Sustainability Management
Based on its Corporate Philosophy, N.E. CHEMCAT contributes to achieving a sustainable society
through its business activities. We are implementing sustainability management to achievesustainable growth as a company that is beneficial to society.

 Elements for Practicing Sustainability Management
To ensure the effective practice of sustainability management, we categorized the chosen material issues into threeelements and identified the relationship with each one. The
elements are: (1) creating products that help solve socialissues; (2) establishing sustainable supply chains and op-Making the Most of Our Strengths to Help Solve Social Issues

erations; and (3) building solid management infrastructure.

Environmental challenges such as climate change, marine

has helped develop the chemical industry, while promoting

pollution, and deforestation have worsened in recent years.

the prosperity of society. We have also played a major role in

Meanwhile, society faces many other issues such as poverty

reducing environmental impact, including through air pollu-and human rights violations. In order to make society moretion control.

Moreover, each material issue has been arranged fromthe perspective of important ESG issues and the SDGs. Specific individual issues are now incorporated into our Vision

help achieve the UN Sustainable Development Goals (SDGs).

lated over the decades, we are well-positioned to address

The underlying purpose of companies is being questioned,

challenges such as climate change, sustainable energy, Material Issues (Materiality)

and the public is asking what they can do to help overcome

food preservation, and healthcare. With this considerable

these challenges.
Since N.E. CHEMCAT’s founding in 1964, the company

potential to help build a sustainable society, a key mission
for N.E. CHEMCAT is to fully demonstrate its strengths byClassification

has been focused on catalysts as well as precious metal

helping society overcome these challenges.

Material issues
Developing products tohelp solve social issues

recovery and refining. Through these efforts, our company

E

Value Creation at N.E. CHEMCAT
businesses and products based on ESG awareness, thereby

Corporate Philosophy, we are working to strengthen rela-helping to solve the social issues identified by the SDGs. Intionships of trust with our diverse stakeholders. In addition,

doing all this, we seek to improve corporate value and help

we are striving to ensure sustainable operations and createbuild a sustainable society.

Corporate
Philosophy

Stakeholder engagementS
CSR procurement

Business activities
Creating ESG-focusedbusinesses and products

Improvingcorporatevalue

As part of our mission to help build a sustainable society,
we have identified important social issues that we can andmust prioritize by leveraging our strengths, specifying theseas our material issues.
 Material Issue Identification Process
To identify our material issues, we set up an ESG & SDGs
Promotion Project team made up of employees and held
discussions for about five months. Based on our past andpresent initiatives that are closely related to ESG and SDG
issues, and a discussion of the company's vision for theSUSTAINABILIT Y REPORT 2023

Building of stable
management infrastructure

Realization of safe andsecure workplaces

Gfuture, we identified the issues N.E. CHEMCAT should address. The issues were categorized into the two areas ofand the results were mapped.
Through this mapping, initiatives with both high economic value and social value were identified as key candi-Manufacturing

Sales

1Developing
products tohelp solve
social issues

Sustainable operations
Fostering human resources and a corporate culturethat value challenge-taking

SDGs

Workplaces that value diversity

Fostering humanresources and a corporate
culture that value
challenge-taking

date issues. After consulting external experts, eight material issues were chosen.
Workplaces that value
diversity

Solid management
infrastructure

Financial foundation, ensuring safe, secure workenvironments, and stakeholder engagement

Details

SDG-based targets- Developing eco-friendly products- Developing products that enhance health and safety- Developing resource-saving products

Targeting carbon neutrality by 2050,
reducing the environmental impact of
all business operations- Continuing to reduce CO2 emissions, water
use and waste in all business activities- Practicing high-efficiency energy
management- Implementing Responsible Care (RC)
activities

Establishing systems to minimize theuse of hazardous substances andprevent environmental accidents

Continued efforts to earn the trust ofsociety as a fair company
Building a sound value chain, including
the avoidance of conflict minerals

Creating efficient business management
systems based on numerical targets
Promoting compliance and establishing acomprehensive risk management systemeconomic value and social value, before being prioritized,Rawmaterialprocurement

Helping to solve environmental
challenges and other social issues
through business activities

Developing management systems andorganizations for disclosure of management
information in a timely and appropriate way

Building asustainable
society

Identification of Material Issues

15

Reducing environmental
impact across the entire
supply chain

Important ESG issues

Good communication with stakeholders

 Value Creation Story

Helping tosolvingsocial issues(to achievethe SDGs)

Productplanning

3

With the technology and knowledge we have accumu-

In accordance with our purpose, which is set forth in our

Building a sustainable supply chain(practicing CSR procurement, andreducing environmental impact)

2030, and we are pursuing various initiatives accordingly.

sustainable going forward, it is important for companies toESG-focusedsustainable operations

2- Deepening mutual understanding with customers,suppliers, employees, and shareholders- Enhancing corporate branding- Strengthening employees' sense of belonging- Establishing procurement policies to avoid conflictminerals and promote green procurement, etc.
- Examining supplier selection andimplementing monitoring- Enhancing the compliance promotion
system- Developing crisis management andresponse systems (including PR activities
and BCM)- Improving business efficiency based on
thorough ROIC management- Setting and managing financial targets

Constructing a system to comprehensively manage environmental
protection, as well as health and safety- Creating a comprehensive system toprevent workplace accidents (RC activities)

Creating workplace environments where
human rights are respected andemployees can work with peace of mind

- Eliminating workplace harassment

Clarifying employee roles and targets,and creating of a system thatappropriately evaluates theirachievements- Clarifying employee roles and targets aswell as required conduct- Developing a fair, transparent personnel
evaluation system

Creating work environments where theindividuality and diversity of employees
is respected and where they areencouraged to take on challenges- Developing human resources who can takeon challenges- Fostering a corporate culture thatwelcomes diverse opinions and encourages open and frank discussions- Increasing the recruitment and promotionof diverse human resources- Diversifying work styles (remote work, etc.)

SUSTAINABILIT Y REPORT 2023

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