TDK CSR REPORT 2018

The TDK Group's CSR

Fiscal 2017 Activity Goals and Achievements, Fiscal 2018 Goals
Impor tant CSRIssues

1
Contribute to theWorld throughTechnology

Important Themes

Main Points

Contribute to resolving social issues
through development and provision ofnew products in three priority markets

TDK aims to solve social issues, such as
helping to save, store and reuse energy,
through original technological development
and supply of products in markets, especially the automotive, ICT, industrial and energy.

Addressing social issues by developing
new kinds of products the world has not
yet seen

FunctionsTechnology HQEach business group

Quality Assurance Function
Each business group2

Develop global human resources

Toward the promotion of genuine globalization, we will strive to develop the humanresources that will serve as its foundation.

Human Resource Development Function

Develop
Human
Resources

Cultivate a corporate culture that
respects diversity

In order to continue generating innovative
creativity, we will build a tolerant corporate
culture that respects the diversity of humanresources.

Human Resource Development Function

Consider the work environment at
manufacturing sites

In light of the latest requirements, we will
gauge considerations for the labor environment at production sites, which we need asa supplier, and if necessary implement education and guidance toward improvement.

Consider the work environment ofsuppliers

In light of the latest requirements, we will
gauge considerations for the labor environment at suppliers, which we need as abuyer, and if necessary implement education and guidance toward improvement.

Response to conflict minerals

We will execute our social responsibility as a
midstream company appropriately throughthe continued implementation of required
efforts and an understanding of the latest
requirements.

4Develop andProsper inHarmony withthe Global
Environment
Management

Continue to promote the developmentof products that contribute to thesolution of social issues in the priority
strategic markets of automotive, ICT,and industrial and energy●

Fiscal 2018 Goals

Boosting development of DC-DC
converters for automotive use,solid-state batteries, motion sensors, etc.
●

Promote development and sale of “First to Market”
products

Number of important claims: 0

CSR Function
Human Resource Development Function●

Number of important claims: 0●

Number of important claims: 0●●

Establish a global consolidated humanresource database●

Expand scope of use of global consolidated human resource database●●

Compile consolidated management
database, and get a solid grasp of thedata●

Complete the consolidated management database●●

Perform 100% CSR self-checks atmanufacturing sites●

100% implementation●●

Secure 100% opportunities forthird-party CSR audits once every twoyears (China and Asia region)●

100% implementation

Perform 100% CSR self-checks at manufacturing sites
Perform 100% labor and ethics risk assessment at
manufacturing sites● Secure 100% opportunities for third-party CSR audits
once every two years (China and Asia region)● Perform 100% CSR self-checks at dispatch companies
used by manufacturing sites in the China and Asia areas●

CSR-compliant supplier ratio: over95%●

CSR-compliant supplier ratio: 91.2%●

CSR-compliant supplier ratio: over 95%●

Build a setup to conduct CSR efforts to sub-contractors

Procurement Function
Each business group

Procurement Function
Quality Assurance Function

We will promote environmental activities on
the basis of the TDK Environmental Vision
2035*1.

Safety and EnvironmentFunction

Creating a framework for gauging
product contributions

Through the setting of common gauging
product contributions in the industry, wewill promote social understanding of TDK’s
environmental contribution value.

Safety and Environment
Function

Ensure corporate governance andcompliance

Through the development of appropriate
corporate governance and thorough implementation of compliance, we will aim toenhance our corporate value.

CSR Function
Compliance Function

Further expand scope of use of global consolidated
human resource database● Introduce global selective training
Consider expansion and improve accuracy of humanresource attribute information collected by the consolidate management database● Implement human resource meetings globally and by area●●

Confirmed DRC conflict-free supplierratio: over 85%● Monitor number of customer responses●

Confirmed DRC conflict-free supplier ratio: 92.3%● Implement monitoring●Improve energy origin CO2 emissions basic-unit by 2.0% compared with fiscal 2014
● Improve product-based CO 2 reduction contributions basic-unit by 2.7%
compared with the previous year●

Worsened by 10.5% compared withfiscal 2014
● Improved by 12.9% compared withthe previous year●

●Continue to implement standardization
and awareness activities in collaboration with industry associations●

Estimated contribution potential ofJapanese electronic component
makers and implementation ofannouncements●●Achieve 100% participation in compliance e-learning●

Achieved 99% participation in compliance e-learning●●

Reduce environmental load
throughout life cycle stages

Fiscal 2017 Achievements

TDK aims to solve social issues throughunique technological development.

On the basis of our high level of technology,
we will pursue zero-defect product quality
through uniformly managed production processes from materials to manufacturing.

Consider theSocietal andEnvironmental
Impact of the
Supply Chain

Fiscal 2017 Goals●Pursue zero-defect product quality

3

Based on its finalized materiality, the TDK Group works through the PDCA (plan-do-check-act) cycle to promote initiatives aimed
at realizing a sustainable society and company. Here, we report on our fiscal 2017 activity goals and achievements, and fiscal
2018 goals.

DRC conflict-free procurement supplier ratio: over90%● Monitor number of customer responses

Improve energy origin CO2 emissions basic-unit by
1.7% compared with the previous year
● Improve product-based CO 2 reduction contributions
basic-unit by 2.7% compared with the previous year
Continue to implement standardization and awarenessactivities in collaboration with industry associations

Achieve 100% participation in corporate ethics
e-learning● Achieve 100% participation in compliance e-learning*1 Details of the goals and achievements of environmental activities, please see
the following website: https://www.global.tdk.com/corp/en/csr/environmental_
responsibility/csr03200.htm

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