Meiden Group CSRCONTENTS■ Social

002

CONTENTS

003

The President s Commitment

117

Product Responsibility

005

CSR from the Meiden Group Perspective

126

Supply Chain Management

010

The Approach to SDGs

134

Human Rights

137

Labor Practices152

HR Development

159

Occupational Safety and Healthand Health Management■ Environment
019

Promotion of Strategic Environmental Management026

Environmental Management

035

Product Initiatives(Expand businesses that contribute to the environment)

176

Community

182

Evaluations from External Bodies

039

Product Initiatives(Promote environmentally conscious design)

187

Editorial Policy

041

Product Initiatives(Examples of Meiden Green Product registered in ﬁscal 2019)190

GRI Standards Content Index

044

Product Initiatives(Management of chemical substances in products)

045

Climate Change

054

Prevention of Pollution and Eﬀective Utilization of Resources

057

Water Resources061

Biodiversity

068

Promotion of Environmental Communication

070

Foster Environmental Awareness

072

Overview of Environmental Impacts by Our Business Activities

073

Environmental Impact Data (Fiscal 2019) from theFour Main Manufacturing Sites (Domestic Manufacturing Sites)

077

Third-Party Veriﬁcation

078

Issue of Green Bonds■ Corporate Governance086

Corporate Governance

107

Risk Management

113

Compliance2

Meiden Group CSRHome Sustainability

The President’s Commitment

Sustainability

The President’s Commitment

The Meiden Group considers compliance, corporate governance, and risk management to be
the foundations of management. In particular, with respect to corporate governance, we areworking to further improve the management’s efficiency and fairness through initiatives that
contribute to the improved effectiveness of executive functions—based on the executive officer
system and the decision making and oversight functions of the board of directors—along withappropriate information disclosure to stakeholders, including shareholders, through Investor R
and other activities.
Furthermore, we will satisfy our social responsibilities by focusing on three key areas: theenvironment, society, and human resources.
First, to focus on the environment, we will strategically promote environmental management,
contribute to society from an environmental and energy perspective through our products andservices, and work to reduce the environmental impact of our business activities. Second, toaddress society, we will not only solve customer problems through our products and services,
but also provide the value needed by society as corporate citizens through active
communication with local communities.
Third, with regard to human resources, I feel that the Meiden Group’s growth is dependent on
the continued development of our employees. We are actively promoting human resource
policies to create an environment where people with various abilities can use their individual
abilities to work in a variety of ways.
As a manufacturer with a history spanning more than 120 years, we have created a variety oftechnologies, products, and services as well as investigated ways to contribute to society on adaily basis. The root of this has been our sense of purpose, the will to challenge ourselves tomeet the expectations of our customers and society, and our “passion for manufacturing
excellence.” Going forward we will steadily implement measures in line with the current businessenvironment to contribute to the realization of a prosperous future society and sustainablegrowth, while also improving corporate value. We appreciate and thank you for your continued
support.
The Meiden Group is working to take a “powerful step forward” in the Medium-termManagement Plan 2020 put into place during FY2018. During the “jump” period following thismedium-term management plan, we will actively invest and take measure of equipment,
personnel, research and development, and strengthen partnerships, while at the same time3

Meiden Group CSR

expanding our business and creating a balanced business structure. We aim to realize quality
growth by improving profit margins.
The strength of the Meiden Group, and the source of value creation, is a strong sense of
mission to support the social infrastructure that we have cultivated through long-term
relationships with customers, connections such as networks with customers and collaboration
within the group, and a power and mobility that responds quickly and flexibly to customer
requests and issues. Going forward, we aim to maximize corporate value by continuing todevelop each of these three strengths.
We will continue to actively challenge ourselves to create new technologies and new value, inorder to contribute to the realization of a more affluent and environmentally conscious society.
Representative Director and President
Takeshi Miida

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Meiden Group CSRHome Sustainability

CSR from the Meiden Group Perspective

Sustainability

CSR from the Meiden Group Perspective
The Meiden Group’s Approach to ESG

Since it was founded in 1897, the Meiden Group has provided a variety of technologies,
products, and services, with a focus on electrical equipment relating to social infrastructure,
and we have contributed to the sustainable development of society by dealing sincerely andbuilding relationships of trust with our customers.
In recent years, social issues such as deterioration of the global environment, increasing
economic inequality, and lessened well-being have come to the fore around the world, as aresult of prioritizing economic growth. In addition, the business environment in which thecompany operates and the needs of the world are rapidly changing due to the progress ofglobalization and digitalization, increasing population, urbanization, and aging infrastructure, etc.
Against this backdrop, we will work with our stakeholders to embrace the challenge of realizing
a safe and vibrant society where people are in harmony with nature, in order to pave the way
for a more affluent tomorrow, while continuing to value a sincere attitude to social contribution,
which is Meidensha’s DNA.

Relationships with Stakeholders“Society” in the phrase “a Meiden Group that is integral to society” is defined as all Meiden
Group stakeholders. To be integral to society, it is necessary to meet the diverse expectationsof various stakeholders and increase the satisfaction of all stakeholders as a whole.
We seek to learn what challenges we need to address by maintaining an interactive, two-way
communication with the Meiden Group’s stakeholders. We believe that recognizing issues andtaking various measures for improvement will lead to understanding and positive evaluations
from our stakeholders.
By actively disclosing not only financial information related to laws and regulations, but also
non-financial information on environmental and social aspects, we eliminate risks that could
lead to a loss of stakeholder trust. We will remain aware of the role expected of us and strive tofulfill that role.
The Meiden Group has adopted the President’s CSR Policy Statement for each employee topractice our social responsibility and corporate philosophy in their daily work. Departments incharge of specific CSR themes play a central role in forming the policy, taking into account thecurrent business environment, and CSR issues.

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Meiden Group CSRPresident’s CSR Policy Statement

The environment, society, and human resources are the three key issues for each employee to
put the Group’s corporate philosophy into practice. By taking on these three key issues withinitiatives built on the fundamental management elements of compliance, corporate
governance, and risk management, we fulfill our responsibility to our customers and otherstakeholders.

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Meiden Group CSR

Management Foundation of Our Business Activities
Compliance, Corporate Governance, Risk Management

By strengthening these building blocks of management foundation, we hope to further cultivate
the corporate culture necessary for CSR management.
We work for prompt, efficient business management that is fair and transparent, maintaining asystem to ensure proper work processes. Our efforts in compliance involve not only complying
with the law, but also with social norms and ethics. We also strive to inspect risk items anddevelop a risk management system in order to strengthen our response to those risks.

1. “Environment”—Promote strategic environmental management

We contribute to society through the offering of products and services for the environment
and energy. At the same time, we will work to reduce the environmental impact of our businessactivities.

2. “Society”—Provide values needed by society

We accept our responsibilities as good corporate citizens through many initiatives, including:resolution of customer issues; promotion of community involvement and proactive
communication; proper information disclosure at the correct time, etc.

3. “Human Resources”—Produce work that gives pride to our employees andcreates positive working environments

We will tackle these issues: create a positive working environment that brings out the best
potential and unique talents of each employee; promote better work-life balance; and develop
abundant and diverse talent, as human resources are precious to the Group.

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Meiden Group CSR

CSR Management Promotion Structure

The Meiden Group conducts activities under the ten CSR themes under the direction of the incharge of environmental and CSR initiatives. With each theme, we develop a concrete action
plan led by the department supervising that theme. Then, we actively pursue initiatives,
including cross-sectional committee activities, which advance the work on those themes. We
refer to ISO26000, the international standard on social responsibility, when we prepare ouraction plans.
The secretariat summarizes the plans and results for each theme we pursue, promotes
initiatives through the PDCA cycle, and raises CSR awareness in the Meiden Group as a whole.

Meiden Group Initiatives for Sustainable Development Goals(SDGs)At the UN Sustainable Development Summit in 2015, the world adopted common goals known
as the Sustainable Development Goals (SDGs)*. The SDGs are challenges the international
community is addressing over the 15 years from 2016 to 2030.
The targets of the SDGs are very compatible with the President’s CSR Policy Statement andbusiness activities of the Meiden Group. They include many areas where we can contribute to asolution with technologies and expertise we have cultivated over the years. Thus, to really learn
and take advantage of the opportunities and challenges presented by the SDGs, we laid out theeffects that our business activities have on the environment and society. This process
considered the entire value chain and issues specific to the countries where we do business. Iteven included any negative impacts of our business activities.
* Sustainable Development Goals (SDGs): Seventeen goals incorporated into the 2030 Agenda
for Sustainable Development adopted by world leaders at the United Nations Sustainable
Development Summit in September 2015. Based on these new goals—universally applied to all
nations–each nation will end all forms of poverty, combat inequality, and take steps to address
climate change while ensuring that no one is left behind over the next 15 years.

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Meiden Group CSR

External Support Initiatives●CDP*1●Children’s Rights and Business Principles*2※ *1 An initiative begun by a coalition of major institutional investors around the world. It callson the world’s enterprises to disclose their climate change strategies (risks and opportunities)
and their GHG emissions, among other information.
※ *2 These principles offer a comprehensive framework for understanding and working on theimpact that business activities have on children’s rights and happiness. They were presented by
Save the Children, the UN Global Compact, and UNICEF.

Group Membership Credentials●KEIDANREN (Japan Business Federation)●The Japan Electrical Manufacturers' Association (JEMA)●The Institute of Electrical Engineers of Japan (IEEJ)●Electric Technology Research Association●The Japan Electric Association●The Japan Society of Mechanical Engineers

9

Meiden Group CSRHome Sustainability

The Approach to SDGs

Sustainability

The Approach to SDGs
Meiden Group Initiatives for Sustainable Development Goals(SDGs)At the UN Sustainable Development Summit in 2015, the world adopted common goals known
as the Sustainable Development Goals (SDGs)*. The SDGs are challenges the international
community is addressing over the 15 years from 2016 to 2030.
The targets of the SDGs are very compatible with the President’s CSR Policy Statement andbusiness activities of the Meiden Group. They include many areas where we can contribute to asolution with technologies and expertise we have cultivated over the years. Thus, to really learn
and take advantage of the opportunities and challenges presented by the SDGs, we laid out theeffects that our business activities have on the environment and society. This process
considered the entire value chain and issues specific to the countries where we do business. Iteven included any negative impacts of our business activities.
The Meiden Group will continue to pursue manufacturing excellence that benefits society,create value, and help solve social issues that include those addressed by the SDGs.
Sustainable Development Goals (SDGs): Seventeen goals incorporated into the 2030 Agenda
for Sustainable Development adopted by world leaders at the United Nations Sustainable
Development Summit in September 2015. Based on these new goals—universally applied to all
nations–each nation will end all forms of poverty, combat inequality, and take steps to address
climate change while ensuring that no one is left behind over the next 15 years.

Status of SDG initiatives
Understanding of SDGs
FY2018• Organize impact areas in countries where
we conduct business and business activities• Arrange related initiatives in accordancewith each SDG• Conduct training for management

Identifying Priority Issues
FY2019• Consideration of the connections between
business activities and SDGs; establishingareas that contribute to the solution of social
issues through our business strategies

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Meiden Group CSR

Conducting Training for Management and e-Learning for Group
Employees

In fiscal 2018, we invited outside instructors to give seminars
about SDGs (sustainable Development Goals) for management. In
fiscal 2019, we conducted e-learning for all Meiden Group
employees (including directors and executive officers), for the
purpose of ensuring that all employees understand SDGs andpromoting the spread of environmental projects and newtechnology and new service proposals as the Company’s
Training for management
initiatives.
At e-Learning, we received instruction on topics such as “why we conducted in fiscal 2018
pay such close attention to SDGs,” “the need for businesses towork towards SDGs,” and “issues that the Meiden Group is facing
to achieve SDGs.” We are sharing ideas to link SDGs tomanagement and individual responsibilities through seminars ande-Learning, etc.

The Meiden Group’s Approach to SDGs

As a heavy electric equipment manufacturer supporting the future of social infrastructure, theevolution of industry, and achieving sustainable growth and development, the Meiden Group
contributes to the Seventeen goals of the SDGs through all business activities. Furthermore, inorder to continue contributing to the SDGs in the future, it is necessary to seriously address
the expectations of society and accurately grasp key social issues as important issues for thecompany. To do this, we have established areas that contribute to solving social issues throughbusiness strategies.
The Meiden Group will continue to actively challenge itself to create new technologies and newvalue, in order to contribute to the realization of a vibrant and comfortable future society.

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Meiden Group CSR

GoalsRelevance Major Business Activities Contributing to Solution★
・T&D business and railway system business in Southeast Asia
(Thailand, Indonesia, etc.): Through these businesses, we
contribute to the development of the rail and T&D industries,
increase access to railroads for the impoverished, and help build
resilience★★★
・Workplace safety and health: We actively work to prevent
workplace accidents and harm to health, for example by offering
hands-on safety experience training (to increase sensitivity tohazards) using VR technology within and beyond the Group・We promote management of chemical substances, including at
suppliers
・Automobile testing equipment: We contribute to the spread ofnext-generation automobiles such as electrified vehicles for the
global environment, safety measures, and ensuring freedom of
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Meiden Group CSR

★★

★★★

★★★

★★★

movement for all people
・Electric power/energy: We contribute to electric power supply
stability with, for example, cogeneration systems for medical
facilities
・Water treatment systems: We provide clean water with ourwater treatment plants and contribute to water pollution
prevention with our sewage treatment plants
・We create positive working environments through considerationof human rights and labor (including fair and equitable
employment and respect for diversity) and workforce training
・By donating school facilities (Thailand) and endowing courses(Thailand and India), we help create educational opportunities foryoung people
・We hold “manufacturing workshops” and science teachingsessions and support education with internships for university andtechnical college students
・We create positive working environments by considering humanrights and labor (including practicing fair employment, honoring
diversity, and giving training on human rights and diversity)
・We promote consideration for human rights and labor at
suppliers by practicing CSR procurement
・We contribute to safe water supplies by providing one-stop
service for water supply and wastewater infrastructure, fromequipment manufacturing to maintenance, inspection,
maintenance management, and operation management. Specificexamples include the substation equipment and monitoring andcontrol systems essential to water supply and wastewater
infrastructure, cloud services to support operation management,
and flat-sheet ceramic membranes with outstanding filtering
performance
・We help solve the variety of social challenges facing local
governments in Japan, such as population declines and aging
facilities, by developing public-private partnership projects andone-stop services in the water treatment business・We help ensure the stable supply of electric power by
manufacturing, marketing, and providing equipment for
emergency and non-emergency power generation, hydroelectric
power generation, and power transmission, conversion, anddistribution and by providing energy solution services such as
smart grids
・We help build a carbon-free society by manufacturing, selling,and supplying power generation systems for renewable energy
sources like solar power and small-to-medium size hydro power
・We contribute to the electrification of automobiles by
13

Meiden Group CSR

★★★

★★★

★★★

manufacturing and selling motors and inverters for electric
forklifts, PHEVs, and EVs
・We achieve energy conservation by providing energy-recovering
water treatment using anammox and community-based water
treatment systems (developing new aeration air flow rate control)
・We practice work style reform and make work more efficient byimplementing RPA*1
・We give locally-hired staff in Southeast Asia training inspecialized technologies like design, construction, andmaintenance (including quality control and safety management) toimprove comprehensive engineering and support infrastructures
around the world with high-quality engineering services
・We contribute to a stable supply of electric power bydeveloping, marketing, and providing energy solution services
such as smart grids
・With the online smart diagnostic service using IoT, we canprovide appropriate maintenance of social infrastructures and theprevention of serious failures such as power outages
・We help achieve leading-edge technology and contribute to thedevelopment of a prosperous society through technologicalinnovation in semiconductor and FPD manufacturing equipment
components (vacuum capacitors, industrial controllers, pulse
power supplies, etc.)
・We contribute to comfortable water treatment and stabilizationof industrial infrastructure with drainage solutions using methods
such as water treatment systems and flat-sheet ceramic
membranes
・We contribute to technological innovation in the automobile
industry, by developing and selling EV drive components, as wellas test devices for automobile research institutes, universities,
and manufacturers of automobiles and auto components
・We help increase industrial productivity and reduce laborburdens in all industries, including manufacturing, through laborsaving, space-saving, and efficiency improvements in factorytransport using automated guided vehicles (AGV).
・We contribute to technological innovation in the semiconductor,
film, and other industries, by establishing room-temperaturedeposition technology through OER technology*2 using pureozone
・We employ fair employment practices and respect diversity
・Aiming to realize respect for human rights, the Meiden Group
undertakes human rights awareness initiatives throughout theorganization
・We appoint local staff to management positions at overseas
affiliates
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Meiden Group CSR

★★★

★★★

★★★

・We communicate the principles of CSR (including human rights
and labor) and the Meiden Group’s CSR approach to our business
partners and conduct supplier evaluations
・We promote urban development and help to alleviate traffic
congestion through railroad projects such as KVMRT*3 in
Malaysia and MRT*4 in Singapore
・We contribute to the construction of transportation
infrastructure using overhead contact line inspection equipment
and feeder equipment for electric railways
・We prevent equipment breakdown by diagnosing the early signsof irregularities in large motors, generators, transformers, andswitchgears and make optimal equipment upgrades
・Our elevator hoisting machines and inverters for higher-risecities and barrier-free support (home elevators), and elevator ropetesters reduce inspection time and improve efficiency
・We help make communities resilient to disaster with mobile
power supply cars, building power generators, and otheremergency power generation equipment
・We provide sustainable, inexpensive, and good services forwaterworks through public-private partnerships
・We promote eco-friendly design by making products smaller
and more efficient, controlling chemical content, practicing life
cycle assessment (LCA), etc.
・・Through CSR procurement, we promote the management ofchemical substances, consideration for reducing environmental
impact, and response to conflict minerals issues at suppliers
・By implementing a range of initiatives to improve product andservice quality, we improve our development and design quality,
preventing defects, rework prevention, quality control technology
training, and more
・We provide 24-hour support of customer equipment operation(troubleshooting, responding to inquiries, remote monitoring
service)・We develop our workforce to support the provision of highquality products
・We help to build a carbon-free society through our renewableenergy-related business・We provide eco-friendly products andB39:G49
・We installed a solar power generation system at one of ourmajor manufacturing sites (Numazu Works)・Through CSR procurement, we promote the reduction of GHG
emissions at our suppliers
・We help build disaster prevention platforms for local
governments and support disaster prevention through our urban
flooding monitoring service (flash flood countermeasures using
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Meiden Group CSR

★★

★

★★

★★

manhole antennas)
・We promote the spread of renewable energy through the wind
power business of M WINDS Co., Ltd. (power generation, powersales, and maintenance)•We help prevent marine pollution with ceramic flat-sheet
membranes for advanced wastewater treatment
・Water treatment systems: We provide clean water with ourwater treatment plants and prevent water pollution with ourwastewater treatment plants•We conduct aquatic organism impact studies in rivers where
sewage treatment water is discharged
・We make effective use of the sludge generated at water
treatment plants
・We reduce the use of printing paper and ink by implementing
managed print services (e.g., increasing the number ofmultifunction printers)・Through consideration for human rights and labor (prohibiting
child labor, prohibiting practices such as corruption and bribery,and providing compliance training), we create a comfortable,
positive workplace
・We communicate the principles of CSR (including prohibitions
on child labor, corruption, bribery, and other acts) and the Meiden
Group’s CSR approach to our business partners and conduct
supplier evaluations
・We support the infrastructure development of developing
nations by delivering equipment through Official Development
Assistance (ODA)・We promote partnerships with local businesses in Southeast
Asia (T&D business, switchgear business, etc.)
・We expand public-private projects by building partnerships withother industry sectors in the water treatment field・We provide sustained water supply service that is both goodand inexpensive through public-private partnerships
・We contributed to the realization a safe and secure watersupply through comprehensive operations in waterworks byestablishing the Gunma Tobu Suido Kigyodan (an amalgamation ofseveral local water services in Eastern Gunma Prefecture)*1 RPA (robotic process automation): The use of robots to make work more efficient.
Programming robots to do white color work and other tasks that humans have always done
helps to automate typical, repetitive tasks. By teaching robots a set of rules, it is possible forthem to do work that includes decision-making based on certain standards. Software robots
are being used to automate typical PC operation without changing existing systems.
16

Meiden Group CSR

*2 OER technology: A proprietary Meiden technology that produces hydroxyl (OH) radicals atroom temperature by causing a reaction between high purity ozone and ethylene gas.
*3 KVMRT (Klang Valley Mass Rapid Transit): This urban transit system travels east to west for
51 km across the capital, Kuala Lumpur.
*4 Singapore MRT (Mass Rapid Transit) : Singapore's Mass Rapid Transport System

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Meiden Group CSRHome Sustainability

Environment

Sustainability

Environment
Promotion of Strategic Environmental
Management

Environmental Management

Product Initiatives (Expand businesses
that contribute to the environment)

Product Initiatives (Promote
Environmentally Conscious Design)

Product Initiatives (Examples of
Meiden Green Product registered infiscal 2019)

Product Initiatives (Management ofchemical substances in products)

Climate Change

Prevention of Pollution and Effective
Utilization of Resources

Water Resources

Biodiversity

Promotion of Environmental
Communication

Foster Environmental AwarenessOverview of Environmental Impacts by
Our Business Activities

Environmental Impact Data (Fiscal
2019) from the Four Main
Manufacturing Sites (Domestic
Manufacturing Sites)

Third-Party Verification

Issue of Green Bonds

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Meiden Group CSRHome Sustainability

Environment

Promotion of Strategic Environmental Management

Environment

Promotion of Strategic Environmental Management
PolicyThe Meiden Group promotes environmental management by ensuring that each employee
contributes to the protection of the global environment and the creation of a prosperous
society through their day-to-day work according to our Basic Environmental Philosophy.

Basic Environmental Philosophy

With our basic environmental philosophy: “Contribute to people, society and the global
environment to make a world a better place to live,” Meiden Group aims to help build asustainable society and to realize the growth of the Group and actively implement
environmental management to tackle important issues: mitigating climate change, efficient useof resources (building a recycling society) and conserving biodiversity.

Environmental Policies

1. We promote the development of new products and innovative technologies that contributeto the environment and strive to develop and design environmentally conscious products byconducting environmental impact evaluation for the product's lifecycle, from initial material
procurement to final disposal.
2. We strive:- To reduce the environmental impacts from our business activities at home and abroad- To reduce greenhouse gas emissions- To promote the 3Rs (reduce, reuse and recycle)- To reduce the releasing amount of hazardous substances that are harmful to humans and theenvironment
3. We strive to comply with the related environmental laws, regulations, rules and otherrequired matters and establish our internal guidelines. We strive to prevent the pollutions fromour operations at home and abroad and make efforts to protect the environment.
4. After establishing an environmental management system, we strive to maintain and improveit through the QC tool of the PDCA (Plan-Do-Check-Act) Cycle and we aim to improve ourenvironmental performance.
5. We strive to implement environmental education programs in order to increase all of ouremployees' understanding of environmental management and environmental protection and in
so doing, we aim to activate our environmental programs.
6. We share the information on our environmental initiatives and the results through thebroader communication with our stakeholders both inside and outside the Group, and makeconcerted efforts with them.
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Meiden Group CSR

5th Edition, April 1, 2020
President of Meidensha Corporation

Environmental Vision

The Meiden Group has established an “Environmental Vision” as a medium-long term vision for
promoting environmental management in order to indicate an ideal situation and initiative
direction. In addition to reducing the environmental impact of our business activities, we
contribute to the creation of a sustainable society through our energy and water treatment
businesses, products, technologies, and services that support the social infrastructure we havecultivated so far.
According to the Environmental Vision, the propositions imposed on companies living in the
21st century are defined as "Mitigation of Climate Change," "Realization of a recycling society,"and "Conservation of biodiversity," and what the companies should do in their businessactivities and what the products should aim for are set as goals. We work on environmental
management by establishing a "corporate culture that highly values the environment" that
supports these goals.
Outline of the Environmental Vision

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Meiden Group CSR

Targets that Express Our Environmental Vision
A. Mitigating Climate Change❶ Contribute to the reduction of CO2 emissions through the sale of energy-related products
and systems (i.e., products for renewable energy resources, etc.)❷ Promote environmentally conscious product design and reduce CO2 emissions in the
product life cycle.
❸ Reduce CO2 emissions in our production activities.

B. Realize a recycling society❶ Promote the 3Rs (Reduce, Reuse and Recycle) of waste materials in the various stages ofthe product life cycle.
❷ Promote zero emissions of waste products from our production activities.

C. Conserving Biodiversity❶ Contribute to securing water resources through our water treatment systems business.
❷ Conduct risk management on chemical materials and promote the reduction of very riskyhazardous chemical materials, as well as initiatives to find alternative materials on a basis to
reduce or replace harmful chemicals.

D. Foster a Corporate Culture that Highly Values the Environment❶ Promote environmental communication: Actively disclose our environmental activities andresults and promote two-way communication with our stakeholders.
❷ Foster environmental awareness: For mitigating Climate Change, increase environmental
literacy to promote environmentally conscious R&D and product development and cultivate theGroup’s individuals who actively perform local community and social contribution programs byacting on their own initiative.

Promotion of Ongoing Activities

We have developed an action plan as part of the Meiden Group Medium-term Management
Plan 2020 (FY2018 to FY2020) with an eye to achieving our environmental vision. The targets
listed in the environmental vision are “A. Mitigate Climate Change,” “B. Realize a recycling
society,” “C. Conserve biodiversity,” and “D. Foster a corporate culture that highly values theenvironment.” We have come up with actions to achieve the five strategic targets underMedium-term Management Plan 2020 and incorporated them into an action plan forcontinuous improvement.

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Meiden Group CSR

Deployment to Action Plans

Results Data

Fiscal 2019 Environmental Targets and Results

Fiscal 2019 targets and level of achievement are as follows. New measures are considereddepending on the achievement status of the targets, which lead to future plans. Please refer tothe corresponding page for details of each item.

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Meiden Group CSR

Fiscal 2019 Environmental Target Achievement Status (Japan)
Strategic Targets
Actions
Fiscal 2019 Targets Fiscal 2019 Achievement(Japan)Results
Contribute toPromoteContribute a 800,000 848,000〇
environmentally t/year reduction in t/year
environment
through products conscious
CO2 emissions bydesignand services
EnvironmentContributing
Businesses
Reduction in
25 Green 〇emissions over the Products(own
lifecycle of new
products (specific standards)
areas)
Reduce the
Total emissions〇
Reduce–22％
environmental greenhouse gas (Scope 1+2): –2%(compared
impact ofemissions(compared to
to FY2017)business
FY2017)
operations
Manage
VOC emissions: 80 83.3 tons △chemicals
tons or lessproperly
Promote the Total wastes: –1%
' –6％
〇
3Rs
(compared to(compared
FY2017) *3
to FY2017)
Zero emissions*1 at 9 Achieved at 〇sites*2
all 9 sites
Conserve water Measurement and Analysis of 〇resources
analysis of water data water dataand evaluate risks: 4 andmain manufacturing investigationsites*3of leaks, etc.
Conserve
Conservation of
Education, 〇biodiversity
ecosystems: 4 main tree planting
manufacturing sites*3 activities,
conservation
activities ofnativespecies, etc.

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Meiden Group CSR

Strategic Targets

Actions

Fiscal 2019 Targets Fiscal 2019 Achievement(Japan)Results
PromoteStrengthen
Green procurement 87％〇
environmental value chain
rate (own standards):
management
management 85% or greater*1 Meiden Group definition of zero emissions: To achieve a non-recycling rate of less than 1.0%of the total volume of waste (including industrial waste, general waste, and saleable waste, but
excluding construction sludge, etc.).
*2 Scope of zero emissions initiatives: manufacturing sites in Japan (Numazu Works, Ota Works,
Nagoya Works, KOFU MEIDENSHA ELECTRIC MFG. CO., LTD., MEIDEN CHEMICAL CO., LTD.
(Sagami Works), HOKUTO DENKO CORPORATION (Atsugi Works)), Engineering Service
Business Units and two Construction Service Business Units*3 Main four manufacturing sites: Numazu Works, Ota Works, Nagoya Works, and KOFU
MEIDENSHA ELECTRIC MFG. CO., LTD.
Targets

At the Meiden Group, we formulated Medium-term Management Plan 2020 to cover the three
years from fiscal 2018, we developed an action plan to achieve our targets under the mediumterm management plan, and we are working to implement environmental management.

Medium-term Management Plan 2020 - Fiscal 2020 Environmental
Targets
Fiscal 2020 environmental targets are as follows.

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Meiden Group CSR

Fiscal 2020 Environmental Targets (Japan)
Strategic
Actions
Fiscal 2020 Environmental Targets (Japan)
Targets
Contribute to Promote
Contribute an 900,000 t/year reduction in CO2
environment environmentally
emissions by Environment-Contributing
throughconscious design Businesses
products andReduction in emissions over the life cycle of newservices
products
Reduce theReduce greenhouse Total emissions (Scope 1+2): –4% (compared toenvironmental gas emissions
FY2017)
impact ofManage chemicals VOC emissions: 80 tons or lessbusiness
properly
operations
Promote the 3Rs Total wastes: –3% (compared to FY2017) *3
Zero emissions*1 at 9 sites *2
Conserve water
Implementation of water conservation activities
resources
and risk countermeasures : 4 main manufacturing
sites *3
Conserve
Conservation of ecosystems: 4 main
biodiversity
manufacturing sites *3
PromoteStrengthen value Green procurement rate (own standards): 90% orenvironmental chain management greater
management*1 Meiden Group definition of zero emissions: To achieve a non-recycling rate of less than 1.0%of the total volume of waste (including industrial waste, general waste, and saleable waste, but
excluding construction sludge, etc.).
*2 Scope of zero emissions initiatives: manufacturing sites in Japan (Numazu Works, Ota Works,
Nagoya Works, KOFU MEIDENSHA ELECTRIC MFG. CO., LTD., MEIDEN CHEMICAL CO., LTD.
(Sagami Works), HOKUTO DENKO CORPORATION (Atsugi Works)), Engineering Service
Business Units and two Construction Service Business Units*3 Main four manufacturing sites: Numazu Works, Ota Works, Nagoya Works, and KOFU
MEIDENSHA ELECTRIC MFG. CO., LTD.

25

Meiden Group CSRHome Sustainability

Environment

Environmental Management

Environment

Environmental Management
PolicyThe Meiden Group practices environmental management that brings together businessstrategy and environmental initiatives.
We continually improve our environmental management system as we evaluate its validity andeffectiveness.
Organization

Environmental Management Promotion Organization

Under the leadership of the President, who is our chief executive officer, the executive officer(environment) oversees the environment management of the Meiden Group overall, while thegeneral manager (GM) in charge of EMS works to maintain and improve the environmental
management system (EMS).
In addition, our Group-wide internal environmental audit team, an independent organization,
audits environmental management initiatives, legal compliance, EMS effectiveness, and more,
and offers ideas for improvement.
The executive officer (environment) chairs the Meiden Group Environmental Committee(MGEC), our highest decision-making body for environmental initiatives. The MGEC identifies
issues to address, including risks relating to climate change and the like, sets environmental
targets and formulates action plans, conducts management reviews, responds to emergency
situations, reviews and reports on environmental measures and working groups (WGs), and sets
environmental management policy directions.
For the most important issues, the executive officer (environment) and GM in charge of EMS
consult with the executive committee, Board of Directors, and the like and then acts as decided
by top management.

26

Meiden Group CSR

Meiden Group Environmental Management Promotion Organization

27

Meiden Group CSRResponding to Environmental Risks and Opportunities
Phenomena (issues) related toCarrying out
Risks
Opportunities
environment
initiatives
Government
Short-term cost Growth of new
ExpandRevision of(political)
marketsincreases
products’Feed-in Tariff
Laws andcontribution toforRegulations Scheme
RisingcostofMarketsforthe environmen
Renewableenergyproducts
andEnergyincreases ourservices
Expand sales
Deregulation
costs
related toof productsof electric(procurement,
renewable
related to
power industry, shipping,energy andrenewable
revision of
manufacturing, energy
energy andpower supply
scrapping, etc.) conservationenergystructureconservation
directly andare growing.
(wind,
indirectly.
Flow ofDifferentiationhydroelectric,
processes to Decline ofwithand solar
implement
product
environmentallypower
carbon pricing competitiveness conscious
equipment,
Energyproducts
EV/PHEV
It will get
conservationelectric
harder to sellBeing among
regulations &equipment,
products thatthe first to
standards
do not meetbring products transformers,(business
motors,environmental
that meet
operations,inverters, etc.)
regulations and regulations,products)
standards.
etc., to market Develop
Strongerand offering
environmentally
We will lose
regulations on
lowconscious
share if wehazardous
environmental
products,
cannot meetchemical
impactimplement new
the needs of a
substances
products
andtechnologies
market looking
servicesmake(which are
EconomyExpanded ESG for
more compact,environmentally us moreinvestmentcompetitive.
lightweight,
conscious
efficient,Priceproducts.
Better businessenergycompetition
performance
Declineofconserving,(low cost,through
corporate
value
etc.)
premium
environmental
pricing)management
Our image,Diversify
Extendedevaluations
financial assets
Byrunning
pandemic(credit ratings,
responseetc.), and share businesses
28

Meiden Group CSR

Phenomena (issues) related to
Risks
Opportunities
environment
prices willthat help solve
Societydecline if ourenvironmental
Spread ofbusiness is not issues, we canresponsibility
seen asenhance ourto entire value
environmentally corporate
chain
value and(upstream and conscious.
downstream) Increase of local businessperformance.
Improvement disastersof employment
Responding to
Flooding and/ laborother disasters natural
conditions
disasters
canstop
New normal
operations and Demand for(after corona)
cut the supply
flood control
chain.
and disasterTechnology
Enhancedprevention andefficiency of
response (e.g.,
electric power
securing theconversion
power supply)is rising.
Advancementof ICT, IoT
technology
Developmentof new energy/ alternative
energytechnology
Reputation /Demand for
Needs
information
disclosure(accountability)
Lifestylechanges(ecologyoriented)

29

Carrying out
initiatives
Issue green
bonds, etc.
Reduce theenvironmental
impact ofbusiness
operations

Promoteenergyconservation(capital
investment,
visualization,
etc.)
Promote the
3Rs, eliminate
harmfulchemicals
Maintain water
resources,considerbiodiversity
Improvebusiness
efficiency

Promote Smart
Work, workfrom home,
web meetings,
etc.
Promoteenvironmental
management

Promotebusiness risk
management
Strengthen
value chain
management
Meiden Group CSR

Phenomena (issues) related toenvironment
NaturalEnvironment Changes oftemperatureandprecipitation
volumeIncrease of
local disasters(sudden
downpours,
tornadoes,
etc.)
Ecosystem
irregularities(increase oforganisms thatcarry
infectious
disease)

Risks

Opportunities

Carrying out
initiatives
Practiceenvironmental
communication(information
disclosure, etc.)
Deployinfrastructuresupport
products during
disaster

Emergency
power supply
equipment,
mobile power
supply cars,
UPSs, remotemonitoring
systems, etc.

30

Meiden Group CSRISO 14001 Certification Status (as of March 31, 2020)

We are expanding the scope of bodies certified under ISO 14001, the international standard
for environmental management systems. In Japan, Meidensha and 17 affiliated companies havefinished earning certification. Overseas, 11 companies, mainly manufacturing sites, havefinished the process.
Certification Status in Japan
Company NameMEIDENSHA CORPORATION*MEIDEN KOHSAN CO., LTD.
MEIDEN SHOJI CO., LTD.
KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.*
MEIDEN SYSTEM SOLUTIONS CORPORATIONMEIDEN PLANT SYSTEMS CORPORATION*MEIDEN SYSTEM MANUFACTURING CORPORATION*MEIDEN KIDEN KOGYO CO., LTD.*M WINDS CO., LTD.
MEIDEN AQUA BUSINESS COMPANY
MEIDEN UNIVERSAL SERVICE LTD.
ANOTSUGIKEN CO., LTD.*
MEIDEN TECHNO SYSTEMS CO., LTD.*
MEIDEN O&M CORPORATIONMEIDEN ENGINEERING CORPORATIONMEIDEN CHEMICAL CO., LTD.*
MEIDEN FACILITY SERVICE CORPORATIONHOKUTO DENKO CORPORATION*
EAML Engineering CO., LTD.*

31

Date of Certification Acquisition
February 24, 1998

July 31, 2003
November 20, 2012
November 18, 2015
October 3, 2013
March 5, 2004

Meiden Group CSR

Certification Status Overseas
Company Name

Date of Certification
Acquisition
MEIDEN ZHENGZHOU ELECTRIC CO., LTD.*
Zhengzhou, Octorber 9, 2013
China
MEIDEN HANGZHOU DRIVE SYSTEMS CO., LTD.* Hangzhou, April 7, 2008
China
SHANGHAI MEIDENSHA CHANGCHENG
Shanghai, January 11, 2016
China
SWITCHGEAR CO., LTD.*
P.T. MEIDEN ENGINEERING INDONESIA
Indonesia December 19, 2018
MEIDEN MALAYSIA SDN. BHD.
Malaysia
October 10, 2018
MEIDEN METAL ENGINEERING SDN.BHD.*
Malaysia
October 9, 2014
MEIDEN SINGAPORE PTE. LTD.*
Singapore February 8, 2010
THAI MEIDENSHA CO., LTD.
ThailandJuly 1, 2009
MEIDEN ELECTRIC(THAILAND)LTD.*
Thailand
September 30, 2013
TRIDELTA MEIDENSHA GmbH.*
Germany
July 13, 2015
PRIME MEIDEN LIMITED*
India
January 26, 2015
* Company with production work
Number of certified companies in Japan

Area

Number of certified companies overseas

Percentage of Companies Certified in Japan/Overseas

32

Meiden Group CSR

Initiatives

Internal Environmental Audits

We conduct internal environmental audits separate from the external audits we get from ISO
14001 registrars. Internal audits confirm the state of improvement on concerns pointed out inexternal audits and check up on audit items that are marked as priorities for that fiscal year.
Furthermore, as overseas manufacturing sites such as China and Southeast Asia are subject toincreasingly tighter environmental regulations, in China we identified issues by conducting anenvironmental risk survey, and in Southeast Asia we focused on chemicals. In particular, we
conducted audits relating to the management and control of emissions of SF6 gas, which we
consider to be the most important issue.
In fiscal 2019, our audits prioritized promotion of environmental management, implementing
environmental policies, planning activities to address risks and opportunities, and legal
requirements (on-site auditing of industrial waste disposal contractors), etc. We judged that,
overall the Group was conforming to ISO 14001:2015 requirements and functioning effectively.
If any concerns are pointed out during internal environmental audits, we take them as anopportunity for improvement and incorporate them into further improvement initiatives.

Environmental Information Management System

The Meiden Group uses an “environmental information management system” that we put inplace to manage and analyze environmental impact in our business activities.
The system collects and centrally manages information on environmental impact of businessactivities (such as automotive fuel, energy, waste, chemical substances, and water use) at
Meiden Group manufacturing sites and offices, even those outside Japan.
The information so collected is used as basic data for efforts to lower environmental impact. It
is also useful to ensure proper filings of information as required by the Act on the Rational Useof Energy, Act on Promotion of Global Warming Countermeasures, the electrical equipment
industry’s “Commitment to a Low Carbon Society,” and Japanese PRTR system for reportingchemical releases and transfers.

Analysis of environmental impact withenvironmental information management
system33

Meiden Group CSRCompliance with Environmental Regulations

Each Meiden Group work site and affiliated company sets and follows voluntary standards
stricter than applicable laws and regulations. This ensures we remain in legal compliance. If alegal violation or incident does occur, our rules state that management shall be notified within
three hours.
In fiscal 2019, there were three incidents involving exceeding voluntary standards for
wastewater, but there were no serious violations of environmental laws or regulations. We also
received one complaint regarding the odor. We promptly investigated the causes of these
problems and took necessary measures each time.
Results Data

Environmental Accounting (fiscal 2019)

We quantify such data as costs of environmental initiatives.
Environmental Protection Costs
Investment (million yen)
Business area costs
Implementation of new energy348
saving devices, etc.
R&D costs
R&D costs for environmentally691
conscious products, etc.
*Scope of calculation: Meidensha (non-consolidated); period covered: April 2019–March 202034

Meiden Group CSRHome Sustainability

Environment

Product Initiatives (Expand businesses that contribute to the environment)

Environment

Product Initiatives (Expand businesses that contribute to theenvironment)
PolicyWe are actively promoting initiatives that contribute to the environment in order to “realize amore affluent future” by leveraging our technology and experience honed over many years.
Performance Data

Contributions to the Mitigation of Climate Change by Reducing
Product CO2 Emissions

The Meiden Group aims to benefit the environment by using renewable energy like solar, windand hydroelectric power and by supplying products and services that are more efficient andthus energy saving.
In fiscal 2019, we set environmental contribution (projected reduction in CO2 emissions fromproduct sold) targets of 800,000 t/year. We increased shipment of electric vehicles, highvoltage inverters, hydroelectric generators, and hydraulic turbines, enabling us to achieve ourtarget for the fiscal year, totaling emissions reductions of 848,000 t/year.

The reasoning behind calculation of environmental contributions of products and services is asfollows.

35

Meiden Group CSR

Applicable products/businesses CO2reduction volume
Power conditioners for solar
Emissions reduction if grid power is substituted withpower generation
renewable energy
Wind power sales businessHydroelectric generators*
Electrical equipment for electric Emissions reduction if substituted for gasoline vehicles
vehiclesof the same gradePower conditioners for storage Emissions reduction from substitution of pumped
batterieshydroelectric generation (high efficiency)
Electrical equipment for electric Emissions reduction from the Company’s existing
forklifts
products (reduction in lost energy)
Engines and turbine generators
Transformers
Inverters
Uninterruptible power supplies*Calculated by multiplying the difference in volume of CO2 emissions at the point of use, by the
expected life and annual sales volume. However, wind power generation is calculated based on
annual power generation performance.
Initiatives

Wind Power Generation Business

M WINDS Co., Ltd. and its affiliates operate a wind power generation business and supply
renewable energy.
M WINDS conducts electricity sales from wind power generators at three locations* in Japan(30 wind turbines with a generating capacity of 51,000 kW). They conduct environmental
assessments when constructing and installing wind power generators, investigating, predicting,and evaluating impacts from various perspectives, such as that on ecosystems, and implement
environmental protection measures as appropriate while considering the opinions of local
governments and residents.
*Hachiryu Wind Farm (Akita Prefecture): 18 wind turbines with a generating capacity of 31,367
kW
Wajima Community Wind Farm (Ishikawa Prefecture): 10 wind turbines with a generating
capacity of 18,067 kW

36

Meiden Group CSR

Choshi Shiosai Wind Farm (Chiba Prefecture): 2 wind turbines with a generating capacity of
2,355 kW

Aiming for increased utilization of wind power

We generated 105,049 MWh of electricity in fiscal 2019, following on from fiscal 2018 when
we also generated more than 100,000 MWh of power. Going forward, we aim to further
improve the utilization rate in order to increase our environmental contributions.

Total Power Generation Performance of the Meiden Group

Motors and Inverters for Electric Vehicles

Meidensha supplies motors and inverters installed in electric vehicles, which are becoming
more common throughout the world. We promote the development of technology and products
for EV and HEV drive systems. One of our new initiatives was to prototype and develop
integrated drive units combining motors and gearboxes.
By combining a 100-kW motor with a gearbox, we utilized gear lubricant oil to cool the motorand downsized the unit. In addition, by reducing the number of parts and making it smaller andlighter, it is also easier to mount on vehicles.
We are working to develop and introduce new technologies to cater to the diverse needs ofcustomers.

Inverter Equipment

Since the 1980s, Meidensha has been developing a wide range of inverters. By controlling therotation of various drive machines with inverters, a large energy saving effect is achieved.
A large energy saving effect can be obtained by replacing existing system of damper
controlling dust collection blower, exhaust fan, boiler push-in fan, etc. with controlling thenumber of rotations with an inverter.
37

Meiden Group CSR

In addition, energy saving can be achieved by controlling the air volume of the air conditioning
system and gas pressure feeding system in a plant according to the season or business onpeak/off-peak operations.

Power Conditioner System for Photovoltaic Generation

Power conditioners system (PCS) is the most essential part of photovoltaic generation systems.
We have consistently supplied transformer-in PCS with a built-in commercial frequency isolationtransformer that emphasizes safety and security so far. PCS with 500kW output has thehighest conversion efficiency of 98.7% in the world. Container type and outdoor storage
cubicle type packaged with a set of equipment are also knapped.

Hydroelectric Power Generation BusinessHydroelectric power is a form of renewable energy that enables steady generation of electricity
throughout the year. Meidensha has delivered many small, medium, and large generators tocustomers in Japan and overseas.
Many hydroelectric power generation facilities have deteriorated due to many years ofoperation. It is effective to renovate in the most suitable way for each power facilities.
Renovation can be expected to improve efficiency/save energy, improvereliability/maintainability, and be environmentally friendly. We investigate the current status ofeach power plant and propose optimal renovations using the latest technology.

38

Meiden Group CSRHome Sustainability

Environment

Product Initiatives (Promote Environmentally Conscious Design)

Environment

Product Initiatives (Promote environmentally conscious design)
PolicyPromote environmentally conscious design

The Meiden Group is promoting development of environmentally conscious products that
reduce our impact on the environment.

Product environmental assessment

Any time we develop a new product, we evaluate it for energy and resource conservation,
recyclability, environmental safety, and more, based on our Product Environmental Assessment
Standard. If a product meets those standards, we certify it as a Meiden Green Product.
For the evaluation item “consideration of lifecycle,” we calculate CO2 emissions according to alife cycle assessment (LCA), and we encourage environmentally conscious design in order toreduce CO2 emissions.
Initiatives

Life cycle assessment (LCA) initiatives

The Meiden Group conducts an assessment of the environmental
impact of a product throughout its life cycle, from procurementof components through to disposal, in accordance with our
Guidelines for Environmental Action. We use the LCA method toquantify the environmental impact of products and services,which helps us to improve environmental performance at thedesign and development stage and to conduct productexplanations to customers and PR, etc.

Environment label (type Ⅱ)
indicating conformity with
Meidensha Green Productstandards

39

Meiden Group CSRProduct environmental assessment standards
Classification
Product volume reduction

Items◦Weight reduction◦External dimensions and capacity◦Reduction of number of components◦Reduction of power consumption◦Water saving◦Reduction of consumables◦Reduction of packaging volume◦Use of recycled materials◦Separability of materials◦Ease of collection and transport◦Maintainability◦Reliability and durability◦Environmental friendliness◦Reduction of life cycle environmental
impact◦Disclosure of information concerning
evaluation of environmental impact◦Danger of fire or explosion◦Danger at time of dismantlement◦Environmental measures◦Provision of information concerning a
product’s environmental impact

Energy and resource conservation

Recycling

Long-term usability
Management of chemical substances
Life cycle consideration

Environmental safety

Information disclosure

40

Meiden Group CSRHome Sustainability

Environment

Product Initiatives (Examples of Meiden Green Product registered in fiscal 2018)

Environment

Product Initiatives (Examples of Meiden Green Product registeredin fiscal 2019)
A Meiden Green Product registered in fiscal 2019

[Product] Large-Capacity High-Speed PM Motor Drive System
Large-capacity high-speed PM motor
Combines a high-speed PM motor(permanent magnet synchronous motor) witha speed of at least 10,000 rpm with aninverter capable of high-frequency output.
We have achieved high-speed drive throughlarge-capacity, high-speed rotation
technology and optimized inverter design.
This product has the following advantages
over its predecessor (gear accelerationinduction motor drive).
●The volume realized 1/5 of downsizing andsaving space compared to the conventional
product by speeding up the motor.
●20% saving in power consumption by
utilizing PM motors and high-speed drive.

High-voltage high frequency inverter,
THYFREC VT731PM

Lifecycle CO2 emissions

80％*Comparison against equivalent previous
Meiden product
Click here for related products and details.

41

Meiden Group CSR

[Product] Simplified IP-TC EC4-TC
This remote monitoring and control device
for hydroelectric power plants is designed foruse with built-in computers.
It comes installed with Linux 64-bit OS andconnects with PLCs* from four
manufacturers. Electrostatic discharge noise
is compliant with B-402 electrical standards.
This product has the following advantages
over its predecessor (EC101D).
●33% saving in power consumption throughoptimized design.
●Improved maintainability by revising theunit structure.
Lifecycle CO2 emissions

91％*Comparison against equivalent previous
Meiden product*PLC: Programmable Logic Controller
Click here for related products and details.

42

Meiden Group CSR

[Product] 72 kV New Miniature Cubicle Gas-Insulated Switchgear BG-70
72 kV new miniature cubicle gas-insulated
switchgear saves C-GIS installation space byutilizing VCB double-decker construction.
This product has the following advantages
over its predecessor.
●28% reduction in size and weight byintegrating VCB, DS, and ES functions.
●17% power saving by optimizing design inmain circuit conductor.
Lifecycle CO2 emissions

82％*Comparison against equivalent previous
Meiden product
Click here for related products and details.

43

Meiden Group CSRHome Sustainability

Environment

Product Initiatives (Management of chemical substances in products)

Environment

Product Initiatives (Management of chemical substances in
products)
Initiatives

Management of chemical substances in products

We operate an “Environmental BOM*1 Management System” that investigates information
concerning chemical substances contained in products through a cloud-based Web system.
We register the chemSHERPA*2, etc. provided by our suppliers with the Environmental BOM
Management System to determine the aggregation of chemical substances contained in eachproduct and compliance with regulations. In fiscal 2019, we conducted 2 individual consultation
meetings for suppliers in Japan.
*1 BOM: Bill of Materials*2 ChemSHERPA: A scheme that facilitates sharing information on chemical substances in
products

Diagram of Environmental BOM

44

Meiden Group CSRHome Sustainability

Environment

Climate Change

Environment

Climate Change
Awareness

Since its establishment in 1897, Meidensha has produced a range of technologies, products,
and services and contributed to the development of a sustainable society in its role as amanufacturing company. In particular, we are deeply involved with decarbonization andreduction of carbon through power generation systems that utilize renewable energy sources
such as solar, wind, and small to medium hydroelectric, as well as energy solution services suchas smart grids. Through these environmentally conscious products, we aim to contribute to theachievement of a sustainable society and we are working to reduce greenhouse gas emissions
from business activities.
GovernanceMonitoring of Climate Change by the Board of Directors

Monitoring of the Risks and Opportunities Created by Climate Change at the Level ofthe Board of Directors

Under the direction of the President, who is the Chief Executive Officer, the Executive Officer(Environment) oversees the environmental management of the entire Meiden Group, while theEnvironmental Manager in Charge of EMS promotes maintenance and improvement of theenvironmental management system.
As the highest decision-making body with regard to environmental activities, the Meiden Group
Environmental Committee, which is chaired by the Executive Officer (Environment), identifies
issues including risks posed by climate change and deliberates concerning environmental
targets, action plans, and emergency response, etc., as well as determining environmental
management direction. As part of its role, the Environmental Committee refers importantmatters to the Executive Committee and the Board of Directors, etc., to initiate activities basedon executive-level decision-making.

EMS Promotion Organizations

45

Meiden Group CSR

Strategy

Medium to Long-Term Environmental Targets at the Meiden Group
The Meiden Group aims to reduce greenhouse gas emissions from business activities by 30%
by fiscal 2030 (compared to fiscal 2017 levels).
This target was determined using Science Based Targets (SBT) in conformity with the Paris
Agreement *1. We work for with stakeholders in the Meiden Group’s supply chain, including
customers and business partners, to set common objectives for the challenges we share.
Under the Medium-term Management Plan 2020, our targets for fiscal 2018, fiscal 2019, andfiscal 2020 are reductions of 1%, 2%, and 4%, respectively (compared to emissions in Japan in
fiscal 2017). These steps were decided to help us achieve our aims for 2030. We will
periodically revise those targets.
*1 Paris Agreement: A new framework for tackling global warming from 2020, adopted by the
21st Conference of the parties (COP21) to the UN Framework Convention on Climate Change.

Amount of Greenhouse Gas Emissions from Business Activities

To address emissions stemming from energy consumption, we are working thoroughly toconserve energy through production streamlining, capital investments, etc., and converting to
renewable energy. In addition, we are practicing strict control and making technologicalinnovations to address direct emissions of GHGs like SF6 gas.

46

Meiden Group CSR

Indicators

Amount of Greenhouse Gas Emissions
Scope 1 and Scope 2 emissions（t-CO2）FY2017FY2018FY2019Japan Overseas Japan Overseas Japan Overseas
27,197 5,723
18,137 4,886
16,491 5,215

SCOPE1
Direct emissions from inhouse use of fuel, etc.
SCOPE2
Location 27,309 7,177
basis
Indirect
emissionsfrom power orheat
Market 25,868 ‐purchasedbasis
from anoutside source

27,212 7,480

24,980 7,043

25,573 ‐24,724 ‐Amount of Greenhouse Gas Emissions (Scope 1 and 2) – Emissions from Business
Activities

Scope 1: Direct Emissions
Combustion of fuel (town gas and oil, etc.) and release of greenhouse gasses (SF6 and CFCs,
etc.)
Scope 2: Indirect Emissions
Combustion of fossil fuel to generate electricity (electricity company) that is consumed by thecompany* Renewable energy produces zero emissions

47

Meiden Group CSRResults Data

Amount of CO2 Emissions from Energy Sources* Japanese emissions: The amounts of fuel oil and fuel gas are calculated referring to the "Listof Calculation Methods and Emission Factors in the Calculation, Reporting and Publication
System" published by the Ministry of the Environment. The amount of electric power iscalculated referring to the "Emission Factor List by Electricity Power Company" published by
the Ministry of the Environment.
* Overseas emissions: The amounts of fuel oil and fuel gas are calculated referring to theemission coefficient by country published by the GHG protocol. The amount of electric power iscalculated referring to the average coefficient by country in 2010-2012 published by theInternational Energy Agency (IEA).
* Energy consumptions per unit are emissions (t-CO2) divided by net sales (million yen).

Energy Consumption (crude oil equivalent)* Energy consumptions per unit are energy consumption (crude oil equivalent, kL) divided by
net sales.

48

Meiden Group CSR

Initiatives

Reduction of CO2 Emissions from Business Activities

The Meiden Group is conducting strategic capital investment in order to reduce greenhousegas emissions from energy consumption, such as by replacing lighting and air conditioning
equipment with highly efficient models. Furthermore, we are working to improve operation ofequipment by enabling visualization of power consumption and strictly managing power
consumption, particularly at night and on holidays.
In fiscal 2019, our domestic CO2 emissions decreased due to pursuing energy-efficiency
measures such as work efficiency and improving the operation of air conditioners andcompressors, and the initiation of new electricity procurement using non-fossil fuel certificates.
Furthermore, CO2 emissions per sales unit improved over fiscal 2017.
Going forward, we will further streamline energy usage through capital investment andoperation.
TOPICS
Procurement of Electricity with Zero CO2 Emissions Using Non-Fossil Fuel Certificates
Since November 2019, Meidensha has procured electricity from substantiallyrenewable energy sources for the R&D Center and Osaki Kaikan Hall in
combination with FIT*1 and non-fossil fuel certificates*2, which carry tracking
information for the subsidiary, M WINDS Co., Ltd.’s Choshi Shiosai Wind Farm.
Through non-fossil fuel certificates containing tracking data, we are able to linkelectricity that is consumed by the R&D Center and Osaki Kaikan hall to theenvironmental value of energy produced by the Choshi Shiosai Wind Farm,demonstrating that we produce net zero CO2 emissions. In this way, electricity
consumption by Meidensha’s R&D Center and Osaki Kaikan hall produces net zero
emissions.
Furthermore, using non-fossil fuel certificates with tracking information makes it
possible to conform with the international initiatives RE100, which has the goal of
obtaining 100% of the electricity required for business activities from renewableenergy sources. This expand our options to effectively utilize existing wind farms.
As demand for electricity from renewable energy sources is rapidly increasing, withthe aim of decarbonization, Meidensha will continue to work to reduce ourenvironmental impact and provide products and services that contribute to asustainable society.

*1 Feed-in tariff (FIT) system: A system to require electricity companies topurchase electricity generated from renewable energy sources (solar, wind, hydro,
49

Meiden Group CSR

geothermal, biomass) for a certain period of time. The system was launched in July2012 in order to promote the use of renewable energy.
*2 Non-fossil fuel certificate: A certificate issued by the Ministry of Economy, Tradeand Industry that certifies the environmental value of electricity that does notcreate CO2 emissions, such as electricity from renewable energy sources. Trading
commenced through Japan Electric Power Exchange in May 2018, and ademonstration experiment that included tracking information (information thatclearly states the type and location of energy source) in certificates commenced in
March 2019.
TOPICS
New EV Factory Acquired the Highest Rating for BELS (Kofu Meidensha Electric Mfg.
Co., Ltd.)
Kofu Meidensha Electric Mfg. Co., Ltd. acquired the highest five-star rating for
BELS for its newly constructed EV factory on its premises.
BELS is a third-party rating system that indicates the energy efficiency features ofbuildings. It uses a five-star rating system to objectively rate energy efficiency
based on primary energy consumption.
The new EV factory acquired the highest rating due to its 250-kW photovoltaic
equipment and 100-kW battery, walls and window glass with exceptional insulation
properties, optimized HVAC and lighting, etc.

50

Meiden Group CSR

Initiatives and Results Data

Reducing Emissions of Greenhouse Gasses Other than CO2

The Meiden Group’s emissions of greenhouse gasses other than CO2 include SF6 gas, which isused for lightning arresters and circuit breakers, etc., and CFCs, which are used as refrigerants
in air conditioners.
With regard to SF6 gas, which contributes greatly to the greenhouse effect, we are working to
reduce emissions and conducting technical investigations and trials of substitute gasses.
Furthermore, in order to reduce CFC emissions, we are promoting stricter management andreplacement of air conditioners.

Emissions of Greenhouse Gasses Other than CO2 (Japan)

Reduction of CO2 Emissions from Product Transport

The transport division is conducting product transport efficiency reforms such as mixed loads
and modal shift, as well as initiatives to reduce CO2 emissions from transport. There are many
issues relating to product transport, including diversification of forms of delivery, but going
forward, we will work to reduce CO2 emissions by promoting efficient transportation.

CO2 Emissions from Product Transport (Japan)

51

Meiden Group CSRCalculation of Greenhouse Gas Emissions in the Supply Chain

Meidensha is working to calculate greenhouse gas emissions, including indirect emissions in the
upstream and downstream supply chain in addition to those produced in the course of its
business activities.
Meidensha is facing the issue of producing a large proportion of its emissions from “use ofsold products” (scope 3, category 11) and “purchased goods and services” (scope 3, category1). We are promoting environmental measures throughout the entire supply chain, including
reducing downstream greenhouse emissions through environmentally considerate productdesign and reducing upstream impact through green procurement.

Meidensha’s Greenhouse Gas Emissions in the Supply Chain (Scope 3)
Category

Calculation Method
Emissions
VolumeAmount of Activity
Basic Unit
(t-CO2 eq)
1. Purchased goods and Purchase price (materials,
3EID
787,564
services
consumables, services,etc.)
2. Capital goods
Amount invested in fixed Ministry of the27,312
assetsEnvironment
Basic Unit - DB
3. Fuel and energy related Amount of energy
Ministry of the
1,285
activities not included in consumption (electricity,
Environment
Scopes 1 or 2
etc.)
Basic Unit - DB
4. Transportation andTransportation cost
3EID
822
delivery (upstream)(freight, storage, packing,etc.)
5. Waste generated byEmissions of each type of Ministry of the
1,083
operations
waste
Environment
Basic Unit - DB
6. Business travel
Transportation expenses Ministry of the2,179
provided (travel expenses, Environmentetc.)
Basic Unit - DB
7. Employee commuting Transportation expenses Ministry of the786
provided (travel allowance, Environmentetc.)
Basic Unit - DB
8. Leased assets
Rent (Leased items, etc.)
3EID
1,545
(upstream)
52

Meiden Group CSR

9. Transportation anddelivery (downstream)
10. Processing of soldproducts

Amount of activity ofsales agents, etc.
Not applicable as theCompany’s products
include many formed
items
11. Use of sold products Estimated with given
operating conditions suchas availability
12. End-of-life treatment Expected cost of disposalof sold productsof sold goods
13. Leased assets
Energy usage at leased(downstream)
real estate
14. Franchises
15. Investments
Other

Not applicable as outsideof the scope of theCompany’s businessNot applicable as shares
held by the Company are
not for the purpose ofinvestment
Excluded from the scopeof calculation as item is
optional

3EID
―

775
―

3EID

8,726,650

3EID

4,089

Ministry of theEnvironment
Basic Unit - DB――

12,631

―

―

―

―

Total
9,566,721*We calculate for our supply chain with reference to Basic Guidelines on Accounting forGreenhouse Gas Emissions Throughout the Supply Chain Ver. 2.3 published by the Ministry of
the Environment and the Ministry of Economy, Trade and Industry

53

Meiden Group CSRHome Sustainability

Environment

Prevention of Pollution and Effective Utilization of Resources

Environment

Prevention of Pollution and Effective Utilization of Resources
PolicyCommitment to Waste and Pollution Prevention

The Meiden Group is working to reduce the environmental impact of all domestic and overseas
business activities, as well as achieve energy efficiency, promote the 3Rs in relation to waste,
and reduce emissions of hazardous chemicals as stipulated in our Guidelines for Environmental
Action. Furthermore, we will establish our own internal standards and work towards preventing
environmental contamination while complying with all environmental laws, regulations, and otherrequirements.
Guidelines for Environmental Action
Initiatives and Results Data

Tightening Management of Chemical Substances

We are working to conduct risk assessment of chemical substances used at production sites,
etc., to improve the workplace environment, and reduce or substitute hazardous chemical
substances with a substantial risk.
In order to prevent workplace accidents, health impairment, and fire or environmental pollution
due to leakage or discharge of chemical substances, we ensure workers remain aware by
conducting daily monitoring of sites where chemical substances are used, and implement
corrective measures where management of chemical substances is found to be lacking.

Tightening Management of Chemical Substances

54

Meiden Group CSRReduction of Volume of Volatile Organic Compounds (VOC)
ReleasedIn fiscal 2019, we released 83 tons of VOC. Going forward, we will promote improvement ofvarnish impregnation processes, collection of organic solvents, substitution of low VOC paintand acetone, and reduction of VOCs released.

Volume of VOCs Released and Reduction Rate (Japan)

Promotion of Disposal and Processing of Devices that Include
PCBs

Special Measures Act) we are gradually conducting disposal and processing of devices that
include PCBs (polychlorinated biphenyls) such as transformers and condensers that we
previously manufactured and stored for close to 40 years.
In fiscal 2019, we disposed of 0.4 tons of waste containing high concentrations of PCBs andtreated 22.5 tons of waste containing low concentrations of PCBs.
Meidensha has been promoting disposal of PCB waste since fiscal 2007, and by fiscal 2019, we
had disposed of approximately 102 tons of waste containing high concentrations of PCBs andtreated 291 tons of waste containing low concentration of PCBs.

Volume Treated of Harmful Waste (Waste Containing PCBs)

55

Meiden Group CSRPromoting reduction of waste discharge by the 3Rs (Reduce,
Reuse, and Recycle)

Meidensha is working to recycle waste generated at production sites and work sites.
The recycling rate of waste for the entire domestic group was 99.6% in fiscal 2019 and weachieved zero emissions at 9 domestic production sites, Engineering Service Business Units,
and Construction Service Business Units.

Trends in Generation of Waste, etc., and Recycling Rate (Japan)* Construction sludge, etc., is excluded from the amount of waste, etc., generated.

Breakdown of Waste Generated in FY2019 (Japan)

56

Meiden Group CSRHome Sustainability

Environment

Water Resources

Environment

Water Resources
Recognition

In recent years, there has been increasing global awareness of “water risks” such as water
shortages and localized heavy rain as a factor that can greatly affect business due toincreasing population and global warming, etc.
In order to prepare for risks such as supply chain disruptions due to flooding damage, we
provide all suppliers with the Meiden Group Supply Chain CSR Promotion Guidebook and theGreen Procurement Guidelines, and promote water resource conservation and BusinessContinuity Plan (BCP).
Initiatives

Water Risk Assessments

The Meiden Group conducts evaluation of water risk for initiatives to conserve water andcomply with effluent standards. Using the free water risk evaluation tool, Water Risk Filter,
provided by the World Wide Fund for Nature, we conducted evaluations for 13 production sites
in 8 countries, and although many sites were assessed low risk, some sites in India and China
were considered to be located in comparatively high-risk areas, and we found that risks relating
to securing volume and quality of water were particularly high.
These sites do not use large quantities of water for production so there is no great concern at
this time; however, based on the results of the evaluation, the Meiden Group takes the optimal
countermeasures for each site based on the water risk assessment results.
Water Risk Assessment Results for Regions Where Production Bases are Located57

Meiden Group CSR

Initiatives and Actual Data

Reducing Water Consumption

We are concerned about the possibility of water leaks fromburied water supply pipes on factory grounds as our facilities
age. We are systematically updating pipes and placing morepipes above ground for easy maintenance and inspections.
Above-ground water supply
pipes
Trends in Water Usage Volume (Japan)* Water usage volume includes tap water, water for industrial use, andground water.
* Measurement points were changed in fiscal 2019 in order to increase
accuracy, there is no continuity with those before fiscal 2018.
Trends in Effluent by Discharge Location (Japan)

We ensure legal compliance by establishing and applying voluntary standards at each site andaffiliate that are stricter than legal restrictions.

* Only total values are available for
FY2015.

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Meiden Group CSR

Trends in BOD Emissions

BOD

FY2017
6,297kg

FY2018
7,389kg

FY20194,843kg

Initiatives

Conservation of Water Resources: Initiatives through BusinessContributing to the Solution of a Range of Issues Relating to Conservation of Water
Resources

In addition to design, construction, and execution of water treatment plants, the Meiden Group
provides total support through to operation and maintenance as a general water treatment
manufacturer, based on our record of involvement with construction and development of waterand sewerage systems in Japan. We are contributing to the solution of a range of issues
relating to the conservation of water resources through or water infrastructure systems
business, which is one of our core businesses.
Click here for details of products and services relating to water treatment.

Click here for Products & Services related to Water Infrastructure Systems
TOPICS
Demonstration Experiment of Flooding and Inundation Countermeasure Support
Service in Tsukubamirai City
Meidensha reached an agreement with Tepco Town Planning Co., Ltd. to conduct ademonstration experiment of flooding and inundation countermeasure support
service in Tsukubamirai City, Ibaraki Prefecture. Through this demonstration
experiment, we verify the effectiveness of disaster prevention measures bycollecting flooding data and distributing information based on it.
In recent years, localized torrential heavy rainfall in a short period of time andaccompanying urban inundation have been increasing due to climate change. The
annual average number of localized downpours was 226 from 1976 when records
began through to 1985; however, from 2010 to 2019 the average was 327, which
is about a 1.4-fold increase*1. Against such a background, it is required in terms ofdisaster prevention to take measures against flooding and inundation.
In this demonstration experiment, IoT technology visualizes information that has
been difficult to manage up to now, such as the water level of sewer pipes and thewater level overflowing on the ground, and centralizes disaster prevention
information by sharing information on the cloud. The water level in the sewer pipes
is detected by the sensors attached to manholes, and the water level on the
ground is detected by the sensors attached to the power poles. In Tsukubamirai
59

Meiden Group CSRCity, real-time observation information and water level prediction information are
integrated as disaster prevention information and utilized for road closures/trafficroute determination, sandbag/water stop board installation, evacuation calls,
rescue/recovery determination, etc., as well as information provision to citizens asneeded. In this way, efforts to achieve disaster prevention and mitigation by
centrally monitoring water levels above and below the ground are the firstattempts in Japan to contribute to corresponding to climate change.
Through this demonstration experiment, we contribute to the creation of asustainable community that is responsive to issues relating to flooding andinundation.

*1: Source: Japan Meteorological Agency national (AMeDAS) annual frequency ofrainfall of 50 mm or more in one hour60

Meiden Group CSRHome Sustainability

Environment

Biodiversity

Environment

Biodiversity
PolicyPolicy on the Conservation of Biodiversity

The Meiden Group relies on the blessings of nature, which has biodiversity at its core, while its
activities also have an effect on the natural environment. The Meiden Group aims to minimize
this effect and contribute to the creation of a sustainable society.
The Meiden Group understands that the conservation of biodiversity is a major issue to be
faced in order to achieve a sustainable society and the Meiden Group’s Basic Environmental
Philosophy and Environmental Action Guidelines, as well as the Meiden Group Environmental
Vision reflect our ethos in relation to the conservation of biodiversity.
Furthermore, we have drafted guidelines on the conservation of biodiversity in order to clearlystate the relationship between our business activities and preserving biodiversity and we areapplying them in our business activities.

Meiden Group Biodiversity Guidelines
Basic Policy

We understand that our business activities benefit from the blessings of nature and at thesame time, give various environmental impacts. We will deepen our people’s understanding of
the importance of “Conserving Biodiversity” and contribute to realizing a sustainable society
through our products and innovative technologies.

Action Guidelines❶ We will contribute to conserving biodiversity through the development and supply ofenvironmentally conscious products and innovative related technologies and thus promote ourwater processing business and renewable energy-related business and reduction of the use ofhazardous chemical substances in our products.
❷ We will clarify how our business activities interrelate with biodiversity and we will help toconserve biodiversity by reducing the environmental impacts of our business activities.
❸ We will comply with applicable laws, regulations and international rules relating tobiodiversity.
❹ We will deepen our people’s understanding of “conserving biodiversity” and we will takevoluntary related initiatives at home and abroad.
❺ We will undertake activities in cooperation with our stakeholders such as local communities,
non-profit organizations (NPOs), and non-governmental organizations (NGOs), governments,
etc., and we will promote environmental communication with such activities’ information.
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Meiden Group CSR

Map of Relationships between Business Activities and Biodiversity* This map is based on the Business & Biodiversity Interrelationship Map® of the Japan
Business Initiative for Biodiversity (JBIB).
Initiatives

A Head Office Building that is Considerate of Biodiversity

The ThinkPark Tower head office building in Osaki, Shinagawa City, Tokyo, is surrounded by theThinkPark Forest on a block that is approximately 40% greenery. It is an oasis in the city andprovides a relaxing space for employees and the local community.
Also, the Kazenomichi Path, which was designed so that the prevailing wind blows from the
Meguro River and Tokyo Bay, provides relief from the heat island effect. ThinkPark Forest has
been certified as an “urban oasis” by the Social and Environmental Green Evaluation System(SEGES).**A certification system for evaluation of green initiatives.
SEGES

ThinkPark Tower

ThinkPark Forest

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Meiden Group CSR

Initiatives at Each Site for the Conservation of Biodiversity

At each site of the Meiden Group, we are working to conserve biodiversity on the grounds ofeach site and nearby.

Head Office Area

Nature Appreciation Events

Each year, we hold nature appreciation events in the green area (ThinkPark Forest) surrounding
our head office (ThinkPark Tower), where we receive instruction from the Nature Conservation
Society of Japan. In fiscal 2019, we held a nature appreciation event for the students at a local
elementary school with the theme of “search for cicadas in the Osaki forest” as part of ourcommunity contribution activities. At the nature appreciation event, the children searched for
cicadas and cicada shells in outdoor field work, and learned the life of a cicada and its shell. It
was a great opportunity for both children and adults with an interest in cicadas or nature.

Ikimono Log (Living Nature Log)

In the head office area of Osaki, Shinagawa Ward, Tokyo, we take pictures of the organismsthat live in the vicinity of the head office building and post them on the Ikimono Log (Living
Nature Log) website operated by the Ministry of the Environment. We hope to create a
database with information on the organisms that live in the area.

Brown-eared bulbuls

Warbling white eye

Asian swallowtail butterfly

Click here to view Ikimono Log.
63

Meiden Group CSRParticipation in Tree-Planting and Juvenile Fish Release Activities

Meidensha’s Water Infrastructure Systems Business Unit participated in the Fiscal 2019 Water
Source Reforestation Project conducted by the Association of Iwate Central Water Supply
Companies and the Toyosawagawa-Tochikairyoku（Toyosawa River Land Improvement Zone）.
Meidensha is responsible for the maintenance and management of plumbing infrastructure in
the Association of Central Iwate Water Supply Companies’ Shiwa area. We approve of theintent to “contribute to a stable water supply into the future” and have participated annually
since fiscal 2016.
In fiscal 2019, 10 employees participated, not only planting beech trees, but also releasing
juvenile landlocked salmon and white-spotted char.
Meidensha will continue to maintain and manage water infrastructure, contribute to thepreservation of water resources, and actively participate in activities to leave abundant nature
for the next generation.

Numazu Works

The Numazu works is blessed with the bounty of nature such as a green zone (area =approximately 65 thousand m2) and groundwater. We are conducting activities use thesenatural resources in a sustainable manner and contribute to the community.

Summer Holiday Eco Classroom for Parents and Children

At the Summer Holiday Eco Classroom for Parents and Children held by Numazu City, we
introduced the environmental activities undertaken at the Numazu works. In fiscal 2019, there
were 43 families living in Numazu City. They participated in surveys of organisms, building
electrical circuits, test rides in electric vehicles, events featuring rhinoceros beetles and stag
beetles, made possible by the support of Meiden System Manufacturing Corporation, and atour of the solar power system at the south office block, which was completed in May, 2018.
This event was a good opportunity to provide fond memories of the summer holidays for bothparents and children while teaching them about the appeal of connections with nature.

64

Meiden Group CSR

Ikimono Map (Living Nature Map)

We survey the diverse range of organisms that inhabit the grounds and include them in the
Meidensha Numazu Works Ikimono Map (Living Nature Map).
In fiscal 2019, we conducted a survey of the organisms in the green zone in the grounds anddiscovered organisms such as the Asian swallowtail butterfly and the blue rock thrush. The
results of the survey will be used in future activities.
Click here to view the Meidensha Numazu Works Ikimono (Living Nature) Map.

Maintaining Biotopes

Through the survey of organisms, we discovered atrocalopteryx atrata dragonflies, which areclassified as class II endangered species, at the Numazu works. We hope to maintain a biotope
where these dragonflies will lay their eggs.

Numazu Machipika (Street Cleaning) Support Group

Meidensha participated in the Numazu Machipika (Street Cleaning) Support Group Program
conducted by Numazu City, and conducts street-cleaning activities in the areas around its sites.
The Numazu works is located next to a river, and there is a risk of litter on the streets will flowout from the river to the sea. Cleaning-up activities prevent river waste from flowing into thesea and contribute to solving marine plastic waste problems.

Ota Works

Botanical Survey of On-Site Green Zone
At the Ota works, we conducted an on-site botanical survey and found more than 30 varietiesof trees. We included the results of the survey on the Ota Works Green Zone Map and we will
65

Meiden Group CSR

apply the knowledge gained fur future utilization of the green zone.

Ota Works Green Zone
Map
Kanayama Red Pine Forest Conservation Activities
The red pine forest in Kanayama is the most well-known natural landscape in Ota City.
Kanayama castle was created using the natural contours of Kanayama and it is a precious
historic site that is listed in the top 100 castles in Japan. The Ota works is registered as part of
the “red pine management owner system” and we work to conserve the red pine forest byparticipating in activities such as weeding.

Elimination of Plastic Shopping Bags from the On-Site StoreThe problem of marine pollution caused by plastic waste has spread over a wide area, andthere is concern that it can adversely affect the ecosystem, living environment, fisheries,
tourism, etc. The use of plastic bags has been abolished since July 2020 at on-site shops in the
Meiden Group's Numazu and Ota works. Shops sell eco-bags instead of using plastic disposablebags at the checkout; and we educate all employees on the problem of marine plastics waste inorder for them to establish their custom carrying around their own bags.

66

Meiden Group CSRThe Biodiversity Working Group, The 4 Electrical and Electronic
Industry Associations

Meidensha has participated in the Biodiversity Working Group since its creation by the fourelectrical and electronic industry associations* in fiscal 2011. Through this working group, we
have promoted the biodiversity initiatives of industry associations and maximized theeffectiveness of our own initiatives as a part of the electrical and electronics industry.
In fiscal 2019, we summarized our approach to the marine plastics issues in the electrical andelectronics industry as a leaflet.

Click here to view information on the Electronic Industry Associations
Biodiversity Working Group.

* The Japan Electrical Manufacturers’ Association (JEMA), the Japan Electronics andInformation Technology Industries Association (JEITA), the Communications and Information
Network Association of Japan (CIAJ), and the Japan Business Machine and Information System
Industries Association (JBMIA)

67

Meiden Group CSRHome Sustainability

Environment

Promotion of Environmental Communication

Environment

Promotion of Environmental Communication
PolicyThe Meiden Group engages in two-way communication with all of our stakeholders, which is
intrinsically linked to the success of our environmental activities. We also actively disseminate
information on our activities and their results.
Initiatives

Promotion of Environmental Communication

The Meiden Group is working to create relationships of trust in order to remain a company thatis relied on by society.
We actively release information concerning our environmental conservation activities andenvironmental impact through our website. We reflect the opinions and needs expressed by our
stakeholders in the Meiden Group’s environmental activities and environmental training.

Environmental Communication

68

Meiden Group CSR

FY2019 Initiatives

Tohoku Branch
Work to Restore Substations Damaged by the Great East Japan Earthquake

Meidensha received a certificate of appreciation from Tohoku Electric Power Co., Inc currently
known as Tohoku Electric Power Network Co., Inc. for contributions to the restoration of the
Okuma Substation, which suffered damage due to the Great East Japan Earthquake. The
certificate of appreciation was awarded for supplying substation equipment and working tocomplete restoration for the Okuma Substation in Fukushima Prefecture, which was asubstation owned by Tohoku Electric Power Co., Inc. that was damaged by the Great East Japan
Earthquake on March 2011. The construction has been completed at the Okuma Substation on
June 2018, and the operation was recommenced.
The Okuma Substation in Okuma City, Fukushima Prefecture, is located about 2 km from the
Fukushima Daiichi Nuclear Power Plant. In addition to being located in difficult-to-return areawith a high radiation dose, Okuma Substation was the only substation that was suspended fromrestoration work at a total of 75 affected substations in four prefectures of Aomori, Iwate,
Miyagi, and Fukushima because of decrease in electricity demand associated with theevacuation of neighboring local residents. However, once an intermediate waste storage facility
started operations as an interregional decontamination work began in both Okuma town andFutaba town, the Okuma Substation also needed an urgent restoration to supply power tothem, and that we were required to work in a short construction period.
We therefore proposed a compact container cubicle-type substation, as positioning
switchboards and switches inside containers saves space compared to installing individual
devices, and installation of containers reduces the on-site labor required for wiring andchecking. In this way, we were able to work efficiently in the restricted area within a limited
period of time, as well as to suppress radiation doses to workers even when working in adifficult-to-return area.
The cubicle-type compact substation that was delivered to Okuma Substation on this occasion
was a new proposal that arose through animated exchange of opinions with Tohoku ElectricPower Co., Ltd. (currently Tohoku Electric Power Network Co., Inc.) in order to overcome
various restrictions and conditions. Unlike conventional proposals to install individual devices,by amalgamating devices in a single unit, we expect to benefit from a range of advantages
including reduced costs and shorter delivery times.
Going forward, we continue to contribute to realize a more prosperous future society throughactive communication with customers and original ideas not bound by precedent.

Container cubicle

69

Ship the whole containeron the flatbed of a truck.
Meiden Group CSRHome Sustainability

Environment

Foster Environmental Awareness

Environment

Foster Environmental Awareness
PolicyThe Meiden Group believes that increasing each person’s environmental awareness leads toenvironmental contributions to society.
Initiatives

Foster Environmental AwarenessWe conduct education relating to environmental initiatives such as environmental management
and environmentally conscious design as part of the curriculum for employee education, whichis conducted for each level of employee such as new employees, new managers, andcandidates for executive roles.
Furthermore, we promote environmental activities at each site, conduct internal auditor
education, etc., for personnel that are involved with work that impacts the environment, andconduct specialist education as necessary.

Environmental Education (e-learning) for All Employees

Each year, we conduct environmental education for all employees of the Meiden Group throughe-learning. In fiscal 2019, we conducted education for the whole group under a theme “theMeiden Group’s medium to long-term environmental targets,” in order to contribute to theachievement of environmental management SDGs. We also conducted education for “Meiden
Group businesses and SDGs.”

Promoting Acquisition of Certification Test for Environmental Specialists (EcoTest) ® Certification

We promote acquisition of Certification Test for Environmental Specialists (Eco Test)®
certification provided by the Tokyo Chamber of Commerce and Industry, and provide support
for examination costs and provide sample questions, etc., through e-learning. In the December
test in fiscal 2019, our pass rate was over 95% and we have 882 Eco Test certification holders
including loan employees as of March 2020.
*Eco Test® is a registered trademark of the Tokyo Chamber of Commerce and Industry.

Specialist Education

We promote environmental activities at each site, conduct internal auditor education, etc., forpersonnel that are involved with work that impacts the environment, and conduct specialist
education as necessary. In fiscal 2019, we conducted education concerning the legal
requirements for chemical substances at factories. In addition, we also conducted education
70

Meiden Group CSR

for branches concerning management of chemical substances in products (RoHS directive and
REACH regulations, etc.).

Education Concerning Environmental Laws

We conduct education relating to environmental laws as part of our compliance training. In thisregard, in fiscal 2019 we held lectures concerning the Air Pollution Control Act and the Water
Pollution Prevention Act, etc. We are providing our employees with opportunity to recognize theimportance of compliance by explaining cases of legal violations.

Environmental Management Seminars for Management-Level Employees

We invite outside experts to give environmental management seminars from time to time.
In particular, responding to an explanation we received in 2019 of the trends related to TCFD,
Task Force on Climate-related Financial Disclosures, and examined our activities at Meidensha.

71

Meiden Group CSRHome Sustainability

Environment

Overview of Environmental Impacts by Our Business Activities

Environment

Overview of Environmental Impacts by Our Business Activities

The Meiden Group finds out the overview of environmental impacts by our business activities
and uses this information to plan specific activities.

Overview of Environmental Impacts by Our Business Activities(FY2019)

Our rate of use of major resources (INPUT) and our environmental impacts from our businessactivities (OUTPUT) are shown below.

72

Meiden Group CSRHome Sustainability

Environment

Environmental Impact Data (Fiscal 2018) from the Four Main Manufacturing Sites (Domestic Manufacturin

Environment

Environmental Impact Data (Fiscal 2019) from the Four Main
Manufacturing Sites (Domestic Manufacturing Sites)
Numazu Works

Message from the Environmental Manager
The Numazu works is the main factory of the Meiden Group and conducts development,
design, and manufacture of monitor and control equipment, power conversion equipment,
substation equipment, variable speed drives, electronic devices, and lightning arresters,
installation of control devices, development of unit software, and on-site installation, and aftersales service for products.
In fiscal 2019, we focused on reducing environmental impact through business efficiency andpreventing pollution. Going forward, we will roll out environmental activities that contribute toimprovements in productivity.
Environmental Impact Data (Fiscal2019)73

Meiden Group CSROta Works

Message from the Environmental Manager
The Ota works conducts development and manufacture of large electric generators, generationequipment, dynamometer systems, and control equipment, etc.
In fiscal 2019, we engaged in energy efficiency activities, applying the 3Rs to waste, reducing
harmful substances, environmental contribution through products, and community contribution
activities (including weeding beneath Kanayama pines, which are the symbol of Ota City). Goingforward, we will promote activities to reduce our environmental impact in order to achieve
SDGs.
Environmental Impact Data (Fiscal2019)74

Meiden Group CSRNagoya Works

Message from the Environmental Manager
The Nagoya Works conducts development and manufacture of logistics and transport products
and ceramic flat membranes that are used in water treatment.
In fiscal 2019, we engaged in reduction of greenhouse gasses, reduction of environmental
impact from business activities, reduction of waste discharge by the 3Rs, eliminating harmful
substances, and responding to water risk. Going forward, we will promote biodiversity
preservation and visualization of water usage, and electricity, and actively promote improved
efficiency of energy usage.
Environmental Impact Data (Fiscal2019)75

Meiden Group CSR

Kofu Meidensha Electric Mfg. Co., Ltd.

Message from the Environmental Manager
Since its foundation in 1943, Kofu Meidensha Electric Mfg. Co., Ltd. has been manufacturingindustrial motors for small to medium capacity and forklift, and has been manufacturing EV
motors since 2009. In fiscal 2019, we undertook various initiatives relating to prevention of
global warming, elimination of harmful chemical substances, reduction of waste discharge by
promoting the 3Rs, preservation of biodiversity, promotion of green procurement, and working
with local communities based on our environmental policy.
In accordance with a new factory for EV motors and a new line at the second plant will start
operations in fiscal 2020, we are committed to environmental activities throughout the Kofu
area to minimize the increase in environmental load.
Environmental Impact Data (Fiscal2019)76

Meiden Group CSRHome Sustainability

Environment

Third-Party Verification

Environment

Third-Party Verification

In order to ensure that we release accurate and reliable
environmental performance data for fiscal 2019, we haveundergone an assessment by Bureau Veritas Japan Co., Ltd.

Verified greenhouse gas emissions
Greenhouse gas emissions[t-CO2e]
Scope 1
16,491
Scope 2
24,980(location basis)
24,724(market basis)
Scope 3
787,564(Category 1)

Scope of calculation
CO2 (including emissions from use of automotive fuel),
HFC, HCFC, and SF6 emissions from energy used forthe business activities of Meidensha and 18 domestic
Group companies during the period from April 1, 2019
to March 31, 2020.
Category 1 emissions (scope of calculation is based on
Meidensha’s determination) from the businessactivities of Meidensha during the period from April 1,
2019 to March 31, 2020.

Assessment Standards

ISAE3000: International Standard on Assurance Engagements (ISAE) 3000
ISO14064-3: Specification with guidance for the validation and verification of greenhouse gas
assertions

77

Meiden Group CSRHome Sustainability

Environment

Issue of Green Bonds

Environment

Issue of Green Bonds

In July 2019, we issued green bonds through public offering for the purpose of funding massproduction equipment for Motors and Inverters for Electric Vehicles.
In June 2018, Meidensha pledged to reduce greenhouse gas emissions by 30% by fiscal 2030
(compared to fiscal 2017 levels) and as part of the First Meiden Environmental Vision and weare promoting reduction of environmental impact. Furthermore, we understand that
contributing to the achievement of sustainable development goals (SDGs) is a major
management issue facing the Company and we are promoting the environmental contribution
business by rolling out environmentally conscious products and services.
By issuing green bonds, we plan to expand our capital procurement resources and deepen theunderstanding of a wide range of stakeholders regarding our active environmental initiatives.

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Meiden Group CSR

Meidensha Green Bonds
OutlineName of bonds"Meidensha Corporation 2nd Series Unsecured Straight Bonds (withpari passu agreement limited to corporate bonds) (Green Bonds)"
Also known as
Meidensha Corporation Green Bonds
Maturity
5 years
Total amount of issue 6.0 billion yen
Coupon rate
0.260％
Issue price
100 yen for each 100 of corporate bonds
Date of issue/date of July 23, 2019 to July 23, 2024
maturity
Redemption method Bullet payment at maturity
Subscription method Open invitation
Security/guarantee Unsecured and non-guaranteed
RatingBBB+ (Japan Credit Rating Agency, Ltd./Rating and Investment
Information, Inc.)
Use of proceeds
To provide partial funding of enhancement of mass-production
facilities for electric vehicle components
Lead managing
SMBC Nikko Securities Inc.
underwriter
Green Bond
SMBC Nikko Securities Inc.
Structuring Agent
Principles with which Climate bond standard version 2.1
to confirm
Low Carbon Transport (Land) Standard Version 1.0 (CBI)
complianceGreen Bond Principles 2018 (ICMA)
Green Bond Guidelines 2017 Edition (MOE)

List of investors that have declared their investment in corporatebonds(As of July 17, 2019 in alphabetical order)
Aichi Shinkin Bank

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Meiden Group CSR

Daitokyo Shinyokumiai
Fukoku Mutual Life Insurance Company
Hanno-Shinkin BankJA Bank Fukuoka
JA Bank Ibaraki
JA Bank Iwate
Kameari Shinkin Bank
Kesennuma Shinkin Bank
Kiryu Shinkin Bank
Kitami Shinkin Bank
Meiji Yasuda Asset Management Company Ltd.
Sugamo Shinkin Bank
Sumitomo Mitsui DS Asset Management Company, Limited
Sumitomo Mitsui Trust Asset Management Co., Ltd.
Taiyo Life Insurance Company
THE BANK OF NAGOYA, LTD.
THE DAIDO FIRE AND MARINE INSURANCE COMPANY LIMITEDTHE KAGAWA BANK, Ltd.
THE TOWA BANK, LTD.
Tokio Marine & Nichido Fire Insurance Co., Ltd.
Tokio Marine Asset Management Co., Ltd.

External Evaluation of ComplianceGreen bond framework

Meidensha Green Bonds are issued and managed according to the Green Bond Framework
developed in accordance with the Green Bond Principles 2018*1 drafted by the International
Capital Market Association, the Green Bond Guidelines 2017*2 Edition drafted by the Ministryof the Environment, and the Climate Bond Standard Version 2.1*3 drafted by the Climate
Bonds Initiative (CBI).

Second-party opinion and ratings

Compliance with these green bonds is assessed by the Japan Credit Rating Agency (hereinafterJCR) according to the JCR Green Bond Evaluation, and the bonds received a rating of Green 1,
which is the highest rating, as they fulfilled the Green Bond Principles 2018 and the Green
Bond Guidelines 2017.

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Meiden Group CSR

JCR green bond assessment attached

Verification

DNV GL Business Assurance Japan K.K. (DNV GL), one of the world's leading organizations toevaluate and accredit the ESG performance, has verified that Meidensha Green Bonds cleared
the requirements in the Climate Bonds Standard Version 2.1 as well as related technologicalstandards.
Pre-assessment report issued by DNV GL

Certification

Meidensha has received certification from Climate Bonds Initiative (CBI), an international
nongovernmental organization dedicated to promoting large-scale investments to realize a lowcarbon society that sets stringent standards for the issuance of such bonds. Meidensha is thefirst Japanese private enterprise to receive the CBI certification.
Additionally, JCR and DNV GL has received the notification of Green Finance Organization
JAPAN’s decision to grant as subsidy as part of the Financial Support Programme for Green
Bond Issuance of MOEJ’s FY 2018*4.

Green bond framework
1. Use of Proceeds

Eligible green project: Equipment for mass production of electric vehicle components
Outline of facility expansions(Total investment: Approx. 7 billion yen)
Nagoya Works: Renovation of existing buildings and introduction of new facilities
Location
496 Ittangosewari, Nishibiwajimacho, Kiyosu City, Aichi
Prefecture
Parts to be produced
Inverter-Integrated Motor Units for EVs
Start of operations
Scheduled for November 2019
Total floor space
4,620m2
Production capacity
Maximum annual production of 170,000 units
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Meiden Group CSR

Kofu Meidensha Electric Mfg. Co., Ltd.: Construction of new building and introductionof new facilities
Location
825 Nakadate, Chuo City, Yamanashi Prefecture
Parts to be produced
Motors for EVs
Start of operations
Scheduled for November 2019
Total floor space
2,660m2
Production capacity
Maximum annual production of 170,000 units
Numazu Works: Expansion of facilities
Location
515 Kaminakamizo, Higashimakado, Numazu City, Shizuoka
Prefecture
Parts to be produced
Inverters for EVs
Start of operations
Scheduled for April 2019
Total floor space
240m2
Production capacity
Maximum annual production of 120,000 units

2. Process for Projects Evaluation

Nominated green bond projects were selected and evaluated by Meidensha Accounting &Financing Group Financing Division, after the consideration of conformity to qualified criteria,
based on the Group's management philosophy, environmental vision, and CSR critical issues.
Final approval of the project selection is implemented by the director of treasury executives of
the company decision making committee. Furthermore, we also conduct verification of negativeenvironmental impact of eligible projects.

3. Management of Proceeds

The proceeds from the Green Bonds will be fully allocated to eligible projects and assets andtracked. Fund allocation will be implemented in one year after bond issuance. The proceeds will
be managed by the Meidensha Accounting & Financing Group Financing Division. The proceeds
outstanding balance will be managed by internal Meidensha forms (earmarked by numbering)and its budget and actual expense tracked with Meidensha internal protocol (accounting
management scheme) quarterly. These will be requested to receive approval from the
Meidensha General Manager of Financing Division to avoid deviation (financial outflow).
Meidensha also manages the preservation of documents related to cash management by using
the accounting document retention term list and through the accounting regulations of
Meidensha concerning the scope and preservation of accounting documents.
Until the allocation of procurement funds is decided, we will manage cash or cash equivalents
equal to funds.
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Meiden Group CSR

4. Reporting

Funding status reporting

We will report the status of funding once a year until the full amount of funds to be procured isapplied to projects that meet qualified criteria. Disbursement status disclosed is as follows: (1)Amount of funds appropriated, (2) Approximate amount or ratio in case of unappropriatedfunds, operation schedule of allocated time, and unappropriated period, (3) Estimated amountor percentage when the refund is applied.
We will disclose in a timely manner if there is a major change in the procurement funding planor when there is a significant change in the fund status after the procurement funds havestarted to be appropriated.

Impact reporting

Until Green Bonds are redeemed, the following indicators showing the progress status ofqualified projects funded and the environmental improvement effect are scheduled to bedisclosed once a year on our website.
KPI in Impact Reporting: Annual CO2 emission reduction from eligible projects*5*1 The guideline regarding green bond Issuance is written by Green Bond Principles Executive
Committee which is facilitated by ICMA (International Capital Market Association.)*2 MOEJ (Ministry of the Environment of Japan) has established “the Green Bond Guidelines,
2017” in March 2017 with the purpose of spurring issuances of Green Bonds and investmentsin them in Japan. The Guidelines, with due consideration to the consistency with the GBP, which
is widely accepted in the Green Bond markets in the world, provide issuers, investors and othermarket participants with illustrative examples of specific approaches and interpretations
tailored to the characteristics of the Japan's bond market which will aid these market
participants to make decisions on working-level matters related to Green Bonds.
*3 Climate Bonds Standards (CBS) is a standard developed by Climate Bonds Initiative (CBI),
the UK’s international nongovernmental organization, which includes certification process, preissuance and post-issuance requirements and sectoral eligibility and guidance. And is aimed
with the objective of “Ensuring credibility and transparency of Green Bond’s contribution to theenvironment. CBS imposes a sectoral standard, and it is necessary to meet the applicablesectoral standard in judging the eligibility of projects and assets covered by the green bond.
*4 A program where subsidies will be provided for the expenses that are required by those who
support companies, municipalities and other bodies who seek to issue Green Bonds, in the formof granting external reviews, consultation on establishing a Green Bond framework, etc.
(1) A Green Project that meets one of the following criteria:
1. Contributes mainly to domestic decarbonization (renewable energy, energy efficiency,
etc.)
Projects for which equal to or more than half of the procured amount, or equal to or
more than half of the number of projects is domestic decarbonization-related
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Meiden Group CSR

project.
2. Has high decarbonization and effects on vitalization of local economy
Decarbonization effects Those whose subsidy amount per ton of domestic CO2
reduction is less than the specified amount.
Effects on vitalization of local economy Projects that are expected to contribute toeffects on vitalization of local economy as part of the ordinance and plan, etc.
decided by the municipality, projects for which investment by municipalities can be
anticipated, etc.
(2) Compliance with the Green Bond Guidelines to be confirmed by an external review
organization before issuance.
(3) It cannot be “Green wash” bonds.
*5 The formula for calculation differs from Meidensha’s calculation of environmental
contribution and CO2 emissions reduction, which are stated under Meidensha’s environmental
targets, as they are calculated according to the ICMA Green Bond Principles 2018, the MOE
Green Bond Guidelines 2017, the CBI Climate Bond Standard Version 2.1, and the Low Carbon
Land Transport and the Climate Bonds Standard (v1.0).
This content is provided for the sole purpose of publicly announcing the Company’s
issuance of the Bonds, and not for the purpose of soliciting investment or engaging in any
other similar activities within or outside of Japan.

84

Meiden Group CSRHome Sustainability

Corporate Governance

Sustainability

Corporate GovernanceCorporate GovernanceRisk Management

Compliance Policy and System

85

Meiden Group CSRHome Sustainability

Corporate Governance Corporate GovernanceCorporate GovernanceCorporate Governance
PolicyBasic Approach

Under our corporate mission of “illuminating a more affluent tomorrow” and our corporate
philosophy of providing the value “for customer peace of mind and satisfaction,” our group ofcompanies takes the basic stance that we maintain fair and steady business activities withrespect for people and the global environment, operate businesses focusing on profit whileconstantly pursuing new technology and high quality, and endeavor to contribute to prosperityof society. In order to implement this basic stance, we formulated the “Basic Policy to Improve
the Governance to Secure Fair Business Practices” at the regular Board of Directors meeting
held in May 2006. (This basic policy was revised at the regular Board of Directors meeting heldin June 2020 to reflect the transition to a company with an Audit & Supervisory Committee andfurther enhancement of the internal control promotion system.)
The Company will work to further improve the efficiency and fairness of management bypromoting initiatives to enhance corporate governance in accordance with the Corporate
Governance Code.
Organization and Initiatives

Corporate Governance Structure and Initiatives

The Company transitioned from the former institutional structure of a company with an Audit &Supervisory Board to a company with an Audit & Supervisory Committee at the Ordinary
General Meeting of Shareholders held on June 26, 2020.
The main purpose of transitioning to a company with an Audit & Supervisory Committee is asfollows.
(a) In order for the Directors who are members of Audit & Supervisory Committee having
right to vote in the Board of Directors as well as having the right to express position
statement on nomination and remuneration at shareholder’s meetings to further enhance
the supervisory function by utilizing the legal authority.
(b) In order to further enhance discussions on management strategies, etc. by transferring
the Board of Directors meeting to a monitoring type, since a substantial portion of theBoard of Directors' authority to make decision on business execution can be transferredto the Executive Director.
(c) In order to further promote the separation of supervision and execution with regard to
the executive officer system introduced in June 2003, in combination with transition of
authority mentioned in the previous section (b).
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Meiden Group CSRCorporate Governance Structure: Supervision and Management and Internal Control
SystemOutline of Corporate Governance Structure
Form of
Organization
Directors
Directors (Audit &Supervisory
Committee
Members)
Number of
Independent
Officers

Company with an Audit & Supervisory Committee
Number of directors (outside directors): 9 (2)Number of directors (outside directors): 5 (3)
5 (2 outside directors and 3 outside directors (Audit & Supervisory
Committee members))(1) The Company’s Board of Directors

In principle, the Board of Directors convenes on a regular monthly basis and holds ad-hoc
meetings as necessary, to discuss major executive matters, business issues, and management
issues related to the Company's business execution. In fiscal 2019, the Board of Directors held
13 meetings, and attendance rate of all Directors was 100%.

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Meiden Group CSR

① Composition of Board of Directors

The Company's Board of Directors consists of 14 Directors, including five directors who are
Audit & Supervisory Committee members, and five Outside Directors, including three Audit &Supervisory Committee members.
In order to ensure the effectiveness of the supervisory functions of outside directors, theCompany attempt to ensure that at least one-third of the Board of Directors meets theCompany's Criteria for Determining the Independence of outside directors.
Meidensha’s outside directors satisfy the requirements of independent directors as stipulated
in the rules of the Tokyo Stock Exchange.

② Policy for Appointment of Candidates for Director and Appointment/Dismissal
Process

The basic policy of the appointment of Directors of the Company is to ensure the diversity of
the Board of Directors as a whole and to balance the knowledge, experience, or abilities.
The basic policy of the appointment of Directors who are Audit & Supervisory Committee
members is to balance the accounting, finance, and legal knowledge. The number of directors
is stipulated as a number that is sufficient to fully deliberate on management issues, with an
upper limit of 15 members.
Based on the above, we conduct a nomination of candidates for director that will contribute to
the enhancement of the Board of Directors decision-making function and oversight function,
by resolution of the Board of Directors, with advice from the Nomination and Remuneration
Committee* (voluntary committee), which is chaired by an independent outside director. The
candidates are then presented at the General Meeting of Shareholders.
Furthermore, with regard to the dismissal of directors, if it is discovered that a director hasbreached the law or the Articles of Incorporation, or committed acts that flagrantly breach thedirector’s nomination policy, the Board of Directors will take the necessary steps to dismiss
said director with the advice of the Nomination and Remuneration Committee.
*Meidensha established a voluntary Remuneration Committee in December 2017. In December
2018, the Committee took on the functions of a voluntary nomination committee to become
the Nomination and Remuneration Committee. The Nomination and Remuneration Committee ischaired by an independent outside director and is comprised of two outside directors, thechairman of the Board of Directors, and the president of the Board of Directors.

③ Executive Officer System and Executive Structure

Meidensha introduced an executive officer system in June 2003 in order to streamline theBoard of Directors, as well as to accelerate management decision-making and to enhancesupervisory functions. At the same time, we sought to reinforce the functions of the Board of
Directors by promoting the separation of the decision-making authority and supervisory
function from the business performance function held by the Board of Directors.
Executive officers selected by the Board of Directors assume responsibility for the execution of
specified tasks within the scope of authority transferred by the representative directors, andnimbly perform executive functions under the supervision of the representative directors, inaccordance with the Meiden Group’s management policies determined by the Board of
Directors.
88

Meiden Group CSRThe executive committee, which comprises executive directors and executive officers withspecific roles, is created for executive decision-making, and decides matters based on the rulesof internal approval, as well as matters for which consultation from a full-company perspective
is required.
Furthermore, apart from the meeting body to make decisions, we established advisory andinternal bodies such as review and strategy meetings, and with regard to importantmanagement matters, we created a system wherein thorough discussion and deliberation are
conducted prior to decision-making, and follow-up strategy and planning and improvement
initiatives are conducted following decision-making.
The outline and main points of the proceedings at the Executive Committee and other internal
meetings are reported as the status of business execution at the Regular Board of Directors
meetings to ensure and improve the effectiveness and supervisory functions of the Board of
Directors. As to execute business, executive directors and executive officers with the authority
are taking attempt initiatives agilely by making resolutions and settlements. In this way, we areworking to conduct executive functions autonomously and nimbly.
With the significant transfer of the authority for business execution from the Board of
Directors to the executive officers, officers and executive officers must submit a businessexecution status report to the Board of Directors at least once every three months in order toensure the effectiveness of functional supervision by the Board of Directors.

(2) Effectiveness Evaluation of the Board of Directors

Meidensha has a mechanism in place to conduct an analysis and evaluation of the effectivenessof the Board of Directors in order to strengthen the supervisory function of the Board of
Directors.
With regard to the activities of the Board of Directors in fiscal 2019, all members of the Boardof Directors, including outside officers, conducted self-evaluations of the effectiveness of theBoard of Directors, and the following discussions took place at the meeting of the Board of
Directors in May 2020.
i. Items EvaluatedComposition and operation (resolution and deliberation methods, etc.) of the Board of
Directors, self-evaluations concerning effectiveness of the Board of Directors, other opinions
ii. Outline of Analysis and Evaluation Results
The results of the evaluation of each director and Audit & Supervisory Board Member werecollected, and after deliberation by the Board of Directors, it was determined that the quality ofoperation and deliberation is sufficient, sufficient opinions and advice have been received fromoutside directors and outside Audit & Supervisory Board Members, and the effectiveness of
the Board of Directors is currently secure.
In addition, through the establishment of a system in line with the transition to a company with
an Audit & Supervisory Committee, we confirmed our evaluation that there is a trend topromote further deliberation and enhancing of the supervisory function of the Board of
Directors.We will also improve understanding of Meidensha’s business environment andstrategy and provide ongoing opportunities for discussion such as through explanations in
89

Meiden Group CSR

advance, meetings to exchange opinions, and explanatory programs outside of the initiatives of
the Board of Directors referred to below.

Composition of the Board of Directors, Nomination & Remuneration Committee, andAudit & Supervisory Board and FY2019 Attendance (Period: April 1, 2019 to March 31,
2020)
Name

Position (as of March 31,
2020)

Board of Nomination & Audit &Directors Remuneration Supervisory
Committee
Board(13 / 13) (4 / 4)
－
〇

Yuji
Hamasaki

Representative Director,
ChairmanMember of Nomination andRemuneration Committee
Takeshi
Representative Director,
Miida
President
Member of Nomination andRemuneration Committee
Masamichi Representative Director,
Kuramoto Executive Vice President
Shosuke Director, Executive Vice
Mori
President
Nobutoshi Director, Senior Managing
Ohashi
Executive Officer
Norio
Director, Senior Managing
Takekawa Executive Officer
Nobuaki Director, Senior Managing
Tamaki
Executive Officer
Hiroyuki Outside Director
Takenaka Member of Nomination andRemuneration Committee
Junji Yasui Outside Director
Member of Nomination andRemuneration Committee
Taketora Audit & Supervisory Board
Ito
MemberSeiji Kato Audit & Supervisory Board
Member90(13 / 13)

(4 / 4)－(13 / 13)－－

(13 / 13)－－

(13 / 13)－－

(13 / 13)－－

(13 / 13)－－

(13 / 13)

(4 / 4)〇－(13 / 13)

(4 / 4)－(13 / 13)－

(13 / 13)－

(6 / 6)〇(6 / 6)

Meiden Group CSRYoshiaki Outside Audit & Supervisory(12 / 13) －(6 / 6)
Shin
Board Member
Mitsuru
Outside Audit & Supervisory(13 / 13) －(6 / 6)
NawataBoard Member
Note 1: Refers to the chair of the Board of Directors, Audit & Supervisory Board, and eachcommittee
Note 2: Attendance of each type of meeting is market as XX out of XX
Training for Officers
Legal training is conducted for officers on an annual basis, for the purpose of improving theeffectiveness of the Board of Directors and internal control.
In fiscal 2019, we conducted training for our officers by outside instructors, relating tocompliance and risk management, as part of internal control activities conducted at allcompanies.
The Meiden Group conducted trainings on the Companies Act for new officers of Meidensha
and affiliated companies.

(3) Initiatives to Utilize Outside Directors

Meidensha seeks active participation in management by outside officers, in order to enhance
the supervisory function of the Board of Directors. As such, we are conducting the following
initiatives to ensure free and active debates.

① Initiatives at the Board of Directors
i. Advance Explanation of Agendas of the Board of Directors
We give explanations in advance so that directors are able to confirm the content of agenda
items prior to participating in meetings of the board of directors. Our system allows us toaccept questions, etc., relating to the content of agendas in advance and prepare an
explanation to be given at the meeting of the Board of Directors, and this revitalizes andenriches deliberations.
ii. Timely and Appropriate Sharing of Information
Besides the agenda for the meeting, Meidensha provides briefings on current topics relating to
the company at meetings of the Board of Directors, with the aim of timely and appropriate
sharing of information with outside directors, so that they can share the status of the Company
in a timely fashion.

② Initiatives Outside of the Board of Directors
i. Introductory Sessions
We create opportunities to explain the Company’s business and structures, primarily to aid theunderstanding of newly appointed outside officers.
91

Meiden Group CSRThe officers or general managers in charge of each business explain their business andMeidensha’s governance system to the outside officers, answer their questions and exchange
opinions with them.
ii. Meeting for Exchange of Opinions
Apart from legally-required board meetings, we hold monthly discussion meetings in order tobest utilize the knowledge of the outside directors and outside audit & supervisory board
members.
In these meetings, participants vigorously exchange opinions, mainly concerning mattersrelating to corporate governance and the Company’s management issues and strategy. The
meetings also serve as preliminaries to discuss matters prior to passing resolutions at theBoard of Directors.

(4) Auditing System

The Company transitioned from the prior institutional structure of a company with an Audit &Supervisory Board to a company with an Audit & Supervisory Committee at the Ordinary
General Meeting of Shareholders held on June 26, 2020.
The Audit and Supervisory Committee consists of five directors, including three outside
directors, who are Audit & Supervisory Committee members, and there is also a Support
Department for the Audit and Supervisory Committee has been established as a staff
organization to support the Audit and Supervisory Committee.The committee communicateswith directors, the Internal Auditing Division, and other related divisions, while adhering to theauditing policies, allotted duties, and auditing rules, etc., for Audit & Supervisory Committee
members stipulated by the Audit & Supervisory Committee. Committee members attend
meetings of the Board of Directors and other important meetings, and audit the execution of
directors’ duties through investigations of business and financial conditions.
Directors who are Audit & Supervisory Committee members are granted new authority, such as
voting rights at meetings of the Board of Directors and the right to present a position
statement at meetings of the Board of Directors relating to nomination and remuneration of
officers. We are therefore promoting the establishment of an auditing framework and theenhancement of various initiatives to further strengthen the supervisory function of the Boardof Directors, which is the aim of altering our institutional design, through new activities such as
monitoring and auditing, etc. of the transfer of authority to executive directors and the statusof the governance that guarantees it, in addition to the auditing activities previously
undertaken, and by further strengthening cooperation with outside directors, etc.

(5) Internal Auditing System

The Internal Auditing Division conducts internal audits to check the effectiveness and efficiencyof business operations, the reliability of financial reporting, the status of compliance with laws
and regulations, and the maintenance of assets, covering the Company and all Group
companies at home and abroad.
Since fiscal 2016, we have conducted risk management using control self assessment (CSA) ateach Meidensha factory and each Japanese subsidiary in order to enhance internal control andincrease the efficiency of risk audits at each business unit.
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Meiden Group CSR

In fiscal 2019, we engaged in activities under the three basic policies of “promoting the threelines of defense and CSA (Control Self Assessment),” “strengthening prevention of faults andmisconduct,” and “improving audit quality and thoroughly following up audits.” We conducted
new initiatives such as external evaluation of risk management and individual audit reports forofficers in charge of specific functions, and we enhanced internal control functions.
In April 2020, we improved the framework to promote internal control by establishing theInternal Control Promotion Headquarters comprising the Management Auditing Division and the
newly established Risk Management Division. We will further promote internal control functions
by monitoring internal control systems through internal audits in conjunction with the Audit &Supervisory Committee and having a full-time department develop a risk management
structure that covers the entire Group.

Officers’ Remuneration

Directors remuneration policyi. Level of Remuneration
The level of remuneration of Meidensha’s directors is determined based on external objective
remuneration market data, economic conditions, industry trends, and Meidensha’s businesscircumstances, etc., and it is confirmed by the Nomination and Remuneration Committee
referred to above.
ii. Composition of Remuneration
Remuneration of directors is performance-based annual remuneration, and comprises basic
remuneration and incentive remuneration according to each role. Of these types of
remuneration, incentive remuneration comprises remuneration that is linked to businessperformance as a short-term incentive and stock remuneration as a medium to long-term
incentive.

Target Proportion of Each Type of Remuneration (assuming targets were 100%
achieved)iii. Incentive Remuneration System
Performance-linked remuneration, which is a short-term incentive, varies from 0 to 140
depending on the degree of achievement of targets, with perfect achievement of targets
counting as 100. We use operating income, which is also used for our financial targets in
Medium-term Management Plan 2020, as a performance evaluation indicator, and also giveconsideration to revisions according to operating conditions and changes to the roles of each
officer, etc.

93

Meiden Group CSRCalculation Formula
Stock remuneration, which is a medium to long-term incentive, grants shares to the Officers’
Shareholders Association for the purpose of further promoting sharing of profit and loss withshareholders.
iv. Remuneration Determination Procedures
The Nomination and Remuneration Committee confirms and considers the content of the
remuneration system and the amount of remuneration from an objective perspective prior todetermination by the Board of Directors.

FY2019 Results
Classification

Total Amount Total Amount of Each Type ofof
Remuneration, etc.
Remuneration,(millions of yen)
etc.
Incentive(millions of Basic
remuneration remuneration
yen)
320
268
52

Number ofPeopleDirectors
9(excluding
outsidedirectors)
Outside14
142
directors
Corporate
4343
2auditors(excluding
outside audit &supervisoryboard members)
Outside audit & 11
112
supervisoryboard members
Total
391
338
52
15
1. The amount paid to directors includes performance-based remuneration for fiscal 2019.
2. The amount of remuneration paid to directors that concurrently serve as employees does
not include the amount of remuneration paid to them as employees.
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Meiden Group CSR

Tax

Tax Policy

The Meiden Group is aware that ensuring transparency of tax matters and payment of tax is its
corporate social responsibility, and understands and complies with the principles of the taxation
law of each country and region in which it conducts its global business activities. We contributeto the prosperity of each country and region by paying tax appropriately according to theapplication of a preferential tax system that avoids double taxation through normal procedures
and complies with the aims of each system.
Furthermore, our policy is to refuse to engage in international tax avoidance, such as bycomplying with the OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax
Administrations and refusing to use tax havens according to business circumstances.
Going forward, we will work to build friendly and healthful relationships with tax agencies
through timely and appropriate provision of information and responding sincerely in the eventof advance rulings and tax audits.

Dialogues with Shareholders and Investors
Basic Approach and IR System

When any shareholders wish a dialogue with the Company that will contribute to medium tolong-term improvement of the Company’s corporate value, it is Meidensha’s policy that theCompany’s management conducts the dialogue to the extent reasonably possible.
A system is in place where an executive officer is placed in charge of IR matters and an IRspecialist department conducts activities to enhance constructive dialogue with shareholders,
including institutional investors and strengthens external communication.

Results Briefings

We hold results briefings twice a year in May and November. In addition, we have alsocommenced briefings for individual investors since fiscal 2018.
We will continue to work to ensure an even fuller disclosure of information through results
briefings, individual IR sessions, conferences, the website, and this report, etc., and continue toengage in dialogue with shareholders and investors.

Main IR Activities in Fiscal 2019
Individual Sessions
Japanese Investors
Foreign Investors
Total

Number
105
54
159
95

Meiden Group CSRThe materials for the results briefings are available for viewing. Please visit “Fact Sheet for
Account Settlement Briefing Session” under “Investors” on the Corporate website.
Fact Sheet for Account Settlement Briefing Session

Board of Directors & Executive Officers as of July, 2020
Director

Yuji Hamasaki

Representative Director, Chairman
Nomination & Remuneration Committee Member
Reason for Selection

Yuji Hamasaki served as president since 2013, and since 2018, he has
overseen all aspects of the Group’s management as chairman. He has
extensive experience and results, and as chairman of the Board of Directors,
he has worked to enhance the supervisory function of the Board of Directors
in order for the Group to take appropriate risks.
He has been selected as he is expected to further enhance the corporate
governance of the entire Group by reflecting the aforementioned experienceand achievements at meetings of the Board of Directors.
Career Summary

June 2004 – Executive officer of Sumitomo Electric Industries, Ltd.
June 2005 – Managing executive officer of Sumitomo Electric Industries, Ltd.
June 2006 – Managing director of Sumitomo Electric Industries, Ltd.
April 2010 – Senior managing executive officer of Meidensha
June 2010 – Director of Meidensha
April 2011 – Executive vice president of Meidensha
June 2013 – President of Meidensha
June 2018 to present – Chairman of Meidensha

Takeshi Miida
96

Meiden Group CSRRepresentative Director, President
Nomination & Remuneration Committee Member
Reason for Selection

Takeshi Miida has been involved with drafting and implementing group-wide
management plans, and since 2018, he has been responsible group-wide
management and Medium-term Management Plan 2020 as president.
Based on the aforementioned experience and achievements, he has been
selected as he is expected to enhance the decision-making and oversightfunctions of the Board of Directors through his involvement in management as
a promoter of Medium-term Management Plan 2020.
Career Summary

April 1978 – Joined Meidensha
April 2008 – Executive officer in charge of the Corporate Policy PlanningGroup and the Corporate Policy Planning Division
April 2011 – Managing executive officer in charge of the Corporate Policy
Planning Group and head of the Corporate Policy Planning Division
June 2012 – Director
April 2015 – Executive vice president
June 2018 to present – President

Masamichi Kuramoto

Representative Director, Executive Vice President
Reason for Selection

Based on his extensive experience and achievements as an engineer in the
Research and Development Business Unit, Masamichi Kuramoto is working to
expand the scale of all of the Company’s business, environmental initiatives,
and the automobile-related business, which is one of the growth businessunder Medium-term Management Plan 2020.
Based on the aforementioned experience and achievements, he has been
selected as he is expected to enhance the decision-making and oversightfunctions of the Board of Directors through his involvement in management.
Career Summary

April 1980 – Joined Meidensha
April 2013 – Executive officer in charge of the Research & Development Group
April 2014 – Managing executive officer in charge of the Research &Development Group
April 2015 – Senior managing executive officer in charge of the Research &Development Group97

Meiden Group CSR

June 2015 – Director
April 2018 to present – Executive vice president

Shosuke Mori

Director, Executive Vice President
Reason for Selection

Since assuming his position in June 2019, Shosuke Mori has been responsible
for new businesses, business alliances, and overseas businesses, etc. He is
working to strategically enhance the social infrastructure systems businessand the maintenance and servicing business, which are positioned as earningsbase businesses under Medium-term Management Plan 2020.
Based on the aforementioned experience and achievements, he has been
selected as he is expected to enhance the decision-making and oversightfunctions of the Board of Directors through his involvement in management.
Career Summary

April 2011 – Executive officer in charge of the 1st Headquarters Sales Divisionof Sumitomo Mitsui Banking Corporation
April 2013 – Executive officer in charge of the General International Division of
Sumitomo Mitsui Banking Corporation
April 2014 – Managing executive officer in charge of the General International
Division of Sumitomo Mitsui Banking Corporation
April 2015 – Managing executive officer in charge of the Asia Pacific Divisionof Sumitomo Mitsui Banking Corporation
April 2017 – Senior managing executive officer, second in command of theInternational Division of Sumitomo Mitsui Banking Corporation
April 2018– Senior managing executive officer in charge of the Corporate
Advisory Division of Sumitomo Mitsui Banking Corporation
April 2019 – Executive officer and vice president of Meidensha
June 2019 to present – Executive vice president of Meidensha

Nobutoshi Ohashi

Director, Senior Managing Executive Officer
Reason for Selection

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Based on his experience of HR and general affairs-related operations, in recent
years, Nobutoshi Ohashi has contributed to the improvement of corporate
governance as the manager of the HR and General Affairs Business Unit, andsince 2018, he has worked to promote the Smart Work 2020 work-stylereform action plan.
Based on the aforementioned experience and achievements, he has been
selected as he is expected to enhance the decision-making and oversightfunctions of the Board of Directors through his involvement in management as
a promoter of initiatives to leverage the personnel of the entire Meiden Groupand further improve corporate governance.
Career Summary

April 1979 – Joined Meidensha
April 2013 - Executive officer in charge of the HR & General Affairs Group andthe HR Planning Division
April 2015 – Managing executive officer in charge of the HR & General Affairs
Group
April 2018 – Senior managing executive officer in charge of the HR & General
Affairs Group
June 2018 to present – Director
April 2020 to present – Senior managing executive officer in charge of the HR& General Affairs Group

Norio Takekawa

Director, Senior Managing Executive Officer
Reason for Selection

Norio Takekawa has extensive on-site experience as an engineer in theConstruction Business Unit. He is currently leveraging this experience toimprove Meidensha’s production and quality management systems, andworking to implement production process reforms and invest in streamlining
equipment as work-style reforms, from the perspective of production.
With an outlook, perspective, and sense of balance based on the
aforementioned diverse experience and achievements, he has been selected as
he is expected to enhance the decision-making and oversight functions of theBoard of Directors through his involvement in management.
Career Summary

April 1981 – Joined Meidensha
April 2015 – Executive officer in charge of the Plant Construction &Engineering Business Group
April 2017 – Managing executive officer in charge of the Production
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Engineering and Management Group
April 2018 – Senior managing executive officer
June 2018 to present – Director
April 2020 to present – Senior managing executive officer in charge of the
Plant Construction & Engineering Business Group

Nobuaki Tamaki

Director, Senior Managing Executive Officer
Reason for Selection

Based on his experience as an engineer who worked on T&D products, which
are Meidensha’s core products, and as top management of an overseas
subsidiary, Nobuaki Tamaki is working to expand the scale of the overseas
business, which is positioned as a growth business under Medium-termManagement Plan 2020.
With aforementioned perspective as an engineer and a global perspective, he
has been selected as he is expected to enhance the decision-making andoversight functions of the Board of Directors through his involvement inmanagement.
Career Summary

April 1982 – Joined Meidensha
April 2015 – Head of the T&D Business Unit
April 2016 – Executive officer
April 2017 – Managing executive officer
April 2018 – Senior managing executive officer
June 2018 to present – Director
April 2020 to present – Senior managing executive officer in charge of theOverseas Business Strategic Management Group

Hiroyuki Takenaka

Outside Director
Nomination & Remuneration Committee Member
Reason for Selection

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Hiroyuki Takenaka uses his extensive management experience spanning many
years and broad knowledge to tirelessly work to improve the Group’s
corporate governance. At present, he is serving as chair of the voluntary
Nomination and Remuneration Committee and contributing to improved
transparency of management.
He has been selected as he is expected to further enhance the supervisory
function of the Board of Directors by continuing to reflect the aforementioned
experience and knowledge at meetings of Meidensha’s Board of Directors.
Career Summary

June 2001 – Director of Sumitomo Electric Industries, Ltd.
June 2003 – Executive officer of Sumitomo Electric Industries, Ltd.
June 2004 – Managing director of Sumitomo Electric Industries, Ltd.
June 2007 – Senior managing director in charge of the Electrical Cable,
Materials, and Energy Business Headquarters and the Production Technology
Headquarters of Sumitomo Electric Industries, Ltd.
June 2008 – Senior managing director in charge of the electrical cable,materials, and energy business headquarters oof Sumitomo Electric Industries,
Ltd.
May 2010 – Senior managing director of Sumitomo Electric Industries, Ltd.
June 2010 – Executive vice president of Sumitomo Electric Industries, Ltd.
June 2013 to present – Director of Meidensha

Junji Yasui

Outside Director
Nomination & Remuneration Committee Member
Reason for Selection

Junji Yasui uses his extensive management experience spanning many years
and broad knowledge to tirelessly work to improve the Group’s corporate
governance. At present, he is serving as a member of the voluntary
Nomination and Remuneration Committee and contributing to improved
transparency of management.
He has been selected as he is expected to further enhance the supervisory
function of the Board of Directors by continuing to reflect the aforementioned
experience and knowledge at meetings of Meidensha’s Board of Directors.
Career Summary

April 2004 – Executive officer in charge of the Third Solutions and Sales
Business Headquarters of NEC Corporation
April 2005 – Executive officer in charge of the Fourth Solutions Business
Headquarters of NEC Corporation
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April 2008 – Executive vice president of NEC Corporation
June 2008 – Director and executive vice president of NEC Corporation
April 2010 – Director and managing executive vice president of NEC
Corporation
July 2011 – Director, managing executive vice president, and chief supply chain
officer of NEC Corporation
April 2012 – Representative director, senior executive vice president, and chief
supply chain officer of NEC Corporation
April 2016 – Representative director and senior executive vice president of
NEC Corporation
June 2016 to present – Director of Meidensha

Tadayoshi Machimura

Director and Audit & Supervisory Committee Member (Full-time Audit &Supervisory Committee Member)
Reason for Selection

Until March 2019, Tadayoshi Machimura served as a representative director of
Meidensha. Until March 2020, he was involved with management as thepresident of Meiden O&M, which is the core of the Group’s maintenance andservicing business, and he has extensive experience and achievements.
He has been selected as he is expected to further enhance audit andsupervisory functions by reflecting his perspective on management of theentire Meiden Group, including affiliates, in Meidensha’s audits and meetings ofthe Board of Directors based on the aforementioned experience andachievements.
Career Summary

April 1977 – Joined Meidensha
April 2012 – Executive officer and supervisor of electric power conversion
products of Meidensha
April 2014 – Managing executive officer, supervisor of electric power
conversion products, and supervisor of power generation products of
Meidensha
April 2015 – Senior managing executive officer of Meidensha
June 2015 – Director of Meidensha
April 2018 – Executive vice president of Meidensha
April 2019 – President of Meiden O&M Corporation
April 2020 – Adviser at Meidensha
June 2020 to present – Director (Audit & Supervisory Committee Member)

102

Meiden Group CSRTaketora Ito

Director and Audit & Supervisory Committee Member (Full-time Audit &Supervisory Committee Member)
Reason for Selection

Taketora Ito has been involved with the Manufacturing Business Unit for many
years. He has extensive experience and knowledge relating to manufacturing,production, and factory operation, etc. He has served as an Audit &Supervisory Board Member of Meidensha since June 2017.
He has been selected as he is expected to further enhance audit andsupervisory functions by reflecting the aforementioned experience andknowledge in Meidensha’s audits and at meetings of the Board of Directors.
Career Summary

April 1981 – Joined Meidensha
September 2011 – General Manager of Rotating Machinery Factory, Energy
Systems Business Unit
April 2014 – Head of the Power Generation Products Planning Division
October 2015 – General Manager for Special Task of the Power Generation
Products Business Unit
April 2017 – Manager of the Internal Auditors Office
June 2017 – Audit & Supervisory Board Member
June 2020 to present – Director (Audit & Supervisory Committee Member)

Yoshiaki Shin

Director and Audit & Supervisory Committee Member (Outside Director)
Reason for Selection

Yoshiaki Shin has extensive management experience and high-level knowledge
spanning many years, and has experience as an auditor of Meidensha. He has
been selected as he is expected to further enhance audit and supervisory
functions by reflecting the aforementioned experience and knowledge in
Meidensha’s audits and meetings of the Board of Directors.
Career Summary

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April 2008 – Director and chair of Mitsui Sumitomo Insurance Group Holdings,
Incorporated
April 2010 – Director of Mitsui Sumitomo Insurance Co., Ltd.
April 2010 – Consultant at MS & AD Insurance Group Holdings, Inc.
April 2011 – Standing consultant at Mitsui Sumitomo Insurance Co., Ltd.
June 2012 – Outside auditor of Meidensha
June 2012 – Director of DSB Co., Ltd.
April 2014 to present – Senior advisor to Mitsui Sumitomo Insurance Co., Ltd.
June 2020 to present – Director (Audit & Supervisory Committee Member) of
Meidensha

Mitsuru Nawata

Director and Audit & Supervisory Committee Member (Outside Director)
Reason for Selection

Mitsuru Nawata has extensive management experience and high-levelknowledge spanning many years, and has experience as an auditor of
Meidensha. He has been selected as he is expected to further enhance audit
and supervisory functions by reflecting the aforementioned experience andknowledge in Meidensha’s audits and meetings of the Board of Directors.
Career Summary

June 2007 – Managing executive officer of The Sumitomo Trust and Banking
Co., Ltd. (currently Sumitomo Mitsui Trust Bank, Limited)
May 2008 - Managing executive officer in charge of the credit division of The
Sumitomo Trust and Banking Co., Ltd.
January 2009 - Managing executive officer in charge of the first credit divisionof The Sumitomo Trust and Banking Co., Ltd.
May 2009 – Managing executive officer of The Sumitomo Trust and Banking
Co., Ltd.
June 2010 – Director and chair of Life Housing Loan Co., Ltd.
June 2010 – Director and chair of First Credit Corporation
October 2010 – President of Sumishin Real Estate Loan & Finance, Limited(currently Sumitomo Mitsui Trust Loan & Finance Co., Ltd.)
April 2015 – Director and chair of Sumitomo Mitsui Trust Loan & Finance Co.,Ltd.
April 2016 – Standing auditor of Sumitomo Mitsui Trust Panasonic Finance Co.,Ltd.
June 2016 – Outside auditor of Meidensha
June 2020 to present – Director (Audit & Supervisory Committee Member) of
Meidensha
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Keiko Hayashi

Director and Audit & Supervisory Committee Member (Outside Director)
Reason for Selection

Keiko Hayashi has a high-level of expertise and extensive experience as anaccountant spanning many years. She has gained wide-ranging views andknowledge through organizational diversity promotion initiatives. She has been
selected as she is expected to further enhance audit and supervisory functions
by reflecting the aforementioned expertise, experience, views, and knowledge
in Meidensha’s audits and meetings of the Board of Directors.
Career Summary

April 1986 – Joined the Tokyo Regional Taxation Bureau
October 1990 – Joined Tohmatsu & Co. (currently Deloitte Touche Tohmatsu
LLC)
March 1994 – Registered as a certified public accountant
July 2006 – Partner of Tohmatsu Audit Corporation (currently Deloitte Touche
Tohmatsu LLC)
July 2013 – Director of The Japanese Institute of Certified Public Accountants
October 2013 - Deloitte Tohmatsu Group diversity promotion officer
July 2016 to present – Managing director of The Japanese Institute ofCertified Public Accountants
November 2018 – Representative director of Tohmatsu Challenged Co., Ltd.
January 2019 to present – Member of Acquisition, Technology and Logistics
Agency Defense Procurement Council
June 2019 - Deloitte Tohmatsu Group D & I committee advisor
August 2019 – Chair of The Japanese Institute of Certified Public Accountants
Audit Practice and Review Committee
October 2019 to present – Chair of The Japanese Institute of Certified Public
Accountants Audit and Discipline Investigation Committee
June 2020 to present – Director (Audit & Supervisory Committee Member) of
Meidensha
SeniorManaging
Executive
OfficerManaging
Executive
Officers

Kazumi Ikarashi
Michihiko Kato
Masayuki Iwao
Tatsuki Mochizuki
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Kuniake Yasukawa
Masahiko Suzuki
Akio Inoue
Executive Noritaka Matsushita
Officers Hiroshi Toke
Minoru Kaneda
Hisahiro Murashima
Satoshi Momenya
Norio Mizutani
Hideki Miyazawa
Akio Ikemori
Takashi Furuta
Takeo Suzuki
Katsunori Suzuki
Munekazu Shiratori
Kuniteru Yamaoka
Katsuyuki Watanabe

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Corporate Governance Risk Management

Corporate GovernanceRisk Management
PolicyBasic ApproachWith regard to business activities in the near future, we must precisely understand various
business risks that may manifest in the future and ensure that we provide for them in order toimplement our business strategy and increase corporate value in unstable global circumstanceswith increasing complexity and lack of clarity. With this awareness, we consider that it isnecessary for each business unit of the Meiden Group to increase their sensitivity when
considering business risks, and establish their own PDCA risk management systems while
enhancing risk management during times of normal operation through the establishment of a
specialized risk management department. Furthermore, we aim to create a system that is
capable of responding to constant change and all risks by creating a risk management system
for all companies that incorporates Business Continuity Management (BCM) in order to
respond to risks to the business continuity of the entire Group.
Organization

Initiatives to Establish a Risk Management System

The Meiden Group deems risks to be “uncertain future events that could impede theachievement of plans,” and defines management as “devising and implementing response
measures,” so risk management is defined as systematic management of risks. We haveintroduced control self-assessment to identify, evaluate, and control risks relating to thestrategy and management of business units, including factories and affiliates, and the Internal
Auditing Department is conducting verification of each business unit’s control self-assessment,
as well as unique risk audits. The status of risk management ascertained through these internal
audits is reported to the Board of Directors and relevant managers as appropriate. Goingforward, we will continue to promote the establishment of a risk management structure, andwork to foster even greater awareness of risk in employees, in order to completely achieve ourbusiness plan by precisely understanding and controlling a range of business risks.

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Risk Management Structure

Operation of the Risk management Committee

Meidensha has established the Internal Control Promotion Headquarters in order to enhance
governance of the Group, and has newly established the Risk Management Division within theheadquarters. The Risk Management Division promotes the business self-assessment system ineach business unit, and identifies key business risks to be dealt with by the entire Meiden
Group in conjunction with the Headquarters Staff Business Unit and the various committees.
The Risk Management Committee, which is convened by the Risk Management Division, ischaired by the head of the Internal Control Promotion Headquarters. It scrutinizes the Meiden
Group’s business risks that have been identified by the Risk Management Division and provides
an opportunity for key members of the Headquarters Staff Business Unit to debate response
policies. Managers further debate business risks debated by the Risk Management Committee,
stipulate key business risks facing the Meiden Group, and determine response policies.

The Meiden Group’s Risk Management Structure

Initiatives

Risk Management Relating to Business Activities
Preliminary Risk Assessment

Preliminary risk assessment was initiated for the proposing business unit and the reviewing
business unit to scrutinize information necessary to make management decisions relating toprojects that may seriously negative impact the Group and provide it to managers. More than
100 projects have been reviewed to date. Projects subject to review are generally classified aslarge scale EPCs, M&A, partnerships, joint developments, new businesses, or other matters that108

Meiden Group CSR

require a resolution by the Executive Committee according to regulations.
In preliminary risk assessment, we encourage proposers to:(1) Identify and assess the high risk factors of EPC project such as risk of construction works
and project profit and take necessary measures to the project.
(2) Identify and assess contract risk such as commercial and technical conditions regard totenders, partnerships etc., and enhance risk management to the relatives.
(3) Analyze risk from multiple perspectives by third party experts and take measures to reducerisk.
As mentioned above, in the preliminary risk assessment, we evaluate not only financial risks, but
project risks, operation risks, etc. At present, preliminary risk assessment is operated by theManagement Planning Headquarters and the Internal Control Promotion Headquarters, andtheir responsible executives decide whether or not to conduct preliminary review. Dependingon the content, the Legal Division, the Overseas Strategy Headquarters, and the Accounting
and Finance Headquarters participate in the assessment.

Business Continuity Plan (BCP)

Promotion of Business Continuity Plan (BCP)

We conducted the following initiatives to promote formulation of BCP as a project of the entire
Meiden Group in fiscal 2019.
1. BCP Education:
In fiscal 2019, we conducted BCP education at all sites in Japan, including branches. The
purpose of this education was to clearly explain the importance of BCP and the meaning ofbusiness continuity, and increase awareness for independent engagement with BCPs. Education
was conducted 17 times in total at 15 locations in Japan. 730 people participated.
2. BCP Implementation:
Under the BCM Committee, which determines the Meiden Group’s BCP policy and measures, infiscal 2019, the Meiden Group newly established the Corporate BCP Promotion Committee,
BCP promotion committees for each business, Domestic Affiliate BCP Subcommittee, and theWorking Group to Consider Priority Businesses, and promoted BCP throughout the Group. We
also held workshops to create BCP manuals in conjunction with each of the aforementioned
committees, and consider ways to enable each department to understand and create effective
BCP.

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Business BCP creation
workshop

BCP education (Chubu branch)Company-wide BCP
creation workshop“Disaster response card”
carried by all employees

BCM Promotion System

Increasing Effectiveness of BCP

Based on resolutions of the BCM committee, we conducted the following initiatives to enhancedisaster response measures.
1. BCP drills for business sites (FY2019: Numazu Works)
2. e-Learning for all Meiden Group employees (including Group companies)
3. Ongoing safety confirmation system drills and satellite telephone drills
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Meiden Group CSRBCP drill at the Numazu Works

Response to the novel Coronavirus Disease (COVID-19)

The global spread of the novel coronavirus disease (COVID-19) impacted the Meiden Group in
ways such as suspension of production at overseas sites such as China, delay of partsprocurement, and postponement of sales.
The Meiden Group established the Company-Wide Response Headquarters, created the Novel
Coronavirus (COVID-19) Response Action Guidelines and the Novel Coronavirus (COVID-19)
Response Manual, and is continuing to act with awareness of preventing infection after thestate of emergency has been lifted (avoiding the three Cs and reducing commuting outside of
the region of factories by 70%, etc.) with the health and safety of employees as our utmost
priority, and reducing the impact on business activities such as by continuing operation of all
factories in Japan in accordance with the guidelines.
Furthermore, we have ensured both the health and safety of employees and business
continuity at overseas sites, by creating behavior standards to prevent infections, introducing
working from home and rotation shifts, and accelerating the introduction of Internet
communication tools, in accordance with relevant national government policies. We expect
global restrictions on the movement of people to extend into the long term, so we will promote
new work styles through greater use of Internet communication tools.
Policy and Organization

Strengthening Information Security Management

The Meiden Group understands that ensuring the security of the information we handle is amost critical issue. We therefore protect information assets from disasters, accidents, criminal
acts, errors, and other threats. We also maintain and enhance information management toprevent leaks, tampering, or theft.

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Information Security Control System

Initiatives

In fiscal 2019, we are continuing to implement initiatives to reinforce information security forthe entire Meiden Group.
1. Analysis of Incidents and Countermeasures for Each Cause
We conducted analyses and implemented measures to cover both aspects ofhardware/software and human factors: the former includes data protection from unauthorized
logins, virus infections from suspicious emails, targeted email attacks, etc. as well as the theft,
loss, or mishandling of information devices.
2. Sustainable Information Security Measures
We had previously conducted initiatives based on “defense,” but we are now working to
implement sustainable security measures in the areas of “prediction,” “defense,” “detection,”and “response.” We introduced the Security Operation Center (SOC) in fiscal 2017, establisheda detection system that operates 24 hours per day, 365 days per year, and in fiscal 2019 we
installed next-generation antivirus software on all computers, in order to enhance detection.
We established the Meiden Computer Security Incident Response Team (CSIRT), joined the
Nippon CSIRT Association, and promoted the establishment of an internal system to speed up
responding to incidents in fiscal 2019, in order to enhance response.
Going forward, we will continue to strengthen hardware and software measures and continue to
conduct personnel measures, such as information security education and suspicious email
drills. We are continuously rolling out measures for information security on a group-wide basis.
3. Enhancement of Supply Chain Information Security
Since fiscal 2017, we have continuously conducted activities to enhance information security
together with our suppliers. We ensure that suppliers are aware of information security
measures as management issues, and we hold training and information sessions as required.
In fiscal 2019, we began conducting site visits for some suppliers and activities to confirm thestatus of measures. In this way, we are continuing to conduct activities to enhance information
security throughout the entire supply chain.

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Corporate Governance Compliance Policy and System

Corporate GovernanceCompliance
Policy and System

Compliance Policy and System

The Meiden Group Code of Conduct (COC) defines that we shall strive to ensure compliancewith applicable laws and regulations of our business-related matters, other applicable laws andregulations both at home and abroad, social and ethical norms, and its underlying spirit, and weshall conduct our businesses with strong corporate ethics and good social common sense.
Under this policy, the Meiden Group aims to sincerely engage in activities to live up to the trustof customers and society. Directors, executive officers, and general managers of Meidensha
and each Group company, play a central role in promoting compliance in each of theirworkplaces, in accordance with the Meiden Group Compliance Promotion Rules.
Besides such workplace schemes, we also have a Compliance Committee set up in place, which
lays down policies concerning compliance activities, organizes compliance training, dealing withwhistleblowing reports, and expresses opinions and provides solutions to problems relating to arange of compliance issues that may arise.
In order to enhance the communication and reporting system, we appointed a ComplianceManager in each workplace to serve as a link between the Compliance Committee and theworkplace by reporting to the Committee issues discussed and problems found in theworkplace. Thus, we are engaged in activities that promote compliance, while ensuringcommunication among the Meiden Group companies.
In fiscal 2019, we enhanced compliance promotion systems for domestic Group companies asa group-wide compliance initiative. Also, in order to enhance overseas compliance, we arecontinuing to promote the implementation of internal control systems at overseas groupcompanies.

Meiden Group Compliance System

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Whistleblower System on Compliance

Meidensha has a whistleblower system for compliance. This is to prevent illegal actions andmisconduct and to solve problems as early as possible.
This whistleblower system includes the Compliance Hotline dealing with a broad range ofcompliance issues including breaches of laws such as the Antimonopoly Act and bribery
regulations, breaches of internal or external rules, and labor problems, the Harassment
Consultation Hotline, which is specifically designed to deal with harassment, and the Public
Whistleblower Hotline for early detection and rectification of unlawful acts, etc. Furthermore,
we have also established a supplier-specific whistleblower hotline in fiscal 2018.
The Internal Hotline System is an internal measure to receive anonymous whistleblower reports
from employees including retirees, through a dedicated phone line, letters, or email contacts .
The Public Whistleblower System handles external communications at a law firm as well asinternal communications, and may be used by employees of the Meiden Group (including
retirees), temporary staff and subcontractors, and suppliers.
The Compliance Committee investigates the report that is brought to the whistleblowing
contacts and, if necessary, consults with a lawyers to deal with them. We are working toincrease the dependability of management of information, such as the names of whistleblowers,of and the whistleblower system as a whole, in accordance with national guidelines, to ensurethat whistleblowers are not disadvantaged by using the system. In fiscal 2019, the Meiden
Group received 47 reports and consultations, of which we thoroughly confirmed which cases
required a response and dealt with them accordingly. The Audit Department conducts internal
audits of the operation of the system.

Initiatives to Avoid Infringement of Human Rights
Harassment Prevention System

Harassment is one of the compliance issues regarding which consultation is most frequently
sought, so we established the Harassment Prevention Committee to create a system that is
specifically designed to handle harassment issues, and we are working to centralize handling ofconfidential information and responses as well as enhance activities to promote understanding.
When a report of harassment is made, responses are required that are considerate of personal
relationships, and particularly those of the reporter, so we created a system to avoid
infringement of human rights by establishing a hotline that is specifically designed to deal withharassment issues and creating an environment that is conducive to talking about issues. In
addition, we are conducting activities to educate employees including managers, about Anger
Management as a measure against harassment.

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Initiatives

Compliance Education

The Compliance Committee conducts compliance training at ourbusiness locations throughout Japan, in order to maintain andimprove awareness of compliance and internal control systems
while collecting opinions from workplaces. Compliance training
aimed at employees, including Compliance Managers at eachcompany in the Meiden Group, provides updated information andeducation on compliance activities, and an opportunity toCompliance training
exchange opinions with the Compliance Committee.
In fiscal 2019, we conducted compliance training at locations
around Japan, with 1,443 participants. The Committee madereports concerning the status of compliance activities at thecompany as a whole, and the Legal Affairs Division gave further
training using case-studies aiming at sales and manufacturing
activities in compliance with the Anti-Monopoly Act, and the
Subcontracting Act.
In addition, we conducted education concerning harassment andenvironmental laws, and we are working to increase awareness ofa broad range of compliance issues.
Also, we are continuing to conduct trainings for Officers byexternal instructors and group-work education for heads ofbusiness units, in order to enhance internal control.
The participants of these courses sent us feedbacks about theirworkplace status, opinions/requests to the Committee, and manyquestions, so we utilize them in our activities for fiscal 2020.

Streaming Group Corporate Code of Conduct towards
Globalization

The Meiden Group has the “Meiden Group Corporate Code of Conduct” in place and is working
to ensure compliance with laws and other social norms. In addition, we compiled the corporate
philosophy system and guidance into a booklet in three languages (Japanese, English andChinese) in preparation for globalization.
Furthermore, we have released the Bribery Prevention Policy in three languages, as guidelines
to supplement the aforementioned code of conduct, in order to observe laws and regulations
relating to bribery prevention. These standards and policies can be referred to in the Groupcommon web portal.

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SocialSustainability

Social

Product Responsibility

Supply Chain Management

Human Rights

Labor Practices

HR Development

Occupational Safety and HealthCommunity

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Social

Product Responsibility

Social

Product Responsibility
PolicyFor customer peace of mind and satisfaction, we understand customers’ needs and concerns,
and help customers solve various issues and realize their dreams by providing high-quality
products and services. The Meiden Group strives to be trusted and depended on by customers
and society.

Quality Policy
Basic Policy
For customer peace of mind and satisfaction
Each of our employees is aware that we are a partner that helps our customers solve
their problems and of the social responsibility of Meidensha’s products and services andthe severity of the negative impact that defects can have on management. We aim toprovide high-quality products and services resulting in customer satisfaction by
conducting business in accordance with clear procedures.
Plan and Targets

Under Medium-term Management Plan 2020, we will promote initiatives to improve quality with
the quantitative target of reducing the number of defects and the cost of rectifying defects byhalf in comparison with 2017 results and contribute to increased profits by increasing
customer satisfaction and reducing unnecessary costs.
Organization

Quality Assurance System

Under the direction of the President, who is our chief executive officer, and the Executive
Committee, the head of the Quality Control Management Unit (Director and Senior Managing
Executive Officer, Norio Takekawa) oversees quality management for the whole Meiden Group.
The quality assurance (QA) promotion system comprises the General Manager of the Quality
Control Management and Remote Monitoring Service Division, who is responsible for promoting
quality at a company-wide level, and members under the direction of the quality assurance
managers of each business unit. We conduct activities such as sharing quality information androll-out of policies to other business units at meetings of the Company-wide Quality Assurance
Meeting and each business unit’s Quality Assurance Meeting, etc.
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Quality Assurance System

Quality Assurance Activities and Quality Risk Management

The Meiden Group conducts initiatives in each business unit for quality assurance and quality
improvement according to the President’s Quality Management Policy. We comply with relevantlaws, we have created quality management systems based on ISO9001 not only for production
divisions, but for each business unit including sales divisions, technical divisions and for eachGroup company, with a focus on manufacturing companies, and we are implementing quality
assurance measures.
In order to maintain and improve said systems, we conduct ISO9001 internal auditor education
for all Group companies in order to improve the skills of internal auditors.
Furthermore, if there is a quality issue that is likely to have a severe effect on society, such as a
blackout, a stoppage of water supply, or a recall, we handle the matter in accordance withstringent rules to ensure swift and appropriate action through reporting to management andsharing information with specialist divisions, relevant divisions, and relevant business units, etc.
Response Flow for Quality Issues

Quality Activity Cycle

Each fiscal year, each business unit drafts a priority quality policy for their own business unit,
promotes activities such as CS activities and defect elimination activities based on the
President’s Quality Management Policy and the directions of the top management, etc., with theaim of increasing customer satisfaction.
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Quality Activity Cycle

Initiatives

Initiatives to Improve Quality

Improving Product Development and Design Quality through Mechanisms toIncorporate Quality and Multifaceted Design Reviews (DR)The Meiden Group has determined items that need to be managed from the perspectives of“no defective unit accepted,” “no defective unit made here,” and “no defective unit shall leave
here,” in order to improve quality in each internal process, such as development, design,
manufacture, testing, and inspection, including purchasing parts and materials, etc., fromaffiliates, and we conduct activities accordingly.

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DR (Design Reviews)

In particular, we are strengthening activities relating to the quality of such development anddesign that has the risk of a defect with potential widespread influence.
The main content of those activities is as follows.

3H Measures

Specific risks increase if one of the three elements (3H: Hajimete “first time,” Henkou “change,”
Hisashiburi “first case in a long time”) is applied to the four main elements of manufacturing(4M: Man, Machinery, Method, Materials). Therefore, we identify these three elements andconsider them through DR, etc., and respond to them in advance, which leads to reduction of
risk.

Risk Map

A risk map is used to assess the level of risks, and create a mechanism for clearly stipulating
the level of DR.

Improved Quality of DR (design review)

Experts in each product field are nominated each time DR is conducted and these experts havea duty to participate in DR. With their involvement, we create an environment where extensive
content is considered and risks can be identified, which results in high-quality DR. Furthermore,in order to facilitate nominating and requesting the participation of experts in DR throughout
the organization, we have published a company-wide list of experts.

Management of Remaining Work for DR

We have created and we implement and strictly manage a system of notifying managers andadministrators of remaining items so that processes do no proceed without resolving mattersthat have been identified and matters that require consideration, etc., through DR by thedeadline that has been set, in order to reduce the risk of defects arising from unresolved
matters.
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Applying Lessons from Past Defects

We have created and operate a system to convert information about trouble that has arisen
into easily applicable knowledge and to facilitate the accumulation and application of thisknowledge. We then apply this knowledge to subsequent development and design to ensurethat similar defects do not arise in the future.

Establishing and Complying with Standards and Procedures

We comprehensively articulate management items and methods in each process in the Quality
Control Process Chart (QC Process Chart) in each process, and we reduce the risk of defects
due to disparity between persons in charge by ensuring that required actions are conducted.
Furthermore, we encourage filling in the Quality Control Process Chart (QC Process Chart) sothat the implementation status can be confirmed by third parties.

Quality Analysis of Parts and Materials to Prevent Defects

At the Materials & Semiconductor Device Analysis Center, we promote activities to improve
product quality and prevent defects through analysis and reliability evaluation ofsemiconductor devices and materials that are used in our products, adopting “improving
product quality,” “creating new products,” and “consideration for the environment” as our basic
policies.
If new parts and components such as semiconductor devices are used, they do not only
undergo evaluation of variation in electrical characteristics and failure analysis, but (1) they
undergo non-destructive inspection, (2) they are removed from packaging and further
examined, and (3) the internal structure is examined by taking cross-sections etc., to evaluate
whether they comply with internal standards. We also actively work to achieve long-term
reliability and have a system of checking the potential effects of a range of stresses such asheat, humidity, and corrosive gasses.
Also, we are improving screening technology for plastics that contain phthalates, in accordancewith trends in environmental regulations and amendments to the RoHS directive, in order toprovide products that customer can use with confidence.

X ray transmission observation ofelectronic components

Evaluation of electrical characteristics ofsemiconductor devices (power device
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analyzer)

Coexistence of Limit State Design and Product Quality

At the Analysis Center, we conduct research and development relating to improving the
precision of vibration analysis and obtaining more material strength data in order to achieveboth product competitiveness and product quality through limit state design. If productcomponents are made as small and light as possible, strength can be an issue where it was notin the past. We are therefore improving the precision of vibration analysis by conducting
vibration analysis and testing of each component and whole product. We have also introduced
high-speed fatigue testing equipment to obtain more complete strength data for materials suchas copper, which is used in heavy electrical products.
For example, when conducting vibration resistant design for the switchboard of electricalequipment, we achieve reliable products by conducting vibration resistance analysis simulations
from the initial design stage, and conducting detailed evaluations of equivalent models once
design is complete. Furthermore, we conduct evaluation of product life by comparing results ofvibration analysis of rotating machinery and materials strength data.

Structure Analysis of Switchboard

Ultra-high cycle fatigue testing of copper

Promoting Initiatives to Collect Customers’ Needs

In order to provide products and services that satisfy our customers, we are gathering andanalyzing the needs of our customers on a daily basis, including information and requests
provided by customers, complaints, and market trends, and implementing activities that lead toconcrete actions such as proposing solutions, developing new products, and engaging inservicing and various improvement activities. In development, sales, engineering,
manufacturing, and local construction divisions that have contact with customers, we work to
improve our activities through the PDCA cycle, by reviewing and evaluating tasks being
conducted at each division, creating a plan for the next fiscal year in each fiscal year, andconducting self-evaluation of the results of activities.
Furthermore, at factories in Japan, we ask customers who have visited our facilities throughfactory observations, etc. to fill in a customer satisfaction survey. The in-person opinions of our
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customers are shared with relevant divisions to provide information on customer needs, leading
to rapid development of new products, specific proposals, and work process improvements,
etc.
Flow of Initiatives for Finding Customer Needs

Composition of Customers’ Needs (FY2019)24 Hour Support for Customers’ Facilities

In order to respond to urgent trouble or product enquiries in a timely fashion, the Customer
Center has staff ready to provide support to customers 24 hours a day. We also use theCenter to provide remote monitoring services for substation equipment and wind power
generation equipment, etc.
We contribute to the optimal operation of our customers’ equipment.

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Meiden Group CSRISMS certification(ISMS: Information Security Management
System)24 hour Customer Center

Developing Human Resources to Support the Supply of Highquality Products
Education Relating to Quality Management Technology

In order to increase all employees’ awareness of quality and impart basic knowledge of quality
management, we conduct education relating to quality management technology for all
employees that are involved with manufacturing, even if they are not directly connected to the
Production Business Unit. We conduct training that includes drills relating to the role of quality
management, how to promote reform, seven tools for quality control, analysis based on the fivewhys, preventing human error, and preventing defects and recurrence, etc., for each level of
employee such as new employees and group leaders. We are in the process of rolling out the
curriculum for Japanese and overseas subsidiaries.

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Training scene

Technical Skills Maintenance Training for Safety and Security

At the technology center adjacent to Numazu Works, we conduct training programs forworkmanship and technical skills maintenance engineers. We raise engineers who contribute to
the stable, safe, and efficient operation of customers’ equipment through practical training
using real equipment.
Instructors are veteran engineers with extensive real-world experience and the curriculum isformulated to allow participants to touch and experience actual equipment, such as extra highvoltage and high-voltage receiving substation equipment, computers, power converter
equipment, generators, and rotating machinery. Maintenance training is conducted each year
for customers to whom Meidensha’s products have been supplied. Participants deepen theirunderstanding of the internal composition of machinery through cross-sectional models of
products, and gain experience of actually operating disconnecting switches and circuit
breakers, testing protective relays, and using generating equipment and inverters, etc.
As one of our 120th anniversary projects, we have granted internships to two Thai university
students each year since fiscal 2017, and we have conducted technical education for these two
university students in fiscal 2019 as before.

Thai university student internships(product observation)

Technical training (creating sequencing
circuits for rotating machinery)

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Meiden Group CSRHome Sustainability

SocialSupply Chain Management

SocialSupply Chain Management
PolicyThe Meiden Group promotes supply chain CSR when procuring materials
The Corporate Code of Conduct and the Meiden Group President’s CSR Policy Statement are
based on the Corporate Philosophy. With the Basic Procurement Policy, we ask all of ourbusiness partners to conduct business activities in accordance with our activities about all CSR
items.
The Meiden Group Basic Procurement Policy
Compliance with applicable laws and social norms
Fair trade based on free competition
Consideration for the environment
Building healthy partnerships
Plan and Targets

The Meiden Group promotes enhanced supply chain management based on the basic policy of“Medium-term Management Plan 2020.”
We are working to conduct fair and impartial transactions, and to improve CSR further whilestrengthening partnerships to help business partners understand the importance of promoting
CSR in the supply chain.
Furthermore, we hope to promote legal compliance, environmental conservation, andcommunity contribution activities, etc., with our business partners, with the aim of achieving
mutual sustainable development.
We are continuing activities to support the acquisition of EMS certification by our business
partners and supporting CSR promotions such as through follow-up education after EMS
certification has been acquired and education concerning information security measures.
Organization

Promotion of CSR that Involves the Entire Supply Chain
Promotion of CSR that Involve the Entire Supply Chain

With regard to procurement of materials, we are committed to ensure fair transactions,
including compliance with the Antimonopoly Act and anti-corruption, in order to maintain fair,equitable and mutually developable transactions. Based on CSR that is promoted throughout all
business activities, the Meiden Group requests that its business partners and their suppliers
promote CSR, including such issues as “human rights, labor, health and safety, the environment,
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fair transactions, and ethics (including prevention of corruption and bribery, etc.).” In order forthem to understand the Meiden Group approach to CSR supply chain management, we have
prepared the “Meiden Group Supply Chain CSR Promotion Guidebook”*1 and distributed it toapproximately 1,600 of our business partners in Japan.
The content is based on the Supply Chain CSR Deployment Guidebook produced by the Japan
Electronics and Information Technology Industries Association (JEITA) (published in August2006).
We request that all new business partners (100%) disseminate it and apply it at the time of thefirst transaction.

The Meiden Group Supply Chain CSR
Promotion Guidebook

Risk Evaluation

Evaluation of Suppliers

We convey the importance of CSR and our philosophy to our business partners, including legal
compliance, environmental protection, and community contribution, which are the basic policiesof the Procurement Group. In addition to quality, delivery date, price, technological development
proficiency, and environmental certification, etc. we evaluate our business partners’ social
responsibility for the risks of environment and social issues such as human rights and labor,
fair trade principles, social contribution, environmental conservation, and management ofchemical substances.
Through this evaluation, we work to gain an understanding of business conditions relating tosocial issues such as climate change, biodiversity, environmental management, human rights,
and working environments, and then to identify suppliers which have a high-risk.
We conduct appropriate, fair, and impartial procedures for all business partners throughsurveys relating to CSR promotion and environmental conservation activities at the time of thefirst transaction.
Furthermore, we evaluate suppliers through “our business partners’ evaluation system” andissue a score card each year based on the results.

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Meiden Group CSRSurvey relating to CSR activities andenvironmental conservation activities

Materials procurement score card
(example)

Response to the Conflict Minerals Issue

Meidensha has devised the Meiden Group Policy on Conflict Minerals Issue, and we added asection entitled “responding to the conflict minerals issue” to the Meiden Group Supply Chain
CSR Promotion Guidebook and clearly articulated our stance on the matter in January 2014.

Policy on Conflict Minerals Issue

The Meiden Group promotes prohibition of the use of conflict minerals (tantalum, tin, gold, andtungsten) mined in the Democratic Republic of the Congo and surrounding nations, which areused to fund armed group activities that repeatedly engage in human trafficking, forced labor,child labor abuse, or inhumane acts, etc.
The Meiden Group promotes responsible procurement of minerals in order to fulfill its
corporate social responsibility.
We conduct surveys of high-risk minerals as a due diligence measure, using the Conflict
Minerals Reporting Template (CMRT) developed by the Responsible Minerals Initiative (RMI).
In fiscal 2019*, we conducted a survey of materials that we had purchased from 400 major
suppliers in the previous year and received acceptable responses from 360 companies (90.7%).
If the surveys reveal that minerals have been used to support conflicts, we ask our business
partners to take corrective action to avoid using the relevant minerals, such as by changing
suppliers. Furthermore, if customers identify risky refineries, we ask business partners that use
these refineries to re-examine the status of their business dealings.
At present, we have not confirmed any relationships between our business partners and armed
groups, and we are conducting measures aimed at identifying refinery operators and ensuring
supply chain transparency.
*In fiscal 2019, we collected information on cobalt, and in fiscal 2020, we plan to conduct
surveys using the Cobalt Reporting Template (CRT).
Request to business partners
The Meiden Group considers ensuring a transparent supply chain and conducting
responsible procurement of materials and parts to be important matters. We request that
all of our business partners accept our Policy on Conflict Minerals Issue and cooperatewith our initiatives to source conflict-free minerals.
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Meiden Group CSRPromotion of Green Procurement

Based on our Basic Environmental Philosophy: “contribute to people, society, and the global
environment to make a world a better place to live,” we are proceeding with activities inaccordance with the Meiden Group’s Environmental Action Policies. In material procurement,
throughout the entire life-cycle to disposal, we try to make environmentally conscious products
and reduce disposal, and engage activities in protecting the global environment by energysaving, resource-saving, and minimizing the use of toxic chemicals, etc.
We view procurement of materials as part of our supply chain CSR activities. We drafted theGreen Procurement Guidelines to clarify our policies and request even greater understanding
and cooperation from our business partners.
We provide the Green Procurement Guidelines to Japanese business partners and we request
all new business partners (100%) to disseminate and apply at the time of the first transaction.
Furthermore, by issuing CSR surveys (including environmental activities surveys), we are able tounderstand our business partners‘ CSR promotion activities and environmental activities, andconduct risk assessment. They cooperate with our CSR procurement activities including green
procurement.
We have recently revised the Green Procurement Guidelines to meet the needs of the times.
We engage with a broad range of environmental issues that need to be considered bycompanies such as promotion of reducing greenhouse gasses and efficient use of water
resources and consideration for biodiversity. We work with business partners to promoteclimate change countermeasures.
We ask our business partners to understand the importance of global environmental
conservation activities and to cooperate our activities. Please refer to the Green Procurement
Guidelines (revised April 2020) for details.
Initiatives

Activities to Reduce Environmental Impact in the Supply Chain
Environmental Management Initiatives

When promoting environmentally conscious design, which forms part of our environmental
management activities, we operate an environmental BOM* management system that iscompliant with the regulations governing chemical substances in products.
The Meiden Group has stipulated two risk levels (prohibition and reduction) for hazardous
substances regulated by laws and regulations relating to chemical substances such as the
RoHS directive and REACH regulations. Based on the Green procurement guideline, we conduct
surveys of chemical substances contained in procured materials and expand environmentallyconscious products by promoting the elimination of hazardous substances.
*BOM: Bill of materials

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Meiden Group CSRReducing Environmental Impact by Building Environmental Management
Systems for Business Partners

We provide assistance not only for the Meiden Group but also for business partners, to build
environmental management systems (EMS) and promote the reduction of environmental
impact. We ask our partners to participate in these activities too, and promote the reduction ofenvironmental impact throughout the entire supply chain.
We ask our business partners to create environmental management systems. In particular, we
strongly recommend acquiring external system certification such as ISO14001 and Eco-Action
21.

Promoting and Supporting Eco-Action 21 Certification and Registration

In fiscal 2019, for the fifth consecutive year, we held a study group for the Eco-Action 21
environmental management system (greening program) for small and medium-sized enterprises
without environmental management systems, which is endorsed by the Ministry of theEnvironment, in the Meiden Group’s four regions, for the fourth consecutive year, and we
promoted and supported certification and registration. As a result, 34 participating business
partners received certification, and a ceremony to confer certification and registration
certificates was held at each production location. (A total of 124 suppliers have an EMS andhold Eco-Action 21 certification.)
Also, we conducted follow-up education and individual visits for the 90 companies that hadreceived certification up to 2018, and created opportunities for discussing and sharing
information with educators. We will continue providing support for our business partners in
relation to Eco-Action 21 certification and registration activities, and aim to spreadenvironmental management systems and environmental improvements throughout the entire
value chain.

Certification ceremony in the Numazu
district

Follow-up education in the Numazu district

Communication with Business Partners

The Meiden Group is conducting the following activities to build relationships with business
partners.
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1. Holding Meidensha Partners Meetings

We have held Meidensha Partners Meetings since fiscal 2019 in order to enhance two-way
communication with Business Partners and strengthen relationships. The President gives
messages to business partners concerning future Meidensha policies, and awards to praise theassistance and contribution towards business activities and production activities. We appreciatethem face-to-face, and reward exceptional activities and results. In fiscal 2020, with
implementation of thorough measures to prevent the spread of novel coronavirus (COVID-19)
infection, the President visited our business partners in person.

President’s message

Companies awarded in
FY2019A visit and commendation
at a business partner in
FY20202. Holding Production Plan Explanatory Meetings for Suppliers

Each year, we invite our major business partners to each production site in order to directly
share information, inform, exchange opinions, and communicate with our business partners.
Explanation of the Meiden Group’s procurement policy (purchase record and plan)
The record and plan of the business status of Meidensha and each business unit
Announcement of examples of notable improvement and sharing information to increasetechnical ability from business partners
Explanation of the Meiden Group’s environmental policy and green procurement policy, andrequest for cooperation from business partners

3. Holding Various Seminars

We hold various seminars at business partners’ manufacturing plants concerning subjects suchas reforming processes and information security in order to increase the capabilities of our
suppliers. In fiscal 2019, we visited high-risk business partners and conducted on-site checks
and instruction to ensure that appropriate steps are being taken to prevent information leaks,
based on the results of a survey of information security measures. Also, with the assistance of
the Shizuoka Industrial Foundation, we held an event to showcase instances of improvement
through IoT, wherein business partners showcased the results of their successful
improvements and shared information.

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IoT seminar

Information security instruction

4. Seeking Procured Items on the Website

The Meidensha website has introduced “instructions for initial transactions” and “transaction
application form” on material procurement, and we collect information on a broad range ofbusiness partners.

5. Using the Supplier Portal (web)We are using the supplier portal (web) to increase the efficiency of estimates, ordering, ATPand delivery tasks, and promote paperless operations through electronic information. We areconducting various investigations including the conflict minerals investigation, which takes theform of a survey, and confirmation of BCP implementation and damage incurred fromearthquakes and typhoons, etc.

6. Establishment of the Public Whistleblower System

Meidensha has established the Public Whistleblower System: contact person is an outside
lawyer (Law Office Hironaka), for the officers and employees of our business partners, in orderto promote appropriate dealings. Please use the system to make a report or for a consultation
if you discover that Meidensha employees have committed breaches of the law or
inappropriate acts in relation to our dealings.
Please refer to “Public Whistleblower System” on the “Procurement Headquarters” page of our
website for details regarding management of information, protection of consulters andreporters, and responses to consultations and reports, etc.

Enhancing Group Procurement Systems (education of
procurement managers)

Thoroughness of Absolute Compliance and Prohibited Matters of the
Procurement Headquarters

In order for the member of Procurement Headquarters to behave in a proper manner, we havedevised “absolute compliance matters” and “absolute prohibitions” as a code of conduct for theProcurement Headquarters so that all employees reflect on their own actions and do not132

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commit any inappropriate conduct.
We read the following items at every morning meeting and ensure that all employees know
them as a daily education; legal compliance, prevention of corruption, respect for human rights,
labor practices, consideration for the environment, quality, safety, and information security, etc.

Enhancing Group Procurement Systems

The whole Meiden Group is working to enhance procurement systems. We conduct regular
Meiden Group Procurement Meetings, and promote initiatives to improve our procurementbase and sharing of information.

Initiatives to Improve Our Procurement BaseBe thorough with legal complianceBe thorough with CSR procurement
Enhance risk management (BCP and internal control)
Enhance professional development

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Meiden Group CSRHome Sustainability

SocialHuman Rights

SocialHuman Rights
PolicyCompliance with ILO Labor Standards

Based on a fair and just employment system, we are creating workplaces that are conducive towork, and where each of the Meiden Group’s employees showcase their abilities as much as
possible. Furthermore, we respect the basic human rights, such as “Freedom of Association
Convention,” “Prohibition of Forced Labor and Child Labor,” and “Elimination of Discriminatory
Treatment in Respect of Employment and Occupation,” which are among the ILO’s* core labor
standards. We will continue and promote initiatives to protect human rights through humanrights trainings.
* ILO (International Labor Organization): A UN organization that gives recommendations andguidance to national governments with regard to improving labor conditions and social welfare.
Policies and Initiatives Aimed at Labor Issues

Item
Policies and Initiatives
Respecting human The Meidensha Corporate Code of Conduct includes “respect forrightshuman rights,” and stipulates that fundamental human rights shall be
respected by regarding people as individuals without discrimination
based on nationality, race, beliefs, gender, social status or otherfactors.
As a member of international society as well as of local communities,
we promote business activities while respecting cultures and customs
from a global perspective and working to achieve cooperation andharmony with local communities.
We also comply with all relevant laws concerning the prohibition offorced labor and abolition of child labor. We are conducting various
types of training and educational activities to achieve respect for
fundamental human rights.
Interaction withWe value conversations between employee representatives andemployee
managers to ensure that employees can engage in meaningful work.
representatives
We have established a regular central labor-management conference
and regional labor-management conferences, and we are working to
improve the workplace environment according to the circumstancesof each site.

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Item
Policies and Initiatives
Support for a living We provide a family allowance to support the lifestyles of employees
wage
who satisfy certain conditions such as carrying spouses and children
to provide for.
The Meiden Group Mutual Aid Association also provides various
types of condolence, sympathy, and celebratory monetary funds, aswell as loans for financial assistance required for the mutual support
and welfare of members. In addition, we have a home loan program
to receive funding from financial institutions when those who havesaved property accumulation residence fund eventually make apurchase.
Organization

Risk Management

Establishment of an Internal Hotline System for Compliance Violations (Internal
Hotline System)

We introduced a whistleblower system that enables direct reporting to the internal compliancemanager (business unit) or an external law firm in order to prevent, discover quickly, andimmediately rectify illegal and inappropriate conduct. We established an Internal Hotline System
for Compliance Violations.
This system may be used by employees of the Meiden Group (including retirees), temporary
staff and subcontractors, and business partners. Furthermore, we are working to increase thedependability of information management, such as the names of whistleblowers and of thewhistleblower system as a whole, in accordance with national guidelines, to ensure thatwhistleblowers are not disadvantaged by using the system.
We investigate all reports and promptly take appropriate measures as necessary having
confirmed the facts of the matter.
Whistleblower System on Compliance
Initiatives

Promotion of Respect for Human Rights

Human Rights Education for Officers and Employees

The entire Meiden Group understands international norms (Universal Declaration of Human
Rights and International Bill of Human Rights) and is working to conduct education activities
focused on human rights. With the aim of ensuring “respect for human rights,” which is listed in
the Meidensha Corporate Code of Conduct.
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We conduct periodic group training and visual education, relating to compliance andharassment for all Group employees and improve understanding and awareness by providing
opportunities for individuals to reexamine their workplace and views.
With regard to mental health, we conduct education as part of our level-dependent education in
the second year after joining the company, and we are reinforcing our efforts in relation toyounger employees.
Content of Human Rights Training (FY2019)

Content of Initiatives
Workplace discussions relating to compliance and humanrightsAnti-compliance and harassment training
Mental health training

Targets
All employees

All employees
Second-year
employees
Regarding harassment, we have established an internal consultation system to respondpromptly while adhering to the principles of protecting the privacy and confidentiality of theuser. The system is available to Meiden Group employees as well as dispatch workers andcontractors. Information obtained through the system is used to conduct surveys of the user
and relevant parties, provide feedback after having understood the situation, and prevent
recurrence. The system provides an opportunity to implement recurrence prevention measuresand conduct individual education.
We have also included items concerning harassment in our employee awareness survey, whichallows us to observe trends each year.

Harassment prevention system

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SocialLabor Practices

SocialLabor Practices
PolicyBasic HR Management Philosophy

As issues facing our customers and society as a whole become increasingly complicated andunclear, it is important to have personnel with the abilities to think flexibly and act courageously,
creating the value necessary to solve these issues in order to enhance corporate
competitiveness. For this reason, we are determined to achieve sustainable growth by focusing
on employing and developing competent personnel and creating an environment where each
person can derive pride and fulfillment from their work.
In order for the employees to maximize their abilities, it is important to promote diversity
management and create a workplace in which a diverse range of employees can participate
with a healthy mind and body. Specifically, by engaging as a group in initiatives such as
achieving a work-life balance, and improving occupational health and safety, we will enhance thecorporate value for the entire group.

Labor Practices Policy
Employment Policy

We are creating an employment framework that enables a diverse range of employees tomaximize their potential, irrespective of attributes such as age, gender, nationality, religion,
sexual orientation, or disability. We are focusing on diversity education at all levels, rethinking
human resource management systems and evaluation systems that can shape careers, andcreating an environment where each person’s individuality can be expressed.
Policy and Initiatives

Ensuring Fair and Impartial Evaluation and Treatment

Meidensha conducts evaluation of results and roles as part of an HR treatment system thatplaces weight on the results of both executives and regular employees in order to reform andenhance corporate character, with the key word of professional development. Therefore, wehave introduced management by objectives to ensure that results are reflected in impartial
treatment of employees. We hold discussions to mutually confirm objectives and results
indicators, etc., between superiors and subordinates through objective-setting interviews andobjective management results interviews to ensure that there is no discrepancy in expected
results.
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Furthermore, we disclose our evaluation standards through the Companys intranet and the
explanatory leaflet issued by the trade union, we periodically hold evaluation feedback
interviews for all employees that are subject to evaluation, and we focus on developing andfostering the abilities of individuals. In order to ensure impartial evaluation and treatment of
employees, complete understanding of the evaluator concerning the HR system and preventionof errors during evaluation, as well as communication between superiors and subordinates are
essential, so we conduct evaluator training, which includes evaluation and interview exercises,
for new managers.

Promoting Diversity Management

Meidensha is actively working to achieve diversity management to enable participation by adiverse range of people, irrespective of gender, age, or nationality, etc. We emphasize steadily
achieving work-style reform as expressed in the SDGs Action Plan 2020, which was released by
the Japanese government’s SDGs Promotion Headquarters. Creating a work environment withflexible work styles where individual employees are able to maximize their abilities and various
educational opportunities, etc., improves employee productivity and creativity, and leads to thecreation of a fulfilling workplace environment.

Promotion of Opportunities for and Participation by Female Personnel

Meidensha was evaluated for promoting women’s participation and advancement, and in
November 2017, for the first time in the heavy electric machinery industry, we earned the top
Stage 3 “Eruboshi” certification by the Minister of Health, Labour and Welfare.
We continue to formulate action plans in line with the purpose of the Act on the Promotion of
Women’s Participation and Advancement in the Workplace, promote measures to encourage
the acquisition of childcare leave for men, and promote measures to actively recruit/train
female technical employees.

Meidensha’s Original Work-Life Balance Support System

Up to 2 years of unpaid childcare leave (can be used even if the child is enrolled at achildcare center)
Paid maternity leave
System for shorter working hours during pregnancy
System to support early return to work after unpaid childcare leave (additional annual leave)
Payment of transportation costs to childcare center
System for shorter working hours during nursing care for as long as the care is required (4day work week is possible)
System for up to 730 days of unpaid nursing care leave
System for working from home or from a satellite office
Expanded system to take leave for infertility treatment and system of shorter work hours for
employees receiving infertility treatment
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Tie-up with company-operated childcare center
Expanded welfare service menu (support for unauthorized childcare center fees andexpanded nursing care services, etc.)
Short-term leave system to promote childcare leave for men (1 month paid)
Special leave to promote participation in childcare for men (spouse maternity leave)

FY2019 Initiatives

Observation of worksite with female engineers

In fiscal 2019, Meidensha held a worksite observation to promote interaction between female
staff who work in administrative and accounting roles in the Tokyo area and female engineers
who work in Plant Construction & Engineering Business Group. During the observation, female
engineers introduced their duties and spoke about the conditions on construction sites andhow they can be improved. Participants observed construction and facilities utilizing
Meidensha’s equipment. There was also a meeting for participants to share their opinions witheach other, which proved to be a valuable opportunity to interact with other departments.

Step-up training to promote female participation

Since fiscal 2017, Meiden Engineering has conducted training for the Management Department
with the objective of new work-style reforms to increase female participation. In fiscal 2019, we
invited outside instructors to conduct an education program with the themes of “try it first,”“get excited,” and “small things produce results.”

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Nursing care seminar

In fiscal 2019, Meidensha held seminars with the theme of “achieving a balance between workand nursing care” in the four areas of Tokyo, Numazu, Ota, and Nagoya as an initiative topromote diversity management. Outside instructors were invited to present the seminars,
during which they explained the fundamentals of nursing care, such as the nursing careinsurance system and nursing care services. The Human Resources Department further
explained the internal system to support balancing work and nursing care.

NumazuIntroduction of Mandatory Retirement at 65 Years of Age and System to Extend
Employment to 70 Years of Age
In April 2020, Meidensha raised the mandatory retirement age from 60 to 65 years of age forall employees. Until then, a re-employment system had been in place, which enabled employees
to be re-employed on annual contracts as special fixed-term employees until the age of 65.
However, going forward, all employees will continue their employment until the age of 65. We
have also raised the level of remuneration so that older employees can enjoy about the samelevel of remuneration as when they were 60 years of age, depending on performance, in orderto facilitate more meaningful work for experienced senior employees. We hope to promote
successor development, improve quality, and enhance customer service by leveraging theknowledge and experience of senior employees more so than in the past.
Furthermore, we have established a subsidiary (Meiden Master Partners Corporation) to
provide flexible workstyles to senior employees. For employees who wish to work reduced
days/hours, we have established a system that allows them to transfer to Meiden Master
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of employees and side-jobs are now possible, and we are working to secure employment by
supporting diverse work styles.
In addition, in January 2017, we introduced the “elder system,” which enables employees tofurther extend their employment from 65 to 70 years of age. This system allows employment
to continue beyond the age of 65, depending on the needs of the workplace, and possible tore-employ the employees who have retired once. Going forward, we will create a workplaceenvironment wherein senior employees can securely participate.

Senior employment system

September 2001: Introduction of the extended employment system
April 2006: Introduction of the re-employment system
April 2013: Revision of the re-employment system (extended to all employees who apply)
January 2017: Introduction of the elder system
April 2020: Raised the mandatory retirement age from 60 to 65 years of age

Initiatives to Employ People with Disabilities

We established the special subsidiary company, MEIDEN UNIVERSAL SERVICE LTD., in order tocreate opportunities for people with intellectual disabilities to work, and thereafter we havebeen expanding the scope of employment at each manufacturing facility through branch
deployment, etc. In 2015, MEIDEN UNIVERSAL SERVICE LTD. received a commendation fromthe governor of Gunma Prefecture as a “business of excellence for the employment of people
with disabilities in Gunma Prefecture” for its contributions to employment and occupational
independence for people with disabilities over many years.
Meidensha also promotes employment of people with disabilities. From 2020, we aim toincrease the number of workplaces that welcome people with disabilities and promotecompany-wide hiring activities.
Ratio of Employees with Disabilities (Meidensha and MEIDEN UNIVERSAL SERVICE)
Item
June, 2015 June, 2016 June, 2017 June, 2018 June, 2019
Ratio of Employees 2.19
2.27
2.24
2.24
2.42
with Disabilities (%)

Promotion of Participation by Foreign Employees
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Meiden Group CSR

As an aspect of our effort to promote diversity, the Meiden Group employs people irrespectiveof nationality, and they are also active in various fields including sales, development and design
after joining the Company. We also support them in various ways so that they can get used towork and life in Japan as soon as possible, as well as individually appoint their training
personnel and provide various support to each and every one of them in order to improve work
skills.

Creating a Comfortable Workplace Environment for Employees from a Variety
of Cultural Backgrounds
Since fiscal 2017, we have established prayer spaces at some offices to create a work
environment that makes it easier for employees from various cultural backgrounds to work.

Work Style Reform

Rolling Out “Smart Work 2020”- Toward reduction of total annual working hours-

An employee survey showed that there are many opinions and demands in employees of the
Meiden Group concerning issues relate to long working hours, such as “shortage of personnel,”“consciousness reform,” and “operations review.” Therefore, we identified the issue of long
working hours as a management challenge.
Since the previous medium-term management plan, we have started efforts to reduce total
annual working hours as Smart Work V120. Under the "Medium-Term Management Plan 2020",
we promote innovative production as "Smart Work 2020" based on the results and reflection of"V120", and improve work efficiency by RPA (Robotic Process Automation) and telework, so as
to strengthen our efforts to realize flexible working styles.

Vision and Target Values of “Smart Work 2020”
We will realize work styles based on legal compliance by reviewing and improving the work styleitself, working on holidays, and eliminating excessive overtime work on week days.
PeoplePeopleAverage
Total
Averageworkedworkeddays of paid hours ofannualovertime overtime leave used overtime
working
>80
>720
hours
up
h/month h/year
Target value
Zero
Zero
20
24
1,950
days/person- hours/person- h/person
year
month
Fiscal 2019 results* Zero
Zero
19.1
26
1,991
days/person- hours/person- h/person
year
month
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Meiden Group CSR

* Paid leave, overtime, and total working hours are average figures per person at Meidensha
and Meiden Engineering

Promoting Flexible Work Styles

We have developed “Smart Work 2020”, which is an implementation plan for work style reform,in Medium-term Management Plan 2020. It is aimed to focus on improving productivity androlling out measures to realize a comfortable workplace environment.
As part of this, we expanded our satellite office at the Numazu Works in September 2018.

Numazu Works Satellite Office
In August 2019, the head office refresh space "Meiden Plaza" was completely renewed, andenvironments have been created where employees can use in various scenes, such as being
able to use it as a satellite office for business travelers from other districts. The space isbroadly divided into four areas (meeting area, café area, satellite area, and Skype area). The
concept of space is different for each area, and users can use it according to the application of
the day. In addition, new private seats have also been installed, so anybody can use the area
not only for lunch with colleagues and friends at work, but also feel free to eat lunch alone. In
addition, a large-scale projector and broadcasting equipment have been introduced and can beused as a seminar venue for about 100 people. The space also functions as a company-wide
disaster response headquarters in the event of a disaster.

The refurbished Meiden Plaza. The layout is easy to use for individuals and groups.
In March 2020, we completely renovated lounge in the R&D Center. We changed the namefrom “Lounge” to “Relaffice” (a conjunction of “relax” and “office”), to reflect an innovative
space that is more useful to employees.
Not only useful as a satellite office, it also features a roundtable space for small group
143

Meiden Group CSR

discussions and active exchanges of ideas. This bright and invigorating space allows employees
to work in a refreshing environment.

The General Research Laboratory Relaffice: Available for versatile use than before.

Creating a Fulfilling Workplace
Personnel Treatment System

In April 2015, we revised our personnel treatment system for general employees to give
employees an incentive to contribute to the Company and to further improve their motivation.
The system aims to operate personnel treatment that can reward employees with higher
contributions, by balancing the "role" and "contribution" of employees, with a system that allows
multi-truck type qualification and treatment according to their degree of contribution.
Furthermore, in order to be able to respond to a diversity of work style, it is also a system thatallows both Executives and general employees can work in a limited area.

Diagram of the Personnel Treatment System

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Meiden Group CSR

Major Initiatives
1. MBO
Performance
Measuring System

In order to ensure high evaluation transparency, we use the MBO(management by objectives) performance measuring systemcoordinated with MAP activities*.
*Meidensha’s reform and improvement activities (MAP = Meiden
Advantage Program)
2. Self-Reporting The self-reporting system helps employees develop personal talent
Systemand form career plans.
3. Meister Program We operate a Meister system that specially treats employees who
contribute to the Company with outstanding skills as highly
specialized professionals. We have certified 18 certified as Meisters
from 2008 to 2019.
4. Job Rotation
We have adopted a job rotation program to develop the abilities of
Systemour young employees.

Ensuring a Complete Welfare System to Support the Lifestyles of Employees
and Help Them to Refresh(1) Housing Lease System

We have a housing lease system that caters to people at all stages of life, from single
dormitories for people that have newly joined the company through to family housing andhouses for married couples. In addition, we offer full support systems for transferees in orderto relieve any strain placed on them, including a system of providing assistance to rent
appliances in addition to leasing corporate housing.

(2) Welfare Service

We have introduced a general welfare service as a system to meet the diversifying needs of
employees. As a service unique to Meidensha, there are tickets for lodging and popular themeparks, an additional Company assistance to specific menus such as childcare/nursing care. In
addition to a menu that enhances leisure time for the purpose of family travel and refreshment,a menu is also prepared to support the balance between work and private life, with the aim offurther enhancing the system.

(3) Cultural Events and Club Activities

Various cultural/sport events are planned and held at each business office or sites for the
purpose of employee interaction, refreshment, and overcome lack of exercise. Sports events
are annually organized on holidays for employees and one’s family to communicate each other.
Sports day, called “Sports Festa” ’for instance. In addition, each office has a variety ofcompany-approved circles in cultural/sports fields, and through these activities, employee's
friendships are promoted beyond workplaces and ages.

145

Meiden Group CSRInternal bowling tournament

Soccer spectator tour

Meiden Group Sports Festa

Club activities

Communication Revitalization Initiatives
Industrial relations

Meidensha has concluded a labor agreement with the Meidensha Union and we periodicallyexchange opinions and conduct consultations about management policies, business outline, andthe working conditions of employees at the Central Management Conference and the Central
Staff Gathering. We are promoting the creation of an environment where employees cansecurely work without interruption because labor and management respect each other’s
positions and sincerely engage in dialog.

Employee Awareness Survey

We conduct an annual employee awareness survey for all employees. Each year, the response
rate is close to 95%, demonstrating how much our employees value the survey. The survey
comprises seven sections, which are “vision and management policy,” “motivation,” “career,”“management,” “evaluation systems,” “diversity,” and “workplace environment.” The purpose of
the survey is to statistically understand what employees feel about their work, working
conditions, and other general company-related information. In addition to the numerical resultsof the survey, we also evaluate the various measures and initiatives based on what employees
really think written in the free description section, and use them for future measures. We
further hold workshops for the head of each business unit and provide feedback and146

Meiden Group CSR

opportunities for discussion of results. Information gained from survey results and exchangesof opinion is reflected in the following year’s business unit targets.
Results Data

HR Data

Basic Data

Employees (only Meidensha)

Number of
employees

MaleFemaleTotal
Number of consolidated
Male
employees*1
FemaleTotal
Number ofMaleforeign
Femaleemployees
Total
Number of foreign
consolidated employees*1
Proportion of all employees
accounted for by contractors
and temporary workers
Average age
Male
FemaleTotal
Years ofMale
employment
Female
Total
Male
Number of

Units
PeoplePeoplePeoplePeoplePeoplePeoplePeoplePeoplePeoplePeopleFY2017
3,240
529
3,769
8,995
21
5
26
1,730

FY2018
3,294
519
3,813
9,297
16
7
23
1,923

FY2019
3,367
557
3,924
9,599
17
8
25
1,974

％

12

11.8

13.7

Age
Age
Age
Years
Years
Years
People

43.4
43.7
43.4
18.1
19.7
18.3
783

43.4
44
43.5
18.3
20.1
18.6
797

43.7
43.7
43.7
18.1
19.6
18.3
823

147

Meiden Group CSR

managers*2

Units
PeoplePeoplePeoplePeoplePeoplePeoplePeoplePeoplePeoplePeoplePeople％％FemaleForeigners
Managers ofMalelevel ofFemaledepartment
chief or above*2 Foreigners
Officers*2
MaleFemaleForeigners
Officers that are Maleexecutive
Femaleofficers*2
Foreigners
Proportion of Managers
women*2 *3Managersof level ofdepartment
chief orabove
Officers％
Officers％
that areexecutive
officers
Number of people with
Peopledisabilities employed*4 *5
Rate of employment of people ％with disabilities*4 *5
Number ofMale
Peopleemployees
FemalePeopleleaving thecompany
Total
People(voluntary)
Rate ofMale％

FY2017
32
2
164
2
0
33
0
0
23
0
0
3.92
1.20

FY2018
33
3
174
3
0
34
0
0
23
0
0
3.96
1.69

FY2019
33
3
171
3
0
34
0
0
24
0
0
3.84
1.72

0
0

0
0

0
0

93

94

103

2.24

2.24

2.42

42
8
50

46
11
57

65
11
76

1.2%

1.6%

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Meiden Group CSR

Units

FY2017-FY20180.3%
1.5%

FY20190.3%
1.9%

employees
Female％leaving thecompany
Total％(voluntary)*6 *7
Rate of union membership
％
65.5
64.4
64.7
Annual average salary*8
円
7,186,313 7,707,752 7,528,871*1 Applicable organizations: The Meiden Group*2 As of March each year
*3 Number of female managers are divided by number of total managers.
*4 Applicable organizations: Meidensha and special subsidiary*5 Legally mandated employment rate: 2.0% (rising to 2.2% from April 1, 2018)
The number was calculated in consideration of those with severe disabilities, etc. The
specific number was 71.
*6 Ratio of employees leaving the company is calculated as follows: Number of people thathave voluntarily left their position in the last fiscal year as of the end of each fiscal
year/number of employees as of April 1 each fiscal year
*7 Ratio of employees leaving the company is for fiscal 2018
*8 There is no difference in basic salary between men and women at the Meiden Group.
Number of Employees by Age (only Meidensha) (as of March 31, 2020)

Under 30
30-39
40-49
50-59
60 or over

632
644
802
992
297

Male

88
73
209
163
24

149

Female

720
717
1,011
1,155
321

Total

Meiden Group CSR

Graduate Recruits (only Meidensha)

University graduate Junior/technicalHigh school Total
college graduates graduates/other
Male Female Total
Joined April 54 11
65 5
27
97
2018
Joined April 60 15
75 5
47
127
2019
Joined April 52 16
68 6
35
109
2020
* University graduates includes those with master’s degrees and doctorates. Junior/technicalcollege graduates includes those who attended colleges of technology
Mid-Career Hires (only Meidensha)

2017.4 － 2018.3
2018.4 － 2019.3
2019.4 － 2020.3

University graduate
Other
Total
Male Female Total Male Female
29
3
32
2
5
39
28
4
32
24
7
63
45
1
46
12
1
59

Work Style-Related (only Meidensha)

People taking maternity leave
PeoplePeople taking parental Male
Peopleleave*1(within People
1 week)Female People
Total People
Rate of return afterMale％leave of absence forFemale ％child care purposes
Total ％
150

Units

FY2017 FY2018 FY2019
5
16
12
0
1
1
- 34
43
15
15

100

14
49
100
100
100

9
53
100
100
100
Meiden Group CSR

Units

FY2017 FY2018 FY2019
People taking family care leave
People3
14Days of paid leave available
Days
23
23
23
Days of paid leave taken
Days
14
14
16
Rate of taking paid leave
％
61
61
68
Annual total hours worked*2
hours/year/person 2,002 2,019 1,978*1 The number of males includes special leave (nonstatutory) when the spouse gave birth.
*2 Annual total hours worked: The actual hours worked over the course of a year, comprising
official working hours plus overtime minus leave taken.
Proportion of employees thatreceive feedback interviews

MaleFemaleTotal
Managers*
Regularemployees
Total

151

Units FY2017 FY2018 FY2019％ 94.1
96.5
93.7％ 95.1
98.8
95.6％ 94.296.9
96.9％ 93.4
98.4
92.3％ 94.7
96.1
94.7
％

94.2

96.9

96.9

Meiden Group CSRHome Sustainability

SocialHR Development

SocialHR Development
PolicyHR Development Policy

We value our employees as the foundation of the Company and support each one to grow andfulfill their potential.
1. We clearly state the required qualities and abilities for employees, and conduct systematictraining in order to implement and promote our business strategy.
2. We provide each employee with opportunities to engage in self-directed and multifaceted
learning.
3. We create an environment that is supportive of employees embracing new challenges.
Plan and Targets

We implement many training programs to encourage employee growth in different aspects as
an employee, member of society, and professional.
As the business environment under Medium-term Management Plan 2020 becomesincreasingly unclear, we are focusing on creating the value necessary to solve these issues, inorder to, enhance corporate competitiveness and training personnel to think flexibly and act
courageously.
Furthermore, continuing development of global operations offers increasing opportunities forstrategic alliances such as technical collaboration with foreign companies, as well as working
with people with differing viewpoints or abilities.
We are promoting growth through opportunities to work with diverse personnel, such as our
system of offering staff exchanges with local employees from overseas subsidiaries, the foreign
trainee system, and the overseas assignment system.

152

Meiden Group CSR

Organization

Training system

Level-Dependent CurriculumThis training facilitates understanding of the roles, abilities and skills required of each age
group or qualification level. Smooth growth and implementation are expected from this training.

Selective ProgramThis training hones thought patterns, skills, and practical abilities to solve problems faced bymanagement, in order to enhance management capabilities.

Optional ProgramThis training teaches the knowledge and skills necessary for employees to achieve their own
career goals.

Technical Training

This training teaches product knowledge according to the technical level of the employee.

Self-Development and Acquisition of Qualifications

We cover 60% of course fees and cover the full amount if completed with high grades, if therequired distance education has been completed.
We provide incentives for acquiring designated public qualifications at the time of acquisition.

153

Meiden Group CSR

Initiatives

Development of Personnel with Abilities to Implement and Promote
Our Business Strategy
Extensive Technical Education

In fiscal 2018, we established the Meiden Youth Academy in order to enhance technicaleducation for young employees. We used to conduct technical education for technicalemployees; however at Meiden Youth Academy, we provide opportunities to gain fundamental
knowledge about electricity, which is essential to understand Meidensha’s products andtechnologies, for all workers in their first three years at the company, irrespective of whether
they are in a technical or administrative role.
In fiscal 2019, we launched the ICT Fundamentals Course at the Meiden Youth Academy, where
workers acquire software basics, concepts, and information literacy from a young age. In orderto develop human resources who revitalize the promotion of business reform through digitaluse and make business proposals.
Technical Education System

Acquisition and Transmission of Techniques and Skills

In October 2020, we plan to open a technological training center at the Numazu Works, inorder for technicians to achieve rapid acquisition/transmission of techniques/skills.
At the technological training center, we will provide a full range of experiential educational
154

Meiden Group CSRcontents through technical and skills education instructed by coaches led by skilled workers, aswell as facilities that use VR (virtual reality) and augmented reality (AR), and systematicallydevelop and improve the level of technicians. We plan to make this facility open to customers
and local residents.

Image of the technological training center Safety experience using VR(scheduled to open in October 2020)

Developing the Next Generation of Group Personnel
Systematic Development of Management Personnel

Since fiscal 2019, we have established a new Career Development Management Program, a
training program to systematically and strategically develop the next generation of personnel.
We aim to develop personnel that can think and act with a broad perspective and outlook thatexceed the bounds of their own areas of specialty and roles by selecting and recruiting young
and mid-level personnel to attend business school and engage in professional exchange withpeople outside of their own business divisions, factories, and business units, engage in personal
exchange with overseas subsidiaries and Japanese subsidiaries, and engage in cultural
exchange through placement outside of the Group and at government institutions, etc.
We have further added a young employee program to selective training in order tosystematically develop the next generation of management personnel.
In addition, we increase creativity and foster innovative mindset through absorption of diverse
knowledge and broadening experiences, by introducing the Innovation Professional
Development Program for the next generation of management and using professional
development measures to provide experience in new areas.

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Meiden Group CSR

Systematic Development of Management Personnel

Local Staff Development

Since fiscal 2018, the Meiden Group has been conducting a Japanese exchange program for
local staff (employees of overseas subsidiaries) in order to develop personnel who are
candidates for leadership positions at overseas subsidiaries. The program includes interaction
with Meidensha management, observations at Japanese sites and factories to which products
are delivered, and on-the-job training at various workplaces for the purpose of increasing
preparedness to take on leadership roles and the knowledge necessary for top management
positions in the Meiden Group. This Group-wide interaction of personnel and creating personalconnections bring the Meiden Group together.

Career Formation and Networking of Young Employees
Raising Awareness of Career Formation

We conduct a rotation system to systematically develop young employees. Based on a rotation
model, individuals share their career plans with their workplaces and the HR Department, andwe implement rotation through regular interviews, etc. Having young employees experience avariety of jobs supports early development of their ability and raise their awareness of careerformation.

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Meiden Group CSR

Revitalizing the MFC Mentor System

In fiscal 2016, we introduced the MFC mentor system for the purpose of strengthening internal
connections between young employees and building an atmosphere of professional
development. The MFC stands for “Meiden Family Chain” with the idea that staff would form a
supportive familial bond where they would support each other like links in a chain. Meidensha
refers mentors as “seniors” and mentees as “juniors.” We also have groups consisting ofmultiple pairs, which we call them “families,” that create bonds that go beyond divisions andbusiness units. We provide further impetus to activities by holding social events for families,
and by establishing a Promotion Committee for young employees to plan and implementcompany-wide activities.
Composition of MFC Families

Results Data

Number of Participants in Each Type of Training
Training TypeFY2017FY2018
Hierarchical595
643
program
Selective program 67
72
Optional program 114
85
Technical training 690
691
Other
2,275
1,983
Total
3,741
3,474

157

630

FY2019

147
57
1,103
1,774
3,711

Meiden Group CSR

Data Concerning Professional Development
Item
FY2017FY2018FY2019Total expenses of 98,598,000 yen
97,877,000 yen
95,375,000 yen
education andtraining*1
Total hours of
46,064 hours
46,183 hours
52,550 hours
education andtraining*2*1 Excludes personnel expenses for trainers and management and administrative expenses fortraining facilities, etc.
*2 Training days x designated work hours x number of participants (excludes OJT and remotetraining).

158

Meiden Group CSRHome Sustainability

SocialOccupational Safety and HealthSocialOccupational Safety and Health and Health Management
PolicyRolling Out Safety and Health Activities Based on the Top
Management’s Safety and Health Management Policy

The Meiden Group develops the “President’s Safety and Health Management Policy” every year,
and rolls out occupational safety and health activities based on it.
The President’s policy is an overarching policy that applies to relevant Japanese and overseas
contractors as well as each site and construction business unit of Meidensha and its affiliates(English and Chinese editions distributed to overseas affiliates).
We have explicitly stated that ensuring the safety and health of each employee is at the core ofcorporate management, and we aim to eliminate workplace accidents and maintain and improvehealth.
FY2020 President’s Safety and Health Management Policy“Safety comes first before anything else” and Nothing is more valuable than good health”

1. Basic Policy

The Meiden Group views the safety and health of employees as being central to management
value, and we implement our corporate action guidelines of “working to ensure a safe
environment that is conducive to work and achieve comfort and affluence for employees,”
through increased personal awareness of safety and health at businesses in all countries andregions and ongoing improvement of the 4M elements.* Through these activities, we aim toachieve safe and healthy workplace environments at the Meiden Group and be a leading
company when it comes to safety and health.
*4M: Management, machine, media, man

2. Action Guidelines(1) Based on the awareness that ensuring safety and health is reliant on good communication,
we value employee consultation and participation and all employees together strive to improve
workplaces where everyone can work in comfort.
(2) Abide by applicable legislation and other regulations and strictly obey the existing internal(each BU or workplace level) rules regarding OH&S. In so doing, aim to improve the Meiden
Group’s OH&S management level.
(3) Promote the OH&S Management System and perform the Plan-Do-Check-Act Cycle on acontinuous basis. In so doing, improve the overall Meiden Group’s OH&S level.
(4) Remove and/or reduce all workplace risk to an acceptable level, realize a safe and healthy
159

Meiden Group CSR

workplace, and prevent workplace accidents and occupational disease through appropriate
management.
(5) Conduct OH&S education programs in the repeated manner, acquire correct knowledge andskills, improve awareness on the OH&S on a daily basis, increase opportunities to experience
the importance of safety, and increase “the sensitivity of each person on the risks.” * *Note:
This means one should be fully aware that there are some hidden dangers even in the daily
activities. For example, when you walk down stairs under rain, you need to exercise your careon the risk of slippery surface and take a walk.
(6) All employees shall raise awareness of their own health and strive to improve mental andphysical health.
(7) Promote measures against novel coronavirus (COVID-19).

Health Promotion: Aiming to Maintain and Improve the Health of
Employees

The Meiden Group believes that “Nothing is more valuable than good health,” and we areconducting measures and implementing a system to improve the health of employees.
Specifically, we continue to provide follow-ups to employees who received findings in theirresults of periodic health examination results and conducted initiatives such as mental healthmeasures, health management of workers that work long hours, and various forms of healtheducation on an ongoing basis. In fiscal 2019, we implemented the Meiden Group Health andWellness Policy and promoted further enhancement of health initiatives.
In order to realize the Meiden Group’s corporate philosophy of “Illuminating a more affluent
tomorrow,” it is important for employees to maintain their physical and mental health, and workwith vigor and purpose. Going forward, we will promote activities as an organization to support
the health of each individual such as sharing the belief that health is an asset with all
employees, and actively supporting their own health activities. Through these initiatives, we will
work to become a company that enables employees and their families to live a vigorous andhealthy lifestyle.

160

Meiden Group CSRPresident’s Health and Management Policy Statement

In order to realize the Meiden Group’s corporate philosophy of “illuminating a more affluent
tomorrow,” it is important for employees to maintain their physical and mental health and workwith vigor and purpose. We are promoting activities as an organization to support the health ofeach individual such as sharing the belief that “nothing is more valuable than good health” withall employees and actively supporting employees’ own health activities. Through these activities,
we are working to become a company that enables employees and their families to live avigorous and healthy lifestyle. The Meiden Group will promote the following five core principles
of health management initiatives.

161

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Organization

The Meiden Group Organization System for Occupational Safety
and Health and Health Management

Promoting the Occupational Safety and Health Management
SystemMove from OHSAS 18001 to ISO 45001 Certification

In fiscal 2015, the Meiden Group obtained OHSAS 18001 certification for the four main
Japanese production sites of the Ota Works, Numazu Works, Nagoya Works and all sites at
Kofu Meidensha Electric Mfg. Co., Ltd., including on-site affiliates. Furthermore, Meiden
Singapore Pte. Ltd. obtained certification in fiscal 2013, and the four remaining main overseas
sites of Meiden Zhengzhou Electric Co., Ltd., Shanghai Meidensha Changcheng Switchgear Co.,
Ltd., P.T. Meiden Engineering Indonesia, and Prime Meiden Ltd. obtained certification in fiscal
2017.
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Meiden Group CSR

Since fiscal 2018, we have promoted expanded application of the Occupational Safety and
Health Management System to the entire Group, and transition to ISO 45001 certification due
to the need for international standards.

Acquisition of International Standard ISO 45001

In fiscal 2019, we acquired joint certification for the four main Japanese production sites (OtaWorks, Numazu Works, Nagoya Works, and Kofu Meidensha Electric Mfg. Co., Ltd. *including
on-site affiliates) under ISO 45001, which is the international occupational safety and healthstandard.
In fiscal 2020, we intend to expand ISO 45001 certification to Japanese workplaces other than
production sites.
Going forward, we will aim to create and promote an occupational safety and healthmanagement system at all sites, and strive to create safe, secure, and healthy workplaceenvironments for all Group employees.
Results, Plan, and Targets

FY2019 Results●Results of Occupational Safety and Health Initiatives

Certification status of the occupational safety and health management system

1) Acquired ISO 45001
Area
Scope
Ota area
Meidensha (factories, research and development business unit, staff
business unit), on-site affiliates** On-site affiliates: MEIDEN KIDEN KOGYO CO., LTD. / MEIDENKOHSAN CO., LTD., Ota Branch / MEIDEN FACILITY SERVICECORPORATION / MEIDEN SYSTEM SOLUTIONS CORPORATION, Ota
Branch / MEIDEN UNIVERSAL SERVICE LTD., Headquarters
Numazu area
Meidensha (factories, research and development business unit, staff
business unit), on-site affiliates** On-site affiliates: MEIDEN SYSTEM MANUFACTURING
CORPORATION / MEIDEN KOHSAN CO., LTD., Numazu Branch /MEIDEN SHOJI CO., LTD., Numazu Branch / MEIDEN SYSTEMSOLUTIONS CORPORATION, Headquarters / MEIDEN UNIVERSALSERVICE LTD., Numazu Branch / MEIDEN TECHNO SYSTEMS CO.,LTD., Headquarters / MEIDEN PLANT SYSTEMS CORPORATION,
Equipment Factory / MEIDEN FACILITY SERVICE CORPORATION /MEIDEN CHEMICAL CO., LTD., Headquarters

163

Meiden Group CSR

Area
Kofu area
Nagoya area

Scope
KOFU MEIDENSHA ELECTRIC MFG. CO., LTD. / MEIDENSHACORPORATION (EV Business Division in Kofu and Electromotive
Application Business Division)
Meidensha (factories, research and development business unit, staff
business unit), on-site affiliates** On-site affiliates: MEIDEN SYSTEM SOLUTIONS CORPORATION,
Nagoya Branch / MEIDEN UNIVERSAL SERVICE LTD., Nagoya Branch2) Acquired OHSAS 18001
Area
Scope
Overseas
SHANGHAI MEIDENSHA CHANGCHENG SWITCHGEAR CO., LTD. /subsidiaries
MEIDEN ZHENGZHOU ELECTRIC CO., LTD. / MEIDEN SINGAPORE
PTE.LTD. / P.T. MEIDEN ENGINEERING INDONESIA / PRIME MEIDENLTD.

●Results of Occupational Safety and Health Initiatives

1) 2020 Certified Health and Productivity Management Outstanding Organization in
the Large Enterprise Category Recognition
Meidensha joined the Certified Health and Productivity Management Outstanding Organization
Recognition Program that is jointly recognized by the Ministry of Economy, Trade andIndustry(METI) and Nippon Kenko Kaigi, and 2020 certified Health and Productivity
Management Outstanding Organization in the Large Enterprise Category. Our efforts to focus
on risk holders were evaluated as the Health and Productivity Certification based on
information such as the development of organizational structure to promote internal healthmanagement and medical examination results.

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2) Quitting Smoking Initiatives
We held quitting smoking courses at our four major production sites in Japan to raiseawareness about the possibility of health problems caused by smoking and passive smoking.
There were eleven applicants came to participate our recruitment and took on the challenge in
the ICT online quitting smoking assistance program.

Poster for recruitment of participants inthe quit smoking program3) Achieving Healthy Body Weights for at Least 70% of Staff (Under 40)
With a figure of 71.9%, we achieved the goal of our activities to improve the percentage ofhealthy body weights for our staff (under 40) to at least 70%. The goal has been in place since
fiscal 2009 for the purpose of preventing illnesses such as lifestyle diseases.
4) Group Analyses of FY2019 Stress Checks
With regard to the results of stress checks, we continued to take an individual approach toself-care, such as encouraging people with high stress levels to counsel a physician. We
classified the group analysis results according to the type of each business unit, and made theissues faced by each business unit easy to identify, in order to support line-care measures. The
results of the analysis are explained to managers and supervisors, and shared together with theresults of the separate Survey of Employee Awareness, which is useful for activities to improve
workplaces.

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Plan and Targets

Safety and Health Indicators

Occupational Safety and Health Indicators (Meiden Group)
MeidenGroup

Occupational
Occupational Days Off Work Due Traffic
DiseasesAccidents (cases)
to Illness
Accidents(cases)(cases)Lost Time No Lost
Total
MentalAccidents Time(including
Accidents
mental)
FY20193
0
11,690 7,909
6
33
days
(target
(20%
(30%
(10%
days
values)reduction reduction
reduction(5%(10%
compared compared
reduction reduction compared
compared compared to theto theto theprevious previous
to theto theprevious
fiscal year) fiscal year)
previous previous fiscal year)
fiscalfiscalyear)
year)
FY20196
5
0
14,943 10,990 38(established
days
days
values)(17
peopletook
leavelasting atleast 1month)FY20204
014,196 10,441 34
3
days(target
(50%
(20%
(10%
days
values)reduction reduction
reduction(5%(5%compared compared
reduction reduction compared
compared compared to theto theto theprevious previous
to theto theprevious
fiscal year) fiscal year)
previous previous fiscal year)
fiscalfiscal
year)
year)

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Occupational Safety and Health Data (only Meidensha)
Item
2016*1
2017
2018
2019
Lost time
0.96
0.29
0.99
0.60
accidents
rate*2
Severity rate of 0.02
0.00
1.28
0.00
lost time
accidents*3
Number of00
10
fatalities(cases)Number of lost 6
2
6
1
time accidents(cases)*4
Number of no 9
5
3
3
lost time
accidents(cases)*1 Totals are per calendar year.
*2 “Frequency rate” indicates the frequency of casualty due to industrial accidents per 1 million
gross hours of actual work.
If the same person was damaged more than once, the number of casualties is calculated as thenumber of accidents.
*3 “Severity rate” indicates the significant degree calculated from days of lost work due toindustrial accidents per thousand gross hours of actual work.
*4 “Accidents accompanied by lost worktime” refers to accidents that require at least one day
off work according to Meidensha’s own calculation standards.
Safety Record (only Meidensha)* Minor accidents are not included in thenumber of accidents.
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Number of official participants in the Combined Labor and Management Safety and HealthCommittee as labor delegates
Item
2018
2019
Proportion of total workers 1.56%
1.45%(those whose operation or (37 delegates/2,368 people) (40 delegates/2,755 people)
workplace is underorganizational control) that
send delegates to the
Combined Labor andManagement Safety and
Health Committee

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Meiden Group CSRHealth Management Indicators
Item
2017
2018
2019
Participants in the program for smokers to 11
quit smoking
Participants in Meiden Smart Walking
612
767
Number of Health Web Kencom members
1,502
1,663
Rate of regular health examinations
99.4
100
100
Rate of thorough examination, second
63.9
72
69
examination, or treatment (%)
Rate of stress checks (%)
91.6
91.2
96.1
Rate of consultations with highly-stressed42
4
workers (%)
Average rate of utilization of leave
Listed in labor practices Smart Workvision and targets
Average hours of overtime
Number of workers exceeding 80 hours of outof hours work (work outside of legally
stipulated hours) per monthRate of smoking (%)
26.4
24.7
24.0
Regular health Obesity (BMI of Male
33.4
34.9
35.0
examination
25 or over)Female
17.9
20.9
20.7
results (rate ofconditions
Total
31.2
32.8
32.8
discovered (%))
Rate of blood pressure risks 1.8
0.6
0.5(proportion of workers withsystolic blood pressure of
180 mmHg or more ordiastolic blood pressure of
110 mmHg or more)
Proportion of workers at
0.5
0.5
0.4
risk of diabetes (proportionof workers with fastingblood sugar of 200 mg/dl or
more)
Medical expenses per person (yen)170,255 178,000 174,772
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Meiden Group CSR

Item
Insurance expenses per person (yen)Absenteeism (proportion of workers taking
sick leave or other leave (%))
Loss of absolute presenteeism (first
University of Tokyo scale) (%)
Job turnover rate (%)

2017
16,8830.32

2018
16,5900.29

2019
16,799
0.43

-

-

20

Listed in labor practices results data

Initiatives

Priority Items

The Meiden Group promotes its basic occupational safety and health measures from thefollowing eleven perspectives.

1) Promotion of the Safety and Health Management System

We promote risk management and safety and health activities based on our occupationalsafety and health management system, and systematically maintain and improve our safety andhealth management framework.

2) Compliance with Legal Requirements

We comprehensively cover and maintain an understanding of the status of complianceregarding legal requirements in order to achieve thorough compliance.

3) Improvement of Employees’ Safety and Health AwarenessWe encourage employees to raise their awareness of the danger and hazards.

4) Promotion of Activities to Prevent Industrial Accidents

We promote preventive activities mainly for accidents with a high risk such as falls, work atheights, and electric accidents, and high-risk attributes such as immature workers and elderly
workers, based on the accident characteristics of our company all over Japan.

5) Promotion of a Healthy Work Environment and Its Appropriate Management

We conduct the three forms of industrial health management (work environment management,
work management, and health management) as appropriate, improve, maintain, and manage
work environments, and prevent occupational disease.

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Meiden Group CSR

6) Achieving a Safe Workplace Environment

We promote the 5 S’s (Seiri, Seiton, Seisou, Seiketsu, and Shitsuke in Japanese, or order,organization, cleanliness, hygiene, and discipline) with a focus on the 2 S’s (Seiri and Seiton in
Japanese, or order and organization), and achieve a safe and cleanly workplace environment.

7) Measures to Reduce Traffic Accidents

We prevent and implement measures against traffic accidents and promote activities aimed atpreventing them, particularly with regard to accidents that occur when commuting to and fromwork.

8) Measures to Prevent Traffic Accidents on Premises

We comprehensively inform employees and visitors of on-site traffic rules and establish safe
passageways within the grounds and in facilities such as factories.

9) Comprehensiveness and Revitalization of Safety Activities

We ensure the vitality of daily safety activities, including at factories, worksites, and staff
business units, and foster improvements in workplace safety and a culture that values safety.

10) Promotion of Risk Assessment and Continuous Improvements through Risk
Reduction Measures
We comprehensively identify risks in work processes, formulate improvement plans for highrisk work, and promote risk reduction.

11) Thorough Safety and Health Education

We conduct thorough education, which is a major pillar of preventing industrial accidents andhealth problems.
Major Initiatives

1) Safety and health Initiatives

The Meiden Group has experienced many industrial accidents over its long history.
We have conducted a range of initiatives to prevent industrial accidents such as conducting
KYK (risk anticipation activities), risk assessment, introducing safety patrols, and safety andhealth management systems (OHSAS 18001 and ISO 45001) so far.
We are committed to our own efforts from our reviews to prevent our actual experience frombecoming obsolete.

Promoting Safety Experience Education

In 2014, we created the first hands-on safety experience truck, and conducted safety
education for workers such as group employees and contractors that work on site, by taking
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Meiden Group CSRthe car directly to worksites, in order to promote safety education. As at Meidensha, many
companies are concerned about safety education at worksites, and we are also marketing oursafety education to them.
In November 2019, we initiated education using the newly created hands-on safety experience
truck no. 2, in order to conduct safety education for employees engaged in manufacturing.
Hands-on safety experience trucks nos. 1 and 2 use VR to provide virtual experiences ofindustrial accidents that cannot be experienced in the real world, enabling experiential
education of overturning, falling, and forklift collisions.

Opening of the Safety Promotion Center

In January 2020, we opened the Safety Promotion Center tointroduce people to past industrial accidents.
Immediately following an industrial accident, the entire company
comes together and vows never to repeat the same mistake; thisresolve, however, fades as time passes. In particular, if managers
of workplaces where an industrial accident has occurred aretransferred, this increases the rate at which lessons learned fromthe accident fade.
We established the Safety Promotion Center as a place toencourage story-telling and thinking about industrial accidents
that have occurred.
We believe it is whole Meidensha duty to discuss and remember
the experience of bitter accidents without turning away fromthem.
The Meiden Group promotes initiatives to raise safety awareness and eliminate industrial
accidents through trainings by using a safety-car to experience and by keeping safety
awareness in our mind at the Safety Promotion Center. We discover and mitigate risks that areusually hard to notice by conducting third-party patrols, in addition to patrols by officers andemployees. We communicate the importance of safety by having officers in charge of
production, safety, and quality confirm mitigation of risks for themselves.

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Meiden Group CSR

Awards for Achievement of No Accidents and No Disasters
The President of the Meiden Group awards business units inwhich there have been no industrial accidents for a specified
period of time, raises awareness of safety at the workplace level
and continuously provides opportunities to promote activities bycelebrating safety initiatives.

Safety and Health Education at ASEAN Subsidiaries

Since fiscal 2014, we have been conducting occupational safety and health education(including safety experiential education) and quality management education for local staff andworkers at Southeast Asian subsidiaries, on an ongoing basis.
Since fiscal 2018, we have invited QEHS managers from local subsidiaries, and conducted onsite general education in the fields of industrial safety, quality management and environment.
We contribute to the development of professional in “Japanese manufacturing” overseas.

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Meiden Group CSR

Meidensha’s original On-site Safety and Health Management Standards (General Provisions combined Japanese and English edition)

Occupational Safety and Health Education for Employees through e-Learning
In fiscal 2019, we began occupational safety and health education for all Group employees
through e-learning. By comprehensively organized risk factors for industrial accidents and
impediments to health and repeatedly distributing information, we share knowledge andincrease awareness, which plays a role in preventing accidents.

[Examples of Content]
Overturning accidents
Lower back pain risk
Heat stroke
Lifestyle diseases

2. Health Promotion Measures

Of the 5 pillars of health management - namely mental health measures, anti-smoking
measures, measures to prevent lifestyle diseases, including for young people, and measures toprevent cancer – we are conducting activities that prioritize health issues that require urgent
measures, which are as follows.
3. Enhancement of mental health promotion systems and promotion of workplaces that do not
result in mental illness
4. Prevention of impairment of health due to smoking
5. Promotion health examinations, health advice, and prevention support for the prevention andtreatment of health issues
1) Smart Challenge Meiden Five
figured out five health agendas "the Smart Challenge Meiden Five" and are working on theactivities.
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Meiden Group CSR

① Challenge 1: Taking action for passive smoking and promote quitting smoking program
We are promoting quitting smoking by gradually reducing smoking areas and smoking
times and continuing our online program to support quitting smoking.
② Challenge 2: Taking action for lifestyle diseases – under 39
We are taking actions providing the pre-obese under 40s with ICT health guidance
programs to prevent future lifestyle-related diseases such as the establishment of
exercise habits.
③ Challenge 3: Measures to combat lifestyle diseases – over 40
We provide the subjects of specific health guidance with ICT health guidance programs tothoroughly encourage to participate the guidance.
④ Challenge 4: Cancer control
We carry out regular screenings for women's cancer, and activities to ensure all eligible
people for colorectal cancer can undergo the detailed examination⑤ Challenge 5: Promoting maintain mental health
We provide our workers with assistance and training for the Mental Health Management®
exam according to the Mental Health Plans, so that they can take self-cares. As forbusiness lines, we care them by conducting evaluations and analyzes focusing on thecorrelation between quality, productivity improvement, mental health improvement, as wellas improve the workplace environment to maintain workers' mental health based on thegroup analysis results. We have prepared rules and systems in order for the people enable
to return to work early, including adjusting the work environment.
2) Promoting Work Style Reform
For details on activities, refer to the Work Style Reform of Labor Practices3) Collaborative Health and Data Health
We promote activities by organizing a collaborative health committee consist of healthinsurance associations, labor unions, and staff from industrial health and from safety
management. Each plan is deployed and followed utilizing the ISO45001 (Occupational Safety
and Health Management System), and health activities are carried out efficiently. We introduce
a health information management system and analyze issues and effects based on objective
data.
4) Targeting 2021 Certified Health and Productivity Management Outstanding
Organization in the Large Enterprise Category (White 500) Recognition
Since we have recognized as the 2019 Certified Health and Productivity Management
Outstanding Organization in the Large Enterprise Category, we work on measures more actively
to contribute to maintain and promote supporting our workers' health in light of social issues
and needs, so that we deserve certified for the 2021 Health and Productivity Management
Outstanding Organization in the Large Enterprise Category (White 500).

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Meiden Group CSRHome Sustainability

SocialCommunity

SocialCommunity
PolicyPolicy on Local Employment and Procurement

The Meiden Group gains awareness of issues and forms positive relationships with communities
through lively two-way communication in countries and regions in which we conduct business.
Furthermore, the Meiden Group is aware of the importance of local hiring and local
procurement to contribute to sustainable development in these countries and regions.
The Meiden Group is working to contribute to the economic development of countries andregions in which we conduct business through a range of initiatives.

Social Contribution Policies

Meiden Group Social Contribution Policies
1. We shall contribute to the sustainable development of society through our main
business of manufacturer and supplier of electromechanical products.
2. We appreciate the local communities that support our business activities and we shall
execute social contribution that helps the progress of community development.
3. The Group’s executive officers and employees shall voluntarily support our social
contribution initiatives.

We are working to conduct positive communication with people in the local community and our
stakeholders that support us on a day-to-day basis, through contributions to society according
to the Meiden Group Social Contribution Policies.
In 1918, Take Shigemune, the second President of the Company and wife of our founder, Hosui
Shigemune, used her own funds to establish Hosui Elementary School in Osaki (Shinagawa City,
Tokyo), an area where the Company had a factory. Following in her footsteps, the Meiden
Group will make a wide variety of social contributions through our active involvement with local
communities and with society.

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Meiden Group CSR

Policies to Support Local Communities

Conducting Social Contribution Activities that Contribute to the Development of Local
Communities

The Meiden Group conducts business activities in various countries and regions and is
supported by hiring workers from surrounding areas and building positive relationships. Basedon Meiden Group Social Contribution Policy 2. “we appreciate the local communities that
support our business activities and we shall execute social contribution that helps the progressof community development,” we conduct internships (job experience), support for education,
volunteer activities, and environmental activities, etc. In Japan, each year, we actively conduct
internships (job experience) for university, vocational college, and high school students, andprovide career-path support and opportunities to deepen understanding of work and society.
The Meiden Group will continue to engage in a range of social contribution activities andcontribute to the development of local communities.
Results Data

CSR expenditure
FY2016FY2017FY2018CSR Expenditure (yen)32,200,000 28,000,000 38,000,000*CSR expenditure includes donations and sponsorship costs.

FY201960,000,000

Initiatives

Contributions to Local Economies

Commencement of Comprehensive Water Supply Operation in Eastern Gunma
Prefecture

In order to tackle a range of issues arising from aging plumbing personnel employed by local
governments such as labor shortages, passing on of skills, and risk management, the Meiden
Group not only designs and manufactures electrical equipment, but offers a one-stop service
that includes maintenance services, and management of the operation of facilities. In April,2017, a private sector group, for which Meidensha is the representative company, established
East Gunma Water Supply Service Co., Ltd. along with the East Gunma Water Supply Industry
Association through joint financing, and commenced water supply operations andcomprehensive projects including extension works in three cities and five towns in the East
Gunma region. Through this venture, we were able to achieve efficient business administrationand transmission of skills to personnel, achieve public benefit, create new employment
opportunities, and reduce maintenance costs, by leveraging the skills and knowhow of private
enterprise.

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Meiden Group CSRCommunity Investment

In Support of Local Community and Government Initiatives: Donation of Facilities to
Schools in Thailand

In the Kingdom of Thailand, we donated facilities for two schools in the mountainous regions of
the north of Thailand, which are populated by ethnic minorities, in fiscal 2017, to celebrate
Meidensha’s 120th anniversary and the 50th anniversary of THAI MEIDENSHA CO., LTD. We
donated a library and a water tank to Kalayaniwattana Secondary School, which was one ofthose schools. As these regions are surrounded by mountains, it takes a long time to travel toschool and many students choose to live in dormitories. With this water tank to store the waterthat is necessary for life and this library to help students learn, Meidensha was able to support
children’s rights and business principles, improve the learning environment for children inaccordance with these principles, and contribute to the provision of opportunities for children
to receive reliable and high-quality education. Employees of THAI MEIDENSHA CO., LTD. visit
the two schools to which facilities were donated on an ongoing basis, and maintain connections
with learning activities, teachers, and the local community through activities with students.

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Meiden Group CSRSocial Contribution Activities (FY2019 initiatives)

Meidensha Manufacturing Classes: Teaching children about the Joy of Manufacturing

Since fiscal 2007, which was our 110th anniversary, we have held
Meidensha Manufacturing Classes at elementary schools locatednearby each of our sites, including Hosui Elementary School.
Through these Manufacturing Classes, we will enable children toexperience the joy of manufacturing by having them assemble
and operate toys that incorporate motors by themselves. Morethan 10,000 children have participated the activity so far. Since
fiscal 2018, we have held Manufacturing Classes at Iwakuni
Elementary School, which was attended by our founder,
Shigemune Hosui.

Supporting the Cultural Exchange Project Conducted by Japanese and Thai Elementary
Schools

We support cultural exchange between children at Hosui Elementary School in Shinagawa-ku,
which was established at the behest of the founder, Hosui Shigemune and recently celebrated
its 100th anniversary, and Mae Cam's Baan Thung Yao Primary School in Northern Thailand, towhich we donated school buildings in 2017 as one of Meidensha’s 120th Anniversary Projects.
We held visiting lectures to learn about other cultures and we helped children, who carry thehopes of the future, feel the importance of coming into contact with other cultures by donating
tools using the bell mark, and exchanging video letters and pictures between the schools.

Workplace Visits and Visiting Science Lectures for Junior High Schools Nearby Our
Sites

At each of our sites, we actively encourage workplace visits by local junior high school students
and conduct explanations of corporate initiatives, observations of facilities, and question andanswer sessions with employees, etc., as part of children’s career education.
Furthermore, since fiscal 2017 we have held visiting lectures entitled “how does electricity
reach us?” for second-year junior high school students in the areas around our sites, throughwhich children can learn about the importance of electricity through experience.

Endowed Courses at Thai and Indian Universities

The Meiden Group conducts endowed courses at overseas universities in Thailand and India,
which began as one of our 120th Anniversary Projects. We have rolled out a unique curriculumat the Ladkrabang Campus of Thailand’s King Mongkut’s Institute of Technology and India’s
NBKR Institute of Science & Technology in order to develop future engineers. One student
from the first 2017 Thai endowed course was employed by THAI MEIDENSHA CO., LTD., and 10
students were employed by other local Japanese companies. Five students from the 2018 India
endowed course were employed by PRIME MEIDEN LIMITED.

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Meiden Group CSR

Environmental Beautification Activities at Sites around JapanThe Meiden Group engages in environmental beautification activities such as cleaning up litter
and weeding at sites around Japan on a day-to-day basis, in order to coexist with local
communities. Local residents value the contributions we have made over many years, and thesebeautification activities also contribute to a sense of social contribution and foster a sense ofcommunity amongst employees.

Sponsored the NHKSO Concert at Hosui Elementary School

In 2019, we supported a concert by NHK Symphony Orchestra at
Hosui Elementary School to mark the 100th anniversary of theschool’s founding and the completion in February of the newschool gymnasium. The entire student body, totaling around 500
students, as well as their parents and teachers enjoyed aperformance by five members of the brass section of NHKSO.

Nature Appreciation Event: Look for Cicadas in Osaki Forest

We have been holding nature appreciation events at Hosui elementary school since 2018.
Jointly hosted by Meidensha and the Nature Conservation Society of Japan, and with thesupport of the Nature Conservation Society of Tokyo (NACOT), the event was held to observe
cicadas, which are symbolic insect of summer, in the forest of ThinkPark Tower Osaki and theprecincts of Irugi Shrine.

Donated Facilities Extension to an Archery Club in an Elementary School in Kuala
Lumpur

MEIDEN MALAYSIA SDN. BHD., a local subsidiary of Meidensha, donated RM105,000(approximately three million yen) to extend an archery club facilitiy of an elementary schools in
Kuala Lumpur. Since its foundation in 2015 at the elementary school, the archery club has notbeen able to secure a budget for club operation and facilities. MEIDEN MALAYSIA SDN. BHD.
donation was used to extend the roofed competition area and purchase archery equipment,
and the facility extension was completed on June 15, 2019. Pupils between the ages of sevenand twelve are now enjoying archery.

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Meiden Group CSR

Supporting Volunteers to Typhoon and Tornados Suffered Area

There were a great deal of damage from a series of disasters in Chiba Prefecture, including
Typhoon No.15 (Faxai) in October and tornadoes in September both in 2019. From September
to November 2019, accumulated total of 67 volunteers from Plant Construction & Engineering
Business Group of Meidensha applied to support suffered areas reconstruction, such as theremoval, transportation, and cleaning of rubble and sediment, in Katori City, Ichihara City,
Nagara Town, Tateyama City, Marumori Town in Miyagi Prefecture, and Akanuma district inNagano Prefecture. The social welfare councils from Katori City and Ichihara City offeredletters of appreciation to us for those activities.

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Meiden Group CSRHome Sustainability

Evaluations from External Bodies

Sustainability

Evaluations from External Bodies
Status of incorporation of the ESG Index* (as of July 2020)*ESG is an abbreviation of “environment,” “social,” and “governance.” Consideration is given toenvironmental and social factors, which are important elements to determine whether to makean investment, in addition to financial factors.

S&P/JPX Carbon Efficient Index

The S&P/JPX Carbon Efficient Index is an environmental index that was developed by S&P Dow
Jones Indices LLC. It gives weight to companies with high carbon efficiency and that fully
disclose carbon emissions. The S&P/JPX Carbon Efficient Index also serves as an ESG index forJapanese companies that are GPIF investment targets. Meidensha was added to the index in
2018.

SNAM Sustainability Index

Meidensha has been selected for the SNAM Sustainability Index, which was instituted by
SOMPO Japan Nipponkoa Asset Management (SNAM) in August 2012.
SNAM Sustainable Investment is a responsible investment product for pension funds andinstitutional investors that invests broadly in companies with a high ESG (environment/social/governance) rating.
Each year, revision of companies listed in the index is conducted based on the results ofinvestigations conducted by SOMPO Risk Management Inc. (environmental investigation) and
IntegreX Inc. (social and governance investigation). Meidensha’s ESG initiatives have beenhighly rated by these investigations, leading us to be continuously selected by IntegreX since
fiscal 2016.

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Meiden Group CSR

Other Major Evaluations from Outside the Company
CDP (Climate Change and Water Security)

CDP is an international NGO that operates a global information disclosure system to manage
the environmental impact of investors, companies, cities, countries, and regions. It investigates,
evaluates, and discloses information about environmental initiatives on behalf of institutional
investors. In 2019, Meidensha was rated as B in climate change and C in water security by CDP.

2020 CSR Company Ranking (Toyo Keizai Inc.)

Released by Toyo Keizai Inc., the CSR Company Ranking generally evaluates and ranks CSR(corporate social responsibility) and Finance by evaluating utilization of human resources,
environment, corporate governance, social responsibility, profitability, safety, and scale, basedon responses to an annual survey given to companies. Meidensha was ranked 52nd out of 126
companies in the electrical machinery industry in the 14th CSR Company Ranking (2020).

The 3rd Nikkei Smart Work Management Survey

The Smart Work Management Survey, conducted by Nikkei Inc. from 2017, selects leading
companies who are challenging the productivity revolution through work style reform. The
survey was conducted on listed companies nationwide and leading unlisted companies, andconsists of three elements: the realization of diverse and flexible working systems, a system fornew businesses, and the ability to develop markets. They define efforts to maximizeorganizational performance as "smart work management" and evaluate them in five stages,
taking into account management foundations such as corporate governance. In the 3rd survey,
Meidensha was recognized as one of the three-stars company.

The 1st Nikkei SDGs Management Survey

The SDGs Management Survey comprises questions relating to the four categories of “SDGs
strategy and economic value,” “social value,” “environmental value,” and “governance.”
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Meiden Group CSR

Meidensha was rated as a company with 3.5 stars.

Eruboshi

In 2017, Meidensha received the highest level of Eruboshi mark (grade 3).
Eruboshi is a system under which certification is granted by the Minister of Health, Labour andWelfare to companies that have formulated and submitted action plans under the Act for the
Promotion of Women’s Participation in Working Life (Act for the Promotion of Women’sParticipation), that meet certain standards, and that have been exceptional in theirimplementation of initiatives. There are three levels of certification, and Meidensha has received
grade 3, which is the highest level as it is recognized as having met the required standards in all
five evaluation categories. Receiving Eruboshi certification also increases our rating forcomprehensive evaluation bidding systems, etc., of public enterprise.

Action plan under the Act for the Promotion of Women’s Participation andPromotion of Diversity Management

2019 Environmental Human Resource Development Corporate Awards

The Environmental Human Resource Development Corporate Awards are given to companies
with management that is considerate of the environment. The awards recognize initiatives todevelop employees able to act independently, with the results of said initiatives aimed atincreasing the number of companies that contribute to overall improvement of theenvironment, society, and the economy. Meidensha was awarded an Incentive Prize, and waspraised for the activities of the entire Meiden Group and its efforts to increase the reach of its
environmental management system, including suppliers.

The 16th LCA Japan Forum Awards: Incentive Award

The LCA Japan Forum Awards comprise a system to commend exceptional initiatives relating
to LCA (life-cycle assessment) for the purpose of supporting companies, institutions, andresearchers engaged in reducing the environmental impact of products throughout theirlifecycles. Meidensha received an incentive award in the environmental management division
for its initiatives to reduce value chain greenhouse gas emissions through electric vehicles andrenewable energy-related businesses, etc.
184

Meiden Group CSRThe 1st ESG Finance Awards Japan: Minister of the Environment Award (BondCategory)

The ESG Finance Awards Japan were established by the Ministry of the Environment to reward
cutting-edge initiatives in ESG finance and social and environmental business, with the goal of
spreading ESG finance, against a backdrop of increasing investment and finance that is
considerate of ESG factors, including global climate change risks. Meidensha received theMinister of the Environment Award in the Bond Category, and was praised for issuing green
bonds to conduct financing for capital investment with an eye to increasing demand for EVs.
The firm was further recognized as the first Japanese operating company to obtain CBIcertification*, identifying capital investment in the intermediate product of motors/invertersthat are used in electric vehicles as a reason for the borrowing of funds.
*CBI certification: Certification issued by the UK international NGO, CBI (Climate Bonds
Initiative), to encourage large-scale investment for a low-carbon economy.

At the award ceremony on February 26, 2020
(Left: President Miida)
Issue of Green Bonds

The 5th Sustainable Finance Awards: Green Bond Award

The Sustainable Finance Award is an award system sponsored by the Research Institute forEnvironment Finance, which promotes and educates environmental finance to solve
environmental problems using financial methods. The award system is aimed at honoring
financial institutions, companies, institutions, etc. who have contributed to the development ofenvironmental finance and sustainable finance in Japan.

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Meiden Group CSR

At the award ceremony on January 22, 2020

FY2020 MEXT Commendation for Science and Technology: Prize for Scienceand Technology (Development Category)

The MEXT, Minister of Education, Culture, Sports, Science and Technology, Commendation in
the science and technology category recognizes those who have achieved outstanding results
in research and development or promotion of understanding in relation to science andtechnology. Meidensha received the Prize for Science and Technology (Development Category)at the 2020 MEXT Commendation for Science and Technology for development of catenary
inspection equipment that operates by image analysis.

BCAO Awards 2019: Superior Practice Award in the Business Continuity
Division

The BCAO Awards are administered by the Business Continuity Advancement Organization(BCAO) to recognize individuals or groups that have contributed to the spread andimplementation of business continuity, in order to promote the proliferation of business
continuity in Japan. Meidensha received the Superior Practice Award in the Business Continuity
Division and was praised for its development of business continuity plans (BCP) for all business
units in 2018, as well as its system of business continuity management (BCM).

186

Meiden Group CSRHome Sustainability

Editorial Policy

Sustainability

Editorial Policy
Editorial Policy

The Meiden Group informs its stakeholders of its attitude and initiatives relating to social
responsibility through the two media of the Meidensha Report (print edition and web edition)and the Meiden Group CSR (web edition).
With regard to the content of the reports, we work to collect and analyze information thatmeets our stakeholders’ expectations and is of interest to our stakeholders, and distribute it
through regular notices, IR activities, and interviews with each department.
Furthermore, the Meiden Group is conducting internal communication activities as part of theprocess of drafting reports in order to understand changes in the external environment andshare future issues and trends. In addition, we work to strategically promote future CSR
initiatives by exchanging opinions based on the reports that have been created, and having
each department reflect on its own activities, taking into account outside perspectives.

Report Media

1. Meidensha Report print edition and web edition

A comprehensive collection of financial information concerning the Meiden Group andnonfinancial information such as initiatives that contribute to improving corporate value andmanagement strategies.

1. Booklet, PDF
Meidensha Report187

Meiden Group CSR

2. Meiden Group CSR web edition (this website)

A summarized introduction focusing on specific initiatives to tackle CSR issues that the Meiden
Group considers important.

2. Web edition

Reporting Period

This report mainly covers initiatives taken in fiscal 2019 (April 1, 2019 - March 31, 2020)
It also includes some information from prior to fiscal 2018 and until July 2020.

Subject Organizations

The report mainly covers initiatives of Meidensha Corporation and its affiliated companies.
Human resources data applies to affiliated companies in Japan, while environmental reporting
data applies to Meidensha and its 40 major affiliated companies (21 in Japan and 19 overseas).

Publication

Publication of this report: September 2020
Next scheduled publication: August 2021

Guidelines Used as References

International Integrated Reporting Council (IIRC) “The International Integrated Reporting
Framework”
Ministry of Economy, Trade and Industry “Guidance for Collaborative Value Creation”
GRI “Sustainability Reporting Standards”*Although this report is based on the reporting principles, the content does not necessarily
conform to them.
Ministry of the Environment “Environmental Reporting Guidelines (Fiscal Year 2018 Version)”
188

Meiden Group CSRInquiries about This Report

Meidensha Corporation
Public & Investor Relations Section, Public & Investor Relations Division
ThinkPark Tower, 2-1-1, Osaki, Shinagawa-ku, Tokyo
141-6029 Japan
TEL: 81-3-6420-8100 FAX: 81-3-5745-3027

Disclaimer

In addition to past and current facts about the Meiden Group, this report contains forecasts forthe future based on plans, outlooks and business policies and strategies in effect at the time of
publication. These forecasts are our assumptions and judgments as based on information
available at the time they were stated, and may differ from actual business activity results andevents in future owing to changes in conditions.

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Meiden Group CSRHome Sustainability

GRI Standards Content Index

GRI Standards Content Index
General Disclosures 2016

Disclosure Title
References
GRI102：General Disclosures
Organizational profile
102-1 Name of the organization
Company Profile
102-2 Activities, brands, products, and services Products & Services
102-3 Location of headquarters
Company Profile
102-4 Location of operations
Company Profile
102-5 Ownership and legal form
Company Profile
102-6 Markets served
Products & Services
102-7 Scale of the organization
Company Profile
102-8 Information on employees and other
Labor Practices＞HR Data
workers102-9 Supply chain
Supply Chain Management
102- Significant changes to the organization Not applicable
10and its supply chain
102- Precautionary Principle or approach
Risk Management
11102- External initiatives
CSR from the Meiden Group12Perspective ＞External Support
Initiatives
102- Membership of associations
CSR from the Meiden Group13
Perspective ＞Group
Membership Credentials
Strategy102- Statement from senior decision-maker
The President’s Commitment
14102- Key impacts, risks, and opportunities
The President’s Commitment
15
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Medium-term Management Plan
Ethics and integrity
102- Values, principles, standards, and norms
16of behavior
102- Mechanisms for advice and concerns
17
about ethics
Governance102- Governance structure18102- Delegating authority
19102- Executive-level responsibility for20
economic, environmental, and social
topics

10221
10222
10223
10224
10225
10226

Consulting stakeholders on economic,
environmental, and social topics
Composition of the highest governancebody and its committees
Chair of the highest governance body

102-

Collective knowledge of highest

Nominating and selecting the highest
governance body
Conflicts of interest
Role of highest governance body insetting purpose, values, and strategy

191

Corporate Philosophy
ComplianceCorporate GovernanceCorporate Governance
CSR from the Meiden Group
Perspective
Environmental Management
Product Responsibility
Occupational Safety and Health
Risk Management－
Corporate Governance
Board of Directors & Executive
Officers－－
Environmental Management
Climate Change
Corporate Governance
The Approach to SDGs
Meiden Group CSR

27
10228
10229

governance body

Corporate GovernanceEvaluating the highest governance body’s Environmental Management
performance
Climate Change
Corporate Governance
Identifying and managing economic,
The Approach to SDGs
environmental, and social impacts
Environmental Management
Climate Change

102- Effectiveness of risk management30
processes
102- Review of economic, environmental, and31
social topics
102- Highest governance body’s role in32
sustainability reporting
102- Communicating critical concerns
33
102- Nature and total number of critical
34
concerns
102- Remuneration policies
35
102- Process for determining remuneration
36
102- Stakeholders’ involvement in
37
remuneration
102- Annual total compensation ratio
38
102- Percentage increase in annual total
39
compensation ratio
Stakeholder engagement
102- List of stakeholder groups
40
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Risk Management
Risk Management－－
Compliance－Corporate GovernanceCorporate Governance－－－
CSR from the Meiden Group
Perspective ＞Relationships
Meiden Group CSR

with Stakeholders
Environmental Communication
Labor Practices

10241
10242

Collective bargaining agreements

10243

Approach to stakeholder engagement10244

Key topics and concerns raised

Identifying and selecting stakeholders

Reporting practice102- Entities included in the consolidated
45
financial statements
102- Defining report content and topic
46
Boundaries
102- List of material topics
47
10248
10249
10250
10251
10252
102-

CSR from the Meiden Group
Perspective ＞Relationships
with Stakeholders
CSR from the Meiden Group
Perspective ＞Relationships
with Stakeholders
Corporate Governance＞
Dialogues with Shareholders
and Investors
CSR from the Meiden Group
Perspective ＞Relationships
with Stakeholders－
Editorial Policy

Restatements of information

CSR from the Meiden Group
Perspective ＞President’s CSR
Policy Statement
Not applicable

Changes in reporting

Not applicable

Reporting period

Editorial Policy

Date of most recent report

Editorial Policy

Reporting cycle

Editorial Policy

Contact point for questions regarding the Editorial Policy
193

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53
10254

reportClaims of reporting in accordance with
the GRI Standards

10255
10256

GRI content index

Editorial Policy* Although based on thereporting principle, this reporting
is not prepared following thecore option of the GRI
Sustainability ReportingStandards.
GRI Standards Content Index

External assurance

Third-Party Verification

Topic-specific Disclosures 2016
Disclosure Title
Material Topics
200 series (Economic topics)
Economic Performance103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach
201-1 Direct economic value generated anddistributed
201-2 Financial implications and other risks andopportunities due to climate change
201-3 Defined benefit plan obligations andother retirement plans
201-4 Financial assistance received fromgovernment
Market Presence
103-1 Explanation of the material topic and its
Boundary
194

References－
Environmental Management－
Company Profile
Environmental Management－
Not applicableCommunity
Meiden Group CSR

103-2 The management approach and its
Community
components
103-3 Evaluation of the management approach －202-1 Ratios of standard entry level wage by －gender compared to local minimum wage
202-2 Proportion of senior management hired －from the local community
Indirect Economic Impacts
103-1 Explanation of the material topic and its Community
Boundary103-2 The management approach and its
Community
components
103-3 Evaluation of the management approach －203-1 Infrastructure investments and services Community
supported
203-2 Significant indirect economic impacts
Community
Procurement Practices
103-1 Explanation of the material topic and its Supply Chain Management
Boundary103-2 The management approach and its
Supply Chain Management
components
Compliance103-3 Evaluation of the management approach Promotion of Strategic
Environmental Management
204-1 Proportion of spending on local suppliers －Anti-corruption
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Corporate Code of Conductcomponents
Compliance103-3 Evaluation of the management approach －205-1 Operations assessed for risks related to －195

Meiden Group CSR

corruption
205-2 Communication and training about anticorruption policies and procedures
205-3 Confirmed incidents of corruption andactions taken
Anti-competitive Behavior
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components

Compliance
Not applicable－

Corporate Code of Conduct
Compliance103-3 Evaluation of the management approach －206-1 Legal actions for anti-competitive
Not applicablebehavior, anti-trust, and monopoly
practices
300 series (Environmental topics)
Materials
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its－
components
103-3 Evaluation of the management approach －301-1 Materials used by weight or volume－301-2 Recycled input materials used－
301-3 Reclaimed products and their packaging －materials
Energy103-1 Explanation of the material topic and its Promotion of Strategic
Boundary
Environmental Management
Climate Change
Promotion of Strategic
Environmental Management103-2 The management approach and its
components

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103-3
302-1

302-2
302-3
302-4
302-5

Environmental Management
Climate Change
Evaluation of the management approach Promotion of Strategic
Environmental Management
Energy consumption within the
Climate Changeorganization
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2018) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)
Energy consumption outside of the－organization
Energy intensity
Climate Change
Reduction of energy consumption
Climate Change
Reductions in energy requirements of
Product Initiatives (Examples of
products and services
Meiden Green Productregistered in fiscal 2019)

Water
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach－
Promotion of Strategic
Environmental Management
Environmental Management
Promotion of Strategic
Environmental Management
Water Resources
Water Resources
Overview of Environmental
Impacts by Our Business
Activities

303-1 Water withdrawal by source

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303-2 Water sources significantly affected bywithdrawal of water
303-3 Water recycled and reused
Biodiversity103-1 Explanation of the material topic and its
Boundary

Environmental Impact Data
(Fiscal 2018) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)－－
Promotion of Strategic
Environmental Management
Biodiversity
Promotion of Strategic
Environmental Management103-2 The management approach and its
components

Environmental Management
Biodiversity103-3 Evaluation of the management approach Promotion of Strategic
Environmental Management304-1 Operational sites owned, leased, managed Biodiversity
in, or adjacent to, protected areas andareas of high biodiversity value outside
protected areas
304-2 Significant impacts of activities, products, Biodiversity
and services on biodiversity304-3 Habitats protected or restored
Biodiversity
304-4 IUCN Red List species and national
Biodiversity
conservation list species with habitats inareas affected by operations
Emissions103-1 Explanation of the material topic and its Promotion of Strategic
Boundary
Environmental Management
Climate Change
Promotion of Strategic
Environmental Management103-2 The management approach and its
components
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103-3
305-1

305-2

305-3
305-4
305-5
305-6
305-7

Environmental Management
Climate Change
Evaluation of the management approach Promotion of Strategic
Environmental Management
Direct (Scope 1) GHG emissions
Climate Change
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2019) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)
Energy indirect (Scope 2) GHG emissions Climate Change
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2019) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)
Other indirect (Scope 3) GHG emissions Climate Change
GHG emissions intensity
Climate Change
Reduction of GHG emissions
Climate Change
Emissions of ozone-depleting substances Climate Change(ODS)
Nitrogen oxides (NOX), sulfur oxides
Prevention of Pollution and(SOX), and other significant air emissions Effective Utilization of
Resources
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2019) from the Four

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Effluents and Waste
103-1 Explanation of the material topic and its
Boundary

Main Manufacturing Sites(Domestic Manufacturing Sites)
Promotion of Strategic
Environmental Management
Biodiversity
Promotion of Strategic
Environmental Management103-2 The management approach and its
components

103-3 Evaluation of the management approach
306-1 Water discharge by quality anddestination

306-2 Waste by type and disposal method

Environmental Management
Prevention of Pollution andEffective Utilization of
Resources
Promotion of Strategic
Environmental Management
Water Resources
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2019) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)
Prevention of Pollution andEffective Utilization of
Resources
Overview of Environmental
Impacts by Our Business
Activities
Environmental Impact Data
(Fiscal 2019) from the Four
Main Manufacturing Sites(Domestic Manufacturing Sites)
Not applicable
Prevention of Pollution and306-3 Significant spills
306-4 Transport of hazardous waste
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Meiden Group CSR

306-5 Water bodies affected by water
discharges and/or runoff
Environmental Compliance103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components

Effective Utilization of
Resources
Water Resources
Promotion of Strategic
Environmental Management
Promotion of Strategic
Environmental Management

Environmental Management103-3 Evaluation of the management approach Environmental Management307-1 Non-compliance with environmental laws Not applicableand regulations
Supplier Environmental Assessment
103-1 Explanation of the material topic and its Supply Chain Management
Boundary103-2 The management approach and its
Supply Chain Management
components
103-3 Evaluation of the management approach －308-1 New suppliers that were screened using Supply Chain Management
environmental criteria308-2 Negative environmental impacts in the
Climate Change
supply chain and actions taken
Supply Chain Management
400 series (Social topics)
Employment103-1 Explanation of the material topic and its Labor Practices
Boundary103-2 The management approach and its
Labor Practices
components
103-3 Evaluation of the management approach Labor Practices
401-1 New employee hires and employee
Labor Practices
turnover201

Meiden Group CSR

401-2 Benefits provided to full-time employees Labor Practices
that are not provided to temporary or
part-time employees
401-3 Parental leave
Labor Practices
Labor/Management Relations
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Labor Practices
components
103-3 Evaluation of the management approach －402-1 Minimum notice periods regarding－
operational changes
Occupational Health and Safety
103-1 Explanation of the material topic and its Labor Practices
Boundary
Occupational Safety and Healthand Health Management103-2 The management approach and its
Occupational Safety and Healthcomponents
and Health Management103-3 Evaluation of the management approach Occupational Safety and Healthand Health Management403-1 Workers representation in formal joint
Occupational Safety and Healthmanagement–worker health and safety
and Health Management
committees
403-2 Types of injury and rates of injury,
Occupational Safety and Healthoccupational diseases, lost days, andand Health Management
absenteeism, and number of work-related
fatalities
403-3 Workers with high incidence or high risk Occupational Safety and Healthof diseases related to their occupationand Health Management403-4 Health and safety topics covered in
Occupational Safety and Healthformal agreements with trade unions
and Health Management
Training and Education
103-1 Explanation of the material topic and its Labor Practices
Boundary
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103-2 The management approach and its
HR Development
components
103-3 Evaluation of the management approach －404-1 Average hours of training per year per
Labor Practices＞HR Data
employee404-2 Programs for upgrading employee skills Labor Practices
and transition assistance programs
HR Development
404-3 Percentage of employees receiving
Labor Practices＞HR Data
regular performance and careerdevelopment reviews
Diversity and Equal Opportunity
103-1 Explanation of the material topic and its Labor Practices
Boundary103-2 The management approach and its
Labor Practices
components
103-3 Evaluation of the management approach Labor Practices
405-1 Diversity of governance bodies andLabor Practices
employees
405-2 Ratio of basic salary and remuneration of Labor Practices＞HR Data
women to men
Non-discrimination
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Human Rights
components
103-3 Evaluation of the management approach －406-1 Incidents of discrimination and corrective －actions taken
Freedom of Association and Collective Bargaining
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Human Rights
components
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103-3 Evaluation of the management approach －407-1 Operations and suppliers in which the－right to freedom of association andcollective bargaining may be at riskChild Labor
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Supply Chain Management
components
Human Rights
103-3 Evaluation of the management approach －408-1 Operations and suppliers at significant －risk for incidents of child labor
Forced or Compulsory Labor
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its
Supply Chain Management
components
Human Rights
103-3 Evaluation of the management approach －409-1 Operations and suppliers at significant －risk for incidents of forced orcompulsory labor
Security Practices
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its－
components
103-3 Evaluation of the management approach －410-1 Security personnel trained in human－rights policies or procedures
Rights of Indigenous Peoples
103-1 Explanation of the material topic and its －Boundary204

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103-2 The management approach and its
components
103-3 Evaluation of the management approach411-1 Incidents of violations involving rights ofindigenous peoples
Human Rights Assessment
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach412-1 Operations that have been subject tohuman rights reviews or impact
assessments
412-2 Employee training on human rights
policies or procedures
412-3 Significant investment agreements andcontracts that include human rights
clauses or that underwent human rights
screening
Local Communities
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach413-1 Operations with local community
engagement, impact assessments, anddevelopment programs
413-2 Operations with significant actual andpotential negative impacts on local
communities
Supplier Social Assessment
103-1 Explanation of the material topic and its
Boundary205－－
Not applicable－
Human Rights－－
Human Rights－

Community
Community－
Biodiversity
Community
Not applicable

Supply Chain Management
Meiden Group CSR

103-2 The management approach and its
components
103-3 Evaluation of the management approach414-1 New suppliers that were screened usingsocial criteria414-2 Negative social impacts in the supply
chain and actions taken
Public Policy
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach
415-1 Political contributions
Customer Health and Safety
103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach
416-1 Assessment of the health and safety
impacts of product and service
categories
416-2 Incidents of non-compliance concerning
the health and safety impacts ofproducts and services
Marketing and Labeling103-1 Explanation of the material topic and its
Boundary103-2 The management approach and its
components
103-3 Evaluation of the management approach
417-1 Requirements for product and service
information and labeling206

Supply Chain Management－
Supply Chain Management
Supply Chain Management－－－－
Product Responsibility
Product Responsibility
Product Responsibility－
Not applicable－－－－
Meiden Group CSR

417-2 Incidents of non-compliance concerning －product and service information andlabeling
417-3 Incidents of non-compliance concerning Not applicable
marketing communications
Customer Privacy
103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its－
components
103-3 Evaluation of the management approach －418-1 Substantiated complaints concerning
Not applicablebreaches of customer privacy and lossesof customer data
Socioeconomic Compliance103-1 Explanation of the material topic and its －Boundary103-2 The management approach and its－
components
103-3 Evaluation of the management approach －419-1 Non-compliance with laws and regulations Not applicablein the social and economic area

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