

24

TOPPAN CSR REPORT 2016

value by engaging diverse human resources and nurturing
their competence to its full potential.
Positive Action
Toppan promotes positive action to bring out the full potential
of individual employees and assign them to more diverse positions regardless of gender. To uphold the ideals stated in the
Act to Advance Women’s Success in their Working Life, a newJapanese law enforced in April 2016, the Company undertakes
a consistent, well-planned program of actions, including measures to appoint more female employees to managerial positions based on their skills and motivation.
Self-determination on the Career Path / In-house Staff
Recruitment / Second Careers
Toppan has established the Challenging Job System, a self-directed program to encourage employees to report their work
experience, official qualifications, medium-to-long-term careerdevelopment plans, and the departments and divisions towhich they would like to be transferred. The combined effectsof the Challenging Job System and an in-house staff recruitment system nourish a problem-solving, can-do mindset tofacilitate the placement of the right person in the right position
across the Company. For retired employees in their second
careers in company life, Toppan offers working options well
suited to their knowledge, experience, skills, and motivation.
Eighty-four of 94 employees who retired in fiscal 2015 were
reemployed.
Employment of Persons with Disabilities
Toppan promotes the hiring of persons with disabilities in collaboration with a special subsidiary, Tokyo Metropolitan Government (T.M.G.) Prepress Toppan Co., Ltd. The Company
maintains the hiring and employment of persons with disabilities by devising procedures and routines adjusted to theircapabilities to empower them to perform wide-ranging jobs inthe workplace.
Providing an Open Environment for Recruitment
Toppan hires diverse persons of both genders and of manynationalities, ages, and levels of physical and mental ability
through recruitment channels such as the regular hiring of new
graduates from universities and high schools and the hiring of
persons with disabilities and experienced personnel in the
middle of their careers. Toppan participates in a number of
events, such as forums for international students learning inJapan, to make contact with human resources suited tocareers in a global business environment.
The Company also holds multiple job-specific screenings
in Japan to offer recruits a wider choice of employment opportunities in accordance with their own aspirations and vocational aptitudes. In the winter of fiscal 2015 the Company raninternship programs with practical training sessions for 106
students.

n Initiatives for Respecting Basic Human Rights
Participating in the United Nations Global Compact
Toppan participates in the global policy initiative and respects basic human rights in a proactive manner.

Respect for people
A universal concept highly valued by Toppan

Establishing and disseminating
the Conduct Guidelines

Organizing training
and education

Toppan specifies respect for basic humanrights in the Conduct Guidelines—itslisting of behavioral norms for
employees—and disseminates thisprinciple across the Group.

Toppan respects personalqualities and individuality, and hires
and treats employees without
discrimination of any kind.

Toppan carries out education onhuman rights in rank-based training.

Promoting CSR procurement

Operating hotlines

Contributing to society

PP. 30, 33)(

P. 32)(

Toppan cites respect for basic
human rights as a guiding principle in
its CSR procurement guidelines andasks business partners to comply
with the guidelines.

PP. 30, 32)(

Human Rights

Working for equal opportunityand eliminating discrimination(

PP. 18, 38)

Toppan supports people’s livelihood
mainly through educational cooperationand the donation and supply of money
and goods throughout the world,
especially in developing countries.

Toppan operates dual hotlines
through which both employees andbusiness partners can report
inappropriate actions.

In fiscal 2015 Toppan participated in working groups on due diligence for human rights organized by the Global Compact Network Japan.
Toppan gathered information and held opinion exchanges with other members on respect for basic human rights.

n Female Managerial andSupervisory Staff(as of April)■ Female supervisory staff■ Female managerial staff
300
250
200

n Number of Recruits

299
251

233
197

226

150

192

181
150

100

Technical

Regular recruitment of new graduatesfrom high schools and colleges oftechnology

Fiscal 2014

Fiscal 2015

Male

69

88

98

Female

42

50

73

Male

94

102

102

Female

33

40

35

47

52

59

73

2013

2014

2015

2016 (year)n Employment of Persons with
Disabilities
2014
2015
2016
247
247
250
Employees
Percentage
2.09% 2.10% 2.07%
of total
workforce**The percentage is calculated based on the
total number of regular employees (as of June1) as a denominator. The total number waspresented in the Disabled Persons Employment Report in accordance with Article 8 of
the Law for Employment Promotion, etc. of
the Disabled of Japan.

Fiscal 2016

Male

1

5

3

Female

11

21

33

250
(34.4%)

306(36.3%)

344(41.0%)

19

27

—

10

29

—

Total number of regular recruits(percent women)

500Regular recruitment of new
graduates fromuniversities andgraduate schools

Sales,
administration, etc.

Mid-career recruitment of experienced Male
personnel
FemaleToppan Becomes One of the Diversity Management Selection 100
In fiscal 2013 Toppan Printing Co., Ltd. became one of the “Diversity Management Selection 100,”a group of companies selected by the Ministry of Economy, Trade and Industry of Japan. The ministry aims to broaden the foundations of human resource
diversity by selecting and recognizing the companies of
the Diversity Management Selection 100 for their trackrecords in innovation through the engagement of diverse
human resources. Toppan’s efforts to promote diversity
have been extensive. The ministry gave high marks to theCompany’s initiatives to harness the unique capabilities
and perspectives of women employees, especially in theareas of product and service development.

TOPPAN CSR REPORT 2016

25

Labor Practices
Basic Approach Regarding Human Assets
Toppan values its employees as precious “human assets” andunderstands how deeply it depends on them. From this perspective, the Company supports the motivated, vigorous, andearnest work of the Toppan workforce. The Company keenly
understands the importance of the motivation to take on new
challenges, the drive to work vigorously with a healthy bodyand mind, and an earnest commitment to follow through ontasks to completion. When employees are vigorous, earnest,
and have strong motivation, Toppan is convinced that theirtrue abilities come through in full force.

Labor-Management Partnership
Toppan’s labor union and management respect each other’s
positions as partners with shared ideals. They have been working together on various issues on an equal footing. Businesscouncils are convened as Company-wide and operational site
forums to discuss wide-ranging managerial issues. Several
special committees are also convened to deliberate pertinentissues of the day. Standing committees meet to discuss longstanding issues such as working hour reductions, wages, andhealth and safety. Individual labor-management committees
meet when necessary to discuss specially designated subjects
such as the creation of a working environment amenable toenhanced job satisfaction.
Toppan has adopted a union shop system. In principle, allnon-managerial employees belong to the labor union as­members.

Supporting Work-Life Balance
Efforts to Shorten Working Hours
Senior management, managers, and employees have been
jointly instituting measures to shorten working hours with a viewto achieving better work-life balance and maintaining employee
health. They undertake initiatives from various approaches,
including measures to improve operating effectiveness byreviewing the ways individuals work and the ways managementadministrates; to equalize overtime hours by adjusting operations within departments; and to introduce new working systems such as flextime and irregular working schedules.
At the ongoing business councils and labor-management
committees, labor and management exchange opinions anddeliberate measures to further shorten overtime working-hours
and comply with the revised Labor Standards Act of Japan.
They also analyze the actual overtime practices and review
the use of the newly introduced working systems. Labor andmanagement at each operational site have been discussing
approaches to create more accommodating workplace environments that encourage employees to take leave. The measures they have devised and implemented are tailored to theactual working conditions at their sites.

26

TOPPAN CSR REPORT 2016

Efforts to Support Employees with Children
Toppan has striven to create a working environment in which
employees can achieve better work-life balance. It does so by
providing systems for childcare and nursing care leave,
reduced working hours, higher family allowances for dependents, and employee benefits of other forms.
From fiscal 2015 Toppan began paying a full salary for the
first five days of childcare leave taken by male employees, inorder to support employees with children by encouraging theuse of the childcare leave system. In fiscal 2016 the eligibility
period for preferential work shifts such as reduced working
hours for employees with childcare responsibilities was
extended to the end of a child’s fourth year of elementary
school (surpassing the age three requirement imposed under
the applicable Japanese law).
Toppan has also been gradually enhancing the “Hagukumi(nurturing) Program” since fiscal 2012. This program supports
the well being of employee parents by providing therapeutic
activities for parents on childcare leave, activities to share theknow-how necessary for maintaining good balance between
working and raising children, and activities to give employees
in various positions opportunities to learn about and consider
the importance of work-family balance.
Efforts to Support Employees Bearing Nursing Care
Responsibilities
In October 2015 Toppan’s labor union and management significantly enhanced measures to help employees maintain
good balance between work and care at home by reviewing
the results of employee questionnaires on nursing care. These
measures respond to employees’ worries about care for family members and create an environment where employees canconcentrate on work free from anxiety.
Toppan has relaxed the eligibility requirements for nursing-care-related systems by, for example, expanding coverage
to include family members deemed to be “in need of support”
according to the criteria of the Long-term Care Insurance System of Japan. To enable employees to more flexibly adjust
their working hours for care, Toppan has provided systems
for switching from nursing care leave to shorter working hours
for care, divvying up periods of leave, extending the available
periods of time, and so on. The Company has also enhanced
financial support during nursing care leave by offering benefitsof various types, including an increased allowance for nursing
care leave. In response to strong requests from employees formore information on work-care balance, Toppan has launched
an in-house website to offer general information on nursing
care, contracted consultants outside the Company to provide
advice free of charge, and opened other similar channels.
Support eligibility criteria have also been expanded to allow
care-giving employees to commute by Shinkansen bullet train
after a job relocation or transfer, to ensure that they can continue caring for their parents.

n Number of Personnel (as of March 31)
Directors
Fiscal 2013
Fiscal 2014
Fiscal 2015

Management
Supervisors
Class

Total
Employees

AverageTenureAverage
Age

Male

26

1,822

1,779

7,395

15.3

42.2

Female

0

47

148

1,209

9.9

33.6

Male

26

1,933

1,826

7,586

15.1

42.6

Female

0

52

180

1,314

9.8

34.0

Male

26

1,989

1,843

7,576

15.4

42.9

Female

0

59

192

1,417

9.8

34.2

n Reasons for Leaving*1

Part-timeWorkers

Dispatched
Staff

8,604

705

71

8,900

681

112

8,993

562

203

n Annual Paid Leave Used

Fiscal 2013

Fiscal 2014

Fiscal 2015

Personal reasons

188 (52)

204 (48)

184 (39)*2

Retirement

88 ( 1)86 ( 5)94 ( 0)

Requested by thecompany0 ( 0)

0 ( 0)

0 ( 0)

Other

90 ( 3)83 ( 0)92 ( 3)Total

366 (56)373 (53)

370 (42)

4.1%

4.1%

4.0%

Turnover rate

Sum Total
Employees

Fiscal 2013

Fiscal 2014

Fiscal 2015

8.0

8.3

8.6

41.7%

43.3%

45.1%

Average paid leaveused (days)
Average ratio*3*3 Average ratio = average paid leave used / average paid leave grantedLabor Practices*1 
The number of female employees who left the Company is shown in­parentheses.
*2 One female and 31 male employees took advantage of the Company’s
support system for employees pursuing second careers.

n Average Annual SalaryFiscal 2013
Average Annual
Salary6,711,582 yenn Employees Taking Maternity or Childcare Leave
Fiscal 2014
6,647,468 yen

Fiscal 2013

Fiscal 2014

Fiscal 2015

Employees taking
maternity leave

76

81

85

Employees taking
childcare leave*4

124 (4)136 (3)295 (160)

Fiscal 2015
6,697,391 yen*4 The number of male employees who took childcare leave is shown inparentheses.

n Main Leave Systems andFamily Benefits
I Stock leave
I Childcare leave
I Rehiring of employees who
leave the Company todeliver and bring up
childrenn Hagukumi (nurturing) Program
A scheme to support the wellbeing of employee parents

Hagukumi Program

I To provide therapeutic activities for parents on childcare leave
I To share the know-how necessary for maintaining good balance between
working and raising children
I To give employees in various positions opportunities to learn about andconsider the importance of work-family balance

I Nursing care leave

Hagukumi Art Salon

Hagukumi Seminar

Hagukumi Circle

I Leave for child healthcare(from fiscal 2012)(from fiscal 2013)(from fiscal 2014)

I To strengthen bonds
between parents and children
I To stimulate interaction
among employees currently
on childcare leave
I To cope with anxieties about
returning to work

To learn and enhance understanding about good balance
between work and parenting
throughout the workplace

To build a network of working
parent employees who wish to
discuss their concerns about
work and parenting and shareideas and tips on work-familybalance

I Volunteer leave
I Staggered work-hours
I Dependent family
allowance
I Partial subsidization ofbabysitter expenses
I OtherDetailed information on Toppan’s main leave systems and family benefits is shown in the CSR Report 2016: Detailed Data posted on the Toppan website(http://www.toppan.co.jp/english/csr/csrreport.html).

TOPPAN CSR REPORT 201627

Occupational Health and Safety

Developing and Fostering Human Assets

Back in 2010, Toppan formulated a Basic Policy on Healthand Safety based on a “safety first” theme. Since then the
Company has upgraded the intrinsic safety of machines andequipment, organized legal and regulatory compliance training
mainly for foremen at operational sites, and undertaken various
initiatives such as safety promotion and risk assessment activities led by safety promotion leaders. Through these efforts,
the number of occupational accidents has been gradually
reduced overall.
Yet older employees are still prone to accidents outside ofactual work areas, such as falls, collisions, or false steps onstaircases. Toppan has taken several steps to ensure safety
awareness among employees primarily through safety education and the renovation of workshops to better accommodate
older employees. Company-wide efforts are also underway tocomply with an ordinance mandating companies to conduct
risk assessments on chemical substances, effective from June
2016 in Japan.
Rising recognition of the Anzen Dojo, Toppan’s safety training facility, has attracted high commendation from other companies nationwide. Toppan will continue opening the dojo to
trainees from outside the Company.

Concept of Human Asset Development and Fosterage
Mindful of how deeply it depends on its employees, Toppan
fosters individuals with ambition and integrity who will go on
to become the driving force towards the realization of TOPPANVISION 21. Toppan would like to contribute to society as acorporation blessed with human assets with excellent communication skills and heightened awareness and sensibilities.

Measures for Mental Healthcare
Labor and management implement various measures to maintain the health of employees, a keystone for Toppan’s corporate activities. Rank-based training is offered to prevent mental illness or to promptly detect and treat it if it develops. The
Company opens counseling rooms, distributes handbooks tomanagerial and supervisory staff, concludes advisory agreements with mental healthcare specialists, and undertakes
various other measures in the same vein. Several rules havebeen included in the employment regulations to enable
employees to more readily return from mental healthcare leave.
These rules define a clear set of criteria for deciding when an
employee should return to work, measures to prevent therecurrence of leave, and programs to support employees once
they return to work.
In fiscal 2015 the Company introduced a stress check system under the revised Industrial Safety and Health Act of Japanand arranged an e-learning program on self-care for all
employees at the Company. These and other related measures
are designed to prevent mental illness, improve working environments, and enhance job satisfaction among employees.
Toppan and a Group company called Institute of the Formative Art Co., Ltd. jointly operate Art Salon, a workshop torefresh employee minds and bodies through the creative workof painting. Art Salon sessions are held all around Japan.
­Toppan and the institute also hold the Summer Holiday Art
Salon for Parents and Children, an art-making meet-up for
employee families.

28

TOPPAN CSR REPORT 2016

Various Programs to Develop Human Assets
Toppan has set up a human asset development platform called
the Toppan University. This in-house virtual university supports
life-long learning, skill improvement, and career enhancement
while striving to foster top leaders.
In fiscal 2015 the Company organized “Dialogue in theDark,” a training workshop for new employees to provide theexperience of daily living in the dark with the aid of hearing
and other senses unrelated to vision.
The Toppan Business School (group training) and Challenge
School (correspondence learning courses), meanwhile, offer
self-development training for employees. A cumulative total of
9,407 people trained in these schools in fiscal 2015. Employees also have ready access to basic, Group-wide education
via the e-learning system. A cumulative total of 126,558 people took part in e-learning programs in fiscal 2015.
To foster human assets for global business, the Company operates a trainee system to provide employees with practical training
in day-to-day business activities overseas. Sixty-eight employees
were deployed as trainees under the system from fiscal 2011
to fiscal 2015. The selective training on globalization launched infiscal 2010 supported a cumulative total of 567 candidates foroverseas assignments by fiscal 2015. Since fiscal 2012, 13
employees in the advanced-learning course for the selective
training have attended short-term open programs at International Institute for Management Development (IMD) in Lausanne,
Switzerland, one of the world’s top-ranked business schools.
Toppan organizes specialized training to bolster employee
commitment to solving social issues in Minamisoma City, Fukushima Prefecture, an area seriously affected by the Great
East Japan Earthquake of 2011. Toppan employees have also
worked as Japan Overseas Cooperation Volunteers for theJapan International Cooperation Agency (JICA) to help addresssocial issues for the international community while developing
themselves as individuals.
Strengthening the Environment to Develop Human Assets
Toppan has established training centers in Kawaguchi, Saitama
Prefecture and Yugawara, Kanagawa Prefecture to nurture
human assets. These centers are venues for various training
sessions and interaction between Toppan personnel. The
Company also operates an education management system
to help employees enhance their abilities and skills. E-learning
programs are arranged and employees can review the records
on their own training online. Training tools and information onlearning courses are also provided.

n Occupational Health and Safety
Deaths fromoccupational
accidents

2013

2014

2015

0

0

0

Frequency rate*1

0.20

0.05

0.05

Severity rate*2

0.002

0.000

0.001

n Overview of the Mental Healthcare System
Primary
Prevention:

Proactive measures

Secondary
Prevention:

Early detection

Mental healthtraining
I In rank-based
training
I Incorporation
into optional(group)training

Support for returning
employees (fresh starts)

Early recovery

Regular mental health check-ups,
including stress checks*1 Number of occupational accidents requiring employee leave, per million cumulative
actual working hours (reflects the frequencyof occupational accidents)*2 Number of workdays lost as a consequenceof occupational accidents, per thousand
cumulative actual working hours (reflects theseverity of occupational accidents)

Steps to Prevent
Recurrence:

MedicalTreatment:

Contracts with mental healthcare specialists

Cooperation with medical and counseling institutions outside Toppan• A clear set of criteria
for deciding whenan employee on
leave should return• Rules for preventing
the recurrence ofmental healthcare
leave

Guidance and information about
consultants outside Toppan (contracted with
the Toppan Group Health Insurance Union)

Programs to support employees returningfrom mental healthcare leaveCounseling rooms
Art Salon, an art session for employees
Steps to allay
anxiety after
resignation

Financialassistance fromthe Toppan Group
Fraternal Benefit
Society andsimilar sources for
fixed periods after
resignation

Labor Practices

Appointment
and deploymentof a person totake charge ofmental healthenhancement
at everyoperational site

Anzen Dojon Systematic Human Asset Development Programs“Conduct of High Value” Based on the Corporate Philosophy and Corporate Creed
Earning the trust ofcustomers

Strengthening businessfoundations

Knowledge andinformation skills

Ability to identify andformulate tasks

Fulfilling corporatesocial responsibility

Strengtheningorganization

Improvingcorporate value“Abilities and Skills” for “Conduct of High Value”
Ability toaccomplish tasks

Rank-based Training
I New division manager training
I New department manager
training
I New manager training
I New supervisor training

Techniques andknow-how

Skills in communicationand fostering subordinates

Department-based Training

I New employee Company-widetraining
I Early career planningI OJT brother/sister training

I Program to strengthen sales
departments
I Training for new managers intechnology and manufacturing
departments
I Training for employees in
production control departments

I Training for new supervisors intechnology departments
I Individual department-based
training (purchasing, secretary,
personnel & labor relations,
technology & research, etc.)

Basic Company-wide Education (e-learning)

Globalization Training

Training by Divisions

Toppan Business School

I Basic education on TOPPANVISION 21
I Basic education on CSR
I Basic education on theenvironment
I Education on profit maximizationin business
I Basic education on globalization

I MBA abroad training
I Study abroad program forengineers
I IT training in India
I Short-term overseas study
I Selective training on global
business
I Trainee system

I Training in each division or
workplace
Selective Training
I Executive business school
I Training to nurtureindustry-leading talent
I Program to develop humanassets who can create new
businesses and markets
I Advance—Shaping the Future

I Group training
I e-learning
I Dispatching human assets
outside the Company
Challenge School

Operated together with Toppan Mind Wellness Co., Ltd., an education consultation company within the Group entrusted with training projects insideand outside the Group.

TOPPAN CSR REPORT 201629

Fair Operating Practices
Disseminating the Conduct Guidelines
In June of the year 2000, the centennial of Toppan Printing
Co., Ltd., Toppan established the Conduct Guidelines, a setof normal standards of behavior based on the Corporate­Philosophy and legal compliance (➞ P. 33).
In November 2010, Toppan completely revised the guidelines into the Toppan Group Conduct Guidelines, a set ofcommon principles that all Group companies around the world
are required to observe for the assurance of strict compliance.
These Group-wide guidelines are reviewed every year to adjust
to changes in business environments, social conditions, andother conditions relevant to the Group.
Conduct Guidelines Promotion Leader System
The Toppan Group operates a Conduct Guidelines Promotion
Leader system. In this system, every Group site assigns a
Conduct Guidelines Promotion Supervisor (the “Supervisor”)
and Leaders (the “Leaders”) for disseminating the Conduct
Guidelines and ensuring full guideline compliance. Supervisors
and Leaders implement ongoing activities directly connectedwith their daily business operations. Seven hundred and fifty-four Leaders were deployed across the Group in fiscal 2015,
including 66 women (8.8% of the Leaders). A cumulative totalof 7,581 employees have worked as Leaders since the system
was launched in 2004. Toppan will continue with measures toresolutely foster and assign more female Leaders and deploy
many more Leaders to enhance compliance awareness among
employees.
Dissemination Activities by the Conduct Guidelines
Promotion Leaders
The Leaders formulate action plans tailored to the details of
business operations and conditions, staff compositions, andother individual factors at the workplaces where they serve.
They organize Conduct Guideline read-throughs, facilitate
discussion using concrete cases, and implement other measures to activate compliance awareness among their colleagues. The Leaders also report on their activities and discuss
outstanding cases.
Tools to Promote the Conduct Guidelines
Toppan gives every employee in Japan a Conduct Guidelines
Casebook, a Q&A style casebook describing situations that
can arise in daily work. The Group uses the casebook for
rank-based education and the Leaders use it to disseminate
the guidelines at their workplaces.
The fiscal 2015 edition of the casebook newly addresses
topical themes such as quasi-legal drugs and the handling ofindividual identification numbers under Japan’s new Social
Security and Tax Number System.
Toppan also posts regular Conduct Guideline Notifications
on themes relevant to the guidelines in order to heighten
employee awareness and call attention to compliance-related
issues. The notifications posted in fiscal 2015 covered topics

30

TOPPAN CSR REPORT 2016

such as unlawful conduct, corporate misdoings, the leakageof personal information, and the unauthorized removal of confidential information from the workplace.

Toppan Group Helpline
When an employee discovers a legal violation or improper
conduct somewhere in the Toppan Group, he or she is toreport it to his/her superior for deliberation as a basic rule. If
the employee’s superior fails to resolve the problem, theemployee is encouraged to call the Toppan Group Helpline,
the Group’s internal reporting system. The helpline is kept
open for use by all Group employees, including dispatchedstaff and part-time workers. No employees used the helplinein fiscal 2015.

Compliance Education
Training for Conduct Guidelines Promotion Leaders
As in previous years, Toppan held group training for Conduct
Guidelines Promotion Leaders in fiscal 2015. The training wasscheduled in two phases. In the first, 608 Leaders were trainedin 43 sessions across Japan from May to August 2015. In thesecond, 532 Leaders were trained in 41 sessions from November 2015 to March 2016.
The Group devises ways to enhance the effectiveness of
training at the sessions through activities such as group discussions using case methods describing actual incidents andaccidents.
Education on Compliance with Transaction-related
Laws and Regulations
Toppan regularly organizes transaction-related training andchecks and audits how business transactions are being handled in Japan. Both activities are key to preventing improper
export and import transactions and ensuring compliance with
the Subcontract Law. In fiscal 2015, a total of 140 employees
participated in group sessions focused on export controls
under the Foreign Exchange and Foreign Trade Act; 443
employees were trained on compliance with the Subcontract
Law; and 7,557 employees took a course on export controls
via the e-learning system.
Briefing on ComplianceToppan was not involved in any serious accidents or violationsof laws or regulations in the course of business in fiscal 2015.

n Structure to Promote the Conduct Guidelines
President & Representative Director

Director in charge of Conduct Guidelines Promotion
Compliance Department, Legal Affairs Division

Business divisions

Head office divisions

Division heads

Conduct Guidelines
Promotion Supervisor
Senior General Manager
of Legal Affairs Division

Conduct Guidelines Promotion Supervisors
Person in charge of management: Business Strategy Department GM
Person in charge of education: General Affairs Department GM

Conduct Guidelines
Promotion Leadersin sales and planningdepartments
Supervisors fromeach department

Conduct Guidelines
Promotion Leadersin administrative
departments
Supervisors fromeach department

Conduct Guidelines
Promotion Leadersin manufacturing
departments
Supervisors or educational
leaders from each department

Conduct Guidelines
Promotion Leaders
Supervisors fromeach department

Employees

Employees

Fair Operating Practicesn Toppan Group Helpline
Communicator

When the problem
remains unresolved

Any Group employee
Reporting andconsultation

Reporting on
progress andresults, follow-up
communication

Superior
Internal reporting(an email or sealed document sentin the name of an employee)

Conduct Guidelines Casebook (in Japanese)

Approach to Intellectual Property

ReceiverPresident & Representative Director
or Senior Corporate Auditor
Toppan Printing Co., Ltd.
Instructions

Reporting

Department responsible forinvestigation and countermeasures

Protection and management of intellectual property is a crucial issue
for Toppan, a group of companies operating in the three fields of Information & Communication, Living & Industry, and Electronics. The Groupdevotes strict attention to measures to prevent the infringement of copyrights, trademarks, and other intellectual property rights of third parties
while obtaining patents for its own technologies and business models.
Apart from in-house special training, Toppan holds regular training
sessions for employees of the Toppan Group and its business partners.
Participants in these sessions acquire basic legal knowledge on intellectual property rights by reviewing case histories in design work andother operations involving intellectual property issues within the Group.

TOPPAN CSR REPORT 201631

Promoting CSR Procurement
The Toppan Group implements CSR initiatives in cooperationand collaboration with business partners throughout the entire
supply chain. The Toppan Group CSR Procurement Guidelines
are a set of principles the Group observes to drive thisendeavor. These guidelines consist of the Basic Procurement
Policy, a conceptual framework to be closely observed byevery Toppan employee involved in procurement operations,and the CSR Procurement Standards, a set of requirements
to be satisfied by every business partner. In January 2014 theGroup revised them into guidelines stipulating standards ofaction pertaining to human rights, labor, the environment, andanti-corruption, the four issues globally emphasized in CSR
initiatives. By fiscal 2014 Toppan had held briefing sessions
with questionnaires for 2,047 business partners. The Group
briefed 21 business partners on the guidelines in fiscal 2015.
Turning to the environment, the Toppan Group promotes
CSR procurement in line with specific standards such as theStandards for the Management of Chemical Components of
Raw Materials and the Paper Procurement Guidelines for the
Sustainable Use of Forest Resources.

Verifying the Legality of Lumber as Paper Material
The Toppan Group promotes the sustainable use of forest
resources by monitoring paper suppliers (business partners)
to ensure that the lumber they use for paper production islegally obtained. The Group surveyed 32 sites of 28 business
partners around the world in fiscal 2015 and confirmed that
all of the procured lumber was obtained legally.
Promoting Compliance in Procurement Departments
The Toppan Group regularly checks whether its procurement
departments operate properly in accordance with the Basic
Procurement Policy in their transactions with business partners.
The Group asked seven business partners to fill out questionnaires in fiscal 2015 and used the results to improve compliance in procurement operations. Toppan has also set up
the Supplier Hotline*, a portal for receiving reports from business partners, on its website.
*http://www.toppan.co.jp/english/corporateinfo/our_suggestion/supplier_hotline.html

n Toppan Group CSR Procurement Guidelines
Basic Procurement Policy
I We fairly and impartially offer opportunities to all business partners andpotential business partners.
I We comply with domestic and overseas laws and regulations and conduct
fair business transactions based on corporate ethics.
I We strictly control the information obtained through procurement activities.
I We work to conserve the environment and reduce impact on the­environment.
CSR Procurement Standards
1. Basic Procurement Standards
1) Maintenance and improvement of quality
2) Appropriate pricing
3) Stable supply
4) Product safety
5) Management of information
6) Compliance with laws and social norms
7) Fair business activities
8) Protection of and respect for intellectual property rights
9) Protection of people reporting improper conduct
10) Disclosure of information
2. Procurement Standards Concerning Human Rights, Labor, the Environment, and Anti-Corruption
1) Human Rights
	Business partners should respect the human rights of all people related
to their business activities. They should also ensure that their activities
do not infringe human rights directly or indirectly.

32

TOPPAN CSR REPORT 2016

I We pursue QCD (Quality, Cost, Delivery) in order to meet the needs of themarket.
I We work to foster mutual cooperation and build relationships of trust withbusiness partners.
I We promote CSR initiatives throughout the entire supply chain.

2) Labor(1) Prohibition of forced labor(2) Prohibition of child labor(3) Non-discrimination(4) Prohibition of harassment(5) Respect for workers’ rights(6) Ensuring occupational health and safety(7) The payment of appropriate wages(8) Management of appropriate working hours(9) Consideration for job security and fulfillment of the obligations of an
employer3) The Environment	Business partners should comply with local environment-related laws
and regulations and work to prevent pollution of the atmosphere, water,and soil. They should also continuously measure and assess the use anddischarge of resources and work to reduce impacts on the environment.
4) Anti-Corruption	Business partners should prohibit and prevent conduct such as bribery,corruption, inappropriate provision or receipt of profits, extortion, andmisappropriation.

Conduct Guidelines, Chapter 2 (see “Chapter 1: Basic Principles of the Conduct Guidelines” on page 9.)
Chapter 2: Specific Conduct Guidelines
Basic Principle 1: Respecting basic human rights
1. Recognizing the diverse values of individuals and respecting personal qualities and individuality
2. Prohibition of discrimination of any kind
3. Prohibition of sexual and power harassment
Basic Principle 2: H aving high ethical standards and acting asa responsible member of society
In the conduct of business
1. Acting with pride as a member of the Toppan Group
2. Prohibition of tacit approval of illegal conduct and rule violations
3. Respect for foreign cultures and customs
In our private lives
4. Prohibition of conduct that causes distress to other people
5. Prohibition of drink-driving
6. Prohibition of the possession and use of illegal drugs
7. Prohibition of gambling

Basic Principle 5: S triving to improve quality and providing creations
that contribute to customer satisfaction
1. Making our best efforts for the customer and building a relationship of trust
2. Striving to improve quality in every process
3. Fully ensuring the safety and security of products and services
4. Prohibition of the infringement of the intellectual property rights of others
Basic Principle 6: R ecognizing the importance of information related tobusiness and managing it appropriately
1. Protecting information regarding customers
2. Protecting the company’s confidential information
3. Appropriate handling of personal information
4. Striving for the appropriate management of information and records
Basic Principle 7: P roactively undertaking conservation of the global
environment
1. Striving to reduce the environmental burden of business activities
2. Promoting businesses with consideration for the environment
Basic Principle 8: Embracing change and taking on new challenges
1. Making proposals that embrace change to customers
2. Advancing technical development that meets the needs of customers
3. Having an awareness of problems and striving to improve the status quo
4. Striving to enhance one’s knowledge, skills and techniques
5. Securing and using intellectual property
Basic Principle 9: B uilding trust from society through social contribution
activities and appropriate disclosure of information
1. Proactively participating in the company’s activities to contribute to society
and local communities
2. Contributing to the development and passing on of skills and culture
3. Disclosing information appropriately and enhancing the transparency ofbusiness activities

Fair Operating Practices

Basic Principle 3: C omplying with laws and company rules andconducting fair business operations
Legal compliance1. Prohibition of collusion and cartels
2. Prohibition of improper conduct in dealings with business partner companies
3. Prohibition of improper conduct against competitors
4. Prohibition of false transactions
5. Respecting business partners’ standpoints and building appropriate relationships with customers
6. Prohibition of bribery and inappropriate entertainment practices
7. Prohibition of illegal political contributions or donations
8. Prohibition of insider trading
9. Prohibition of illicit import and export transactions
10. Prohibition of child labor and forced labor
11. Compliance with international rules and local laws in overseas business
Compliance with company rules
12. Maintaining discipline and order in the workplace
13. Prohibition of other work without the company’s permission
14. Prohibition of conduct that causes a conflict of interests with the company
15. Prohibition of receipt or provision for personal gain or rebate
16. Appropriate management of assets entrusted to the company by customers
17. Appropriate management and use of company assets
18. Prohibition of prejudicial treatment of persons that have reported problems
via the appropriate procedure
19. Fulfilling duties with integrity
20. Reporting promptly and appropriately

Basic Principle 4: Avoiding all links with antisocial groups
1. Prohibition of any dealings with antisocial groups
2. Prohibition of involvement in antisocial activities
3. Prohibition of provision of unjust benefits

Basic Principle 10: B ringing together individual strengths to fully exploit
the integrated strength of the group
1. Striving to create a lively and vibrant workplace
2. Striving to create a safe and clean workplace
3. Taking pride in the Toppan Brand and striving to cultivate it
4. Group companies working together to maximize integrated strength
Established in June 2000

Revised in November 2010

Toppan Group Basic Policy on Information Security
As a group of companies operating in the information communication industry, each of us at the Toppan Group carries out Group-wide information security
management in the recognition that the management of information necessary for business is a significant managerial challenge for us as a means to reciprocate our customers’ trust and promote the ongoing growth of the Toppan Group.
1. We manage information necessary for our business appropriately in observance of our in-house rules, the law, and the principles of social order.
2. We collect information for appropriate purposes using appropriate methods.
3. We safely manage the information entrusted to us by customers in order to reciprocate our customers’ trust.
4. We are deeply aware of the risks to the information assets we handle, such as illegal access, loss, damage, falsification/manipulation, and leakage of information, and take necessary and reasonable safety measures against these risks. We deal with and rectify any problems that occur promptly and in an
appropriate manner.
5. We establish, operate, maintain, and continuously improve information security management systems.
Established on April 1, 2001

Revised on August 1, 2011

TOPPAN CSR REPORT 201633

Consumer Issues
Assuring Product Safety and Quality
Quality assurance for products at the Toppan Group is a concern for every department, not only the departments directly
responsible for production. The departments involved in marketing, R&D, planning, design, sales, and shipment all contribute to quality. This is why Toppan describes quality assurance as a total activity (“total quality assurance”) and strives
to improve product quality and manage product safety
throughout the Group.
Product Safety
The Toppan Group has established a Basic Stance on Product
Safety Management and Basic Guidelines on Product Safety
Management to secure the safety management of the products it manufactures. Every Group site continues improving
its quality management system (ISO 9001) to bolster productsafety management. Ninety-eight employees took part in training sessions for internal auditors in fiscal 2015.
Certified Approval System for the Production ofFood Packaging
Food packaging requires exacting quality assurance for safety
and sanitation. The Toppan Group has adopted a certified
approval system to ensure that the operational sites of Toppan
and partner companies can manufacture containers and packages only after undergoing audits with checklists in conformance with the Quality Assurance Guidelines for Food Packaging. Toppan audited packaging operations for 15 sites insideand outside the Group in fiscal 2015.
Reinforcing Food Defense
The Toppan Group has worked to ensure food safety by preventing contamination of food during packaging production
processes. In recent years the Group has been reinforcing
food defense to secure safety from hazards that can be deliberately exploited to contaminate food products using toxins
or other harmful substances. The Group refines incoming
security checks, installs more security cameras to monitor
food processing operations, deepens communication between
management and employees, strengthens food defense training, and so on.
Controlling Chemical Substances in Products
The Toppan Group intensively promotes product safety management in all production processes from raw material procurement to product shipment by controlling various chemical
substances whose use is prohibited or restricted. While adhering to green procurement standards prescribed by client companies, the Group has established its own set of Green Procurement Standards attuned to the features of products
manufactured at plants across its business fields. The Group
controls chemical substances in products throughout theentire supply chain.

34

TOPPAN CSR REPORT 2016

Protecting Consumers by Safeguarding
their Personal Information
The Toppan Group protects the rights and interests of consumers by repeating thorough qualification audits based on
stringent security criteria to prevent the improper internal use
of personal information in its tightly secured areas. The Group
works to acquire information security management system(ISMS) certifications in order to propose business plans thatwill enable client companies to use personal data in safer andsecurer ways.
Monitoring the Handling of Personal Information
The Toppan Group keeps various logs on the handling of files,
read/write operations on storage media, and other operational
details in tightly secured areas designated for the handling of
personal information. Information leaks caused by internal
misconduct frequently occurred at other companies in fiscal
2015. To prevent internal misconduct at Toppan, the Groupinstalled a log analysis system to monitor and confirm operations in the tightly secured areas at the head office and every
operational site in Japan. The Group also monitors the comings and goings of employees through entryways and exits,
controls employee access rights and belongings, and manages computer interfacing and read/write operations using
smartphones and other storage media and devices.
Protecting Personal Information against Cyber
Attacks
Two specialized organizations are in place at the Toppan Groupto enhance ICT security measures: TOPPAN-CERT (the computer emergency response team) and the anti-virus task force.
In fiscal 2015 they conducted a drill to rehearse the Group’s
response to a series of targeted email attacks launched tosteal important information.
Completing Internal Training
Self-justifying excuses—like “No one will know,” “No big deal,”“Just a little,” or “It couldn’t be helped”—can often signal alooming danger of misconduct. Toppan reminds all Group
employees to be vigilant whenever they find themselves having thoughts like these. To heighten awareness on security
dangers, Toppan arranges face-to-face group training on internal compliance. Employees receiving the training learn about
employment regulations at the Group and the unfortunate
outcomes of actual cases of internal misconduct documented
in Japanese industry.
Handling Individual Numbers
The Toppan Group undertakes strict measures to minimize
the risk of internal leaks resulting from the exchange of individual identification numbers under the Social Security andTax ­Number S­ ystem of Japan.

n Basic Stance on Product Safety
Management
We promote product safety management
throughout the Group by securing safety andimproving the quality of our products based on the
Basic Principles of Conduct Guidelines andthe principles of corporate social responsibility as
a protector of user safety and health.

n Number of Domestic Sites with Tightly Secured Areas Designatedfor the Handling of Personal Information (as of March 31, 2016)
Hokkaido (3 areas)

Kansai (15 areas)
Chugoku & Shikoku (1 area)

Tohoku (4 areas)

Kyushu (3 areas)

Kanto (39 areas)n Audits for the Food Filling/
Packing Businesses

Chubu (2 areas)

Audit Points• Agreements with client companies• Quality assurance systems• Management of equipment and inspection devices• Management of safety and sanitation• Steps to prevent the admixture of different
products• Steps to safeguard against insect infestations• Steps to prevent the admixture of foreign
substances• Steps to prevent the outflow of defective products• Steps to prevent contamination• Traceability• Food defense• Education and training• Maintenance of systems and frameworks for
product safety and quality
Operational Sites Audited
Food filling/packing businesses• 5 sites run by manufacturing subsidiaries• 10 sites run by production business partners

Tightly Secured Areas at Toppan Group Companies with
ISO/IEC 27001 Certification (as of March 31, 2016)
I Team 1, IT Service Department, ICT Solution Center, Information & Communication
Division, Toppan Printing Co., Ltd.; TOPICA Creation Team, Engineering Department,
ICT Infrastructure Technology Center, ICT Management Division,
Toppan Printing Co., Ltd.
I Information & Communication Division, Toppan Printing Co., Ltd.; ICT Infrastructure
Technology Center, ICT Management Division, Toppan Printing Co., Ltd.;
Toppan C­ ommunication Products Co., Ltd.; Toppan Joho Kako Co., Ltd.
I Kyushu, Chugoku & Shikoku Team and ISMS Promotion Committee,
Information S­ ecurity Management, Nishinihon Division, Toppan Printing Co., Ltd.
I Higashinihon Division, Toppan Printing Co., Ltd.
I Takino Plant, Toppan Communication Products Co., Ltd.; Takino Manufacturing­Department, Toppan Joho Kako Co., Ltd.; Production Technology Team, Technology, Kansai Information & Communication Subdivision, Toppan Printing Co., Ltd.

TOPPAN-CERT

Consumer Issuesn Protecting Personal Information against Cyber Attacks
Anti-virus Task ForceI Investigate and take action when an
incident occurs
I Collect and analyze external informatio(vulnerability information, security trends,etc.) and report the results to related
departments across the GroupI Exchange information and coordinate
with computer security incident response
teams outside the GroupI Expedite the creation of an environmentthat is both virus-resistant and rigorously
protected by virus shields
I Respond to virus-related incidents andissues with anti-virus software
Coordination
Informationexchange

Monitor and protect computer systems using two specializedorganizations to defend against cyber attacks and other security threats
Cyber attacks

Viruses

Toppan Group ICT Environment
Internal systems

Systems for clientcompanies

PlantsTOPPAN CSR REPORT 201635

Universal Design Initiatives

Contributing to Sustainable Consumption

Universal design (UD) is one of the primary corporate social
responsibilities for Toppan, a group of companies that strive
to realize fulfilling lifestyles as enunciated in the Corporate
Philosophy. The Group has been designing and producing
attractive, easy-to-use packaging and communication tools
for as many people as possible. In keeping with the Toppan
Declaration on Universal Design and Toppan’s Seven Principles
on Universal Design, the Group promotes UD initiatives thatassign greater weight to sensory values and customization
while also emphasizing functions such as understandability
and usability.

The Toppan Group markets environmentally friendly products and services designed to contribute to sustainableconsumption.

http://www.toppan.co.jp/ud/ (in Japanese)

Examples of UD Initiatives
Toppan Printing Co., Ltd. formed a business alliance with
Mirairo Inc. in advance of the April 2016 introduction of the
Act on the Elimination of Discrimination against Persons with
Disabilities of Japan. Under the alliance, Toppan has started
to distribute a Universal Manners Test (operated by the Japan
Universal Manners Association) and offer consultations to client companies who seek to develop products and services
that accommodate the viewpoints of persons with disabilities
and the elderly. The Universal Manners Test is designed tofacilitate the appreciation and entrenchment of a universal
code of good manners to enable people to base their actions
on an adequate knowledge and understanding of the standpoints of others. The test helps people learn the psychologyof the elderly and disabled, along with specific ways of interacting with them. Toppan encourages persons inside andoutside the Group to acquire the certification for this test. The
Group will also embrace the universal good manners perspective by adopting comprehensive UD proposals for client companies engaged in the handling of manuals, pamphlets, product packages, events, and other products and services
accessible to more diverse people.
In April 2016 the Toppan Group launched a comprehensive
support service for Muslim-friendly product packaging ranging from research and planning services to development andmanufacturing. Muslim-friendly packaging provides Muslims
with designs respectful of their faith, cultures, and customs.
The Group offers one-stop support for producing Muslim-friendly packaging by adopting methods for displaying
raw materials and styles of design favored by Muslim tourists
visiting Japan, as well as other features. The Toppan Groupwill provide client companies with various services, including
backup support for study sessions on Muslim-friendly product packaging and research on Muslims living in Islamic
regions for companies planning to market their products orservices in Islamic countries.

36

TOPPAN CSR REPORT 2016

Recyclable Aluminum-free Paper Carton
ITO EN, Ltd. and Toppan Co., Ltd. won the Minister of theEnvironment Prize at the 25th Grand Prize for the Global Environment Award sponsored by Fujisankei Communications
Group. This prize was awarded to commend the two companies for developing a recyclable aluminum-free, paper-based
beverage carton in collaboration with Nippon Paper Industries
Co., Ltd.
Conventional paper containers use aluminum foil liners
inside to preserve beverages for long periods. Recycling after
use requires a difficult process to separate the aluminum foil
from the underlying paper. The used containers are usually
discarded and not recycled via existing routes because of the
difficulty in separation.
In 2010, ITO EN began examining solutions using GL FILM
from Toppan as an alternative to aluminum foil. GL FILM is an
eco-friendly, transparent, high-barrier film used for the packaging of products such as food, toiletries, and cosmetics. Overthe next four years, a paper carton lined with GL FILM for the
packaging of vegetable juices was successfully developed.
The new carton has roughly the same oxygen permeability ofexisting containers and rivals them in other quality-preserving
properties. It is the first paper-based vegetable juice container
storable at room temperature for long periods that can berecycled by the same process used for milk and beverage
cartons. ITO EN and Toppan were awarded with the Ministerof the Environment Prize in recognition of the environmental
friendliness of the new carton.
Popularizing Carbon Offsetting Using CFP Data
The Toppan Group offers a one-stop service for client companies covering the stages from quantification under the carbon footprint of products (CFP) system to carbon offsetting.
CFP is a method to quantify CO2-equivalent greenhouse gas(GHG) emissions associated with a product or service throughout its entire life cycle, from raw-material procurement to disposal and recycling. CFPs are expressed as single numbers
anyone can understand. Carbon offsetting is a method used
to partially or completely “offset” difficult-to-reduce GHG emissions with equivalent credits—GHG-emission reduction values
and/or GHG absorption values—earned elsewhere. The Groupalso uses this simple, one-stop procedure for its own printed
materials.

n Toppan’s Seven Principles on Universal Design
1. Design products and services that are more responsive to people withdifferent physical abilities and perceptions.
2. Facilitate communication using multiple channels for communication,
including visual, aural, and tactile channels.
3. Make products easier to use by making them easier to understand.
4. Make products that are easier to move, easier to approach, andrequire less strength (remove the physical burdens).
5. Design products that are safe to use procedurally, functionally,
structurally, materially, and environmentally.

Lecture for the Universal Manners Test

6. Provide products at a reasonable price and in the amounts requiredby society.
7. Engage in design that appeals to the senses with consideration for
comfort, enjoyment, and beauty.

Established in 2001

Monitoring research by Muslims

Revised in April 2010

Jujitsu Yasai 200ml carton(aluminum-free paper container)n Framework for CFP and Carbon Offsetting

Carbon Footprint of Products (CFP)

brochuresConsumer Issues

Quantify CO2-equivalent greenhouse gas(GHG) emissions throughout the entire life
cycle ( - ) of a product and label the
CFP data on printed materials

shop

brochure

ToppanRaw material
procurement

Production

Distribution

Use andmaintenancecollection
box

Disposal andrecycling

Carbon Offsetting
Partially or completely “offsetting” difficult-to-reduce
GHG emissions with equivalent credits (GHG-emission reduction values
and/or GHG absorption values) earned elsewhere.

TOPPAN CSR REPORT 201637

Community Involvement and Development
Community Contribution and Involvement
The Toppan Group has supported the communities in which
it operates by addressing local issues and contributing to sustainable local development. Domestic and overseas sites in
the Group have engaged in contribution activities forgedthrough dialogues with neighboring communities. Their dialogue is sustained through manifold activities, including collaborative works in organizations that bring together the opinions of community members.
Dialogues with Communities
Toppan sites take part in the meetings and activities of various
community organizations. Group sites have shaped businessactivities and community contribution activities by soundingout opinions from their communities. Conferences are also
held at the sites to inform neighborhoods of production operations and environmental initiatives, to answer questions from
community members, and to elicit opinions.
In fiscal 2015 the operational sites in Kawaguchi and Niiza
Cities, Saitama Prefecture invited residents from neighboring
communities onto their premises to learn about the environmental efforts underway at their plants. Visitors took part inenriching exchanges with Toppan personnel and later asked
the sites to continue holding similar meetings.
Fostering Future Generations and Contributing to
Education
Many operational sites at the Toppan Group organize programs to foster the children and young people who one day
will be sustaining society and communities. Japanese sites
arrange various activities such as plant tours, work experience
programs, internships, and off-site lectures.
Group sites in Bunkyo and Itabashi Cities within Tokyo
cooperate with local elementary schools by organizing the“Printing School,” a workshop class where students create
guidebooks to promote the shopping districts in their towns.
Younger employees from Toppan lecture on the efficient methods to mine and edit data. The students learn more aboutwork-oriented mindsets by interviewing shopkeepers and gain
exposure to the challenges of phrase-making and persuasive
expression in their work by editing the guidebook content. The
guidebooks are published and delivered in and around the
local shopping streets.
Toppan Printing Co., Ltd. has worked for many years with
the Japan School Library Association and The Mainichi Newspapers Co., Ltd. as a cosponsor of the Central Contest forBook Report Drawings, an annual contest that cultivates thereading and creative skills of students by encouraging themto express their impressions of books by drawing. The judgesof the 27th competition in 2015 received 635,263 picture
entries from 6,678 schools. Toppan produced and distributed
a calendar decorated with the prize-winning works to schools
and other educational facilities across Japan. The schools

38

TOPPAN CSR REPORT 2016attended by prize-winning students also received reproductions of famous drawings.
Employment Support
Toppan Group sites organize workplace training programs
across Japan to give students working experience and help
them cultivate working values. A program for nursing students
arranged in fiscal 2015 by the site in Miyagi Prefecture encouraged students to consider healthcare issues in industrial fields.
The students experienced shift patterns, environments, andduties in the workplace and healthcare systems for workers
at Toppan.
Cooperating with Communities for Fire- andDisaster-preparedness
The Toppan Group engages in proactive disaster-preparedness activities in the communities neighboring its operationalsites. Some Group sites cooperate with local fire-response
squads and sign agreements with nearby communities toarrange cooperative activities to be performed in emergencies.
In fiscal 2015 one operational site in Osaka Prefecture
entered into a disaster-preparedness agreement with the prefectural government covering three activities: providing disaster relief supplies, using packaging technologies to enhance
the prefecture’s stockpiling capacity, and holding educational
events for local residents and companies on improved disaster-preparedness. As part of the activities, the site provided
an emergency bag developed and sold by Toppan to transportwater during disasters. This emergency bag holds up to aboutnine liters of water. It can be folded up for storage when not
in use and is compact enough to carry in a tote bag or
the like.
Initiatives at Overseas Sites
A Toppan site in Thailand repurposed plastic offcuts generated
from its plant as a raw material for the production of baskets,
handbags, and other personal effects in community workshops. Employees at the site purchased the items created at
the workshop to supplement the livelihoods of the community
members.
A Group site in Shanghai, meanwhile, has been inviting
students from local universities to attend lectures on printing-related industries and participate in work experience programs. The site wants to incentivize the students to work byshowing them the joys of work and how it can help them toachieve their dreams.

Cleanup around the site (Shiga)

Plant tour for elementary school students (Gunma)

Plant tour for high school students (Saitama)

Work experience for middle school students(Chiba)Class for elementary school students invited tothe site (Aichi)

Printing School for students from elementary
schools, a workshop class to make guidebooks
for local shopping streets (Tokyo)

Shopping-street guidebook created in a Printing
School classCentral Contest for Book Report Drawings

Calendar with prize-winning pictures from thecontestEmergency water-supply bag provided to theprefectural government (Osaka)

Basket- and handbag-creation with community
members using plastic offcuts from the factory(Thailand)

Community Involvement andDevelopment

Cleanup around the site (Sapporo)

TOPPAN CSR REPORT 2016

39

The Environment
Toppan’s Environmental Activities
Four Environmental Activity Areas
The Toppan Group promotes environmental initiatives basedon The Toppan Group Declaration on the Global Environment,a basic philosophy for the environmental conservation activities of the Group.
Toppan’s environmental activities are divided into fourareas—Environmental Management, Eco-protection, Ecocreativity, and Environmental Communication. The Group
enacted a set of five bylaws to strengthen the Eco-protection
Activities performed to minimize environmental burden associated with the Group’s corporate operations: the Bylaw on
Global Warming Mitigation, the Bylaw on the Building of a
Recycling-oriented Society, the Bylaw on Chemical SubstanceManagement, the Bylaw on Pollution Control, and the Bylaw
on Biodiversity. The Toppan Group has taken steps to conserve the global environment in each of the areas based on
the five bylaws.
The Toppan Group Declarationon the Global Environment
As responsible members of international society,we who work within the Toppan Group
strive to realize a sustainable society
through forward looking corporate activities with consideration
for the conservation of the global environment.
Basic Principles
1. We observe all laws, regulations and in-company rules relating to theenvironment.
2. For the future of the Earth, we strive for the effective utilization oflimited resources and the reduction of all types of environmental­burden.
3. W ith foresight, we promote the development and widespread use of
products that show consideration for the environment, and contribute to the environmental activities of customers.
4. We engage in communication related to the environment with a wide
range of peoples both inside and outside the company, and strive formutual understanding.
5. We also take a proactive approach to environmental conservation incorporate activities in international society.
Established in April 1992
Revised in April 2009

Environmental Management Activities
Operating Environmental Management Systems
The Toppan Group operates established environmental­management systems based on its environmental management rules.
Fifty-nine Group sites in Japan undertake environmental
activities to achieve the targets set under the Eco-protection
Activity Plan. The Ecology Center collects environmental performance data as the organization responsible for supervising
the Group’s environmental activities. The center then evaluatesand verifies the data and reports the results to the Board of
Directors and other management bodies. Points of improve-

40

TOPPAN CSR REPORT 2016

ment for the continuous upgrading of environmental management are proposed and implemented throughout the entire
Group.
The environmental audit follows a three-stage screening
process: a management system audit by an ISO 14001 registrar, an internal audit by the Ecology Center, and anotherinternal audit at the individual site. Toppan underwent management system audits for 43 systems and carried out internal environmental audits at the 59 sites in fiscal 2015. Necessary procedures were taken to correct the deficiencies pointedout during the audits.
Improving Environmental Literacy
The Toppan Group implements various measures to improvethe environmental literacy of its employees based on social
trends related to the environment, priority topics for year-byyear environmental activities, and other environment-related
issues.
In fiscal 2015 Toppan held sessions for rank-based training,
optional training, and internal auditor training, along withGroup-wide e-learning-based training. Ongoing group training
in rank-based education is arranged in conjunction withe-learning programs focused on Eco-creativity Activities for
employees in sales departments.
Calculating Scope 3 Emissions
More and more businesses around the world nowadays arequantifying and managing their value chain greenhouse gas(GHG) emissions associated with all stages of operation fromraw material procurement to the distribution and disposal of
products (scope 3), in addition to direct emissions (scope 1)
and indirect emissions associated with purchased electricity
and steam consumption (scope 2).
The Toppan Group calculated its scope 3 emissions infiscal 2015 to identify the categories of corporate activity that
represented larger sources of GHG emissions and to establish
priority targets in its emission reduction strategy. This calculation showed that category 1 (manufacturing of products
purchased by Toppan), categories 4 and 9 (transportation anddistribution of products purchased and sold by Toppan),­category 12 (end-of-life treatment of products sold by Toppan),and other categories related to raw material consumption collectively accounted for the largest share of Toppan’s GHG
emissions.
The Group will continue monitoring and evaluating GHG
emissions across its value chain and work to reduce environmental burden incurred throughout the life cycle and production process of every product.

n Medium-and-long-term Environmental Targets for Fiscal 2020
Mitigation of global warming

Action for buildinga recycling-oriented society

Conservation of theatmospheric environment

I Reduce final landfill waste
disposal by 87% compared to
the fiscal 2008 level(1,584 tons
206 tons: –1,378 tons)

I Reduce VOC emissions into theatmosphere by 70% comparedto the fiscal 2008 level(7,326 tons
2,198 tons: –5,128 tons)

I Reduce CO2 emissions by 20%
compared to the fiscal 2008 level(751 kilotons
600 kilotons: –151 kilotons)n Values, Results, and Evaluation of Environmental Targets for Fiscal 2015 andEnvironmental Target Values for Fiscal 2016
Management
Indicators

Environmental Targets
 itigation ofM
global warming

I Reduce CO2 emissions

I CO2 emissions

Fiscal 2015
Achievement
Evaluation
Rates

Environmental
Target Values for
Fiscal 2016

TargetValuesResults

613 kilotons

551 kilotons

110.2%

S

550 kilotons

Action for building I Reduce final landfill waste
a recycling-orientdisposal
ed society

I Final landfill waste
disposal

240 tons

160 tons

133.3%

S

130 tons

Conservation of
the atmosphericenvironment

I VOC emissions into
the atmosphere4,000 tons

3,684 tons

107.9%

S

3,400 tons

I Reduce VOC emissions into
the atmosphere

Evaluation criteria: S, Results achieved far surpass the targets (achievement rate [%] 105); A, Targets achieved (100 achievement rate [%]B, Activities fully carried out, but targets unachieved (70 achievement rate [%] 100); C, Activities insufficient (achievement rate [%] 70)
Achievement rates: 200 – (values actually achieved / target values) × 100 [%]n Scope 1-3 Greenhouse Gas
Emissionsn Calculating Scope 3 Emissions

Scope 3
I Extraction of raw materials

Othercategories*

Scope 2
Suppliers, etc.
I Production of raw
materials, etc.

Category
12

I Consumption ofelectricity supplied by entities
outside the reporting company
I Consumption of heating andcooling supplied by entities
outside the reporting
company

Category
9
Category
4

Scope 3
3,938
kilotons

Scope 1I Transportation anddistribution of raw
materials, etc.

The reporting
company itself

3,826
kilotons

Category
1

I Fuel combustion
I Emissions from industrial
processes

I Employee commuting
I Sales activities, businesstravel105);

I End-of-life treatmentof sold products andgoods

Scope 2

Users of products
and goods
I Use of sold products
and goods

345
kilotons

Scope 1

205
kilotons

214
kilotons Fiscal 2014

Fiscal 2015
*Categories 2, 3, 5, 6, 7, 8

TOPPAN CSR REPORT 2016

The Environment

I Transportation anddistribution of soldproducts and goods

379
kilotons41

Toppan’s Environmental Burden andEnvironmental Impact
The Toppan Group applies the LIME* life-cycle assessment
method to consolidate INPUT and OUTPUT data on environmental burden associated with business activities into a single
index of environmental impact.
This assessment provides a holistic view of the environmental impact of all business activities at the Group and serves
as a benchmark for establishing medium-and-long-term environmental targets and checking the effectiveness of environmental measures. Toppan has managed to reduce its environmental impact every year. In fiscal 2015 the Group attained
a 40% reduction compared to the fiscal 2006 level.
*Life-cycle Impact assessment Method based on Endpoint modeling(LIME): A version of the damage-oriented environmental impact assessment method adjusted for application in Japan based on the domestic
environmental background. Damage derived from impact categories isquantified for each part of the environment to be protected (e.g., humanhealth, biodiversity). Once the damage is quantified, the environmental
impacts of multiple factors are integrated into a single index.

n Types of Environmental Impact by Business Field
100%
Other

Environmental impact

Other

60%
GlobalwarmingGlobalwarmingGlobalwarming

40%

20%

Resource
consumption

Resource
consumption

Resource
consumption

Information &Communication

Living &Industry

Electronics

0%

Note: Every business field shows comparatively high global warming effects
from energy consumption for electricity used for power and air-conditioning and for natural gas used for heat sources. The Living &Industry field shows significant impacts from photochemical oxidants,
pollutants formed by reactions between sunlight and VOCs released
into the atmosphere. The Toppan Group includes these indicators
among medium-and-long-term environmental targets and has taken
steps to reduce environmental impacts of these types.

42

TOPPAN CSR REPORT 2016

Mitigating Global Warming and Saving Energy
The Toppan Group has been reducing the total emissions ofcarbon dioxide (CO2) to help mitigate global warming.
In fiscal 2015 Toppan continued operating its nationwide
demand-monitoring system to control peak power demand insummer and winter in Japan. The electricity consumption datacompiled for each site via this system enables the Group toreview power contracts and encourage energy-saving efforts
on a site-by-site basis.
Toppan is also replacing long-used utility facilities withhigh-efficiency alternatives according to schedule. In fiscal
2015 the Sakado Plant in Saitama Prefecture attained
significant energy savings by replacing existing cooling­machines with more efficient models. To reduce the unnecessary or nonessential use of electricity, the Group has
redressed demand-and-supply imbalances and suspended
the use of any equipment that stays running continuously­during ­vacations.
As a result of these efforts, CO2 emissions in fiscal 2015
were reduced to 551 kilotons, below the targeted limit of 613
kilotons for the year.

Other

Photochemical
oxidants80%

Eco-protection Activities

Improving Transport Efficiency in Logistics
Toppan Logistics Co., Ltd., the logistics specialist for the­Toppan Group, is working with shippers from Toppan Group
companies to reduce the energy consumption per unit oftransport volume by company vehicles and the total volumeof CO2 emissions from transport.
Energy consumption per unit of transport volume in fiscal
2015 was 58.9 kL/million ton-kilometers, a 2.3% increase fromfiscal 2014, missing the year-by-year reduction target of 1%
prescribed by the Act on the Rational Use of Energy of Japan.
On another front, CO2 emissions totaled 33,533 tons, falling
below the fiscal 2014 level by 3.7%.
Toppan Logistics will work to accomplish the targets forfiscal 2016 by optimizing transportation conditions and further
improving transportation efficiency.

n Major Types of Environmental Burden by Business Field in Japan (INPUT/OUTPUT data)

INPUT
Material Input

Total Energy Consumption

Total Water Consumption

Total PRTR Handling

Information &Communication
665,131 (54.1%)

Information &Communication
3,326 (26.5%)

Information &Communication
840 (13.3%)

Information &Communication
494 (12.6%)

Living & Industry
544,107 (44.2%)

Living & Industry
5,170 (41.2%)

Living & Industry
1,580 (25.1%)

Living & Industry
1,827 (46.7%)

Electronics
20,778 (1.7%)

Electronics
3,445 (27.4%)

Electronics
3,540 (56.2%)

Electronics
1,593 (40.7%)

Non-production sites
0 (0%)

Non-production sites
620 (4.9%)

Non-production sites
340 (5.4%)

Non-production sites
2 (0.1%)

Total 1,230,015 (Unit: tons)

Total 12,561 (Unit: 1,000 GJ)

Total 6,300 (Unit: 1,000 m3)

Total 3,917 (Unit: tons)

OUTPUT
Total Waste Discharge

CO2 Emissions

Information &Communication
113,151 (49.0%)

Information &Communication
142,938 (26.0%)

Living & Industry
99,713 (43.1%)

Total Effluent Discharge

Total PRTR Release

Living & Industry
244,049 (44.3%)

Information &Communication
441 (8.7%)
Living & Industry
1,152 (22.8%)

Information &Communication
33 (24.0%)
Living & Industry
103 (74.3%)

Electronics
14,855 (6.4%)

Electronics
138,643 (25.2%)

Electronics
3,146 (62.3%)

Electronics
2 (1.3%)

Non-production sites
3,393 (1.5%)

Non-production sites
24,991 (4.5%)

Non-production sites
308 (6.1%)

Non-production sites
1 (0%)

Total 231,111 (Unit: tons)

Total 550,621 (Unit: t-CO2)

Total 5,047 (Unit: 1,000 m3)

Total 139 (Unit: tons)

Notes: I Energy consumption associated with fuel consumption is calculated using the conversion factor specified in the year 2000 amendment of the Act on
the Rational Use of Energy of Japan. The primary energy input associated with electricity consumption is calculated uniformly as 0.00983 GJ/kWh.
Some of the material inputs are calculated from estimated values based on production values.
I “
Waste” in this report includes industrial waste of no value and waste materials of value sold or transferred as resources (both generated in association
with business activities).
ITotal energy consumption is the quantity of electricity and fuels consumed.
ITotal values may not exactly match the sum totals of individual values, as decimals are rounded up or down.

n CO2 Emissions(1,000 t-CO2)
1,000

750

751
632

593

500

551

250

High-efficiency cooling machine (Sakado Plant)

0
2008

2013

2014

2015 (fiscal year)

Facility for recovering solvents (Gunma Central Plant)

TOPPAN CSR REPORT 2016

The Environment

Note:	CO2 emissions are calculated by the method specified in the Guidelines for Calculating Greenhouse Gas Emissions from Businesses(2003) issued by the Ministry of the Environment (MOE) of Japan.
The CO2 emissions associated with electricity consumption, however,are calculated uniformly as 0.378 t-CO2/MWh.
		 CO2 emissions in fiscal 2015 totaled 683,296 t-CO2 when calculated using the effective emission factor from another MOE method
specified in the Ministerial Ordinance Concerning the Calculation ofGreenhouse Gas Emissions from Business Activities of Specified
Dischargers (the latest amendment on April 30, 2015).

43

Building a Recycling-oriented Society
In a drive to use limited resources more effectively, the Toppan
Group works to reduce the discharge of waste, increase
the recycling rate, and apply appropriate waste treatment
methods.
Waste paper derived from operational sites primarily in the
Information & Communication and Living & Industry fields
makes up the largest portion (74.7%) of the total waste­discharged at Group sites. This is followed by waste plastics
from plants in the Living & Industry field and sludge from theElectronics field. The Group has striven to increase the material recycling rate by processing waste paper into recycled
paper, separating waste plastics and processing composite
plastics into pellets, and implementing other recycling methods. Sludge, meanwhile, has been reduced in-house to smaller
volumes for disposal. The Fukaya Plant in Saitama Prefecture
began material recycling in fiscal 2015 by processing waste
glass, a material previously treated for landfill disposal, forreuse as a cement material for structures to be built underwater and elsewhere. These measures reduced the final landfill waste disposal in fiscal 2015 to 160 tons.
The Toppan Group will continue reducing waste discharge
and promoting material recycling.
Preventing Pollution
The Eco-protection Promotion Committee at each Group sitein Japan sets in-house control standards more stringently than
the regulatory standards require. By complying with thesestandards, the Toppan Group works to reduce environmental
burden and prevent pollution.
To prevent atmospheric pollution, the Group controls boilers and other plant facilities responsible for air pollutants bymanaging operations under appropriate combustion conditions. The Group enhances the efficiency of effluent-gas treatment in plant facilities subject to requirements under the Air
Pollution Control Act by reusing recovered solvents and­precisely controlling combustion facilities. VOC and toluene
emissions into the atmosphere in fiscal 2015 were both
reduced compared with the fiscal 2014 levels.
To prevent water pollution, the Group has installed wastewater treatment facilities designed to cope with specific water
consumption and pollutant conditions at individual sites.
Wastewater recycling systems have also been installed atElectronics plants that discharge effluents in significant
amounts. By recovering and reusing wastewater via thesesystems, the plants have been working to reduce the levelsof water consumption and effluent discharge.
The Toppan Group also checks plant facilities subject tothe Water Pollution Control Law in compliance with the regulatory regime for facility structures. The Group will monitor
every facility, including those not subject to the law, to prevent
groundwater pollution caused by the leakage of chemicals
and other liquids. Any equipment or components with undue
wear will be replaced.

44

TOPPAN CSR REPORT 2016

Controlling Chemical Substances
The Toppan Group has striven to reduce the consumption ofchemical substances to mitigate the impacts of these substances on the environment. The Group continues reducing
the consumption of chemical substances designated under
the Pollutant Release and Transfer Register (PRTR) law ofJapan and introducing safer substitutes by setting priorities interms of both the type and range of application. These measures helped the Group reduce the amount of chemical substances handled under the designation of the PRTR law by
12.2% compared to the amount handled in fiscal 2014.
Group production sites have also been appropriately­managing chemical substances based on established control
procedures.
Approach to Environmental Compliance
In fiscal 2015, Toppan used its in-house environmental database to identify possible risks of exceeding any of the limits
stipulated under regulatory standards for Group sites in Japan.
Preventive measures against higher risks were taken to ensurethat none of the regulatory limits were broached.
Despite these steps, one production site recorded excessive levels of air pollutants and three sites recorded excessive
levels of BOD, total nitrogen, or other water contaminants
relative to standards set under laws, ordinances, agreements,
or other applicable regulations. The Toppan Group has taken
immediate corrective measures for every case, including steps
to inspect facilities and revise the methods for facility control.
Since implementing these corrective measures, the Group has
reviewed control procedures and taken necessary actions toreliably prevent recurrences. As a preventive action against
environmental pollution, the Group reviews drills for copingwith potential emergencies and accidents during production
operations whenever necessary.
Communities around Toppan plants filed two complaints
at two sites in fiscal 2015. One involved noise and the other
involved inconvenience to community residents related to odor.
The Group has responded by reviewing the operational rules
for plant facilities responsible for noise and instituting a stricter
regime for maintaining and inspecting facilities that generate
noise or odor. Whenever judged to be appropriate, Toppan
will install deodorizing equipment to control odor. The Toppan
Group will continue enhancing the quality of environmental
management through earnest dialogue with residents in surrounding communities.

n VOC and Toluene Emissions into the Atmosphere*1n Total Waste Discharge andFinal Landfill Waste Disposal(1,000 tons)
350(tons)■ Total waste discharge (left axis)■ Final landfill waste disposal (right axis)(1,000 tons)

210

255.9
1.6

2.0

242.2

231.1

140

1.5
1.0

0.5

70

7,500 7,326

5,000

0.2

0
0

2013

2014

4,232

3,935

362

221

162

126

2008

2013

2014

2015
(fiscal year)

3,684

2,500

0.5

0.4

0
2008

Toluene

2.5

313.8
280

VOCs

10,0002015 (fiscal year)*1 Emissions into the atmosphere are calculated in conformance with thestandards established by the Japan Federation of Printing Industries(JFPI) and the Japan Electronics and Information Technology Industries
Association (JEITA).

n Recycling Rate and Material Recycling Rate
(%)
100
95
90

Recycling rate (recycling / total waste discharge)
Material recycling rate (material recycling / total waste discharge)

99.5

98.8

99.6

n Chemical Substances Designated under the PRTR Law*2(tons)
6,000

99.7

Total handling

92.5

92.4

91.8

4,463

1,894

1,654

1,402

243

185

139

2013

2014

2015 (fiscal year)

1,500

0

0
2008

2013

2014

2015 (fiscal year)

3,917

3,000

85
80

Total release

5,271

4,500

93.0

Total transfer*2 Dioxins are excluded because of a difference in the counting unit.

n Purification of Soil and Groundwater Pollution
Operational Site

DetailCurrent Progress*3

Itabashi Plant (Itabashi City, Tokyo)

Groundwater pollution by hexavalent chromium and toluene

Continuously monitored

Niigata Plant (Shibata City, Niigata)

Soil pollution by fluorine and fluorine compounds

Continuously monitored

Toppan Technical Research Institute(Kita-Katsushika District, Saitama)

Soil pollution by fluorine and fluorine compounds

Monitoring completed

n Soil Pollution Remediation for Redevelopment in Conformance with Applicable Laws, Regulations, and Ordinances
Operational Site

Chemical Substances Subject to Remediation

Remediation
Measures

Current Progress*3

Kawaguchi Plant (Kawaguchi City, Saitama)

Lead; fluorine; cyanide and cyanide compounds

Excavation
and removal

Remediation completed

Ebie Site (Osaka City, Osaka)Hexavalent chromium; lead and lead compounds

Excavation
and removal

Remediation completed*3 As of March 2016

The Environment

TOPPAN CSR REPORT 201645

Promoting the Conservation of Biodiversity
IBiodiversity Conservation at Operational Sites
The Fukaya Plant in Saitama Prefecture has promoted biodiversity conservation within its premises in collaboration with
the Environmental NPO “SHU” since fiscal 2012. The NPO andplant worked together in the 7th phase of their wildlife-support
project, “Paradise for Wild Birds,” in the summer of 2015. Participating children mowed undergrowth, creepers, and otherweeds to clear a small square. In the “Leaf Card” activity, theylearned about the diverse forms and shapes of leaves takenfrom nature by playing with special decks of cards made from
actual leaves. The game sharpened the children’s abilities toboth observe different shapes and explain their observations.
In the following winter, participants in the 8th phase of the
project installed new birdhouses for woodpeckers and Japanese Tits and surveyed the nesting rate at birdhouses installeda year earlier. A high rate of about 60% was confirmed.
Since fiscal 2013 the employees from the Asaka Plant in
Saitama Prefecture have been maintaining a conservation
pond on the plant premises mimicking waterside environments
surrounding local rivers. Under the supervision of the Saitama
Ecosystem Conservation Society, they have checked the quality and year-round temperature of the pond water and identified species to be conserved. The pond is currently inhabitedby Japanese eight-barbel loach, Japanese minami medaka
rice fish, and several other aquatic organisms comfortable in
the pond ecosystem. Asaka Plant will manage the pond toprotect these species from any existential threats.
IBiodiversity Conservation outside Operational Sites
The Toppan Group continues conserving forest resources
throughout Japan. In fiscal 2015 Group employees tuned into the sights, sounds, smells, feelings, and textures of thewoods in Asahiyama Memorial Park in Sapporo City, Hokkaido.
They visited the urban park to document their perceptions ofabundant natural phenomena such as holes pecked into trees
by woodpeckers and the gnarled surfaces of nuts gnawed by
Ezo squirrels.
Toppan employees also worked with members from theCenter for Ecological Education (CEED) to observe migrant
birds and create decoys in the Kasai Rinkai Park in Edogawa
City, Tokyo. Participants found more than 15 species of wild
birds and witnessed a bird fight between goshawk and ravens.
Carved into the form of little terns, the decoys have been put
on the water to attract real-life terns as they gather into breeding colonies.
Employees also took part in educational fieldwork in the“Ranzan Community Forest” neighboring the Ranzan Plant in
Saitama Prefecture to mow low-growing plants such as nezasa
dwarf bamboo and thin out evergreen needle-leaved trees such
as Japanese cypresses. Children assisting the works collected
beetle larvae, locusts, crickets, and other insects and sketched
the captured creatures in an original illustrated guide.
Employees in Katano City, Osaka, meanwhile, have been
maintaining bamboo thickets in countryside woods.

46

TOPPAN CSR REPORT 2016

Eco-creativity Activities
Developing and Approving Environmentally Friendly
Products
Toppan has established the Toppan Standards for Environmentally Friendly Products, a set of criteria covering fivestages of the product life cycle. A total of 88 products wereregistered as “environmentally friendly products” as of the endof March 2016.
The Company has approved and registered “exceptional
environmentally friendly products” that are recognized by­third-party organizations or that have undergone life cycle
assessment for quantification of environmental burden acrossthe life cycle.
Environment-related Businesses at Group Companies
Like Toppan itself, the companies of the Toppan Groupdevelop, produce, and market eco-friendly products in linewith standards they formulate themselves in consideration ofsocial demands.
The total sales of environment-related businesses—including, most notably, sales of environmentally friendly products
satisfying the in-house criteria of the Toppan Group—were
311.8 billion yen in fiscal 2015.

Environmental Communication Activities
Presenting at Eco-Products 2015
At the Eco-Products 2015 fair in December 2015, the Toppan
Group presented a set of environmental proposals based on
various themes such as forest nurturing, CO2-reduction measures, energy-saving actions, and a recycling-oriented society.
The Toppan booth exhibited products and services the Grouphas created in collaboration with client companies, organizations, and other entities in development, sales, and operation.
The exhibit included a virtual reality display to vividly depict
the effects of forest thinning operations and demonstrate theirimportance.
Issuing Site Eco Reports
Toppan Group’s ISO 14001-certified sites in Japan issue Site
Eco Reports directed towards local municipalities and residents in surrounding communities. Thirty-five reports from 47
sites were issued in fiscal 2015.

“Leaf Card” activity (Fukaya Plant, Saitama)

Conservation pond mimicking local watersideenvironments (Asaka Plant, Saitama)

Wood study in Asahiyama Memorial Park in
Hokkaido

Wild-bird observation in Kasai Rinkai Park inTokyo

Eco-Products 2015

Eco-Products 2015n Toppan Standards for Environmentally Friendly ProductsLife Cycle Stage

Toppan Standards for Environmentally Friendly Products

TOPPAN CSR REPORT 2016

The Environment

Large Categories
Small Categories
Reduced use of hazardous substances Reduced use of hazardous substances and volatile solvents (excluding banned substances)
Use of waste paper
Use of recycled materials
Use of recycled plastics
Use of materials with lower
Reduced consumption of energy and water
Raw material
environmental burden
procurement
Resource-saving efforts
Reduced use of materials in production
Use of lumber from forest-thinning operations, use of forest-certified paper, use of tree-free paper
Alternatives to petroleum-based materials and mineral resources
Use of sustainable resources
Effective use of biomass resources
Reduced energy consumption in
Reduced energy consumption through changes in product design and production
production
processes (excluding reduction through changes in equipment)
Use of recyclable energy
Use of green electricity
Implementation of carbon offsets
Same as left
Production
Reduced water consumption in
Reduced water consumption through changes in product design and production processes
production(excluding reduction through changes in equipment)
Reduced generation of waste in
Waste reduction (excluding reuse of waste inside plants)
production
Improvement in transport efficiency
Product design for improved loading ratio
Distribution
Optimization of transportation
Selection of more environmentally friendly transportation
Reduced release of chemical
Reduction of chemical substances potentially released from products
substances during use
Use
Extension of product life
Prolonged product life through improvement in durability and enhancement of functions
Reduced environmental burden
Reduced consumption of energy and water during use
during use
Improvement in reusability
Reuse
Easy separation and disassembly for reuse
Improvement in recyclability
Recycling
Easy separation and disassembly for recycling
Disposal & recycling
Recyclability through existing recycling routes (excluding waste paper collection routes)
Environmentally friendly disposal
Reduced emissions of hazardous gases during disposal
Use of recyclable materials that can be degraded and returned to nature (biodegradability,
Use of biodegradable materials
photodegradability, etc.)
Proof of environmental Visualization of environmental burden Carbon footprint of products (CFP), life-cycle assessment (LCA), water footprint (WFP)
friendlinessLabeling with environmental logos
Examples: Eco Mark, Forest Thinning Mark, etc.

47

Independent Assurance
The CSR Report 2016 expounds upon the Toppan Group’s
use of managerial resources to help solve social issues bypresenting efforts in health management, para-sports promotion, and literacy support in developing countries. The “Digest
2015” section provides a clear summary of the results of­various CSR activities like the initiatives described above.
The Toppan Group has been reporting CSR issues expected
to become more material for the Group, starting from the 2015
report. The Group will be expected to present detailed information more focused on material issues in the coming reports.
To promote social responsibility in the value chain, for example,
Toppan explains its methodologies for calculating its entire
value chain greenhouse gas emissions and assessing theenvironmental burden incurred throughout the life cycle of its
products. We hope that future reports on the value chain will
present more concrete information on the Group’s own risk
awareness beyond the realm of the environment, as well as
information on actions taken to cope with the expected risks,
and the results achieved. Data on human rights and humanresource development cover mainly Toppan Printing Co., Ltd.
alone. We recommend that the Toppan Group extend theboundaries of reporting systematically to help readers better
understand the activities and results of the entire Group.

Tomonori Yoshida
KPMG AZSA Sustainability Co., Ltd.

Indicators in this Report Assured by an Independent Assurance Provider
Pages

Indicators Assured by an Independent Assurance Provider
24

Number of retired employees; number of reemployed employees
Number of female managerial and supervisory staff

Human Rights

25

Number of employees with disabilities; percentage of employees with disabilities
Number of Recruits; number of persons hired through the mid-career recruitment of experienced personnel
Number of Employees
Reasons for Leaving

27

Average Annual Salary
Annual Paid Leave Used
Employees Taking Maternity or Childcare Leave

Labor Practices

Number of employees who participated in the Toppan Business School

28

Number of employees who learned in basic, Company-wide education programs via the e-learning system
Number of employees deployed overseas under the trainee system to acquire practical training in overseas businesses
Number of employees who participated in selective training on global business29

Occupational Health and Safety
Number of Conduct Guidelines Promotion Leaders; ratio of female Leaders
Number of employees who participated in training sessions for Conduct Guidelines Promotion Leaders

Fair Operating Practices

30

Number of employees who participated in training in group sessions or via the e-learning system on export controls
under the Foreign Exchange and Foreign Trade Act of Japan

32
Consumer Issues

Number of employees who participated in training sessions on compliance with the Subcontract Law of Japan

34
41
43

44

Number of business partners surveyed to verify the legality of lumber used for paper production
Number of employees who participated in training sessions for internal auditors
Results of audits conducted using the quality audit checklist
Environmental target values and results for fiscal 2015
Scope 1-3 Greenhouse Gas Emissions
Major Types of Environmental Burden by Business Field in Japan (INPUT/OUTPUT data)
CO2 Emissions
Number of production sites that recorded air-pollutant and water-contaminant levels exceeding applicable regulatory
standards
Number of complaints and inquiries from communities around Toppan sites

The Environment

Total Waste Discharge and Final Landfill Waste Disposal
Recycling Rate and Material Recycling Rate45

VOC and Toluene Emissions into the Atmosphere
Chemical Substances Designated under the PRTR Law
Purification of Soil and Groundwater Pollution

46

Number of approved and registered environmentally friendly products
Total sales of environment-related businesses

Some data in the CSR Report 2016: Detailed Data posted on the Toppan website are also assured by the assurance provider.
Toppan is authorized to attach the mark on the left as a testament to the reliability of the sustainability information presented in this report.
Any report bearing this mark meets the Sustainability Reporting Assurance and Registration Criteria established by The Japanese Associationof Assurance Organizations for Sustainability Information.

48

TOPPAN CSR REPORT 2016

Independent Assurance Report

TOPPAN CSR REPORT 201649

http://www.toppan.co.jp/english/© TOPPAN 2016.11 K I Printed in Japan