CSR REPORT 2015

CSR
CSRREPORTREPORT2015
2015

ReportReportonon
Corporate
Corporate
SocialSocialResponsibility
Responsibility
Activities
Activities

United Nations
Global Compact

Continuously contributing
to fulfilling lifestyles
as a mainstay of
information and culture

The United Nations Global Compact is a voluntary policy
initiative through which businesses and organizations
enlist their participation in the establishment of a globally
recognized practical framework under which every business and organization commits to the vision of sustainable
development by implementing responsible, creative leadership initiatives and acting as a responsible member ofsociety. Toppan participates in the United Nations Global
Compact, supports the 10 principles of the Global
Compact in the four areas of human rights, labour, environment, and anti-corruption, and implements these principles in its own corporate activities.

All of us within the Toppan Group

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.

will recognize the issues facing society andwork with stakeholders to find solutions.

LabourPrinciple 3: Businesses should uphold the freedom of associationand 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.

CONTENTS

Group Business Outline 

2

Executive Message 

4

CSR Index 

6Toppan’s CSR 

8Environment
Principle 7: Businesses should support a precautionary approachto environmental challenges;
Principle 8: undertake initiatives to promote greater environmental
responsibility; andPrinciple 9: encourage the development and diffusion of environmentally friendly technologies.

Special Report 1: H
 elping to Mitigate Global Warming
through Business Activities 

10Anti-Corruption
Principle 10: Businesses should work against corruption in all its
forms, including extortion and bribery.

Special Report 2: F ostering Human Resources Committed
to Solving Social Issues 

14

CSR Activity Digest 2014 

18

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

CSR Report 2015
Toppan considers stakeholders’ interests and reports its
corporate social responsibility (CSR) activities in line withthe seven core subjects set under ISO 26000, a globally
recognized standard on social responsibility.
IP eriod Covered: This report mainly covers activities infiscal 2014 (from April 2014 to March 2015), though information on prior and later years is also included in parts.
 cope and Boundary: Toppan Printing Co., Ltd. (“theISCompany”) and Group entities consolidated for accounting
purposes. The information on personnel principally applies topersonnel within Toppan Printing Co., Ltd., the parent
company. The environmental performance data covers
Toppan Printing Co., Ltd. and 17 domestic manufacturingsubsidiaries.
I Publication Dates (English version)
Previous report: October 2014
Current report: November 2015
Next report: November 2016 (planned)
I Related Information
CSR information: http://www.toppan.co.jp/english/csr.html*Including CSR Report 2015: 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 the Environment of Japan. The report alsopresents information in line with General Standard Disclosures required by the G4 Global Reporting Initiative (GRI)
Sustainability Reporting Guidelines.
I Contact Information
CSR Promotion Department, Public Relations Division
Toppan Printing Co., Ltd. (Tokyo, Japan)
Email: csr@toppan.co.jp1Group Business Outline

Group Profile

Corporate Profile

The Toppan Group comprises Toppan Printing Co., Ltd. (“the Company”)
and 175 related companies (151 subsidiaries and 24 affiliates) engaged inmanifold businesses in three fields: Information & Communication, Living
Environment, and Material Solutions.
Detailed information on related companies can be found in the financial
statements posted on the Toppan website at:
http://www.toppan.co.jp/ir/material/report.html (in Japanese)

Corporate nameToppan Printing Co., Ltd.
Head office
1, Kanda Izumi-cho, Chiyoda-ku,
Tokyo 101-0024, Japan
Phone +81-3-3835-5111
Established
1900
President &Representative Director
Shingo Kaneko

Net Sales

Operating Income(billion yen)(billion yen)

Q Consolidated Q Nonconsolidated

2,000
1,500

45 45.0

895.5

849.2

31.5

819.9

815.7

781.5

Q Consolidated Q Nonconsolidated

32.0

24

40.8

0

16

4.4

2013

2014
(fiscal year)

7.7

6.8
0

–7.1

–15
2012

11.1

2010

2011

0.5

–3.2

–8
2012

2013

2010

2014
(fiscal year)

3.0

2011

2012

2013

2014
(fiscal year)

20.6

19.8

19.0

2012

2013

2014
(fiscal year)

Net Assets & Return on Equity (ROE)R&D Expenses(billion yen)(%)(billion yen)(billion yen)

2,500

4.0

1,250

1,994.6

1,500

1,694.3

1,000

1.2

2.0
1.0

0.2

0

0
2010

2011

2012

1,000

2013

–1.0
2014
(fiscal year)

Net Sales by Business Field

500

2.5

2.7

0.4

250
0
2010

2011

2012

2013

8.0

25

6.0

20

4.0

15

2.0

10

0

5

(billion yen)

–2.0
2014
(fiscal year)

Other regions
63.5 (4%)

Japan

23.4

21.4

2.7

Net Sales by Region
Asia, excludingJapan
200.5 (13%)

TOPPAN CSR REPORT 2015

913.1

1.6

Material Solutions
335.2 (22%)

Information &Communication
917.4 (60%)

888.4

750

(billion yen)

Living Environment274.2 (18%)

866.2

1.2

0.7

500

(%)

1,082.8
864.0

1,712.3
1,586.8 1,633.0
1.2

3.0

22.8

15.1

Total Assets & Return on Assets (ROA)

2,000

20.6 19.2

18.5

8
6.6

2011

35.7

15
0

2010

(billion yen)

12.1

500

2

Q Consolidated Q Nonconsolidated

32

30
1,000

Net Income

60
1,556.4 1,510.4 1,502.3 1,532.0 1,526.9

Number of employees(nonconsolidated)
8,900 (as of the end of March 2015)
Number of employees(consolidated)
48,999 (as of the end of March 2015)
Capital (nonconsolidated)
104.9 billion yen

1,262.7 (83%)

0
2010

2011

Business Fields
Information & Communication
Providing solutions to enhance the value of information and deliver it effectively to customers who require smooth communication.

Secure Business

MarketingContent Business

Living Environment

Material Solutions

Providing a wide range of products and services to create living environments that offer comfort and peace of mind.

Using printing technologies to develop products related to displays,
semiconductors, functional products, energy, and more.

Packaging

Display Related

Semiconductor Related

Functional Product & Energy
RelatedInterior Décor Materials

Business Fields Covered in this Report
From fiscal 2015, the Toppan Groupreorganized its business fields into
Information & Communication, Living & Industry (Packaging, Interior
Décor Materials, Functional Product& Energy Related), and Electronics(Display Related, Semiconductor
Related).
For consistency in presenting activities performed in fiscal 2014, theinformation presented in this reportis arranged according to the former
business fields: Information & Communication, Living Environment, andMaterial Solutions.

Business Fields in Fiscal 2014 (Covered in this Report)
Information & Communication
I Secure Business
I Marketing
I Content Business

Living Environment
I Packaging

Material Solutions
I Display Related
I Semiconductor Related
I Interior Décor Materials
I Functional Product andEnergy Related

Business Fields from Fiscal 2015
Information & Communication
I Secure Business
I Marketing
I Content Business

Living & Industry

Electronics

I Packaging
I Interior Décor Materials
I Functional Product &Energy Related

I Display Related
I Semiconductor Related

TOPPAN CSR REPORT 2015

3

Executive Message

Contributing to Fulfilling Lifestyles
The world economy gradually recovered in fiscal 2014 withsupport from the self-sustaining recovery of the U.S. economy. Sluggish economic trends in Russia and otherresource-rich countries in the second half of the year portended an economic slowdown in Europe, a region withclose economic ties with Russia. The outlook for the world
economy grew more uncertain as a consequence.
The Japanese government’s economic policy spurred
moderate recovery at home, as reflected mainly in improved
corporate earnings. Overall, however, Japan was beset withthe same economic uncertainties facing the rest of the world,
chiefly with ongoing increases in raw material prices andweak consumer spending after the consumption tax hike.
The maturing trend of paper-based printing businesses
continued to constrain the market in the printing industry,
while the expected growth of digital sectors such as online
advertising fueled optimism.
We responded in fiscal 2014 by aggressively pursuing
initiatives to take on our three management challenges:
advancing our Group-wide structural reform, creating new
businesses and new markets, and accelerating global business expansion. Net sales fell slightly, but our management
efforts brought year-on-year increases in operating income,ordinary income, and net income.

To Create Business Opportunities forFaster Growth
Paradigm shifts are transforming the business environment
in which the Toppan Group operates. I think of them as“three revolutions:” 1) the energy revolution, the shift fromfossil resources to renewable energy; 2) the packaging revolution, the replacement of glass bottles and metal canswith new types of packaging across the globe; and 3) the
information revolution, the switch from paper-based media
to digital media such as the Internet and smartphones.
All three of these revolutions compel us to move in new
directions and innovate in critical ways. The transitions areoften challenging, but they bring huge opportunities at thesame time.
We will move full speed ahead in our work to drive theevolution of our printing technologies, tap new fields, and

4

TOPPAN CSR REPORT 2015

propose comprehensive solutions for social issues of manykinds to create businesses that accelerate growth.

To Be a Company that Grows Steadily withSociety
TOPPAN VISION 21 is positioned 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 accomplish thethree management challenges and fulfill our social responsibility as a corporation committed to solving social issues
and driving our growth in step with all of society.
The United Nations Global Compact is an invaluable
guideline for us as we undertake our journey towards thisend. Toppan has been participating in the United Nations
Global Compact and supporting the 10 principles of the
Global Compact on human rights, labour, environment, andanti-corruption since September 2006. I will continue espousing the United Nations Global Compact and shaping ourcorporate social responsibility (CSR) activities accordingly.
The Toppan Group incorporated the International Organization for Standardization (ISO) 26000 Guidance on Social
Responsibility (international standard for organizations) into
its 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. Working towards solving these issues will bring us closer to implementing the United Nations Global Compact.

Towards a Sustainable Society
Among the social issues Toppan must help solve, thoserelated to the environment are of particular urgency andimportance. The United Nations Intergovernmental Panelon Climate Change (IPCC) predicts that the global averagetemperature will increase by 4.8 degrees Celsius (°C) by
2100 if governments and corporations stick with the current
approach to reducing greenhouse gas emissions.
In fiscal 2010 the Toppan Group set its medium-andlong-term target for fiscal 2020 of reducing CO2 emissions
by 11% compared to the fiscal 2008 level. In fiscal 2013
the Group surpassed this target by achieving a 16% reduction from fiscal 2008. In December 2014 the Group
responded by raising the target to a 20% reduction of CO2
emissions compared with fiscal 2008 and pressing on with
its emission reduction initiatives. We will also continue offering client companies our eco-friendly packaging and information solutions to support them in their efforts to reduce
CO2 emissions.
I believe that social issues can be solved most effectively
by developing human resources committed to solving them.
We have developed a training program to foster a new generation of leaders who embrace the responsibility to addresssocial issues of the day and take the initiative to search forsolutions. The trainees in this program visit Minamisoma City,
Fukushima Prefecture to gain firsthand experience of social
challenges the city faces and deliberate ways to help solve
those challenges by leveraging Toppan’s resources. I expect
the trainees who participate in this program to one day
create new businesses by developing solutions to social
issues of the day.

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 therefore 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 ongoing support and guidance.
August 2015

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

TOPPAN CSR REPORT 2015

5

CSR Index

Employee Data
Number of Employees
Q Consolidated Q Nonconsolidated
50,000 48,197 47,872 48,878 48,751 48,999

Number of Employees by Business Field(consolidated)
Material Solutions
8,702

Company-wide
positions
1,142

40,00030,00020,00010,000

8,633

8,508

8,587

8,604

8,900

0
2010

2011

2012

2013

2014
(fiscal year)

Living Environment
9,607

Information &Communication
29,548

Note: The number of employees is the number of employees working in the Group. The number of non-regular employees for fiscal 2014 stood at 7,053 on
a consolidated basis (the average number of employees throughout the fiscal year, including part-time workers but excluding dispatched staff).

Number of Female Managerial andSupervisory Staff (nonconsolidated)

Percentage of Employees with Disabilities
in the Total Workforce

2.1%
251
Number of Employees Taking Childcare
Leave (nonconsolidated)

Number of Trainees Who Participated in Anzen Dojo,a Training Facility for Occupational Health and Safety

15,279*Cumulative total from fiscal 2010
(the first year) to fiscal 2014, including
387 trainees outside Toppan

136(including 3 male employees)

6

TOPPAN CSR REPORT 2015

Social and Environmental Data
Number of Partner Companies that Participated in
Briefing Sessions on the Group’s CSR Procurement
Guidelines

Number of Visitors for “Pleasant Form for Everyone—Universal Design Exhibition 2015 from Japan”

2,047*Cumulative total fromfiscal 2013 to fiscal 2014

7,427
Number of Tightly Secured Areas Designatedfor the Handling of Personal Information

Achievement Rate for the CO2 Emission
Reduction Target

Emissions target

67

Actual emissions

593

620

kilotons

kilotons

areas

104.3%
achieved

Sales of Environment-related Businesses

Number of Countries Where Toppan Has Supported
Initiatives to Provide Literacy Education throughthe Toppan Charity Concert series

3 countries

278.9 billion yen

Thailand*Cumulative total fromfiscal 2007 to fiscal 2014

Bangladesh

Cambodia

TOPPAN CSR REPORT 20157

Toppan’s CSR

Toppan’s Ideal “Corporate Structure”
TOPPAN VISION 21 sets forth the basic concept 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.
nCorporate Structure
The Corporate Structure is made up of three elements:
Toppan’s Corporate Philosophy, the Corporate Creed, andthe Conduct Guidelines.
The Corporate Philosophy specifies ideals and the mostimportant values and concepts for the Group. The Corporate Creed expresses the standards to be kept foremostin mind when performing business operations. The Conduct Guidelines set out the basic concepts and behavioral
norms for Toppan employees both as businesspeople andas members of 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 theGroup 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 its 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.
nDialogues with Stakeholders
Toppan has identified categories of stakeholders who areeither vital for its business operations or potentially
impacted by them: customers (client companies, consumers), business partners, communities, shareholders/investors, and employees.
Stakeholder opinions learned in the course of daily operations are reflected in the Group’s CSR initiatives. Toppan
has also been taking part in the Global Compact Network
Japan. In fiscal 2014 the Company entered dialogues withexperts and NGOs within the network to discuss various
topics pertaining to human rights, the supply chain, andother related areas.

8

TOPPAN CSR REPORT 2015

In another phase of dialogue, the Group listened to theopinions of experts when selecting upcoming important
topics based on the principles of “materiality.”nSelecting Material Topics
In fiscal 2014 Toppan selected a number of topics expected
to become more material from here on. By assessing
CSR-relevant topics according to two criteria, the “influenceon stakeholder assessments and decisions” and “Toppan’s
economic, environmental, and social impacts,” the Groupidentified the following as topics expected to become morematerial: human rights, human resource development
and diversity, the environment, promoting social responsibility in the value chain, and privacy (personal information
protection).
The Toppan Group will advance measures relevant to theidentified topics and review the material topics as necessary.

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

Prioritizing topics
Toppan prioritized topics 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 Toppan’s selection of material topics.

Toppan’s Ideal “Corporate Structure”
Corporate Philosophy
Each of us shallreciprocate our customers’continued trust,create dedicated products byharnessing our vibrant knowledge
and technology,

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.

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.

Topics Expected to Become More Material
Topics 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)

Topics Judged to be Fundamentally
Material for Toppan as a Company
I Labour practices
I Fair operating practices
I Consumer issues

I Community involvementand development

Toppan’s economic, environmental, and social impacts

TOPPAN CSR REPORT 20159

Special
Report 1

Helping to Mitigate Global Warming
through Business Activities
The advance of global warming creates various risks, including rising sea levels, damage
to ecosystems, decreased food production, and climate extremes such as heat waves,heavy rainfalls, and floods.
Toppan works to reduce carbon dioxide (CO2) emissions, cited as a principal cause of
global warming, by considering the environment in its corporate activities and diffusing
environmentally friendly products and services.

Global Warming, an Urgent Issue for the Whole WorldThe United Nations Intergovernmental Panel on Climate
Change (IPCC) released its Fifth Assessment Report (AR5)in a series of installments from September 2013 to October
2014. AR5 concludes that the “warming of the climate
system is unequivocal.” Without policies for reducing
greenhouse gas (GHG) emissions, the report predicts thatthe average global temperature will increase by up to 4.8
degrees Celsius (°C) by 2100.
In April 2015 the Japanese government announced aplan targeting a 26% reduction of GHG emissions by 2030,
compared to the 2013 level. Towards the end of 2015,
delegates from around the world will convene at COP21(the 21st Session of the Conference of the Parties to theUnited Nations Framework Convention on Climate Change)
with the aim of reaching a new legally binding, universal
agreement on the global climate.

Global Average Surface Temperature Change
from 1950 to 2100
(°C)
6.0

*The shading shows the measureof uncertainty for each scenario.
4.0

2.0

scenario RCP8.5
modeledhistoricalevolution

prediction

0.0

scenario RCP2.6
–2.0
1950

2000

2050

2100
(year)Created based on Figure SPM.7 (a) from the IPCC AR5 WG1 report

Representative Concentration Pathway (RCP) Scenarios
I Representative concentration scenarios for GHGs.
I Four scenarios: RCP2.6, RCP4.5, RCP6.0, and RCP8.5.
In RCPs with smaller numbers, more aggressive measures are taken to mitigate temperature increase.
I Scenario RCP8.5 is a business-as-usual approach
where only the current climate policies are adopted.
The global mean surface temperature from 2081 to

2100 is likely to increase by 2.6°C to 4.8°C over the
1986-2005 average.
I Scenario RCP2.6 assumes that the most extensive
mitigation measures possible are adopted. The prospective global mean temperature is unlikely toincrease by more than 2°C.

Foundation for Toppan’s Initiatives to Help Mitigate Global Warming
In 1992 Toppan promulgated Toppan’s Declaration on the
Global Environment, a basic philosophy for environmental
conservation activities. In 2009 the Group revised the declaration into The Toppan Group Declaration on the Global
Environment, stating: “as responsible members of international society, we who work within the Toppan Group strive

10

TOPPAN CSR REPORT 2015

to realize a sustainable society.”
Toppan refers to its activities to minimize environmental
burden associated with corporate operations as “Eco-protection Activities.” The Group enacted its Bylaw on Global
Warming Mitigation to augment energy-saving and otherefforts to mitigate global warming.

Reducing CO2 Emissions Associated with
Business Activities
Among all types of environmental impact associated with the business activities of the Toppan Group,
the most significant impact is on global warming. The Group has set high goals and takes steps
to minimize CO2 emissions associated with its operations.

Establishing a New Target for CO2 Emissions
Since fiscal 2010 the Toppan Group had implemented
measures to attain its medium-and-long-term environmental target of reducing CO2 emissions by 11% by fiscal 2020,
compared to the fiscal 2008 level. The Group exceeded
this target by recording CO2 emissions of 632 kilotons, a
16% reduction from the fiscal 2008 level, in fiscal 2013,seven years earlier than the deadline set.
In December 2014 the Group therefore set a new goalof reducing CO2 emissions by 20% compared with fiscal
2008. Toppan will continue improving productivity andintroducing more energy-saving facilities to achieve thishigher goal.

CO2 Emissions: Results and Target Values
Previous medium-and-long-termtarget for fiscal 2020

Reduce by 11% compared to thefiscal 2008 level
Results in fiscal 2008

751 kilotons

Results infiscal 2013

632 kilotons
Targetachieved!

New medium-and-long-termtarget for fiscal 2020

Reduce by 20% comparedwith fiscal 2008
Target for
fiscal 2020

600
kilotons

Main Measures for Reducing CO2 Emissions

Solar panels capable of generating ap- Cogeneration system introduced inprox.150 kW of electricity installed on Gunma Central Plant following its
the roofs of Fukaya Plant and Toppan launch into full-fledged operation inTechnical Research InstituteMay 2015

Switching from mercury-vapor lamps Toppan employees planting trees atand fluorescent lights to LED lights. Umi-no-Mori sea forest in Tokyo to
All of the fluorescent lights used at assist a social project to reduce CO2
the head office have been replaced by emissions
LED lights.

Toppan’s Efforts Highly Rated by CDP
CDP*1, a not-for-profit organization operated jointly by global institutional investors, requests
information on environmental strategies and data on greenhouse gas (GHG) emissions fromselected companies subject to FTSE*2 indices. After analyzing and assessing their responses,
CDP discloses the results to global investors.
Toppan Printing Co., Ltd. was selected as a company subject to the CDP Japan 500
program and won the top ranking (“A”) for its efforts to reduce GHG emissions and mitigate
climate change risk. Toppan is also listed in the CDP Climate Performance Leadership Index(CPLI).

CDP Japan 500 Climate
Change Report 2014 (left)
and CPLI logo (above)*1 CDP: An international not-for-profit organization headquartered in London. CDP operates
a global disclosure system through which companies and cities measure, report, manage,
and share vital environmental information.
*2 FTSE: A global leader in financial indexing owned by the London Stock Exchange Group.
FTSE creates and manages indices of equities, bonds, and other financial instruments.
Investors from around the world use the various indices provided by FTSE.

TOPPAN CSR REPORT 201511

Promoting Widespread Use of Products andServices that Help to Reduce CO2 Emissions
Toppan develops an array of products, services, and systems designed to help reduce CO2 emissions
throughout all of society.

Packaging Initiatives
I Biomass-based Plastic“BIOAXX” Series
Biomass-based plastic made fromplant-derived raw materials is drawing attention for two environmental
advantages: low carbon emissions
and zero dependence on oil. Since
1991, Toppan has been developing
packaging materials using biomass-based plastics and commercializing sundry products such as
paper cups and laminated packaging material using biomass-basedpolyethylene films.

IM echanically Recycled PET Film
A mechanically recycled PET film is a filmof recycled resin fabricated from used
PET bottles by cleaning and crushing,melting at high temperature, decompression, filtration, and other treatments.
This film is composed of more recycledresin than almost any other recycled
PET film ever made: 80%. Safety-wise,
it satisfies performance levels required
for use in food packaging.
Mechanically recycled PET film
can also be further processed into
aluminum-deposition, transparent
high-barrier, and other films.

CO2 emissions fromincineration reduced by

CO2 emissions reduced by

about

40%*

about

1

*1 Specifically, laminated packaging materials
for refill bags with a polyethylene ratio of
75% by weight and a biomass ratio of 40%.

24%

compared with conventional
petroleum-based PET films*2

I Packaging Made from Lumber
Harvested from Forest-thinning
Operations
Appropriate thinning promotes asounder forest cycle and conditions
forests to better absorb CO2. The
Toppan Group manufactures paperbased products such as Cartocan and
Eco Flat Cup using domestic lumber,including lumber harvested fromforest-thinning operations.
The Group also manufactures paper
products for client companies using
lumber harvested from thinning operations in “company forests,” forests conserved and maintained by the clientsthemselves. Products produced fromcompany forests serve as living proofof the eco-conscious approaches ofclient companies.

*2 CO2 emissions associated with conventional petroleum-based PET films are quantified based on the standard database of
the Japan Environmental Management
Association for Industry (JEMAI) CFP
Communication Program. CO2 emissions
associated with mechanically recycled PET
films are quantified based on primary data.

Packaging Initiatives at Seven & i Holdings Co., Ltd.
Seven & i Holdings Co., Ltd. works with the Seven-Eleven Foundation to promote its Seven & i Forest conservation project. Seven & i Holdings markets
Seven Premium private brand drinks, soups, and other products packaged in
paper-based containers partly composed of timber harvested from thinning
operations in the Seven & i Forest.
Seven & i Holdings also uses PET films mechanically recycled from used PET
bottles collected from its stores to produce refill pouches for body wash.
Toppan has devised an across-supply-chain cooperation scheme for packaging production and supports Seven & i Holdings in its work to develop
eco-friendly private brand products.

Conserving theSeven & i Forest
Packaging Woodchip
utilizing producers
timberharvested
from
Paper
thinning
operations manufacturers

Collecting used
PET bottles from stores
Recycling
companies

ToppanDevising packaging
production schemesFilmmanufacturers

Mechanicallyrecycled
PET film
packaging

For Seven Premium product packaging

To consumers
I Providing eco-friendly products
I Packaging products in ways that showcase the eco-friendly
approaches of the client companies who market them

12

TOPPAN CSR REPORT 2015

Initiatives in the Information & Communication Field (Energy Solutions)
Efforts by households to reduce CO2 emissions are no lessessential than efforts by governments and businesses.
To lower CO2 emissions effectively, every household
needs to use energy wisely and avoid wasteful consumption. Governments and electricity providers can encouragesmart energy consumption in households by taking threesteps in combination: monitoring electricity and otherenergy usage by households, quantifying household efforts
to reduce energy consumption and the actual reductions
achieved, and granting incentives accordingly.
These steps have been difficult so far, as energy consumption is influenced by multiple factors such as lifestyle,family structure, and housing performance.
The Energy Information Creative Value System (VIENES)
is a next-generation recommendation system developedby Toppan using its information processing and marketingknow-how. VIENES predicts electricity usage and everyday
activities based on household electricity-consumption logs
and provides timely information that incentivizes consumers to use energy in better and more efficient ways.
Toppan has already deployed VIENES in three initiatives
sponsored by the Ministry of the Environment (MOE) of
Japan: the Project to Verify Home-eco Diagnosis (UCHIEKO SHINDAN) held in fiscal 2011, the Research to
Enhance the Benefits of Using HEMS, and the Establish-

ment of a System to Reward CO2-Reduction Points Using
HEMS Data. In the latter two projects, Toppan created asystem to quantify home-based efforts to reduce CO2 emissions and convert them into points. This system is now
integrated into the Manual for Evaluating CO2 Reduction
Activities Using HEMS Data.
Once the electric power market for ordinary households
is liberalized in April 2016, this manual is likely to becomea useful resource for electricity-related businesses that plan
to introduce points, coupons, or similar services to reward
the energy-saving efforts of households.
Toppan also participated in two initiatives organized by
the Ministry of Economy, Trade and Industry (METI) of
Japan: the Kitakyushu Smart Community Creation Project
and the Large-scale HEMS Information Infrastructure
Development Project. Toppan’s new marketing approachin the energy market tailors communications to consumer
attributes and behavior by linking household electricity-consumption logs with individuals’ purchasing behavior andprofile data.
Toppan will continue to contribute to the reduction of
CO2 emissions by visualizing electricity consumption andcreating schemes that benefit both consumers and electricity-related businesses.

Scheme for Low-carbon Lifestyles
Electricity-related businesses

ToppanConsumer(electric power company,
homebuilders, etc.)

VIENES
Data analysis
Recommendation

I Manual provision
I Report for eachhousehold
I Information on CO2
reduction activities
I Other services

I Granting points
I Message delivery
I Other services

Report creation
Email generation
Point calculation

I Electricity data
I Household profiles(family structure, etc.)

Electricity data

OFF

Report printing
Email delivery
Personal information
management

Accomplishments of Toppan Projects
Projects Overseen by MOE
Fiscal 2011

Project to Verify, Measure & Survey the Effects of Home-eco Diagnosis(KATEI EKO SHINDAN) (aka, Project to Verify Home-eco Diagnosis[UCHI EKO SHINDAN])

Fiscal 2012

Research to Enhance the Benefits of Using HEMS

Fiscal 2013

Establishment of a System to Reward CO2-Reduction Points Using
HEMS Data

Fiscal 2014
Fiscal 2015

Creation and publication of a Manual for Evaluating CO2 Reduction
Activities Using HEMS Data

Projects Overseen by METI

Kitakyushu Smart Community Creation Project

Large-scale HEMS Information Infrastructure Development Project

TOPPAN CSR REPORT 201513

Special
Report 2

Fostering Human Resources
Committed to Solving Social Issues
The Toppan Group strives to be a company respected and valued by society by
imbuing its employees with a sense of responsibility to address social issuesof the day and take the initiative to search for solutions. Training in a region
seriously affected by the Great East Japan Earthquake of March 2011 is one ofmany Toppan programs geared to this objective.

Facing up to the reality of the Great East Japan Earthquake on the coast of Odaka Ward, Minamisoma City

To Solve Social Issues
The Toppan Group aims to be a company respected andvalued by society by tackling social issues in the course ofdaily operations. In keeping with this vision, the Groupdevelops businesses that can both solve social issues andcreate economic benefits. In human resource development,
the Group provides training programs designed to imbue
employees with a sense of social responsibility and a drive
to address social issues of the day and take the initiative
to search for solutions.
In “Advance—Shaping the Future,” a training program
launched in 2014, participants visit Minamisoma City,­Fukushima Prefecture to gain firsthand experience of thesocial challenges the city faces and to find ways to solve
those challenges by leveraging the resources of the Toppan
Group. If these trainees are to be cultivated as leaders of
tomorrow, they must be given opportunities that will enhancetheir commitment to problem-solving and strengthen theirinitiative to think and act on their own. Local counterparts

14

TOPPAN CSR REPORT 2015

have shown their support for this training program andprovided considerable assistance.

Two-day Training in Minamisoma City,
Fukushima Prefecture
Eighteen trainees from Group companies across Japan
take part in each course of the “Advance” program. Before
beginning, the trainees are asked to study the status ofreconstruction and other current conditions in the area.
The two-day training consists of lectures, site visits, group
work, group presentations, and an overnight stay at a farmminshuku (Japanese-style inn).
I Lectures and Site Visits
The lectures are given by local officials, city council members, people running businesses, and other members of
the community engaged in reconstruction. The talks cover
not only the impacts of the Great East Japan Earthquakeon Minamisoma City, but also renewable energy, futureLocal citizens presenting their thoughts and explaining reconstruction efforts

A bicycle parking lot left just as it was the day the earthquake hit. The scene seems to be frozen in time. (Visit to Odaka Ward)

community development, and the speakers’ thoughts onreconstruction. Between lectures the trainees are taken
on site visits to give them further firsthand experience ofthe city today. They visit the Fukushima coastline and theMinamisoma Solar Agripark (➞P.17), a solar-powered farmwith an important role in developing human resources forreconstruction.
I Group Work and Presentations
The trainees hold repeated group discussions to delve moredeeply into the issues raised during the lectures and site visits.
The Toppan Group companies where the trainees work
are involved in wide-ranging businesses such as printing,publishing, childcare, electronic publishing, mapping information, and travel services. The trainees brainstorm diverse
ideas on business solutions for the challenges faced byMinamisoma City by bringing together the strengths of theirrespective companies.
The trainees present business plans in teams and thendiscuss and refine them.

I Stay at a Farm Minshuku Inn
The overnight minshuku stay is an especially valuable
activity in the program. The whole group meets with local
residents to hear first-hand accounts of matters such as
the reputational damage to local produce while sharing adinner prepared with local ingredients.

The Initiative to Take Continuous Action
At the end of the two days the trainees carefully reflect on
their training and share their future goals for action. Every
trainee pushes further ahead at his or her own initiative toachieve the goals he or she sets.
The Toppan Group will continue organizing this type oftraining and maintain its commitment to social issues byfostering a new generation of leaders who take the initiative
to find solutions.

TOPPAN CSR REPORT 201515

Trainees further their learning through presentations and Q&A sessions

Discussion running late into the night at the farm minshuku, the accommodation for the trainees

Feedback from Trainees

16

I’ve actually interacted with people working on new
approaches. I learned first-hand how they created value
and developed their businesses. The experience was
direct, not some theory explained in a book.

I was greatly influenced by the positive words and energyof the people committed to reconstruction. They
convinced me that our company should also be able tocontribute.

I contemplated what we could do and contribute withour corporate resources under a particular set of circumstances. I’m certain that this experience will have atangible impact on my career going forward.

People are dedicating their lives to rebuild their community in the face of great odds. Their lectures were earnest
and a privilege to hear. I came to reconsider what
I myself should do and what my approach should be.

I used to build a wall between the challenges we face
as a society or community and the projects we work onin the company. In the training I learned how services
we devise as a company can be repurposed to at least
partly fix real-world problems. As part of a large organization, I began to hold myself responsible for proposing
ideas and solving social issues at my own initiative. I alsocame to see how others expect the same from me.

The lecturers presented energetic, outstanding accountsof how they were reconstructing Minamisoma City fromdifferent standpoints. By hearing and discussing theirefforts, I witnessed the power of constructive, positive
thinking while absorbing a great deal of practical information about the current status of Minamisoma City.

TOPPAN CSR REPORT 2015

Minamisoma Solar Agripark: A Field for Training
Minamisoma Solar Agripark consists of a solar power
plant and solar-powered vegetable plants. The parkis also designed as a training ground, complete witha work experience zone for visitors and a facility for
lectures and workshops called the Center House. Theenergy and vegetables produced in the agripark earnrevenue, while visitors of all ages come to the park tolearn.
Selected as an eco-future city after the Great East
Japan Earthquake, Minamisoma City searched for
concrete plans to realize the eco-future city concept.
At the same time, entrepreneurs wanted to foster local
youth active throughout the lengthy process of recon-

struction. The public and private sectors have therefore been working together to establish this Minamisoma Solar Agripark.
The park has been a place for interaction between
many generations since its opening in April 2013. A
thousand elementary and junior high school students
come to the park every year for “experiential learning”
classes in their standard school curricula, as well as
high school students, college students, and adults.
As a place for people to gather, the park also serves
as a networking venue for civil servants and businesspeople working to reconstruct the community.

Facilities and Experience at
Minamisoma Solar Agripark

Programs for Fostering Human
Resources to Reconstruct Fukushima
I The “experiential learning” program is part of the “integrated
study” curricula for elementary and junior high schools to foster theability of children to think, present, and act on their own initiative.
I The Weekend Open School for elementary and junior high school
students teaches communication, monozukuri (the Japanesespirit of craftsmanship in manufacturing), and other skills andknow-how children rely on to shape their own actions.
I T he Weekend Open School for high school students trains“Fukushima-style entrepreneurs” through the planning and implementation of projects that help solve social issues.
I Children will admire the “Fukushima-style entrepreneurs” andtake steps to become entrepreneurs themselves. This “chain of
admiration” will drive the reconstruction of Fukushima and engender civic pride in the locals.

Orientation in an “experiential Explanation of solar panel inspection
learning” program

Vegetable plant behind children

Center House

Minamisoma Solar Agripark website
http://minamisoma-solaragripark.com/english/

Open School for high school First project launched with highschool students: Fukushima
students
Taberu (eating) Newsletter fromHigh School Students

Chain of admiration
Positive impact on children’s growth as social entrepreneurs with civic pride

Elementary andjunior high school students

High school students

College students

Project implementation(incorporation)
Experiential
learning (weekday)

Weekend OpenSchoolWeekend OpenSchoolProject planning
The experience ofstarting up
a social project

Fukushima-style
entrepreneurs
Internship

Youth of Fukushima willcontribute to reconstruction
by starting up projects
on their own

Motivation for children who challenge themselves to become “Fukushima-style entrepreneurs”

Chain of admiration

TOPPAN CSR REPORT 201517

CSR Activity Digest 2014
Results in Fiscal 2014 and Future Measures in Line with the Seven Core Subjects under ISO 26000
Seven Core
Subjects

IssuesOrganizational governance

Human rights

Action Points andTargets for Fiscal 2014

Main Measures in Fiscal 2014

Developing CSR management based on ISO
26000• Implement e-learning-based, Company-wide basic education on CSR management
at more Group companies

Facilitating business continuity management(BCM) activities• Organize various BCM drills• Install task force functions across the Group• Develop education programs on BCM and business continuity plans (BCPs) andhave more employees engage in BCM and BCPs

Heightening awareness of the importance ofrespecting basic human rights• Continue organizing various training sessions to nurture businesspeople guided by
the concept of respect for people

Providing an open environment and information for recruitment• Promote the hiring of human resources suited to careers in a global businessenvironment (including international students learning in Japan)

Proactively appointing female employees tohigher positions• Promote positive action to appoint more female employees to higher positions,leverage female talent, and create working environments where employees can strikea balance between working and raising children

Working for equal opportunity in individualcareer development and helping employees
pursue their own career paths
Supporting second careers for retired­employees
Promoting the employment of persons withdisabilities

Issue 2:
Conditions of work andsocial protection

Issue 3:Social dialogue

Labourpractices

Issue 4:
Health and safety atwork

Issue 5:
Human development
and training in theworkplace

The environment

Fair operating
practices

ConsumerissuesSupporting work-life balance 2)
 reating a working environment where employees canCstrike a balance between working and raising children• Promote systems to support second careers for retired employees and offer working
options well suited to the motivation of more experienced employees• Diligently facilitate the hiring of persons with disabilities by sharing information withlocal job-placement offices across Japan• Facilitate appropriate supervision of working hours using the working management
system• Implement measures based on labor-management discussions on ways toencourage employees to take leave, including the creation of more accommodating
workplace environments• Continue holding the Hagukumi (nurturing) Seminar and Hagukumi Art Salon;organize these activities in more areas in Japan• Launch Hagukumi Circle, a network of employees balancing work and childcare

Creating a better working environment
through partnerships between labor andmanagement• Increase opportunities for opinion exchanges between labor and management,
including division tripartite conferences, business councils at individual divisions, andlabor-management committees for the creation of a working environment amenable
to enhanced job satisfaction• Continue holding and gingering up recreational events jointly organized by labor andmanagement

Ensuring occupational health and safety andreinforcing countermeasures against fires• Promote safety activities across operational sites based on the analysis of workplacesafety awareness surveys• Establish Anzen Dojo safety training facilities in the Kyushu and Kansai areas andbegin receiving visitors to the new facilities from corporations outside the Company• Complete the switch from cleansing agents previously used at offset printing
workplaces to new agents not restricted under the Ordinance on Prevention ofOrganic Solvent Poisoning (“Organic Solvent Ordinance”) in Japan

Reinforcing countermeasures against
disasters• Organize startup drills for alternate functions of the Company-wide task force in
Kansai, Japan• Continue organizing first response drills in Akihabara; hold assembling drills for thetask force crew

Promoting healthcare and health­enhancement• Improve the medical check-up ratio by intensively encouraging insured employees
and their dependents to come in for regular medical check-ups and check-ups forthe prevention of lifestyle-related diseases, respectively• Cooperate with the Toppan Group Health Insurance Union to formulate andimplement a Data Health Plan

Arranging measures for mental healthcare• Continue operating the Art Salon• Quantitatively ascertain the status of mental health in the workforce

Developing and fostering human assets**Toppan values its employees as precious “human assets.”• Upgrade learning support programs via various channels such as the Toppan
Business School; expand learning opportunities and enrich learning content• Dispatch employees outside the Company to strengthen the fosterage of humanassets with skills and motivations advantageous in a global business environment

See page 40
Heightening awareness of laws, regulations,and the Conduct Guidelines• Reinforce measures to prevent improper conduct by enhancing the activities of theConduct Guidelines Promotion Leaders• Implement the Conduct Guidelines in overseas Group companies

Issue 3:
Fair competition

Complying with transaction-related laws andregulations• Ensure proper subcontract transactions and build proper relationships with business
partners

Issue 4: Promotingsocial responsibility inthe value chain

Promoting CSR initiatives in the supply chain• Apply the Toppan Group CSR Procurement Guidelines to business partners working
with Toppan Group companies

Issue 2:
Protecting consumers’
health and safety

Ensuring consumer safety through the strict
prevention of quality-related accidents• Prepare a manual for applying failure mode and effective analysis (FMEA, a step-by-step
approach for analyzing possible points of malfunction or failure) to product development andmanufacturing processes and provide guidance on FMEA in general; establish standards for
applying risk assessment procedures and help operational sites use the standards• Renew the Quality Assurance Guidelines for Food Packaging; establish a set of
guidelines for food defense and carry out audits based on the established guidelines• Establish auditing standards for primary food filling/packing plants; help the plants
use the standards during their internal audits

Issue 3:
Sustainableconsumption

Evaluating environmental impact• Apply for carbon footprint of products (CFP) registration for 6 products• Organize CFP education for employees in sales departments

Issue 5:
Consumer dataprotection and privacy

Establishing an information security management structure towards the complete
elimination of information-related accidents• Comply with the various modifications to the laws, regulations, and standards related
to personal information• Organize education for all employees on the proper handling of personal informationand confidential information and carry out internal audits for all departments acrossJapan

Arranging social contribution programs tohelp solve social issues• Hold the 8th series of Toppan Charity Concerts• Consider new social contribution programs to support literacy and other educational
initiatives

Community involvement anddevelopment

18

Supporting work-life balance 1)
Shortening total working hours• Use the Challenging Job System proactively to appoint at least 20% of employee
applicants to the departments or divisions where they would like to work

TOPPAN CSR REPORT 2015

Results in Fiscal 2014
• Deepened the understanding of ISO 26000 in the workforce through e-learning-based,
Company-wide basic education for Toppan and Group company employees• Organized BCM simulations, BCM drills to start up and operate task forces, andvarious other BCM drills at main sites throughout Japan• Revised the Basic Plan for Countermeasures against Earthquake Disasters in July;organized simulations for the operation of task forces across the Group in September
and October• Arranged e-learning-based BCM training programs from September to October• Organized education focused on respect for people via training for Conduct Guidelines
Promotion Leaders, basic Group-wide training on CSR (for 20,739 employees at theCompany and Group companies), and other relevant training programs• Hired 40 people with attributes for global business (overseas learning experience,
foreign nationality, etc.), including 9 non-Japanese recruits to work in sales, administration, and technical job categories

Self
Evaluation

Action Points, Targets, and Main Measures for Fiscal 2015

A

• Introduce and disseminate a CSR award system to energize CSR activitiesA• Help the head office and Company divisions institute BCM activities (byreviewing and developing BCM procedures, systems, etc.)• Organize various BCM drills (BCM simulations, BCM drills to start up andoperate task forces, and other drills)• Implement measures to secure the stable supply chain required for effective BCM

A• Heighten employee awareness about diversity by supporting sports for physicallyand intellectually challenged persons

A• Provide an open environment for recruitment and hire diverse human resources• Attained a 6.0% ratio of females among managerial and supervisory staff(as of April 1, 2015)

A• Promote positive action to appoint more female employees to higher positions,leverage female talent, and create working environments where employees can strike abalance between working and raising children; take steps in the workplace to enhance
employee understanding about a healthy balance between work and parenting• Appointed 239 employee applicants (18.2% of all applicants) to the departments ordivisions where they wished to work (as of April 2015)

A• Use the Challenging Job System proactively and analyze the details of the careerdevelopment plans applied to the system to aid effective career development• Reviewed benefits and took other steps to improve the treatment of experienced
employees within the Company• Attained a 2.10% ratio of employees with disabilities in the total workforce(as of June 1, 2015)• Appointed employees with disabilities to sections that had not previously hired
employees with disabilities and developed new job positions for them
• Have managers supervise subordinates’ working hours with greater precision bychecking and approving their tasks without delays• Introduced a third day of leave for family celebrations for employees at the head office;held briefing sessions for managers to encourage employees to take leave• Held the Hagukumi Seminar in January 2015 (with 102 participants) and Hagukumi Art
Salon in 2 sites in Japan• Operated the Hagukumi Circle in 2 sites in Japan• Held various meetings such as the division tripartite conferences, labor-management
committees for the creation of a working environment amenable to enhanced job satisfaction, and a labor-management meeting of the Safety and Health Committee with an
expanded membership inclusive of delegates from labor and management frommanufacturing subsidiaries• Was forced to cancel the actual event due to rain but established a partnership to holdthe TOPPAN SPORTS FESTIVAL, another Company-wide sports event jointly organizedby labor and management• Improved safety awareness among employees by upgrading the safety of machines
and equipment and organizing rank- and job-based safety education; reduced thenumber of occupational accidents by 23% compared to fiscal 2010
• Began receiving visitors from corporations and organizations outside the Company to
let them experience the dojo facilities at the Kawaguchi Plant in Saitama Prefecture(305 visitors from 33 companies)• Completed the switch from cleansing agents for oil-based ink for offset printing to newagents not restricted under the Organic Solvent Ordinance of Japan• Organized drills for alternate functions of the Company-wide task force in the Kansai area
• Organized a comprehensive disaster-preparedness drill in Akihabara on March 11,2015 (drill for custodians to call in status reports on their buildings, emergency
communication drill using the safety confirmation system, distribution of stockpiled
supplies, drill on cardiopulmonary resuscitation (CPR) and the use of automatedexternal defibrillators [AEDs])• Attained a 98.0% ratio of medical check-ups for the prevention of lifestyle-relateddiseases for insured employees and a 62.0% ratio for the dependents of employees• Administered a treatment program for 23 diabetic employees to prevent the advanceof the disease in a model project set up under the Data Health Plan formulated by the
Toppan Group Health Insurance Union• Operated the Art Salon at 19 regional sites across Japan (2 more sites than in fiscal 2013)• Mandated managers at operational sites across Japan to report mental illness at theirworkplaces at the National General Affairs Department GM Meeting•A rranged a firsthand training program in Minamisoma City, Fukushima Prefecture to encourage
employees to stay informed about social issues and take the initiative to address them
• Dispatched employees to the International Institute for Management Development(IMD) in Switzerland; deployed more employees overseas under the trainee system on
a cumulative total basis• Held 80 training sessions for 1,161 Leaders from Toppan and Group companies• Educated employees on the prohibition of bribery and kickbacks in dealings withforeign public officials at the training sessions for the Conduct Guidelines Promotion
Leaders• Held training sessions on compliance with the Subcontract Law of Japan for 1,558
employees mainly in production control departments at Group companies• Interviewed employees at 26 sites in Japan to confirm their observance of the law• Held briefing sessions on the second version of Toppan Group CSR Procurement
Guidelines; sent out questionnaires to 2,047 business partners working with Toppan’splanning, procurement, and production control departments• Provided guidance on FMEA procedures to 3 departments in the Living Environmentfield• Established a set of Guidelines for Food Defense Ver. 1; assessed conformance to theguidelines at drink production and filling/packing plants and provided guidance
accordingly• Established standards for accreditation audits for primary food filling/packing plants;
carried out accreditation audits for 5 plants• Gained CFP registration for 14 products (8 Group products and 6 products outside theGroup)• Held CFP training sessions for employees in sales departments in May; fostered 3
employees for engagement in CFP quantification• Complied with the revisions to the METI* guidelines for the Act on the Protection of
Personal Information of Japan *Ministry of Economy, Trade and Industry• Held training sessions on awareness of invisible security threats for all employees
across Japan (361 sessions)• Surveyed information security practices for 12,852 employees using PCs• Held the concerts for two days as scheduled and donated 2.19 million yen to theAsia-Pacific Cultural Centre for UNESCO• Was presented with a proposal for a new social contribution project from an NGO but
was unable to realize the project because of budgetary considerations

A
A

A

A

• Promote systems to support second careers for retired employees and offer
working options to maintain the motivation of more experienced employees• Diligently facilitate the hiring of persons with disabilities by sharing information
with local public job-placement offices across Japan• Arrange internship programs to offer work-experience opportunities for students
enrolled in special schools to support the disabled• Shorten and appropriately supervise working hours by reviewing how individuals
work, adopting working systems suited to the requirements of each job, applying
the working management system, and taking other relevant measures• Deliberate measures to encourage employees to take leave based on labor-management discussions and the actual working conditions at each operational site
• Carry out measures to encourage male employees to take childcare leave• Enrich measures to help employees balance their work and nursing care athomeA• Continue increasing Company-wide and division-based opportunities fordeliberations and opinion-exchanges between labor and management on work
environment policies, including labor-management committees for the creationof a working environment amenable to enhanced job satisfaction• Have labor and management jointly organize a large-scale, Company-wide
recreational event (to be held at an indoor facility in September)

B• Promote safety activities via a 2nd survey on workplace safety awareness• Introduce a new danger simulator; use the Anzen Dojo facilities established in
the Kyushu and Kansai areas; launch a 2nd dojo facility tour in Japan• Comply with the new Japanese government ordinance for risk assessments on
chemical substances, starting from June 1, 2016A

• Organize coordination drills linking operational sites across Japan• Share information about stockpiled emergency supplies and management
ledgers for supplies at operational sites in Japan; establish a rule requiring theregular maintenance of emergency suppliesA• Improve the percentage of insured employees and their dependents who
undergo check-ups for the prevention of lifestyle-related diseases• Carry out the Data Health Plan formulated by the Toppan Group Health
Insurance UnionA• Arrange mental healthcare measures for employees on overseas assignments• Review regular mental health check-ups in accordance with the revised Industrial
Safety and Health Act of JapanA• Enrich diversity promotion programs to create new value• Continue fostering human assets with skills and motivations advantageous in a
global business environment with a view to boosting the Company’s strengths inglobal businesses

B• Reinforce measures to prevent improper conduct by upgrading the training
programs for the Conduct Guidelines Promotion Leaders• Implement the Conduct Guidelines in overseas Group companiesA• Continue organizing training on compliance with the Subcontract Law of Japanfor Toppan and Group company employees and continue interviews to check
how subcontract transactions are being handledA• Conclude basic sale and purchase agreements with business partners
stipulating the observance of the Toppan Group CSR Procurement GuidelinesA• Apply FMEA to businesses in the Electronics field as an initial step in Toppan’s
approach to mitigating quality-related risks• Revise the checklist for accreditation audits for primary food filling/packing plants• Conduct audits on food defense measures at primary food filling/packing plants
and provide guidance for improvement

S• Develop and use a calculator for CFP quantification• Organize CFP training courses and seminars for employees in sales departments
to target increased CFP ordersA• Support and follow up a plan to improve the security level of tightly secured
areas designated for the handling of personal information• Organize education for all employees on the proper handling of personal
information and confidential information and carry out internal audits for all
departments across JapanB• Hold the 9th series of Toppan Charity Concerts

Evaluation criteria: S, Results achieved far surpass the targets; A, Targets achieved; B, Activities fully carried out, but targets unachieved; C, Activities insufficient

TOPPAN CSR REPORT 2015

19

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

Organizational
governance

Human rights

IssuesOrganizational governance

Issue 1: Due diligence
Issue 2: Human rights risk situations
Issue 3: Avoidance of complicity
Issue 4: Resolving grievances

For Details

Pages

I Corporate Governance
I CSR Initiatives
I Risk Management Structure
I Business Continuity Management

P. 21−I Respecting Basic Human Rights
I Collective Labor Agreement
I Working for Equal Opportunity andEliminating Discrimination

P. 24−I Basic Approach Regarding Human Assets
I Labor-Management Partnership
I Supporting Work-Life Balance
I Occupational Health and Safety
I Measures for Mental Healthcare
I Developing and Fostering Human Assets

P. 26−I Toppan’s Environmental Activities
I Environmental Management Activities
I Toppan’s Environmental Burden andEnvironmental Impact
I Eco-protection Activities
I Eco-creativity Activities
I Environmental Communication Activities

P. 40−I Disseminating the Conduct Guidelines
I Toppan Group Helpline
I Compliance Education
I Promoting CSR Procurement

P. 30−I Assuring Product Safety and Quality
I Protecting Consumers by Safeguarding
their Personal Information
I Universal Design Initiatives
I Contributing to Sustainable Consumption

P. 34−I Community Involvement and Development
I Cooperating with International Communities
to Address Social Issue

P. 38−

Issue 5: Discrimination and vulnerable groups
Issue 6: Civil and political rights
Issue 7: Economic, social and cultural rights
Issue 8: Fundamental principles and rights 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: H uman development and training in theworkplace

The environment

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

Fair operating
practices

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

Consumer issues

Issue 1: F air marketing, factual and unbiased information and fair contractual practices
Issue 2: Protecting consumers’ health and safety
Issue 3: Sustainable consumption
Issue 4: C onsumer service, support, and complaintand dispute resolution
Issue 5: Consumer data protection and privacy
Issue 6: Access to essential services
Issue 7: Education and awarenessCommunity
involvement anddevelopment

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 6: Health
Issue 7: Social investment

20

TOPPAN CSR REPORT 2015

Organizational Governance
Points oppan has strengthened its governance structure through the establishment of a Management Audit Office,T
Compliance Department, and Ecology Center under the purview of a Board of Corporate Auditors according to
the Companies Act of Japan.
Toppan implements governance aimed at maximizing the corporate value of the entire Group under the Related
Company Administration Regulations.

Corporate 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 the advancement of fair management for the Group.

n Directors, Board of Directors, and Various Meetings
Toppanhas 26 directors, including two outside directors, onits board (as of the end of March 2015). Board meetings areheld monthly and whenever a pressing matter requires action
or deliberation. Especially important matters are deliberated
beforehand by the Management Committee, a body madeup of directors selected by the President & Representative
Director. The goal is to lay weight on managerial efficiency inbusiness decision-making.

nCorporate Auditors, Board of Corporate Auditors,
andAudit Firm
As of the end of March 2015, Toppan has five corporate auditors, including three external auditors, of whom two are independent officers. Along with their own board meetings, thecorporate auditors attend 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 withthe audit firm and internal audit-related departments of theCompany. Through these tasks, they audit and advise theCompany from a preventive perspective to ensure the legalityof 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 boardof corporate auditors from related companies to improve theeffectiveness of the audits by corporate auditors across theGroup.
Toppan has had KPMG AZSA LLC verify the propriety of theCompany’s accounts through audits to enhance the reliability
and transparency of the Company’s financial information.
Organizational GovernanceCorporate Governance Structure
Meeting of Shareholders
Appointing or dismissing

Appointing or dismissing

Appointing or dismissing

Board of Directors
Auditing

Auditing
Supervising

Crisis Management Committee
Responds toemergencies

President & Representative Director

Advising and counselingManagement Committee
Considers issues prior to
Board of Directors’ meetings

Directors in Charge
Business Divisions
Group Companies
Independently check, evaluate,
and make improvements under
the direction of departments
responsible for laws andregulations

Observingandguiding

Management Audit OfficeCompliance Department

Ecology Center

Coordinates, supervises, and verifies
Toppan’s environmental activities
Instructing

Other organizations for control

Chief Information
Security Manager

Safety and Health Committee

Auditing

ReportingAssistingGuidingNational Conduct Guidelines
Promotion Supervisors

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

Corporate Auditors Office

Audit Firm

Special Committee (fordefending against takeover bids)

Board of Corporate Auditors

Auditing

Selecting or dismissing

National Eco-protection Committee

TPM National Conference
Working together

TOPPAN CSR REPORT 201521

Organizational Governance

n 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 fair andobjective 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, and reports
the audit results to the President & Representative Director,
directors in charge of relevant departments, and corporate
auditors. The office carried out 31 management and operation
audits in fiscal 2014. It also conducted maintenance and 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 thecomplete 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).
n Remuneration to Directors and Corporate Auditors
In fiscal 2014, the total annual remuneration to directors was
1,140 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
n 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 its 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 2014)
and e-learning-based basic education programs for employees
at the Company and main Group companies (20,739 participants in fiscal 2014).

22

TOPPAN CSR REPORT 2015

Risk Management Structure
Toppan manages risk comprehensively to avoid risk and minimize the losses incurred when an event at risk of occurring
actually occurs.
The Rules on Risk Management have been establishedto address matters regarding risk avoidance and the minimization of 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 officebased on the types of risk involved. Under this structure, thedirectors in charge of each relevant division are responsible
for taking measures to prevent, avoid, and correct each typeof risk.
Toppan reviews risks to be managed once a year and examines countermeasures to be taken in line with the rules. The
Company also holds a regular Risk Management Liaison Meeting for the persons in charge of risk management in the head
office divisions in order to share information on a continuous
basis and respond to risk practically.

Business Continuity Management
To prepare for the possible occurrence of a wide-scale disaster, Toppan institutes business continuity management (BCM)
activities under the Basic Plan for Countermeasures against
Earthquake Disasters. These activities aim to minimize damage
to the Group and maintain a steady supply of products andservices to customers.
To enhance Group-wide competence for business continuity, Toppan repeats various BCM drills such as operation drills
for the task forces to be established during a wide-scale disaster. Toppan also holds training sessions for new employees(306 participants in fiscal 2014) and arranges e-learning-based,
Group-wide basic education courses (22,060 participants infiscal 2014) to disseminate BCM awareness throughout theworkforce of the whole Group.
The lessons learned from the Great East Japan Earthquake
disaster have left Toppan with a solid understanding of the stable supply chain required for effective BCM. In fiscal 2014 theGroup expanded the boundary of companies subject to BCM
assessments from material suppliers to cover subcontractors
and service providers. This expanded coverage represents
an advance in the Group’s BCM cooperation with business
partners.
The Toppan Group seeks to coexist with communities asa social benefactor through ongoing BCM activities.

CSR Promotion Structure

Risk to Be Managed and the Relevant Head Office Divisions in Charge
Risk to Be Managed

President & Representative Director
Director in charge of CSR

Accidents involving products
or product liability

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.)CSR promotion departments
Administration
Public Relations Division

Accidents or disasters related
to company operations

Secretary Office
Corporate Planning
Division
Personnel & Labor
Relations Division

Defamation, slander, or othercriminal damages

Legal Affairs Division
Finance & Accounting
Division
Manufacturing
Management Division

Relationships with antisocialorganizations
Natural disasters

Leakage of personal information, internal confidential information, etc.
(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, leakage of
personal information, internal information, etc. (ICT Management Div.)
Acts of violence against the company (threats, kidnapping, robbery)(Personnel & Labor Relations Div.)
Unreasonable demands from antisocial organizations, transactions
conducted between business partners and antisocial organizations(Legal Affairs Div.)
Material losses or personal accidents suffered by customers or thecompany due to earthquakes, wind or water damage, lightning, etc.
(Personnel & Labor Relations Div.)

Risk in business management Shareholder derivative lawsuits, hostile takeovers (Legal Affairs Div.)
Unlawful activities related toexternal contracts
Infringements of intellectual
property rights
Environmental problems
Risk in overseas businessactivities

Task-force operation drill (Sagamihara Plant)

Legal problems with orders received (Legal Affairs Div.)

Violations of the Subcontract Law of Japan, illegal transactions withbusiness partners (Manufacturing Management Div.)Infringements of patents, trademarks, or copyrights (Legal Affairs Div.)
Violations of environmental laws or standards, illegal disposal of industrial waste (Manufacturing Management Div.)
Product accidents, environmental problems, fires or natural disasters,
damage to human or physical resources caused by international
conflicts or terrorism, etc. (Corporate Planning Div.)BCM textbooks for Group-wide education(in Japanese)

Organizational GovernanceBusiness Development& Research Division

Accidents or complaints related to products(Manufacturing Management Div.)

Comprehensive disaster-preparedness drill(Akihabara)Countermeasures against Disasters
The Toppan Group takes comprehensive disaster-preparedness measures across all of its operational sites under the Basic Plan for Countermeasuresagainst Disasters. The basic plan specifies what Toppan employees must do: 1) to take safety-first actions based on the concept of respect for people;
2) to fulfill social responsibilities by maintaining steady supplies of products and services society calls for most; 3) to cooperate with governments andcommunities to minimize damage and provide aid for affected people.
All Group sites conduct disaster drills and employee firefighting training sessions. They also operate their own communication systems and organize
communication drills to promptly confirm the safety of employees and their families when disasters strike. The head office site in Akihabara and other main
Group sites organize regular comprehensive disaster-preparedness drills to reconfirm 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 the workplace on foot, and the
distribution of stockpiled supplies. Toppan Group sites also continue stockpiling water, food, and emergency supplies to support local communities andcommuters who have no means to return to their homes.
The regular repetition of these drills will keep Toppan employees on alert and provide them with the know-how necessary for dealing with emergency
situations quickly and properly.

TOPPAN CSR REPORT 201523

Human Rights
Points ased on the concept of respect for people, Toppan is committed to respecting basic human rights inside andBoutside the Group.
Toppan participates in global policy initiatives such as the United Nations Global Compact and engages in dialogues
on human rights.
Toppan continued offering a greater range of positions for intellectually disabled employees in fiscal 2014.

Respecting Basic Human Rights
Toppan operates business under the foundational concept ofrespect 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 and the
Basic Policy on Biodiversity, Toppan promotes environmental
conservation initiatives to avoid negative impacts on the livesof people living near its operational sites (➞P. 40).
The Group has been carrying out education on human rights
in rank-based training for employees to prevent issues fromarising. To disseminate initiatives for respecting human rights
throughout the entire supply chain, Toppan 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.
Human Rights

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 laborand management, 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
value by engaging diverse human resources and nurturing

24

TOPPAN CSR REPORT 2015

their competence to its full potential. In fiscal 2013 Toppan
Printing Co., Ltd. became one of the “Diversity Management
Selection 100,” a group of companies selected by the Ministryof Economy, Trade and Industry of Japan for their outstanding
efforts to promote diversity.

n 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. The Company continues to create
positive working environments and appoint female employees
to managerial positions based on their skills and motivation.

nIn-house Staff Recruitment / Self-determination on
theCareer Path / 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.
Seventy-two of 86 employees who retired in fiscal 2014 were
reemployed and now remain with the Company.

n 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
offers a greater range of positions for intellectually disabled
employees, including positions in document digitalization andvarious other clerical jobs.
n 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 three recruitment channels: the regular hiring of new
graduates from universities and high schools, mid-career hiringof experienced personnel, and hiring of persons with disabilities.
The Company offers employment opportunities for recruits tochoose in accordance with their own aspirations and vocational
aptitudes through a host of job-specific screenings in Japan andrecruitment of global personnel all over the world. Toppan takes
part in forums around the world to make contact with morehuman resources suited to careers in a global business environment. In fiscal 2014 the Company ran open application-based
internship programs for 162 students in the summer and business-proposal planning sessions in the winter.

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( see PP. 30, 33)

Working for equal opportunityand eliminating discrimination

Organizing training
and education

Toppan specifies respect for basic
human rights in the Conduct
Guidelines—its listing of behavioral
norms for employees—and disseminates
this principle 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( P. 32)

Operating hotlines( PP. 30, 32)

Contributing to society( P. 38)

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

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

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

Human Rights

In fiscal 2014 Toppan participated in working groups on
human rights education and due diligence for human rights organized by the Global Compact Network Japan.
The Company gathered information and held opinion exchanges with other members on respect for basic human rights.

Female Managerial andSupervisory Staff

Number of Recruits
Fiscal 2013

■ Female supervisory staff■ Female managerial staff
250(as of April)
251

233

200

197
176

150
100

133

0

Male
Sales,
administration, etc. Female

39

42

50

Male

70

94

102

Female

30

33

40

Male

4

1

5

Technical

Mid-career recruitment ofexperienced personnel

43

47

52

59

2012

2013

2014

2015 (year)

Employment of Persons with
Disabilities
2013

2014

2015

Employees

221

247

247

Percentage
of total
workforce*

2.13%

2.09%

2.10%

*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.

88

14

11

21

237
(35.0%)

250(34.4%)

306(36.3%)

Male

18

19

—

Female1110—FemaleTotal number of regular recruits(percent female)

50

Fiscal 201569

Regular recruitment of new
graduates from high schools andcolleges of technology

192

181

150

Regularrecruitment of
new university
graduates andpost-graduates

Fiscal 2014

80

Toppan Becomes One of the Diversity Management Selection 100
In fiscal 2013 Toppan 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 tobroaden the foundations of human resource diversity by selecting and recognizing the companies of the Diversity Management
Selection 100 for their track records in innovation through theengagement of diverse human resources. Toppan’s efforts topromote diversity have been extensive. The ministry gave highmarks to the Company’s initiatives to harness the unique capabilities and perspectives of women employees, especially in theareas of product and service development.

TOPPAN CSR REPORT 2015

25

Labor Practices
Points oppan understands how deeply it depends on its human assets and provides various supports to enable employeesTto work vigorously and earnestly with strong motivation.
Toppan’s labor union and management engage in dialogues at business councils and various committees.
Toppan is creating a working environment where employees can achieve better work-life balance.

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

Labor Practices

As partners with shared ideals, Toppan’s labor union andmanagement have trust in each other and respect for eachother’s positions. Together they have been working on various
issues on an equal footing. Business councils are convened
as Company-wide and operational site forums to discuss
wide-ranging managerial issues. Several special committees
are also convened to deliberate pertinent issues of the day.
Standing committees meet to discuss longstanding issues
such as working hour reductions, wages, and health andsafety. Individual labor-management committees meet whennecessary to discuss specially designated subjects such as
the creation of a working environment amenable to enhanced
job satisfaction.
In October 2014 labor and management introduced a new
personnel system in creative departments to better reward
employees with higher expertise.
Toppan has adopted a union shop system. In principle,
all non-managerial employees belong to the labor union as
members.

Supporting Work-Life Balancen Efforts to Shorten Working Hours
Toppan has been instituting measures to shorten working
hours as a means of achieving better work-life balance andmaintaining employee health.
Senior management, managers, and employees jointly
undertake various initiatives to improve operating effectivenessby reviewing the ways individuals work and the ways management administrates; 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.

26

TOPPAN CSR REPORT 2015

Labor and management 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 tailoredto the actual working conditions at their sites.

n Efforts to Foster the Next Generation
Toppan has striven to create a working environment in which
employees can achieve better work-life balance. It does soby providing systems for childcare and nursing care leave,
reduced working hours, higher family allowances for dependents, and employee benefits of other forms. Under the rehiring
system introduced in 2006 for employees who resign fromthe Company to deliver and bring up children, 20 resigning
employees have registered for future rehiring and three employees have been rehired, as of April 2015.
Toppan has also made improvements for its childcare leavesystem. The Company has extended the period of childcare
leave up to the first March 31 after the employee’s childreaches the age of 12 months, a point in time beyond therequirements of the applicable law in Japan. This change eases
difficulties parents face in Japan, where entry to daycare services is often impossible midway through the year. Meanwhile,the eligibility period for reduced working hours for employeeswith childcare responsibilities is set to continue up to the endof the child’s third year of elementary school (again surpassing
legal requirements in Japan), even in households where theemployee’s spouse has time to devote to childcare. Child
healthcare leave was extended in fiscal 2014 to enable employees to take leave up to the end of the child’s third year ofelementary school. Among the 10 days of leave a year, fivedays can be taken as paid leave. From fiscal 2015 the Company has started paying a full salary for the first five days ofchildcare leave taken, in order to encourage male employees
to use the childcare leave system.
In addition, Toppan has 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 the know-how necessary for maintaining goodbalance 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.

Number of Personnel (as of March 31)
Management
Supervisors
Class

Directors
Fiscal 2012
Fiscal 2013
Fiscal 2014

Total
Employees

AverageTenureAverage
Age

Male

25

1,769

1,790

7,417

15.0

41.8

Female

0

41

133

1,170

9.6

33.3

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

Reasons for Leaving*1
Fiscal 2012

Fiscal 2013

Fiscal 2014

180 (53)

188 (52)

204 (48)*2

Retirement

69 ( 2)88 ( 1)86 ( 5)

Requested by thecompany0 ( 0)

0 ( 0)

0 ( 0)

Other

83 ( 4)90 ( 3)83 ( 0)Total

332 (59)366 (56)373 (53)

3.7%

4.1%

4.1%

Average Annual SalaryFiscal 2012

Fiscal 2013

Fiscal 2014

6,414,340 yen

6,711,582 yen

6,647,468 yen

Main Leave Systems
and Family Benefits

Dispatched
Staff

8,587

708

75

8,604

705

71

8,900

681

112

Fiscal 2012
Average paid
leave used (days)
Average ratio*

3

Fiscal 2013

Fiscal 2014

8.1

8.0

8.3

41.9%

41.7%

43.3%

*3 Average ratio = average paid leave used / average paid leave granted

Employees Taking Maternity or Childcare Leave
Fiscal 2012

Fiscal 2013

Fiscal 2014

Employees taking
maternity leave

68

76

81

Employees taking
childcare leave*4

114 (3)124 (4)136 (3)*4 The number of male employees who took childcare leave is shown inparentheses.

Labor Practices*1 
The number of female employees who left the company is shown in­parentheses.
*2 Thirty-six men and two women took advantage of Toppan’s support systemfor employees pursuing second careers.

Average Annual
SalaryPart-timeWorkers

Annual Paid Leave Used

Personal reasonsTurnover rate

Sum Total
Employees

Hagukumi (nurturing) Program
Hagukumi Program

I Stock leave
I Childcare leave
I Rehiring of employees
who leave theCompany to deliverand bring up children

Hagukumi Art Salon

Hagukumi Seminar

Hagukumi Circle(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 sharetips on work-family balance

I Nursing care leave
I Leave for childhealthcare
I Volunteer leave
I Staggered work-hours
I Dependent family
allowance
I Partial subsidization ofbabysitter expenses
I Other systems

Detailed info on main leave systems is shown in the CSR Report 2015: Detailed Data posted on the Toppan website at:
http://www.toppan.co.jp/english/csr/csrreport.html.

TOPPAN CSR REPORT 2015

27

Labor Practices

Occupational Health and Safety

Developing and Fostering Human Assets

Back in 2010, Toppan formulated a Basic Policy on Health and
Safety based on a “safety first” theme. Since then the Company
has upgraded the intrinsic safety of machines and equipment,
organized legal and regulatory compliance training mainly forforemen at operational sites, and undertaken various initiatives
such as safety promotion and risk assessment activities led bysafety promotion leaders. Through these efforts, the numberof occupational accidents has been gradually reduced overall.
However, the number of falls and collisions involving older
employees has increased in the last few years. Toppan has
responded by renovating workshop conditions to betteraccommodate older employees and studying a fall-prevention
project in the workplace advocated by the Ministry of Health,Labour and Welfare of Japan. The Company has also beenoffering new training programs to encourage older employees
to be aware of their own physical conditions, along with othersensory-based safety training sessions. Efforts are also underway to comply with a new government ordinance in Japanthat will mandate companies to conduct risk assessments on
chemical substances, starting from June 1, 2016.
A growing number of persons outside of the Company aresubmitting applications to visit and experience the Anzen Dojo,
Toppan’s safety training facility. Toppan will continue opening
the dojo to trainees from outside the Company.

n Concept of Human Asset Development and Fosterage
Mindful of how deeply it depends on employees, Toppan fosters
human assets with ambition and integrity. Toppan would like tocontribute to society as a corporation blessed with human assets
with excellent communication skills and heightened awarenessand sensibilities. The Company 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.

Measures for Mental Healthcare
Labor and management implement various measures to maintain the health of the employees, a keystone for all of Toppan’s
corporate activities. Several rules have been included in theemployment 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 the recurrence of leave, andprograms to support employees once they return to work.
Rank-based training is offered to prevent mental illness or
to promptly detect and treat mental illness if it develops. The
Company also opens counseling rooms, distributes handbooks to managerial and supervisory staff, concludes advisory
agreements with mental healthcare specialists, and undertakes
various other measures. In fiscal 2014 the Company began
reviewing regular mental health check-ups and establishing a
new structure based on the stress check system introduced
under the revised Industrial Safety and Health Act of Japan.
Toppan and a Group company called Institute of the­Formative Art Co., Ltd. jointly operate Art Salon, a workshop
to refresh employee minds and bodies through the creative
work of 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 workshop for
employees and their families.

28

TOPPAN CSR REPORT 2015

n Various Education Systems
Along with rank-based and department-based training, thehead office organizes selective training courses planned out
to foster leaders of tomorrow. For new employees, Toppan
regards the first three years after recruitment as a development
period. To help new employees acquire necessary skills, Toppan organizes Company-wide training and on-the-job training(OJT) with assistance from the immediate superiors of new
employees.
Meanwhile, the Toppan Business School (group training)
and the Challenge School (correspondence learning courses)
offer self-development training for employees. A cumulative
total of 9,771 people trained in these schools in fiscal 2014.
Employees also have ready access to basic, Company-wide
education via the e-learning system. A cumulative total of
107,245 people took part in e-learning programs in fiscal 2014.
n Fostering Human Assets for Global Business
Toppan has been operating a trainee system to provide employees with practical training in day-to-day business activities
overseas since fiscal 2011. Fifty-three employees have been
deployed as trainees under the system, as of the end of fiscal
2014. Six of them worked as Japan Overseas Cooperation Volunteers for the Japan International Cooperation Agency (JICA).
The selective training on globalization launched in fiscal 2010
has supported a cumulative total of 521 candidates for overseas
assignments so far. Nine 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 topranked business schools, since fiscal 2012.
n Strengthening the Environment to Develop Human Assets
Toppan has established training centers in Kawaguchi, Saitama
Prefecture and Yugawara, Kanagawa Prefecture to nurtureindividuals who will shape Toppan’s future. These centers arevenues for various training sessions and interaction between
Toppan personnel. The Company runs an intranet to help
employees enhance their abilities and skills online. Employees
visit the intranet to read posts on human asset development
programs and review the records on their own training.

Occupational Health and Safety
Deaths fromoccupational
accidents

2012

2013

2014

0

0

0

Frequency rate*1

0.05

0.20

0.05

Severity rate*2

0.000

0.002

0.000

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 frequency ofoccupational 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
returning from mental healthcare leaveCounseling rooms
Art Salon, an art session for employees
Steps to allay
anxiety after
resignation
Financial assistancefrom the Toppan Group
Fraternal Benefit Society
and similar sources for
fixed periods after
resignation

Anzen Dojo

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

Labor Practices

Appointment anddeployment of aperson to takecharge of mental
health enhancement
at every operationalsite“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

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

Techniques andknow-how

Skills in communicationand fostering subordinates

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

Basic Company-wide Education (e-learning)

Globalization Training

Training by Divisions

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

TOPPAN CSR REPORT 201529

Fair Operating Practices
Points oppan organized training on compliance with the Subcontract Law of Japan.
TToppan educated employees and audited operations to prevent improper export and import transactions.
Toppan has been monitoring the supply chain to ensure that paper suppliers legally obtain the lumber they
use as a raw material for paper production.

Disseminating the Conduct Guidelines

Toppan Group Helpline

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 Corporate Philosophy and legal compliance (➞P. 33). In November 2010,
Toppan completely revised the Conduct Guidelines as a setof common principles that all Group companies around theworld are required to observe for the assurance of total Groupwide compliance.

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, in principle. If theemployee’s superior fails to resolve the problem, the employee
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 dispatched staff and part-timeworkers.
In fiscal 2014 the helpline was used in one case of power
harassment. This case was thoroughly investigated and properly handled, and necessary countermeasures were taken toprevent recurrence.

Fair Operating Practices

n Conduct Guidelines Promotion Leader System
Toppan 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 connected with their
daily business operations. Seven hundred and seventy-six
Leaders were deployed across the Group in fiscal 2014, including 64 women (8.2% of the Leaders). A cumulative total of
6,827 employees have worked as Leaders since the system
was launched in 2004. Toppan will continue with measures todeploy many more Leaders and to resolutely foster and assign
more female Leaders.

nDissemination 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.
The Leaders organize Conduct Guideline read-throughs, facilitate discussion using concrete cases, and implement otheractivities to enhance compliance awareness among their colleagues.
At the Meeting of Conduct Guidelines Promotion Supervisors held each October, Supervisors from operational sites
throughout Japan report their activities and discuss and shareoutstanding cases and measures.

n Tools to Promote the Conduct Guidelines
Toppan gives every employee a Conduct Guidelines Casebook,a Q&A style casebook describing actual situations that canarise in daily work. The Company uses the casebook for rankbased education and the Leaders use it to disseminate theguidelines at their workplaces. Toppan also posts regular Conduct Guideline Notifications on topics relevant to the guidelines
in order to heighten employee awareness and call attention tocompliance-related issues. The notifications posted in fiscal
2014 covered topics such as quasi-legal drugs, unlawful conduct, the leakage of personal information, and the unauthorized removal of confidential information from the workplace.

30

TOPPAN CSR REPORT 2015

Compliance Educationn Training for Conduct Guidelines Promotion Leaders
As in previous years, Toppan held group training for Conduct
Guidelines Promotion Leaders in fiscal 2014. The training wasscheduled in two phases. In the first, 598 Leaders were trainedin 42 sessions across Japan from May to August 2014. In thesecond, 563 Leaders were trained in 38 sessions from November 2014 to March 2015.
Toppan devises ways to enhance the effectiveness of training at the sessions through activities such as group discussions using case methods describing actual incidents andaccidents.

n

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 measures are key to preventing improper
export and import transactions and ensuring compliance with
the Subcontract Law. In fiscal 2014 a total of 108 employees
participated in group sessions focused on export controls
under the Foreign Exchange and Foreign Trade Act; 1,558
employees were trained on compliance with the Subcontract
Law; and as many as 7,491 employees took a course onexport controls via the e-learning system.

n Briefing on ComplianceToppan was not involved in any serious accidents or violationsof laws or regulations in the course of business in fiscal 2014.

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 administrative
departments
Supervisors fromeach department

Conduct Guidelines
Promotion Leadersin sales and planningdepartments
Supervisors fromeach department

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

Conduct Guidelines
Promotion Leaders
Supervisors fromeach department
Employees

Toppan Group Helpline
When the problem
remains unresolved

Communicator
Any Group employee

Fair Operating Practices

Employees

Reporting andconsultation
Reporting on
progress andresults, follow-up
communication

Superior

Internal reporting(emails or sealed documents sentin the name of the 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 Environment, and Material Solutions.
The Group devotes strict attention to measures to prevent the infringement of copyrights, trademarks, and other intellectual property rightsof third parties while obtaining patents for its own technologies andbusiness models.
Apart from in-house special training, Toppan also holds regular training sessions for employees within the Group and from business partners.
Participants in these sessions acquire basic knowledge of laws on intellectual property rights by reviewing case histories in design work andother operations involving intellectual property issues within the Group.

TOPPAN CSR REPORT 201531

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 human rights,
labor, the environment, and anti-corruption, the four issues
globally emphasized in CSR initiatives. By fiscal 2014 Toppan
had held briefing sessions with questionnaires for 2,047 business partners.
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.

n Verifying the Legality of Lumber as Paper Material
Toppan promotes the sustainable use of forest resources bymonitoring paper suppliers (business partners) to ensure thatthe lumber they use for paper production is legally obtained.
Toppan surveyed 34 sites of 29 business partners around theworld in fiscal 2014 and confirmed that all of the procured
lumber was obtained legally. Toppan provided the results fromthese surveys to the Forest Program, an initiative to collectinformation on corporate practices concerning the sustainable
use of forests and timber products conducted by CDP, anorganization through which companies can disclose their environmental information to global investors.
n 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 17 business partners to fill out questionnaires in fiscal 2014 and used the results to improve compliance in procurement operations. The Group has also set up
the Supplier Hotline, a portal for receiving reports from business partners, on its website.

Fair Operating Practices*http://www.toppan.co.jp/english/corporateinfo/our_suggestion/supplier_hotline.html

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.
IW e work to conserve the environment and reduce impact on the environment.
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, theEnvironment, 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.

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 andregulations and work to prevent pollution of the atmosphere, water, andsoil. 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.

32

TOPPAN CSR REPORT 2015

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 personalqualities 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 3: C omplying with laws and company rules andconducting fair business operations

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 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
to business 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

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

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 orderto reciprocate our customers’ trust.

4. We are deeply aware of the risks to the information assets we handle, suchas 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 andin 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 201533

Consumer Issues
Points oppan continues to bolster food defense.
TThe exhibition of Toppan’s universal design initiatives welcomed 7,427 visitors on a cumulative basis.
Toppan launched a service combining CFP disclosure with carbon offsets.

Assuring Product Safety and Quality
Quality assurance for products at Toppan 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 in production as a
total activity (“total quality assurance”) and strives to improve
product quality and manage product safety.

n Product Safety
Toppan 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 Toppan site continues improving its
quality management system (ISO 9001) to bolster productsafety management. One hundred and thirty-five employees
took part in training sessions for internal auditors in fiscal 2014.

n

Consumer Issues

Certified Approval System for the Production of Food
Packaging
Food packaging requires exacting quality assurance for safety
and sanitation. Toppan has adopted a certified approval system to ensure that the operational sites of Toppan and partnercompanies 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 13 sites inside and outside
the Company in fiscal 2014.

n Reinforcing Food Defense
The Toppan Group has intensified steps to ensure food safety
by preventing contamination of food during packaging production processes. In recent years the Group has also been
reinforcing food defense by eliminating hazards that can bedeliberately exploited to contaminate food products using
toxins or other harmful substances. The Group continues totighten its food defense regime by refining incoming security checks, installing more security cameras to monitor foodprocessing operations, deepening communication between
management and employees, strengthening food defense
training, and taking other relevant measures.
n 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 togreen procurement standards prescribed by client companies,
the Group has established its own set of Green Procurement
Standards attuned to the features of products manufactured atplants across the business fields. The Group controls chemical
substances in products throughout the entire supply chain.

34

TOPPAN CSR REPORT 2015

Protecting Consumers by Safeguarding
their Personal Information
The Toppan Group protects the rights and interests of consumers by conducting 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.

n Monitoring the Handling of Personal Information
The Toppan Group has built an operational structure using asoftware monitoring system to detect every action that may
entail the release of personal information in tightly secured
areas (sending mail, writing to storage media, printing out,changing filenames, etc.). Monitoring supervisors confirm
whether these actions are properly executed and report theresults to the head office each month.
The Group also prevents internal misconduct by monitoring
the comings and goings of employees through entryways andexits, by controlling employee access rights and belongings,
and by managing computer interfacing or read/write operations
using smartphones or other storage media and devices.
n Protecting Personal Information against Cyber Attacks
Japan has seen a rising incidence of password list attacks
targeting network services and distributed denial of service(DDoS) attacks, simultaneous connection requests via multiple
personal computers.
Two specialized organizations are in place at Toppan toenhance ICT security measures and provide updates on software vulnerability and other security information throughout
the Group: TOPPAN-CERT (computer emergency responseteam) and the anti-virus task force.
n 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 of its
employees to be vigilant whenever they find themselves having thoughts like these.
Employees receiving internal compliance training learn
about the employment regulations and the unfortunate outcomes of actual cases of internal misconduct documented inJapan. In addition to providing knowledge, Toppan prevents
internal misconduct by arranging face-to-face group training
to heighten employee awareness on security dangers.

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 ofConduct Guidelines andthe principles of corporate social
responsibility as a protector ofuser safety and health.

Number of Domestic Sites with Tightly Secured Areas
Designated for the Handling of Personal Information(as of March 31, 2015)
Hokkaido (3 areas)

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

Tohoku (4 areas)

Kyushu (3 areas)

Kanto (39 areas)

Audits for the Food Filling/
Packing Businesses

Operational Sites Audited
Food filling/packing businesses• 5 sites run by manufacturingsubsidiaries• 8 sites run by production business
partners

Tightly Secured Areas at Toppan Group Companies with ISO/IEC 27001
Certification (as of March 31, 2015)
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 Communication
Products Co., Ltd.; Toppan Joho Kako Co., Ltd.
I Kyushu, Chugoku & Shikoku Team and ISMS Promotion Committee, Information Security
Management, Nishinihon Division, Toppan Printing Co., Ltd.

Consumer Issues

Audit Points• Agreement with client companies• Quality assurance system• Management of equipment andinspection devices• Management of safety and sanitation• Steps to prevent the admixture ofdifferent products• Steps to prevent the admixture offoreign substances• Steps to prevent the outflow of
defective products• Steps to prevent contamination• Traceability• Food defense• Education and training• Maintenance of systems andframeworks

Chubu (2 areas)

I Higashinihon Division, Toppan Printing Co., Ltd.
I Takino Plant, Toppan Communication Products Co., Ltd.; Takino Manufacturing Department,
Toppan Joho Kako Co., Ltd.; Production Technology Team, Technology, Kansai Information& Communication Subdivision, Toppan Printing Co., Ltd.

Protecting Personal Information against Cyber Attacks
TOPPAN-CERT

Anti-virus Task ForceI Investigate and take action when an
I Expedite the creation of an environmentthat is both virus-resistant and rigorously
incident occurs
Information
protected by virus shields
I Collect and analyze external informationexchange(vulnerability information, security trends,
I Responding to virus-related incidentsetc.) and report to related departments Coordinationand issues with anti-virus software
across the GroupI Exchange information and coordinate
with computer security incident response
teams outside the Group

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 201535

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 torealize fulfilling lifestyles 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 that assign greater weight to sensory
values and customization while also emphasizing functions
such as understandability and usability.

Toppan markets environmentally friendly products and services designed to contribute to sustainable consumption. By
participating in a framework to communicate environmental
information to consumers, the Group strives to make sustainable lifestyles popular through the enrichment of environmental information in society and heightened awareness among
consumers.

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

Consumer Issues

36

n Examples of UD Initiatives
Over the period from March 3 to May 24, 2015, a cumulative
total of 7,427 visitors came to see “Pleasant Form for Everyone—Universal Design Exhibition 2015 from Japan,” an exhibition held at the P&P Gallery of the Printing Museum, Tokyo
in the Toppan Koishikawa Building. The idea was to introduce
works of universal design (UD) created for people of every kind.
Toppan explored problem-solving methods from UD perspectives to address social challenges facing Japan such as widescale disaster preparedness; the unprecedented declines inbirthrates and “super-aging” of populations; and the internationalization of Japan and ubiquitous barrier-free designs in­Japanese cities as Tokyo approaches 2020.
A “look, touch, and feel” approach was taken in the planningfor the various display spaces set up. Visitors to the “Everyday
Headaches” space could directly experience various inconveniences that non-universal designs cause in everyday life.
Some of the “headaches” introduced were visual in nature.
Others were caused by language, lateral orientation (left-versus-right), or the sizing of design elements. The “PleasantForms for Everyone” space introduced five categories of UD
products and services developed by various companies andorganizations: “Anyone Can Use,” “Worry Free,” “Choice
Built-in,” “Matched to Me,” and “Any Time or Situation.” The“Pleasant Forms to Come” space encouraged visitors to think
about UD in Japan’s near future by showcasing UD technologies expected to satisfy emerging needs of tomorrow.

TOPPAN CSR REPORT 2015

n Popularizing Carbon Offsetting Using CFP Data
The carbon footprint of products (CFP) is a method to quantify
CO2-equivalent greenhouse gas (GHG) emissions associatedwith a product or service throughout its entire life cycle, fromraw-material procurement to disposal and recycling. The CFPs
are expressed as single numbers anyone can understand.
Carbon offsetting is a method to partially or completely“offset” difficult-to-reduce GHG emissions with equivalentcredits—GHG-emission reduction values and/or GHG absorption values—earned elsewhere.
In fiscal 2009 Toppan participated in a CFP pilot program
operated by the Ministry of Economy, Trade and Industry ofJapan. Since then Toppan has operated a system to swiftly
disclose highly reliable CFP data for the printed materials produced by the Group. Toppan was one of the first private-sector
companies in Japan to acquire the CFP system certification
under the CFP Communication Program, a Japanese CFP
scheme undertaken by the Japan Environmental Management
Association for Industry (JEMAI). This certification allows
Toppan to reduce the time and costs required for CFP procedures. A Toppan-made calendar, meanwhile, became Japan’s
first calendar to acquire Carbon Offset certification using CFP
data, in fiscal 2013. These achievements have enriched theGroup’s CFP initiatives for its printed materials.
In fiscal 2014 Toppan launched a one-stop service for client companies covering the stages from CFP quantification
to carbon offsetting. This service provides a simple procedure
to enable client companies to label CFP data on their printed
materials in less time and at lower cost and to offset GHG emissions associated with the entire life cycle of printed materials.
Toppan will encourage client companies to use this service as a means of disseminating environmental information
to society at large.

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.

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

Revised in April 2010

Consumer Issues

Pleasant Form for Everyone—Universal Design Exhibition 2015 from Japan

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

brochuresshop

collection
box

brochure

ToppanRaw material
procurement

Production

Distribution

Use andmaintenanceDisposal 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 201537

Community Involvement and Development
Points Toppan production site under construction in Georgia, U.S.A. received an Economic Development Award.
AToppan Group domestic and overseas sites have been engaging in diverse community contribution activities.
Toppan held the 8th Toppan Charity Concert series to help enhance literacy in developing countries.

Community Contribution and Involvement
The Toppan Group has supported the communities in which
it operates by addressing local issues and contributing tosustainable local development. Its domestic and overseas
sites have engaged in contribution activities forged throughdialogues with neighboring communities. Their dialogue issustained through manifold activities, including involvement
in organizations that bring together the opinions of community
members.

Community Involvement and Developmentn Dialogues with Communities
Toppan sites participate in the activities of local resident
associations and other community organizations. The sites
have shaped business activities and community contribution
activities by referring to the opinions sounded out from theircommunities. Meetings and conferences are also held at thesites to inform neighborhoods of production operations andenvironmental initiatives, to answer questions from community
members, and to elicit opinions.
In fiscal 2014 an operational site in Kawaguchi City, Saitama
Prefecture invited 47 visitors from neighboring communities
into its premises. Visitors met with Toppan personnel to hearreports on the environmental efforts and products manufactured at the plant in an enriching exchange.

n ostering Future Generations and Contributing toF
Education
Many operational sites at the Toppan Group organize programs
to foster the children and young people who one day will besustaining society and communities. Japanese sites arrange
plant tours, work experience, internships, and other similar
activities.
An operational site in Niiza City, Saitama Prefecture worked
with local high schools to organize an elective class on business administration for third-year students. Personnel fromthe site apprised visiting students of leadership at Toppan
workplaces and introduced the site’s environmental efforts in
product manufacturing. Another operational site in Kashiwa
City, Chiba Prefecture held plant tours and arranged work
experience for elementary and middle school students andother community members.

n ooperating with Communities for CulturalC
Development and Fire- and Disaster-preparedness
Toppan engages in proactive disaster-preparedness activities
and activities to pass on local traditional culture to coming
generations in the communities neighboring its operationalsites.
An operational site in Taito City, Tokyo serves its community
by disseminating local culture and traditions. Every June thesite sets up an exhibit of portable shrines that will be paradedthrough the streets by local revelers in an annual festival.

38

TOPPAN CSR REPORT 2015

Employees at an operational site in Itabashi City, Tokyo join
fire-response squads that take part in year-round local events,
special patrols in festival seasons and year-end and new-year
periods, fire- and disaster-preparedness education for theircommunity, fire-fighting equipment inspections, an annual firepump operation competition for firefighters, and so on.

n Initiatives at Overseas Sites
In fiscal 2014 a Toppan production site under construction in
Georgia, U.S.A. received the Economic Development Award
from a community development conference in Atlanta in recognition of its contributions to the local economy. Each year
this award is conferred on exemplary individuals, companies,
and organizations whose projects support regional goals andinitiatives from a broad perspective.
A Toppan site in Shanghai dispatched personnel to lecture
on design and management in economics and businessadministration classes at local high schools. Another site inShanghai continuously supports the development of local villages by procuring materials preferentially from suppliers in thevillages, employing local persons, supplying goods to the villages, and contributing to the community in other ways.

Cooperating with International
Communities to Address Social Issues
Toppan announced its participation in the United Nations
Global Compact in September 2006 and pledged support for
its principles. Convinced anew that cooperative solutions to
global issues are vital for its community contribution activities,
the Company launched the Toppan Charity Concert series in
the next year, fiscal 2007. This series aims to support global
initiatives to raise literacy rates in developing countries. Literacy is the ability to read, write, and calculate with proficiency
sufficient to function well in daily life.
The first two of the eight Millennium Development Goals(MDGs) seek to eradicate extreme poverty and hunger andachieve universal primary education. To realize the MDGs, a
set of common goals of the international community, Toppan
regards literacy as an essential skill enabling people in developing countries to stand on their own feet. The annual concert
series is a fundraising mechanism to support literacy.
Toppan held the 8th Toppan Charity Concert series in fiscal
2014 and donated 2,192,500 yen to the Asia-Pacific Cultural
Centre for UNESCO (ACCU). The funds are now being used
for literacy education and classes on maternal and child healthfor mothers raising young children in Cambodia. In a side program linked to the concerts, Toppan invited staff from theCambodian Women’s Development Agency (CWDA) to Japan.
CWDA is working on various projects in Cambodia in conjunction with the ACCU. Toppan employees met with CWDA staff
at get-togethers and opinion exchanges on projects during
their visit.

Work experience for middle school students (Chiba)

Class for elementary school students invited tothe site (Aichi)

Plant tour for elementary and middle school
students (Hokkaido)

Cleanup around the site (Saga)

Local village support (Shanghai)

NGO personnel working
on literacy education in
Cambodia visited Japan.
A video of the visit isavailable.

Lecture on design (Shanghai)Community Involvement and Development

Plant tour for high school students (Saitama)

Literacy education in Cambodia ©ACCU

1. 
Download the “AReader” appfrom the App Store or Google
Play Store (free).
*Update your “AReader” app if you havealready installed it.
*If you are using an Android OS devicein PRC, download the app at:
http://areader.toppan.com.cn/app/.

2. Open the app and scan the AR
marker above to see the video.
Toppan Charity Concert (Yu Kosuge, pianist)

Toppan Charity Concert(Michiko Hayashi, mezzo-soprano vocalist)

TOPPAN CSR REPORT 2015

39

The Environment
PointsThe Toppan Group established a new medium-and-long-term environmental target seeking a 20% reduction of CO2
emissions by fiscal 2020 (compared with the fiscal 2008 level) after attaining its original 11%-reduction target sevenyears earlier than the deadline set.
The Group calculated its entire value chain greenhouse gas emissions (scope 3 emissions) and identified which
activity categories represent larger sources of emission.

Toppan’s Environmental Activities
n 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 activitiesof the Group.
Toppan’s environmental activities are divided into fourareas—Environmental Management, Eco-protection, Eco-creativity, and Environmental Communication. The Group enacted
a set of five bylaws to strengthen the Eco-protection Activities performed to minimize environmental burden associatedwith 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 fivebylaws.

The Environment

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 of limited
resources and the reduction of all types of environmental burden.
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
n Operating Environmental Management Systems
The Toppan Group operates established environmental management systems based on its environmental management
rules.
Sixty 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 theGroup’s environmental activities. The center then evaluates and

40

TOPPAN CSR REPORT 2015

verifies the data and reports the results to the Board of Directors and other management bodies. Points of improvement
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 46 systems and carried out internal environmental audits at 60 sites in fiscal 2014. Necessary
procedures were taken to correct the deficiencies pointed out
during the audits.

n 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 2014 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 chemical substance management for employees in manufacturing and technology
departments and Eco-creativity Activities for employees insales departments.
n 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 in fiscal 2014 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 raw material consumption in categories
such as category 1 (manufacturing of products purchased by
Toppan), categories 4 and 9 (transportation and distributionof products purchased and sold by Toppan), and category 12(end-of-life treatment of products sold by Toppan) 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.

Medium-and-long-term Environmental Targets for Fiscal 2020
1. Mitigation of global warming
I Reduce CO2 emissions by 20%
compared to the fiscal 2008 level(751 kilotons
600 kilotons: –151 kilotons)

2. Action for building a
recycling-oriented society

3. Conservation of the atmosphericenvironment

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

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

Values, Results, and Evaluation of Environmental Targets for Fiscal 2014 andEnvironmental Target Values for Fiscal 2015
Environmental Targets

1. Mitigation of
global warming

I Reduce CO2 emissions

Fiscal 2014

Management
Indicators

TargetValuesResults

Environmental
Target Values for
Fiscal 2015

Achievement
Evaluation
Rates

I CO2 emissions

620 kilotons

593 kilotons

104.3%

A

613 kilotons

IC O2 emissions perunit of sales

0.70 tons/
million yen

0.72 tons/
million yen

97.1%

B

0.70 tons/
million yen

2. Action forbuilding a
recyclingoriented society

I Reduce final landfill waste
disposalIF inal landfill waste
disposal

375 tons

373 tons

100.5%

A

240 tons

3. Conservation of
the atmosphericenvironment

I Reduce VOC emissions into
the atmosphere

I VOC emissions into
the atmosphere

4,527 tons

3,935 tons

113.1%

S

4,000 tons
105);

Calculating Scope 3 Emissions
Scope 1-3 Greenhouse Gas Emissions

Scope 3

Scope 2I Extraction of raw
materials

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

I Transportation anddistribution of raw
materials, etc.

The Environment

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 [%]Othercategories*

I Consumption of electricity
supplied by entities outside
the reporting company
I Consumption of heating
and cooling supplied byentities outside thereporting company

I End-of-life treatmentof sold products andgoods

Scope 1

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

The reporting
company itself

I Fuel combustion
I Emissions from industrial
processes

Category
12
Category
9
Category
4

I Transportation anddistribution of soldproducts and goods

I Employee commuting
I Sales activities, business travel

Scope 3
4,186
kilotons

3,938
kilotons

Category
1

Scope 2413
kilotons
Scope 1220
kilotons Fiscal 2013379
kilotons
214
kilotons
Fiscal 2014
*Categories 2, 3, 5, 6, 7, 8

TOPPAN CSR REPORT 201541

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 asa 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 2014 the Group attained a 36%
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 environmental
background domestically. Damage derived from impact categories is quantified for each part of the environment to be protected (e.g., human health,biodiversity). Once the damage is quantified, the environmental impacts ofmultiple factors are integrated into a single index.

Types of Environmental Impact by Business Field
The Environment

100%
Other

Environmental impact

80%

Other

Other

Photochemical
oxidants

Photochemical
oxidants

60%
GlobalwarmingGlobalwarmingGlobalwarmingResource
consumption

Resource
consumption

Resource
consumption

Information &Communication

LivingEnvironment

Material
Solutions

40%

20%

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 Environment and Material Solutions fields show significant impacts fromphotochemical 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 ofthese types.

42

TOPPAN CSR REPORT 2015

Eco-protection Activities
n 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 2014 Toppan continued controlling maximum power
consumption by companies throughout the Group in Japan
using a nationwide demand-monitoring system for checking
peak power demand in summer and winter. The electricity
consumption data compiled for each site via this system enables the Group to continuously review power contracts andencourage energy-saving efforts on a site-by-site basis.
In April 2014 the Group completed the Gunma Central
Plant, a production site for cutting-edge packaging materials.
A cogeneration system for in-house power generation, waste
heat utilization, and other energy-saving functions at the plant
enables more efficient energy use.
Toppan also continued replacing older utility facilities withhigh-efficiency alternatives, installing heat insulators for equipment, and painting heat-shield coatings on folded-plate roofs
and other buildings. As new measures 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 continuously during vacations.
As a result of these efforts, CO2 emissions in fiscal 2014
were reduced to 593 kilotons, below the targeted limit of 620
kilotons for the year.
n 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 of transport volume by company vehicles and the total volume of CO2
emissions from transport.
Energy consumption per unit of transport volume in fiscal
2014 was 57.5 kL/million ton-kilometers, a 1.2% reduction
from fiscal 2013. The targeted year-by-year reduction of 1%
prescribed by the Act on the Rational Use of Energy of Japan
was therefore attained. CO2 emissions were 34,805 tons, or
0.2% lower than the fiscal 2013 level.
Toppan Logistics will work to accomplish the targets forfiscal 2015 by optimizing transportation conditions and further
improving transportation efficiency.

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
663,928 (52.3%)

Information &Communication
3,477 (25.6%)

Information &Communication
845 (11.5%)

Living Environment
528,554 (41.6%)

Living Environment
4,634 (34.1%)

Living Environment
1,772 (24.2%)

Information &Communication
565 (12.7%)
Living Environment
1,773 (39.7%)

Material Solutions
76,715 (6.0%)

Material Solutions
4,831 (35.6%)

Material Solutions
4,366 (59.5%)

Material Solutions
2,123 (47.6%)

Non-production sites
0 (0%)

Non-production sites
645 (4.7%)

Non-production sites
350 (4.8%)

Non-production sites
2 (0.0%)Total 1,269,197 (Unit: tons)

Total 13,586 (Unit: 1,000 GJ)

Total 7,333 (Unit: 1,000 m3)

Total 4,463 (Unit: tons)

OUTPUT
Total Waste Discharge

CO 2 Emissions

Total Effluent Discharge

Total PRTR Release

Information &Communication
149,773 (25.3%)

Information &Communication
530 (8.5%)

Information &Communication
38 (20.5%)

Living Environment
93,631 (38.7%)

Living Environment
218,570 (36.9%)

Living Environment
1,340 (21.5%)

Living Environment
111 (60.0%)

Material Solutions
24,177 (10.0%)

Material Solutions
198,738 (33.5%)

Material Solutions
4,010 (64.5%)

Material Solutions
36 (19.5%)

Non-production sites
3,940 (1.6%)

Non-production sites
26,011 (4.4%)

Non-production sites
338 (5.4%)

Non-production sites
1 (0.5%)

Total 242,218 (Unit: tons)

Total 593,092 (Unit: t-CO2)

Total 6,218 (Unit: 1,000 m3)

Total 185 (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).
I Total energy consumption is the quantity of electricity and fuels consumed.
I Total values may not exactly match the sum totals of individual values, as decimals are rounded up or down.

The Environment

Information &Communication
120,470 (49.7%)

CO2 Emissions(1,000 t-CO2)

Q CO2 emissions

CO2 emissions
per unit of sales(t-CO2/million yen)

1,500
1,200

1.00
0.71

0.76

0.72

0.72

900

0.80
0.60

751
600

679

632

300

593

0.40
0.20

0

Gunma Central Plant

0
2008

2012

2013

2014 (fiscal year)

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, arecalculated uniformly as 0.378 t-CO2/MWh.
		 CO2 emissions in fiscal 2014 amounted to 752,220 t-CO2 whencalculated using the effective emission factor from another MOE
method specified in the Ministerial Ordinance Concerning the Calculation of Greenhouse Gas Emissions from Business Activities of Specified Dischargers (the latest amendment on April 30, 2015).

Roof coated with heat-shield painting (Fukuoka Plant)

TOPPAN CSR REPORT 2015

43

The Environment

44

n 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 therecycling rate, and apply appropriate waste treatment methods.
Waste paper derived from operational sites primarily in the
Information & Communication and Living Environment fields
makes up the largest portion (75.5%) of the total waste discharged at Group sites. This is followed by waste plastics
from plants in the Living Environment field and sludge from theMaterial Solutions field. The Group has striven to increase thematerial recycling rate by processing waste paper into recycled
paper, by separating waste plastics and processing composite plastics into pellets, and by implementing other recycling
methods. Sludge, meanwhile, has been reduced in-house tosmaller volumes for disposal.
The Fukusaki Plant in Hyogo Prefecture has begun material
recycling by processing cinder generated from incinerators forreuse as cement material. The Gunma Plant suspended theuse of incinerators in August 2014 and substantially reduced
the discharge of cinder and particles. These measures reduced
the final landfill waste disposal in fiscal 2014 to 373 tons.
The Toppan Group will continue reducing waste discharge
and promoting material recycling.
n 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 by managing operations under appropriate combustion conditions.
In fiscal 2014 the Group continued enhancing the efficiency ofeffluent-gas treatment by precisely controlling plant facilities
subject to the requirements stipulated under the Air Pollution
Control Act of Japan. VOC and toluene emissions into theatmosphere in fiscal 2014 were both reduced compared withthe fiscal 2013 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 atMaterial Solutions plants that discharge effluents in significant amounts. By recovering and reusing wastewater via thesesystems, the plants have been working to reduce the levels ofwater consumption and effluent discharge.
The Toppan Group also took steps to prevent the leakageof chemicals and other liquids from plant facilities subject tothe requirements stipulated under the revised Water Pollution Control Law of Japan. The Group will strive to prevent
groundwater pollution by checking facilities and taking otherpreventive measures on a continuous basis in line with the law.
TOPPAN CSR REPORT 2015

n 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 of Japanand introducing safer substitutes by setting priorities in termsof 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 15.3%
compared to the amount handled in fiscal 2013.
Group production sites have also been appropriately managing chemical substances based on established control procedures.
n Approach to Environmental Compliance
In fiscal 2014, 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 odor and three sites recorded excessive levelsof pH, BOD, or other water contaminants relative to standards
set under laws, ordinances, agreements, or other applicableregulations. 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 to reliably prevent
recurrences. As a preventive action against environmental
pollution, the Group holds regular drills to cope with potential
emergencies and accidents during production operations.
Emergency-preparedness procedures are reviewed whenever
the results of the drills call for them.
Communities around Toppan plants filed 11 complaints orinquiries at seven sites in fiscal 2014. Three of them involved
inconveniences to community residents related to odor andthe other eight involved noise. The Group has responded byreplacing deodorizing materials and upgrading sound-insulation equipment and reviewing the operational rules for plantfacilities. To prevent the recurrence of problems, the Group
has also been instituting a stricter regime for maintaining andinspecting facilities that generate odor and noise. The Toppan
Group will continue enhancing the quality of environmental
management through earnest dialogue with residents in surrounding communities.

Total Waste Discharge andFinal Landfill Waste Disposal

VOC and Toluene Emissions into the
Atmosphere*1(1,000 tons) Q Total waste discharge(tons)Q Final landfill waste disposal (1,000 tons)

350

2.5

VOCs

Toluene10,000

313.8
280
210

265.1

2.0

255.9

242.2

1.6

7,500

7,326

1.5
5,000

140

4,530

1.0

70

0.5

0.4

0.4

0.5

0

0
2008

2012

2013

4,232

3,935

2,500

0

2014 (fiscal year)

362

281

221

162

2008

2012

2013

2014
(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).

Recycling Rate and Material Recycling Rate

Chemical Substances Designated under the PRTR Law*2(%)(tons)

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

100
95

99.6

99.5

99.6

92.7

92.5

92.4

Total transfer

Total release

7,500

6,722

90

5,271
4,463

5,000
85
2,500

80

0

0
2008

2012

2013

2014 (fiscal year)

2,112

1,894

1,654

300

243

185

2012

2013

2014 (fiscal year)

The Environment

98.8
93.0

Total handling

10,000*2 Dioxins are excluded because of a difference in the counting unit.

Purification of Soil and Groundwater Pollution
Operational Site

Current Progress*3

DetailItabashi 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

Continuously monitored

Remediation of Soil Pollution for Redevelopment to Comply with Applicable Laws,
Regulations, and Ordinances
Chemical Substances Subject to Remediation

Remediation
Measures

Current Progress*3

Numazu Plant (Numazu City, Shizuoka)

Hexavalent chromium; lead; fluorine and fluorine compounds

Excavation
and removal

Remediation completed

Akihabara Sales Building (Taito City, Tokyo)

Lead and lead compounds

Excavation
and removal

Remediation completed

Nishigaoka Plant (Kita City, Tokyo)

Hexavalent chromium; lead; selenium and selenium­compounds

Excavation
and removal

Remediation completed

Kawaguchi Plant (Kawaguchi City, Saitama)

Lead; fluorine; cyanide and cyanide compounds

Excavation
and removal

Remediation still
underway

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

Excavation
and removal

Remediation still
underway

Operational Site

*3 As of March 2015

TOPPAN CSR REPORT 201545

n Promoting the Conservation of Biodiversity
I Biodiversity 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 5th phase of their wildlife-support
project, “Paradise for Wild Birds,” in the summer of 2014. In
the “Path Clearing” activity, participants mowed undergrowthand laid logs from trees that had collapsed under heavy snowfalls along pathways. In the “Bud Hunt,” they searched forseedlings of acorns and other fruits and discovered rare flora
species that appeared to have been nurtured in the area
through the effects of the program. In the winter, participants
collaborated in the 6th phase to clean up and make over birdhouses installed in the area. Varied Tits and Japanese Tits werestill nesting in about 80% of the birdhouses, providing a wonderful exhibition of bird nests in their natural state.

The Environment

I Acquiring a Certification for Business Facilities Engaging
in Conservation of Biodiversity
The Fukaya Plant in Saitama Prefecture has become the first
factory to acquire certification for Business Facilities Engaging
in Conservation of Biodiversity. The Association for Business
Innovation in harmony with Nature and Community (ABINC)
grants this certification to factories, office buildings, commercial facilities, apartments, and other facilities engaging in biodiversity conservation in Japan. ABINC’s independent-evaluationand verification is based on a set of Guidelines for Sustainable
Business Sites and the Land Use Score Card established by
the Japan Business Initiative for Biodiversity (JBIB).
Since fiscal 2010, a cumulative total of 17 operational sites
at the Toppan Group have applied a JBIB land-use assessment
method to self-evaluate the degree to which their land use
contributes to biodiversity at the sites.
I Biodiversity Conservation outside Operational Sites
The Toppan Group continues conserving forest resources
throughout Japan. In fiscal 2014 Toppan employees took partin a workshop for thinning Japanese cypress and other evergreen needle-leaved trees in the “Ranzan Community Forest”
neighboring the Ranzan Plant in Saitama Prefecture. Participants teamed up to perform logging activities of all kinds,from hewing-down and pruning to bucking, chopping, andcrushing for the fashioning of woodchip souvenirs. At Umi-noMori sea forest in Tokyo, another team of employees continued
their activities to plant saplings of native species that tolerate
salty wind and bear blossoms and fruits attractive to birds.
The Umi-no-Mori is a living example of a recycling-oriented
zone where planting activities are transforming a waste island
into a beautiful forest. Employees have also been maintaining
bamboo thickets in countryside woods in Katano City, Osaka
Prefecture.

46

TOPPAN CSR REPORT 2015

Eco-creativity Activitiesn

Developing and Approving Environmentally Friendly
Products
In fiscal 2013 Toppan established the Toppan Standards forEnvironmentally Friendly Products, a set of criteria covering
five stages of the product life cycle. A total of 94 products
were registered as “environmentally friendly products” as ofthe end of March 2015.
Toppan has approved and registered “exceptional environmentally friendly products” that are recognized as eco-friendly
by third-party organizations or that have undergone life cycle
assessment for quantification of environmental burden acrossthe life cycle.

n 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
278.9 billion yen in fiscal 2014.

Environmental Communication Activities
n Presenting at Eco-Products 2014
At the Eco-Products 2014 fair in December 2014, Toppan
presented its environmental proposals based on four themes:a low-carbon society, a recycling-oriented society, a society
where nature and humans coexist, and next-generation education. The booth displays exhibited the eco-friendly “Cartocan,” “one-stop services from CFP quantification to carbon
offsetting,” free educational app “Manabi Get!,” and more.
These products and services are examples of Toppan endeavors realized through collaboration with client companies,
organizations, governments, and other entities in development,
sales, and operation. Staff from companies collaborating with
Toppan publicly discussed viable strategies for creating newsociety-wide eco-schemes.
n Issuing Site Eco Reports
Toppan’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 2014.

Cleaning up and making over birdhouses in
Paradise for Wild Birds (Fukaya Plant)

Planting trees at Umi-no-Mori sea forest inTokyo

Maintaining bamboo thickets in Katano City,
Osaka Prefecture

Eco-Products 2014

Eco-Products 2014

Toppan Standards for Environmentally Friendly ProductsLife Cycle Stage

Toppan Standards for Environmentally Friendly Products
Large Categories
Reduced use of hazardous substances
Use of recycled materials

Raw material
procurement

Use of materials with lower
environmental burden
Resource-saving efforts
Use of sustainable resources

Production

Distribution

Use

Reduced energy consumption in
production
Use of recyclable energy
Implementation of carbon offsets
Reduced water consumption in
production
Reduced generation of waste inproduction
Improvement in transport efficiency
Optimization of transportation
Reduced release of chemical
substances during use
Extension of product life
Reduced environmental burden
during use
Reuse

Disposal & recycling

Recycling
Environmentally friendly disposal
Use of biodegradable materials

Proof of environmental Visualization of environmental burden
friendlinessLabeling with environmental logos

Small Categories
Reduced use of hazardous substances and volatile solvents (excluding banned substances)
Use of waste paper
Use of recycled plastics

The Environment

Spotting seedlings in Paradise for Wild Birds(Fukaya Plant)

Reduced consumption of energy and water
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
Effective use of biomass resources
Reduced energy consumption through changes in product design and production processes(excluding reduction through changes in equipment)
Use of green electricity
Same as left
Reduced water consumption through changes in product design and production processes(excluding reduction through changes in equipment)
Waste reduction (excluding reuse of waste inside plants)
Product design for improved loading ratio
Selection of more environmentally friendly transportation
Reduction of chemical substances potentially released from products
Prolonged product life through improvement in durability and enhancement of functions
Reduced consumption of energy and water during use
Improvement in reusability
Easy separation and disassembly for reuse
Improvement in recyclability
Easy separation and disassembly for recycling
Recyclability through existing recycling routes (excluding waste paper collection routes)
Reduced emissions of hazardous gases during disposal
Use of recyclable materials that can be degraded and returned to nature (biodegradability, photodegradability, etc.)
Carbon footprint of products (CFP), life-cycle assessment (LCA), water footprint (WFP)
Examples: Eco Mark, Forest Thinning Mark, etc.

TOPPAN CSR REPORT 201547

Independent Assurance
The CSR Report 2015 clearly presents material CSR issues
for the Toppan Group and its stakeholders by describing theprocess used to identify and prioritize the issues expected to
become more material for the Toppan Group and its stakeholders. The Toppan Group develops a wide range of CSR activities
in its various relationships with stakeholders. We believe that
Toppan’s efforts to identify its material issues will help theGroup improve its CSR activities in the future and disclose
information more focused on material issues.
Toppan’s material issues include not only environmental
issues, but also social issues such as human rights and humanresource development. Environmental performance data is dis-closed on a global, consolidated basis in the CSR Report 2015:
Detailed Data. For data on social performance, the boundaries
of reporting are limited to Toppan Printing Co., Ltd. alone.
Once the material issues are defined, Toppan will be required
to determine where the Group’s impacts occur and identify
specific issues that need to be addressed in the Group’s CSR
initiatives. We recommend that the Toppan Group review theboundaries of reporting during the process.

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

26

Number of employees who registered to join the rehiring system for employees who resign from the Company todeliver and bring up children; number of employees who have been reemployed

Number of Recruits

Number of Employees
Reasons for Leaving
27

Average Annual Salary
Annual Paid Leave Used

Labor Practices

Employees Taking Maternity or Childcare Leave
Number of employees who participated in the Toppan Business School and Challenge School
Number of employees who participated in basic, Company-wide education (via e-learning programs)
28

Number of employees who were deployed overseas under the trainee system to acquire practical training inoverseas business
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 sessions on compliance with the Subcontract Law of Japan
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

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

Consumer Issues

34
41
43
44

Results of audits conducted based on the Quality Assurance Guidelines for Food Packaging using the quality
audit checklist
Environmental target values and results for fiscal 2014
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 odor or 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 2015: 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 thereport. Any report bearing this mark meets the Sustainability Reporting Assurance and Registration Criteria established by The Japanese
Association of Assurance Organizations for Sustainability Information.

48

TOPPAN CSR REPORT 2015

Independent Assurance Report

TOPPAN CSR REPORT 201549

http://www.toppan.co.jp/english/© TOPPAN 2015.11 K I Printed in Japan