5-125, Higashi-Arioka, Itami City, Hyogo Prefecture, Japan 664-8610
https://www.toli.co.jp/
https://www.toli-overseas.com/
For Further Information
TOLI Corporation - Global Department
Phone: +81-3-5403-2078
E-mail: toli_contact@toli.co.jp

Contents
Message from President ���������������������� 3
History ��������������������������������������� 6
TOLI Group Business Introduction������������� 7
CSR Activities �������������������������������� 9

Environment
TOLI Group Philosophy

Global Environment �������������������������� 11

We, in response to the trust in our business, will keep creating
new value that contributes to the creation of the positive space andenvironment for the people in the world.

Society
Human Rights ������������������������������� 17
Employment and Labor ���������������������� 19

TOLI Group ValueBusiness Activities��������������������������� 21
Quality��������������������������������������� 22

1. We build our credibility through “Reliable Quality and Technology”.
2. W e keep the co-creation spirit through “Product Development from theSocial Contribution �������������������������� 25

Customer’s Standpoint”.

Governance

3. We aim to “Evolve from Global Perspectives”.

Corporate Governance����������������������� 27
Data����������������������������������������� 29

Editorial Policy
TOLI CSR report 2021 is to report to all of
our stakeholders on TOLI Group’s basic
approach and specific activities for CSR.
● Period
From April 2020 to March 2021

Some information are not from this period.
● Photographs
Some photographs are not from this period.

● Date of issue
November 2021
● Special notes on forecast	This report contains a lot of information including
future plan, strategy, forecast and such. They arebased on the past fact and current accessible
information and subject to change due to future
economical condition, external factors around
TOLI and such.

● Referred guideline
ISO26000

Company Information
TOLI discloses the company profile in “COMPANY”, and management information in “NEWS & EVENT”
in website.
Company Profile
Management Information

1

TOLI CSR Report 2021

https://toli-overseas.com/profile/https://toli-overseas.com/news_event/TOLI CSR Report 2021

2

Message from President

CSR Activities

Environment

Society

Governance

For Our Hopeful Future
We will contribute to create a sustainable society and improve corporate value over the mid tolong term.

Edition of CSR Report
Since our foundation 1919, TOLI Group has been conducting

plague such as COVID-19 pandemic. In such a situation, wethe business activities that contribute to the creation of thebelieve that our Group’s mission is to create hopeful future

positive space and environment. Targeting all markets, fromfor all stakeholders related to our business, making activities

residential, offices, education, hospitality and commercial

to reduce the impact on environment and creating peace-in-facilities, we are driving our business in two segments;

mind working place for employees.

Product business, which is responsible for the manufacture

Our Group has implemented various initiatives to fulfill itsof vinyl flooring, carpet, wall covering, and curtain. And thesocial responsibilities. We report these initiatives as the TOLI

interior wholesale and installation business, which supply

CSR Report with the aim of disseminating these initiatives toand install interior materials including our own products.

stakeholders and to have better understanding of the Group.

Recent years, various environmental and social issues
have become apparent globally, such as natural disasters

We are going to implement united CSR activities as aGroup for enhanced trust from all stakeholders.

that are intensifying due to climate change and the spread ofMotohiro Nagashima
President

TOLI Group’s Long Term Vision
People’s lifestyle continues to change day by day, and thevalue for the people’s life and aim to become the company

pace of change is increasing due to the effects of climatethat designs the lifestyle in any situation. In order to achievechange and COVID-19 pandemic. In such a situation, we

the long term vision, we will work on not only enlarging

plan to evolve into a company that designs lifestyle underthe economical value but also social value and activities tothe <TOLI VISION> for 2030. Based on century history

accomplish sustainable society.

legacy of manufacturing, we will keep creating indispensableStageand service which match clients’ lifestyle, we put priority

Our Group is manufacturing and selling interior materials

business partners from the customer’s perspective.

Phase 2Phase 3Fromsafety for the benefit of your daily life. Recent years, various

designing skill development programs tailored to eachenvironmental restrictions have been enforced from theindividual, and creating systems to realize career plans.
interior industry, and encourage the art, culture and sports inwith laws and regulations, but also to take a further step into

local society. We will contribute to the society together withvoluntary action. Our Group is also responsible for promoting

stakeholders.

business activities that contribute to the conservation of2027 to 2029

the global environment. As an industry-leading company,

Improve Corporate Valuegenerated in the manufacturing process. In particular,

In order to achieve sustainable enhancement of corporate

the promotion of recycling to reduce industrial waste is avalue and fulfill the social responsibilities of the organization,

major issue, and we will focus on in-plant recycling andit is important to establish a sound governance system.

Enrich the Valueof Supply

the recycling of used products, thereby contributing to the

In FY2021, the Corporate Governance Code in Japan was

reduction of industrial waste throughout the supply chain.

revised to place increasing emphasis on the relationshipbetween companies, stakeholders and the transparency ofHarmonize with Society

TOLI CSR Report 2021

Governance

Enlarge the Fieldof BusinessContribute to solve
Social Issues

To be a Company
that Designs Lifestyle

Society

management. Our Group clarifies management oversight

Our Group aims to build even better relationships of trust

management discipline. We will continue to deepen

with all of our stakeholders in order to realize an inclusive

communication with all of our stakeholders and aim to be asociety.

corporate group that is suitable for shouldering expectations

In order to supply high quality and value-added product3

We will also endeavor to the development of construction

VOC emission regulation. Our Group aims not only to comply

Enhance the Fundamental of Management

Social Value

For employees, we strive to create a safe and pleasantworking environment, respect diversity, and focus on

we strive to reduce greenhouse gases and industrial waste

Economical Valueon product development based on communication with ourimportant things to develop and supply the products withviewpoint of health like environmental conservations and

Mid Term Business Plan

2024 to 2026

Environment
which relate to your life closely. It is one of our mostGrowing Image to Achieve Long Term Vision

From

Social Issues to Solve in order for the Achievement of Long Term Vision

responsibilities and executive’s responsibilities and enhances

and trust.
TOLI CSR Report 2021

4

Message from President

CSR Activities

Environment

Society

Governance

History
Our company is established in 1919, as “TOYO Linoleum”, the first manufacturer oflinoleum in Japan. At that time, linoleum was a completely new flooring material, rapidly
spread with the modernization of architecture and expanding the usage into residential,
vessel, automobile and such.
After WWII, following the rise of petrochemical industry, we promoted the developmentof flooring using vinyl, and expand the business to carpet market, which is fabric flooring.
This era is indeed our origin to establish our base as “total flooring manufacturer”, mainly
on vinyl sheet, vinyl tile, broadloom carpet, and carpet tile. We support people’s life fromthe foot. It is the era of “Creation”.

1919

～

Era ofPositioning of CSR Activities in the Mid-Term Management Plan

“Creation”

For the accomplishment of Long Term Vision <TOLI VISION
2030>, “SHINKA Plus ONE”, the 1st phase, has started since
FY2021. SHINKA Plus ONE consists of 5 core strategies and
11 activity themes, with specific execute plan in each initiative.
In this, “⑧ Integrate the resolution of social issues into

First production ofMade-in-Japan linoleum

business activities”, a theme to enhance CSR activity, is put

the effectiveness of each strategy from CSR perspective,
which is supervised by Management Strategy Headquarters.
Resolving social issues are not only implemented by specificdepartment itself but also alliance between departments

TOYO Linoleum established

1957

Expand the business into vinyl
flooring“Vinylart Tile” launched

1970

Contract carpet“Grace” launched

1982

Carpet Tile
“Grand Art GA-100” launched

1920

as key to relate to all core strategies. From FY2021, CSR
promotional department is newly established for reviewing

1919

Expand the business into
fabric flooring
Needle punch carpet “O.I.C.” launched

1967

First Made-in-Japan cushion floor“CF Sheet” launched

1972

which is more important. Each employee must have a senseof ownership regarding this. From such an idea, we havestarted the internal suggestion system named “+vo!ce (Plus1984

Voice)” since FY2021, that is to suggest how to contribute to～

the society.
We will continue to promote such initiatives as part of

Era of“Development”

CSR activities to consolidate the voices of each employee,such as “I want to make the company like this”, “We cancontribute to the society by this activity”, making the mostuse of our asset to the contribution to society.

Since our founding, we have set a footing as a total flooring manufacturer through thedevelopment of various technologies and products. And, with the slogan of “Total Interior”
for further expansion of business, we went into curtain and wall covering industries. Our
Group’s business activities started to evolve further, moving from a flat floor to a threedimensional and comprehensive dimension of interior.
Also as the design and function of vinyl flooring and carpet are highly evaluated, we
started to expand our business globally in this era. Products created with high technology
and design have won a lot of “Good Design Award”. In this era, we kept delivering newvalues through manufacturing, definitely it should be called the era of “Development”.

Mid Term Business Plan “SHINKA Plus ONE”

D: Enhancement ofcapabilities acrossthe Group⑧ Integrate theresolution of social
issues into businessactivities⑨ Strongly
promote digitalcommunication

E: Building a business basethat supports growth

5

TOLI CSR Report 2021

Expand the business into wall covering
Wallpaper “Vajradum” launched

1986

Release “TOLI Eco Spirit” toannounce how we are going tocoexist with the environment.

2000

TOLI (Shanghai) Corporation established,targeting the expansion of “Japan TOLI”
brand in Asia market.

2014“Hitoe Granza”, “Hitoe Fine”,
first Made-in-Japan high design
homogeneous vinyl sheet, launched.

2018

Achievement ofLong-Term Vision

A: Reinforcementof core business

B: Expanding the
growth ofpromising business① Strengthen“Manufacturing
ability”④ Expand global
business in terms of
quality and volume② Strengthen“Planning & Proposal
ability”⑤ Develop B-to-B(special sales)business③ Strengthen“Selling ability”⑥ Develop B-to-C
business⑩ Revitalize people and organizations⑪ Improve corporate value

C: Creation of a
fifth business⑦ Creation fromseed stage andcollaboration withothers.

Strengthening business-promotion power

A〜E: Key strategies①〜⑪: Activity Themes

2020

～

Era of1984

Expand the business into curtain“TOLI Curtain Vol.1” launched

1990
1991

Set new company logo
Company name changed to“TOLI Corporation”

2012

TOLI “NW series”, created the new standard
in flooring industry with no wax, launched2017

Achievement of the sales of 170 million m2 of“GA-100 series” at 35th year from launched.
(World highest level as a product)

2019

100th anniversary of TOLI

Been through many eras, we celebrated 100th anniversary in 2019, a major milestone.
We will keep contributing to the creation of the positive space and environment
through offering the products and solutions that match the era based on the legacy of
manufacturing in century history.

“Will”
2020
Set long term vision <TOLI VISION 2030>
Mid term management plan “SHINKA Plus ONE” started

For a new production base for global
strategy, joint project of Jiangsu Chang
Long started

2021

TOLI CSR Report 2021

6

Message from President

CSR Activities

Environment

Society

Governance

TOLI Group Business Introduction
Product Business
Product Business consists of 4 segments; “Vinyl Flooring”,“Carpet”, “Wall Covering”, and “Curtain”. We have been
supplying these products to comprehensive range ofbuildings such as residential, offices, healthcare, education,
hospitality and commercial facilities. Our Group’s expertises
are in “Marketing” and “Technological Development”, tocreate the design and function to match each lifestyle.
Expertise in “Production” to produce as above, andexpertise in “Proposal”, to grab clients’ needs appropriately.

Vinyl Flooring

Interior Wholesale and Installation Business
Sales of Product Business(Million JPY)

60,00040,00020,000

0
2016

2017

2018

2019

2020

(FY)

* Transactions between different segments are included

The interior wholesale and installation business is doing
supply and install for various types of interior materials
mainly TOLI’s, from each area’s sales office to the clients.
Many interior materials are completed with skills of
installers. Therefore, our Group’s expertise of “Installation”
plays a key role in this industry of Japan. In order tomaximize the value of interiors, our Group’s strength is its
integrated business model from manufacturing to sales
and installation.

Sales of Interior Wholesale and Installation Business(Million JPY)

60,00040,00020,000
0

2016

2017

2018

2019

2020

(FY)

* Transactions between different segments are included

CarpetVinyl Flooring is used on the surface of floor in building. It is

Carpets are widely used from offices to accommodations.

one of the core building materials for daily life. We support

Carpet tile, proud with top market share in Japan, has manyvarious lifestyles from underfoot by making full use of theyears of performance with trusted quality and high design. It

functionality and design which is unique to vinyl flooring.

can be used to decorate various type of interior spaces.

Image of design proposal using sample books

Installation of carpet tile

Job references
Welfare complex facility “Kobushi-en” (Completion 2021)

Supply Chain and Group Organization
Promotional activities and understanding the market’s needs

Curtain is the key to create beautiful and comfortable space.

area with tons of design. Also, it has multi functions such as

Our curtains are sewed in our own factory from scratch andanti-stain, anti-bacterial, and antiviral. It can contribute tocustom made to fit customers’ daily life usage.

create safe environment.

CarpetVinyl Flooring

Wall Covering

CurtainDistributors except TOLI Group
Group sales and installationcompanies

Group Manufacturing Company
Vinyl Flooring

CarpetWall Covering

Curtain

LIC

KIRONY

Manufacturing Vinyl Flooring

Hiroka TOLI Floor
Jiangsu Chang Long Decorative Material Technical*

Hokkaido TOLI Corporation* Equity-method affiliate

Carpet Manufacturing
Shiga TOLI
Gifu TOLI

Production of WallCovering
Santen TOLI

Curtain Planning and
SewingTOLI Interior Planning

Stock management,
Logistic

TOLI Warehouse andDistribution Company

Techno Kamei Corporation

TOLI (Shanghai) Corporation

Interior Wholesale andInstallation Business

Other related business TOLI OFUROKE
Vinyl Wall Covering

7

TOLI CSR Report 2021

Wallpaper

Curtains for residential

Curtains for commercial/healthcare facilities

End user

Wall covering performs to create comfortable and spacious

Manufacture

Vinyl Flooring

Product Business

Online shops,
Retailers

CurtainPlanning and Development

Architect, Design Company

Broadloom Carpet

Construction Company,
General Contractor

Wall Covering

Carpet Tile

Interior Contractors,
Distributors

Vinyl Sheet

Raw Material Supplier

Vinyl Tile

Interior-related products

TOLI Products
TOLI Products +Other Interior-related Products
Communication with clientsTOLI CSR Report 2021

8

Message from President

CSR Activities

Environment

Society

Governance

Activities for CSR
Details of CSR Initiatives

Approach to CSR
We regard “trust” with our various stakeholders, which has been built over a century of history, as the mostimportant asset of the company. We are promoting social responsibility initiatives such as compliance,
governance, global environmental conservation, and quality control.
In particular, as a responsibility of a manufacturing company, we aim to contribute to the creation of positive
space and environment for people in the world by refining a variety of technologies that contribute to society,including the reduction of environmental impact, and promoting business activities based on reliable world-classquality and technology.
We will continue to strive to be a company trusted by all stakeholders, working on initiatives towards“Integrating solving social issues and business activities” and contributing to the creation of a society capable ofsustainable development.

ESG

Environment

CSR Policy

GlobalEnvironment

CSR Policy
Human
Rights

We aim to contribute to the developmentof society by promoting more voluntary
activities towards the goal of achieving abetter society.

GlobalEnvironment

Recognizing that global environmental conservation is an
important issue for all human beings, we will work to
reduce the environmental impact of our businessactivities and aim to contribute to a sustainable society.
Employment
and Labor

SocialContribution

Human
RightsRecognizing the importance of corporate ethics, we
aim to achieve sound and highly transparent corporate
management by actively promoting the creation ofsystems to ensure the effectiveness of governance.

Corporate
Governance

Recognizing the importance of all
human rights, we practice respect forhuman rights in our business activities.

Business
Activities

Society

Employment
and Labor

Quality

Quality
We will promote manufacturing fromthe customer’s perspective based onreliable quality and technology, and aim
to provide safe and secure products
and services.

Business
Activities

We aim to create and secure jobs andcreate a safe and pleasant working
environment.

We will promote fair and equal businessactivities and aim to build better
relationships of trust with all stakeholders.

SocialContribution

Relevant Important Issues

Our Major Initiatives

Promoting Reduction of Industrial
Waste, Resource Conservation/
Promotion of Recycling● Development and supplying of eco-friendly products
and services● Promoting Recycling in Business Activities● Reduction of Industrial Waste in Business Activities● Expand recycling of municipal waste using (Japan’s)
wide-area certification system

Promote Reduction of Greenhouse
Gas Emissions and Energy Saving● Development and supplying of eco-friendly products
and services● Promote reduction of greenhouse gas emissions andenergy saving throughout the supply chain

Corporate Activities Considering
Safety and Security● Consideration for the indoor air environment● Promoting Environmental Globalization

Promoting Diversity Management● Retaining foreign employees and creation of
employment for people with disabilities● Active promotion of female managers● Creating an environment where women can also play
an active role

Promoting Work-Life Balance● Set flexible work system

Promoting Health Management
and Improving the Working
Environment● Supporting employees’ mental and physical health● Reducing long working hours● Regular meetings of the safety and health committee
and the reduction of workers’ accidents

Well-planned Training Programs● Development of a voluntary educational environment● Promoting global education● Launch of cross-organizational “NexT Project”

Protection and Utilization ofIntellectual Property Rights● Implementation of the employee invention system

Compliance with Fair Transactions● Implementation of (Japan’s) Antimonopoly Act training

Strengthen Supply Chain● Strengthen communication with suppliers andsubcontractors● In-house production of solution nylon yarn

Upgrading Quality Assurance
Systems● Quality assurance system● Design/spec review and quality committee● Prevention of fraud and tampering

Enhance Customer Satisfaction
Level● Establishment of customer call center

Providing and Disclosing
Appropriate Information● Technical data committee● Environment and safety committee

Contributing to the Promotionof Arts, Culture, Sports andEducation● Preservation and inheritance of historical buildings● Sponsorship of artistic and cultural activities andproduct development● Promotion of sports and product development

Contribution to Industry
Development and Promotion● Revitalization of the industry through scholarshipsupport program for installers● Strengthen initiatives for industry groups

Supporting and Participating in
Local Communities● Implementation of internships and regional
employment

Strengthening Sound Governance● Set basic approach to corporate governance● Analyse and evaluate the effectiveness of the boardof directors

Thorough Compliance● Set and disseminate code of conduct, etc.
● Establishment and operation of whistleblowing hotline

Related SDGs

CSR Promotion System
The CSR Committee, chaired by the President, has been established with the aim of improving the driving force of CSR activities.
In addition, the CSR Executive Committee, which composed of managers in charge of business operations (Managing Executive
Officers of the Sales Division, Business Divisions, and Administrative Divisions), has been established as a subordinate organization
to establish a system for promoting CSR management.
9

TOLI CSR Report 2021

GovernanceCorporate
Governance

TOLI CSR Report 2021

10

Environment
CSR Policy - Global Environment -Message from President

Recognizing that global environmental conservation is an important issue
for all human beings, we will work to reduce the environmental impact ofour business activities and aim to contribute to a sustainable society.

● Promoting Reduction of Industrial Waste, Resource

CSR Activities

Environment

Society

Governance

Promoting Reduction of Industrial Waste, Resource Conservation and Recycling
To realize a recycling-oriented society, we are promoting initiatives to reduce the amount of waste itself throughGroup recycling internally and efforts to recycle and commercialize the municipal waste of our own products. We
are also actively working to develop products with longer usage.

Conservation/Promotion of Recycling● Promote Reduction of Greenhouse Gas Emissions andEnergy Saving● Corporate Activities Considering Safety and Security

Environmental Activities Guidelines

Promoting Recycling in Business Activities

1.	We will actively engage in products and services which are eco-friendly designed, safe andsecure to use.
2.	We will continuously strive to conserve energy, resources, and recycle.
3.	We will comply with environmental laws and regulations and fulfill our corporate social
responsibilities.
4.	We will set environmental targets and strive to utilize the environmental management system
and achieve targets.
5.	We will regularly disclose our environmental policy, environmental activities guidelines, and theresults of our initiatives.

Total amount of disposal and rate of recycling

Recycling Rate

We are focusing on returning scrap materials generated at
the time of production and defect products to raw materials
again. In FY2020, the total amount of disposal was 19.5

FY2020

FY2023
Target:85or％more

75.3％

By FY2030
Target:90or％more* Ratio of intragroup recycling + valuable recycling in total disposal

thousand tons, and the recycling rate was 75.3%.
The total amount of disposal decreased from FY2019 due toImportant Subjects

Main Initiatives

Related SDGs

● Development and Supplying of Eco-friendly Products and Services●

Promoting Reduction ofIndustrial Waste, Resource
Conservation/Promotion of
Recycling●●

improved production efficiency and an increase in the rate ofAmount of Industrial Waste

returned scrap materials in factories.

FY2020We are actively promoting intragroup recycling and other

Maintain and expand products compliant with (Japan’s) the Green Purchasing Law
and products certified under the Eco-Mark
Expand the products using recycled contents
Work on “low maintenance”

measures to achieve a recycling rate of 85% or more by theend of FY2023.

● Reduction of Industrial Waste in Business Activities

●

●

＋

(Thousand tons)

24● Development and Supplying of Eco-friendly Products and Services●

Enhancement of extended usage (maintaining aesthetics, high durability) products
Product weight reduction
Development of easy installation products and improve the awarenessTotal disposal

Recycling rate

（%）
100

22

90

20

80

18

70

16

60

14

50

● Promote Reduction of Greenhouse Gas Emissions and Energy Saving

Throughout the Supply Chain● Consideration for the Indoor Air Environment●●

Manufacturing with safer raw materials
Develop and launch the products with higher consideration to the indoor air
environment(Provision of products that conform to Japan’s 4VOC and that take into accountchemicals specified in Japan’s MHLW guidelines)● Promoting Environmental Globalization●

Compliance with global environmental regulations and certifications (e.g., ISO14001,
LEED, Floor Score, CRI Green Label Plus, Japan’s Green Purchasing Law, Ecomark)12

Environmental Management Promotion System
Our carpet-production departments

Environmental Management Supervising Representative

standard for environmental management

Environmental ISO Promotion Committee
CS Environment Division

ISO14001 certified

Total weight of disposal* Total of recycled materials in TOLI Group,
valuable recycled materials, disposal forrecycle, and waste

Recycled
materials in TOLIGroup

Amount of waste returned to the manufacturing
process within TOLI Group

Valuable recycled Among wasted materials, those sold asmaterials
valuable resources

Parties involved

Headquarters, Itami factory, Atsugi factory,
Hiroka TOLI Floor, Shiga TOLI,
Shiga TOLI Itami Office, Gifu TOLI, Santen TOLI,TOLI OFUROKE, TOLI Interior Planning,
TOLI Warehouse and Distribution Company

2016

2017

2018

2019

2020

(FY)

* ■ Data of TOLI Warehouse and Distribution Company is included from FY2019

Amount of reduced industrial waste

Introduction of a carpet tile new recycling plant

Reduce up to

2,300 tons/year

plant at Shiga TOLI, our main carpet production base, andOther Office EMR

Osaka Office EMRTokyo Office EMR

Flooring Production
and Technical
Department EMR

Global Department
EMR

Carpet Production andTechnical Department
EMR

Wall Covering
Department EMR

Atsugi Office EMR

Itami Office EMRTOLI Warehouseand Distribution
Company

Curtain Department
EMR

ISO 14001

Logistic
Department
EMR

reduce environmental impact.

Organization/
Officedepartment is promoting initiatives to60％

We completed the introduction of carpet tile new recycling

Environmental Measures Committee

environmental management system
headed by top management, each

* Compared to FY201940％

Total amount ofdisposal

Top Management

systems) certification. Under an* Compared to FY2019

40
2015

have ISO14001 (an international

FY2030Target: Reduce
more thanRecord of total disposal and recycling rate

Certification System

Corporate Activities
Considering Safety andSecurity

thousand tons

● Promoting Recycling in Business Activities● Expand Recycling of Municipal Waste Using (Japan’s) Wide-Area

Promote Reduction ofGreenhouse Gas Emissions
and Energy Saving

19.5

FY2023
Target: Reduce
more thanbegan full-scale operations in May 2021.
“New Carpet Tile Recycling Plant” can process usedcarpet tiles into recycled resources (recycled chips) without
separating the surface layer (surface fiber layer) from backing
layer (PVC resin layer) of carpet tile. Through the recent newSales Offices

Sales Offices

Osaka Management Office

Sales Offices

Tokyo Management Office

OthersHiroka TOLI Floor

OthersGifu TOLI

Shiga TOLI

Shiga TOLI Itami Office

OthersSanten TOLITOLI Interior Planning
Atsugi Sewing Factory

TOLI OFUROKE Atsugi
Make-up Center

Atsugi Factory

Itami Factory

Administrative Departments

Kanto Logistic Center（認証範囲）https://www.jtccm.or.jp/

TOLI’s carpet production
departments have
ISO14001 certification.
Scope: Production of carpet

Chuo Logistic Center

EMCA
RE 0707

recycled chips and recycled as part of the backing layer of
Kansai Logistic Center

JTCCM

Department/
Related Companies

recycling technology, carpet tile waste is processed into

(Note) EMR: Environmental Management Representative

11

TOLI CSR Report 2021

carpet tile, contributing to an improvement in the recycling
rate and a reduction in industrial waste emissions (up to
2,300 tons/year).
In the future, we aim to achieve zero emission at ShigaTOLI and Gifu TOLI and will also work to expand therecycling of used carpet tiles.

Scraps
端材
・余材

Recycled
chip
再生資源（リサイクルチップ）

Carpet Tileト
タイルカーペッTOLI CSR Report 2021

12

Environment

Message from President

Development and Supplying of Eco-friendly Products and Services

CSR Activities

Environment

Society

Governance

Promote Reduction of Greenhouse Gas Emissions and Energy Saving

Longer product usage by low maintenance and maintain aesthetics
Wax maintenance of vinyl flooring requires regular wax coating and stripping, but the NW/NW-EX Series does not require wax

We are promoting effective business activities by setting specific targets for reducing greenhouse gas emissions
in order to respond to global climate change risks.

maintenance because it is difficult to get stained and even stained, it can be easily removed. By using these series, it reduces theamount of waste liquid generated by wax maintenance, and also reduces the power consumption required for wax maintenance.
【Products】

preventive
daily
Beautiful appearance can be kept just by measures and maintenance !
Periodical and intensive maintenanceis not required.
Even without periodical maintenance,
the floor can be kept clean for long.
Cleaning on an
yearly basis
e.g. seasonal cleaning,
removal of wax（

Preventive
measures

Preventive measures by using
entrance mats to prevent sands anddusts from coming inside.

Prevent sands anddusts fromcoming inside.

） Special

Vinyl Tile
⃝Looselay Tile LL Free 40NW-EX⃝Looselay Tile LL Free 50NW-EX⃝Cigahard Plus NW⃝LL50CRNW⃝E-Clean NW-EX

cleaning

Vinyl Sheet

The maintenance by wax
application can be alsodone on NW series. It will
not cause any quality
issue.

Daily
Cleaning⃝Nonwaxleum NW ⃝Hospileum NW⃝Mature NW/Mature NW Luminous⃝SF Floor NW⃝Floorleum Premium NW series⃝Floorleum Plain NW⃝Floorleum Marble NW⃝NS Real Design NW⃝Deodorant NS Toware NW/Caresafe NW⃝HITOE Granza/HITOE Fine
⃝Arena Fit ⃝CF Sheet P NW

Prevent stains anddust fromaccumulating

Clear the stains thatare usually difficult
to remove

Periodical
cleaning

NW/NW-EX series

Removeaccumulated
stainsdoes not require
Periodical andSpecial cleaning

Cleaning to remove
stains and dusts
caused by daily usage

Cleaning on a monthly basis
e.g. maintenance with wax application
using a professional equipment（

NW-EX series will repel
wax coating. For wax
application, designatedsurface treatment should
be prepared in advance.

）

Expansion of products using recycled materials

Percentage of recycled materials used

We are promoting the reuse of waste to reduce industrial waste. We contribute

In FY 2020, recycled materials accounted

to the reduction of industrial waste by establishing a manufacturing technology

for 30% of the Group’s total PVC purchasingthat reuses vinyl resins from used PVC in agricultural greenhouse as a part ofvolume (12% for PVC resins from used

raw materials and using them at a certain rate.

agricultural Greenhouse PVC and 18% for
PVC from other recycled materials). Our Group

Agricultural Greenhouse PVC used in house cultivation

is promoting the use of recycled materials
and working to create a sustainable recycling-

In case of disposal...
Becomes an industrial
waste for burning or
landfill.

Not dispose but recycle

oriented society.
PVC: Percentage of recycled materials used
Our Group purchases asrecycled PVC resins.

Reused as recycledmaterial to produce vinyl
sheet and tile in TOLIGroup’s factory.
Many of the scrap
materials generated
during production are
not disposed, but arerecycled as materials
for products in TOLI orGroup’s factory.

Promoting Greenhouse Gas Emissions Reduction and Energy Conservation throughout theSupply Chain
In addition to grasping CO2 emissions from business activities(Scope 1 and 2), our Group has been working since FY2020
to understand emissions in the supply chain (Scope 3),
including the procurement of raw materials and the disposal of
products. In FY2020, CO2 emissions for Scopes 1 and 2 wereapproximately 41,000t-CO2, and those for the entire supply
chain (Scope 1-3 combined) was 681,000t-CO2. Among them,emissions of weight for category 1 (purchased products andservices) account for about 75% of the total.
In order to realize a carbon neutral society, our Group has
set a target to reduce 30% of CO2 emissions from Scope 1 and
2, by FY2030, compared to FY2020. This is linked to Japanese
government’s target that is to reduce greenhouse gas emissions
46% in FY2030, compared to FY2013.
We have been reviewing manufacturing processes, transportand delivery, introducing high-efficiency equipment, reducing
products’ weight, and converting lighting to LED at each working
place. We will also actively work to convert to renewable energy.
We are also working to reduce CO2 emissions (Scope 3) in the
supply chain by using a carpet tile recycling plant to achieve zerowastage, and by optimization such as recycling and/or in-houseproduction of raw materials with high impact to environment.
By working on them, we expect to reduce CO2 emissions byapproximately 20,000t-CO2 (as of October 2021).
We will continue to contribute to the creation of a recyclingoriented society by further utilizing recycled raw materials andreducing waste, while promoting the reduction of CO2 emissions
throughout the Group.
TOLI Group CO2 Emissions (Scope 1: Fuel-related)

PVC from used PVC
in agricultural greenhouse

12%

PVC from
recycled
material

PVC(Virgin material)

70%

18%

April 2020▼

Scope 3 (Others)

2,000t-CO₂ 9%

Atsugi factory

Approx.
23,000

Scope 3, category 5(Business waste)

3,000t-CO₂ 0.5%9,600t-CO₂ 42%

t-CO₂

Scope 3, category 4, 9
(Delivery: upstream/
downstream of supply chain)

Scope 3, category 1(Purchased products, services)

512,000t-CO₂ 75%

3,000t-CO₂ 0.5%

* Calculated based on “Basic Guidelines for Calculating Greenhouse Gas Emissions

through Supply Chains (Version 2.3)” by the Ministry of the Environment and theMinistry of Economy, Trade and Industry in Japan.
* Cargo handling, storage, and transportation associated with inter-plant, warehousetransportation and shipments within the TOLI Group are calculated in Scope 1 and 2.
* Scope 3 is calculated through the portion of business activities related to products
sold by TOLI. Purchases and sales by other companies of TOLI Group’s sales
companies are not included in the calculation.

1,100t-CO₂ 6%
Shiga TOLI

1,700t-CO₂ 10%
Gifu TOLI

Itami factory

3,300t-CO₂ 14%

2,500t-CO₂ 11%

FY2020681,000

TOLI Group CO2 Emissions (Scope 2: Electricity-related)

Logistics (product delivery,
inter-group delivery)

t-CO₂

Scope 218,000t-CO₂ 3%

108,000t-CO₂ 16%

Logistics (warehousing,loading and unloading, etc.)

FY202023,000t-CO₂ 3%

Scope 3, category 12(End-of-Life Treatment of
Sold Products)

600t-CO₂ 3%

1,900t-CO₂ 8%

Scope 1

14,000t-CO₂ 2%

Gifu TOLI

Shiga TOLI Itami Office(compared to FY2020)TOLI Group CO2 Emissions (scope 1 - 3)

Others 1,600t-CO₂ 7%

2,100t-CO₂ 9%

Used for many years in avariety of places, including
hospitals, schools, andoffices.

30％ reduction

Shiga TOLI Itami Office

Shiga TOLIMarch 2021

CO2 Emissions Reduction Targets (Scope 1 and 2)
By FY2030

1,700t-CO₂ 9%

Others 2,300t-CO₂ 13%
Atsugi factory

FY20205,400t-CO₂ 31%

Approx.
17,800t-CO₂Itami factory

3,100t-CO₂ 17%

Hiroka TOLI Floor

1,900t-CO₂ 11%* Scope1 and 2: Headquarters, sales offices, Itami factory, Atsugi factory, TOLI Warehouse and Distribution Company, and other Group companies.
* Cargo handling, storage, and transportation associated with inter-plant, warehouse transportation and shipments within the TOLI Group are calculated in Scope 1 and 2.

TOLI carpet tile recycling

Total CO2 Emissions in ManufacturingCollection

We collect used carpet tiles and process them into recycled chips
at designated recycling plants. By using the recycled chip into theUsed carpet tile

backing layer of carpet tiles, it will again be new carpet tiles.
It is also possible to recycle “recycled carpet tile” repeatedly.
We will contribute to the creation of a recycling-oriented
society through our own recycling system that utilizes the Group’s

Usetile carpet
recyclewide-area certification system (in Japan).

2015

Installation

13

TOLI CSR Report 2021

Recycled chip

Carpet tile

CO2 Emissions in Manufacturing (Output level)（t-CO2/1,000m2）
0.80
0.70
0.60
0.50
0.40
0.30
0.20
0.10
0.00

（× 1,000t-CO2）
40
35
30
25
20
15
10
5
0
2016

2017

2018

2019

2020

(FY)

* Parties involved: Itami factory, Atsugi factory, Hiroka TOLI Floor, Shiga TOLI, ShigaTOLI Itami Office, Gifu TOLI, Santen TOLI, TOLI OFUROKE, TOLI Interior Planning

2015

2016

2017

2018

2019

2020

(FY)

* Parties involved: Same as the left

CO 2 Emissions (Output level) = CO 2 emissions from fuel and electricity use /production volume

TOLI CSR Report 2021

14

Environment

Message from President

Development and Supplying of Eco-friendly Products and Services
Prolong the usage with antifouling function

By continuing to develop and launch products with longer usage,
the product lifecycle from installation to replacement will belonger. It contributes to the reduction of greenhouse gases as it isconserving resources and reducing waste.
Homogeneous vinyl sheet “HITOE Granza/HITOE Fine” hassingle-layer structure with a continuous pattern throughout
the layer. In addition to “No wax for the entire layer” for easy
maintenance,
Antibacterial
it has excellent
Highly durable antibacterial
durability with
UV-coating
Continuous
pattern throughout
high resistancethe layer
against abrasion
Non-directional
because of higher
Higher vinyl
patterncontent structure
vinyl contents.

TOLI’s nylon carpet tiles are water/oil-repellent by antifoulingtreatment. It repels water, oil and stain. Does not cause
stains if they are wiped off promptly. By maintaining theaesthetics of carpet tile over a long period of time with
antifouling function, we can conserve resources and reduce
waste.

Excellent resistanceagainst abrasion, easy
maintenance.

Cross section image

PVC

In addition to the conventional antifouling processusing fluorine resins, special Nano-processing “NANO
CLEAN” is added to achieve even better antifoulingperformance against soil stains.

Filler■ HITOE Granza / HITOE Fine

■Antifouling performance test
Before testing

Filler is less removed by walking and such. The performance ofresistance against abrasion and easy maintenance can be kept.

<Test method>
Use uncolored carpet tile. No-antifouling products, Fluorine-resin
finished products and NANO CLEAN finished products were
installed in a general office for five weeks, and the condition wascompared fairly by rotating the position every day.
* The test was carried out without cleaning. Better aesthetics can be
maintained by the adoption of the appropriate maintenance on theantifouling products by TOLI.

■ General homogeneous vinyl sheet

TOLI’santifoulingtreatment
No-antifouling
product

Filler is removed by walking and such. The performance of resistanceagainst abrasion and easy maintenance dropped.

Environment

Society

GovernanceCorporate Activities Considering Safety and Security

Longer product usage by high durability“HITOE Granza / HITOE Fine” Structural Diagram

CSR Activities

Fluorine-resin
finished product

NANO CLEAN
product(Excellent resistance against stain)

TOLI Offlocation system

In order to contribute to the creation of the positive space and environment for the people in the world, we havebeen working on providing safe products and services from the customer’s standpoint.

Consideration to the Indoor Air Environment
Focusing on safety, we have beendeveloping the products withconsideration to indoor air environmentand safety. In addition, we haveestablished an Environmental Safety
Committee and will strive to properly
manage chemical substances, as wellas comply with laws and regulations(such as Japan’s Chemical Substances
Control Law, Poisonous and Hygiene
Law, PRTR Law, and Labor Safety Law).

13 substances of indoor air pollution by the Ministry*1	
of Health, Labour and Welfare of JapanThe Ministry of Health, Labour and Welfare of Japan
has established guidelines for 13 VOCs (Volatile
Organic Compounds) that are highly volatile and highrisk for health.
F☆☆☆☆ (F-Four-Star)*2	
The revised Building Standards Law of Japan(enforced in July 2003) stipulates building materials
that emit formaldehyde, and restrictions have been
established based on the amount of emission.
TOLI’s products such as adhesive for flooring, wallcoverings, and adhesive for wall coverings (starchglue) are within the scope of this law. All comply with
F☆☆☆☆.

Consideration to the indoor air environment

Vinyl
Flooring

CarpetWallcovering

Curtain

Adhesive

Consideration to the safety● Fire retardant property (Fire Defense
Law of Japan)● Consideration for (13 substances of indoor air● Anti-slip function (JIS A 1454)
pollution by the Ministry of Health, Labour and●Anti-static property (JIS A 1454)
Welfare of Japan*1)● Consideration for people with visual● Enhancement of products with deodorant function
disabilities (vinyl tactile complied to JIS
T 9251, SG tile)● Consideration for indoor air pollution substances● Fire retardant property (Fire Defense(13 substances of indoor air pollution by the Ministry
Law of Japan)of Health, Labour and Welfare of Japan*1)● Anti-static property（JIS L 1021-16）● Response to the voluntary standards● Consideration for people with visual“FIF ☆☆☆☆” sent by Interior-fabrics Performancedisabilities (carpet tactile complied to
Evaluation Conference
JIS T 9251, SG carpet)● Enhancement of products with deodorant function● Consideration for indoor air pollution substances(13 substances of indoor air pollution by the
Ministry of Health, Labour and Welfare of Japan*1)● Fire retardant property (Building● Response to F☆☆☆☆*2Standards Law of Japan)● Enhancement of products with deodorant function● Compliance with SV standard (quality standard forwall covering products)● Consideration for indoor air pollution substances(13 substances of indoor air pollution by the
Ministry of Health, Labour and Welfare of Japan*1)● Fire retardant property (Fire Defense● Response to the voluntary standards
Law of Japan)“FIF ☆☆☆☆” sent by Interior-fabrics Performance
Evaluation Conference● Enhancement of products with deodorant function● Consideration for indoor air pollution substances● Set Safety Data Sheet (MSDS),(13 substances of indoor air pollution by the Ministrydisclose the information based on
of Health, Labour and Welfare of Japan*1)
GHS (Globally Harmonized System)● Response to F☆☆☆☆
● Storage of dangerous goods● Comply with “4VOC” standard, voluntary standard
appropriately (Fire Defense Law of Japan)
set by Japan adhesive industry association

Promoting Environmental Globalization
We are developing products that reduce the environmental impact from the viewpoint of energy saving, resourcesaving, and recycling. We are actively implementing environmental certification by third-party organizations andadjusting to develop compliant products.
Environmental Standard

Logo

OutlineMain Applicable Products

TOLI’s Offlocation system can work with normal maintenance for longer product usage by cleaning the stains of carpet tile
regularly that cannot be removed by daily maintenance.

1

Service scheme

4

Replacement andtransportation ofstained carpet tileby staff

Regular replacement/investigation
Report management information to
the client
Clients’ facilities

Collection

3

offlocation
systemTOLI Offlocation system has been
established since 1985, won GOOD DESIGNStore until next location
Managed by data-bank

AWARD 2008.

2

Make-up center

After completion of cleaning, dry

15

TOLI CSR Report 2021

You will be asked to purchase sparecarpet tiles for this service. Store thespare carpet tiles at make-up center.
Stained carpet tiles are washedby rotation. Our professional staff
will provide the integrated service.
Cleaning/Storage/Replacement are
repeated. That can maintain theaesthetic of whole floor, achieve
longer product usage and reducethe impact on environment.

CRI Green Label
Plus

The indoor environment certification system established by CRI (Carpet
Rug Institute) of United States. This certification will contribute to theacquisition of LEED Points.

FloorScore

The certification system for indoor air conditions jointly created by RFCI
Vinyl Flooring: Royal Wood, Royal Stone(Resilient Floor Covering Institute) and SCS (Scientific Certification
Floorleum Plain NW
System), a third-party certification organization of the United States. This
Loose Lay Tile LL Free 50NW-EX, etc.
certification will contribute to the acquisition of LEED Points.
Skirting/Adhesive: Soft Skirting, EAR600, etc.

The Law on
Promoting Green
Purchasing

Eco Mark

Fabric: Unified labeling logo for “products in compliance with the law on
promoting green purchasing”, established by the Interior Fabrics Industry
Revitalization Council in Japan. Requirement is; usage of either unused
fibers (wastage of yarn production), recycled fibers, recycled plastics,
and other recycled materials is 25% or more of the total weight of the
products. For curtains, if there is a collection and reuse system, required% is 10% or more.
Vinyl flooring: The logo is displayed on specified procurement items in
the law on promoting green purchasing, established by the Interior Floor
Manufacturers Association* in Japan.
The requirement is that the total weight of recycled vinyl material is 15%
or more based on the total weight of the product.
Eco Mark is reviewed and certified by the Japan Environmental Association.
The basic policy of law on promoting green purchasing calls for the use of
information on environmental labels by third-party organizations in importantmatters related to the promotion of procurement of environmentallyfriendly goods, etc. The products with this logo are recognized as having
little impact on the environment and helping to preserve the environment
throughout its entire products’ life cycle, from production to disposal.

Refer to page 30 for environmental accounting

Carpet Tile: GA-100 series

GA-3600 series, GX series

Carpet Tile: GA-100EM, GA-3600EM
GX-3800, GX-7900

Curtain: Some part from “Contract Curtain”

Vinyl Flooring: NS800, Matico V

Royal Wood, Royal Stone (Partially not applicable)
Loose Lay Tile LL Free 40NW-EX
LL Free 50NW-EX, etc.

Vinyl Flooring:

Royal Wood, Royal Stone (Partially not applicable)
Loose Lay Tile LL Free 50NW-EX, etc.
Carpet Tile: GA-100EM, GA-3600EM
Curtain: Some part from “Contract Curtain”* Interior Floor Manufacturing Association has merged with Interior Fabrics Association and become

Nippon Interior Association (NIF). Its activities have been taken over by plastic flooring department.

TOLI CSR Report 2021

16Society
CSR Policy - Human Rights -Message from President

CSR Activities

Environment

Society

Governance

Recognizing the importance of all human rights, we practice respect forhuman rights in our business activities.

● Promoting Diversity Management● Promoting Work-Life Balance

Promoting Diversity Management

Promoting Work-Life Balance

Diversity in the organization is the essential for responding flexibly to changes in the business environment. We
are working to promote diversity management so that the diversity in employees’ abilities and working styles
leads to growth.

In September 2019, “TOLI Work Style” basic policy was established, with the aim of promoting work styles
according to each workplace and job. We put the importance on flexible adaptation to different era and changeof work style. All of us will give thought to improvement of productivity and operational efficiency to achieve“TOLI Work Style”.

Retaining Foreign Employees and Creating Employment for People With Disabilities“TOLI Work Style” basic policy

Our Group set the important value as aiming to “evolve from global perspectives” (TOLI Group Value). We are working to recruitand retain foreign employees in order to proactively incorporate diverse human resources, values and foster a global mindset.
In addition, the creation of employment for people with disabilities is a corporate social mission, and we are positively working
to employ people with disabilities by actively participating in fairs sponsored by Hello Work (Japan’s employment service center)and accepting students for internship in collaboration with local special needs support schools.
Employee Interview

Personnel Department, Human Resource
Planning Group(Left) Yoshiko Kotera(Right) Ekarintrakul Kanthika

Promote the way of working valued on diversity
My younger colleague, Ms. Kanthika, positively suggest the business idea from a global
perspective. For example, she worked on increasing foreign language courses in ourcorrespondence course system. Also, she is progressively working on increasing the courses
to promote global standard such as SDGs.
It would be great to spread a corporate culture in which employees with various values
and perspectives actively share opinions and create better ideas, without being bound by
conventional methods.

Creating an Environment where Women can also Play an Active Role
Under “Career Development Program” launched in FY2018, weare promoting career development, such as appointing atypicalemployees as permanent employees in order to avoid recruitment
mismatches and motivate employees. Also we are working
actively to enhance the employment system, putting the priority on
employees’ life stages and value, such as “Career Development
Leave Program” that enables employees to apply for leave ofabsence to obtain difficult license or study abroad, and “Return toWork Program” that allows former employees (who had no choice
but to leave the company due to family reason) to come back.
In the action plan based on “Women’s Active Promotion Act (inJapan)”, we set a goal as “achieving and maintaining a 10% ratioof women in managerial positions”. In the future, we will continue
to improve the working environment for both men and women,enhance childcare leave systems and flexible work systems, andpromote the recruitment of people with an emphasis on humanity.
With the aim of fostering a corporate culture in which female
managers can be actively promoted in the future, we will work to
expand diversity by increasing the number of female managers infive years by 20% from FY2021.
17

TOLI CSR Report 2021

Number of Career Development
System users

FY2018FY2019FY202029

15

13* Non-consolidated* Total number to become permanent employee changing from temporary and parttime employee, from 1st April to 31st March next year.

1. Create an environment where all employees can work in good physical and mental health.
2. Aim to achieve both work-life balance and productivity improvement.
3. Make use of “the spirit of co-creation” by company and employees as the driving force.

Set Flexible Work System
We have the system to accumulate yearly paidleave which are not used within 2 years up to 100
days as “stock leave”.
This leave can be used for non-job-related
sickness or injury, leave for child care, nursing
care, or maternal care, and social contribution
leave for volunteer or PTA (Parent-TeacherAssociation) activities.
The return rate of female employees who
took maternity leave or childcare leave has been
maintained at 100% over the past 10 years. In
recent years, the number of male employees who
use stock leave and take childcare leave has beenon an increasing trend.
Since April 2021, we have started flex-timework system without core working hours and thereis flexibility on staggered working hours. We areenhancing the flexibility of working style.

Employees who tookchild care leave

Employees using
shorter working hours
system for child care

FY2018FY2019FY2020Male employees whose
spouse gave birth

18

40

35

Number of employee who
took child care leave among
above

0

0

6

Ratio of male employee who
took child care leave

―

―

17.1%

Female employee who gave
birth

8

3

5

Number of employee who
took child care leave among
above

8

3

5

Ratio of female employee who
took child care leave

100%

100%

100%

Male

0

1

1

Female15

1320* Non-consolidated
FY2019FY2020

FY2021

Number of female employees*1

245

241

258

New graduates/Mid-career female
recruits

26

19

24

Experience obtained from child care leave

Number of female managers

21

22

23

Ratio of female managers*2

9.8%

10.3%

11.0%

Ratio of female officers*3

5.0%

9.5%

13.0%

I took child care leave for a month as my wife had requested and to create a precedent for myyounger male colleagues. I seriously understand how hard was childcare as new born baby
could not understand any language. However, the time spent with my baby is irreplaceable.
I could apply my childcare leave thanks to the understanding of people around me suchas my superior and colleagues. I would like to capitalize on this experience to revitalize ourorganization, putting higher importance on “helping each other in work”, “balancing businessand private life” than before.

* Non-consolidated* As of the end of June, each FY* 1) Exclude loaned employees, part-time workers* 2) Percentage of female employees in managerial positions* 3) Percentage of women as directors, auditors, and executive officers.

Employee Interview

Technical and development
department
Carpet development group

Mamoru Anada

TOLI CSR Report 2021

18

Society

CSR Policy - Employment and Labor -Message from President

CSR Activities

Environment

Society

GovernanceWe aim to create and secure jobs and create a safe and pleasantworking environment.

Well-Planned Training Programs● Promoting Health Management and Improving theWorking Environment● Well-planned Training Programs

To realize “revitalization of human and organization”, it is necessary to improve the abilities of each employee
and the productivity of the organization. We systematically cultivate our employees in the belief that it isimportant to create an environment that responds to the diverse needs of employees who are motivated to grow.

Development of a Voluntary Educational Environment

Promoting Health Management and Improving the Working Environment
It is essential for company’s growth for its employees to be physically and mentally healthy. TOLI is aiming tocreate a workplace environment where employees can work safely and securely.

Supporting Employees Physically and Mentally
Since FY2016, we have had stress-check system to help employees understand their stress status and prevent mental healthproblems beforehand. The system has been organized for employees to consult doctor if they need based on the result ofstress-check. Also, the results of “Analysis of organization” are shared with the board members and used as a reference fororganizational management. “The overall health risk”, which is the risk of mental illness in workplace, has been lower than
(Japan’s) national average for 5 years.
In collaboration with TOLI Health Insurance Union, we have been conducting free uterine cancer tests (by mail), prostate tests,
colon cancer tests, H. pylori tests, and periodontal disease tests to detect diseases.
We also actively promote specific health guidance and support for quit smoking. In FY2020, we completely banned smoking in
the buildings of the Itami office and the TOLI Tokyo Building.

Reducing Long Working Hours
By using smart card to record working hours objectively andclearly, we comply with agreement for overtime work basedon Japan’s labor law and manage overtime work. In case wehave employees who unavoidably work long hours, Personnel
department ask his/her physical and mental health condition byemail or in writing. And his/her superior is assigned to respondto it such as advising to consult an occupational health doctor.
Through these daily initiatives, we have been steadily achieving
the target to “reduce overtime work by an average of 30 minutes
per day (10 hours per month) compared to FY2018 for all careertrack employees” by the end of FY2022.

Average Monthly Overtime Work Results and Targets for FY2018-2020(Hours)30

Overtime work/month (hours)
Permanent employees
All career-track employees(managers included)

20
10
0
2018

2019

2020

2022

(FY)

Based on our annual internal transfer application system, we strive forinteractive communication that conveys career plans through superior
to the company. In order to support such career plans, we havestarted “Self-apply learning system” since FY2021. This is focusing on
employees’ motivation to learn regardless of their jobs. The system ofvoluntarily selecting matches the needs of employees. Employees in
30s and 40s, in their prime age, actively use this system.
We also have “Correspondence course” which company supports
70% of tuition fee and “External training” which company supports
100% by application. We are focusing on improving the educational
environment that employees can learn by themselves for obtaining
public license and self-enrichment.

FY2018FY2019FY2020Total number ofcorrespondence course
participants

222

223

244

Number of employees
obtained public license

110

62

123

Number of awards forinventions and innovations

39

46

34

* Non-consolidated

Promoting Global Education
For quantitative and qualitative global businessexpansion, development of human resources which canwork globally is mandatory. For the purpose of learning
foreign language and having global mindset as base ofabove, we offer courses in English and Chinese, andpractice long-term training for two years. The targetof this training is to instill the awareness of “active
self-enrichment with high motivation” and “having a
sense of ownership regarding globalization and actively
working on it”. The goal is to start from individuals to
the team and ultimately throughout the company. In
FY2021, 2 technicians who completed Chinese course
moved to Overseas base. They are gaining a lot of goodexperiences.
Global training in 2017

* Non-consolidated* Overtime work = Overtime hours in working days + working hours in holidays

Regular Meetings of the Safety and Health Committee and the Reduction of Occupational Accidents
Our Group is committed to maintaining and improving theworkplace environment, placing top priority on ensuringsafety and hygiene. At the Itami office and Atsugi office, thesafety and health committee meets once a month to conduct
workplace inspections together with occupational health doctor
in an effort to eliminate accident factors.
“Near-miss incidents” = “events that did not result in
occupational accidents, but should be noted” are sharedwithin the company, which leads to the higher alert of each
employee and the development of an efficient and safe working
environment. In addition, we hold an annual slogan contest on
the theme of accident prevention, and by putting up the bestslogan around the workplaces, we are working to understandthe risks of occupational accidents.
Also, fire drills and AED regular seminars are held to promote
efforts to prevent occupational accidents.
19

TOLI CSR Report 2021

FY2021 Itami Office Safety Slogan

危ないぞ言える勇気と聞く心
みんなで作ろう ゼロ災職場

Don’t hesitate to say “it is dangerous” and don’t ignore will create zero accident workplace for all.

FY2021 Atsugi Office Safety Slogan

いつもの作業にひそむ危険
事前に予測で事故はなし

Cross-organizational Project “NexT project” Started
In FY2020, a cross-organizational project “NexT project”
started. It is open to all employees to apply and join.
The name of “NexT” means “Next TOLI”, to express“TOLI continue to advance for the next generation”.
The members of project discuss various type of thingsand suggest ideas to the management members. The
purpose is not only to discuss, but to make it happen.
Through the experience to have cross-organizational
communication and suggest to management members,
young employees are able to find new ideas and gain
growth opportunities.

Danger is always present. One cautiousness will prevent
one accident.
“NexT project” in 2020TOLI CSR Report 2021

20

Society

Message from President

CSR Policy - Business Activities -We will promote fair and equal business activities and aim to build better
relationships of trust with all stakeholders.

CSR Activities

Environment

Society

Governance

We will promote manufacturing from the customer’s perspective based on reliable
quality and technology, and aim to provide safe and secure products and services.

CSR Policy - Quality -● Protection and Utilization of Intellectual Property Rights● Upgrading Quality Assurance Systems● Compliance with Fair Transactions● Enhance Customer Satisfaction Level● Strengthen Supply Chain● Providing and Disclosing Appropriate Information

Quality Actions Guidelines

Protection and Utilization of Intellectual Property Rights
We are actively working to acquire patents, design rights, trademarks, and other rights to protect intellectual
property rights. In addition, we are working to revitalize the creation of ideas for employees through the employees’
invention program and to understand the importance of intellectual properties through in-house education.

President’s policy
Look towards future, connect the evolution with “tomorrow’s growth”.
Senior GM of business activities headquarters’ policy
Aim to maximize customer satisfaction by continuing to produce high-quality, high-value-added products.
Senior GM of sales headquarters’ policy
Gain customers’ trust and satisfaction with fine-tuned services that continue to evolve.
Senior GM of administration headquarters’ policy
Make effort for the company by establishing a compliance system and cultivating human resources.

Compliance with Fair Transactions

In our code of conduct, it is clearly mentioned that “we do fair, transparent, free competition and appropriate transaction”. For(Japan’s) Antimonopoly Act and the Subcontracting Act, which are particularly important laws and regulations related totransactions, we hold annual training sessions on the Antimonopoly Act by attorneys specializing in the Act for officers andexecutives. We promote fair business activities throughout the company by continuously striving to raise awareness among
officers and employees toward legal compliance.

Upgrading Quality Assurance Systems
Quality Assurance Systems
Based on a quality assurance system that enables each division to cooperate in all processes, we will appropriately and speedilyreflect customer requests and opinions in our manufacturing and services.
RequestsThose needed to be trained⃝ Directors, auditors, executive officers⃝ Executives from sales, procurement, planning and other departments.
Past training themes

Antimonopoly training in 2021

2021	Outline of Subcontracting Regulations - Focusing on Construction
Industry Law Regulations
2020	Trends in antimonopoly laws and regulations in recent years andpoints to be noted in corporate confidentiality management
2019	Trends in antimonopoly laws and regulations in recent years andpoints to consider in labeling and premium regulations

Planning Division

Developing Division

Purchasing/Outsourcing
Division

Manufacturing Division

Sales DivisionMarketingExpansion of underlying
technologies

Supplier management

Process management

CR activities*

Grasp needs

Design/Develop

Purchasing specifications

Production

Sales

Plan

Set criteria of quality

Product specifications

Inspection

Design review

Quality control meeting

Quality control meeting

Prevention of fraud and tampering

Strengthening of monitoring functions

CS Environmental Department (QC management group)

Respond to customers Sales

Customers

Implementation of (Japan’s) Antimonopoly Act training* Stands for Corporate Relation Activities

Design Review/Quality Control Meeting
CLOSE UP

Compliance with various regulations in factory operations

We conduct our business activities in compliance with various regulations in order to ensure that our residents living near ourfactories can live with peace of mind. For example, we use a purification system for wastewater, detect oil film at the drain outlet, andremove mist and dust from exhaust gas. In addition, we regularly measure noise, drain, and emissions and report them to regulatory
authorities, and by complying with regulatory values, we aim to build a better relationship of trust with neighboring residents.

In product development, collaboration between product planning and manufacturing sites is important. In “Design Review”, theplanning and development divisions take leads. It reviews customer’s needs and requests on new products, also assesses thesuitability of required quality and supply stability. In addition, “Quality Control Meeting” is centered on factories, purchasing, andmanufacturing divisions to maintain and improve productivity, make improvements based on requests for existing products,
investigate the causes of quality complaints, examine and implement measures to prevent recurrence.

Prevention of Fraud and Tampering

Strengthen Supply Chain
Our policy is to deepen mutual trust and promote mutual prosperity through fair transactions and dialogue with business
partners. In particular, as for the procurement of raw materials, semi-finished products and such, based on our experience inlarge-scale disasters such as the Great East Japan Earthquake, we have held repeated discussions with suppliers to develop
products in anticipation of multiple purchasing and changes in specifications to substitute products, and to review inventory
levels for specific procurement items. Also, from the perspective of enhancing our manufacturing capabilities, we are continuing
to strengthen our entire supply chain to ensure stable supply to our customers as well as improve quality. For example, we arepromoting in-house Group production of nylon yarn for carpets as part of our efforts to take in upstream technologies.
21

TOLI CSR Report 2021

Our Group is striving to maintain and improve quality in QC department of factories. Also weset “QC management group” in CS environmental department which responds to the clients’voice in purpose of “prevention of fraud and tampering.
The QC management group constantly conducts activities to objectively check for any
problems or issues in processes related to quality from the customer’s perspective. Also,
by regular meeting with quality-related departments at Group factories and sharing opinions
QC Management Activities
deepens consensus of importance for prevention of fraud and tampering. In addition to our(Itami Factory Quality Control Section)
Group, we are working through our purchasing departments to encourage suppliers of raw
materials and other products to share measures to reduce quality risks. We will continue to implement such activities and strive tostrengthen our sincere manufacturing culture.
TOLI CSR Report 2021

22Society

Message from President

Enhance Customer Satisfaction Level

CLOSE UPIn order to design the lifestyle of our customers, we have been improving our way of manufacturing, based ontrusted quality and technology, from the customer’s standpoint.
Our Group has been keeping high (domestic) market share of vinyl flooring and carpet tile with more than
7,500 items of product, produced at 7 factories. As of the end of 2020, we are holding 108 patents and received
17 times for Good Design Award. Our products that respond to variety of needs and change according todifferent era are highly evaluated.
Planning, design, technology development, production, and sales are all handled by the Group. Opinions on
products and information on market trends received from customers are distributed every day to executives
and other relevant internal departments, and the planning and design department takes the lead in identifying
various needs and utilizing them in product development. In FY2020, as many as 5,066 customers’ feedbacks
were shared within the company by sales department.
With above activities, we aim to improve customer satisfaction furthermore by getting customers to evaluate
improved products and newly created products based on shared opinions.

CSR Activities

Environment

Society

Governance

Story of Product Development in 2020“TOLI Fabric Floor”, the carpet tile for residence, renewedin 2020. The persons in charge of planning, development,
and design reviewed the product from customer’s
standpoint.
“TOLI Fabric Floor” is a carpet tile which end users caninstall and replace easily. After the launch, as a result of
promoting the comfort of carpet tile to the society, thisproduct received Good Design Award in 2011, and Kid
Design Award in 2014.
For renewal of 2020, during the development period of
about 1.5 years, we discussed the color, pattern, texture,function, and overall line-up. “TOLI Fabric Floor” canbe flexible to seasons and customers’ life stages. This

Installation image

product, 14 patterns, 91 colors, is designed to be loved fora long time by every single household in diverse of lifestyle
due to COVID-19 pandemic.
By improving from customer’s standpoint, the productcan continue to achieve high customer satisfaction level.

To ensure the safe and secure use of our
products, we regularly conduct random
checks on pre-launch quality as well as onsale products. The findings of the survey
are shared within the company, leading
to research and development to improve
products to better ones and a production
system that can provide a stable supply ofhigh quality.

Providing and Disclosing Appropriate Information
Technical Data Committee

23

TOLI CSR Report 2021

Planning,
Development,
Production,
Procurement
Departments

Requests

CustomerKazuaki Yamazaki

Review
Suggestion(Output) Technical Data
(Input)Committee

Disclosure

CS Environmental
Department
Customer Call Center

Consistency andappropriateness review

Product Data

Since the customer call center’s response is mainly on telephone conversation, it is important to accurately
identify requests and make accurate proposals. We strive to make proposals based on the technicalknowledge we have cultivated as a manufacturer.
Previously, I got an inquiry from the customer who uses our carpet tile for residence, the customer
says that certain substance sticks to the product. The customer sent us this particular substance andinvestigation was conducted in manufacturing department. After I report the result of the investigation,
the customer kindly understand the situation and highly evaluate our investigation in manufacturing
department. After that, I receive the message that this customer is going to purchase TOLI’s carpet tile forthe next house. Such a warm message from customer motivates me, as a person in charge of customer
call center.

Flow Chart of Confirmation and Approval of Disclosed Information and Data

OutputEmployee Interview

Technical data committee deliberates whether information
disclosed and data are appropriate and easy for customers
to understand, such as whether the performance
evaluation tests for products are of test evaluation methodthat is closer to actual conditions. We take the opinionsof our customers seriously, and strive to provide easyto-understand expressions for our customers regarding
explanations of installation methods, maintenancemethods, and others.

Product Planning
Department

Customer Call Center, started its operation in 2003, receives a variety of inquiries such as question on choosing products andinstallation. In FY2020, averagely 35 inquiries per day were made. We strive to improve product development, quality improvement,
and customer satisfaction by sharing questions and opinions received from customers throughout the company on a daily basis.

Design Review

Establishment of Customer Call Center

Aiming to Earn “Trust” through Dialogue with Customers

Product development meeting

Input

Product development are processedby a couple of years basis, considering
market needs, required functions, andstructures of items, by mainly planningand development departments.
In this process, customer’s voice has
priority. We respond to actual needs andask opinion on strike-off samples. These
opinions are reflected in actual products.
We aim to achieve product developmentwith high satisfaction.

New Product
Planning,
Development

The sales department takes various
measures to identify the actual andpotential needs of customers and make
optimal proposals. The colors andtextures are the key of interior materials,
but it is difficult to have an image installedin spacious area. We are making effort tocreate the environment which enables ourcustomers to choose the products withsatisfaction, utilizing product samples andsimulation tool.

Environment and Safety Committee
To ensure that customers can use our products safely and securely, “Environment and Safety Committee” obtains and sharesinformation of chemical usage regulation not only in Japan but also overseas with related departments. That helps to respond toeach regulation, and we disclose these information appropriately in SDS (Safety Data Sheet), AIS (Article Information Sheet) andpromotional tools.
TOLI CSR Report 202124Society

CSR Policy - Social Contribution -Message from President

We aim to contribute to the development of society by promoting morevoluntary activities towards the goal of achieving a better society.

CSR Activities

Environment

Society

GovernanceContribution to Industry Development and Promotion
We are stepping up efforts to train installers and develop the industry in order for the sustainability and growthpotential of the construction interior industry.

● Contributing to the Promotion of Arts, Culture, Sports andEducation● Contribution to Industry Development and Promotion● Supporting and Participating in Local Communities

Revitalization of the Industry throughScholarship Support Program for Installers

Contributing to the Promotion of Arts, Culture, Sports and Education
It is necessary to contribute to arts, culture, sports, and education for the creation of affluent society. We actively
implement what we can do for society based on our business such as developing characteristic products.

Preservation and Inheritance of Historical Buildings
We believe that preserving and restoring buildings with cultural value andpassing to the next generation will contribute to create historical townscapethat can harmonize with community. In 2020, “Former Head Office Buildingof Toyo Linoleum (Present TOLI Interior History Museum)” was registeredas a registered tangible cultural property (“Toyo Linoleum is TOLI’s previousname). It is built in 1920, following year of TOLI’s establishment, designed
by Mr. Setsu Watanabe, who designed numerous famous architectural
works including important cultural properties. It is appointed as importantlandscape building of Itami city in 2007. In 2018, the restoration work
started before TOLI’s century anniversary and it was completed in 2019.
In order to disseminate this historical and cultural value, we show thismuseum to visitors of factory tour, mainly those related to construction
and designing. Also it is open to public comprehensively, as it is open
during local community events. We will keep promoting to preserve andencourage to pass down historical building to next generation.

In the construction industry, workers are getting aged andthe number of young workers are decreasing. The shortageof labor is a serious problem. In construction interiorindustry, shortage of labor is big issue. Targeting sustainable
development of the industry, a scholarship support programfor installers is established for members of “Toshinkai”, theassociation composed of TOLI’s distributors and interior
finishing contractors. Under this program, we provide
support to young installers who wish to join the company
recommended by members of “Toshinkai”, to help themdevelop their skills and maintain employment. Also, we holdtechnical training
session and factory
tour for young
installers. Since thisprogram started
in 2015, many
young installers
have joined theconstruction interiorindustry and play
active roles.
Technical Training Session in 2019

Strengthen Initiatives for Industry Groups
We believe it is important for the construction interior industry
to create new value by leveraging its individual feature andcreate an environment in which users can choose interior
products with satisfaction. Our Group is actively participating
in industry associations such as Japan Carpet Industry
Association and Japan Wall Coverings Association, which
are composed of manufacturers and dealers belonging to
the construction interior industry, and is working to support
industry associations and strengthen their dissemination
capabilities. Nippon Interior Association (NIF), chaired byour president, promotes the sustainable development of theindustry, including the unification of functional labeling marks
and the window
decoration planner
qualification system.
In addition, through“JAPAN TEX”, one of
the biggest interior
exhibition in Japan,
we disseminate theattractiveness ofinterior to a lot ofusers.
JAPAN TEX 2019, TOLI booth

TOLI Interior Museum

Supporting and Participating in Local Communities
Sponsorship of Artistic and Cultural Activities
and Product Development
We can contribute to the promotion of artistic and culturalactivities through our products. We have sponsored the
public performances of “The Matsuyama Ballet” which has
been active not only in Japan but also around the world.
“TM Floor” which is jointly developed with The Matsuyama
Ballet is used as finishing material of its stage. This productrecognized by ballet professionals are very well received forballet stage and schools
even after 30 years of its
launch.
We actively sponsor
various artistic activities
other than ballet, and wewill continue to contributeto people engaged in artsand culture activities in the
future.

Promotion of Sports and Product Development
We have been developing the product for volleyball courtwith the Japan Volleyball League Organization (hereinafter“V League”) since 2020. After test use at official games
and practice fields, “Connect Mat”, the new floor mat forvolleyball is specified in some games of “2021-22 V League”.
“Connect Mat” is the flooring material that can be installedsmoothly and reused. It is evaluated as the most appropriate
for volleyball game from quality perspective by managers andplayers of each team.
After the season, we will work on sustainable initiatives
such as recycling with V League and contribute to thepromotion of sports.

25

TOLI CSR Report 2021

Implementation of Internships and Regional Employment
Itami factory conducts internships for high schools and technical schools, mainly in Kansai region, with the aim of promoting
regional employment. In addition, as part of an internship program designed to provide work experience, we accept students fromnearby special needs schools and engage in cooperative activities to cultivate their interest in and attitude toward society.

Employee Interview

From Internship Acceptance to Regional Employment

Composite Logo
Public interest incorporated
foundation Matsuyama Ballet
The chief director and leader
Yoko Morishita

We actively participate in the communities in which we have operations and production bases nationwide, in
cooperation with local people and activities. Particularly in terms of educational support, we accept internships
and create local employment.

Ota-City General
Gymnasium (Ota-ku, Tokyo)

Q： Why did you choose TOLI for your internship?
A： I was a student of Itami Nishi High School, which isnear TOLI’s headquarters. I had some options for myinternship, but as TOLI is local company for me, so I
felt close and decided to select TOLI. In the internship,
I could feel I was in the part of manufacturing operation
through the experience to handle big production
equipment. That was very exciting.

Q： What was the key to join TOLI?
A： One of the biggest reason is the participation ofinternship. I wanted to join TOLI because through theexperience from my internship, I realized that this job
is close to my own interest. Also, it seemed that they
were so friendly and working in good atmosphere,that is another key to join TOLI.
Technical and Development
Department
Vinyl Floor Covering GroupIn charge of development

Fuya Okumura

TOLI CSR Report 2021

26

Governance

Message from President

CSR Policy - Corporate Governance -CSR Activities

Environment

Society

Governance

Recognizing the importance of corporate ethics, we aim to achieve soundand highly transparent corporate management by actively promoting thecreation of systems to ensure the effectiveness of governance.

Improving the Effectiveness of the Board of Directors● Strengthening Sound Governance● Thorough Compliance

To improve the functioning of the board of directors, we annually analyze and evaluate the effectiveness of the board of directors
as a whole, based on the opinions of outside officers. This is done by discussions at the board of directors’ meeting on thecomposition and operation of each director, including the self-evaluation of each individual director.

Principal evaluation indicators

Strengthening Sound Governance● Composition and number of people● Deliberation of proposals● Operational status of the nomination and compensation committee

To achieve sustainable growth and increase corporate value over the mid to long term, we regard the strengtheningof corporate governance as one of our most important management issues. We will work to build a management
organization that can simultaneously improve decision making speed of management and strengthen auditing andcontrol functions, with the aim of further improving the effectiveness of corporate governance.

● Provision of information to directors and auditors● Others (frequency of meetings, etc.)

Summary of Analysis and Evaluation Results● The board of directors is operated appropriately, including the above evaluation indicators.
● Challenges: “Promotion of understanding by outside directors of our business”● Initiatives for improvement: Enhancement of materials for the board of directors and thorough advance distribution,

Our Basic Approach to Corporate Governanceimplementation of advance briefings to outside directors and auditors as necessary, pre-arrange time for the purpose of priordeliberation of important matters, etc.

● We will respect the rights of our shareholders, ensure their equality, and strive to create an environment for appropriate exercise of rights.
● We will strive for appropriate cooperation with various stakeholders, including customers, employees, and local communities.
● We will strive to ensure management transparency through appropriate information disclosure (including non-financial information) anddialogue with shareholders.
● We will strive to improve the effectiveness of corporate governance by clarifying the roles and responsibilities of the board of directors

Thorough Complianceand auditors (the board of auditors) and utilizing highly independent outside directors and Audit & Supervisory Board Members.

Shareholders Meeting
Appointment/Dismissal

Board of Auditors

Appointment/Dismissal

Board of Directors

Audit

Appointment/Dismissal

Nomination and Compensation
Committee

Appointment/
Dismissal

In promoting our business activities, we must act in accordance with corporate ethics, including respecting
laws and regulations as well as social norms. In other words, it is essential to ensure thorough compliance. We
believe it is important to act in a manner that resonates with society in a legal and ethical manner.
To ensure thorough compliance, we have established a system to promote compliance, including theallocation of legal and internal audit departments. We are also continuing to raise awareness of complianceamong Group officers and employees by conducting compliance training and ensuring thorough understandingof TOLI Group Code of Conduct.

Representative Director
Management Meeting

Formulation and Dissemination of Code of Conduct and others
Executive Officers

Audit

Executive Officers
Meeting

Accounting
AuditorAs we fulfill our social responsibilities, we believe it is important for each of ouremployees to share our management philosophy, other concepts and values.

Audit Department

To ensure above, we have established the “TOLI Group Code of Behavior” andOperational Departments

the “TOLI Group Code of Conduct” as a basis for fostering a common sense ofvalues among officers and employees. We are working to disseminate the Code by

Board of Directors

The board of directors, which currently consistsof seven directors, makes decisions on importantmatters related to management and businessexecution, and supervises the status of businessexecution by directors or others. We have appointed
three independent outside directors (more than onethird of the composition of the Board of Directors)
to discuss management issues from a morediversified perspective and to ensure managementtransparency and objectivity.
Ratio of Internal Directors
to Outside Directors on
the Board of Directors

43%

57%

Internal directors: 4
Independent outside
directors: 3* As of the end of June 2021
27

TOLI CSR Report 2021

Male-Female Ratio of
Directors on the Board of
Directors

29%

Nomination and Compensation Committee

The nomination and compensation committee
currently consists of seven directors and auditors (onerepresentative director, one full-time auditor, threeoutside directors, and two outside auditors). As anadvisory body to the board of directors, the committee
deliberates on the appropriateness of matters related
to the nomination of officers and compensation, andreports to the board of directors. To ensure transparency
and objectivity, the committee is composed of a majority
of independent outside directors and auditors.
Ratio of Internal/Outside Directors
and Auditors in the Nomination
and Compensation Committee

29%
71%

Male: 5
Female: 2* As of the end of June 2021

71%

Representative director, full-time auditor: 1 each
Independent outside directors: 5* As of the end of June 2021

Board of Auditors

The Board of Auditors consists of four auditors(2 of them are outside auditors). In order
to contribute to the sound and sustainable
management of the company, it audits theexecution of duties by directors from an objective
and independent standpoint and deliberates on
auditing policies, investigations of the status of thecompany’s operations and assets, and other mattersrelated to the execution of duties by auditors.

requiring the distribution and carrying of pamphlets containing these charters, andby conducting annual readings.

Establishment and Operation of Whistleblowing Hotline

Management Meeting

The management meeting is composed ofrepresentative directors, directors (excluding
outside directors), and executive officers (managing
executive officer and higher positions). It conducts
preliminary discussions on important management
issues and important management policies ingeneral that are submitted to the shareholders
meeting and the board of directors.
In addition, the content of deliberations by the
management meeting is shared as appropriate
with the independent outside directors, and asnecessary, included as “deliberation matter” in theboard of directors meeting.

We have established and operate “TOLI Group Hotline (whistleblower hotline)” for the early detection and correction of violationsof laws and regulations.
In addition to the internal, an external (lawyer) contact point is set up to ensure the convenience of whistleblowers. Also,
the company’s internal rules and code of conduct stipulate the prohibition of confidentiality and disadvantageous handling of
information providers, and the company strives to protect whistleblowers by thoroughly implementing them.

TOLI CSR Report 2021

28

Financial Data (consolidated, in accordance with Japanese accounting standard)
Sales/Operating Profit
Sales

CLOSE UP

Total Asset/Net Asset
Total Asset

Operating Profit(Million JPY)

(Million JPY)

5,000

100,000

80,0004,000

80,00060,0003,000

60,00040,0002,000

40,000

1,000

Cost for Environmental Protection(Million JPY)

100,000

20,000Net Asset

2017

2018

2019

2020

Dividends

Breakdown (1)-2 Cost for Global Environment

2016

(FY)

2017

2018

2019

2020 (End of FY)(Million JPY)

45

800

30

10

15

0
2019

2020

30
25
5

33

14

18

233

0

284

0

6

0

5

0
0

27

0

28

Development of eco-friendly products

121

12

91

2

(5) Social Activities Cost

-

0

0

0

0

(6) Environmental Damage Recovery Cost

Pollution load levy

Energy Consumption(1,000GJ)

CO 2 Emission(1,000tons)

848.7
41.9

818.9
39.7

Total waste output*1(1,000tons)

21.5

19.8

(%)

70.3

74.0

1

0

1

0

586

178

549

32

Economic Benefits from Environmental Protection Activities(Unit: Million JPY)

Items

FY2020

FY2020calculation.

0
2018

Investment

424
122

Maintenance of environmental management system and green plants*1 Figures differ from those in the graph on page 12 because sales offices are included in

200

Cost

166
152

(4) Research and Development Cost

Recycling Rate*1

400

Investment

431
165

(3) Administrative Cost

FY2019600

Cost

Eco Mark usage fees

Effect for Environmental Protection(%)

FY2020(2) Upstream/downstream costs

Total

Dividends Payout Ratio

20

2017

Introduction and maintenance of energy saving equipment(1)-3 Cost for Resource Circulation Recycling, Waste Disposal, and Pre-Cutting

Research and Development Investment

30

2016

Main Activities(1)-1 Cost to Prevent from Pollution Introduction and maintenance of pollution prevention equipment

Dividends/Dividends Payout Ratio(JPY/share)

FY2019(1) Operational Area Cost

0
2016

(Unit: Million JPY)

Classification

20,0000

Environmental Accounting

Income*2
Cost Saving*3

72.4
235.8

Revenue from Sale of Valuables
Cost Saving of Energy

2.7

Cost Saving of Disposal

310.9

Total

*2 Estimated cost of disposing of valuables + actual income*3 Year-on-year differences in actual figures (+: Reduced expenses, -: Increased expenses)

Parties involved: Headquarters, Itami Factory, Atsugi Factory, Hiroka TOLI Floor, Shiga TOLI, Shiga TOLI Itami Office, Gifu TOLI, Santen TOLI, TOLI OFUROKE, TOLI Interior
Planning, TOLI Warehouse and Distribution Company
Calculation Reference: Environmental Accounting Guidelines 2005 (Ministry of the Environment of Japan)

0
2016

(FY)

2017

2018

2019

2020

(FY)

* Memorial dividends included in 2019 for company’s century anniversary
Capital Investment

EBITDA(Million JPY)

(Million JPY)

4,000

6,000

Corporate Data (as of 30th September 2021)

5,000

3,000

Trade Name

4,000

2,000

Founded

3,000
2,000

1,000

1,000

2016

2017

2018

2019

2020

2016

(FY)

2017

2018

2019

2020

(FY)

JPY6,855 million

Headquarters

5-125, Higashi-Arioka, Itami City,
Hyogo Prefecture, JapanTokyo Head
OfficeNon-financial Data (Non-Consolidated)
Number of employees
Number of employees(Number of people)

Average Years of Service/Turnover Rate

Number of Female Employees
Excluding Factory Workers (%) (%)(Years)

40

20

1,200

30

900

Average Years of Service: Male
Turnover rate

(Reference: Average number of years of service in the statistical survey:
13.8 years for male and 9.8 years for female)*1

15

(%)

Itami Factory
Atsugi Factory

Showroom

Sapporo, Tokyo, Nagoya, Osaka,
Okayama, Takamatsu, Fukuoka

8
6

Sales Office
20

600
300
0
2016

2017

2018

2019

2020

number of employees: excluding those loaned from the Group to outside, including those* Theloaned from outside to our Group.

10

10

5

0

0

(FY)

5.0%
2.1%

2.4%

2.1%

4

2.7%
2

2-10-4, Higashi-Shinbashi,
Minato-ku, Tokyo, Japan

Factories

Average Years of Service: Female

Directors/Auditors

1st December 1919

Paid-in
Capital00

TOLI Corporation

Sapporo, Sendai, Morioka,
Koriyama, Niigata, Nagano, Tokyo,
Omiya, Chiba, Mito, Hachioji,
Yokohama, Nagoya, Shizuoka,
Kanazawa, Osaka, Kyoto, Kobe,
Okayama, Hiroshima, Takamatsu,
Matsuyama, Fukuoka, Kitakyushu,
Kagoshima, Okinawa

Executive Officer

President and Representative Director

Motohiro Nagashima

Director and Senior Managing Executive Officer

Hirofumi Amano

Director and Managing Executive Officer

Hiroyasu Tokushima

Director and Managing Executive Officer

Masayuki Hashimoto

Outside Director

Eri Yokota

Outside Director

Chikako Sekine

Outside Director

Hidenobu Fujii

Full-time Auditor

Jun Suzuki

Full-time Auditor

Harunobu Ebe

Outside Auditor

Taku Morikawa

Outside Auditor

Teruo Watanuma

Managing Executive Officer

Youji Nakano

Managing Executive Officer

Yozo Araki

Managing Executive Officer

Atsushi Tachibana

Executive Officer

Toshiyuki Tabuchi

Executive Officer

Tsutomu Kudo

Executive Officer

Masatomo Nagamori

Executive Officer

Nobuko Sonoda

Executive Officer

Takaharu Kodama

0
2016

2017

2018

2019

2020

(FY)

years of service: Applicable to permanent employees at the end of FY.
* Average
rate: Applicable to permanent employees excluding mandatory retirement and loan to the* TurnoverGroup and transfers. Number of permanent employees leaving the company during the FY / Numberof permanent employees at the beginning of the FY x 100

29

TOLI CSR Report 2021

*1 Source: Ministry of Health (Japan), Labour and Welfare, Basic Survey of Wage Structure, data of 2019TOLI CSR Report 202130