Chiyoda GroupCSR Activities 2016
- Digest Version
IR, PR & CSR Section
CHIYODA CORPORATION

1. Corporate Profile (As of March 31, 2016)
CompanyName

CHIYODA CORPORATION

E s t a b l i s h e dJanuary 20, 1948

Paid-in

43,396 Million Yen

CapitalR e v e n u e s

611.5 Billion Yen （Consolidated）

Number of Employees

5,866 people （Consolidated）

P r e s i d e n t& C E O

Shogo Shibuya

Main Business Fields

Engineering & Construction

M a i nChiyoda Global Headquarters （Yokohama）

O f f i c e s

Koyasu Office & Research Park （Yokohama）
Project Experience

Over 60 countries

Consolidated Financial Highlights (Billion Yen)
New Orders
6,125

6,115

5,899
4,029

Net Income

Revenues

7,468

3,989

4,036

161
144

134

4,810
4,461

110

2,547
34

’11

’12 ’13 ’14 ’15’11 ’12 ’13 ’14 ’15

Revenues by Industry （FY2015）

4%

（FY）

Revenues by Region （FY2015）

LNG Plants

1%
5%
7%
23%

’11 ’12 ’13 ’14 ’15

60%

Gas Development/
Processing/Receiving
Refinery/Petrochemical/
Metal
Pharmaceutical/Biochemistry/
ChemicalEnvironment/New Energy/
Infrastructure
Others18%

82%■Overseas■Domestic12. Editorial Policy
・ CSR Activity Report Policy
The Chiyoda Group comprehensively reports its CSR activities including the detailed information on the
Chiyoda Corporation website.
In addition, the Group publishes the digest version of the Group’s CSR Report 2015 highlighting thelatest activities. The contents of these reports are elaborated and compiled based on the Group
Corporate Philosophy and CSR Visions in collaboration with the members of the Group Liaison Meetingon CSR and those responsible for CSR in Group companies in Japan and overseas.
Applicable Period: FY2015 (April 1, 2015 to March 31, 2016, unless otherwise specified)・ Website (Commitment to CSR)
http://www.chiyoda-corp.com/csr/en/index.html
・ Website (Corporate Governance Policy)
http://www.chiyoda-corp.com/company/files/160623_CGP_e.pdf<<Reference>>
Annual Report

The Chiyoda Group’s
CSR activities

Published in English annually forshareholders
andinvestors
overseas. The major topics on
CSR activities are also introduced.

WebsiteDetailed reporting

CSR報告
CSR Activities
W(Digest Version)
Chiyoda GroupCSR Handbook

Highlighting
the latest activities

This Handbook is edited to include the Group’s basic policies such as“Corporate Philosophy”, “CSR Visions”, “Code of Conduct” and“Compliance Manual (Employee’s Practical Guide)”, and distributed to all
the Chiyoda Group employees.

Chiyoda Corporation
Chiyoda Global Headquarters
Minato Mirai Grand Central Tower
4-6-2, Minatomirai, Nishi-ku, Yokohama 220-8765, Japan

Please direct inquiries
about this CSR Report to:
IR, PR & CSR Section
TEL : (81) 45-225-7734
FAX : (81) 45-225-4962
E-mail : csr@chiyodacorp.com

23.Message from the President【Corporate philosophy】
Enhance our business in aiming
for harmony between energy andthe environment and contribute to
the sustainable development of asociety as an integrated
engineering company through theuse of our collective wisdom andpainstakingly developed
technology.

The Chiyoda Group’s Corporate Social Responsibility (CSR)
Since it was founded in 1948, Chiyoda has worked to contribute to the advancement of society by providing the mostappropriate infrastructures satisfying requirements from every region and period.
The business environment around the Chiyoda Group has drastically changed and become unclear as a result of
prolonged low oil prices caused by the shale oil revolution and a demand downturn due to a recession of the emerging
markets.
Under these circumstances, the Chiyoda Group will do its best to respond to all the requirements of our stakeholders
and the trends of the times based on our corporate philosophy.
We believe that the Chiyoda Group’s corporate social responsibility is to contribute to the realization of a better society
by resolving through our engineering capabilities global challenges such as human rights, poverty, environmental
issues, and shortages of natural resources.

33.Message from the President
A Reliable Company as our Ultimate Goal
We are dedicated to respecting the human rights of all people and creating a corporate culture where the diversity,
individuality and character of all our employees are respected. We are trying to create a supportive environment for
employees to fully show their full potential in the workplace regardless of gender, nationality, age or religion.
As a part of this promotion of diversity, to ensure the further optimization of the Group’s activities, we established theAction Plan for Promotion of active Female Participation in April 2016.
For the purpose of sustainable growth and enhancement of the corporate value of the Chiyoda Group in the mid- tolong term, we established the Chiyoda Corporation Corporate Governance Policy in October 2015, which strengthened
the Group's basic views and guidelines with regard to corporate governance.
Chiyoda Corporation has also transitioned to being a company with a newly established Audit and Supervisory
Committee consisting of three directors (including two independent officers). The Group will continue to actively secure
the soundness and transparency of its corporate management through our Governance Policy and corporate structure.
While the Chiyoda Group has been supporting its employees' participation in social activities, because society is thebasis of our existence. CSR promotion staff members have regularly visited the Tohoku areas devastated by the Great
East Japan Earthquake to support to revival of these areas. In addition, the Chiyoda Group made donations to four
local non-profit organizations in the fifth year after the disaster. Furthermore, donations for the victims of the Kumamoto
Earthquake in the Kyushu area were solicited in the Group in April 2016.
We have always tried to maintain close communication with all our stakeholders and have thoroughly complied withdomestic and international laws and regulations, information security rules, corruption and harassment prevention, andrespect for human rights. We have also continuously supported and will continue to support the spirit of the United
Nations Global Compact (*UNGC), which we signed in 2012 and will make every effort to realize the spirit of
Sustainable Development Goals (SDGs) which embodies our business ideals. We will continue to proactively engage in
CSR activities with the aim of being a reliable company.

ONE TEAM Spirit - Enhancing Corporate Value
Based on our ONE TEAM Spirit which is shared by our stakeholders, the Chiyoda Group pledges to contribute torealization of a better society through our business activities with cutting-edge technology. We believe we can increase
our corporate value and earn the trust and understanding of all our stakeholders.

June 2016

Shogo Shibuya
President & CEO
Chiyoda Corporation*：The UNGC is a voluntary global initiative that encourages businesses to act as good corporate citizens and achieve sustainablegrowth by exercising responsible, creative leadership. It is centered on ten principles concerning human rights, labor, the environment
and anti-corruption.

44.Feature： INPEX Operations Ichthys LNG Project
Project Summary
JKC LNG Australia is a joint venture formed by JGC, KBR and Chiyoda. In
early 2012, all three companies entered into an EPC contract for theEngineering, Procurement, Construction and Commissioning of the Ichthys
Project Onshore LNG Facilities, which is based in Darwin, Australia. INPEX
is the EPC’s client, which expects to start the supply of gas in the third
quarter of 2017 (July – September). The Project is one of the world’s largest
LNG developments, which involves gas from the Ichthys Field in the Browse
Basin off north-west Australia being exported to the onshore processing
facilities in Darwin via an 890 km pipeline.
The Ichthys LNG Project will produce 8.9 million tons of LNG per year,
equivalent to over 10% of Japan’s annual LNG consumption. Approximately
5.7 million tons of the LNG will be shipped to customers in Japan annually.

Quality Management Initiatives
On 9 – 14 November 2015, the Project acknowledged the World Quality Day.
World Quality Day (WQD) provides a platform for acknowledging the efforts
and accomplishments of quality and all who work to make it happen. This is atime to celebrate — a time to showcase the advancements and valuable
quality contributions at the Project. Visible and active participation Projectwide led by INPEX from JKC and Subcontractors along with a coordinatedeffort made the WQD campaign the most successful campaign we have hadin the Project to date.

Social Contributions through Business Activities
Clean Australia Day
As part of the Clean Australia Day, which is an annual nationwide
event organized to empower communities to clean, fix-up andconserve our environment, JKC pulled up their socks to help raiseawareness and get involved. The JKC Environmental teamencouraged everybody to get involved in cleaning up the Manigurr-ma
Village, Blaidin Point and throughout the local community.
Many employees took part in the event from JKC, INPEX and various
Subcontractors. A massive 440 kg of waste was collected from theenvironment throughout the event.

Darwin Christmas Charity Drive
Foodbank Northern Territory reports that 25% of households in
disadvantaged areas of Darwin are food insecure. Foodbank NT is a
non-denominational community supported, non-profit organization
which relies on the support of a large network of dedicated people.
The Christmas Charity Drive is a JKC initiative, which is a month long
campaign that started on 17 November 2015 and finished 17
December 2015. JKC collected a variety of “Toys and Tucker”
throughout this period to support local causes, including food, softdrinks, Christmas decorations and toys.
The Charity event raised approximately 12 tons, which was 25 pallets,of donated items throughout the month. A great effort and initiativefrom the Project!

5

4.Feature： INPEX Operations Ichthys LNG Project
Environmental Initiatives

Respect for Human Rights

The Ichthys LNG Project required high sustainability
for the surrounding natural environment of inhabitant.
It is achieved by introducing Enclosed Ground Flare
Package that is equipped with the state of art air
supply technology to maintain adequate condition for
combustion of waste gas and contributes for highsmokeless performance. The package also includes
an enclosure around the burners to prevent thevisible flame creating calm condition by mitigating
the radiation level even if flaring occurs during LNG
production.

More than 1,000 women currently work across the
Project in various roles. JKC and INPEX
organized a day to celebrate women on the
Project. Morning and lunch time sessions were
held for employees to hear inspirational womenshare their journeys in the industry. The event
raised over $500 for the Palmerston Girls
Academy. Subcontractors also held their own
events, which raised money for the same cause.

Safe Construction Carried Out at the Highest Standards
We recently published the 2016 commitment that includes the IIF Leadership
team’s vision and goals. The primary goal is to create a world class, number one
IIF Project. The takeaway for every JKC colleague is to keep a focus on
generating strong relationships across the Project:•••

Positive two-way communication with work groups, between Subcontractors
across all levels
Empowerment of workforce and visible leadership on the ground
Creative innovation and enjoyment of the journey

IIF Initiative: Green Hornets
A deficiency in the site wide walkway due to barricading, erection andmaintenance on the Project had led to a generative approach which eventually
saw the creation of the Green Hornets Action Team in August 2015. The Green
Hornets is an IIF initiative that helps support the Project with better barricading,erection and maintenance on the Project to improve Project safety.

The Green Hornets visiting the construction
site to put up walkway flags to ensure there
are clear walkways around site.

Well Being / Mental Health Awareness
Safety is the number one priority on the Ichthys Project. Whether it is physical orwell being, JKC has focused on improving overall safety awareness. Mental
Health is an increasingly important issue in the broader community, and theconstruction industry is similarly impacted. JKC has engaged, a provider of wellbeing and mental health services to support the Projects campaign to increasemental health awareness and give people the opportunity to communicate more
openly about mental health.
Employees on the Project who have bought
the OzHelp Shirt, which helped raise $50,000
for OzHelp.

6

5. Chiyoda Group Companies Activities
L&T-Chiyoda Limited (L&TC)

Blood Donation CampOn the November 17th morning, all employees were welcomed at the entrance by CE and other senior
management with a chocolate at LTC, as a part of Incorporation Day Celebration. All employees were in
perfect formal clothing on this day. A special group photo session was conducted as a part of celebration.
As per the practice followed at LTC since long this year also the Blood Donation Camp was organized on the
day of incorporation of the organization (LTC). More than 80 employees donated blood in this Camp. We
heartily thank all the donors who came forward to donate blood in the Camp.

Chiyoda Malaysia Sdn. Bhd. (CMSB)

Coupling Internship Program
On 18th to 26th February 2016, Chiyoda Malaysia Sdn Bhd (CMSB) play host to 8 students from Osaka University and University of
Malaya, together with 3 visiting professor from their universities, to an internship program called the Coupling Internship (CIS) Program.
This program was formulated to create
communication skills and first hand technicalknowledge, fostering professionals capable of true
leadership on a world stage. CMSB provided talks
on various practical aspects of an Engineering andConstruction Company specializing in the Oil and
Gas Industry and also provide the student somehands on challenges of a practical live situation.
Feedback from the students was very encouraging
especially the aspect of combining their theory to
the practical real live situation provided by thetraining team. CMSB was proud to play host tothese students and hope that their experience inthis training will prove invaluable in their future
career.

PT. Chiyoda International Indonesia (CII)/Pt. Suluh Ardhi Engineering (SAE)

Jakarta “Kizuna” Ekiden 2015

Chiyoda Philippines Corporation(CPh)For the purpose of friendship between Japan and Indonesia,
Jakarta ”Kizuna(Bond)” Ekiden was held on May 15th, 2015. Chiyoda Joint
Teams consisting of CII/SAE participated in this Jakarta “Kizuna” Ekiden.
CII/SAE formed 6(six) joint teams (4 runners for each team) with Japanese andIndonesian staff members. This Ekidnen is one of the biggest events in Jakarta,and our members ran hard sweating a lot under the harsh sunlight by passing
on “Tasuki(sash) to the next runner. Unfortunately, our teams were not able toget any prize, however we were able to strengthen our “Kizuna” between Japanand Indonesia beyond the border. Bearing this “Kizuna” in mind, we join handsto achieve a goal together by continue to try overcoming any difficulties in theyears to come.

Drive Campaign for elementary school
CPh once again made a remarkable event last June 17, 2015, in our School Drive
Campaign with its theme “Care and Provide for the Hope of the future”. CPh
Representatives headed by our President and CEO Mr. Fumiaki Tanaka arrived midmorning with a van full of school supplies good for three hundred sixty nine (369) pupils ofRenato R Lopez Elementary School who greeted us with a smile. The success of “Careand Provide for the Hope of the future” is a reflection of the ever increasing dedication andenthusiasm from all of us. CPh employees joint efforts and contributions as well as
generosity inspired and gave hope to 369 pupils.

75. Chiyoda Group Companies Activities
Chiyoda System Technologies Corporation (CST)MES DAY 2015
The theme of this seminar was “Regulatory compliance and the use of MES solutions”. CST caught a trend of theindustry by inviting the ex-FDA inspector as a keynote speaker. MES DAY provided the pharmaceutical companies withinteresting and important information about “Investigating the trend and compliance of the laws and regulations”.

Chiyoda & public Works Co. Ltd. (CPW)

Donations for widespread floods in Myanmar

During June and July, Myanmar faced with widespread floods
over (43) townships in twelve out of the fourteen states andregions due to very heavy rain. In late July, a tropical storm
system in the Bay of Bengal brought even more rain to Western
and Central Myanmar.
Most people in these areas suffered causes of flooding andneeded more humanitarian assistance at the beginning time offlooding. After that, rehabilitation program is essential for their
daily life.
As the second CSR activity, CPW's CSR committee chose Wai
Lu Kyaw Foundation to support their rehabilitation activities bycontributing CPW donation because Wai Lu Kyaw Foundation
is being done the emergency response and rehabilitation
program in flooded areas since the countrywide flooding
happened in Myanmar.
Company donated 1000 US$ under CPW company name as
an initiation of contribution for rehabilitation in flooding area andall CPW staff cooperatively contributed 1,300,000 MM Kyat
(Total amount is 2.5 Million Kyat) in donation.
On 19 November, 2015, CPW organized the second CSR
activity for rehabilitation of countrywide flooding in Myanmar byhanding over the donated money of CPW staff to Wai Lu Kyaw
Foundation.

Chiyoda Thailand Limited (CTL)

Buddhist Lent Day

There are various days to respect or celebrate religious events relating to Buddhism inThailand. Those days are very important for Thai people. The Buddhist Lent Day is
one of such days, and CTL donated candles to the Wat Kham-Paeng on the occasionof the Day, July 31, 2015.

8

5. Chiyoda Group Companies Activities
Arrowhead International Corporation (AIC)

Implementation of UNICEF Foreign Coin Fund-raising Activity
AIC donated coins to the United Nations Coin’s Fund to participate in a foreign coinfund-raising activity. Coins are collected from the employees in Chiyoda Corporationand its group companies.
This fund-raising activity helps to save the lives of children in poverty-stricken
developing countries, create opportunities for education, and enable young people tocontribute to society with hopes and dreams.
Total weight of coins reached 14kg and the value of all coins and bills was estimated tobe equivalent to more than J. Yen 30,000.

Chiyoda Almana Engineering LLC(Chiyoda Almana)

Beach Cleaning Campaign
Chiyoda Almana Engineering Company, celebrated the Company’s Foundation Day for this year 2016 by conducting the Annual
Beach Cleaning Campaign in cooperation with Ministry of Municipality & Environment in Qatar (Baladiya).
On March 6, the corporate campaign was conducted at Al Zubara beach area. The campaign extended to include 200 company
employees and their family members who collected more than 400 bags of waste and garbage in an environmental activity to show
everyone’s support and appreciation to the environment in Qatar. For the 6th consecutive year, Chiyoda Almana held the Beach
Cleaning Campaign as part of the company’s CSR program. For this year the event was held with a new theme “Think Globally,
Clean Locally”.

Chiyoda Singapore(Pte)Limited(CSL)

Support to Children Society

In August 2015, CSL together with Singapore Children Society brought a
total of 40 children on an excursion to Gardens by the Bay. These
children aged between 4 to 8 years old are mainly from poor families.
They lack the sufficient love and parental supervision. CSL volunteer
members spent the time well with them with lots of comfort and joy. This
trip has brought a huge smile on all of their faces as much as it did to all
the CSL staffs that volunteered for this program.

9

6. CSR Promotion Structure
Chiyoda Group has been making every effort to enhance its CSR activities to date. In April 2015,
Chiyoda reorganized CSR into IR, PR & CSR Section under Corporate Planning Unit in Corporate
Planning & Management Division and Compliance Unit under Risk Management Division. This
reorganization aims to grasp the exact requirements of society expected of the Chiyoda Group andeffectively proceed with living up to such expectations so that Chiyoda can reinforce CSR including
compliance in collaboration with its domestic and overseas group companies, Group Company Liaison
Meeting on CSR*, Compliance Committee, Group Liaison Meeting on Compliance and Export Control
Committee. Besides, the CSR promotion staff system has been adopted to further advance CSR
activities. We will also continue to support the restoration from the Great East Japan Earthquake throughour business and by supporting employee volunteers in the affected areas.

Executive

Corporate Planning &Management Division

Committee

Corporate Planning Unit

Corporate Risk
Management Division

IR,PR & CSR Section
Compliance
Committee

Export Control
Committee

Compliance Unit

CSR promotion staff

Group Liaison Meetingon Compliance（Domestic/Overseas
Group Companies）

Domestic Group Companies
Corporate
Technology
Planning &&Management Engineering

Project
Logistics &Construction

Project

Group Company
Liaison Meeting on CSR
Business
Development

Technology
Development

Group Liaison Meeting on CSR：
“Group Liaison Meeting on CSR” consists of the representatives of each division of Chiyoda and its domestic groupcompanies to serve as an organization that deliberates CSR report and the annual program on CSR activities, such associal contribution activities, and promotion of United Nations Global Compact among the Chiyoda Group.

107. CSR Vision

11

12

A Reliable Company - CSR Vision 1 Development of Global Operation System
Chiyoda Philippines Corporation (CPh) was awarded a project (STAR TREC Project） by thePhilippines Shell Petroleum Corporation （PSPC) to modernize a refinery. The project was thefirst medium-sized oil refining project in Asia for CPh accomplished by EPCm. CPh handled all
aspects of the project from the basic design to EPCm while collaborating closely with the
Chiyoda Group, and successfully completed the project in 2015.
In order to execute the project efficiently, CPh put
together a team made up of project team members
and engineers who worked closely to resolve any
issues, and communicated with customers in a timely
manner. CPh assigned local engineers with a strong
sense of responsibility and pride, and who werecommitted to the development of the country’s
infrastructure. These factors were key to thesuccessful completion of the project.
CPh worked closely with experts from the Chiyoda
Group to implement its ‘C-Safe’ safety management
system. As a result of the strong partnership, there
were no accidents during the construction period of
23 months (2.7 million hours).
The project is testament to the ongoing strategy ofstrengthening regional bases by improving theexecution skills and competitiveness of local offices
through strong partnerships and teamwork.

Pilipinas Shell Petroleum Corporation

INPEX Operations Ichthys Project-The primary goal is to create the world, number one Incident Injury Free ProjectJKC Australia is a joint venture formed by JGC, KBR and Chiyoda. On 13 January 2012, all three companies entered into an EPC
contract for the Engineering, Procurement, Construction and Commissioning of an onshore LNG Plant on the Ichthys LNG Project, which
is based in Darwin, Australia. INPEX Operations are the EPC’s client, which expects to start the supply of gas in the third quarter of 2017
(July – September). The project is one of the world’s largest LNG developments, which involves gas from the Ichthys Field in the
Browse Basin off north-west Australia being exported to the onshore processing facilities in Darwin via an 890 km pipeline.
The primary goal is to create a world class, number one Incident Injury Free Project.
•Positive two-way communication with work groups, between
subcontractors across all levels•Empowerment of workforce and visible leadership on the ground•Creative innovation and enjoyment of the journey
The takeaway for every JKC employee is to keep a focus on
generating strong relationships across the project.
In addition, the IGL LNG project required high sustainability for thesurrounding natural environment of inhabitant.
It is achieved by introducing Enclosed Ground Flare Package whichis equipped with state-of-the-art air supply technology to maintainadequate conditions for the combustion of waste gas andcontributes to a high smokeless performance.
The Ichthys LNG project will produce 8.9 million tons of LNG peryear, equivalent to over 10% of Japan’s annual LNG consumption.
Approximately 5.7 million tons of the LNG will be shipped tocustomers in Japan annually.

13

A Reliable Company - CSR Vision 1 I’ROM Group Co., Ltd. (I’ROM Group) will build a GMP facility to manufacture regenerative medicine and gene therapy
drugs based on the Sendai virus (SeV) vector technology which its subsidiary, ID Pharma Co., Ltd. (ID Pharma) holds asa platform technology. The facility will be located at the site of ID Pharma’s headquarters in Tsukuba, Ibaraki Prefecture.
ID Pharma has obtained patents on the iPS cell generation technology using Sendai virus (SeV) vector, mainly in Japan,
Europe and America, and the Company has developed the iPS cell generation kit "CytoTune®- iPS" based on thattechnology. While the kit has commercially sold well all over the world with high acclaim from the users, there has been
demands for production and supplies of the kit for clinical use with ID Pharma’s advanced technology.
The vector, meaning "courier or carrier", is a material that has the function toconvey therapeutic genes to specific organs and tissues, and then introduce thetherapeutic genes into target cells effectively.
As Sendai virus (SeV) vector does not damage a chromosome at the time of genetransfer, it is said that a cell is at low risk of malignant alteration. This feature isvery important to induce iPS cell, and leads to the big development of regenerative
medicine and the gene therapy. To construct the GMP facility for Sendai virus(SeV) vector in compliance with GMP, the Chiyoda Group provides high quality
technology through its engineering services.
As the most reliable company (Reliability No.1 Company) to be trusted and ensure
safety, we continue to aim at the sustainable development of society with ourcustomers.

ID Pharma Co., Ltd.
“iPS cell generation kit”
「CytoTune®-iPS」

Comments from the Client
The I’ROM Group has been working on advanced
medicinal treatment fields such as Gene Therapy, Cell
Therapy , Regenerative Medicine.
This time, ID Pharma, a Group company of the I’ROM
Group, decided to build a Sendai virus (SeV) vector GMP
facility at our head office and laboratory in Tsukuba.
The Sendai virus (SeV) vector technology is not only apowerful tool for the development of iPS cell based
regenerative medicine, but also can be applied to genetherapy drugs, genetic vaccines and other products.
The Chiyoda Group engaged in the construction of thisnew production facility from the design phase and offered
a compact facility of high quality.

ID Pharma Co., Ltd.
President
Tsugumine Shu, Ph.D.

I think that Chiyoda Group’s capability in making high level suggestions about the design and functionality comes fromits considerable project experience and achievements in the advanced medicinal treatment fields, not to mention its
ability to make the facilities comply with GMP standards. In a limited time, the Chiyoda Group, maintaining close
communications, has reflected our thoughts, suggestions and advice with flexible ideas. I think this attitude hasenhanced the confidence in each other, and also enabled the sharing of our technical capabilities. In addition, they
have responded quickly to the changes and demands we made in the various stages. I also think that the attitude ofsincerely following up has led to realizing the smooth construction.
Now, we are aiming to complete the construction of the GMP facility with a priority on safety in collaboration with the
Chiyoda Group in November 2016.
With a sense of "speed", the most important in the tip medical field, we will expand the use of the core technology of
the I’ROM Group into the fields of not only iPS cell, but also Gene Therapy with the engineering of Chiyoda Group to
start the supply of Sendai virus (SeV) vector, and contribute to further advancing medicinal treatment.

14

A Reliable Company - CSR Vision 1 Technical Dialogue with Customers and Partners
The Chiyoda Group holds annual dialogues (conferences) with its customers and business partners (including machineryand equipment manufacturers, construction companies, inspection companies) in order to present and discuss the most
up-to-date technologies, and to reflect the results of discussion in its work.
名称

Interphex
Japan2015

Plant
MaintenanceShow 2015

Seminar for
improving skillsof Quality
Management
System Internal
Auditors

内容

CTA exhibited at Interphex Japan2015. The exhibition forthe display of various kinds of equipment, systems andtechnology for the production and research anddevelopment of pharmaceuticals, cosmetics and the like.

主催

開催日

Chiyoda Corporation
andJul. 2015
Chiyoda TechnoAce
Co., Ltd.

Under the concept that a big data related to a plant should
be utilized through a plant life cycle in terms of design,
construction, operation and maintenance, the PLDM*1 has
Chiyoda Systembeen developed.
Technologies
As the energy, IT and infrastructure engineering company,
Corporation
CST promised to provide solutions for satisfying
Customers' requests.

Jul. 2015

Education of “Internal Auditor” is the one of the key factors
Chiyoda U-Tech Co.,of successful Quality Management System.
Ltd.
Sep. 2015*2
CUC runs the annual seminar to support continualand Client
improvement of the System.

Project Management Association of Japan (PMAJ) has
held a symposium specialized for project management
since 1997.
Chiyoda System
PM*3Symposium
In the symposium, CST has set up booth since 1999,
Technologies
2015
packaging case examples of EPM system construction,
Corporationand providing an explanation about Primavera, PRISM and
Aconex.

参加企業

Pharmaceuticalcompanies(approx. 650
attendees)

290 companies
372 attendees

Chemical Company
Machinery/
Equipment
Engineering
Company(30)Sep. 2015

Engineering
companies andconstruction
companies.
(approx. 30 attendees)

Chiyoda demonstrated our advanced technologies in Oil
JOGMEC Technoand Gas Development together with our latest updates in Chiyoda Corporation Oct. 2015
Forum 2015
the above new business fields.

approx. 900 attendees

CST*4 PROJECTCLOUD Release
SeminarWith a start of cloud service, ”CST PROJECT CLOUD”
which is specialized in an establishment of the platform of Chiyoda Systemnext-generation project management, CST held seminars Technologies
in Tokyo and Kobe targeting for engineering, construction Corporationand manufacturing companies.

*1 PLDM：Plant Lifecycle Data Management*2 CUC：Chiyoda U-Tech Co., Ltd.
*3 PM：Project Management*4 CST：Chiyoda System Technologies Corporation*5 MES：Manufacturing Execution System

Oct. 2015

approx. 50 attendees

15

Environmental Initiatives - CSR Vision 2 Launching the First Project to Produce and Supply Renewable Jet and Diesel Fuels in Japan
Chiyoda is cooperating with euglena Co., Ltd. (Euglena) as an EPC (Engineering,
Procurement and Construction) contractor for Japan’s first demonstration plant toproduce and supply renewable jet and diesel fuels as a part of euglena’s plan
toward 2020.
Chiyoda will localize it to meet the Japanese standards and perform EPC of thedemonstration plant. The features of this technology are as follows: theconducting of hydrothermal treatment before hydrogenation, the ability to
produce not only bio-jet fuel but also bio-diesel fuel and bio-naphtha fuel, and thewide variety of raw materials, where the raw material need not to be Euglena oil,but also various fats, oils and free fatty acids.
Based on our longtime experiences with petroleum refining plants, we areconfident to contribute to the reduction of CO2 emission though this pioneering
project.

Schematic view after completion*It may be different from the real plant
because of planning stage“SPERA Hydrogen®” Technology’s Successive Awards
The Japanese government has been promoting a “hydrogen society,” and Fuel Cell
Vehicles (FCVs), hydrogen refueling stations and residential fuel cells (ENE-FARM®)
have all been commercialized. A safe technology for the large-scale storage andtransportation of hydrogen is required to increase the utilization of hydrogen energy.
Chiyoda completed a technical establishment of the “SPERA Hydrogen®” Systemthrough a demonstration operation with a pilot plant in 2013, the first in the world.
Chiyoda received the “Jules Verne Award” from the International Association of
Hydrogen Energy in 2014, the first Japanese business in the Award’s history. In 2015,
Chiyoda also received the “JIE Award” from the Japan.
Institute of Energy, and the “Noguchi Memorial Award” from the Japan Petroleum
Institute.
Chiyoda plans to play a role in resolving the issue of global warming through building
a “hydrogen society” with the “SPERA Hydrogen®” System Technology.

Forest Restoration Activities
Chiyoda Group is participating in the Japan Business and Biodiversity Partnership.
Our aim of “harmony between energy and the environment” defined in our
corporate philosophy shares common points with the Vision 2050 “Living inharmony with nature” adopted at the Convention on Biological Diversity (COP10).
Chiyoda Group is making the efforts below for conservation of biodiversity.
(1) Efforts in business operations• Carbon management toward a low carbon society• Optimizing energy consumption, detoxifying, reducing and recycling emissions
and waste• Development of eco-friendly technologies(2) Efforts in CSR activities• “Chiyoda no mori (Chiyoda’s forest),” reforestation in Kamaishi, Iwate Prefecture,as part of reconstruction assistance for earthquake-stricken areas
Reforestation in Chiyoda no Mori (Chiyoda’s forest)

The report on this activity is posted on the website of Green Wave launched by the
UN Secretariat of the Convention on Biological Diversity.

16

Social Contributions through Business Activities- CSR Vision 3 Chiyoda Almana Engineering LLC(Chiyoda Almana)
Tie‐ups and cooperation with educational institutions to
support the development of young talents
Chiyoda Almana has established comprehensive partnership with academic institutions such asuniversities in both Qatar and Japan to apply diversification towards humanitarian fields including
people to people exchange, culture, education, health, science and technology. In this regard, we
have signed an agreement with Qatar University, Osaka University and one of the Japanese centers
for research and education, for students exchange from both countries under Chiyoda Almana
umbrella. During the period 21 Aug. to 04 Sep. 2015, 8 students (4 Qatari + 4 Japanese) havejoined the Coupling Internship Program at Chiyoda Almana under the theme of “Practical Global
Talent Development System”.

Heart-made Sale

In-house sale events of goods made by challenged people are periodically held.
Proceeds from the sales help support the people who made the goods (Heartmade goods).
In addition, such Heart-made goods are offered to the participants as souvenirs
for “Chiyoda Family Day”.

Support to the Japan Philharmonic Orchestra
The Group supports the activities of the Japan Philharmonic Orchestra. In addition to
the normal support activities we have made so far, we have, since 2011, been inviting
people from the Yokohama Blind Association to a concert of the Japan Philharmonic
Orchestra annually held in December at Yokohama Minato Mirai Hall. In 2015, we
invited 50 people in 25 pairs from the Yokohama Blind Association to the concert in
December. We received a certificate of appreciation for our activities from the
Yokohama City Council of Social Welfare. The Managing Director of the association
attended the presentation ceremony representing those invited. “The visibly impaired
people treasure such information from their auditory sense and listening to music is
one of the most relaxing moments for them. Therefore, every year so many of them
apply for Chiyoda’s invitation tickets to Beethoven’s 9th Symphony. They were muchlooking forward to the event this time as well. It was our great pleasure that the year
was completed with such a wonderful concert.” said the Managing Director. ”

Main Activities Implemented in fiscal year ended
March 2016 (FY 2015), including domestic Group
Cooperation for university education activities(dispatch of lecturers)
Training for interns
Visiting seminars(including non-internship workplace tours)
Community cleanup campaigns
Food aid activity as TABLE FOR TWOECOCAP program to enable the purchase of vaccines

78 people
78 people
7 times
Total of 95 people
Total of 1,782 meals
229,706 caps
(equivalent to those for 267 persons)17Social Contributions through Business Activities- CSR Vision 3 Reconstruction Supports
Chiyoda Group has been working for the restoration of energy-related industrial facilities and infrastructuresince the 2011 Great East Japan Earthquake.
Further, since 2012 we have dispatched twice a year the employee volunteers to the coastal areas in Iwate
Prefecture under the motto "CSR to be promoted by all the members".
From 2015 we started the volunteer activities of small groups in addition to groups of a large number of theemployees in order to respond flexibly to local needs.
Besides the above activities in the local areas, in our Yokohama and Koyasu offices we have sold Yubeshi(local sweets) and the seasonal ingredients of the local village named Nagahora Genki Village inRikuzentakata, Iwate Prefecture every month. March 11, 2016 marked the fifth (5th) anniversary of the Great
East Japan Earthquake, and we have renewed our commitment to continue the support activities. In thisrespect, we would like to introduce our activities performed in the fiscal year 2015 as follows:

Fund Raising and Donation：
We asked the Chiyoda Group members for collaboration in fund-raising, and donated to the five localorganizations in Iwate Prefecture where our volunteer activities have been visiting to support the stricken area
reconstruction. Those who donated were given a novelty smartphone & watch stand using the thinned woods ofthe Kamaishi Regional Forestry Cooperative. We will continue to develop the activities keeping close
communications with the local people and the volunteer members.

Reforestation, Nature and Ecosystem Conservation：
Chiyoda Group, under the guidance of the Kamaishi Regional Forestry Cooperative, have conducted such reforestation activities asland preparation, wood chopping, undergrowth mowing and tree planting at the area designated as “Chiyoda no Mori” (Chiyoda’s
Forest) in the mountains entrusted to the Cooperative by the forest owners. We have also conducted the following activities:･ Cooperation with a local NPO ”Kiri Kiri Koku” in carrying on the local traditions of the firewood, restoring the forest damaged by theforest fires caused by the Great East Japan Earthquake and making the renewable energy of biomass, so that the NPO could
achieve their project “The Forest of Revival” to revive the forest and sea richer than those before the tsunami following
the Earthquake.
･ Participation with the local people in the activities being promoted by the local organization ”United Green” to restore the fielddamaged by salt , and plant rape blossoms there for realizing the local production and consumption of the rapeseed oil.

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Respect for Human Rights - CSR Vision 4 Promotion of Active Female Participation
The Chiyoda Group has been proactively continuing every effort to create a corporate culture andworking environment where the diversity, individuality and characters of employees are respected
and employees are motivated to vividly work irrespective of sex, nationality age, religion, etc.
This is based on our belief that a variety of perspectives gained through promoting the diversity
will increase the organization’s strength of being flexible and coping with various situations. As apart of the promotion of diversity, the Group has established the action plan named “Action planfor promotion of active female participation” based on the Act on promotion of woman’s
participation and advancement in the workplace, and has been following up on taking the actions.

Activity of a Task Team for Changing
the Employee’s Mind-Set
The Chiyoda Group highly respects the diversity and individuality of employees and their personalities. We are making efforts tocreate a supportive environment, provide assistance and change the employees’ mind-set to help them make the most of theirpotential in the workplace regardless of gender, nationality, age or religion.
As part of the efforts to promote diversity, Chiyoda is engaged in two major activities. One of them is a task team aimed at changing
the employees’ mind-set about female participation in the workplace. The task team, formed in 2014, gathers and exchanges
information and organizes lectures by outside lecturers. The team is seeking to build a corporate culture and a system that enable
women to fulfill their potentials without depending much on their own efforts, supervisors’ decisions, the working environment or theatmosphere. The team provides not only female but also male employees with a chance to review their ways of working in the light ofdevelopment and advancement of women in the workplace.
The theme of lectures of the FY2014 to the FY2015
・ Environment and corporation evaluation system that able to fulfill their potential
・ Infinite possibilities change an organization
・ Diversity as a global management

Celebration of International Women’s Day
On the occasion of International Women’s day, LTC organized a small gathering for LTC females.
A short film on women safety was projected in this gathering. After the film, all presented employees shared their own
experiences.
Chiyoda Almana also arranged a Medical Seminar for the company’s women employees under the title “Leading
Healthy Lifestyle and Cancer Awareness” to celebrate and memorize the International Women’s Day.

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Respect for Human Rights - CSR Vision 4 Promotion of Safety Culture through Lessons Learned from
Excellent Construction for Domestic and Overseas Projects
One of the Chiyoda Group's CSR medium-term policies is to instill ineveryone involved that safety is a core value. We make ongoing
efforts to ensure all employees fully understand that safety should betheir number-one priority.
In order to share knowledge and expertise from both outside andinside Chiyoda about Safety, Quality and the Environment (SQE),
the Group has been holding a series of Corporate SQEI Conventions.
In July 2015, the 8th Convention titled “Promote a Safety Culture
through Lessons Learned from Excellent Construction for Domestic
and Overseas projects” was a great success with more than 500
ardent participants including corporate management executives.
The domestic and overseas projects with their excellent activities on safety management were presented and the lessons wereshared with all the participants. After the presentation, the panel discussion was conducted in order to recognize and study thecommon or different points between domestic and overseas projects, including those to be learned or improved. Such panel
discussion was also effective for the persons not directly involved in the construction to image how important the safety is for theconstruction. In this way, the Group will constantly make efforts to instill the corporate policy “Safety is a core value.”
Placing importance on “safety on the construction site”, Chiyoda Corporation has
been promoting its original program “C-SAFE” and fostering a safety culture withthe motto “every incident is preventable” as mentioned in the corporate SQE(Safety, Quality and Environmental) policy. In addition, this year we called on all
Chiyoda Group employees to remember that a “safety culture begins with each oneof you” and asked them to propose a new C-SAFE logo.

Creation of a Safe Work Environment
Chiyoda Almana respects all our employees’ rights to have a safe work
environment. We strive to improve the safety awareness among our employees.
Through the implementation of OHSAS 18001 standard, we target to reach andmaintain our excellent safety records by helping our employees to practice thesafety culture as part of daily work activities and to grow the safety
consciousness among employees and all stakeholders.
In this regard, 4 safety training organizations have been set up by 39 employees
in 2015. The organizations are aiming to educate employees about the Safety
Golden Roles.

Creation of a Sense of Unity with Community Residents“Grand Mall Park Summer Festival 2015” was held grandly in Minato Mirai, Yokohama on July24, 2015.
The Chiyoda Group companies joined this festival, and carried its “Mikoshi” (portable shrine)
together with the community residents and neighboring companies. This year, we also set a
street stall in collaboration with the neighboring firms. It was so popular that about 400 children
gathered around.
Another “Mikoshi”, which is remodeled from the one used on the Papua New Guinea’s
construction site so that children are able to carry, was also carried by the children.
We will treasure the unity with the community residents established through this event andcontinue to cooperate in carrying the Mikoshi passed from the construction site on to thechildren.

20Commitment to Fairness - CSR Vision 5 Chiyoda Corporation Corporate Governance Policy
The Company pledges to constantly strive for sustainable growth and to enhance the corporate values of the Chiyoda
Group on a mid- to long-term basis. To achieve this goal, the Group established "Chiyoda Corporation Corporate
Governance Policy" in October, 2015, which developed the Group's basic views and guidelines with regard to corporate
governance. The Group will continue to actively secure soundness and transparency of its corporate management
through the Policy.

BCP （Business Continuity Plan）
The Chiyoda Group has been coping with various risks such as fires,
earthquakes, disease, information leakage, compliance violation andterrorist attacks, in addition to its project execution risks in the corebusiness. The Chiyoda Group established its Group BCP and BCM(Business Continuity Management), anticipating various risks that would
disrupt its business. The BCP provides the direction and course of actionin order to avoid such risks, or recover quickly even if such a disruption
may occur, and was known to all employees. When a disaster including afire/an earthquake or any epidemic, terrorism/turmoil, occurs, and if the
impact on the Group is anticipated to be large enough to disrupt its Groupbusiness/operation, the Group immediately declares the imposition of
BCP.
Then, based on the basic philosophy of “Employees’ safety First”, theGroup makes utmost efforts to continue its minimally required importantbusiness and to make a quick return to normal operation as well as tocontribute to the restoration of communities affected by such a disaster.

Continuous Compliance Training

Every year, a month between October and December has
海外グループ会社でのモニタリング実施
been designated as Intensive Compliance Campaign Monthsince October 2008. During the period, we have conductedcompliance educations such as seminars by outside
professional instructors and online courses by e-learning for
all the employees including our group companies.
In 2015, we conducted the seminars by the professional
instructions on Anti-bribery to foreign government officials,
Anti-Monopoly law, and Harassment, while e-learning (online
seminar) on Compliance was out both in English andJapanese.

21Commitment to Fairness - CSR Vision 5 Training conducted by Chiyoda Corporation in FY2015
ComplianceClassification

Title

HierarchicalTraining

Functional
Training

Contents (Time, Number, etc.,）

New employee

1 time／105 employees

Mid-career hire

4 times／9 employees

Executive, associate executive

2 times／42 employees

Overseas assignment

Each time／217 employees

Site managers of field offices

Each time／26 employees

Anti-Bribery, Competition Law：
2 times／166 employees
Harassment：
1 time／223 employees
Japanese：2,692 employees
English：157 employees

LectureOutside lecture

e-learninge-learning

Brief

Compliance Brief

3 times

Export Control
Classification

Title

HierarchicalTraining

Functional
Training

Contents (Time, Number, etc,）

New employee

1 time／105 employees

Mid-career hire

3 times／9 employees

Basic Training

4 times／95 employees

Special Training - Classification

5 time／174 employees

Reports to the Consultation and Reporting Hotline
Classification

Number *Violation of law, Anti-Bribery0

Workplace Environment Improvement

9

Labor, work rules, morals

6

Sum

15

（* CGH only）

22

Overseas Network
Chiyoda’s Global Network （Major Overseas subsidiaries and Offices as of April 1, 2016）■EMAS CHIYODA Subsea Ltd.

Engineering

Business Support

Chiyoda Kosho Co., Ltd.

Arrow Business Consulting Corporation

Engineering, Construction and maintenance of domestic energy
and chemical plants; life and non-life insurance agent
URL:http://www.cks-ykh.co.jp/

Consulting and business outsourcing services, etc.,
for finance, accounting and tax

Arrow Human Resources Co., Ltd.
Chiyoda System Technologies Corporation
Engineering, procurement, construction and maintenance ofelectrical and instrumentation, and of social infrastructures.
Consulting, development and operation for integrated IT systems.
URL:http://www.cst.chiyoda.co.jp/

Temporary staffing, placement consulting,and education and training
URL:http://www.ahr.co.jp/

Arrowhead International Corporation

Chiyoda TechnoAce Co., Ltd.

Travel agent, air cargo and materials export services, etc.
URL:http://www.arrowhead.co.jp/

Consulting, design, procurement, construction and test operation
services for pharmaceutical and other fine chemical plants,
and various types of research facilities
URL:http://www.cta.chiyoda.co.jp/

Chiyoda Business Solutions Co., Ltd.
Outsourcing services and consulting for HR and facility
management

Chiyoda U-Tech Co., Ltd.
Feasibility studies and consulting for energy,oil, chemical and environment-related plants
and various types of industrial facilities
URL:http://www.utc-yokohama.com/

Chiyoda Corporation is a member of
the FTSE4Good Index, an equity
index series that is designed tofacilitate investment in companies
that meet globally recognised
corporate responsibility standards.

Chiyoda is the constituent companyof SNAM Sustainability Index, anequity index that consists of thecompanies with their ESG factors
highly evaluated.

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