Yamato Group Corporate Social Responsibility Report 2016

We are committed to becoming a company
most loved and trusted by society

For more information about this report, please feel free to contact us.

Yamato Holdings Co., Ltd.
Legal Affairs & CSR Strategy
Address: 16-10, Ginza 2-chome, Chuo-ku,
Tokyo 104-8125, Japan
Telephone: +81-3-3541-4141
Facsimile: +81-3-5565-3427
E-mail: csr-report@kuronekoyamato.co.jp
URL: http://www.yamato-hd.co.jp/english

We are committed to becoming
a company most loved and trusted
by society

Table of Contents

people’s daily lives
1 Supporting
using community hubs

5

It is our goal to become “a company most loved and trusted by society” as “Asia’s No. 1 solution provider
in distribution and lifestyle support” by 2019 when we will celebrate our 100th anniversary.
This report introduces our efforts as a company that forms an important part of social infrastructure.

over the elderly
2 Watchingwith our TA-Q-BIN network

9

Yamato Group’s CSR ・・・・・・・・・・・・・・・・・・ 3
Feature Articles
・・・・・・・・・・・・・・・・

3

・・・・・・・・・・・・

Revitalizing local economies by
expanding sales channel with
International Cool TA-Q-BIN ・・・・・・・・・・・・ 11

Safety● Formulation of safety plans ・・・・・・・・・・・・ 14● Training of sales drivers ・・・・・・・・・・・・・・・・・ 14● Promotion of safety awarenessamong employees ・・・・・・・・・・・・・・・・・・・・・・・ 15● Maintenance of equipment
and safety systems ・・・・・・・・・・・・・・・・・・・・・ 16● Overseas rollout of measures toassure safety ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 16

Environment● Eco in transport ・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 18● Eco in facilities ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 19● Eco in products ・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 19● Eco with local communities ・・・・・・・・・・・・・・・ 20

Society● Efforts for customers ・・・・・・・・・・・・・・・・・・・・・・ 22● Efforts for partners ・・・・・・・・・・・・・・・・・・・・・・・・ 22● Efforts for shareholders and investors ・・・ 22● Efforts for communities ・・・・・・・・・・・・・・・・・・・ 23● Efforts for employees ・・・・・・・・・・・・・・・・・・・・・ 24

Overview of the Yamato Group ・・・ 25
TA-Q-BIN Turns 40 in 2016 ・・・・・・・・・・ 29

Yamato Holdings’ corporate website
features a wide range of data andvideos about the Yamato Group’s
various CSR activities. Please visit our
website to learn more.

1

2

Yamato Group’s CSR
Yamato Group aspires to be a company that grows in a sustainable manner together with our society
and that provides employees with a sense of pride in their work. We share our corporate philosophy
among all Yamato Group employees in order to further advance our CSR activities. Over the years, wehave pursued continual innovation to solve social issues and provide all around the world with novel
services that create new value.
These efforts will help us to develop trust with stakeholders and meet their expectations.

We are committed to fulfilling our responsibilities in the four areas of safety,
environment, society and economy
Yamato Group’s CSR activities are deployed with

▼ Yamato Group’s CSR

a focus on safety, environment, society and economy,in accordance with the Yamato Group Corporate Philosophy.
We have established the strengthening of governance

SafetyEnvironment

and promotion of CSR in the current long-term
management plan “DAN-TOTSU Management Plan 2019.”
Efforts to continually build a sound corporate culture will

Societycontribute to business activities that comply with laws andLong-Term
Management Plan

Economyalign with social norms. In turn this will make it possible forthe entire Yamato Group to continue operations

Yamato Group
Corporate Philosophy

indefinitely into the future.

▼ Yamato Group Corporate Philosophy
Structural Diagram of the YamatoGroup Corporate Philosophy

We are committed to working with local governments and other institutions to resolve
social issues using the approach of CSV
Company Precepts
1. We ‘all’ represent the company
2. We deliver with a personal touch
3. We work with gratitude and politeness

Customers

Management Philosophy

Local
peopleShareholders

Employees

Partners

Company Precepts
Founding spirit

Corporate Stance
1. Pursuit of customer
satisfaction
2. Respect for human life
3. Pleasure of work
4. Adherence to laws and fair
practices
5. A corporation trusted by
the local community
6. Promoting environmental
protection
7. Protection of personal
information
8. Communication and mutual
benefits
9. Disclosure of corporate data
and accountability practices
10. Response to allegations ofcorporate misconduct

Employee Code of
Conduct
1. Our role as a member ofsociety
2. Action based on laws andethics
3. Strict observation of
workplace rules
4. Creation of a work
environment that respects
human character
5. Maintaining favorable
relations with business
partners
6. Providing the best possible
service to customers

we are making efforts for “Project G (Government),”

with a wide range of related services and pursued ourwhich seeks to solve social issues with the assistance

Creating Shared Value (CSV) that delivers both economic andof local governments. As of June 2016, we had reviewed

social value while solving challenges faced by customers.

1,770 solutions and of these 529 are now in use as

Japan is facing major challenges that include an aging▼ Goals of “Project G”
Yamato Group’s
management resources

Social issues

Aging society and declining birthrate
Increase in the number of elderly living alone
Increase in the number of
shopping-disadvantaged people
Elimination of public transportation services

Natural disasters
Secure transport for emergency relief supplies
following a disaster
Management of relief supplies fordisaster-affected areas
People living in temporary housing or evacuation
shelters Deteriorating environment

Local industries
Weaker profitability
Aging and shortage of successors
Increase in deserted arable land

Local economies
Acceleration in local store closures
Less information sharing or efforts to attract
visitors
Services for non-Japanese visitors

3

actual services.

society and regional depopulation. Given this situation,

Interviews held about each issue

Employee Codeof Conduct

Corporate StanceManagement
Philosophy

Yamato Group
Corporate Philosophy

Yamato Group helps to enrich our society byenhancing its TA-Q-BIN network as social
infrastructure, creating more convenientservices for comfortable lifestyles,
and developing innovative logistics systems.

Since launching our TA-Q-BIN network, we have come up

Support models

Goals

Lifestyle support
Shopping support
Watch-over support

Natural disaster support
Yamato Group

Face-to-face contact
with many customers
through collection anddelivery services
Sales drivers that play
an integral role in thecommunity
Nationwide TA-Q-BIN
network
IT, LT, and FTTransport of emergency relief
supplies
Holding of outdoor markets

Provide living
environment
where people
can live withpeace of mind

Sales promotion and productdelivery support
Product sales support
Overseas sales channel expansion support

Tourism promotion support
Temporary storage and same-day
delivery of luggage
Operation of tourism information
centers

Revitalization of
local economies

Services in different languages

Local community support
Support running events
Support “hometown tax” payment41

FeatureArticleRevitalizing the local community
with the lifestyle support service

Supporting people’s daily lives
using community hubs
Tokyo’s Tama New Town was master planned and developed as Japan’s largest new town.
Nearly 50 year have passed since it was first developed and amid the emergence of issues
caused by changes in the lifestyles of residents, Yamato Group launched its lifestyle support
service as an all new initiative.

On April 28, 2016, Yamato Group launched the lifestylesupport service with the aim of enriching the livesof people living in Tokyo’s Tama New Town area.
Using the Neko Support Station newly set up as
a community hub inside two complexes, we are working
to revitalize the local community and deliver services that
support the lifestyle of local residents with the assistanceof the local government and other private sector
companies, including consolidated deliveries of parcels
from other providers offered by Yamato Transport. We alsoplan on hiring many people from the local community to
be in charge of various operations.

Top: A Yamato Transpor ttruck delivering parcels tocustomers in Tama New
Town
Right: The parcel pick-up
lockers set up in front of
the Neko Support Station
are accessible 24 hours
a day, 365 days a year

▼ Mechanisms of the Lifestyle Support Service❷ Consolidated deliveries
Yamato Transport❻ Hiring of local residents❶ Community hub

Community hub as
a gathering place for
local residents

Mr./Ms. A

Other parcel
delivery providers

Mr./Ms. A

Mr./Ms. B

Mr./Ms. C

Mr./Ms. B❸ Shopping support
Mr./Ms. C

Nearbysupermarkets
and local shopping
streets (retailers)

Consolidated deliveryof products orderedfrom different stores

Neko Support Station set
up as a community hub
in the Nagayama andKaidori complexes ofTama New Town

5

❹ Shopping deliveries① Yamato Group sets up two locations within Tama New
Town area, they not only accept parcels for sending,but also take orders for shopping support, work withlocal NGOs and neighborhood associations, and share
information from the municipality and local community.

② Yamato Transport delivers not only TA-Q-BIN parcels,
but the parcels of other providers, too.
③ Yamato Group staff members take orders for goods onbehalf of local retailers by telephone, over the Internet
and in person, and then arranges for orders to be pickedup and delivered from the retailer to the customer’s home.

❺ Assistance with household chores and wellness checks④ For persons who have a hard time purchasing andtaking goods home from a store, Yamato Transportdelivers goods from the local retailer to theirhome on the same day.
⑤ A household chore assistance service is provided
that includes cleaning, changing light bulbs, andassembling furniture, etc.
⑥ Local residents will be hired as staff to processorders and deliver parcels, which will help torevitalize the local community.

6

Making the mature Tama New Towna more appealing community for all

Yamato Group is working on Project G, whichaims to solve community issues through its businesses
and through partnerships with local governments.

Tama New Town is a vast area covering some 2,884

As part of this project, we work to revitalize local

hectares spreading across Tama City, Hachioji City,

industries by expanding the sales channels of local

Inagi City and Machida City in Tokyo. It represents

specialty items and to provide living assistance toJapan’s largest new town developed duringlocal residents in the form of shopping support

the period of rapid economic growth to increase

and wellness checks.

the number of people living in urban areas.

Our new lifestyle support service provided in Tama

Currently, Tama New Town has a population of

New Town represents a compilation of the knowledge

around 200,000. However, the mix of residents has

and know-how of Yamato Group, the Urban Renaissancechanged dramatically, caused by the graying ofAgency, and the City of Tama, which is in turn used tothose who first moved into the area in the 1970s andimprove the convenience of residents, encourage

the exodus of younger generations to attend school,

inflows of young people raising children, andfind employment or get married. Today, about 50

promote a community where multiple generations

years after it was first developed, the Tama New

are linked together. The ultimate goal is to makeTown area needs to redefine itself by creating

the mature Tama New Town a more appealing

an environment where the elderly can continue tocommunity for all.

live and making itself attractive to draw in newyounger generations.

Top: Electric bicycles with trailers are used to deliver parcels within apartment complexes.
Bottom left: Parcels from other providers are delivered all at once by Yamato Transport
Bottom right: Household chore assistance service

As a new model case for community
revitalization in urban areas

in-person at a “Neko Support Station” and havegoods delivered from retailers to their home.
We have seen a steady increase in users of this

Neko Support Station holds Neko Support Café

service because many people felt inconvenienced

sessions with the assistance of Comprehensive

by shopping since few supermarkets are locatedRegional Support Centers. Going forward, events

nearby. The household chore assistance service hastargeting younger generations raising children willseen an increase in inquiries from local residents andbe held to further revitalize local communities.

based on feedback received we plan on expanding

The lifestyle support service offers a host ofservices. For example, Yamato Transport provides

the types of services offered.
Yamato Group will continue to work closely withconsolidated deliveries that include parcels of otherthe Urban Renaissance Agency, City of Tama andproviders, so residents can receive parcels from many

local residents so that its initiatives in Tama New

different providers at the same time. This will reduce

Town serve as a new model case for the future

the number of delivery trucks in the community andrevitalization of other urban areas.

result in lessening environmental impacts andreducing traffic accidents.
The shopping support service allows residents to
Top left/bottom: Shopping support involves not only order taking by telephone and over the Internet, but also in-person at the “Neko Support Station.”
Right: Goods picked out at the retailer are collected by Yamato Transport from the store and delivered to the customer’s home.

7order goods by telephone, over the Internet, andTo learn more,
visit our corporate website.

8

2

FeatureArticleProviding greater peace of mind
to elderly living alone in their own
communities

Watching over the elderlywith our TA-Q-BIN network
Since 2010, Yamato Transport has embarked on a number of trial-and-error concepts whileworking closely with local governments throughout Japan to tackle the issue of watching overelderly living alone as part of Project G.
As of June 2016, we have concluded agreements with 125 local governments and have worked
on various initiatives to address issues faced by local communities.

The problem of elderly dying alone in their home has
become a social issue in recent years. To prevent this fromhappening, more than one person needs to watch overthe elderly living alone. However, local governments
across Japan face a shortage of social workers who canfulfill this role, and so collaborative arrangements withprivate sector companies have become necessary.
As a result, Yamato Transport works on watching overelderly throughout Japan using a simple, low cost solution
for providing peace of mind utilizing its extensive
nationwide TA-Q-BIN network in concert with local
governments.

▼ Example of assistance forwatching over the elderly throughthe delivery of periodicals① Local government prepares publications forthe elderly and requests delivery by Yamato
Transport (monthly)

Town Government④ The town government
calls the homes of
elderly who have notbeen home foran extended periodof time (visit bysocial worker)② Yamato Transportdelivers
publications andchecks to see ifthey are at home

Not at homeSD

Some elderly very muchlook forward to delivery
from Sales Drivers.

Delivering periodicals published
for the elderly by local governments via
TA-Q-BIN serves as a way to watch overthe elderlyThis standardized service first involves the local
government publishing periodicals aimed at elderly
residents. Next, Yamato Transport Sales Drivers (SD)deliver these periodicals directly to the elderly at home
via TA-Q-BIN. SD then report to the local government
about their delivery result information. In this manner,local governments are able to regularly monitor thesituation of elderly residents living alone through thisservice.
The format of this service for watching over the elderly
varies somewhat from community to community basedon local issues. For example, in communities with a large
number of shopping-disadvantaged people, we offer
both shopping and watch-over services as part ofa packaged solution.
Going forward, Yamato Group will continue tocontribute toward safer and more secure living forthe elderly together with local communities based closelyon the needs of the communities.

At homeSales Drivers check in on
elderly residents living
alone during theirdeliveries
9③ Results arecompiled into
data andreported

Elderly peopleSD

To learn more,
visit our corporate website.

10

3

FeatureArticleRevitalizing local economies by
expanding sales channel with
International Cool TA-Q-BIN
Yamato Group launched International Cool TA-Q-BIN services in 2013 in an effort to deliver
fresh seasonal foods from Japan to markets in Asia using frequent small volume shipments.
This service helps to expand sales of highly competitive agricultural and marine produce
from throughout Japan to overseas markets.

Foods requiring freshness are transported via
refrigerated trucks

A Yamato Transport (HK) truck out delivering parcels
to customers in Hong Kong

Sashimi made from live scallops from
Aomori Prefecture delivered to a restaurantin Hong Kong

Growing demand for Japanese food in
Asian markets. The key to expanding
sales channels is logistics

Supporting producers and local
governments aiming to revitalize
the local economy

In recent years, there has been growing demand in Asianmarkets for Japanese agricultural and marine products
because they are prized as safe foods. The Government ofJapan, too, is promoting the development of sixth orderindustries and expansion of exports of agricultural andmarine products given the trend for greater free trade
as exhibited in the TPP* and other agreements.
However, there are very few cold international logistics
services that transport small parcels in small lots, and as aresult there has been demand for a mechanism totransport agricultural and marine products in a mannerthat ensures freshness is maintained. There were also
issues facing producers who wanted to expand their sales
channels into overseas markets.

To address these issues, Yamato Group launched
the world’s first international integrated small-lot coldtransport service for Hong Kong called International Cool
TA-Q-BIN. Since then, we have expanded service coverage
to include Taiwan, Singapore, and Malaysia.
As of May 2016, Yamato Group has concluded
agreements with a total of seven local governments
including Aomori Prefecture and made efforts to expand
sales channels for local agricultural and marine products
to overseas markets. In the future, we will continue tosupport producers and local governments looking torevitalize the local economy by providing multifaceted
support utilizing the “function” and “network” of YamatoGroup companies.

*Trans-Pacific Partnership▼ World’s first international integrated small-lot cold transport service for Hong
Kong – International Cool TA-Q-BIN
Delicious agricultural products and seafoods from Japan can be delivered in a fresh state to Hong Kong via carefully
temperature-controlled cold (cold or frozen) transport and shortened lead times using the Okinawa International
Logistics Hub that offers customs clearance 24-hours a day 365 days a year.
In June 2016, Yamato Transport received the Minister of Land, Transport, Infrastructure and Tourism Award for theInternational Cool TA-Q-BIN service at the first Nihon Service Award sponsored by SPRING.
Day of shipment

Okinawa
International
Logistics Hub

Sendai
Airport(Miyagi
Prefecture)

Naha Airport(Okinawa
Prefecture)

Hong Kong
International
AirportExport customs
clearance

Import customs
clearance

Osaka
International
AirportKansaiInternational
Airport(Osaka Prefecture)

Next day

YamatoTransport (HK)Restaurant

Listening to the various
needs of customers
11

To learn more,
visit our corporate website.

12Safety

Formulation of safety plans● Plans to assure transport safety
Every year, Yamato Group formulates a plan and focus
measures to assure transport safety. This plan is madeknown to all employees in an effort to raise greaterawareness about safety in transport.

Posters containing
the year’s targets and initiatives
are displayed in all workplaces
at Yamato Transport.

With respect for human life as our top priority,
we are always striving to achieve safety.
Yamato Group’s business depends on community streets and roads.
For us, the safety of everyone in the community is of highest importance.
Under the motto “Safety First, Business Second,” we strive for safe driving,work at measures aimed at safe transport, and make respect for human life
the top priority at all times in our business.

G
Acquisition of the Excellent Safe
Driving Business “G-Mark*” at

Safety Experts stationed
nationwide

2,698 of f ices

301persons

Major accidents

7()

Total atYamato Groupin fiscal 2015

Training of sales drivers● Education to improve skills
To improve driving skills, Yamato Group works to enrich
our training programs and provide careful, detailed
instructions on a daily basis. At Yamato Transport, Safety
Experts and Safety Speakers assigned to district branches
provide regular ride-along instruction and training.
Ride-along instruction by Safety Experts

Sales Drivers who received ride-along
instruction from Safety Experts

Safety training provided to employees
by Safety Experts

persons(f iscal 2015)

persons(f iscal 2015)

38,432

20,303* Symbol mark for an Excellent Safe Driving Business awarded by the Japan Trucking Association.

13

14

Promotion of safety awareness among employees

Maintenance of equipment and safety systems● Implementation of the Zero Traffic● Vehicle maintenanceYamato Group implements the Zero Traffic Accidents
Campaign every spring and autumn. Yamato Transport (J)has conducted the campaign continually since 1970.

Superworks are Yamato Autoworks’ 24-hour, 365-day
maintenance plants that feature greatly enhanced work
efficiency. Of the company’s 73 plants nationwide, 23 aredesignated Superworks.

Accidents Campaign

Spring 2015 Zero Traffic Accidents
Campaign poster

Vehicle maintenance at a Superworks plant● Initiatives to prevent occupational

accidents

Yamato Global Express forklift championship

Yamato Group performs internal sharing of information
on near-miss incidents that can lead to major accidents,
in an effort to realize safe workplaces. In addition, allgroup companies implement measures such as forklift
safety seminars and Safety Week, which aims to improvesafety consciousness.

Vehicle maintenanceplant Superworks

23 sites

Number of mechanics

About

About

590 persons● Adoption of equipment and tools
Yamato Transport supports the safe driving of its Sales
Drivers by digitizing safe pick-up and delivery routes
using Yamato Transport's unique car-mounted system,“See-T Navi,” and introducing drive recorders.

● Commendations and contests
Each year we host the Yamato Transport Nationwide
Safety Meet so as to promote greater safety awarenessand operator skills. Every year, Sales Drivers who excel insafe driving and who remain accident-free arecommended or awarded based on the number of years
and distance driven accident free.

940 persons

Number of mechanics who are
qualified vehicle inspector

See-T Navi installed in a delivery vehicle

Yamato Transport Nationwide Safe Driving Contest

Overseas rollout of measures to assure safety● Safety measures
matched to local traffic
conditions
Long-Running No-Accident
Commendation awardees*

Long-Running No-Accident Commendation at Yamato Transport

9,361persons

Even outside of Japan, business sites
hold safe driving contests andparticipate in safety events.

Driving Contest in progress at Yamato
Transport (S) Pte. Ltd.

Yamato Transport (M) Sdn. Bhd. participatedin a safety event sponsored by the national
government and won second place.

*Total for Yamato Transport and four other companies

15

16

Eco in transport

Environment
Under the key word “Necology,” we create environmentally friendly
logistics.
Yamato Group refers to our environmental conservation initiatives as “Necology.”
With environmental conservation a part of a corporation’s responsibility tosociety, we encourage all employees to be constantly aware of environmental
conservation as they conduct their daily tasks, in addition to ensuring that
our corporate activities remain environmentally friendly.
We establish environmentally-friendly logistics by ensuring environmental
friendliness in all aspects of transport, especially in packaging, transportation,and delivery.
We are committed to becoming a company that works hand in hand withthe community to build a better society through the provision of theseenvironmentally-friendly products and services.

● Pursuing delivery that involves as

little use of vehicles as possible

In our pursuit of delivery that avoids the use of vehicles
whenever possible, Yamato Group uses new
three-wheelers (electric bicycles with trailers) andhand-pushed trolleys. When vehicles are required, we
shift to low-emission vehicles. Also, we transport more
efficiently through joint operations with other companies
and with a modal shift using trains and ships.

New three-wheelers

Hand-pushedtrolleys

Number of
new three-wheelers

About

5,000

Number of
low-emission vehicles

Total volume of TA-Q-BIN
transported by rail and ship

About

About

26,000 450,000 tons

(50.9% of all Yamato Group vehicles)(About 32,600 railway containers)● Practicing eco-driving
Yamato Transport’s proprietary See-T Navi vehicular system helps Sales Drivers to visualize fuel consumption and otheraspects of their driving, while eco-driving training and other methods are used to refine eco-driving practices.

TOPICS

Reducing CO2 emissions from re-delivery by delivering parcels once.
Yamato Transport made it possible to make changes
to delivery time and pick-up locations even on LINEby linking our individual membership service called
Kuroneko Members with the communication app

LINE. In addition, we are installing parcel lockers thatcan be used by multiple vendors. This has improved
convenience for customers and also lowered CO2
emissions caused by re-delivery.
LINE screen

17

18

Eco in facilities

Eco with local communities● Promoting energy conservation● Participating in environmental

Incorporating the latest environmental technology thatmakes use of natural energy, Haneda Chronogate has
reduced CO2 emissions by about 46% compared to otherlogistics facilities of the same size.

Yamato Group companies actively take part in neighborhoodclean-up activities as a member of the local community.

at facilities

protection activities in the community

Haneda Chronogate

Clean-up activity around a business site

CO2
CO2

CO2

● Kuronekoyamato Environmental
Class

Haneda Chronogate produces
about
Photovoltaic panels on the rooftop of the forum building within
the Haneda Chronogate

46

Yamato Transport holds environmental classes mainly forelementary schools students to convey the importance ofthe environment. To date, these classes have been helda total of 2,993 times, reaching a cumulative audience of
222,743.

%

less CO2 emissions than otherlogistics facilities similar in size.

Eco in products● Promoting the developmentof environmentally conscious
products

Yamato Packing Technology Institute develops
packaging material that does not require
package cushioning, and packaging material
that can be easily separated from other waste.

Neco fit, which requires no cushioning

Quick Fit for easy waste sortingHeld

204 times in f iscal 2015 with a total audience of 14,309● Travelling sales of refurbished● Initiatives to recycle
Yamato Group provides a recycling service
that collects and dissolves important
documents no longer needed by customers
using a chemical treatment process.
Confidential document recycling service

19

ECOBox system for recycling
important documents

products

Yamato Home Convenience cleans and repairs unwanted
home electronics and furniture thrown out during moves
and then travels around Japan for Kuroneko Caravan
outreach sales of refurbished products.
Kuroneko Caravan outreach sales of refurbished products

20Society
We aim to earn the trust and respond to expectations of all stakeholders.
Yamato Group seeks to be a company that develops in a sustainable manner
together with our society, by being aware of our social responsibility, while
putting importance on dialogue with all of our stakeholders.
In addition, through our social contribution activities and businesses, we willcontinue to solve the problems faced by local communities.

Efforts for customers● Improvement of response quality
Yamato Transport constantly works to enhance service
quality by training and educating employees on how to
improve their level of customer service. Yamato Transportalso holds a customer service contest regularly.
This involves assessing and awarding the customer
service (facial expression, gestures, way of talking, choiceof words, etc.) of Sales Drivers and Guest Operators whomeet customers at TA-Q-BIN Centers and other locations
on a daily basis in terms of their product knowledge andcommunication skills.
A Sales Driver providing customer service during the contest

Efforts for partners● Communication with TA-Q-BIN

service partners

Our Sales Drivers make daily visits to service partners. We
also issue the information magazine “Kuroneko-Dayori” togeneral service partners such as liquor and rice shops.
Visits by Sales Drivers

TA-Q-BIN service partners
Information magazine“Kuroneko-Dayori.”

About

220,000 stores

Efforts for shareholders and investors● Appropriate and fair information disclosureand enhancement of communication

We publish an annual report and a booklet for shareholders to actively disclose information.
We also conduct earnings presentations 4 times per year, as well as overseas briefings for
institutional investors in Japan, North America, Europe, and Asia.

21

Annual report22Efforts for communities

Efforts for employees● Music TA-Q-BIN “Kuroneko Family Concert”● Encouraging diversity

We initiated the Kuroneko Family Concert series in 1986 with the hope of bringing
authentic, great music to the people of all ages across Japan. The year 2015 marked
the 30th anniversary of this series. As of 2015, we have held concerts on 302
occasions, with cumulative attendance of about 440,000 people.

We hold diversity management trainings on a regularbasis for the some 400 senior executives in the YamatoGroup in order to foster greater awareness of diversity
at the management level.

Diversity management training● Yamato Transport Business Seminar for HighSchool Students

Yamato Transport has held business seminars for high school students every year since2006 in order to broaden the perspectives of students and teach them about theirinvolvement in society so that they can make their own decisions about their future
paths. In fiscal 2015, a total of 19 teams and 95 high school students participated.

● Promoting work-life balance
Number of employees
who took childcare
leave

Number of employees
who choose short-timeworking for childcare

610 persons 474 persons● Children’s Traffic Safety Workshop
Yamato Transport holds traffic safety workshops across Japan to educate children
in the community about traffic rules and the importance of traffic safety. Since
1998, these workshops have been held a total of 26,117 times, reaching a total of
2,802,852 children.

(of these, 41 were male)(of these, 9 were male)

Number of employees
who took nursing
care leave

Number of employees
who choose short-timeworking for nursing care(of these, 9 were male)(of these, 13 were male)

25 persons● Workplace Experience Program
Yamato System Development organizes a workplace experience program forjunior high school students. In fiscal 2015, this program was held in October,
November and January, with a total of 12 participants.

29 persons● Encouraging the hiring of people

with disabilities

We are endeavoring to make workplaces more accessible
to all employees through barrier free designs, and people
with disabilities make up 2.19% of our workforce.

● Support for economic independence for people

with disabilities

Through the Yamato Welfare Foundation, we are carrying out a variety of initiatives
to assist the preparation of economic independence. We operate a total of 29
Swan Bakery shops across Japan that employ 365 people with disabilities.

<Certified companies>
Yamato Management Service Co., Ltd. (2015)
Yamato Transport Co., Ltd. (2014)
Yamato Logistics Co., Ltd. (2013)
Yamato System Development Co., Ltd. (2011)“Kurumin”
Next-Generation
Certification Mark

Number of employees with disabilities

2,317persons● Training matched to career plans
Swan Bakery

23

As of April 2015, four companies of our group havereceived the above certification as “a company that
actively supports the balance between work and familylife” from the Ministry of Health, Labour and Welfare.

We conduct a variety of training programs, including Junior Leader School, intra-group job rotation, global humanresources communication training, and training on our corporate philosophy.

24

Overview of the Yamato GroupOperating revenue and operating income(consolidated)

Company Overview (As of March 31, 2016)
Company name Yamato Holdings Co., Ltd.

Operating revenue

Operating income(100 million yen)(100 million yen)

Headquarters
Established

15,00016-10 Ginza 2-chome, Chuo-ku,
Tokyo 104-8125

12,00013,967

13,746
630

685

800
600

9,000

November 29, 1919

400
6,000

Capital127,234 million yen

Stock

Total number of authorized shares:
1,787,541,000
Total number of shares outstanding:
411,339,992

200

3,000
0

Fiscal year ended
March 2014

Fiscal year ended
March 2015

Fiscal year ended
March 2016

0

Breakdown of operating revenue(consolidated)

Number ofshareholders

35,079Number of
employees

e-Business43.3 billion yen

197,056

Home Convenience Business48.9 billion yen

Holds the shares of companies
running various businesses including
the trucking business, governs the
management of those companies, andruns related service operations.

Financial Business72.4 billion yen

Business lines689

14,164

Autoworks Business24.4 billion yen
Other businesses
8.4 billion yen
Fiscal year
ended March 2016

14,164BIZ-logistics Business
106.8 billion yen

Delivery Business
1,111.8 billion yen

International Presence (As of June, 2016)
North America

Europe25oﬃces

12oﬃces

6,990oﬃces
106oﬃces

25

Group companies: Yamato Transport Co., Ltd. / Okinawa Yamato Transport Co., Ltd. / Yamato
Global Express Co., Ltd. / Yamato Dialog & Media Co., Ltd. / Express Network Co., Ltd. / Yamato
Contact Service Co., Ltd. / Yamato Staff Supply Co., Ltd. / Yamato (China) Transport Co., Ltd.

BIZ-logistics Business
Our services and solutions focus on the efficient storage and flow of goods.
Through close collaboration with our network of international subsidiaries wedeliver integrated transport services and provide lifestyle support solutions,while in Japan we offer support with product recalls and logistics forpharmaceuticals.

● Main office of overseas subsidiary● Major base

××宅急便センター
××ベース

The small parcel delivery business—most recognized for our TA-Q-BIN
services—and domestic air cargo transportation business represent
the driving force behind the collective strengths of the Yamato Group.
We also provide the same highly reliable TA-Q-BIN services as in Japan inmany parts of Asia, including Taiwan where services started in October 2010,
Shanghai and Singapore in January 2010, Hong Kong in February 2011, andMalaysia in September 2011.

Group companies: Yamato Logistics Co., Ltd. / Yamato Global Logistics Japan Co., Ltd. /Yamato Multi-Maintenance Solutions Co., Ltd. / Yamato Packing Service Co., Ltd. / Yamato Packing
Technology Institute Co., Ltd. / Konan Industry Co., Ltd. / Yamato Transport U.S.A., Inc. / Yamato Transport
Mexico S.A.de C.V. / Yamato Transport Europe B.V. / Yamato Logistics (HK) Ltd. / Taiwan Yamato
International Logistics Inc. / Yamato International Logistics Co., Ltd. / Shanghai Wai Gao Qiao Bonded
Logistics Zone Yamato Warehouse Co., Ltd. / Yamato Transport (S) Pte. Ltd. / Yamato Tidiki Express Pte. Ltd. /Yamato Unyu (Thailand) Co., Ltd. / Yamato Transport (M) Sdn. Bhd. / Yamato Logistics India Pvt. Ltd. /Pt. Yamato Indonesia / Yamato Logistics Vietnam Co., Ltd.

Japan

Asia

TA-Q-BIN services delivering new forms of convenience in Japan and in Asia

Helping corporate customers find solutions to their various logistics challenges(100 million yen)Non-delivery businesses
304.5 billion yen

Delivery Business

××ベース

××宅急便センター

26

Home Convenience BusinessSupporting all aspects of living, with a focus on moving as well as furniture/homeelectronics deliveries and set up

Autoworks Business
Delivering a broad range of services for transport providers, from vehicle
management to logistics facility maintenanceWe deliver a host of lifestyle support services, including moving as well as
the delivery and setup of household items. We also help to make people’s lives
richer by eliminating inconveniences at home or at work, including delivering rare
and unique products from across Japan directly from producer to customer.

The Yamato Group offers advanced vehicle maintenance solutions andleveraging this experience we provide integrated support to truck and bus
operators. Our services also include the supply of fuel, automotive insurance, andlogistics facility maintenance, among others.

Group companies: Yamato Home Convenience Co., Ltd.

Group companies: Yamato Autoworks Co., Ltd. / Yamato Autoworks Hokushinetsu Co., Ltd. /Yamato Autoworks Okinawa Co., Ltd. / Yamato Autoworks Iwate Co., Ltd. /Yamato Autoworks Shikoku Co., Ltd.

e-Business

Other businesses

Harnessing ICT to streamline customer business processes
We deliver services within and outside the Yamato Group under the three key
words tracing (leveraging our refined traceability capabilities in logistics) security(delivering added peace of mind), and packaging (aiding early introduction andimplementation).
Group companies: Yamato System Development Co., Ltd. / Yamato Web Solutions Co., Ltd.

We engage in the arterial transport business, box charter business as well as
provide shared services
Group companies: Box Charter Co., Ltd. / Yamato Box Charter Co., Ltd. / Yamato Management Service Co., Ltd. / Yamato Multi Charter Co., Ltd. /Kobe Yamato Transport Co., Ltd. / Swan Co., Ltd. / Yamato Asia Pte. Ltd.

Organizations
These organizations provide welfare services and offer benefit programs within
the group

Financial Business
Providing a host of essential settlement services for product shipment, including
COD, e-money, and credit card payments

Organizations: Pension Fund of Yamato Group / Yamato Group Health Insurance Societies / Yamato Welfare Foundation / Yamato Self-support Center /Yamato Group Research Institute

The Yamato Group offers collections, leasing and credit finance at the time of
product shipment. We also help customers access increased sales opportunities
by facilitating settlements for mail order businesses and B2B logistics.
Group companies: Yamato Financial Co., Ltd. / Yamato Credit & Finance Co., Ltd. /Yamato Lease Co., Ltd.

0120-008008

27

28

TA-Q-BIN Turns 40 in 2016
In January 2016, the Yamato Group’s core TA-Q-BIN service celebrated its 40th anniversary. Since
sending the first TA-Q-BIN parcel back in 1976, over the years we have expanded this service toinclude a host of new offerings including Ski TA-Q-BIN and Cool TA-Q-BIN, among others.
At the root of these efforts is the backbone of our corporate philosophy, “for the benefit of
the world and of society,” which has been passed down as the founding spirit of our company.
Going forward, we will continue to create new services while meeting and exceeding
the expectations of TA-Q-BIN customers through our efforts to continually resolve many issues
around the world.

2015

TA-Q-BIN Compact/
Nekopos
The rising popularity of online
shopping and online auctions
increased demand forshipping smaller items. This
lead to the development of
TA-Q-BIN Compact, which uses
a dedicated box for shipments
available at an inexpensive
price, and Nekopos, which is
dropped in the mailbox fordelivery.

2007

Individual Membership
Service“Kuroneko Members”
Services were launched withadded customer conveniencein mind, for both sending andreceiving parcels. IT services
were also greatly expanded,
including enabling customers
to easily create labels on
in-store terminals called
NekoPit.

1998(billion parcels)

Time Period Delivery
Service2.0

1987

Cool TA-Q-BIN

1983

1.5

Ski TA-Q-BIN

1976

Launch of TA-Q-BIN
service
At the time, the only way tosend consumer-to-consumer
parcels was the post office orJapan’s national railway.
TA-Q-BIN proved to be a gamechanger because it allowed
consumers to send call tocollect their parcel fornext-day delivery.

1.0

0.5

FY1978
Exceeded

10 million

This service was proposed bya local employee who wanted
customers to enjoy skiing
without the hassle of carrying
their heavy skis and ski
equipment bags to the slopes.
This represented the firstsolution combining TA-Q-BIN
with leisure needs.

Cool TA-Q-BIN was launched todeliver fresh foods and frozen
foods quickly in the righttemperature controlledenvironment to any
destination, given risingdemand for fresh food.

This service was born fromthe need to satisfy customers
who wanted to designate
when they received a parcel,
given changes taking place inpeople’s lifestyles.

Exceeded

FY2013parcels

1.5 billion
parcels

2013

Exceeded

1 billion

International Cool
TA-Q-BIN

parcels

Since the service launch for
Hong Kong, International Cool
TA-Q-BIN was expanded to
Taiwan and Singapore in 2015
and Malaysia in 2016, making
it possible to send freshseasonal Japanese foodproducts throughout Asia.

FY1992
Exceeded

500 million

1.7 billion

Exceeded

FY2003

2000

parcels

Launch of TA-Q-BIN in
Asia
Starting with Taiwan, the same
quality TA-Q-BIN services as inJapan are offered in Singapore,
Shanghai, Hong Kong and
Malaysia.

FY1983
Exceeded

100 million
parcels

parcels

FY2015

Number of TA-Q-BIN parcels
handled annually

0

1975
29

1980

1985

1990

1995

2000

2005

2010

2016
30