This printed matter uses vegetable oil-based
ink, in consideration of the environment.

CSR 1308-E1408TP02

Corporate Social Responsibility Report

Hirata Corporationwww.hirata.co.jp

CSR Report 2014
Corporate Social Responsibility Report

Hirata Corporation

Corporate Social Responsibility Report
01

Corporate Social Responsibility Report

Editorial policy

President s Message

With a view to widely informing of the business activities ofHirata Corporation and the relationships with our
stakeholders, we hereby issue the CSR Report 2014.
By closer communications with stakeholders through theReport, we will improve our activity level. We truly appreciate
your frank opinions and comments.

Preface
Last year, Hirata Corporation issued the CSR
Report 2013 and presented to ourstakeholders an overview of the Corporation s

Scope of Report
Period covered: Fiscal Year 2013

ideas and approaches toward technology and

Subject Organization: Hirata Corporation, non-consolidated

commitment as a corporation capable of(from April 1, 2013 to March 31, 2014)(consolidated results are added to the changes in business results)society. Since then we have continuously madeeﬀorts with your cooperation, to strengthen ourcontributing to society and now issue the CSR
Report 2014.

Published: August 2014

(Next scheduled report: August 2015)

Reference Guidelines
GRI Sustainability Reporting Guidelines 3.1
The Ministry of the Environment,
Environmental Report Guidelines (2012 Ed.)
Contact: Quality Control Department
TEL : 096-272-3277 FAX : 096-272-3345
General Aﬀairs Department
TEL : 096-272-5558 FAX : 096-272-3618
Website http://www.hirata.co.jp/

Contents
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President s Message・
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Management Philosophy, CSR Policy・
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Overview of Company and Business ・
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Products Information・
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Topics ・Management
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- Corporate Governance・
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- Compliance, Corporate Ｅthics ・Always Meeting the Needs of the Times
Based on Our Management Philosophy
Hirata Corporation has established amanagement philosophy of
MAKES THE BEST USE OF ITS MEMBERS
CHALLENGES TECHNICAL INNOVATIONRESPECTS HUMANITYOPENS THE DOOR TO CREATIVE LIFE
CONTRIBUTES TO THE SOCIETY
MAKES OUR CUSTOMERS SUCCESSFUL

Representative Director, President

Yuichiro Hirata

since its incorporation in 1951 and has pursued
quality and safety of products corresponding to
the needs of the times with a consistent attitude

such business partners as suppliers,of respecting people.

shareholders, investors and people in local

We have continued to challenge new markets

communities. We believe it is our duty and reason

and new technologies and built up an integrated

for existence as a public corporation of societysystem corresponding to development and designthat we continue to develop perpetually underby proposal, components manufacturing, assembly,

such strong relationships of trust.

veriﬁcation, launch of production and maintenance

We will strive for business development by

and services. As a result, we are valued as acreating workplaces, where employees can feel

production engineering manufacturer thatsatisfaction from work through development ofproposes and supplies optimum production

human resource skills and by oﬀeringsystems to customers in various industrial ﬁelds allopportunities and we will also perform ourover the world.

corporate responsibility for protection of the

Our global capacity realizes entry in overseas

environment while contributing to the

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- Risk Management・

markets for customers and our engineering

technological development of society.

Social Report

capacity builds up production systems that

We would like to ask for your continued support.

- Together with Customers ・
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generate added value for our customers who are- Together with Ｂusiness Partners・
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- Together with Employees ・
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- Together with Shareholders and Investors・
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- Together with Local Communities ・
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Environmental Report- Environmental Management System・
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- Consideration for the Environment in Business Activities・
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- Environmental Consideration in Products ・manufacturers in Japan as well.

Closing Remark

Relationship of Trust with Stakeholders

61, the mid-term management plan covering theBy carrying out impartial and fair businessthree years from FY2012 to FY2014. All

activities, including compliance and timely andemployees will continue eﬀorts to meet theappropriate information disclosure, we have built

expectations of stakeholders, and we would

up a strong level of trust not only with customers

appreciate your ongoing support.

This year, we are in the last year of PLUS ONE

but with all stakeholders, including employees,

02

Corporate Social Responsibility ReportManagement Philosophy,
CSR Policy

Overview of Company
and Business

Hirata Corporation will continue to contribute tosustainable social development under its
management philosophy and CSR Policy inconducting business activities and through theactivities of every employee in mutual support andcooperation with our many stakeholders.

Company Name

Hirata Corporation

Headquarters

3-9-20Management Philosophy

Representatives

Yuichiro Hirata, President

Date EstablishedDec. 29, 1951

Accounts Closed

Mar. 31 (annually)

HirataMAKES THE BEST USE OF ITS MEMBERS.

Automotive Production Equipment BusinessTogoshi, Shinagawa,

We are engaged in the manufacture and sale of a wide range of
assembly equipment, such as major components for powertransmissions and drive-trains, including engines andtransmissions called power trains, electronic devices, including
controlling computers, automotive electronic components suchas various censors, air compressors for air conditioners, ABS
brake modules, etc.
In recent years, we have met demands for state-of-the-art
component production such as motors and driving inverter
assemblies for hybrid cars.

Tokyo 142-0041 JAPANTEL. 81-3-3786-1226
FAX. 81-3-3786-1264

Employees
Consolidated

1,940

Non-Consolidated

1,264

CHALLENGES TECHNICAL INNOVATION.

Capital2,633 million yen

RESPECTS HUMANITY.

Stock Exchange Listings

Tokyo Securities Exchange JASDAQOPENS THE DOOR TO THE CREATIVE LIFE.
CONTRIBUTES TO THE SOCIETY.
MAKES OUR CUSTOMERS SUCCESSFUL.

10,756,090

Number of Shareholders

2,460

Production base

Kumamoto prefecture：

Semiconductor Production Equipment Business

Kumamoto Plant
Kusuno Plant

CSR Policy

Shichijo Plant
Tochigi prefecture：Kanto Plant
Shiga prefecture：Kansai Plant※As of March 31, 2014

technological innovations, we manufacture
1 Throughproducts that contribute to social development.

Business Results
Net sales

Non-consolidated

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Consolidated

We respect human rights of all persons who are
involved with our company.
We respect the individuality and personality of everyone
involved with our company and build up a workplace,where employees can feel pride and job satisfaction.

50,00040,000We carry out fair and impartial business activities in compliance withlaws, etc., and secure transparency through timely and appropriate
information disclosure.
Through these activities, we maintain a sound investment environment.

build up appropriate relationships with all
4 We
stakeholders.

We formulate appropriate relationships based on mutual
trust with all stakeholders, including business partners
and cooperate with each other for sustainable growth.

Home Appliances and Other Production Equipment

20,00010,00002010/3

2011/3

2012/3and healthy life for local residents and actively
contribute to society.

Consolidated

2014/3

million of yen

2,500
2,000

1,658

1,464
1,160

1,000
500

725
321

394
180

0
-500

03

2013/3

Ordinary income

Non-consolidated

1,5441,554

By striving to protect the environment, we ensure a safe

33,71828,162

27,074

1,500

make eﬀorts to protect the environment and5 We
contribute to society through all corporate activities.

38,14635,014

EFEM

Glass cutting
device47,12938,57533,455

We manufacture and sell load ports which
incorporate silicon wafers into various processing
devices and wafer transportation robots
corresponding to air and vacuum environments andintegration of EFEMs (Equipment Front End
Modules).
For FPDs (Flat Panel Displays), we manufactureand sell panel coating device head coaters, panel
glass cutting devices and glass laminating devices,etc.

million of yen

47,62244,14230,000comply with related laws, social norms and internal regulations
3 We
and carry out fair and impartial business activities.

Engine assembly line

(Code : 6258)
Issued Number of Shares

Kumamoto Plant（East Plant）

Through ceaseless technological innovation, by realizing
each customer s desire for quality, safety andproductivity, we will meet the expectations of society.

Products△259
2010/3

2011/3

2012/3

2013/3

2014/3

We manufacture and sell production equipment
for manufacturers of electronic and electricmachinery and equipment, including such home
appliances as ﬂat TVs, refrigerators and vacuum
cleaners.
We supply equipment and systems that assemble
hard disks with a high degree of cleanness andhigh-speed transportation, which can select acomponent supply method based on products andinstall glass plates, backlights and printed wiringboards, etc., in the frames of panels of large TVs.
Our products adapt to automatic assembly
systems with various sizes and shapes, including
high-speed assembly of small condensers,
incorporated into electronic components,
compressors for refrigerators and air conditioners.
They also adapt to transportation equipment andmanufacturing devices of automotive tires.

Mobile device
assembly equipment
ACS-MD

Conveyance equipment for materials for tires04

Management

TopicsCorporate Governance

Establishment of a New Plant in Malaysia
and a Branch in Guangzhou, China

Manufacturing Department Transferred from Singapore to Malaysia
We established Hirata FA Engineering (M) Sdn. Bhd.
( HFM ), a subsidiary of Hirata Corporation s
Singaporean subsidiary Hirata FA Engineering (S) Ptd.
Ltd. ( HSL ), in the Nusa Industrial Park, Johor,
Malaysia, which commenced operation on August 1,
2013.
Hirata Corporation formerly operated sales, design
and manufacturing departments located at HSL as theSoutheast Asian sales and manufacturing base, butwith a view to enhancing its production system andreducing labor and other costs, we have transferred
the manufacturing department to HFM in Malaysia,
which has a building area 20% larger than that of HSL.
We are planning to develop sites according to demand,

mainly in the home appliances production system andautomotive production system ﬁelds.

We are enhancing corporate governance to meet the expectation oftrust from all of our stakeholders.

Basic Stance
Hirata Corporation, as a company which targets
on the global marketplace, has promoted sound andeﬀective operation action focusing on corporate
governance in order to discharge its social
responsibilities. Hirata is thus working to enhancecompliance system, improve corporate value andstrengthen business competitive edge. As
companies are placed in roles of publicness, public

New plant with a larger production spacebranch at Guanzhou
city as an sales base,and meet thecustomer's needs
promptly.

Hirata Corporation has built up a corporate
governance system through its board of directors,
its supreme decision-making authority, and theboard of auditors, which audits the appropriatenessof the status of execution of duties by directors andalso by the following institutions. The Internal Audit
Department, which was established as a department
directly reporting to the President, conducts auditsof the Business and Administration Divisions incollaboration and cooperation with auditors.
Hirata Corporation has accounting audits
performed under an audit engagement with an audit

05

corporation and receives advice on properaccounting methods upon consultation on importantaccounting matters as needed. For importantmatters of compliance, the Company consults withlegal advisers as appropriate to receive usefuladvice. Further, the Company has introduced aManagement Meeting and Executive Oﬃcer System.
Executive oﬃcers execute business in each ﬁeld
promptly and precisely and participate indeliberations of important matters concerning
execution of business at the Management Meeting
to enhance corporate governance.

General Meeting of Shareholders
Appointment／Dismissal

Building in which the
Guangzhou
Branch is located

The award ceremony was held at Shin Yokohama
Prince Hotel on the same day, where Yuichiro Hirata, ourpresident, received a commemorative plaque.

Audit

President

Board of Company
auditors

Directors
Indication
Advice／SupervisionCorporate
lawyers
and others

Collaboration／Cooperation

ReportCollaboration／Cooperation

Audit
Audit

Internal audit Dept.

Supervision
Appointment／Dismissal

ReportAppointment／Dismissal

Appointment／Dismissal

Board of directors

Hirata received the Global Special Award from JATCO Ltd.
Hirata Corporation received the Global Special
Award on July 31, 2013, whereby our contribution to
the delivery of production lines and production start-ups
upon JATCO s expansion of several production bases
including in Mexico, China, etc., was recognized.
We started a business relationship with JATCO in
2000, and we recently deliver large transmission
equipment to the company every year. JATCO
commends parts manufacturers and equipment
manufacturers which have contributed to its
development, quality improvement and manufacturing
every year. For FY2013, 24 companies from 6 sectors
were commended in total, and Hirata Corporation was
selected as one of them.

beneﬁt, and sociality, Hirata believes that themaintenance of good relations with all stakeholders
will lead to the longer-term improvement ofshareholder value.

Corporate Governance Framework

Branch in Guangzhou, China, Commenced Operation
We established Hirata Automated Machinery(Shanghai) Co., Ltd. Guangzhou Branch, a branchoﬃce of Hirata Corporation s subsidiary Hirata
Automated Machinery (Shanghai) Co., Ltd. ( HAS ),in Guangzhou, China, which commenced operation
on July 1, 2013.
HAS is carrying out business operating in the East
China area including Shanghai city where HAS headoﬃce is located and the South China area including
Guanzhou city as the main business regions.
Since South China area can be expected the same
market size with East China area especially in theautomobile related equipment ﬁeld, HAS established

Corporate Social Responsibility Report

ReportAudit

Collaboration／Cooperation

Executive oﬃcers
Directors andExecutive oﬃcers

Independent
publicaccountingﬁrm

Executive oﬃcers

Operational Dept.／Administration Dept.

Plaque in commemorationof the Global Special Award

06

Management

Corporate Social Responsibility ReportCompliance, Corporate Ethics

Risk Management

We are committed to ensuring thorough implementation of complianceand corporate ethics to conduct fair and impartial business activities.

We have developed a risk management system which enables us to accurately
determine various risk factors and respond to them appropriately and promptly.

Compliance Charter

BCP（Business Continuity Plan）

Fundamental Principles
Because of our "global" nature, we at Hirata Corporation as well as each of our Group companies abide by a set of established rules we call our"Code of Conduct" and strive for total compliance to it in order to eﬀectuate commercial endeavors that are both fair and transparent always inaccordance with legal statutes both domestically and abroad along with societal norms and in-house regulations.

Code of Conduct

Based on our business principles, we at Hirata are fully aware of our mission and role as a corporate entity with respect to our valued customers,
shareholders, business partners, employees as well as the members of our local community and, in order to make a contribution to society at large,
the following Code of Conduct is applied to all employees of every company in the Hirata Group with every single employee having the responsibility ofmaintaining and improving upon them.

1. Abiding by legal statutes and regulations

We at Hirata shall always abide by relevant laws and internal regulations
whenever engaging in business activities, always compliant with social
logic.

2. Engaging in fair and just business

We at Hirata, as a company that develops and provides optimal products
and systems that beneﬁt society, shall prioritize customer satisfaction andwork to build fair, just and transparent relations with business partners.

3. Disclosure of corporate information

We at Hirata, as a good corporate citizen, shall place our energy inprotecting the environment, reusing natural resources and developing the
local community with the hope of entrenching ourselves deeply within thecommunity.
We are against antisocial movements and organizations that threaten
the order and security of the citizenry and vow never to associate withthem.

6. Respecting the individual

We at Hirata shall disclose information on the management of ourcompany as well as on the condition of our activities to shareholders andinvestors at the suitable time and in an appropriate and fair method always
in accordance with relevant laws and statutes.
We shall take all the proper precautions whenever handling
non-disclosed corporate information (insider information) making surethere is no proﬁt-sharing or favors bestowed to individuals involved in thetransaction of equity and other securities based on this information or toother parties.

We at Hirata shall strive to respect the rights, privacy, character andindividuality of each and every single individual and make for a happy
workplace for all.

We at Hirata shall manage our company's tangible and non-tangible
assets in accordance with internal regulations and never for personal gain
or in ways contrary to corporate objectives.

We at Hirata shall promptly report any and all infractions to this Code of
Conduct in the event of their detection during the course of the executionof business in accordance to the same. Should such a report be issued,
the employee or employees in question shall be protected from liability.

4. Proper management and utilization of corporate assets

Compliance Education
Hirata Corporation provides various opportunities for
employee education in order to thoroughly comply withrelated laws in Japan and overseas, various regulationsof the Company and any other norms socially requiredfor compliance. In addition to providing basic educationon the necessity of compliance and the concept to all
employees, the Company established programs bymanagerial ladder and department on such subjects as
the Subcontract Law, corruption prevention, export
control, conﬁdential management, prevention of insider
trading, labor management, occupational safety andenvironmental protection, etc., based on amendment oflaws and systems of the Company.
Such education is part of the ability development planand education and training records are retained byeach person. If any matter of concern aboutcompliance occurred, we provide the related persons
with education and training as needed to improveawareness about compliance and prevent recurrence.

07

5. Contribution to society

7. Controlling conﬁdential information

We at Hirata are devoted to the strict management of not only ourvalued customers' personal information but also our own secret corporate
information and employees' conﬁdential data, which we vow never toillegally or unfairly disclose or leak either during their employment or after
their departure from this company.

8. Duty of practice and accountability

Helpline
Hirata Corporation established an externalreporting contact (Hirata Helpline) in May 2008
under the Code of Conduct for employees toreport problems which might violate laws andinternal regulations and to address with the potential
risks which violate laws and internal regulations as
early as possible.
Hirata Helpline has a principle of anonymous
reporting and a whistle-blower shall not faceretaliation due to whistleblowing.
The investigation result will be reported to theCompliance Committee and addressed appropriately.
Early detection and correction of problems
through this whistle-blower system enable us toprevent violations of laws and internal regulations.

To avoid unanticipated disasters and problems from
hindering uninterrupted business operation, we consider all
possible risks in advance, and take prevention, protection
and reduction measures into consideration to ensure
continued business operation, giving our customers piece ofmind against risks while ensuring that business returns tonormal within the shortest time possible after a disaster.
・In the unlikely event that our company itself is the victim of
a disaster, we make re-establishment of our business apriority to ensure that we are there to meet the needs ofour customers and/or stricken areas that requireassistance.
・In advance of any possible phenomena (disasters,
unanticipated problems), we implement precautions andrestoration plans taking into account any possible risks
which may exert a large eﬀect on core business
operations, as well as continually practice disasterprevention and BCP training.
・During normal hours, we provide training for our employees,
implementing a clearly deﬁned plan of action for
emergencies and disasters.
Conﬁrmation of safety of employees in case of disasters is
a top priority item in the eﬀorts of BCP. Hirata Corporation
has introduced an external system of conﬁrming safety inorder to conﬁrm safety quickly and eﬃciently.
With the above system, mail can be sent to conﬁrm safety
from the outside or remote areas and totals can be
conﬁrmed. We regularly send test emails as drills for
employees to respond quickly.
Occurrence of emergency

Initial response, BCP operations
Establishment a task force, Conﬁrm conditionsof damage and personnel s safety

From the dayof occurrence

Contact customers,
suppliers and all persons concerned
Draft a policy for continued
operation of core business, establish the system

From a few
days to a few
months after
occurrence

Support clients andpartner companies

Adjust and restore the deals

Support employees andbusiness resources

Administer emergency aid
and restoration

Activities tocontribute to
the aﬀected
region／area

Handle ﬁnancial liabilities

Information Security■Roles and Functions of Information
Security Committee
Hirata Corporation has prepared information
security management regulations to protect suchinformation assets as information and information
devices from threats, including leakage and damage
and conducts business activities safely and isaddressing prevention of leakage of conﬁdential
matters by building up a management system andactivities centering on the Information Security
Committee.

■Major Examples of Management ofInformation Security
・For use of email and the Internet, log records are
kept and access is restricted and installation ofdangerous software such as ﬁle sharing software is
prohibited.
・Passwords used for individual authentication are
required to be changed regularly and the notice ofchanges is sent to individuals whose date ofchange is near.
・A backup ﬁle server is located outside of the mainbases of Hirata Corporation to avoid loss ofImportant data in case of disasters, including
earthquakes, etc.

Export Control
In the global community, the importance of
security trade controls has been increasing against
the backdrop of global threats (terrorism anddevelopment of nuclear weapons, etc.). Hirata
Corporation, as a member of the global community,
established the Regulations for Security Export
Controls for the purpose of compliance with laws
including the Foreign Exchange Law and proper
export controls in order to contribute to maintaining
global peace and safety and has been making
eﬀorts to build up a security export control system.

Ensure, pay and ﬁnancea working capital

Restoration, and reconstruction

08

Social Report

Corporate Social Responsibility Report

Together with Customers

Together with Business Partners

We are working hard to meet the needs of our customers regarding quality,
safety and productivity and provide products and services that satisfy them.

We are working to build cooperative relationships based on trust withour business partners to secure good long-term business partnerships.

Quality Assurance

Suppliers Meeting

Product Safety

Hirata Corporation has developed the Quality
Management System (QMS) Promotion Organization,and under the responsibility and authority of thequality control manager, the QMS is promoted bydepartment, working on quality assurance activities.
At the Management Review (MR) meeting held twicea year, we check the status of operations andexamine and review the QMS.

■Quality Management System
Promotion Organization
Management
Quality Control Manager
ISO Audit TeamManagement Review Meeting(Company-wide) Quality Meeting(Each Department)
Quality Meeting(Each Department)
Quality Meeting(Each Department)
Quality Meeting■Three Major Elements of
Quality Assurance(Each Department)
Quality Meeting

Procedure
1. Procedures for manufacturing and（ISO9001）
conﬁrming quality products
ISO9001 quality management system
CapacityStandard
2. Management criteria for performing（HS） （human development）
business, determination criteria forevaluation and determination criteria
for design/execution/product quality
Quality Assurance
Internal speciﬁcations and standards are
improved Technical Internal Speciﬁcations: Hirata Standard (HS)
3. Capacity to perform business and evaluate and improve
We make eﬀorts for quality assurance based on the above threemajor elements.

TOPICS

Hirata Corporation is making the following eﬀorts
as part of its commitment to quality assurance toprovide our customers with products (equipment)that can be safely used.

■Development of Internal Standards
and Procedures

We conform to various certiﬁcation systems includinginternational standards (ISO/IEC), national standards, andindustrial standards (SEMI Standards, etc.) as well as set
out ISO9001 as our procedures to advance productsafety [measures] and the HS (Hirata Standard) as ourinternal technical standard to achieve product safety.

■Implementation of Education
In order to improve our ability to respond to standards
and certiﬁcations, etc., weprovide our employees
various opportunities totake part in productsafety education. We
have provided staﬀ incharge of sales, design
and manufacturing with
Participants learning
education regarding
Chinese National Standards as partof our educational activities
standards in Europe, theUS and China etc.

■Information Sharing
We collect actual cases relating to international
standards (ISO/IEC), national standards and certiﬁcations,etc., from Business Divisions and post them on theintranet together with our procedures and standards toshare information company-wide. This leads toimprovements in QCD, enabling us to proceed with
operations eﬃciently by referring to past cases.

In June 2013, we held the FY2013 Suppliers
Meeting at the Ueki-cho Culture Hall of Kumamoto
City, which 192 people from 132 suppliers
attended.
At this Meeting, we commended 10 good suppliersand 4 best suppliers among our suppliers that
contributed to the production activities of Hirata
Corporation in FY2012, based on their transaction
value, quality, costs, delivery times, etc., as well asawarded a special prize to 3 suppliers which showeda remarkable performance in BCP or improvement
activities.

The award ceremony

Supplier Satisfaction Survey
Hirata Corporation commenced the Supplier
Satisfaction Survey from FY2013 in order to haveour suppliers evaluate whether procurement
operations are conducted in a fair manner incompliance with laws and internal regulations.
The Survey was conducted among our 259 major
suppliers on 20 items, including reliability of Hirata
Corporation s staﬀ, procedures for determining
prices and delivery times, etc.
The overall trend indicated that they evaluatedVOICE
As a Partner to Survive Diﬃcult Times

Hirata Standard Handbook 2014 Issued and Distributed
The Hirata Standard (abbreviated as HS ) is the basis of monozukuri (manufacturing) by Hirata Corporation, which puts
together industrial standards and Hirata Corporation s machine and control design standards that aim at quality andproductivity improvements. The entire contents of the HS are available on the intranet, but frequently used contents are
excerpted and compiled into a handbook for greater convenience, and distributed within the Hirata Group and to our Suppliers
who have signed a conﬁdentiality agreement.
The handbook is utilized for quality and productivity improvements as a convenient and practical tool portable to any site
without an Internet connection or for a business trip.

09

their business partnerships with Hirata Corporation
as good and desired to continue business relations
with it in the future as well, while as a problem,
opinions have been received that delivery periods
are short. We will respond to them by introducing asystem which enables a more speedy orderissuance process.
We will continue with this Survey to ensure further
improvements with our partnerships.

Nichiden Corporation
Mr.Hajime Sasaki（Left）
in charge of Kyushu Area/
Kyushu Branch Director
Mr.Katsusuke Wada（Right）
Kumamoto sales oﬃce
2nd section Manager

We are a business that has been delivering mainly transmission devices such as timing pulleys
and chains for more than 30 years. Since we are in a position to communicate our customers
ideas and directions to our manufacturing suppliers, we consider the Hirata Corporation s
Suppliers Meeting an important meeting in obtaining information such as their policies for thecurrent term.
The year before last, we were looking up at the award-winning suppliers from the audience,hoping to stand on the stage someday, and we are grateful to have received the best supplierprize the following year.
We understand that our high rate of delivery date compliance as well as our contributions to
the tentative slips eradication activities according to Hirata Corporation s policy have beenrecognized, and this is a result of our various eﬀorts including guidance and education to our
suppliers.
This award is only a starting point for us, and it will be meaningless unless we can continue.
We would like to take this opportunity to become a partner to survive the diﬃcult times by not
only maintaining existing business relationships, but also selling the products of Hirata
Corporation through our networks.

10Social Report

Corporate Social Responsibility Report

Together with Employees
We are working to develop a workplace where individuality and personality of
employees are respected and they can take pride and satisfaction in their work.

Global Human Resources Policies
By combining our basic policies concerning themechanisms and operations of the Hirata Group's
various common systems as Human Resource
Policies, and implementing speciﬁc measures basedon these, we will strengthen our commitment to being
a company where employees can act with pride andsatisfaction through their work.
1. Based upon our Corporate Philosophy, we shallrespect the individual character and the humanrights of all people working in the Group.We deﬁnitely
do not do any harsh and inhumane treatment
including sexual harassment, sexual abuse, corporalpunishment, mental or physical coercion or verbal
abuse of workers.We deﬁnitely do not employ childlabor or forced labor. We shall treat and appraise
each and every employee in a fair and impartial
manner. We deﬁnitely do not discriminate against
any employee on the basis of nationality, race,
religion, age, gender, physical or mental disability, orother legally protected attributes.
2. We carry out our HR activities in compliance withapplicable laws and regulations.We shall comply withall applicable laws and regulations of each region
regarding employees' rights. The rights of workers to
associate freely, join or not join labor unions, seek
representation, and join workers councils inaccordance with local laws shall be respected. We
operate and faithfully accommodate, wheneverapplicable, conversations or discussions with
employees or their representatives.
3. We aim for a fair, equal and transparent HR system.
The human resource policies have to be reasonable
and persuasive to the employees. We shall clearly
explain the contents of the policies to theemployees and make it open to the maximum extent.
4. We support professional development. Based upon
our Corporate Philosophy of Makes the best use ofits members , we shall positively support for
professional development.

Providing opportunities for a variety of human assets■Eﬀorts for Re-Employment
Under the Re-Employment System established in 2006,
the Company enters into re-employment agreements withretired employees so that they can continue to apply theirskills, utilizing their superior knowledge and experience. We
make eﬀorts so that re-employed persons can work inaccordance with their respective lifestyles, adjusting andconsidering working days and hours based on the desires ofre-employed persons and the content of each business contract.
Number of re-employed persons above 60 years old （Unit: person）
Persons retired by Persons who sought
Re-employedYear
age limit
re-employment
persons
4
4
4
2009
2010

7

5

5

2011

16

11

11

2012

25

18

18

2013

23

17

17

Based on the Law concerning Stabilization of Employment ofOlder Persons as revised in April 2013, we have revised ourre-employment system, and reemploy those who desire until
65 years of age.

■Active Employment of Disabled Persons
Employment rate of disabled for FY2013 was 2.02%,
exceeding the statutory employment rate of 2.0% after therevision. We will continue our eﬀorts to match individuals withwork through participation in brieﬁng sessions hosted byrelated organizations as well as receiving trainees fromschools for special needs education.
Changes in Employment Ratio of Disabled Persons (%)
2.50
2.00

1.87%

1.88%

1.99%

1.90%

1.50
1.00
0.50
（%）

2009

2010

2011

2012

2.02%

Legal
employment
ratio
2.0%
⬆
1.8%

2013（Year）

Employee Satisfaction Survey
Hirata Corporation conducted an Employee Satisfaction
Survey among our employees in FY2013. (Response rate
was 85%). Our aim is to determine employee opinions
concerning our business management and internal
systems and thoughts concerning their work from theperspectives of management direction, job satisfaction,

11

Support to Ability Development
We recognize that the top priority of our business
management is to develop an environment in which eachand every employee can grow and exert her/his abilities
to the extent possible under the Corporation's
management philosophy of maximizing the potential of
its personnel, and accordingly, we have set out apersonnel basic policy that human development shallbe the core of management in the mid-term
management plan. As further responses to globalization
are required, we will develop a mechanism to steadily

VOICE
Mastered Skills Are Immediately Put into Practice
Project management training was a practical course consisting mainly of group work,where we worked in teams to solve presented problems using methods unique to project
management. The main method was to visualize project information for sharing, and as
the framework and application of these ideas are learned and understood theireﬀectiveness can be realized to improve actual business operations, applying themastered skills already in on-going projects.
The times during which whatever is produced will be sold are gone, and QCD demands
from customers are getting tougher year after year. Under such circumstances, I strongly
felt the needs to adopt such scientiﬁc and practical methods actively.

Kumamoto Business Div.
Sachio Ideta

Occupational Safety and HealthWork-Life Balance
Hirata Corporation is making eﬀorts to realize work-lifebalance so that a comfortable working environment canbe improved and employees can use time freely forthemselves. Speciﬁcally, they have as their main pillars[1] improvement and enhancement of childcare leave ofabsence, childcare shorter working hours and nursing
care leave of absence, [2] overtime work reduction.
For childcare leave of absence, more employees returnto ordinary work after taking leave of absence and shorter
working hours, which means that a system that allows forconcentration of childcare has been securely established.
For overtime work reduction, we are making eﬀorts at
reductions by each department proposing ideas incooperation between management and labor.
We will make eﬀorts to improve work-life balancethrough eﬀorts at enlightenment activities for childcare
leave of absence and nursing care leave of absence
and overtime work reduction.

Number of employees who took childcare and nursing care leave,etc（Unit : person）

communication, personnel management system etc., toidentify issues, and reﬂect them to speciﬁc measures andaction plans to lead in steady improvements.
We will work to improve job satisfaction by conducting
ﬁxed-point observation continuously in the future.

foster human resources to realize global strategies, andprovide our employees with opportunities for growth.
As from FY2013, we have reviewed our education
system including stratiﬁed education, specialist
education, theme-speciﬁc education, etc., to further
enhance education and training, and have been
implementing curriculum programs systematically.
Particularly, skills to lead order projects to success areimportant for a make-to-order company such as Hirata
Corporation, which makes to order, so we are conducting
practical project management training.

2011

2012

2013

Childcare leaveof absence

Female

11

6

6

Male

0

0

1

Childcare shorter
working hours

Female

15

13

8

Male

0

0

0

Nursing care
leave

Female

1

1

0

Male

1

0

0

Under the motto of participation with zero-disasters by all
employees, Hirata Corporation holds a safety and healthcommittee at each factory and a company-wide safety and healthcommittee, a supervisory committee, every month to promoteorganizational safety and health activities. We develop a yearly plan
concerning safety and health every year to improve the situation
based on the PDCA Cycle of plan, do, check and act.
At sites, through risk assessment and danger prediction drills atmorning meetings, we strive to secure safety during work at theCompany and customer factories. As a result of these eﬀorts, wehave realized zero accidents requiring absence of an employee
since 2011.

■Safety Patrol by the Directors
During safety week held in July every year, the president and all
the other directors carry out safety patrols of the factories inorder to improve the situation by recording good points and points
requiring improvement. Morale at the site is raised by such patrols
by the directors.

■ Implementation of Safety and
Health Education

We provide safety and health education required at the time of

employment and also to employees of our contractors engaged in
on-site work, as well as distribute the safety and health handbook.
Further, we have internal instructors to provide specialist
education on industrial robots as this is essential in handling Hirata
Corporation's robots.

12Social Report

Corporate Social Responsibility Report

Together with Shareholders and Investors

Together with Local Communities

We provide appropriate and timely disclosure of information to ourshareholders and investors, with the intent of enhancing IR tools.

We are diligently engaged in activities that contribute to society in our commitment
to be a company rooted in the local community as a good corporate citizen.

IR Activities

Solar Power Generation Business

Hirata Corporation believes it is the assumption of
impartial and fair price formation of shares that
information on investment decisions shall beproperly supplied in a timely manner and also
recognizes that we are required to supply important
corporate information, constituting the basis forinvestment decision-making by many investors who
are market participants in a fair, equal, correct andswift manner.
For such institutional disclosure materials as
ﬁnancial reports and quarterly reports, we have

improved our organization system to make correct
and timely disclosure of the details of the Company
and for material facts and any other important
corporate information, we disclose the information
promptly after making a formal decision and theoccurrence of the facts.
For major IR activities, we hold closing explanationand second quarter closing explanation meetings
for institutional investors and also individual
consultations with institutional investors andanalysts.

IR Tools
In addition to ﬁnancial reports, announcements on
closings, which are prepared under laws andregulations of ﬁnancial instruments exchanges,
Hirata Corporation makes every possible eﬀort forshareholders and investors to deepen theirunderstanding of the business of Hirata Corporation
by independently preparing the following materials.

3.Fact Book
These are materials
summarizing the consolidated
ﬁnancial statements,
consolidated statement ofincome and closing index forthe past ﬁve (5) years both inJapanese and English.

1.Closing explanation materials,

quarterly closing explanation materials
These are the materials explaining the summary of
the closing of a term in easy to understandlanguage and are used asmaterials for closing
explanation meetings for
institutional investors for theﬁnal closing and second
quarter.

4.Materials for explanations at general
meetings of shareholders

These are materials used for explanations at
general meetings of shareholders.

5. To our Shareholders and Investors
on the Hirata Corporation website

2.Hirata Report
This report, forshareholders, describes thebusiness content, results,
plans and topics in easy tounderstand and is issued andsent by mail after disclosureof the ﬁnal closing andsecond quarter closing.

13

This page collects
information for ourshareholders and investors
and posts the information
about shares, company
proﬁle information for
individual investors in
addition to the above
materials. We intend topromote understanding ofHirata Corporation.

Hirata Corporation has loaned a part of the roof of
Kumamoto Plant and Kumamoto East Plant to Taihei
Technos, a subsidiary of Hirata Corporation operating
solar power system installation business. In FY2012,
Taihei Technos installed solar power generation
panels on those 2 roofs. In FY2013, we had additional
solar power generation panels installed by Taihei
Technos on other roofs on Kumamoto East Plant andShichijo Plant. This has doubled the maximum output(capacity) from the previous 1,000kW to 2,000kW,
and the annual amount of power generation reachedaround 2 million kWh. The generated power is soldentirely to Kyushu Electric Power Co., Inc.

Solar panels installed at
the Kumamoto East
Plant (above) and the
Shichijo Plant

Internship
Hirata Corporation provides internships of aworking experience type, by which the Company
provides opportunities for students to think What itmeans to work at a company or How much what I
have learned can be applied. In 2013 during
summer and winter season, we accepted nine
students in total from technical colleges,
universities and technical high schools.

Also, for high school students, we accept a few
hundred of them for plant visits in order to help
them develop proper views about occupations andselect their courses eﬃciently. Additionally, in linewith our new eﬀorts to develop global humanresources, we have started accepting students forinternships and plant visits also at an overseas
aﬃliate (Taiwan Hirata Corporation).

Donations and Cooperation

Career-related Lectures / Experience Learning

We collect new year s post cards with written
mistakes and unnecessary foreign money held bythose who have returned from overseas businesstrips and donate them to UNICEF, UNESCO, etc.
Also, we have cooperated every year since 2008
in the environmental photo contest, ○ (good) and ×(bad) of our Town,
Kumamoto, topromoteenvironmental
awareness.

As part of our community-based social contributions, we havebeen continuously engaged in activities visiting junior highschools in neighborhoods to give career-related lectures andinvite students to the company and provide experience learning
opportunities.
In FY2013, we cooperated with the Kumamoto Municipal
Kanan Junior High School in their integrated learning program,and received students to allow them to experience theoperation of robots after making a presentation on our businessand products. We received
remarks from students
who participated in the
program, such as I had agreat fun. It was likeplaying a game. As I hopeto get a job involving robot
production in the future,
this has been very helpful. Junior high school students diligently

Foreign money collected withthe cooperation of volunteers

learning to operate a robot

14

Environmental Report

Corporate Social Responsibility Report

Environmental Management System
Towards the realization of a sustainable society, we have developed
the Environmental Management System and are working hard to protect
the environment.

Environmental Policy
We at Hirata establish environmental policies andpromote environmental activities in line with thepolicies. We contribute to global environmental
protection by reducing environmental load on ourbusiness activities, products and services.

1. ISO (9001/14001) Basic Policy(1) Putting customers ﬁrst, and providing the high-quality
products that meet customer satisfaction.
(2) Producing high value-added and environmentally-friendly
original products through eﬀorts in technical innovationand improvement.
(3) Upholding laws and regulations and making productsthat are safe and easy to use.
(4) Working towards the prevention of pollution and theenhancement of quality through the continuous
improvement of our EMS/QMS eﬀectiveness.
EMS: Environmental Management Systems
QMS: Quality Management Systems

2.Particulars of our environmental policy(1)Working towards the manufacturing of products
considering the product life cycle throughimplementing production engineering.
・Promoting energy-saving products
・Promoting recyclable design and manufacturingof products
・Reduction or substitute of harmful materials
used in products(2)Abiding by environmental laws, treaties,
requirements and voluntary standards set as
needed. Also, developing coordination andcooperative relations with relevant government
agencies and contributing to the local society.
(3) In order to construct sustainable society, striving
to conserve the environment technologically andeconomically in the business activity and the all
production process including sales, designing,
manufacturing, installing and service after thesales.
・Reducing energy usage
・Reducing waste and promoting recycle
・Reduction or substitute of harmful materials
・Preventing environmental problems and pollution(4)Increasing environmental awareness throughimplementing education and publicity programs.
(5)Reviewing EMS regularly for continuous
improvement.

15

Environmental Targets○…achieved、△…nearly achieved、×…unachieved
Item

Environmental Management System■Environmental Management System
Promotion Organization
Hirata Corporation has built up the Environmental
Management System (EMS) Promotion Organization led bymanagement and the environmental management manager,
and obtained international standard ISO14001 certiﬁcation
at the Kumamoto, Kanto and Kansai region production bases.

■Environmental Education
We are implementing environmental education
systematically to increase environmental awareness andprevent environmental pollution.
In FY2013, we implemented Common Environmental
Education, Education for Environmental Management Staﬀ,
Education on Environmental Laws and Regulations,Chemical Substance Management Education, etc.

TOPICS
Implementation of Chemical
Substance Management Education
We have provided Chemical Substance Management
Education to approximately 550 chemical substancehandlers and management supervisors to prevent any
environmental pollution and health hazards caused bychemical substances. They
have learned about the risksof chemical substances, how
to read SDS (safety data
sheets), related laws andregulations and internal
procedures.

Promotion of green
Countermea procurement
sures forchemical
substances,
Reductions in consumption
hazardous
amounts of materials
materials
subject to the PRTR Law
Water
resource
countermea
sures

Globalwarming
countermea
sures

Waste
countermeasures

We undergo compliance checks concerning
environment-related laws and regulations periodically by
the ISO Secretariat and ISO internal audits, as well as
having set our own standards to ensure compliance withlaws and regulations.
In FY2013, no violation of laws or regulations, accidents
or complaints occurred in Hirata Corporation related toenvironmental issues.
Also, in FY2013, we brought PCB (polychlorinatedbiphenyl) waste (one condenser) stored at the Kanto Plant
to the Japan Environmental Safety Corporation to have it
disposed of appropriately. With this, disposal of all PCB
waste stored by Hirata Corporation has been completed.

Results of 2013

Evaluation Activities Plan for 2014

Conducting product assessments
and reduced number of components,
power consumption, hazardous
materials and waste, etc.
Reinforced the internal system andprepared for investigation of chemical
substances contained in products, mainlywith respect to mass produced items.

Implementation ofenvironmentally-friendly
designs

Supplying products that
reduce environmental loads

Implementation of management ofchemical substances contained in
products○

Product assessments
will continue to be
conducted.

△

Conduct thoroughmanagement of chemical
substances contained in
products at supply chains.

Reduction of more than 10% of actual
production amount ratios to theconsumption amount of materials
subject to the PRTR Law in 2009

Reduction of 4% of actual
production amount ratios.
Consumption of PRTR substances
increased due to increase in theamount of in-house coating.

△

Promote replacementof materials subject to
the PRTR Law.

Reduction of more than 5% of actual
production amount ratios to the water
consumption amount in 2009

Reduction of 15% of actual
production amount ratios○

Determine the amount ofwater consumed in the
manufacturing process andconsider how to reduce it.

Reduction of more than 5% of
Reduction of energy
actual production amount ratios
input
to energy inputs in 2009

Reduction of 22% of actual
production amount ratios○

Reduction of more than 5% ofactual production
amount ratios to CO2 emissions
in 2009

Increase of 22% of actual
production amount ratios. We
reduced energy inputs, but thechange in global greenhouse gas
coeﬃcients worsened the ﬁgures.

×

Reduction of more than 5% of
Reduction of industrial actual productionwaste amounts
amount ratios to waste
amounts in 2009

Reduction of 28% of actual
production amount ratios○

Reduction of water
consumption

Reduction of CO2
emissions

Focus eﬀorts on
reduction of electricity
usage in particular byintroduction ofenergy-saving
equipment andreinforcement ofenergy management.
We promote reductionof waste oil, waste
plastics and woodchips.

Environmental Performance
Grasping the impact on the environment by business activities, we are striving to
reduce environmental loads to achieve our mid and long-term targets (2012-2014).
■Total energy input■Amount of water resource input

Total energy input（In crude oil equivalent）(kℓ)
Basic unit for energy
0.200

5,000
4,000

0.125
2,636

3,180
0.090

3,532
2,949
0.089

2,000

0.107

3,298

0.119

0.097 Target for
FY20141,0000（kℓ） 2009

2010

2011

2012

2013

FY2014

0.150

0.100

Consumption of PRTR Substances (kg)Amount of water resource input per hundred million JPY
actual production（㎥/hundred million yen）

Amount of PRTR Law target substances per hundred
million JPY actual production（kg/hundred million yen）

120,000

400.0

0.000

7,000

7,788

6,000
5,000
4,000

0.196

5,747
4,845

4,128
0.137

3,000

0.300

0.228

0.186

0

2009

2010

2011

2012

2013

FY20140.0（㎥/hundred million yen）

1,000

2012

7,840

5,330

16.3

6,934

4,485

25.0

19.1

Target for
FY20140（kg） 2009

20.0
15.0
10.0
5.0

2010

2011

2012

2013

FY20140.0（kg/hundred million yen）

2.0

700

1.4

1.2

600

Target for
FY2014

0.145

2011

4,000

4,470

20.3

19.8
15.0

8,000
6,000

500
0.100

400
300

436

1.3
1.1

1.0

422

285

265

1.0
331

1.5

Target for 1.0
FY2014
0.5

100
2010

21.2

2,000

200

2009

12,00010,000

200.0

100.0

20,000

800
0.200

1,000

（t-CO2）

191.2

222.6 Target for
FY2014

300.0

900

2,000

0

220.5

246.9

250.1

Amount of industrial wastes（t）Amount of industrial wastes target substances per
hundred million JPY actual production（t/hundred million yen）

6,055
0.220

55,52978,256 75,863 68,005 76,056

30.0

14,000■Industrial Wastes

CO2Emissions（t-CO2）
8,000

60,000（㎥）■Amount of CO2 Emissions
CO2Emissions intensity

80,000263.2

40,0000.050■Consumption of PRTR Substances

Amount of water resource input（㎥）

100,000

3,000

Legal Compliance and Pollution Control

Mid and long-term targets (2012〜2014)

2013

FY2014

0.000

0

（t）

2009

2010

2011

2012

2013

FY20140.0（t/hundred million yen）

*Actual production amounts used for
calculation of energy use and CO2
emission intensity.
*In each graph, the target ﬁgures for2014 are included, which is the lastyear of the mid and long-term targets.

16

Environmental Report

Corporate Social Responsibility Report

Consideration for the Environment in Business
Activities

Environmental Consideration in Products

We are actively working to determine and reduce the environmental loads for the entire
lifecycle of products including design and development, procurement, production, etc.

We determine the environmental loads caused by products and try to produce
products with reduced environmental load, taking their lifecycle into account.

Environmental loads

Environmentally-Friendly Products■Eco Electric Stopper

Environmental loads in 2013 are as follows.

Input●Energy

Electricity 12,195 thousand kWh
LPG
69t
Gasoline
2t
Kerosene
51t
Light Oil
76t

●Water Resources

Business Activities of Hirata Corporation●Design anddevelopment●Procurement●Production
Processing
Coating
Assembly

Underground Water: 65,323㎥
10,733㎥
Clean Water:●Chemical Substances

PRTR Law target substances: 6.9t

Requires only a 24VDC cable. Stopper with superior energy saving performance requiring neither air equipment nor controller.
Usable in any ﬁeld including automotive and home appliances. We will make new proposals oﬀering it as Hirata Corporation s
standard product.

Output●Emissions in Air
CO27,788t- CO2●WasteIndustrial waste:
General waste:
Valuable waste:

A stopper is a device to keep pallets ﬂowing on aconveyor standing at a ﬁxed position while assembly is
being carried out. This can be used to keep themstanding until the next process is ready to receive them.

330t
17t
746t

●Chemical Substances（PRTR Law target substances）

Toluene:Xylene:Other:

4.9t
0.7t
1.3t

〈Features〉

Environmental Accounting
As from FY2013, we started to calculate environmental protection costs. We categorize these into investment amounts
and cost amounts with reference to the Environmental Accounting Guidelines by the Ministry of the Environment.
（Unit : thousand of Yen）
Item
Business
Area Cost

Major Activities

Pollution Prevention Cost

・Noise prevention

Global Environmental Protection Cost

・Introduction of energy-saving equipment

Investment amounts Cost amounts

Resource Circulation Cost ・Disposal of general waste and industrial wasteー

988

15,69642,368ー

12,346To Make Proposals of More Eco-Friendly Products with Superior Energy-Saving Performanceー

26,938ー

59

15,696

82,699The eco electric stopper can be operated with only 24 volt direct current, requiring
neither air equipment nor controller, because of its use of solenoids (cylindrical coil)and the mechanical structure utilizing the impelling force of the ﬂowing pallets. By
eliminating accessories required for conventional air cylinders, power consumption
has been signiﬁcantly reduced. We are currently developing a new product following
the electric stopper, and making eﬀorts to create eco-friendly proposals in the futurewith superior energy saving performance by their combined use.

・Maintenance of environmental management system
Administration Cost

・Environmental measurement
・Environmental education

Social Activity Cost

・Nature protection, clean-up
・Donations to environmental protection groups
Total① Energy Saving：No power consumption while idling. No need for pneumatic tooling like compressors, andreduces CO2 emission.
② Low cost ： Requires only a 24VDC cable. Electric power cost will be reduced by more than 90% annually.
③ Compatible ： Mounting dimension compatible with major Japanese pneumatic stoppers. Easy to replace.
④ Safe ： Small work envelope and no pinch points.

VOICE

Kumamoto Business Div.

TOPICS
Energy-Saving Eﬀorts - Replacement of Lighting with LED
In FY2013, we switched the lighting in the Kumamoto Operations Center building to LED.
This will reduce electricity usage to one-third compared to conventional ﬂuorescent lighting,and also contribute to waste reduction as it has a long service life.
We plan to work on lighting energy savings at the plants from now on.

Bungo Matsumoto

Response to Management of Chemical Substances Contained in Products
In order to respond to chemical substance related laws and regulations in Japan and overseas, including European RoHS Directive (*1)
and REACH Regulations (*2), we promote strengthened management of chemical substances contained in our products. In FY2013, weestablished the Green Procurement Subcommittee to reinforce the internal system to share information concerning laws andregulations and the management situation of chemical substances contained in products, as well as any related issues. As it is expectedthat such laws and regulations and the standards of our customers will be even stricter in the future, we will continue to work
proactively on development of eﬃcient and eﬀective internal systems and reinforcement of the system including the supply chain.
*1 RoHS Directive: Regulations of hazardous materials of EU

17*2 REACH Regulations: Chemical substance management regulations of EU

18