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CONTENTS
002

CONTENTS

003

The Presidentʼs Commitment005

Sustainability Management

013

Identiﬁcation of Materiality■ Social■ Environment
023

Promotion of Strategic Environmental Management

031

Environmental Management

038

Third-Party Veriﬁcation

040

Expand businesses that contribute to the environment

045

Promoting Environmentally Conscious Design

048

Management of chemical substances in products

049

Climate Change059

Disclosure based on TCFD recommendations

069

Issue of Green Bonds

069

Prevention of Pollution and Eﬀective Utilization of Resources

075

Water Resources

085

Biodiversity

090

102

Product Responsibility

113

Supply Chain Management

123

Human Rights

128

ＤＸ

132

Occupational Safety and Health

142

Health & Productivity Management

150

Community

■ HR

157

DEI（Diversity, Equity & Inclusion）

165

Labor Practices

174

HR Development■ Corporate Governance183

Corporate Governance

198

Risk Management

208

Compliance

Overview of Environmental Impacts by Our Business Activities

214

Dialogues with Shareholders and Investors

091

Environmental Impact Data (FY2022) From the Four
Main Manufacturing Sites (Domestic Manufacturing Sites)

217

Evaluations from External Bodies

095

Promotion of Environmental Communication

225

Editorial Policy

097

Foster Environmental Awareness228

GRI Standards Content Index

236

SASB Content Index

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Meiden Group Sustainability 2023

HOME

Sustainability

The President’s Commitment

The President’s Commitment

To adapt to a continually changing world, Meidensha is committed to never losing sight of the values thatmake up our core identity. As with global environmental problems, there is an increasing number of
medium to long-term issues that must be dealt with without delay. With that in mind, we have conductedvarious internal discussions concerning how we should develop our businesses as the Meiden Group.
Firstly, we aim to realize a world where people live in harmony with nature and can pursue their own
happiness. Against that backdrop, we described our ideal society using the following three points.

・

A Resilient Society Where Humans Live in Harmony with Nature

・

A Society that Feels Safe, Prosperous, and Exciting・

A Society Where Different Communities and People Can Coexist

In order to realize this ideal society, the Meiden Group held multiple discussions about creating long-termvalue, to establish “work to build a new society through integrity to the earth, society, and people, andthrough the power of co-creation” as our 2030 Ideal State of Being/Vision, with an eye to the worldview of2050.
It is essential for us to undergo a number of changes in order to achieve our Ideal State of Being/Vision.
We are now facing the issue that society is undergoing structural changes and we must respond to social
issues as they become apparent. It is extremely important to be proactive and work together with likeminded compatriots. Therefore, I believe we should remember the DNA of social contribution and spirit ofinnovation that Hosui Shigemune had when he founded Meidensha, as well as the honesty andresponsibility to customers that has supported social infrastructure for more than 120 years since then,and take on the challenge of creating a new society by expanding and strengthening our position, in order
to be an attractive company and organization.
In order to achieve our Ideal State of Being/Vision, we have articulated our specific form and role as a“sustainability partner” for the achievement of people’s happiness and a sustainable global environment.
This label of “sustainability partner” has two meanings. The first is a partner as a member of society to3

Meiden Group Sustainability 2023

achieve a sustainable global environment, while the other is our role as a partner to support various
stakeholders such as employees, shareholders, investors, and customers, to achieve sustainability.
We will contribute to the solution of our customers’ issues, support the realization of a sustainable
society, and fulfil our responsibility as a company that is a member of a sustainable society. This is what
we define as the role of a “sustainability partner.”
I am proud that each and every Meiden Group employee sincerely tackles the issues of our customers
and works with the pride that they are supporting social infrastructure and benefiting society.
In order to realize an affluent and comfortable future society, I sincerely hope that the Meiden Group
continues to support public infrastructure in 100 or 200 years from now and daringly accepts thechallenge of creating new value, while continuing the social contribution and sincere attitude that are ourcorporate DNA.
Representative
Director
President andExecutive Officer
Akio Inoue

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Meiden Group Sustainability 2023

Home

Sustainability

Sustainability Management

Sustainability Management

The Meiden Group’s Sustainability Management
Currently, the social environment in which the Meiden Group operates, continues to undergo drasticchanges, such as the impact of accelerating climate change since the industrial revolution, digitalization
through technological innovation, and diversification of values and lifestyles of people.
Amid such profound social changes, we have depicted the Meiden Group’s ideal society of 2030 with aneye to the worldview of 2050, by combining Meiden’s DNA of “integrity,” “responsibility,” and “social
contribution,” which are our strengths since the establishment of the Group, with the DNA that we must
not lose of “innovative spirit” and “taking-initiative mind.” This ideal society is “a resilient society where
humans live in harmony with nature,” “a society that feels safe, prosperous, and exciting,” and “a society
where different communities and people can coexist.” With such a mindset, the Meiden Group has set its
vision of an ideal state of being, which is sustainability partnerships that “work to build a new society
through integrity to the earth, society, and people, and through the power of co-creation.”
In order to contribute to the creation of a new society through business activities, we will focus on thefour areas of “renewable energy,” “sustainable infrastructure,” “green mobility,” and “smart industry,”
based on the infrastructure-related technology and know-how that we have developed over many years,
and the trust and results of our customers. The values that must be held by everyone who works in the
Meiden Group are “sustainability,” “diversity,” “integrity and sense of responsibility,” and “futureorientation” to achieve this society. We will apply these four values to our day-to-day activities, and underMedium-term Management Plan 2024, which commenced in FY2021, the Meiden Group aims to take a“Big Jump” in our growth and achieve sustainable corporate growth, by promoting management focusedon ESG and sustainability.

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Meiden Group Sustainability 2023

Sustainability Partnerships
We defined the term “Sustainability Partnerships” to specifically articulate the Meiden Group’s ideal form.
“Sustainability Partnerships” fulfil dual roles to realize the Meiden Group’s goals of achieving people’s
happiness and a sustainable global environment.
The first is that we partner with society as a member of society to achieve a sustainable global
environment. The other indicates our role as a partner to work with various stakeholders such as
employees, shareholders, investors, and customers, to achieve sustainability.
Our main contributions include contributing to carbon neutrality, which enables environmentallyconsiderate lifestyles of people and industry and another is wellbeing, the idea that focuses on building asociety based on people’s happiness.
Firstly, contributing to “carbon neutrality” requires supporting a carbon-free society based on
environmentally considerate products, as well as, making the Meiden Group shift toward becoming
carbon-free.
Secondly, wellbeing requires the provision of infrastructure and services for safe and secure lifestyles, thecreation of a society with a feeling of connection and diversity, and the provision of excitement to societyby the Meiden Group taking the lead in depicting a new world.
The role of “Sustainability Partnerships” combine these two aspects, and fulfilling this role through ourbusiness activities will lead to the realization of our ideal society.

Promoting Sustainability Management(1) GovernanceTo enhance its corporate value in terms of sustainability, the Meiden Group is strengthening its
sustainability promotion structure. The Representative Director, President and Executive Officer has
ultimate responsibility for management decisions related to sustainability.
Since FY2022, the ESG Management Promotion Committee, which had been in place until the previous
year, has been reorganized into a two-tiered structure consisting of the Sustainability Management
Strategy Committee and the Sustainability Management Promotion Committee. The aim is to separate
management decisions from the monitoring of progress. Matters discussed by these bodies are regularly
reported to the Executive Officers’ Meeting and the Board of Directors twice a year.
Relevant divisions are currently discussing the selection of target indicators and evaluation ratios to tie
executive compensation to sustainability.

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Meiden Group Sustainability 2023

Topics of Discussion by the Two Committees (FY2022)
When
Sustainability Management
Strategy Committee

Topic

1st half

The Meiden Group’s materiality, direction for water Infrastructure update at Numazu Works

2nd half

Decarbonization progress and future direction, human capital management, external evaluation analysis,
and future development

Sustainability Management
Promotion Committee

1st quarter

Sharing an overview of sustainability management and measures for it

2nd quarter

Environment (progress reducing Scope 3 emissions, green products)
Progress on measures to foster human capital and the corporate culture (Meiden Mirai Meeting)

3rd quarter

Environment (progress reducing Scope 1 & 2 emissions, ICP price changes)
Fostering human capital and the corporate culture (Meiden Mirai Meeting, My Vision/My Challenge,
fostering human capital)

4th quarter

Environment (TCFD, progress reducing Scope 1, 2, & 3 emissions)
Fostering human capital and the corporate culture (Meiden Mirai Meeting, My Vision/My Challenge)(2) Risk Management
The Risk Management Committee manages risk for the entire Meiden Group. Working with related
divisions, the Sustainability Management Promotion Division, which promotes sustainability
management, plays a central role in identifying risks related to sustainability in general. These risks areincorporated into company-wide risks and managed together with them.
(3) Strategy
The Meiden Group strives to realize a sustainable society and sustainable growth. Our 2030 Ideal State ofBeing/Vision is “Work to build a new society through integrity to the earth, society, and people, andthrough the power of co-creation - Sustainability partnerships -.” To achieve our three societal goals andsustainable growth for the Group, we have established four business domains that can leverage
Meidensha’s unique characteristics. We have furthermore defined our value creation process andidentified six material issues to address in particular. The Corporate Policy Planning Group takes the leadin identifying materiality. To do so, it exchanges opinions with each business group and cross-functional
divisions, then holds discussions at the Sustainability Management Strategy Committee, Executive
Officers’ Meeting, and Board of Directors.

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Meiden Group Sustainability 2023

Identification of Materiality(4) Indicators and Targets
In light of the above, the Group has set non-financial indicator targets in Medium-term Management Plan
2024.
Targets
GHG emissions from business activities

FY2024: Reduce by 6%(Scope 1 and 2, compared with FY2019)

FY2030: Reduce by 30%

GHG emissions during product use

FY2024: Reduce by 6%(Scope 3, compared with FY2019)

FY2030: Reduce by 15%

FY2022 results
Scope 1 and 2 reduced by 7%

Scope 3 reduced by 10%

Achieve RE100 by 2040 and carbon neutrality by 2050
Female officer class (inside officers)

FY2024: At least 1

0

FY2030: At least 3(of which, at least 1 executive
officer)
Non-Japanese presidents of local subsidiaries

FY2024: At least 3

1

FY2030: At least 5(of which, at least 1 executive
officer)**

eNPS (NPS® for employees) (compared with FY2021)

FY2024: 10% improvement

1.4% poorer

New businesses net sales

Fiscal 2024 net sales: ¥5 billion¥400 million

eNPS (NPS® for employees): Abbreviation of Employee Net Promoter Score, an indicator that measures employee loyalty (i.e., employees’ level of trust in and attachment to theirworkplace)*

NPS® is a registered trademark of Bain & Company, Fred Reichheld, and Satmetrix Systems.

Spreading the Sustainability Vision
Meiden Mirai Meeting: A Conversation between Employees and Management
In FY2022, we updated our event bringing employees and management together for a conversation andrenamed it Meiden Mirai Meeting. The meeting is a chance for each person to learn what their own workmeans in terms of our business strategy and achieving sustainability management. It is also a chance toreconsider how their actions bring value to society.

Meiden Mirai Meeting (Numazu Works)

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Meiden Group Sustainability 2023

My Vision/My Challenge
Meidensha strives to respect individual diversity and draw out each employee’s taking-initiative mind andmotivation. To that end, we launched “My Vision/My Challenge,” an initiative for employees to reflect on
their own life vision, compare it with the company’s vision, and put into words what challenges they willtake on in the Meiden Group. We believe that employees take true sustainability management personallywhen the vision and mission of the company and each division overlap with the individual’s vision. We
furthermore believe that increasing the overlap and our efforts to support employees who take thesechallenges will lead to greater individual satisfaction and growth as well as to the achievement of thevision and mission of the company and each division at the same time. In FY2022, members of upper
management put their “My Vision/My Challenge” into words. We plan to expand this to executive officers
and employees with management responsibilities in FY2023.

Meiden Group Initiatives for Sustainable Development Goals (SDGs)
At the UN Sustainable Development Summit in 2015, the world adopted common goals known as theSustainable Development Goals (SDGs)*. The SDGs are challenges the international community isaddressing over the 15 years from 2016 to 2030.
The targets of the SDGs are very compatible with the ESG Vision and business activities of the Meiden
Group. They include many areas where we can contribute to a solution with technologies and expertise
we have cultivated over the years. Thus, to really learn and take advantage of the opportunities andchallenges presented by the SDGs, we laid out the effects that our business activities have on theenvironment and society. This process considered the entire value chain and issues specific to thecountries where we do business. It even included any negative impacts of our business activities.
The Meiden Group will continue to pursue manufacturing that contributes to society, achieve sustainablevalue creation and contribute to the solution of social issues, including those posed 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

9

Meiden Group Sustainability 2023

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

Education for Application of SDGs in Business Strategy and Activities
At selective training that commenced in FY2019 for the purpose of developing young employees into thenext generation of managers, we consider social issues such as SDGs, establish programs to createbusiness strategies, and approach contribution to the solution of social issues and share ideas toincorporate SDGs in management and individual duties, through business strategies that are not swayedby past business.

External Support Initiatives
Initiative
CDP

OutlineAn initiative begun by a coalition of major institutional investors around theDate of agreement/participation
March 2017

world. It calls on the world’s enterprises to disclose their climate change
strategies (risks and opportunities) and their GHG emissions, among otherinformation.
Task Force on Climate-related Financial

An initiative established by the Financial Stability Board to encourageDisclosures (TCFD)

disclosure of information about climate-related risks and opportunities.

10

June 2019

Meiden Group Sustainability 2023

Initiative
Japan Climate Initiative (JCI)

OutlineA network of diverse non-state actors such as corporations, municipal

Date of agreement/participation
December 2020

governments, groups, and NGOs, that actively work to combat climatechange.
United Nations Global Compact (UNGC)

A global framework that sets 10 principles implementation relating toSeptember 2022

protecting human rights, eliminating inappropriate labor, attending to theenvironment, and preventing corruption, in order to achieve sustainablegrowth.
GX League

A forum for companies that aim to achieve sustainable growth in the present

May 2023 (became aand future society by taking on the challenge of GX (Green Transformation)

participating company)to achieve carbon neutrality and social transformation by 2050. Here, they
can collaborate with other companies making similar efforts and withgovernment and academia.

Participation in Japan Climate Initiative (JCI)
Meidensha has participated in the Japan Climate Initiative (JCI) since 2020.
We endorse JCI’s declared goal of “Joining the front line of the global push for decarbonization fromJapan.” We support JCI’s effort to step up energy efficiency and renewable energy use and to bolster
efforts to contribute to the achievement of net zero emissions by 2050.
As of 2022, we endorsed the following messages as a participating company:“Now Is the Time to Accelerate the Implementation of Renewable Energy: A Call to Strengthen Climate
Change Solutions Even During an Energy Crisis.”“Overcoming Two Crises with Renewable Energy and Carbon Pricing”
Meidensha is implementing climate change solutions by participating in the initiative.
Participation in GX League
Meidensha endorses and participates in GX League.
The Meiden Group has set carbon neutrality and well-being as the values we provide, and we declare thatsustainability partnerships are our aspiration and vision for achieving the society we aim for. Our goal is
to contribute to the decarbonization of society through our products, businesses, and solutions. We also
aim to achieve carbon neutrality in our business activities by 2050. As an intermediate step, we have set
the following GHG emissions reduction targets that we are working to achieve by FY2030: 30% reductionof emissions from business activities (Scope 1 and 2; compared with FY2019) and 15% reduction ofemissions during product use (Scope 3 Category 11; compared with FY2019). Convinced that the visionand direction of the Meiden Group are in line with the purposes of GX League, we became a formal
participant in May 2023.

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Meiden Group Sustainability 2023

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

Active Participation in Industry Groups
The Meiden Group actively participates in the following industry groups and has declared our intention to
decarbonize. The Meiden Group sees no disagreement or contradiction between its policies anddirections on environmental issues and the policies and directions of these industry groups, and we arecommitted to furthering the initiatives of each.
・

Ministry of the Environment Network for Promotion of Decarbonization Management

・

JEMA Environmental Business Policy Committee

・

JEMA Environmental Business Policy Steering Committee

・

JEMA Environmental Technology Expert Committee

・

Coalition of four electrical and electronic equipment groups, Environmental Strategy Liaison
Committee

・Coalition of four electrical and electronic equipment groups, Product Chemical Substances Expert
Committee

・Coalition of four electrical and electronic equipment groups, Expert Committee on Measures for
Chemical Substances Related to Business Establishments

・

Coalition of four electrical and electronic equipment groups, Expert Committee on Waste andRecycling Measures Related to Business Establishments

・

Coalition of four electrical and electronic equipment groups, Liaison Committee on Global WarmingCountermeasures for Electrical and Electronic Equipment

12

Meiden Group Sustainability 2023

HOME

Sustainability

Identification of Materiality

Identification of Materiality

Background of identification
We are currently surrounded by drastic changes in the social environment in which we operate, such as the impact of accelerating climate change since the industrial
revolution, digitalization through technological innovation, and diversification of values and lifestyles of people.
In the midst of such social upheaval, we have depicted our ideal society of 2030 as “a resilient society where humans live in harmony with nature,” “a society thatfeels safe, prosperous, and exciting,” and “a society where different communities and people can coexist,” by combining Meidensha’s initial DNA of “integrity,”“responsibility,” and “social contribution,” which are our strengths, with the DNA that we must not lose of “innovative spirit” and “taking-initiative mind.” With such amindset, the Meiden Group has set its ideal state of being for 2030, which is “sustainability partnerships that work to build a new society through integrity to theearth, society, and people, and through the power of co-creation.”In these circumstances, in FY2021, we developed Medium-term Management Plan 2024, and identified major issues (materiality) in the plan by backcasting from our2030 ideal state of being.
The Meiden Group will embrace the challenge of creating a new society and work toward the realization of a sustainable global environment and happiness for all
people by solving materiality that has been identified.

Major Issue (Materiality) Identification Process
STEP 1

Management of Major Opportunities and Risks for the Meiden Group・

We arranged societal changes by 2030 and impact on business management and identified
constituent factors through PEST analysis.

・We drafted a longlist (369 societal changes and issues in total), including the aforementioned
constituent factors using metrics of international standard-setting organizations and items set by
ESG evaluation institutions, to avoid omissions.

・We listed 369 societal changes and issues in total, and arranged them according to opportunities
and risks from the perspective of the Meiden Group’s ideal state of being.

Referenced Frameworks and Guidelines, etc.

・

SDGs

・

GRI standards

・

SASB standards

・

ISO26000

・

ESG evaluation items required by ESG evaluation organizations

・The Ten Principles of the UN Global Compact

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Meiden Group Sustainability 2023

STEP 2

Evaluation of Importance・

We conducted an overall evaluation of the importance of major risks and opportunities according to
the two axes of the Meiden Group and Stakeholders.
Evaluating department

Meiden Group

Corporate Policy Planning Group, etc.

Stakeholders

Business units that deal with stakeholders

Evaluation items
FY2030 impact on operating income, likelihood of
occurrence, and level of response
To what extent do stakeholders consider the issue tobe important

Evaluation of Importance to the Meiden Group and Stakeholders

STEP 3

Identification and Determination of Materiality

・We have gathered and designated items that we have deemed are very important opportunities orrisks as six material issues.

・

Designated materiality are discussed and determined by the Sustainability Management Strategy
Committee, the Executive Officers’ Meeting, and the Board of Directors.

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Meiden Group Sustainability 2023

Gathering and Identification of Six Material Issues

Materiality Relating to Value Creation
Materiality that has been identified
Contribution to carbon neutrality

Reasons for Identification as a

Outlook

Materiality
The Meiden Group operates many

・ Climate change is accelerating,and the movement to reach theParis agreement target (1.5°C) is
gaining momentum.

decarbonization businesses, but there
is also an environmental impact frommanufacturing.
It is essential to launch a response to

Related SDGs

・ Markets relating to

the significant impact on operations.

decarbonization are expanding,and it is essential to respond tolegal restrictions relating tocarbon taxes, etc., and prepare forincreasing large-scale disasters.

Realization of a safe, secure, andThe Meiden Group operates many

convenient society

relevant businesses. On another front,

・ Review of the state of local

infrastructure will proceed due tothe declining birthrate and aging

it is essential to respond as businesspopulation, difficulties with local
government finances, and aging
facilities in Japan.

continuity risks may arise.

・ Digitalization is expected toproceed, leading to increased
semiconductor-related demandand increased demand for
reduced manpower andautomation in the industrial
sector.

15

Meiden Group Sustainability 2023

Materiality that has been identified
Innovation through co-creation

Reasons for Identification as a

Outlook

Materiality
It is extremely important to embrace

Related SDGs

・ Existing social systems havereached the end of theirusefulness, and global-scalesocial issues have arisen,

the challenge of developing nextgeneration technology, and create andfurnish social value along withincluding climate change issues.

partners that share the same・ These issues cannot be solved byany individual organization, so it

conviction.

is necessary to enter partnerships
to embrace the challenge ofsolving them.

Materiality Relating to Our Business BaseMateriality that has been identified

Reasons for Identification as a

Outlook

Materiality

Creating corporate culture that gives

Human resources are the source of・ Values will diversify and work-

lively workplace and growth for

the Meiden Group’s strength. Drawing

diverse human resources

out and combining the abilities ofstyles will change. There is ademand for a corporate
atmosphere that allows

each individual is essential for value

Related SDGs

individuals to display theirabilities and work withcreation.

enthusiasm.
・ As a precursor to this, it isessential for the workplaceenvironment to allow employees

to be physically andpsychologically healthy.
High-quality Manufacturing and Value

The Meiden Group’s strength ofprovision

insistence on quality is essential not

・ The Meiden Group’s businessfields relate to infrastructure andindustrial underpinnings, and it isessential that we deliver high-only to deliver products and systems,
but also provide subsequent services.

quality products and systems
without defects.
・ As society changes, the value of
infrastructure and equipment that“will not shut down” under any
circumstances will remain
constant.
Sincere and responsible business

It is important to respond to theoperationchanging requirements of society andpromote management that we can be

・ We have an obligation to society
to always conduct corporate
management with sincerity, as we

receive capital from society,provide value to society inconjunction with ourproud of, with the core of the Meiden
Group’s strengths of sincerity andresponsibility.

stakeholders.

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Meiden Group Sustainability 2023

STEP 4

Establishment of Targets and KPIs

・

Based on our materiality, we are developing strategies and implementing measures under Medium-・With regard to implementation of measures, we establish KPIs to the extent possible and conduct

term Management Plan 2024.*1

internal progress management.
・We will regularly review materiality and KPIs.

★★★ Result surpassed FY2024 target★★

Good progress toward FY2024 target*★

Progress toward FY2024 target needs more effort（* Means that score on progress since March 31, 2021, was at least 50%）
Major KPIs andMaterialities

Major opportunities
and risksMedium-termtargets

Externally disclosed

Management Plan( ) are externallytargets for FY2025

2024

disclosed targets foronwards

Progress in FY2022

Assessment

FY2024Contribution tocarbon neutrality

quality growth・ EV business net
sales (47.0billion yen)

1. Expansion of・ GHG reduction[Opportunities][Basic Policy 1]・ Expansion ofmarkets forbusinesses that

Realization of high-contribute tothegrowth businesses

environment[Risks]・ Increased costs
due to carbon
taxes, etc.
・ Risks from

Expansion of EVrelated, renewableenergy business,and environmentallyfriendly products,
and high profitability・ EV business net
sales (100.0
billion yen in

FY2028)contribution by
Environment
Contributing

・ Scope 3
reduction rate
(15% reduction

Businesses*2(10.00 million

compared to
FY2019 intons)

FY2030)・ EV business net
sales (38.2 billion
yen)

★★

・ GHG reduction

contribution(13.54 million tCO2 )★★★

・ Scope 3

reduction rate
(10% reduction)

・ Scope 3
reduction rate
(6% reduction★★★

compared to
FY2019)frequent storms
and floods

・ Proportion of・ Decline ingreen products

competitiveness due to late
response・ Number ofsuper green
products[Basic Policy 2]
Promotion ofsustainability
management

・ Promotion of

・ Scope 1,2・ Scope 1 and 2

・ Scope 1 and 2

reduction rate
(6% reduction
compared toreduction rate
(30% reduction
compared toreduction rate
(7% reduction)

FY2019)FY2019 in
FY2030)decarbonizatio
n within the
Company★★★

・ Achievement of

RE100(FY2040)
・ Achievement ofcarbonneutrality(FY2050)

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Meiden Group Sustainability 2023

Major KPIs andMaterialities

Major opportunities
and risksMedium-termtargets

Externally disclosed

Management Plan( ) are externallytargets for FY2025

2024

disclosed targets foronwards

Progress in FY2022

Assessment

FY2024

Realization of a

[Opportunities][Basic Policy 1]

secure, safe, and・ Growing need

Realization of high-convenient society

for replacement
andmaintenance ofinfrastructure
・ Rebuilding local
infrastructure
・ Growing needforquality growth
1. Expansion of
growth businesses

・ Expansion of
motor drive andsemiconductorrelated
businesses

semiconductors due to2. Enhancement ofdigitalization

earnings-based

・ Expansion ofoverseas
markets
・ Creation ofadded value
through digitaltransformation（DX）・ Growing needfor labor

reduction andautomation[Risks]・ Decline incompetitiveness due to late
response

competitiveness ofbusinesses

・ Motor Drive
business net

・ Field Service
Engineering

―

sales

★★

Business Groupnet sales (39.7

・ Semiconductorrelated

billion yen)・ Overseas net
sales (74.2 billion
yen)businesses net
sales
・ Maintenancebusiness net★★★

sales (\41.6
billion)・ Overseas net

sales (\73.0
billion)・ Expansion ofthemaintenancebusiness
・ Promotion of
public private
partnerships

and provision ofdesignsolutions
3. Improvement of
profitability ofoverseasbusinesses

・ Rebuilding andimprovingprofitability ofoverseasbusinesses

Innovation through[Opportunities][Basic Policy 3]

co-creation

・ Growing newneeds due toPromotion ofsustainability
and ESG trends
・ Advancementof new
technologie[Risks]・ Decline incompetitiveness due to late
response

Ambidexterity
Management

・ Creation of new
businessthemes andpromotion ofcommercializati
on through cocreation

・ New
businesses net

・ New businesses
net sales (400―sales (\5.0billion)★

million yen)・ Number ofinnovation

themes・ Number ofinnovation

personnel

・ Development ofand furnishingsociety with
next-generation
technology

Creating corporate[Opportunities][Basic Policy 2]

culture that gives

Improvement of

Promotion of

lively workplace andproductivity throughsustainability

growth for diverse

high engagement ofmanagementhuman resources

employees

・ Implementationof measures toimprove・ Generation of
innovation byleveraging

diversity[Risks]engagement
・ Expansion ofdiversity and・ Improvement
rate ofemployee

・ Female officerclass: numberof inside・ Improvement rateof employee
engagement

engagement
metrics (10%officers (atleast 3, of

metrics (1.4%
worse)

improvementcompared to
FY2021)

which 1 is an
executive
officer, in・ Female officerclass: numberof inside

inclusion
measures

FY2030)・ Number of nonJapanesepresidents of18★

・ Female officerclass (number of
inside officers)(0)★★

・ Number of non-Japanesepresidents of

Meiden Group Sustainability 2023

Major KPIs andMaterialities

Major opportunities
and risksMedium-termtargets

Externally disclosed

Management Plan( ) are externallytargets for FY2025

2024

disclosed targets foronwards

・ Expansion andfulfillment ofofficers (atleast 1)

Progress in FY2022

Assessment

FY2024・ Outflow of
personnel orinsufficientpersonnel due
to low
engagement
・ Worse
employeehealth due tofactors
includingoccurrence ofindustrial
accidents andprofessional
development
programs
・ Enhancementof occupational
health andsafety・ Promotion ofhealthmanagement

pandemics[Opportunities][Basic Policy 2]

manufacturing andCreating safe andPromotion ofvalue creation

securesustainability

infrastructure andmanagement

industrial

・ Establishmentof the Meiden
Monozukuri(Ma[Risks]・ Loss ofcustomer trustor orders byreason of lower
quality

Sincere andresponsible
business operation

nufacturing)Standards toimprove QCDSE・ Enhancementof quality
assurance (QR

officer, in
FY2030)subsidiaries (atleast 3)・ Total educationand training

expenses・ Number ofindustrial

・ Manufacturing
process metrics(producthuman rights by
the Meiden

sustainabilityGroup orsuppliers

・ Enhancement

managementof stakeholder
engagement
・ Introduction ofrespect forhuman rights
and humanrights due
diligence・ Number ofdefects and costof dealing with★★★

defects (reduced
by 51%)

production time
per unit, units
produced perperson,production/manufacturing
lead time)・ Number ofdefects andhalf comparedto FY2020)

・ Infringement of―

production
time,

CustomerCenter, etc.)

Promotion ofcompliancemeasures

Japanesepresidents of
local

cost of dealing
with defects(reduced by[Basic Policy 2]・ Insufficient★★

least 5, of
which 1 is an
executive

・ Number of non-map,reconstructionof the Meiden[Risks]・ Information
security risks

local subsidiaries(1)

accidents

High-quality

underpinnings

local
subsidiaries (at・ Stakeholder

―

―

―

engagement
improvementrate
・ Human rights

training
attendance rate・ Information

security training
attendance rate・ Compliancetraining

attendance rate

・ Enhancementof information

security andinternal training
・ Enhancementof compliance
・ Enhancementof corporate
governance*1

KPIs include some items that are still not set or are not disclosed. We will continue to consider and scrutinize the selection of measures and specific KPI figures going forward.

*2

We replaced the “environmental contribution” with “GHG reduction contribution” starting with FY2022.

19

Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Environment

Vision,Environmental Management
Promotion of Strategic Environmental Management

Environmental Management

Basic Policy

Environmental Management Promotion Organization

Action Guidelines

Responding to Environmental Risks and Opportunities

Environmental Vision

ISO 14001 Certification Status (as of March 31, 2023)

Activities to Realize Our Environmental VisionInternal Environmental Audits

The Meiden Group’s Medium to Long-term Environmental Targets

Environmental Information Management System

Promotion of Ongoing Activities

Compliance with Environmental Regulations

Deployment to the Action Plans

Environmental Accounting (FY2022)

FY2022 Environmental Targets and Results
FY2023 Environmental Targets

Third-Party Verification
Target Items
Assessment Standards

Product and Service Initiatives
Expand businesses that contribute to the environment

Promoting Environmentally Conscious Design
Promote environmentally conscious design

Contributions to the Mitigation of Climate Change by Reducing Product andLife cycle assessment (LCA) initiatives

Service CO2 Emissions
Wind Power Sales Business
Power Conditioner System for Photovoltaic Generation
Hydroelectric Power Generation Equipment
Electrical Component for Electric Vehicles
Ecotank Type Vacuum Circuit Breakers (VCB)
Field Engineering Business (Maintenance and Servicing)

20

Meiden Group Sustainability 2023

Management of chemical substances in products

Toward the realization of a decarbonized society
Climate Change

Disclosure based on TCFD recommendations

Monitoring of Climate Change by the Board of Directors

Governance/risk management

Amount of Greenhouse Gas Emissions

Strategy

Amount of CO2 Emissions from Energy Sources

Metrics and Targets

Energy Consumption (crude oil equivalent)
Reduction of CO2 Emissions from Business Activities
Reducing Emissions of Greenhouse Gasses Other than CO2
Reduction of CO2 Emissions from Product Transport
Calculation of Greenhouse Gas Emissions in the Supply Chain

Issue of Green Bonds
Meidensha Green Bonds
List of investors that have declared their investment in corporate bonds
External Evaluation of ComplianceGreen bond framework

Toward the realization of a circular society
Prevention of Pollution and Effective Utilization of
Resources
Commitment to Waste and Pollution Prevention
Targets for Measures to Combat Waste and Pollution
Targets and Initiatives for Reduction of Raw Material UsageTightening Management of Chemical Substances
Reduction of Volume of Volatile Organic Compounds (VOC) Released
Promotion of Disposal and Processing of Devices that Include PCBs
Promoting the 3Rs for Waste (Reduce, Reuse, and Recycle)

21

Meiden Group Sustainability 2023

Toward the realization of a Society in Harmony with Nature
Water Resources

Biodiversity

Water Risk Assessments

Policy on the Conservation of Biodiversity

Conservation of Water Resources: Initiatives through Business

Meiden Group Biodiversity Guidelines

Collaboration with Stakeholders: Partnerships with Outside Parties

A Head Office Building That is Considerate of Biodiversity
Initiatives at Each Site for the Conservation of Biodiversity
The Biodiversity Working Group, the Four Electrical and Electronic Industry
Associations

Overview of Environmental Impacts by Our Business
Activities

Environmental Impact Data (FY2022) From the Four
Main Manufacturing Sites (Domestic Manufacturing
Sites)Numazu Works
Ota Works
Nagoya Works
KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.

HR,Communication
Promotion of Environmental Communication

Foster Environmental AwarenessPromotion of Environmental Communication

Foster Environmental AwarenessInitiatives

Environmental Education Results (FY2022)

22

Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Promotion of Strategic Environmental Management

Promotion of Strategic Environmental Management

Basic Policy

The Meiden Group ensures 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, and promotes sustainability management to achieve sustainable growth ofsociety and improved corporate value.

Basic Policy
The Meiden Group aims to engage in sustainability management and achieve corporate growth based on
the corporate philosophies of “Illuminating a more affluent tomorrow” and “For customer peace of mind
and satisfaction” by tackling the issues of adapting to and mitigating climate change, recycling resources,
and preserving biodiversity, in order to realize a sustainable society.

Action Guidelines
1.

We promote the development of new products and innovative technologies that contribute to theglobal environment and strive to develop and design environmentally conscious products byconducting environmental impact evaluation for the entire lifecycle of our products, from initialmaterial 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 energy conservation
To properly manage hazardous substances
To promote the 3Rs (reduce, reuse and recycle)
To conserve water resources3.

We strive to comply with the related environmental laws, regulations, rules and other required
matters and establish our internal guidelines. We strive to prevent the pollutions from our operations
at home and abroad and make efforts to protect the environment.

4.

After establishing a sustainability management system, we strive to maintain and improve it throughthe PDCA (Plan-Do-Check-Act) Cycle and we aim to improve our environmental performance.

5.

We strive to improve all our employees’ understanding of sustainability management and invigorate
environmental contribution activities through environmental education.

23

Meiden Group Sustainability 2023

1st Edition, April 1, 2023

Environmental Vision
The Meiden Group is working to reduce the environmental impact of its business activities in four areas:
Power Infrastructures, Public, Industrial & Commercial Sector Business, Mobility & Electrical Components
Business, and Field Service Engineering.
Specifically, we provide value in the form of “realizing green, safe, and stable electricity provision” in thefield of Power Infrastructures; “contributing to building sustainable infrastructure” in the area of Public,
Industrial & Commercial Sector Business; “contributing to the realization of cutting-edge technology andtechnological innovation for mobility” in the area of Mobility & Electrical Components Business; and“realizing a secure and safe society through maintenance services” in the area of Field Service
Engineering Business.
The Environmental Vision identifies realization of “a carbon-free society,” “a circulating society,” and “asociety in harmony with nature” as the missions of a 21st-century company, and lists them as goals. We
are working to conduct sustainability management with “human resources and communication”at its
core.

Activities to Realize Our Environmental Vision
A. Working Toward the Realization of a Carbon-free Society<Reducing greenhouse gas emissions>・

Reduce greenhouse gas emissions from business activities

・Contribute to customers’ efforts to become carbon-free through our products and services

B. Working Toward the Realization of a Recycling Society<Promoting the 3Rs>

24

Meiden Group Sustainability 2023

・Promote re-use of resources and water in business activities

・Contribute to construction of sustainable infrastructure through business

C. Working Toward the Realization of a Society in Harmony with Nature<Conservation of natural resources>・

Use land in an environmentally considerate manner, minimize impact on ecosystems, and preserve
biodiversity

・Prevent contamination by harmful chemicals and ensure water safety

D. HR and Communication<Professional development and communication>

・

Improve environmental literacy to promote research, development, and manufacturing

・Promote two-way communication and collaboration with stakeholders
Strategy

The Meiden Group’s Medium to Long-term Environmental Targets
FY2030 Greenhouse Gas Emissions Reduction Targets (Second Meiden Environmental Vision)
The Meiden Group aims for Carbon Neutrality by 2050. As an interim step, we upwardly revised our
FY2030 greenhouse gas emission reduction targets. As the Second Meiden Environmental Vision, we aim
for a 30% reduction of emissions from business activities (scope 1+2), and a 15% reduction of emissions
from product use (scope 3, category 11) by FY2030 compared to FY2019 levels. These targets received
SBT certification as they were recognized by the Science Based Targets (SBT) initiative*1 as being
consistent with the Paris Agreement*2
FY2030First Meiden Environmental Vision (Released in May

Second Meiden Environmental Vision (From April

greenhouse gas emissions reduction targets

2018)

2021)

30% reduction (compared to FY2017)30% reduction (compared to FY2019)NA

15% reduction (compared to FY2019)

Emissions from business activities(scope 1+2)
Emissions from product use(scope 3, category 11)*1

SBT Initiative: An international initiative by the United Nations Global Compact (UNGC), the Worldwide Fund for Nature (WWF), the CDP, and the World Resources Institute (WRI).

*2

Paris Agreement: An international framework “to limit average global temperature rise to well below 2°C compared to pre-industrial levels and to strive to limit it to 1.5°C,” which was
adopted at COP21 in 2015.

25

Meiden Group Sustainability 2023

SBT certification（PDF:132KB）

To attain these targets, we joined the Ministry of the Environment’s “FY2020 project to support modelbusinesses in compiling a plan to reduce CO2 emissions toward realizing SBTs.”*3 With that support,
Meiden has compiled the FY2021 version of the Meiden Group’s plan to reduce greenhouse gas
emissions toward attaining SBTs. This plan outlines initial ideas for an implementation plan and specificreduction measures to implement long-term reduction measures by the target year stated in the Second
Meiden Environmental Vision, and thus we are considering setting even higher targets.
*3

FY2020 project to support model businesses in compiling a plan to reduce CO2 emissions toward realizing SBTs: A project of the Ministry of the Environment, intended to promote
concrete reductions to help companies achieve their medium- to long-term targets. In FY2020, five companies were selected to participate: TOKYU FUDOSAN HOLDINGSCORPORATION, NISSIN FOODS HOLDINGS CO., LTD., FamilyMart Co., Ltd., Benesse Corporation, and MEIDENSHA CORPORATION.

Major Initiatives to Achieve Greenhouse Gas Emission Reduction Targets

Main Measures to Cut Greenhouse Gas Emissions
FY2030greenhouse gas emissions reduction targets
Emissions from business activities(scope 1+2)
30% reduction (compared to FY2019)

Reduction measures (extract)

・ Replacing SF6 gas (replacing with dry air, etc.)
・ Capital investment (replacing aging equipment, introducing high-efficiency equipment, replacing gas

with electricity, etc.)
・ Procurement of renewable energy power (non-fossil fuel certificate, power menus, etc.)
・ Switching company-owned cars to electric vehicles

Emissions from product use(scope 3, category 11)

・ Eco-friendly product design (eliminating use of SF6 gas, and downsizing products and making themmore efficient)

15% reduction (compared to FY2019)・ Revising business portfolio (increasing ratio of low carbon emissions per unit of sales such as EV,
maintenance services, and small- and medium-sized hydropower generation, etc.)

Overall・ Generating innovation
・ Introducing internal carbon pricing

In particular, with regard to reducing GHG emissions at the product use stage (Scope 3 Category 11), we
will increase the ratio of low-carbon businesses with low emissions per unit of sales, including EV-related
products and maintenance services, for which demand is expected to grow. By making our businessportfolio low-carbon through these measures, we pursue both increased sales and reduced emissions.
Transition plan for becoming carbon neutral

26

Meiden Group Sustainability 2023

Scope 1 and 2 reduction measures and results

Scope 3, category 11 reduction measures and results

Promotion of Ongoing Activities
We have developed an action plan for each Medium-term Management Plan and we are continuously
working to conduct reforms in order to realize the environmental vision.

Deployment to the Action Plans

27

Meiden Group Sustainability 2023

Medium-term Management Pl an, an Action Plan for FY2021-FY2024
Strategic Target

Actions

Corresponding Environmental Vision

1) Expand businesses that contribute to the environment

A. A Carbon-free Society
A. A Carbon-free Society

1. Contribute to environment through2) Promote environmentally conscious design

products and services

C. A Society in Harmony with Nature

3) Manage chemicals in products

C. A Society in Harmony with Nature

4) Promote the 3Rs of product components

B. A Circulating Society

1) Reduce greenhouse gas emissions

A. A Carbon-free Society2) Manage chemicals properly
2. Reduce the environment impact of

B. A Circulating Society

C. A Society in Harmony with Nature

3) Promote the 3Rs (reduce, reuse, recycle)

business operation

B. A Circulating Society
B. A Circulating Society4) Maintain water resources
C. A Society in Harmony with Nature5) Conserving biodiversity

C. A Society in Harmony with Nature
A. A Carbon-free Society
B. A Circulating Society

1) Disclose information, conduct PR
C. A Society in Harmony with Nature
D. Human Resources and Communication

3. Promote environmental
communication

A. A Carbon-free Society
B. A Circulating Society2) Contribute to sustainable society
C. A Society in Harmony with Nature
D. Human Resources and Communication

1) Strengthen management of Meiden Group companies

D. Human Resources and Communication

2) Strengthen value chain management

D. Human Resources and Communication

1) Develop environmental management personnel

D. Human Resources and Communication

4. Promote environmental management

5. Reform environmental awareness2) Strengthen environmental training and awarenessraising activities

28

D. Human Resources and Communication

Meiden Group Sustainability 2023

Results Data

FY2022 Environmental Targets and Results
Targets and level of achievement for FY2022, which is the second year of Medium-term Management
Plan 2024, are as follows.
Please refer to the corresponding page for details of each item.
Achievement of FY2022 Environmental Targets
Rating: ☆☆☆ = target achieved, ☆☆ = improvement over previous year, ☆ = work in progress

Strategic Targets

Actions

FY2022 Environmental Targets

FY2022 Results(Japan)Rating13,542,000 tons☆☆☆

Build a foundation for scope 3,

Revised product☆☆☆

category 11 reductions (build

environmental assessments,

system, establish standards)

implemented super green

Contribute to environment

Promote environmentally

GHG reduction contribution by ECBs:

through products and services

conscious design

8,000,000 tons

product system, built systemfor calculating productspecific emissions
intensities-7%(compared to FY2019)☆☆☆

Overseas*1: Total emissions (scope+1.8% (compared to☆☆

1+2): -2% (compared to FY2019)

FY2019)Manage chemicals properly

VOC emissions: 80 tons or less

68 tons☆☆☆

Promote the 3Rs

Total waste: -5% (compared to+0.1% (compared to☆

FY2017) All sites in Japan (excludes

FY2017)

Reduce the environmental impact

Reducegreenhouse gas

Japan: Total emissions (Scope 1+2):of business operations

emissions-5% (compared to FY2019)

Construction Service Business Units)
1.7％☆

Promotion of efficient water use:

Considered redevelopment☆☆☆

: 4 main manufacturing sites*4of wastewater facilities

Zero waste emissions*2 at 10
sites*3: 1% or less final waste
emissions
Conserve water resources

Repaired underground watersupply piping
Conserve biodiversity

Conservation of ecosystems: 4 main

Removed introduced

manufacturing sites*4

species, conducted red pine☆☆☆

conservation activities, treeplanting activities, and rivercleanup
Promote environmental

Strengthen value chain

Green procurement rate (ownmanagement

management

standards): 90% or greater

91％

☆☆☆

*1

Main overseas production sites*2

The Meiden Group’s definition of zero waste emissions: Recycle at least 99% of total output (excluding construction sludge) of waste, etc. (industrial waste, ordinary waste, andvaluables).

*3

Scope of zero waste 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)], EAML Engineering CO., LTD., Engineering Service Business Units and two Construction Service Business
Units

*4

Four main sites: Numazu Works, Ota Works Development and Laboratory, Nagoya Works, and KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.

29

Meiden Group Sustainability 2023

Targets

FY2023 Environmental Targets
At the Meiden Group, we formulated Medium-term Management Plan 2024 to cover the four years fromfiscal 2021 and we are working to implement sustainability management.
In particular, we have developed greenhouse gas emissions reduction targets for the next four years byback-casting based on the fiscal 2030 greenhouse gas emissions reduction targets in the Second Meiden
Environmental Vision.
The environmental targets for FY2023 are as follows. For the target of zero waste emissions, we arechanging the standard to a final disposal rate of 1.0% or less.
FY2023 Environmental Targets
Strategic Targets

Actions

FY2023 Environmental Targets (Japan)

Contribute to environment

Promote environmentally conscious

9.0 million-ton reduction in GHG emissions by Environment-Contributing

through products and services

designBusinesses*1
Develop a plan for scope 3, category 11 reductions (create systems and develop astandard)

Reduce the environmental

Reducegreenhouse gas emissions

impact of business operations

Japan: Total emissions (scope 1+2): -8% (compared to FY2019)
Overseas: Total emissions (scope 1+2): -3% (compared to FY2019)

Manage chemicals properly

VOC emissions: 75 tons or lessPromote the 3Rs

Total waste: -6% (compared to FY2017): All sites in Japan (excluding Construction
Business Unit)
Final disposal rate 1.0% or less: Main sites in Japan *2

Conserve water resources

Promote redevelopment of wastewater treatment facilities

Conserve biodiversity

Conservation of ecosystems in green spaces (reduced agricultural chemicals,elimination of introduced species, etc.): 4 main manufacturing sites*3

Promote environmental

Strengthen value chain management

Green procurement rate (own standards): 90% or greater

management*1

Direct or indirect GHG reductions (estimated) from replacing standard products and services with the Meiden Group’s products and services (revised calculation method from FY2022)*2

Main sites in Japan: Numazu Works, Ota Works, Nagoya Works, KOFU MEIDENSHA ELECTRIC MFG. CO., LTD., MEIDEN CHEMICAL CO., LTD., HOKUTO DENKO CORPORATION, MEIDENENGINEERING CORPORATION, Plant Construction & Engineering Business Group, MEIDEN PLANT SYSTEMS CORPORATION, EAML Engineering CO., LTD.

*3

Four main manufacturing sites: Numazu Works, Ota Works, Nagoya Works, and KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.

30

Meiden Group Sustainability 2023

Home

Sustainability

Environment

Environmental Management

Environmental Management

PolicyThe Meiden Group is promoting environmental management that brings together business strategy andenvironmental activities.
We continually improve our environmental management system as we evaluate its validity andeffectiveness.
Organization

Environmental Management Promotion Organization
Under the leadership of the Representative Director, 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), ourhighest 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 actionplans, conducts management reviews, responds to emergency situations, reviews and reports onenvironmental 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 Officers’ Meeting, Board of Directors, and the like and then acts as decided by top
management.

31

Meiden Group Sustainability 2023

Meiden Group Environmental Management Promotion Organization

CouncilManagement Meeting

Objective/overview
Taking account of internal and external issues, it sets the business direction and strategy of the
Meiden Group as a medium-term management plan and annual profit plan.

Meiden Group Environmental Committee

Its objective is to set a unified environmental management policy for the Meiden Group overalland smoothly operate an environmental management system, following the Meiden Group
Environmental Health and Safety Management System Manual.

Environmental Policy and Promotion Working GroupIt establishes working groups to conduct a detailed review of individual environmental issues.

Responding to Environmental Risks and Opportunities
Phenomena (issues)
related to environment
Government (political)
Laws and Regulations

・ Carbon neutrality andmitigation of climatechange・ Adapting to climate change

Risks

Opportunities

Carrying out initiatives

・ Effects of cooperation
throughout the value chain

・ Increased demand forenvironment-friendly typeproducts

・ Promoting environmental
management

・ Rising insurance premiums

・ Accelerating expansion into・ Electricity market: Morenew players

new energy and renewableenergy markets, and・ Intensified competition

carbon-free energy
systemswith other industries

・ Strengthening partnerships
with municipal

the primary and tertiaryindustry markets

・ Expanding products’
contribution to theenvironmen

・ New energy, renewableenergy, and VPP market
expansion
・ Proposals for urban
development and businessgovernments, etc.
Economy・ Increased opportunities in

expansion・ Carbon pricing

・ Increased prices

・ Automobile electrificationand digitalization

・ Zero value chain CO2emissions in the future・ Sustainability management
and CSV approach・ Withdrawal of investors
due to being seen as half-

32・ Expanded nonuse fossil
fuel, new energy, andrenewable energy markets

・ Expanding products’
contribution to theenvironment

・ Expanded EV

・ Promoting environmental

motor/inverter market

communication

Meiden Group Sustainability 2023

Phenomena (issues)
related to environment

・ Medium- to long-term
economic growth ofdeveloping countries
・ Poorer earnings due toinstability of world

economy (bank failures,
wildly fluctuating exchange
rates, etc.)
Society・ Efficient utilization of
resources and active

utilization of recycledmaterials
・ Expanding businesses that
contribute to theenvironment and productsthat contribute to GHG
reduction
・ Response to CDP, SBT,TCFD, TGIF, etc.*
・ Expansion of responsibility
to the value chain
・ Change of lifestyle(ecological orientation) andadoption of Sustainable
Development Goals (SDGs)
・ Fair labor and employment

conditions

Risks

hearted in carbon reduction
efforts
・ Overseas compliance・ Pressure on environmental

management resources

Opportunities

Carrying out initiatives

・ Increased corporate value
through information

・ Promoting environmental
health and safety

disclosure
・ Conducting growthinvestments (overseas

management
・ Environmental audits ofoverseas production sites

markets)
・ Accelerating improvementof operational efficiency

・ Increased costs due toutilization of recycledmaterials

・ Reduced costs due todecreased reliance on

scarce resources, andreduced emissions

・ Reduced productcompetitiveness・ Reduced corporate value
・ Risks to the value chain(procurement and seeking

responsibility)
・ Decreased employee
awareness
・ Increased reputational andlitigation risks

・ Increased corporate value
due to expansion ofbusinesses that contributeto the environment andproducts that contribute to
GHG reduction
・ Reputation as a problemsolving company
・ Enhanced value chain

・ Promoting environmentallyconsiderate design
・ Expanding products’

contribution to theenvironment
・ Promoting
environmental/health andsafety communication
・ Strengthening value chain
management
・ Reform ofenvironmental/health andsafety awareness・ Increased awareness,

・ Loss of corporate value asa so-called black company
・ Increased gap between
companies

・ Post COVID-19 andcoexisting with COVID-19

unified goals of employees,
etc.
・ Initiatives to incorporate
SDGs and information

disclosure
・ Work-style reform
initiatives

initiatives

・ Creation of new businesses

and work-style reforms* TGIF: A section of the
Climate Innovation Finance
Strategy proposed by METI in
September 2020. This favors
finance (F) towards transition(T), green (G), and innovation(I), rather than a dualistic
approach, in order to achieve
the SDGs and the Paris
Agreement.
Technology

・ High-efficiency powertransformer technology
・ Evolution of ICT and IoTtechnology and accelerated
digital transformation

・ Increased new players (ITcompanies)
・ Industrial accidents due toignoring risks

・ Increased demand forenvironment-friendly typeproducts

・ Expanding products’

contribution to theenvironment

・ Utilizing ICT and IoT andstrengthening systemtechnologies and productcapabilities

・ Diversification andefficiency of maintenanceservices

・ Enhanced rollout of one-・ Evolution of virtual reality(VR) and augmented reality

・ Realistic experiences ofstop services(AR)

accidents and disasters

33

Meiden Group Sustainability 2023

Phenomena (issues)

Risks

related to environment

・ Tightened overseas

Legal
RestrictionsLegal
Restrictions

・ Penalties and loss ofenvironmental regulations

reputation due to noncompliance with overseas
laws・ Fourth basic recycling plan
・ Tightening of harmful
chemical substanceregulations
・ Stronger systems forchemical substancemanagement in workplaces

Opportunities

・ Increased cost of virginmaterials

Carrying out initiatives

・ Utilization of recycled

・ Promoting environmental

materials

management

・ Superior products ofcompetitive advantage thatare free from harmful

substances

・ Analysis, communication,and management of・ Thorough chemical
substance risk assessment

information concerning
SDS and harmful
substancesand risk management

・ Promoting environmentallyconsiderate design
・ Strengthening
management of chemicals

in products
・ Managing chemical
substances properly
・ Giving training on chemical

substance risks, practicing
thorough risk assessment,
and developing

・ Work environment

deterioration andoccupational illnesses due

management systems inaccordance with revised

to incomplete risk
management
Natural Environment

・ Depletion of resources

・ Increased cost of virginmaterials

・ Microplastics issues
・ Ecosystem abnormalities
・ Occurrence of disasters

・ Utilization of biodegradable
plastics
・ Increased reputational andlitigation risks

・ Change to air temperatureand rainfall, and abnormal
weather events

・ Business continuity
・ Disaster response andindustrial accidents at timeof recovery

laws
・ Utilization of recycled

・ Promoting environmentallymaterials and promotion of
the 3Rs for products
・ Provision of local

contribution activities andincreased corporate value

considerate design
・ Promoting environmental
communication
・ Promoting

environmental/health andsafety management

・ Increased demand for thewater business due towater risks

・ Disrupted value chain due

to flood, etc.

ISO 14001 Certification Status (as of March 31, 2023)
We are expanding the scope of bodies certified under ISO 14001, the international standard forenvironmental management systems. In Japan, Meidensha and 20 affiliated companies have finishedearning certification. Overseas, 12 companies, mainly manufacturing sites, have finished earning
certification.
Certification Status in Japan
Company Name
1

MEIDENSHA CORPORATION*

2

MEIDEN SHOJI CO., LTD.

3

KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.*

4

MEIDEN SYSTEM MANUFACTURING CORPORATION*

5

MEIDEN KIDEN KOGYO CO., LTD.*

6

MEIDEN KOHSAN CO., LTD.

7

MEIDEN SYSTEM SOLUTIONS CORPORATION

8MEIDEN PLANT SYSTEMS CORPORATION*

9

M WINDS CO., LTD.

10

MEIDEN UNIVERSAL SERVICE LTD.

Date of Certification Acquisition
February 24, 1998

34

Meiden Group Sustainability 2023

Company Name

Date of Certification Acquisition

11

MEIDEN AQUA BUSINESS COMPANY

12

MEIDEN TECHNO SYSTEMS CO., LTD.*

13

MEIDEN MASTER PARTNERS CORPORATION

14

MEIDEN O&M CORPORATION

15

MEIDEN ENGINEERING CORPORATION

16

MEIDEN CHEMICAL CO., LTD.*

November 20, 201217

MEIDEN FACILITY SERVICE CORPORATION

November 18, 201518

HOKUTO DENKO CORPORATION*

October 3, 2013

19

EAML Engineering CO., LTD.*

March 5, 2004

20

MEIDEN NANOPROCESS INNOVATIONS, INC.*

January 12, 2022

July 31, 2003

* Companies with manufacturing plants
Certification Status Overseas

Company Name

Area

Date of Certification
Acquisition

1

MEIDEN ZHENGZHOU ELECTRIC CO., LTD.*

Zhengzhou, China

October 9, 2013

2

MEIDEN HANGZHOU DRIVE SYSTEMS CO., LTD.*

Hangzhou, China

April 7, 2008

3

SHANGHAI MEIDENSHA CHANGCHENG SWITCHGEAR CO., LTD.*

Shanghai, China

January 11, 20164

P.T. MEIDEN ENGINEERING INDONESIA

Indonesia

December 19, 2018

5

MEIDEN MALAYSIA SDN. BHD.

Malaysia

October 10, 2018

6

MEIDEN METAL ENGINEERING SDN.BHD.*

Malaysia

October 9, 2014

7

MEIDEN SINGAPORE PTE. LTD.*

Singapore

February 8, 20108

THAI MEIDENSHA CO., LTD.

ThailandJuly 1, 20099

TRIDELTA MEIDENSHA GmbH.*

Germany

July 13, 201510

MEIDEN T&D(INDIA)PRIME MEIDEN LIMITEDLTD.*

India

January 26, 2015

11

MEIDEN AMERICA SWICHGEAR, INC.*

USA

September 29, 2021

12

VIETSTAR MEIDEN CORPORATION*

VietnamFebruary 4, 2023

* Company with manufacturing plants
Percentage of Companies Certified in Japan/Overseas

Number of certified companies in Japan

Number of certified companies overseas

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Meiden Group Sustainability 2023

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 in external audits
and check up on audit items that are marked as priorities for that fiscal year. As for overseas sites, wehave taught new manufacturing sites how environmental performance data is used and carefully
examined data collection initiatives and the data itself.
In FY2022, our audits prioritized “environmental factors and evaluating environmental impact,” “checks ofcompliance obligation initiatives,” “improving human resources,” and “legal requirements (laws on
industrial waste and plastic resource circulation).” We determined that the Group was conforming to ISO
14001:2015 requirements overall and functioning effectively.
If any concerns are pointed out during internal environmental audits, we take them as an opportunity 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 in place tomanage and analyze environmental impact in our business activities.
The system collects and centrally manages information on environmental impact of business activities(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 Rationalizing Energy Use andShifting to Non-fossil Energy, Act on Promotion of Global Warming Countermeasures, the electrical andelectronic equipment industry’s “Carbon Neutrality Action Plan,” and Japanese PRTR system for reportingchemical releases and transfers.

Analysis of environmental impact with environmental
information management system

Compliance with Environmental Regulations
Each Meiden Group work site and affiliated company sets and follows voluntary standards stricter thanapplicable laws and regulations. This ensures we remain in legal compliance. If a legal violation or
incident does occur, our rules state that management shall be notified within three hours.

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Meiden Group Sustainability 2023

In FY2022, there was one incident involving soil and groundwater exceeding standards in some samples.
There were no serious violations of environmental laws or regulations (including water intake,wastewater, other waste, and harmful chemicals). We did not receive any complaints regarding noise or
odor.
Results Data

Incidents relating to voluntary standards cases
Date1

June 2022

Location
Nagoya Works

Content

Response measures, etc.

In connection with a building construction

The contaminated area is covered withreview, soil and groundwater at the site wereconcrete pavement, etc., and there is no risk ofstudied and specific toxic substances

contamination being spread by factors like soil

exceeding standards were detected in somedispersion or rainwater. We believe that there

samples.

is no health hazard to nearby residents.
However, we have monitored the groundwater
under the guidance of Aichi Prefecture, placing
the highest priority on not disturbing nearby
residents.

Breaches of Environmental Laws (Record)
FY2020

FY20210

FY202200

Environmental Fines (Record)
FY2020

FY20210

FY202200

Environmental Accounting (FY2022)
We quantify costs, etc., relating to environmental activities, with reference to the Ministry of theEnvironment’s “Environmental Accounting Guidelines 2005.”
Environmental Protection Costs

Investment (million yen)

Business area costs

Implementation of new energy-saving devices, etc.

2,328

R&D costs

R&D costs for environmentally conscious products, etc.

9,516

* Scope of calculation: Meidensha (non-consolidated); period covered: April 2022–March 2023

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Third-Party Verification

Third-Party Verification

In order to ensure the release of more accurate and reliable environmental performance data for FY2022,
we have been examined by the Japan Audit and Certification Organization for Environment and Quality.

Click pics to enlarge.

Target Items
Amount of greenhouse gas emissions
Scope 1

17,262 t-CO2e

Scope 225,737 t-CO2e

Scope of calculation
Scope 1 and 2 greenhouse gas emissions from the businessactivities of Meidensha and domestic Group companies during theperiod from April 1, 2022 to March 31, 2023.

(location basis)
21,237 t-CO2e(market basis)
Scope 3(Category 1)

755.4 kt-CO2e

Category 1 emissions (scope of calculation is based on
Meidensha’s determination) from the business activities of
Meidensha during the period from April 1, 2022 to March 31, 2023.

(Category 11)

4,610.5 kt-CO2e

Category 11 emissions (scope of calculation is based on
Meidensha’s determination) from the products and services of
Meidensha during the period from April 1, 2022 to March 31, 2023.

Water

Usage volume1.6433 million m3

Water usage volume (amount purchased and amount collected)(Amount of water purchasedfrom the business activities of Meidensha and domestic Groupand water intake)companies during the period from April 1, 2022 to March 31, 2023.

Discharged water volume

1.4411 million m3

Discharged water volume from the business activities of
Meidensha and domestic Group companies during the period from
April 1, 2022 to March 31, 2023.

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Meiden Group Sustainability 2023

Assessment Standards
JACO certification standards based on ISO 14064-3 and ISAE3000
ISAE3000:International Standard on Assurance Engagements (ISAE) 3000

ISO14064-3:

Specification with guidance for the validation and verification of greenhouse gas assertions

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Expand businesses that contribute to the environment

Expand businesses that contribute to the environment

PolicyWe are actively promoting initiatives that contribute to the environment in order to “realize a more affluent
future” by leveraging our technology and experience honed over many years.
Performance Data

Contributions to the Mitigation of Climate Change by Reducing Product and Service
CO2 Emissions
The Meiden Group aims to contribute the environment through its products and services by utilizing
renewable energy sources such as solar, wind and hydroelectric power, by improving the efficiency of its
products to save energy, and by optimizing customers’ equipment through maintenance and servicing.
In FY2021, we have set a target of 950,000 tons/year of environmental contribution (the expected
reduction in CO2 emissions from products sold). We were unable to achieve our goal, with an emissions
reduction of 736,000 tons/year due to factors such as the reduction in power generation as a result of therepair work of Hachiryu Wind Farm. In FY2022, we changed the name of “environmental contribution” to“GHG reduction contribution,” and we have set GHG reduction contribution targets using calculation
methods that are comparable to standard products and services around the world. We set a GHG
reduction contribution target of 8 million tons/year in FY2022. We achieved the target, having reduced
emissions by 13,542,000 tons/year thanks to robust orders and a stronger production management
system. Applicable products and services include the wind power sales business, photovoltaic power
generating systems, hydroelectric power generation equipment, and electrical equipment for electricvehicles.

Choshi Shiosai Wind Farm

Photovoltaic PCS

Integrated motor/inverter/gear box drive unit

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Meiden Group Sustainability 2023

GHG Reduction Contribution Volume (Former Environmental Contribution Volume)
Subject products/businesses

GHG reduction contribution in FY2022(10,000 t-CO2)

Wind power sales business*

3.9

Photovoltaic generation systems

0.0Power conditioners for photovoltaic

1.9

Approach to calculating GHG reduction contribution
Emissions curbed if grid power replaced by renewable energy
generation

generation
Power conditioners for storage

0.0

batteries
Hydro turbine generators
Railway regenerative inverters

1,016.7
0.3

Emissions curbed by replacing conventional Meidensha goods(lowering energy losses)

Electrical equipment for electric

108.6

Emissions curbed if replacing gasoline vehicle of same grade

vehiclesControl equipment and motors for

219.4

electric forklifts
Cubicle-type dry air insulated

0.0

Emissions curbed by not using SF6 gas

switchgear(Eco C-GIS)
Ecotank type vacuum circuit breakers
Total

3.4
1,354.2* 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 Sales Business
M WINDS Co., Ltd. and its affiliates operate a wind power sales business and supply renewable energy
from 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 28,000 kW
Wajima Community Wind Farm (Ishikawa Prefecture): 10 wind turbines with a generating capacity of
20,000 kW
Choshi Shiosai Wind Farm (Chiba Prefecture): 2 wind turbines with a generating capacity of 3,000kW

Hachiryu Wind Farm

Wajima Community Wind Farm

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Choshi Shiosai Wind Farm

Meiden Group Sustainability 2023

Aiming for increased utilization of wind power
In FY2022, the amount of electricity generated was 95,259 MWh, partly due to wind conditions. We aim tofurther improve the operating rate in order to increase the GHG reduction contribution in future.
Transition of Total Power Generation Performance

Power Conditioner System for Photovoltaic Generation
Power conditioners system (PCS) is the most essential part of photovoltaic generation systems. We haveconsistently supplied transformer-in PCS with a built-in commercial frequency isolation transformer thatemphasizes safety and security so far. PCS with 500kW output has the highest conversion efficiency of
98.7% in the world. Container type and outdoor storage cubicle type packaged with a set of equipment
are also available.

Hydroelectric Power Generation Equipment
Hydroelectric 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 to customers inJapan and overseas.
Many of the hydroelectric power generation facilities are aging due to many years of operation. It iseffective to renovate in the most suitable way for each power facility. Renovation is expected to improve
efficiency/save energy, improve reliability/maintainability, and be environmentally friendly. We investigate
the current status of the power facility and propose the most appropriate renovations using the latest
technology for each facility.

Hydroelectric power generation equipment

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Meiden Group Sustainability 2023

Electrical Component for Electric Vehicles
Meidensha supplies motors and inverters installed in electric vehicles, which are becoming morecommon throughout the world. We promote the development of technology and products for EV and HEV
drive systems. One of our new initiatives was to commercialize Meiden e-Axle, which is an integrated
motor/inverter/gear (decelerator) product.
This is a standard product that will contribute to shorter development times for customers and may
reduce cost compared to custom products. It has a 60% higher output density compared with existing
Meidensha products (excluding decelerator) with a maximum output of 150 kW and a maximum drive
shaft torque of 3,120 Nm.

Ecotank Type Vacuum Circuit Breakers (VCB)
In 2004, Meidensha succeeded in developing a 72-kV-class tank- type vacuum circuit breaker that uses nosulfur hexafluoride (SF6) gas, which has more than 20,000 times the greenhouse properties of CO2, andhas a record of delivering more than 2,000 units to domestic and overseas electricity companies, etc. In
2020, we developed a 145-kV-class model to meet high-voltage requirements. This is the world’s first dry
air insulation tank type vacuum circuit breaker of this voltage class. In October 2021, the first unit wasshipped to a power company in the US state of Alaska.
In 2022, we received the 2022 Environment Minister’s Commendation for Global Warming Prevention
Activity.
we received the 2022 Environment Minister’s Commendation for Global Warming Prevention Activity* SF6 gas: A chemically stable, non-toxic, odorless, colorless, non-flammable gas with three times theability to withstand voltage of air at the same pressure. However, it has 23,500 times the effect on
global warming of CO2 and was listed as a controlled gas in the Kyoto Protocol to prevent global
warming.

145kV tank type VCB

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Meiden Group Sustainability 2023

Field Engineering Business (Maintenance and Servicing)
Field engineering is a business that contributes to the solution of customer issues by providing support
through the entire life-cycle of a product, from delivery through trial runs upon installation, subsequent
proposal and implementation of operation and maintenance plans, maintenance and management of
installation locations, remaining life assessment of aging equipment, measures to prolong life,
replacement proposals, and disposal.
In addition to regular inspection of equipment, we make proposals to achieve stable operation and lifecycle cost reduction through compliance that may be overlooked such as handling of small quantities of
PCBs by the deadline, mercury arc lamps, conserving energy, and conducting environmental analysis anddeterioration analysis through thermal imaging, etc., through walk-through activities where we walkthrough sites with our customers and investigate and assess their equipment.

Thermal imaging analysis at walk throughReplacement of equipment

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Promoting Environmentally Conscious Design

Promoting 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 andresource conservation, recyclability, environmental safety, and more,
based on our Product Environmental Assessment Standard. If a
product meets those standards, we certify it as a Meidensha Green
Product.
To create products that are even more environmentally conscious
and contribute to the decarbonization of society, we have also
introduced and begun operating a system of “super green products,”
which are even better than green products.
For the evaluation item “consideration of lifecycle,” we calculate CO2
emissions according to a life cycle assessment (LCA), and we
encourage environmentally conscious design in order to reduce CO2
emissions.

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Meiden Group Sustainability 2023

Initiatives

Life cycle assessment (LCA) initiatives
The Meiden Group conducts an assessment of the environmental
impact of a product throughout its life cycle, from procurement ofcomponents through to disposal, in accordance with our Guidelines
for Environmental Action. We use the LCA method to quantify theenvironmental impact of products and services, which helps us to
improve environmental performance at the design and development
stage and to conduct product explanations to customers and PR, etc.

Environment label (type Ⅱ) indicating conformity with
Meidensha Green Product standards

Product environmental assessment standards
Classification

Items

Product volume reduction

・ Weight reduction
・ External dimensions and capacity
・ Reduction of number of components

Energy and resource conservation

・ Reduction of power consumption
・ Water saving
・ Reduction of consumables
・ Reduction of packaging volume (reduction of plastic packaging)

3R・ Use of recycled materials
・ Separability of materials
・ Ease of collection and transport

Long-term usability

・ Maintainability
・ Reliability and durability

Prohibited substances

・ Environmental friendlinessLife cycle consideration

・ Reduction of life cycle environmental impact
・ Disclosure of information concerning evaluation of environmental impact

Environmental safety

・ Danger of fire or explosion
・ Danger at time of dismantlement
・ Environmental measures

Other

・ Entered contests for national-level awards
・ Top runner products (compared to other companies)

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Meiden Group Sustainability 2023

A Meiden Green Products Registered in FY2022[Product] IoT Controller
In response to the shortage of new engineers due to the declining birth rate andaging population, railroad operators are increasingly practicing CBM (ConditionBased Maintenance) and labor-saving patrols and inspections using ICT
technology. The purpose is to perform facility maintenance as efficiently as
possible.
To meet this need, we developed an IoT controller that collects and storesinformation from sensors and measuring devices and transmits it to a hostdevice.
This contributes to safe and secure facility operation by enabling operators toremotely monitor equipment and conditions and streamlining the time andtravel required for patrol inspections.
This product has the following advantages over its predecessor.

・ Reduces equipment energy consumption・ More efficient maintenance to lower running costs
・ Reduces GHG emissions resulting from travel for patrol inspections
Lifecycle CO2 Emissions

Lifecycle CO2 Emissions

54%* Percentage based on previous model of equivalent Meidensha product

Click here for related products and details.

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Meiden Group Sustainability 2023

Home

Sustainability

Environment

Management of chemical substances in productsManagement of chemical substances in products

Initiatives

Management of chemical substances in productsManagement of chemical substances in products We operate an “Environmental BOM*1 Management
System” that collect and communicate information concerning chemical substances contained in
products through a cloud-based Web system.
We work to share information with suppliers of components, materials, etc., through explanatory
sessions, individual consultations, etc., using chemSHERPA*3 operated by JAMP*2. We register the
chemSHERPA*3, etc. provided by our suppliers with the Environmental BOM Management System todetermine the aggregation of chemical substances contained in each product and compliance withregulations.
*1

BOM: Bill of Materials*2

JAMP: Joint Article Management Promotion Consortium. JAMP aims to appropriately manage information about chemical substances, etc., in products, and create and spread specificmechanisms for smooth disclosure and communication within the supply chain.

*3

chemSHERPA: A joint information transfer scheme that facilitates the disclosure/communication of chemical substances information in products, which is maintained and managed by
JAMPeidensha is a member of JAMP

Diagram of Environmental BOM

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Climate Change

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 a manufacturing company. In
particular, we are deeply involved with decarbonization and reduction 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 such as smart grids. Through these eco-friendly products and services,
we aim to achieve a sustainable society and are working to reduce greenhouse gas emissions frombusiness activities.
GovernanceMonitoring of Climate Change by the Board of Directors
Monitoring of the Risks and Opportunities Created by Climate Change at the Level of the Board of
Directors
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 itsrole, the Environmental Committee refers important matters to the Executive Officers’ Meeting and theBoard of Directors, etc., to initiate activities based on executive-level decision-making.
EMS Promotion Organizations

Indicators

Amount of Greenhouse Gas Emissions
Scope 1 and Scope 2 emissions
To enhance our activities for mitigating environmental impact, we use internal carbon pricing and source
CO2-free electricity (in FY2022, more sites began to source CO2-free electricity, including KOFU
MEIDENSHA ELECTRIC MFG. CO., LTD. and MEIDEN NANOPROCESS INNOVATIONS, INC.). As a result,
Scope 2 emissions fell even as production increased. On the other hand, Scope 1 emissions increased in
FY2022 due to a leak of SF6 gas from equipment used to recover it. In response to that incident, we
refurbished the recovery equipment and put a stronger check system in place. We will continue working
to control Scope 1 and 2 emissions.
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Meiden Group Sustainability 2023

（t-CO2）FY2019Japan
Scope1

FY2020OverseasJapan

FY2021
OverseasJapan

FY2022
Overseas

Japan

Overseas

16,491

5,215

16,161

3,848

14,267

2,636

17,262

3,067

24,9807,043

24,4799,755

25,16010,60525,737

8,523

24,724‐23,490‐21,478‐21,237‐

Direct emissions from inhouse use of fuel, etc.
Scope2

LocationIndirectbasis

emissionsfrom poweror heatpurchasedfrom anMarket basis

outsidesourceAmount 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 the company* Renewable energy produces zero emissions
Results Data

Amount of CO2 Emissions from Energy Sources
In FY2022, we started aggregating environmental performance data for MEIDEN (HANGZHOU) DRIVETECHNOLOGY CO., LTD., VIETSTAR MEIDEN CORPORATION, and MEIDEN AMERICA SWITCHGEAR, INC.
As a result, although energy use has increased, the emission factor declined since we started using theInternational Energy Agency’s (IEA) 2018 country-specific average factors in FY2022, leading to lower CO2
emissions per unit of sales outside Japan.
Amount of CO2 emissions from energy sources/CO2 emissions per sales unit

* Japanese emissions: The amounts of fuel oil and fuel gas are calculated referring to the "List of
Calculation Methods and Emission Factors in the Calculation, Reporting and Publication System" forthe relevant fiscal year 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.
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Meiden Group Sustainability 2023

* Overseas emissions: The amounts of fuel oil and fuel gas are calculated referring to the emission
factors by country published by the GHG protocol. The amount of electric power is calculated referringto the average emission factors by country in 2010-2012 published by the International Energy Agency(IEA). Since FY2022, we have used the 2018 average emission factors by country.
* Energy consumptions per unit are emissions (t-CO2) divided by net sales (million yen).

Energy Consumption (crude oil equivalent)
Energy consumption/energy consumption per unit of sales* Energy consumptions per unit are emissions (t-CO2) divided by net sales (million yen).
Initiatives

Reduction of CO2 Emissions from Business Activities
Introduction of Renewable Energy
In recent years, we have procured electricity from renewable sources in an effort to reduce CO2 emissions
from business activities.
Since FY2019, we have been working on sourcing electricity with non-fossil certificates and purchasing
power from renewable sources.
In FY2022, KOFU MEIDENSHA ELECTRIC MFG. CO., LTD., one of our main production base in Japan,
introduced renewable power and switched 30% of its electricity consumption to CO2-free power. In
addition, the new head office at MEIDEN KOHSAN CO., LTD. sources electricity produced by M WINDS CO.,LTD.’s Choshi Shiosai Wind Farm through non-fossil certificates with tracking information.
FY2019November: Began sourcing CO2-free electricity from wind power through non-fossil certificates with tracking information at the
Meiden R&D Center and Osaki Kaikan Hall.

FY2020November: Signed power contract (special contract for renewable energy) at EAML Engineering CO., LTD. and began sourcing
CO2-free electricity, mainly from hydroelectric power.

FY2021

April: Signed power contract (Gunma Hydroelectric Power Source Plan) at Ota Works and began sourcing CO2-free electricity
from hydroelectric power.
January: Signed power contract (Carbon F Plan) at Chiba R&D location of MEIDEN NANOPROCESS INNOVATIONS, INC. andbegan sourcing CO2-free electricity from hydroelectric power.

FY2022

May: Signed power contract (Green Basic Plan) at KOFU MEIDENSHA ELECTRIC MFG. CO., LTD. and began sourcing 30% of thepower it uses in the form of CO2-free electricity from solar and wind power.
May: Began sourcing CO2-free wind power at headquarters of MEIDEN KOHSAN CO., LTD. using non-fossil certificates withtracking information.

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Meiden Group Sustainability 2023

FY2023

July: Signed power contract at Meidensha’s Numazu Works (Green Basic Plan) and began sourcing 20% of the power it uses in
the form of CO2-free electricity from solar and wind power.
July: Signed power contract (Green Basic Plan) at Meidensha’s Headquarters (ThinkPark Tower) and began sourcing CO2-freeelectricity from solar and wind power, etc.

TOPICS

Promoting Internal Carbon Pricing
Internal carbon pricing is a mechanism to promote investment in equipment with a significant CO2
reduction benefit. It works by setting a carbon price within a company and using it to calculate thecost of greenhouse gas emissions.
Meidensha introduced the internal carbon pricing system in April 2021. We will convert carbon
emissions from capital investment plans to expenses using an internal carbon price through thesystem. It will be a tool to make investment decisions. At Meidensha, we initially set ¥3,000/t-CO2 as
the internal carbon price. However, after considering the Ministry of the Environment guidelines andthe carbon price under the IEA’s 1.5°C scenario, we raised our internal price to ¥15,000/t-CO₂, whichapplies to capital investment starting in FY2023. We will continue to promote reductions ingreenhouse gas emissions in our business activities by considering environmental impact
mitigation along with safety and productivity when making equipment investment decisions.
● Internal carbon price:

15,000 yen/t- CO2● Subject to application:

Proposed equipment for FY2023 and beyond

Activity Results

There were 13 cases in FY2022 in which we applied internal carbon pricing. For example, we
introduced equipment that is expected to significantly lower CO2 emissions, such as replacing
fluorescent lighting with LED bulbs at the Meiden R&D Centerand replacing compressors and airconditioning equipment at production plants.
Equipment subject to internal carbon pricing (FY2022)

1,462 (million yen)

Reduction due to internal carbon pricing*

3,708 (t-CO2)* Reduction is calculated based on the lifecycle (statutory useful life) of equipment.
Procurement of Electricity with Zero CO2 Emissions Using Non-Fossil Fuel Certificates
Since November 2019, we have sourced electricity from effectively renewable energy sources for the
Meiden R&D Center and Osaki Kaikan Hall with a combination of FIT*1 and non-fossil fuelcertificates*2 with tracking information for Meiden Group 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 the environmental value ofenergy produced by Choshi Shiosai Wind Farm, demonstrating that we produce net zero CO2emissions. In this way, electricity consumption by Meidensha‘s R&D Center and Osaki Kaikan Hall
produces net zero emissions.

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Meiden Group Sustainability 2023

Furthermore, using non-fossil fuel certificates with tracking information makes it possible toconform with the international initiatives RE100, which has the goal of obtaining 100% of theelectricity required for business activities from renewable energy sources. This expands our options
to effectively utilize existing wind farms.
As demand for electricity from renewable energy sources is rapidly increasing, with the aim ofdecarbonization, Meidensha will continue to work to reduce its environmental impact and provide
products and services that contribute to a sustainable society.

*1

Feed-in tariff (FIT) scheme:
A system that obliges electricity companies to purchase electricity generated from renewable energy sources (solar, wind, hydro, geothermal, biomass) for a certain period oftime. The system was launched in July 2012 in order to promote the use of renewable energy.

*2Non-fossil fuel certificate:A certificate issued by the Ministry of Economy, Trade and Industry that certifies the environmental value of electricity that does not create CO2 emissions, such as electricity
from renewable energy sources. Trading commenced through Japan Electric Power Exchange in May 2018, and a demonstration experiment that included tracking
information (information that clearly states the type and location of energy source) in certificates commenced in March 2019.

Meiden switches to electricity with zero CO2 emission at its R&D Center and another facility.Procured from a subsidiary's wind farm using "nonfossil certificates" with tracking information

Procurement of CO2-Free Electricity that is Produced and Consumed in Gunma Prefecture for Ota
Works
From April 2021, Meidensha has been procuring electricity from CO2-free hydroelectric sources in Gunma Prefecture for Ota Works (Ota city, Gunma), which
is one of our main production sites. Up to this point, we have trialed procurement of CO2-free electricity for some facilities such as the Meiden R&D Center(Shinagawa, Tokyo), but this is the first time we have introduced it for whole production sites. This initiative uses the Gunma Hydroelectric Power Source
Plan*1 from the power menu provided by Gunma Prefecture and TEPCO Energy Partner, Incorporated. This power menu is a plan for local generation andconsumption of electricity provided from hydroelectric power plants directly run by Gunma Prefecture (excluding pumped hydro and FIT) to enable zero CO2emissions from electricity consumption. A portion of electricity charges are used for environmental protection projects, etc., in Gunma, which contributes tothe local community.

Ota Works was established in 1977 as a dedicated rotating machinery factory. It currently focuses
on medium and large rotating machinery and power generation equipment and dynamometers,
which are used for research and development, etc., of vehicles, etc., and develops and manufactures
environmentally considerate equipment. We have delivered many generators produced at Ota Works
to hydroelectric power plants in Gunma, and Ota Works accounts for approximately 10% of the
Meiden Group’s total power consumption.*2 Going forward, Ota Works will manufacturehydroelectric power generation equipment and component products using electricity fromrenewable energy produced by hydroelectric generation.

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Meiden Group Sustainability 2023

The Meiden Group is also considering procurement of electricity from renewable sources at othersites. We will continuously work to reduce greenhouse gas emissions from business activities, etc.,
including prioritizing the introduction of equipment with a low environmental impact, etc., andcontribute to the realization of a sustainable society through the development and delivery of
products and services that contribute to global environmental conservation.
*1

Application for trademark registration of “Gunma Hydroelectric Power Source Plan” filed in Gunma Prefecture.

*2

FY2019 power consumption: 7,123 MWh.

Meiden to use locally generated, CO2-free electricity at Ota Works in Gunma Prefecture Important production base to tap renewable energy source
generated by hydro power

Double Winner of the FY2022 Environment Minister’s Commendation for Global Warming
Prevention Activity
MEIDENSHA CORPORATION and MEIDEN KOHSAN CO., LTD. (MEIDEN KOHSAN), a member of the
Meiden Group, won an FY2022 Environment Minister’s Commendation for Global Warming
Prevention Activity in the category of pioneering introduction and proactive implementation. The twowere praised for their efforts to implement ABW*1 and a multi-function PCS*2 manufactured by
Meidensha at the new MEIDEN KOHSAN head office.
At the same event, Meidensha’s independent effort to contribute to a decarbonized society bymaking the world’s first Ecotank Type Vacuum Circuit Breaker (VCB) that does not use SF6 gas also
won an Environment Minister’s Commendation for Global Warming Prevention Activity in the productdevelopment and commercialization category.
Product and Service Initiatives

The Ministry of the Environment sponsors the Environment Minister’s Commendation for Global
Warming Prevention Activity to honor individuals and entities that have made outstandingachievements in alleviating climate change and adapting to it.
At the FY2022 event, the Meiden Group became the only business group to be a double winner.

(Left) Isato Kunisada, Parliamentary Vice-Minister of the Environment and Member of

The new MEIDEN KOHSAN head officethe House of Representatives(Right) Takeshi Miida, Representative Director & President & Executive Officer,
MEIDENSHA CORPORATION*(As of December 2022)■ Category of pioneering introduction and proactive implementation (mitigation and adaptation)

Implementation of ABW and a multi-function PCS manufactured by Meidensha at the new MEIDENKOHSAN head office

54

Meiden Group Sustainability 2023

■ Overview of initiative・

MEIDEN KOHSAN’s aging head office was rebuilt with an ABW layout.
Windows were optimally placed to allow natural lighting to come in, lighting was replaced withLEDs, etc., resulting in major energy savings.

・A multi-functional PCS developed by Meidensha was introduced; it is used as a storage battery
for power generated with solar panels; for charging and discharging power by EVs; and as a
power source used at the new head office.

・

Certified as being the highest rank in the Building-Housing Energy-efficiency Labeling System(BELS), as well as ZEB Ready*3 as defined by the Ministry of Economy, Trade and Industry

・Uses CO2-free electricity generated by M Winds Co., Ltd., a Meiden Group company, thereby
emitting no CO2 in Scope 1 and 2 and reducing annual CO2 emissions by about 49 tons.

*1: Activity Based Working.
A work style that allows employees to choose the time and place to work in a way that suits their type of job.
*2: Power Conditioning System.
A device to convert power generated by solar panels into power for the utility grid.
*3: ZEB Ready means that a building consumes at least 50% less primary energy (not counting renewable energy) compared to standard primary energy consumption.

Meiden, subsidiary receive the 2022 Environment Minister’s Commendation for Global Warming Prevention Activity（PDF:271KB）

Using Energy More Efficiently
The Meiden Group makes capital investment systematically, such as introducing internal carbon pricing
and replacing lighting and air-conditioning with high-efficiency equipment, to lower greenhouse gas
emissions caused by energy consumption. We are in addition visualizing our power consumption andimproving equipment operations, especially by practicing strict energy consumption control on holidays
and at night.

TOPICS

Energy Saving Campaign
The Group held an Energy Saving Campaign with the aim of using energy more efficiently, spreadingawareness of energy saving, and lowering energy costs. As part of this, employees were invited topropose ideas for improvements that would lead to energy savings. In addition, divisions that madeoutstanding energy-saving efforts at their respective offices and units received commendations.
Examples of Initiatives
1. Turning off unnecessary lighting(1) Normally keep lights off in unoccupied areas; use fewer lights in common areas(2) Be sure to turn off lights when away from the desk (when going to meetings, taking a break, or leaving the office at the end of the day)(3) Turn off lights to vending machines; turn off neon “MEIDEN” sign on top of main building at Numazu Works

55

Meiden Group Sustainability 2023

2. Strictly controlling air-conditioner operations(1) Set air-conditioning to save energy but still be reasonably comfortable (suggested settings: 28°C in summer, 20°C in winter); use timer to control
operations(2) Practice Cool Biz and Warm Biz: wear light clothing and avoid wearing neckties in seasons when the workplace is being cooled and wear layered
clothing in seasons when it is being heated(3) Limit the number of air-conditioning units operating 24 hours a day(4) Inspect filters when doing basic air-conditioner inspections and clean filters when doing major cleanings

3. Saving power with office equipment(1) Put PCs into power-saving mode(2) Turn monitors off when away from the desk; lower monitor brightness (but keep bright enough)(3) Reduce the number of laser printers and multi-function printers in use

4. Introducing energy-saving equipment(1) Introduce energy-saving equipment based on internal carbon pricing evaluation(2) Switch to LED lighting and top-of-line equipment; replace air conditioners with energy-saving equipment; build solar houses at work sites(3) Reduce standby power consumption by reviewing the operating conditions of equipment such as conveyors and compressors

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 is used forlightning arresters and circuit breakers, etc., and CFCs, which are used as refrigerants in air conditioners.
The Group is working to reduce emissions of SF₆ gas with its powerful greenhouse effect and is also
doing technical research and verification of alternative gases. To curb CFC emissions, moreover, we arestrengthening management of air-conditioning equipment and updating facilities.
Emissions of Greenhouse Gasses Other than CO2 (Japan)

Reduction of CO2 Emissions from Product Transport
The transport division is working to reduce CO2 emissions by practicing cargo consolidation, modal shift,and efficient transport, such as using JR containers and switching from trailer transport to ship transport
from nearby ports.

56

Meiden Group Sustainability 2023

CO2 Emissions from Product Transport (Japan)

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 businessactivities.
Meidensha is facing the issue of producing a large proportion of its emissions from “use of soldproducts” (scope 3, category 11) and “purchased goods and services” (scope 3, category 1). We arepromoting environmental measures throughout the entire supply chain, including reducing downstream
greenhouse emissions through environmentally considerate product design and reducing upstream
impact through green procurement.
Meidensha’s Greenhouse Gas Emissions in the Supply Chain (Scope 3)
We calculate for our supply chain with reference to the Basic Guidelines on Accounting for Greenhouse
Gas Emissions Throughout the Supply Chain, published by the Ministry of the Environment and theMinistry of Economy, Trade and Industry, etc.
In developing the Second Meiden Environmental Vision, which set new medium-to-long-term
environmental targets and launched in FY2021, we completely reviewed Scope 3 calculation methods. We
transitioned from calculating the non-consolidated value of Meidensha to calculating the consolidated
value of the Meiden Group, and conducted review of units for our FY2021 record. For Category 11, we
increased precision by conducting more detailed calculation of emissions per unit of production for eachproduct group. For categories calculated on a monetary basis, we also reviewed part of our standards
going back to FY2019. Thus, data values disclosed up to FY2021 lack continuity; however, going forward
we intend to trace these values using this calculation method and revise them as necessary.
Category

Calculation Method
Amount of Activity

1. Purchased goods and services

Purchase amount (materials, consumables,

Basic Unit
Ministry of the Environment Basic Unit - DBservices, etc.)
2. Capital goods

Amount invested in fixed assets

Ministry of the Environment Basic Unit - DB

3. Fuel and energy related activities not included in Scopes 1 orAmount of energy consumption (electricity,

Ministry of the Environment Basic Unit - DB

2

etc.)

4. Upstream transportation and distribution

Transportation cost (freight, storage, packing,Ministry of the Environment Basic Unit - DBetc.)
5. Waste generated in operations

Emissions of each type of waste

Ministry of the Environment Basic Unit - DB

6. Business travel

Transportation expenses provided (travel

Ministry of the Environment Basic Unit - DB

allowance, etc.)

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Meiden Group Sustainability 2023

CategoryCalculation Method
Amount of Activity

7. Employee commuting」

Basic Unit

Transportation expenses provided (travel

Ministry of the Environment Basic Unit - DB

allowance, etc.)
8. Upstream leased assets

Rent (Leased items, etc.)

Ministry of the Environment Basic Unit - DB

9. Downstream transportation and distribution

Amount of activity of sales agents, etc.

Ministry of the Environment Basic Unit - DB

10. Processing of sold products

Not applicable as Meidensha’s products―

include many formed items
11. Use of sold products

Calculated based on the specifications of the

Ministry of the Environment Basic Unit - DB

Company’s products and operating conditions
12. End-of-life treatment of sold products

Assumed disposal cost of sold products

Ministry of the Environment Basic Unit - DB

13. Downstream leased assets

Energy usage at leased real estate

Ministry of the Environment Basic Unit - DB

14. Franchises

Not applicable as outside of the scope of the―Company’s business
15. Investments

Not applicable as shares held by the Company―

are not for the purpose of investment
Other

Excluded from the scope of calculation as this―item is optional（t-CO2）Category

FY2019FY2020

FY2021

FY2022

Purchased goods and services *1

916,059

790,749

944,989

1,161,608

Capital goods *2

44,02356,14631,32924,862*3

Fuel- and energy-related activities not included in Scopes 1 or 2

1,882

1,893

3,425

3,472*4

Upstream transportation and delivery *1

1,324

1,481

1,586

1,830

Waste generated in operations

1,587

2,004

1,645

1,925※5

Business travel

3,192

1,007

2,160

4,770

Employee commuting

1,152

940

1,182

1,401

Upstream leased assets *1

2,491

2,336

2,287

2,756

Downstream transportation and distribution *1

1,249

1,162

1,285

1,165

Processing of sold products―

Use of sold products

―

―

―

6,370,000

6,050,000

5,922,573

5,745,708

End-of-life treatment of sold products *1

6,591

5,960

6,573

7,025

Downstream leased assets

18,50916,837

16,298*2

16,441

Franchises

―

―

―

―

Investments

―

―

―

―

Other

―

―

―

―

Total

*1

7,368,060

6,930,516

6,935,330

6,972,963

Up through FY2021, results were calculated by multiplying the monetary value exclusive of consumption tax by the emissions intensity, but since FY2022, we include the monetary
value including the consumption tax.
Therefore, we recalculated emissions for FY2019 through FY2021 using that approach.

*2

Figures for FY2021 have been revised.

*3

Since FY2022, the emissions intensity has been revised according to the industry of the sector in which the capital to be calculated has been formed.

*4

Since FY2022, figures have been recalculated to include steam use.

*5

From Basic Guidelines for Calculating Greenhouse Gas Emissions through Supply Chains, Ministry of the Environment and Ministry of Economy, Trade and Industry
Waste from the company’s own business activities (excluding salvageable materials): Revised according to the description of emissions related to disposal and treatment outside
the company.

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Disclosure based on TCFD recommendations

Disclosure based on TCFD recommendations

Attitude
For many years, the Meiden Group has been aware of the major problem of climate change, and has
worked to solve this problem through business. With regard to TCFD*, we endorsed the TCFD
recommendations in June 2019, we began considering risks and opportunities according to the TCFD
framework in 2020, and we are promoting the incorporation of this in our strategies.
As society places more emphasis on the issue of climate change, in Medium-term Management Plan
2024, which was released in FY2021, we pledged to “promote sustainability management,” and we aim toaccelerate promotion of management and development of businesses to realize a carbon-free society.

* TCFD: Task Force on Climate-related Financial Disclosure established by the Financial Stability Board(FSB) .

Governance/risk management
Governance
The Sustainability Management Strategy Committee and the Sustainability Management Promotion
Committee handle all general matters involving sustainability and these two committees explore potential
strategies to enact for decarbonization. The manager in charge of Sustainability and the Sustainability
Management Promotion Division both report on the content of these meetings twice annually to theBoard of Directors and the Executive Officers’ Meeting. Alongside these efforts and as a way of managing
the promotion of environmental activities within the Group, the Meiden Group Environmental Committee,
which is chaired by a production manager, meets quarterly to uncover issues within the Company, setenvironmental goals, devise action plans, and discuss emergency responses in order to promote andmonitor the deployment of concrete policies for environmental management.
Sustainability Management

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Meiden Group Sustainability 2023

Risk Management
To manage sustainability-related risks, the Sustainability Management Promotion Division , which is
charged with promoting sustainability management, operates centrally with relevant departments to
extract risks. The details of those risks are incorporated into all the risks managed by the Governance
Headquarters, which simultaneously manages a variety of risks, including those related to climatechange.
Risk Management

Strategy
Analysis of Climate Change Scenarios
The Sustainability Management Promotion Division analyzes climate change scenarios in conjunction
with relevant departments. The scenario analysis examination process is divided into four parts, withanalysis and evaluations conducted annually. At the same time, major factors that could impact businessare identified, and identified risks, opportunities, and evaluations are reflected in our business strategy.

Step 1: Identification and Materialization of Types of Scenario
As recommended by TCFD, we identified scenarios at multiple levels of warming, including a scenario ofless than 2°C, and conducted analysis accordingly. Based on the two scenarios of decarbonization(RCP1.9) and global warming (RCP4.5 and RCP8.5), we have arranged outlooks and specific scenarios for2030 to accommodate each scenario using management frameworks such as five forces analysis, basedon international published data from the IEA, IPCC, etc., as well as numerical data published by Japanese
government institutions, etc.
Temperature range
Decarbonization scenario

Global warming scenarioLess than 1.5°C

2.5 to 4.0°C

Relevant scenario

ProviderNZE2050

IEA

RCP1.9

IPCC

STEPS

IEA

RCP4.5IPCC

RCP8.5IPCC

60Meiden Group Sustainability 2023

Step 2: Evaluation of Importance of Climate Change-related Risks
We have set out factors for climate change risks and opportunities according to the outlook of eachscenario, giving reference to the risks and opportunities in the TCFD recommendations.
Factors for Risks and Opportunities

Societal Scenario

Opportunities and Risks for Meiden

Opportunities to reduce GHG

Decarbonization of the transport

Expandedemissionsindustry

EV business

Increased ratio of renewable energy

Expanded renewable energy business

Relevant Businesses
EV business/Battery storage-related

Increased government subsidies
Increased government subsidies

Wind/Hydroelectric/Photovoltaic

Accelerated technologicalstorage/Solar generation/Battery

developments

storage-related /Hydrogen-related

Transition to a decentralized society
Increased regulations to reduce GHG

Restrictions on chemical substances

emissionssuch as SF6

Expanded Power T&D Business

Zero SF6 products/Environmentallyfriendly productsElectric companies shift toward
decarbonization
Changing stakeholder mindset

Opportunities to reduce GHG

Increased customer demand for being

Increased demand for environmentally

Environmentally friendly products andcarbon-freefriendly products and services

services (including green products)

Introduction of a carbon tax

Increased manufacturing costs

All companies

emissions

Increased procurement costs

Tightening of legal restrictions
Opportunities to reduce GHG

Rising prices from growing demand

Increased procurement and

EV-related business/Renewable

emissionsfor EV and renewable energy

manufacturing costs

energy-related business

Suspension of operation/Collapse of

Production sites

components
Increased frequency of extreme
weather events

More water-related disasters

supply chain

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Meiden Group Sustainability 2023

Factors for Risks and Opportunities

Societal Scenario

Opportunities and Risks for Meiden

Relevant Businesses

Increased costs to respond to waterrelated disasters
Opportunities to reduce GHG

Increased pressure on environmentally

emissionsburdensome businesses

Reduced sales in relevant businesses

Diesel/Gas engine generators
Ceramic membrane businessChanging stakeholder mindset
Rising average temperatures

Worsening working environments

Increased personnel expenses at sites

Manufacturing/Maintenance/Construction service business units

Increased proportion of renewable

Increased cost of industrial electricity

Increased power procurement costs

All companies

energy* Examples of main scenarios
Step 3: Business Impact Evaluation
We are evaluating business impact through discussions with relevant parties within the Company, suchas the Corporate Policy Planning Group , the Accounting & Financing Group , the Corporate GovernanceManagement Group , and business units, based on the scenarios and outlooks set out in Step 1 and theopportunities and risks set out in Step 2.
In the course of this, we screened matters that have a particularly large impact on businesses by focusing
on the two axes of “impact on operating income” and “likelihood of occurrence in a business” in FY2030,
and conducted detailed analysis of these matters. We assessed pre-countermeasure outcomes based on
the rate of market growth in each scenario for each large-impact item. These were quantitatively
calculated using partial assumptions, and items with unachievable results were organized qualitatively.

* The following values were calculated with a focus on the market growth rate and do not represent a
designated target value for the Company.
Evaluation axes for selection of risks and opportunities (2030)
Impact on operating income (estimate)

Very large: ±10 billion yen or more
Large: ±1 billion yen or more
Medium: ±0.1 – 1 billion yen
Small: ±less than 0.1 billion yen

likelihood of occurrence in an event in 2030

Large: High probability of occurrence
Medium: Occurrence is possible, but cannot be predicted with confidence
Small: Only occur in the scenarios

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Meiden Group Sustainability 2023

Step 4: Consideration of Response Measures
We considered development of strategies to grasp opportunities and measures to mitigate risks
according to the situation of the Company, based on the outcomes calculated in Step 3.

TOPICS

Developing Environmentally Friendly Products and Services
Scope 3, Category 11 is emissions from product use and connects directly to our customer’s Scope
1 and 2 emissions. Developing and producing environmentally friendly products and services with alow carbon footprint through “a complete life cycle from material procurement through product use
and disposal” will lead to the decarbonization of our Company, our customers, and society as awhole.
In FY2022, we worked systematically on LCAs (life-cycle assessments) of existing products, andhave completed assessments for most products categories involved in social infrastructure. We
concurrently revised our environmental assessment of products that includes LCA and continue
reviewing standards for green products and preparing to develop super-green products that will
represent the gold standard for the industry.

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Meiden Group Sustainability 2023

Our “High voltage products for GX” is a prime example of a package of products with a low carbon
footprint. This system combines remote-monitoring functions with our high voltage feeder panel,high voltage transformer, and high voltage switchgear, all feature products designed to beenvironmentally friendly in order to reduce customer Scope 2. The high voltage feeder panel require
no painting or welding in order to reduce the amount of harmful substances used, the high voltage
transformer uses palm oil for insulation to reduce its strain on the environment, and the high voltage
switchgear uses C-GIS that relies on dry air insulation and so does not use SF6.

TOPICS

Reducing the Company’s Environmental Impact
Company GHG emissions from manufacturing and purchasing (Scope 3, Category 1) exist to somedegree. Introducing a carbon tax within the Group can lead to increased manufacturing costs going

64

Meiden Group Sustainability 2023

forward and could potentially negatively impact profitability. According to the scenario assumed by
TCFD, the following simulations represent the introduction of carbon tax when assuming thatcarbon emission increase with BAU (Business as usual) in 2030 for each scenario.
<Calculation conditions and results>

BAU sales in 2030 are calculated to be 340 billion yen (FY2021 baseline). With the decarbonization
scenario (RCP1.9), introducing a carbon tax will result in operating income of 7.5 billion yen, a
reduction of 2.2%. Such an introduction would significantly impact the Company, so it is vital tostrategically reduce Scope 1, Scope 2, and Scope 3, Category 1. That is why the Company drafted
the Second Meiden Environmental Vision in FY2021 and launched the following initiatives.

For Scope 1 and Scope 2, we plan to have 100% of domestic factories and 30% of overseas factories
use renewable energy by 2030 (within the range of our normal investment activities, 8 billion yen in
environmental investment by 2030) and predict that doing so will increase 2030 costs by 180 million
yen. However, Scope 1 and Scope 2 emissions will be cut by 30%, with a projected 400 million yen
relative improvement compared with pre-initiative estimates. We are exploring ways to minimize theremaining impacts that introducing a carbon tax would have on degraded operating income byexamining the absorption of cost pass-throughs, etc., the prospect of generating wind powerinternally, the progress of additional decarbonization efforts within the Group, and more.

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Meiden Group Sustainability 2023

Metrics and Targets
We see changes due to climate change as business opportunities, and are implementing strategies tomitigate risks.
From a business perspective, we will particularly contribute to the creation of a carbon-free society
through further expansion of the EV and Renewable Energy businesses. We also released the Second
Meiden Environmental Vision as our environmental goals in FY2021, and we have disclosed 2030 GHG
reduction targets for scopes 1, 2, and 3 in order to reduce internal risks. These goals have received SBT
recognition. We will work with our suppliers to achieve our targets. In addition, we pledged to reachRE100 by 2040 and carbon neutrality by 2050, in November 2021, as our medium- to long-term targets.

Second Meiden Environmental Vision Targets(Targets and results compared to FY2019 levels)
Each year vs FY2019

Emissions frombusiness activities(Scope 1+2)

FY2022

FY2023

FY2024FY2030Plan

Plan

6% reduction

30% reduction

6% reduction

15% reduction

Plan

Actual

Plan

Japan

5% reduction

8% reduction

8% reduction

Overseas

2% reduction

1% increase

3% reduction

Total

4% reduction

7% reduction

5% reduction

Emissions from product use

10% reduction(Scope 3, Category 11)* Second Meiden Environmental Vision including FY2030 targets has received SBT (science basedtargets) certification.
Meiden Group’s medium- to long-term environmental targets

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Meiden Group Sustainability 2023

The carbon neutral transition plan
Meiden Group is taking the following actions to become carbon neutral by 2050.
1)

Reducing emissions from business activities (Scope 1+2)
Among our strategic facility investments such as switching from gas to electric power and making lighting, A/C equipment, and manufacturing equipment withmore efficient fixtures, we are introducing internal carbon pricing (ICP) as a metric for determining investment within the Company. To accelerate our efforts todecarbonize in FY2023, we revised our price of carbon from 3,000 yen/t-CO2 to 15,000 yen/t-CO2.
We also experienced power shortages last year and so redoubled our commitment to reducing energy consumption. We now have power-saving initiatives inplace at all our offices and factories.
In addition to these efforts toward reducing the amount of energy we use, we also promote procuring renewable energy at multiple bases inside the Group, from
Company factories through to the offices of Group affiliates.

2)

Reducing emissions in the product use stage (Scope 3 Category 11)
The product use stage (Category 11) accounts for 80% of Meiden Group’s Scope 3. We have drafted medium- and long-term targets for greenhouse gas
emission levels in the product use stage (Category 11) and are tracking our levels of achievement. We have proposed plans to incorporate environmental
considerations into our products (SF6 gas-free, reducing product size, increasing efficiency, etc.) and updating our business portfolio (expanding low-carbon
businesses) as ways to reduce emissions.

Our timeline for the key measures aimed at reducing greenhouse gas emissions

Future Path
Although we have identified the growth opportunities and risks facing the Meiden Group through analysis
of scenarios based on the TCFD recommendations, in most instances, calculation of impact is merely arough estimate, and further precision is needed. Furthermore, we are promoting response to climaterelated metric categories across multiple industries in the TCFD recommendations, which require new
disclosure. Along with this, we are considering establishing ESG (environment, social, and governance)
metrics, incorporating them in our standards for calculating officers’ remuneration, and further
strengthening governance, in order to increase the effectiveness of sustainability management
promotion.

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Meiden Group Sustainability 2023

TOPICS

Simulation of Business Portfolio RevisionDuring the formulation of the Meiden Group’s FY2030 greenhouse gas emissions reduction targets,
we conducted a simulation of net sales and emissions from a business portfolio revision regarding
emissions in the product use stage (scope 3, category 11).

Meiden Group Scope 3, Category 11 Reduction Simulation<Note: The above graph is an estimate from a simulation and does not amount to a commitment
to a business plan>
We found that by increasing the ratio of low carbon businesses with low emissions per unit of sales
such as EV, maintenance services, and small and medium-sized hydropower generation, and we had
a potential to comfortably achieve both increased sales and reduced emissions.

TOPICS

Introducing Internal Carbon Pricing
Internal carbon pricing is a mechanism that creates an economic incentive to reduce emissions andpromotes investment by setting a carbon price in the company and using it to calculate the cost ofgreenhouse gas emissions.
Meidensha introduced an internal carbon pricing system in April 2021. We will convert carbon
emissions from capital investment plans to expenses using an internal carbon price through thesystem. It will be a tool to make investment decisions. For now, we will make ad-hoc reforms
starting from the following conditions.
■ Internal carbon price:

15,000 yen/t- CO2■ Subject to application:

Capital proposals for FY2023 onwards

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Meiden Group Sustainability 2023

Home

Sustainability

Environment

Issue of Green Bonds

Issue of Green Bonds

In July 2019, we issued green bonds through public offering for the purpose of funding mass-production
equipment for Motors and Inverters for Electric Vehicles.
In June 2018, Meidensha pledged to reduce greenhouse gas emissions by 30% by fiscal 2030 (comparedto fiscal 2017 levels) and as part of the First Meiden Environmental Vision and we are promoting
reduction of environmental impact. Furthermore, we understand that contributing to the achievement ofsustainable development goals (SDGs) is a major management issue facing the Company and we arepromoting 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.

Meidensha Green Bonds
OutlineName of bonds"Meidensha Corporation 2nd Series Unsecured Straight Bonds (with pari passu agreement limited tocorporate 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 maturity

July 23, 2019 to July 23, 2024

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 underwriter

SMBC Nikko Securities Inc.

Green Bond

SMBC Nikko Securities Inc.

Structuring Agent
Principles with which to confirm compliance

Climate bond standard version 2.1
Low Carbon Transport (Land) Standard Version 1.0 (CBI)Green Bond Principles 2018 (ICMA)
Green Bond Guidelines 2017 Edition (MOE)69

Meiden Group Sustainability 2023

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

Daitokyo Shinyokumiai

・Fukoku Mutual Life Insurance Company

・

Hanno-Shinkin Bank・JA 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 LIMITED・

THE KAGAWA BANK, Ltd.

・

THE TOWA BANK, LTD.

・

Tokio Marine & Nichido Fire Insurance Co., Ltd.

・

Tokio Marine Asset Management Co., Ltd.

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Meiden Group Sustainability 2023

External Evaluation of ComplianceGreen bond framework
Meidensha Green Bonds are issued and managed according to the Green Bond Framework developed inaccordance with the Green Bond Principles 2018*1 drafted by the International Capital Market
Association, the Green Bond Guidelines 2017*2 Edition drafted by the Ministry of the Environment, andthe 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 (hereinafter JCR)
according to the JCR Green Bond Evaluation, and the bonds received a rating of Green 1, which is thehighest rating, as they fulfilled the Green Bond Principles 2018 and the Green Bond Guidelines 2017.
JCR green bond assessment attached
Verification
DNV GL Business Assurance Japan K.K. (DNV GL), one of the world's leading organizations to evaluate
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 technological standards.
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 low-carbon
society that sets stringent standards for the issuance of such bonds. Meidensha is the first 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.

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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

Kofu Meidensha Electric Mfg. Co., Ltd.: Construction of new building and introduction of 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 negative environmental impact of eligible
projects.
3. Management of Proceeds
The proceeds from the Green Bonds will be fully allocated to eligible projects and assets and tracked.
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

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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 tofunds.
4. Reporting
Funding status reporting

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

Until Green Bonds are redeemed, the following indicators showing the progress status of qualified
projects funded and the environmental improvement effect are scheduled to be disclosed 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 andinvestments in 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 other market 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
the environment. CBS imposes a sectoral standard, and it is necessary to meet the applicable sectoral 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 theform of 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 morethan half of the number of projects is domestic decarbonization-related project.

2.

Has high decarbonization and effects on vitalization of local economy

・

Decarbonization effects Those whose subsidy amount per ton of domestic CO2 reduction isless than the specified amount.

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・

Effects on vitalization of local economy Projects that are expected to contribute to effects
on vitalization of local economy as part of the ordinance and plan, etc. decided by themunicipality, 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 theBonds, and not for the purpose of soliciting investment or engaging in any other similar activities
within or outside of Japan.

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HOME

Sustainability

Environment

Prevention of Pollution and Effective Utilization of Resources

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 businessactivities, as well as conserve energy, promote the 3Rs in relation to waste, and properly manage
hazardous chemicals as stipulated in the President’s Environmental Policy. Furthermore, we will establish
our own internal standards and work towards preventing environmental contamination while complying
with all environmental laws, regulations, and other requirements.
President’s Environmental Policy

Initiatives

Targets for Measures to Combat Waste and Pollution
Reduction of single-use plastic packaging

The Meiden Group set a target of 2% reduction (compared to FY2019) as a measure to reduce single-use
plastic packaging. Going forward, we will continue to work to reduce plastic usage by promoting the 3Rs
for plastic packaging and environmentally considerate design.
Strategies, Initiatives, and Results Data

Targets and Initiatives for Reduction of Raw Material Usage
As a manufacturer that uses resources to provide our products and services, it is essential that we use
those resources effectively.
At the Meiden Group, we practice eco-friendly procurement and work to mitigate the environmental
impact of our domestic and overseas business activities and to design products that conserve and reuse
resources.

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Raw Material Input (Japan)(t)
Raw Material

FY2019FY2020

FY2021

FY2022

Iron

6,306

5,140

5,356

4,820

Copper

2,778

2,334

2,176

2,120

Plastic

778

781

789

864

Aluminum

334

226

223

266

Total

10,196

8,481

8,544

8,070

Tightening Management of Chemical Substances
We are working to conduct risk assessment of chemical substances used at production sites, etc., toimprove the workplace environment, and reduce or substitute hazardous chemical substances with asubstantial risk.
In order to prevent workplace accidents, health impairment, and fire or environmental pollution due toleakage or spillage of chemical substances, we routinely conduct patrols of sites where chemical
substances are used to alert workers, and take corrective measures where the management status ofchemical substances is found to be inappropriate.
Tightening Management of Chemical Substances

Reduction of Volume of Volatile Organic Compounds (VOC) Released
In FY2021, we promoted reuse of solvents through the introduction of solvent collection devices, andreplacement with low-VOC solvents, and we released 71.9 tons of VOC. Going forward, we will promote
improvement of varnish impregnation processes, substitution with low VOC paint and solvents, etc., andreduction of VOCs released.
Volume of VOCs Released and Reduction Rate (Japan)

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Promotion of Disposal and Processing of Devices that Include PCBs
In accordance with the Act on Special Measures concerning Promotion of Proper Treatment of PCB
Wastes (PCB Special Measures Act), we are gradually disposing of devices that contain PCBs
(polychlorinated biphenyls) such as transformers and condensers that were manufactured in the past andstored for nearly to 40 years.
In FY2022, we disposed of 0.1 tons of waste containing high concentrations of PCBs and treated 335.9
tons of waste containing trace amounts.
Since we began processing PCB waste in FY2007, through FY2022, we have disposed of approximately
105 tons of waste containing high concentrations of PCBs and treated about 734 tons of waste
containing trace amounts. In FY2023, we expect to finish the processing of registered waste containing
high concentrations of PCBs.
Going forward, we will continue to work to comply with laws and treat PCB waste by the treatment
deadline.
Volume Treated of Harmful Waste (Waste Containing PCBs)

Promoting the 3Rs for Waste (Reduce, Reuse, and Recycle)
Meidensha is working to recycle waste generated at production sites and offices.
In FY2022, we revised our calculation method for recycled quantity, and we worked to improve theprecision of calculation by appropriately calculating the amount of waste generated by recycling. The
amount of waste increased due to a large amount of waste (debris) being generated by an increase in onsite construction; however, we will work to reduce the amount of waste generated by continuing topromote the 3Rs.

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Trends in Generation of Waste, etc., and Recycling Rate (Japan)* Construction sludge, etc., is excluded from the amount of waste, etc., generated.
* Since FY2019, we have revised aggregation methods to improve the precision of recycling rate
calculation.
Breakdown of Waste Generated in FY2022 (Japan)

Collaboration with Other Companies to Reduce Waste and Resource Use(Recycling Epoxy Resin Molded Components)
Meiden Chemical Co., Ltd., which is a group company involved with manufacture and sale of electricalinsulators has realized the recycling of used epoxy resin molded components as raw materials by using amethod of depolymerization under ordinary pressure, which separates the metal from the resin. Epoxy
resin molded components are generally disposed of in landfill as they are considered difficult to recycle;
however, Meiden Chemical Co., Ltd. has licensed the patented room temperature dissolution methodfrom Showa Denko Materials Co., Ltd. (formerly Hitachi Chemical Co., Ltd.), which enables it to recycle
95% of existing components, as well as control cost than sending them to landfill. During recycling, we
conduct lifecycle assessment (LCA) according to data obtained at the testing plant, which quantitatively
assesses environmental impact if recycled and if not recycled.
In addition to insulating molded components, Meiden Chemical Co., Ltd. is working to roll out insulating
material products as major flagships with features such as long-life resin for impregnation andenvironmentally friendly low-odor varnish.
Meiden Chemical Co., Ltd. is currently engaging in research such as extraction of rare metals by
dissolving insulating varnish from superconducting coils and recycling of fiber-reinforced plastic toproduce resources again.

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Flow chart of dissolution recycling of epoxy resin molded components

Dissolution plant exterior

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Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Water Resources

Water Resources

PolicyThe Meiden Group will work on implementing measures to promote water resource conservation
activities by utilizing water resources efficiently and respond to water risk that impacts businessactivities, as a step toward conservation of the global environment and realization of a sustainable
society.
We will contribute to the solution of a range of social issues relating to the conservation of water
resources through our businesses.
Plan and Targets

The Meiden Group includes “promotion of water reuse” and “water safety” as part of the medium- to longterm “Environmental Vision.” We will work to preserve water resources through water conservation andeffective utilization of rainwater; take steps to respond to water risks such as water shortages, flood, andcontamination; and improve sanitation.
Initiatives

Water Risk Assessments
The Meiden Group conducts evaluation of water risk for initiatives to conserve water and comply with
effluent standards. Using the Water Risk Filter, a water risk assessment tool distributed by the World Wide
Fund for Nature, we assessed 16 production sites in 9 countries. We found that although domestic sites
were within ordinary risk levels, 50% of overseas sites were located in high-risk areas. In particular, risks
related to water quantity and quality assurance were found to be high. Some sites in India and China were
found to be located in very high-risk areas. For these, we will take the optimal measures for each site
based on assessment results.
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Meiden Group Sustainability 2023

Achievements ・ Data

Trends in Water Usage Volume (Japan)

Water Withdrawals, by Source (Japan)
FY2018FY2019FY2020

FY2021

FY2022Groundwater (1,000 m3)

943

1,626

1,344

1,728

1,552

Industrial water (1,000 m3)

80

70

87

43

22

53

63

59

63

69

3

Tap water (1,000 m )* Water usage volume includes tap water, water for industrial use, and ground water.
* Measurement points were changed in fiscal 2021 in order to increase accuracy, there is no continuity
with those in fiscal 2020 and before.
Trends in Effluent by Discharge Location (Japan)

Trend in Water Quality Data (BOD Discharge) (Japan)

BOD

FY2019FY2020

FY2021

FY2022

4,843 kg

6,424 kg

6,408 kg

4,474 kg

Initiatives

The Meiden Group has been in business over 125 years. As such, some of the infrastructure at production
sites has significantly deteriorated.
This is particularly true of the water infrastructure, which we are rebuilding as a special priority for BCP
reasons.
At Numazu Works, one of our main production sites in Japan, we will begin building a large new
combination water-purification tank in November 2023. To go with it, we are rebuilding the plant’s watersupply and factory effluent systems. Nagoya Works and Ota Works, two other major production sites inJapan, are likewise aging. Their updates will be planned and implemented in turn.

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[Overview of Project to Rebuild Water Infrastructure](1) Remove 22 individual water-purification tanks to meet our obligation to make efforts related to Japan’s Private Sewerage System Act and improve the quality oftreated effluent(2) Prevent leaks by bringing buried water supply pipes above ground (reduce water usage)(3) Strengthen control of quality and quantity of treated effluent by separating the factory effluent system from rain water
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 water and 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.
Contribution to Local Water Disaster Prevention Through Real-Time Flooding Updates
Delivery of Flooding Information System That Uses Smart Flood Level Rods to Saga City
We delivered a flooding information system that uses smart flood level rods (automatic flood levelmeasurement rods) to Saga City. Saga City began using this system to provide a disaster prevention
information service concerning flood levels to residents and others on April 25, 2022.
Saga City developed the Saga City Basic Plan on Wastewater Measures (March 2014) to deal withincreasing flood risk due to rain inundation as a result of downpours increasing in frequency and severity
in recent years due to climate change. The city aims to create a “city and populace that is resilient against
flooding” by implementing software measures such as creating and disseminating hazard maps inaddition to hardware measures such as installing pump stations, channels, and balancing reservoirs. As
one of these measures, the city installed flood level rods in 83 locations in the city, and is actively
promoting utilization of information for self, mutual, and public assistance to prevent disasters as part ofincreasing awareness of flooding.
Until now, flood level rods have been relied on for reading and reporting by citizens and disastervolunteers. Now, real-time disaster prevention information can be used for flood protection activities dueto the expand of automatic measurement. Up to FY2021, we have partnered with Saga City to conduct
demonstration experiments of real-time monitoring systems using automated flood level rods. The
systems were installed in practical use in 29 locations throughout the city.
We received an order from Saga City to build a flood information provision system to notify residents, etc.,with the aim of further utilizing disaster prevention information obtained through automated flood levelrods (smart flood level rods), and delivered the system in March 2022.

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What is a Smart Flood Level Rod?
A smart flood level rod is an IoT device comprising a rod (pole) fitted with a transmitter, an antenna, and abattery. It gathers flood information in real time, and provides it via the cloud computing.
Product Features
・It is possible to wirelessly transmit, gather, and provide information via the cloud computing, using
LPWA transmission devices fitted to rods

・

It is possible to supply power to sensors and transmission devices from batteries mounted on therods・

It is possible to monitor flood levels in real time, simply by installing rods on roads＜Diagram of smart flood level rod application＞

Collaboration with Stakeholders: Partnerships with Outside Parties
The Meiden Group, in cooperation with its stakeholders in Japan and overseas, will pursue manufacturingthat helps solve challenges such as Sustainable Development Goal 6 (which seeks clean water andsanitation for all) and Goal 14 (conservation of marine resources), sustainably create value, and work tosolve social issues.

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Order Taken for Tuas Water Reclamation Plant
Will Provide Ceramic Membranes with World’s Largest Treatment Capacity of 97,500 m3/Day
MEIDEN SINGAPORE PTE. LTD. (MEIDEN SINGAPORE) has received an order from Singapore enterprise
Koh Brothers Building & Civil Engineering Contractor (Pte.) Ltd. for ceramic membranes for an industrial
effluent MBR* facility at the Tuas Water Reclamation Plant of the Singapore Public Utilities Board (PUB).
This project is a new water reclamation plant to be built in western Singapore, scheduled for completionin 2025.
MEIDEN SINGAPORE will supply ceramic membranes with a treatment capacity of 97,500 m3/day to theplant. The Meidensha ceramic membranes to be delivered can help to save energy and will offer highdurability, excellent chemical resistance, and long life.
* MBR: Abbreviation of membrane bioreactor, a technology that separates activated sewage. It uses
membranes instead of conventional settling tanks to separate treated water and activated sludge fromeach other, thereby cleaning sewage and industrial effluent.
Under a 2010 memorandum of understanding (MOU) with PUB for the joint development of water
treatment technology, we have been conducting a demonstration study on industrial effluent treatment at
the Jurong Water Reclamation Plant. In 2014, a 4,550 m3/day demonstration plant began operating at theJurong site. Highly concentrated industrial effluent that had previously been difficult to reclaim was
successfully reused. PUB made note of the achievements, which led to the recent order for ceramic
membranes for the Tuas Water Reclamation Plant.

Tuas Water Reclamation Plant©2021 PUB, Singapore’s National Water Agency■About Ceramic Membranes

Appearance of ceramic membrane

Cross-section diagram showing sewage filtration withceramic membrane

・ Ceramic membranes contain countless pores invisible to the human eye. The pores filter out

impurities as sewage passes through.
・ The 6-mm-thick ceramic membrane has a hollow structure and collects clean filtered water through acollecting tube on the inner side.
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HOME

Sustainability

Environment

Biodiversity

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 impact, create
new symbiotic relationships, 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 orderto achieve a sustainable society, hence reflects its ethos on biodiversity conservation in the Meiden
Group’s “Basic Environmental Philosophy,” “Environmental Policies,” and “Environmental Vision.”
Furthermore, we have drafted guidelines on the conservation of biodiversity in order to clearly state therelationship between our business activities and preserving biodiversity and we are applying them in ourbusiness activities.

Meiden Group Biodiversity Guidelines
Basic Policy
We understand that our business activities benefit from the blessings of nature and at the same 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 andinnovative technologies.
Action Guidelines①

We will contribute to conserving biodiversity through the development and supply of environmentally conscious products and innovative related technologies
and thus promote our water processing business and renewable energy-related business and reduction of the use of hazardous chemical substances in our
products.

②

We will clarify how our business activities interrelate with biodiversity and we will help to conserve biodiversity by reducing the environmental impacts of ourbusiness activities.

③

We will comply with applicable laws, regulations, and international rules relating to biodiversity.

④

We will deepen our people’s understanding of “Conserving Biodiversity” and we will take voluntary related initiatives at home and abroad.

⑤

We will undertake activities in cooperation with our stakeholders such as local communities, non-profit organizations (NPOs), non-governmental organizations(NGOs), governments, etc., and we will promote environmental communication with such activities’ information.

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Meiden Group Sustainability 2023

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

The Meiden Group is actively conducting protection and conservation activities in conjunction with local
residents for nearby creatures, etc., on Meiden property and elsewhere, at each location.

A Head Office Building That is Considerate of Biodiversity
The ThinkPark Tower head office building in Osaki, Shinagawa City, Tokyo, is surrounded by the ThinkPark
Forest on a block that is approximately 40% greenery. It is an oasis in the city and provides 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 (Only Japanese)

ThinkPark Tower

ThinkPark Forest

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 of each site andnearby.

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Head Office Area
Ikimono Log (Living Nature Log)
In the head office area of Osaki, Shinagawa Ward, Tokyo, we take pictures of the organisms that live in thevicinity 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 theorganisms that live in the area.

Brown-eared bulbul

Warbling white eye

Asian swallowtail butterfly

Click here to view Ikimono Log. (Only Japanese)

Osaki-no-Mori Nature Observation Events
We provide elementary school students near our head office with opportunities to interact with nature as
they search for cicadas living in the area.

Participation in Ohana Ippai Osaki Activities
At head office and a group company (Meiden Engineering Corporation), we prepared soil in flower beds
near Osaki Station, which are managed by Osaki Machi Unei Kyougikai, along with co-sponsors. Goingforward, we will continue to actively participate in activities that leave abundant nature for future
generations.

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Numazu Works
The Numazu Works is blessed with the bounty of nature such as a green zone (area = approximately
65,000 m2) and groundwater. We are conducting activities to use these natural resources in a sustainable
manner and contribute to the community.
Maintaining Biotopes
Through the survey of organisms, we discovered Atrocalopteryx atrata dragonflies, which are classified
as class II endangered species, at the Numazu Works. We are maintaining a good biotope in the hope thatthe dragonflies will lay their eggs.

Beach Cleanup at Senbonhama Park
In 2022, to commemorate the 125th anniversary of the founding of Meidensha, we donated 125 Japanese
black pine trees and had Meiden Group employees plant them at Senbonhama Park in Numazu.

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 varieties of trees. We
included the results of the survey on the Ota Works Green Zone Map and we will apply the knowledge
gained for future utilization of the green zone.

Ota Works Green Zone Map

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Meiden Group Sustainability 2023

Kanayama Red Pine Grove Conservation Activities
The red pine grove 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 managing owner system”
and we work to conserve the red pine grove by participating in activities such as weeding.

Discontinued Selling PET Bottles at Our Facilities
The problem of marine pollution caused by plastic waste has spread over a wide area, and there areconcerns that it can adversely affect the ecosystem, living environment, fisheries, tourism, etc. The use ofplastic bags has been abolished since July 2020 at on-site shops in the Meiden Group's Numazu Worksand Ota Works. Shops prepare eco-bags instead of using plastic disposable bags at the checkout. We
conducted e-learning for all Meiden Group employees concerning the problem of marine plastic waste,
and stopped selling PET bottles from all vending machines at Numazu Works in December 2021. We are
reducing plastic waste by eliminating the use of PET bottles, which had previously totaled 500,000 bottles
per year.

Educational poster concerning theVending machine after cessation ofproblem of marine plastic waste

sale of PET bottles

The Biodiversity Working Group, the Four Electrical and Electronic Industry
Associations
Meidensha has participated in the Biodiversity Working Group, a group consist of four electrical andelectronic industry associations*, since its inception in FY2011. As a member of the industry, we arepromoting our biodiversity initiatives through the activities of the working group and enhancing our own
efforts.
Click here to view information on the Electronic Industry Associations Biodiversity Working Group.

* The Japan Electrical Manufacturers’ Association (JEMA), the Japan Electronics and Information
Technology Industries Association (JEITA), the Communications and Information network Associationof Japan (CIAJ), and the Japan Business Machine and Information System Industries Association(JBMIA)89

Meiden Group Sustainability 2023

HOME

Sustainability

Environment

Overview of Environmental Impacts by Our Business Activities

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 (FY2022)
Our rate of use of major resources (INPUT) and our environmental impacts from our business activities(OUTPUT) are shown below.

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HOME

Sustainability

Environment

Environmental Impact Data (FY2022) From the Four Main Manufacturing Sites (Domestic Manufacturing Sites)

Environmental Impact Data (FY2022) 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, andmanufacture of supervisory control equipment, power conversion equipment, power transformers anddistribution panels , motor control equipment(inverters), electronic products, and surge arresters,development of software for integrated control devices and standalone, and on-site installation, and aftersales service for products.
At Numazu Works, we are promoting efficient energy use through capital investment and reform ofequipment operation and are advancing replacement of SF6 gas with dry compressed air, as a measure
to reduce emissions of SF6 gas, which is a particularly potent greenhouse gas, in the product testingprocess.
Additionally, to comply with the purposes of the Building Standards Act (one water-purification tank persite) and the Private Sewerage System Act (obligation to make efforts to convert individual waterpurification tanks to combination water-purification tanks), and to avoid the risk of process wastewater
spills, a complete upgrade on the wastewater system at the plant began in FY2022. By consolidating 28
existing tanks (22 individual water-purification tanks and six combination water-purification tanks) into
one combination water-purification tank to be newly constructed, and rerouting the process piping, we willachieve safe water treatment and reduce electricity consumption with the improved operating efficiencyof the treatment facilities.
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Meiden Group Sustainability 2023

Environmental Impact Data (FY2022)

Ota Works
Message From the Environmental Manager
The Ota Works conducts development and manufacture of large electric generators, power generationequipment, dynamometer systems, and control equipment, etc.
In addition to previous environmental activities, this year, we sourced CO2-free electricity that is produced
and consumed within Gunma Prefecture and achieved zero greenhouse gas emissions from electricity
consumption. We will continue working to reduce our environmental impact and achieve the SDGs.
Ota Works, Environmental Manager, Manabu Fujikawa
Environmental Impact Data (FY2022)

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Nagoya Works
Message From the Environmental Manager
The Nagoya Works develops and manufactures logistics and transportation products and ceramic
membranes used for water treatment and has manufactured integrated motor and inverter units for EVs
since FY2020.
In FY2022, our factory for integrated motor and inverter units for EVs went into full operation, plus
production of ceramic membranes increased, resulting in higher emissions of greenhouse gases.
However, we worked to achieve efficient equipment operation, and emissions per unit of production were
improved. As the rate of decarbonization is increasing and technology for electrification, computerization,
and artificial intelligence of electric vehicles is evolving rapidly, Nagoya Works is focusing onelectrification and will continue to contribute to society through future automation of automobiles.
Nagoya Works, Environmental Manager, Tomohisa Asakura
Environmental Impact Data (FY2022)

KOFU MEIDENSHA ELECTRIC MFG. CO., LTD.
Message From the Environmental Manager
Since its foundation in 1943,

KOFU MEIDENSHA ELECTRIC MFG. CO., LTD. has been manufacturing

small and medium-capacity industrial motors and forklift motors, and has been manufacturing EV motors
since 2009.
In FY2022, our new factory for EV motors went into full operation, resulting in greater energy use.
However, we worked to achieve efficient equipment operation, and emissions per unit of production were93

Meiden Group Sustainability 2023

improved. In addition, since FY2022, we have been sourcing renewable electricity for a portion of theelectricity we use as we work to reduce greenhouse gas emissions.
KOFU MEIDENSHA, Environmental Manager, Oda Shigehiro
Environmental Impact Data (FY2022)

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HOME

Sustainability

Environment

Promotion of Environmental Communication

Promotion of Environmental Communication

PolicyThe Meiden Group engages in two-way communication with all our stakeholders, which is intrinsicallylinked to the development of our environmental activities. We also actively disclose information on our
activities and their results.
Initiatives

Initiatives
Promotion of Environmental Communication
The Meiden Group is working to create relationships of trust in order to remain to be a company that isneeded by society.
We actively release information concerning our environmental conservation activities and environmental
impact through our website. We reflect the opinions and needs expressed by our stakeholders in the
Meiden Group’s environmental activities and environmental training.
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Meiden Group Sustainability 2023

Initiatives
Endorsement and Participation in GX League
Meidensha has endorsed and participated in the Ministry of Economy, Trade and Industry’s GX League, aforum for companies that aim to achieve sustainable growth in the present and future society by taking
on the challenge of GX (Green Transformation) to achieve carbon neutrality and social transformation by
2050. Here, they can collaborate with other companies making similar efforts and with government andacademia.

The Meiden Group has set carbon neutrality and well-being as the values we provide, and we declare thatbeing a sustainability partner is our aspiration and vision for achieving the society we aim for. Our goal is
to contribute to the decarbonization of society through our products, businesses, and solutions.
At the same time, we aim to achieve carbon neutrality (net zero) in our business activities by 2050. As anintermediate step, we have set the following GHG emissions reduction targets, which we are working toachieve by FY2030: 30% reduction of emissions from business activities (Scope 1 and 2; compared to
FY2019) and 15% reduction of emissions during product use (Scope 3 Category 11; compared with
FY2019).*We believe that the vision and direction of the Meiden Group are in line with the purposes of the GX
League and we have expressed our support for the GX League concept. Moreover, we became a GX
League participating company on May 15, 2023.
We are accelerating efforts to achieve carbon neutrality in several ways. For example, by selling moreenvironmentally friendly products, we are contributing to the decarbonization of society and ourcustomers’ business activities. We are also utilizing renewable energy sources such as photovoltaic,
wind, and hydro power, and also improving energy conservation by increasing the efficiency of our
products.
* These targets were recognized by the SBT initiative as consistent with the Paris Agreement, and SBT
certification was granted in April 2021.
Medium- to Long-Term Environmental Targets at the Meiden Group

Meiden endorses METI’s GX League Basic Concept

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HOME

Sustainability

Environment

Foster Environmental Awareness

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 andenvironmentally conscious design as part of the regular curriculum for employee education, which is
conducted for each level of employee such as new employees, new managers, and candidates 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, and conduct specialist education
as necessary.
Environmental Education (e-learning) for All Meiden Group Staff
Each year, we conduct environmental education for all staff of the Meiden Group, including officers,
through e-learning. In FY2022, we gave training on Japan’s Plastic Resource Circulation Act, which went
into effect in April 2022. Of Meiden Group employees, 85.9% took the course online, and educational
materials were shared with subject employees who were unable to take the course online.
Following are examples of comments and impressions of employees who took the training.
＜Trainee impressions＞
・This was a good opportunity to learn about Meidensha’s environmental initiatives.

・This has inspired me to more actively sort my plastic waste from now on.

・

Now I hope to use less plastic at home, such as by choosing products that come without a label.

Promoting Acquisition of Certification Test for Environmental Specialists (Eco Test)® 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 January test in FY2022, our pass rate was

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Meiden Group Sustainability 2023

88%. We have 910 Eco Test certification holders as of March 2023. We will provide a bonus from FY2022
to FY2024 for people who have acquired qualifications, as part of promoting acquisition of qualifications.

* Eco Test® is a registered trademark of the Tokyo Chamber of Commerce and Industry.
Specialist Education
We conduct specialist education as necessary at each site, conduct internal auditor education, etc., foremployees that promote environmental activities or are involved with work that impacts the environment.
In FY2022, we gave training for factory staff on such topics as carbon neutrality, implementation ofchemical audits, and management of chemicals in products. In addition, we gave training on controlling
CFC emissions and on waste disposal for members of the sales division.
Education Concerning Environmental Laws
We also teach employees about environmental laws and regulations as part of compliance training. In
FY2022, we gave lectures on Japan’s Waste Disposal Act, PCB Special Treatment Act, and Water Pollution
Prevention Act. By looking at case studies of violations, we remind trainees of the importance of legal
compliance.
Environmental Management Seminars for Management-Level Employees
Each year, we invite outside experts to hold environmental management seminars for management.
Date

Theme

Instructor (affiliation, role, etc., are those at the time)

12/21/2017

Increasing expectations for environmental

Toshihiko Goto

management: ESG investment, SDGs, and TCFD

CEO of Sustainability Forum Japan

recommendations to disclose climate-related

Chairperson and executive director of Global Compact Network Japanfinancial information, etc.
12/21/2018

Toward the utilization of SDGs

Yoriyuki Numakura
Manager of KPMG AZSA Sustainability Co., Ltd.

06/21/2019

Trends in ESG investment and information

Mari Yoshitaka

disclosure: TCFD recommendations

Chief Consultant, Clean Energy Finance Division,
Mitsubishi UFJ Morgan Stanley Securities Co., Ltd.

12/11/2020

The Meiden Group’s CO2 reduction plan to achieve

Yoshihisa Niwa

SBTs

Managing director and partner of the Boston Consulting Group
Shoji Hajime
Managing director and senior partner of the Boston Consulting Group
Makoto Morihara
Principal of the Boston Consulting Group

05/26/2022

Latest trends in disclosure of corporate information

Kosuke Terasaki

concerning climate change

Senior Researcher
Sustainability Sec., Risk Management Department 3rd
MS&AD InterRisk Research & Consulting, Inc.

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Meiden Group Sustainability 2023

Results Data

Environmental Education Results (FY2022)
Content
Environmental education

Times conducted

Number ofparticipants

1

7,213

8

－

(e-learning)
Specialist education

Outline・ Japan’s Plastic Resource Circulation Act in the MeidenGroup・ Carbon neutrality training
・ Chemical audit implementation training
・ Training on management of chemicals in products
・ Group-wide internal environmental auditor training
・ CFC emissions control training
・ Waste processing training

Education concerning environmental laws

4 & shared by video

4,336

・ Laws relating to the environment
・ Examples and causes of contraventions
・ Meidensha’s compliance status
・ Management of chemical substances according to law
・ The PCB Special Treatment Act
・ The Waste Disposal Act
・ Water Pollution Prevention Act

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HOME

Sustainability

SocialSocial

Product Responsibility
Product Responsibility
Quality Policy
Quality Assurance System
Strengthening Quality Control
Connecting with Customers, Monitoring Facilities, and Supporting Peace of
Mind
Developing Human Resources to Support the Supply of High-quality Products

Supply Chain Management
Supply Chain Management
Promotion of Sustainability that Involves the Entire Supply Chain
Risk Evaluation
Building a Sustainable Supply Chain
Communication with Business Partners
Increasing Business Partners Engagement
Enhancing Group Procurement Systems (education of procurement managers)

Human Rights
Human Rights
The Meiden Group Human Rights Policy
Relief and Remedy
Promotion Framework
Initiatives for Identifying Prominent Human Rights Issues

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Occupational Safety and Health, Health & Productivity Management
Occupational Safety and Health

Health & Productivity Management

Initiatives Based on Top Management’s Safety and Health Management Policy

Health promotion: Aiming to maintain and improve the health of employees
The Meiden Group Health & Productivity Management Policy Statement

The Meiden Group Organization System for Occupational Safety and Health andMeiden Group Health & Productivity Management Strategy Map

Health & Productivity Management

The Meiden Group Organization System for Occupational Safety and Health andSupervision of Safety and Health Led by Top Management

health & productivity management

FY2022 Results

FY2022 Results of Occupational Safety and Health Initiatives

Occupational Safety and Health Management System

Health & Productivity Management Indicators (only Meidensha)

Health and Safety Risk Assessments

Health Training Attendees (Whole Group)

Safety and Health Indicators

Health Promotion Measures

Safety and Health Initiatives

Handling of International Travelers

Community
Community
Policy on Local Employment and Procurement
Social Contribution Policies
Contributions to Local Economies
Community Investment
Social Contribution Activities (Examples and Results of FY2022 initiatives)DX
DX
DX at the Meiden Group
Aggressive DX: “Transformation of Business Models
Defensive DX: “Transformation of Core Business and Business Management”
Establishment of DX Promotion Infrastructure Development of Digital Human
Resources

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Meiden Group Sustainability 2023

HOME

Sustainability

Social

Product Responsibility

Product Responsibility

PolicyQuality Policy
Basic Policy“Illuminating a more affluent tomorrow”“For customer peace of mind and satisfaction” Aspiring to continue meeting the expectations of ourcustomers and society, and to provide high-quality products and services by valuing the spirit ofcraftsmanship (Monozukuri), we will help our customers solve issues by strengthening quality
control and stepping up activities to eliminate defects.

Plan and Targets

Under Medium-term Management Plan 2024, we will promote initiatives to improve quality with thequantitative target of reducing the number of defects and the cost of rectifying defects by half in FY 2024
in comparison with FY 2020 results over four years, 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, thehead of the Quality Control Management Unit (Executive Officer, Masami Ogawa) oversees quality
management for the whole Meiden Group. The quality assurance (QA) promotion system comprises theGeneral Manager of the Quality Control Management Division, and members including the quality
assurance managers of each business unit. We engage in activities such as sharing quality information
and roll-out of policies to other business units at Company-Wide QA Promotion Committee

and eachbusiness unit’s QA Promotion Committee, 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 relevant laws, wehave created quality management systems based on ISO9001 not only for production divisions, but foreach business unit including sales divisions, technical divisions and for each Group company, with afocus 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 with stringent rules to ensureswift and appropriate action through reporting to management and sharing information with specialist
divisions, relevant divisions, and relevant business units, etc.
Response Flow for Quality Issues

ISO 9001 Acquisition Record (as of FY2022)
Eligible sites

Certified sites

Rate of acquisition

Meiden Group (Japan)

2222100.0％

Meiden Group (International)

12

12100.0％

Whole Meiden Group

32

32

100.0％

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 the aim of increasing customer
satisfaction.

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Quality Activity Cycle

Initiatives

Strengthening Quality Control
Inspecting our own operations to ensure that we do not make defective goods nor allow them to come inor go out to achieve reliable quality control.
To improve quality, the Meiden Group determines what points to control and carries out its activities
under our policy of not making defective goods nor allowing them to come in or go out.
(1) Reducing defects in outsourced and purchased products
・

Analyze any defects that surface in order to reconsider inspection standards and systems,
thereby preventing defects from getting in.

・

Support efforts to enhance management by auditing and providing instruction to subcontractors
based on the analysis results, thereby improving the quality of outsourced and purchased
products.

(2) Reducing defects from insufficient consideration and inattention
Reduce defects caused by insufficient consideration: Use design FMEA and process FMEA to better
identify risks, thereby preventing defects caused by insufficient consideration.
Reduce defects caused by inattention: Reconsider QR maps, procedures, and standards and ensurethat workers understand them, thereby preventing human error.
(3) Reducing internal defects
Analyze any defects that occur in our processes (internal defects) and ensure that corrective
measures are taken, thereby preventing defects from getting out to subsequent processes.
(4) Preventing outflow of defects
Clearly specify which tests should be conducted internally and which should be conducted on-site,and make sure they are conducted.

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In particular, under Medium-term Management Plan 2024, we analyzed the results of Medium-termManagement Plan 2020, and identified Meidensha’s weaknesses. We are overcoming our weaknesses
and promoting improvement of quality management by conducting the following activities at allcompanies.
Improvement at the Supplier Management Level
The quality of outsourced and purchased products varies widely according to the technological level ofsuppliers. We believe it is important to understand the technological level of suppliers and to provide
instruction for improvement. To that end, we conduct quality audits and instruction of suppliers, whichleads to a reduction in defects of outsourced and purchased products.
Reform of Receiving Inspection Items
In addition to improvement at the supplier management level, we conduct inspections of outsourced andpurchased products in the course of receiving inspections, and prevent flow of defective products into
internal processes. We promote optimization of inspections by comparing receiving inspection items ofeach business unit for each type of product and conducting an overall evaluation.
Identification of 3H* Risks and Response Measures
Using design FMEA, we conduct DR that clarify new points, changes, usage conditions, etc. For mass
produced products, we prevent process faults by focusing on changes in the process FMEA, which leads
to a reduction in defects. A risk map is used to assess the level of risk and create a mechanism for
efficiently identifying risks by clearly stipulating the level of DR.
*

3H: Hajimete “first time,” Henkou “change,” Hisashiburi “first case in a long time”)

Improved Quality of DR (design review)
We clearly state the levels of DR to be conducted by determining the level of risk using the risk map. For
DRs that are deemed to be especially important, we operate a “key person system” wherein experts ineach product field are nominated and asked to participate in the DR. Through DR by experts, we create anenvironment where extensive content is considered and risks can be identified, which results in highquality DR. In order to facilitate nominating and requesting the participation of experts in DR throughout
the organization, a list of registered key persons is made available throughout the company. Furthermore,
we have created and we implement and strictly manage a system of notifying managers andadministrators of remaining items so that processes do not proceed without resolving matters that have105

Meiden Group Sustainability 2023

been identified and matters that require consideration, etc., through DR by the deadline that has been set,in order to reduce the risk of defects arising from unresolved matters.
Utilizing the past defect cases
We have created and operate a system to convert information about defects that have arisen into easily
applicable knowledge and to facilitate the accumulation and application of this knowledge. We then apply
this knowledge to subsequent development and design to ensure that similar defects do not arise in the
future.
Establishing and Complying with Standards and Procedures
We manage management items and methods in each process through a Quality Control Process Chart(QC Process Chart) that we call the QR Map. By applying this QR map, we are able to ensure that all tasks
are completed and that everyone completes tasks at the same level, which enables us to reduce the riskof defects arising due to the variations among personnel. This QR map is linked to standards andprocedures to promote tasks in each process. We limit recurrence of past defects and occurrence ofsimilar defects by conducting an overall examination and revision of these standards and procedures toensure that their content relates to prevention of recurrence of defects or occurrence of similar defects.
Furthermore, we encourage filling in the Quality Control Process Chart (QC Process Chart) so that theimplementation status can be confirmed by third parties.
Preventing Outflow of Defects
We must not allow any defects to leave the Company. In order to achieve this, it is important to conduct
thorough testing. There are many products for which it is not possible to conduct all tests in-house.
Therefore, we clearly differentiate tests that should be conducted in-house and tests that should be
conducted on-site, and make sure we conduct them accordingly.
Analysis Technology to Prevent Defects for Parts and Materials
At the Materials & Semiconductor Device Analysis Center, we promote activities to improve productquality and prevent defects through analysis and reliability evaluation of semiconductor devices andmaterials 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 nondestructive 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 thepotential effects of a range of stresses such as heat, humidity, and corrosive gasses.
Also, we acquired laboratory accreditation (ISO/IEC 17025) for RoHS restricted substances in response to
the tendency to revise RoHS directives for environmental regulations, in order to provide products forcustomers to use.

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X ray transmission observation of electronic components

Evaluation of electrical characteristics of semiconductor
devices (power device analyzer)

Coexistence of Limit State Design and Product Quality
At the Analysis Center, we conduct research and development relating to improving the precision ofvibration analysis and obtaining more material strength data in order to achieve both productcompetitiveness and product quality through limit state design. If product components are made as small
and light as possible, strength can be an issue where it was not in the past. We are therefore improving
the precision of vibration analysis by conducting vibration analysis and testing of each component andwhole product. We have also introduced high-speed fatigue testing equipment to obtain more complete
strength data for materials such as copper, which is used in heavy electrical products.
For example, when conducting vibration resistant design for the switchboard of electrical equipment, weachieve reliable products by conducting vibration resistance analysis simulations from the initial design
stage, and conducting detailed evaluations of actual machine equivalent models once design iscomplete. Furthermore, we conduct evaluation of product life by comparing results of vibration analysisof rotating machinery and materials strength data.

Structure analysis of switchboard

Ultra-high cycle fatigue testing of copper

Activities to Prevent Defects in Mass-produced Products·For mass-produced EV products, we are working to thoroughly manage quality in the following ways.
(1) Manufacturing automation: Improve automation and eliminate human error(2) Image analysis: Detect missing goods, detect position of screw holes and cables, manage fastening
positions, etc.
(3) Temperature management: Manage shrink-fitting conditions and manage adhesive setting
conditions, etc.

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(4) Centralized process data management: Link with a traceability database
Expansion of Remote Product Inspection Before Shipping
Due to the impact of the COVID-19 pandemic, it has become difficult to conduct pre-shipping productinspections by customers visiting our factories, as before, so we started remote pre-shipping inspections.
At these remote pre-shipping inspections, by connecting the inspection factory via PC screen, customers
at a remote location can check the status of the inspection by viewing three screens: an image of theentire inspection site, an image of the inspector's hands taken up, and an image of the inspection
certificate. Customers can talk to on-site inspectors through an internet meeting system using a
microphone and a camera.
In addition, we established the Meiden Standard System to conduct remote pre-shipment inspections androlled out ideas and initiatives to meet the new needs of customers, such as by automatically inputting
inspection results in the inspection certificate in real time, by transmitting measurement data frommeasurement devices such as products’ external dimensions and coating thickness, etc. Going forward,
we will continue to promote expansion of products and factories, while achieving overall improvement bymanaging and rectifying issues and carrying out remote pre-shipment inspections.

Development and Introduction of Image Inspection Equipment for Surface Coating
We have developed and introduced surface coating image inspection equipment to quantitatively
investigate the quality of coated surfaces. We are able to prevent variation in quality checks by replacing
external visual inspection of metal sheets used for switchboards, etc., with image analysis that quantifies
color irregularities and roughness. For the inspection, the inspector takes a photograph of the coatedsurface of the metal sheet using a microscope that incorporates a CCD camera and an LED light. We areable to check the accuracy of the data by loading the photograph data into a PC, quantitatively measuring
the exterior of the coated surface, and acquiring the image data in real time. In the past, half of the items
that were deemed to be defective by pre-shipping inspection using switchboards and control panels only
had a defective surface coating, and were able to be shipped after recoating or polishing. By introducing
this equipment, we are able to reduce the cost of recoating and polishing because of defective surface
coating by reducing the number of defects due to quality of coating to zero. Going forward, we aim toreview conditions such as the amount of coating and time spent polishing and washing, optimize coatingprocesses, reduce cost, and shorten time, using coating accumulated evaluation data.

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Surface coating image inspection equipment

Quality Kaizen (Incremental Improvement) Activities at Overseas Subsidiaries
For overseas subsidiaries, we have introduced a mother factory system in which the domestic production
plant is in charge of starting up production and providing training guidance for overseas subsidiaries. We
provide support and guidance for overseas subsidiaries through the mother factory, which excels intechnology, development capabilities, quality control, etc., and is fully equipped with comprehensive
management capabilities for plant operations. We work to increase the competitiveness of overseas
subsidiaries and promote further globalization by actively providing support such as dispatchingengineers and managers from Meidensha and providing the required technology.

Initiatives

Connecting with Customers, Monitoring Facilities, and Supporting Peace of Mind
Meiden Customer Center
The Meiden Customer Center is the point of contact for inquiries and trouble calls for all Meiden Group
products. It responds promptly to customer situations by working closely with sales and engineering
departments, factories, and nationwide service centers. Meiden Customer Center operators are standingby 24 hours a day all year to monitor customer facilities and support their stable and optimal operation.
We also analyze the customer comments that come into the Meiden Customer Center and apply the
feedback to our craftsmanship and the services we offer to increase customer satisfaction.

Meiden Customer Center offers 24-hour support all year

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ISMS (Information Security Management System) Certification

Our remote monitoring service connects the Meiden Customer Center with Meiden Group products
installed in infrastructure facilities and renewable energy power stations. The service monitors theoperating status of customers’ facilities and, if an abnormality occurs, asks maintenance service
personnel to address the situation or even makes the first response to the failure itself. In addition,equipment operating data is collected and monitored at fixed points and centrally managed in the Meiden
Customer Center. This allows us to analyze trends in equipment abnormalities and issue periodic
diagnostic reports.
The customer center analyzes and uses data such as equipment operating information, past trouble
history, plant design information, and on-site maintenance information to develop suggestions forcustomers to help them do appropriate maintenance, lower life-cycle costs, and reduce greenhouse gas
emissions.

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Initiatives

Developing Human Resources to Support the Supply of High-quality 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 thatare 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
improvement (Kaizen), seven tools for quality control, analysis based on the five whys, and supplierengagement education, 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.

Training scene

Facility Maintenance Skill Training for Safe and worry-free Operation
At the technology center adjacent to Numazu Works, we conduct training programs for workmanship andtechnical skills maintenance engineers. We raise engineers who contribute to the stable, safe, andefficient operation of customers’ equipment through practical training using real equipment.
Instructors are veteran engineers with extensive real-world experience and the curriculum is formulated toallow participants to touch and experience actual equipment, such as extra high-voltage and high-voltage
receiving substation equipment, computers, power converter equipment, generators, and rotatingmachinery. Maintenance training is conducted each year for customers to whom Meidensha’s products
have been supplied. Participants deepen their understanding 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.
At Manabi-ya, which is the new technical training center established at Numazu Works in October 2020,
we have constructed an educational system utilizing AR(augmented reality), and are using the latest ICT
technologies, such as the experience of maintenance at virtual full-scale facilities, the visualization ofinvisible power distribution ranges, and the reference of veteran workers' working know-how to smoothly
pass on technologies in the maintenance and service fields, where actual on-site experience is required,as well as to quickly development young workers and improve technical capabilities.

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Thai university student internships (product observation)

Technical training (creating sequencing circuits forrotating machinery)Transmission of Skills Using Eye Tracking
We introduced the line-of-sight analysis tools called “Eye Tracking” and began an initiative to visualize thehand and eye movements of skilled worker who has “good intuition” and “knacks” for the purpose oftransferring the skills and knowhow of skilled worker to the next generation.
The line-of-sight analysis tools, “Eye Tracking” is glasses with built-in small cameras. When worker wears
this glasses, the central camera records the field of view and captures the movement of the hand. By
having skilled worker wear these glasses, it is possible to visualize fine hand and eye movements thatwere previously in tacit knowledge domain. Furthermore, having a skilled worker explain what ishappening on the recorded video makes it possible to elicit their criteria and other aspects of the work
and include them in manuals.

The line-of-sight analysis by Eye
Tracking

Results Data

Number of Legal Violations Relating to Quality (as of FY2022)

Meiden Group (consolidated)

FY2020

FY2021

FY2022000Quality Management Education and Training Results (FY2022 Results)

Group leader training

Times conductedParticipants

Outline1

18

Training to learn the quality control and workplace
improvement techniques required of technicalgroup leaders

ISO 9001 Internal Auditor Development

5

151

CourseTraining to learn the knowledge needed by internal
auditors to continuously improve the ISO 9001
quality management system

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HOME

Sustainability

SocialSupply Chain Management

Supply Chain Management

PolicyThe Meiden Group promotes sustainable procurement in conjunction with business partners, in order tocontribute to the realization of a sustainable society.
Whilst the Corporate Code of Conduct is based on our Corporate Philosophy, we ask all of our business
partners (suppliers) to conduct activities in accordance with our Basic Procurement Policy for CSR items
that cover all of our business endeavors.
The Meiden Group Basic Procurement Policy
All of our procurement activities are based on the Meiden Group Corporate Code of Conduct.

Actively Promoting Responsible Corporate Conduct(1) Embody our procurement principles along with our suppliers, and build a sustainable supply chain(2) Promote environmentally considerate procurement activities, and contribute to global environmental conservation along with our suppliers(3) Eliminate use of conflict minerals, which are a source of funds for armed groups that repeatedly engage in inhumane acts such as slavery, forced labor,child labor, and abuse.

Plan and Targets

The Meiden Group promotes enhanced supply chain management based on the basic policy of “Mediumterm Management Plan 2024.”
We are working to conduct fair and impartial transactions, and to improve sustainability further whilestrengthening partnerships to help business partners understand the importance of promoting
sustainability in the supply chain. Furthermore, we hope to promote legal compliance, environmental
conservation, and community contribution activities, etc., with our business partners, with the aim ofachieving mutual sustainable development.
We are continuing activities to support the acquisition of environmental management systems (EMS)
certification by our business partners and enhancing sustainability promotion by building partnerships
such as through follow-up education after EMS certification has been acquired, information security
measures, and support for health and safety measures.

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Initiatives

Promotion of Sustainability that Involves the Entire Supply Chain
Co-creation with Sustainability Partnerships
We defined the term “Sustainability partnerships” to specifically articulate the Meiden Group’s ideal form.
Sustainability partnerships fulfil the role of achieving the Meiden Group’s goals of creating personalhappiness and a sustainable global environment. Fulfilling the role of sustainability partnerships throughbusiness activities will lead to the realization of our ideal society.
When signing new contracts with suppliers, we ask them to comply with the Meiden Group Sustainable
Procurement Guidelines. These cover human rights, labor, health and safety, the environment, fair tradeand ethics (including prohibition of corruption and bribery), and other matters.
To help them understand our approach to supply chain management, we have distributed the Guidelines
to approximately 1,600 of our domestic suppliers.
The Meiden Group Sustainable Procurement Guidelines were drafted with reference to the Japan
Electronics and Information Technology Industries Association (JEITA)’s Responsible Business Conduct
Guidelines (March 2020 edition).
Dissemination and Explanation of the Procurement Policy to Business Partners“We give a copy of the Meiden Group Sustainable Procurement Guidelines to every new supplier at thestart of business.” We ask each new supplier to become thoroughly familiar with the guidelines and put
them into practice.
We directly request for our Business Partners to comply with both the Meiden Group Basic Procurement
Policy and the Meiden Group Sustainable Procurement Guidelines at the production plan explanatory
meetings held at each of our production site.
The Meiden Group Sustainable Procurement Guidelines are available in three languages: Japanese,
English, and Chinese.

Meiden Group Sustainable Procurement Guidelines (Japanese)
Meiden Group Sustainable Procurement Guidelines (English)
Meiden Group Sustainable Procurement Guidelines (Chinese)

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Response to the Conflict Minerals Issue
We have established a conflict minerals response policy, and the Meiden Group Sustainable Procurement
Guidelines clearly express our intention to address the conflict minerals issue.
Policy on Conflict Minerals Issue
In order to fulfill its corporate social responsibility through procurement activities, the Meiden Group
promotes initiatives to prevent the use of conflict minerals (tantalum, tin, gold, and tungsten) mined in the
Democratic Republic of the Congo and surrounding nations, which are used to fund armed group
activities that repeatedly engage in human trafficking, forced labor, child labor, abuse, etc., or inhumaneacts, etc.
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 FY2021*, ous year and received acceptable responses from 360 companies (94%). If the surveys revealthat 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 theirbusiness dealings. In addition, starting in FY2023, we are conducting a cobalt survey using the Extended
Minerals Reporting Template (EMRT).
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 chaintransparency.
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 cooperate with our initiatives to source
conflict-free minerals.

Promotion of Green Procurement
Based on our corporate philosophy of “contribute to people, society, and the global environment to makea world a better place to live,” we are proceeding with environmental activities in accordance with the
Meiden Group’s Environmental Action Policies. In material procurement, throughout the entire life-cycle todisposal, we try to make environmentally conscious products and reduce disposal, and engage activities
in protecting the global environment by energy-saving, resource-saving, and minimizing the use of toxic
chemicals, etc.
We view procurement of materials as part of our supply chain sustainability activities. We drafted theGreen Procurement Guidelines to clarify our policies and request even greater understanding and

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cooperation from our business partners.
We provide the Green Procurement Guidelines to domestic business partners and we request all new
business partners (100%) to disseminate and apply at the time of the first transaction.
Furthermore, by issuing sustainability surveys (environmental activities surveys), we are able tounderstand our business partners’ CSR promotion activities and environmental activities, conduct risk
assessment, and receive assistance with our sustainable procurement activities, including green
procurement.
In FY2022, we revised our Green Procurement Guidelines in light of the needs of the times. We engage
with a broad range of environmental issues that businesses need to consider, such as reducing GHG
emissions, using water effectively, and caring 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 in our activities. Please refer to the Green Procurement Guidelines (revised
July 2022) for details.
the Green Procurement Guidelines (only Japanese)

Risk Evaluation
Evaluation of Suppliers
We convey the importance of sustainability and our philosophy to our business partners, including legal
compliance, environmental protection, and community contribution, as listed in the Corporate Code of
Conduct. In addition to evaluating business partners for quality, delivery, price, capacity for technologicaldevelopment, and environmental certifications, we look at whether they are fulfilling their social
responsibility in terms of risks to the environment and social issues like human rights and labor, fair tradeprinciples, social contribution, environmental conservation, and management of chemical substances.
Through this evaluation, we work to gain an understanding of business conditions relating to social
issues such as climate change, biodiversity, environmental management, human rights, and working
environments, and then to identify suppliers which have a high-risk. Also , when we start working with new
suppliers, we conduct environmental audits on suppliers where there are high environmental risks. Thisway, we can assess and correct any risks.
We conduct appropriate, fair, and impartial procedures for all business partners through surveys relating
to sustainability promotion and environmental conservation activities at the time of the first transaction.
(FY2022 survey record: 1,711 companies)
Furthermore, we evaluate suppliers through “our business partners’ evaluation system” and issue a scorecard each year based on the results. (500 companies evaluated in FY2022)

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Survey relating to sustainability activities andMaterials procurement score card (example)

environmental conservation activities

Initiatives

Building a Sustainable 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 is compliant with the regulations
governing chemical substances in products.
In the Green Procurement Guidelines, the Meiden Group has stipulated two risk levels (prohibition andreduction) for hazardous substances regulated by laws and regulations relating to chemical substancessuch as the RoHS directive and REACH regulations. Based on this, we conduct surveys of chemical
substances contained in procured materials and expand environmentally conscious products bypromoting the elimination of hazardous substances.
* BOM: Bill of Materials
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 of environmental impact
throughout the entire supply chain.
We ask our business partners to create environmental management systems. In particular, we strongly
recommend acquiring external EMS certification such as ISO14001 and EcoAction 21.
Environmental Audits
We conduct environmental audits on suppliers. During FY2022, some audits were done remotely becauseof the COVID-19, while others were done on-site. Suppliers who did not pass the audit were asked to takecorrective measures and given a follow-up audit (seven companies). If suppliers do not yet have anenvironmental management system (EMS), we have them take part in an EcoAction 21 study session.

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Promoting and Supporting EcoAction 21 Certification and Registration for SMEs
The Meiden Group is providing support for the environmental management system, EcoAction 21
certification, promoted by the Ministry of the Environment, and registration activities of our business
partners, and aim to spread environmental management systems and environmental improvements
throughout the entire value chain. We promote green procurement, giving priority to the purchase of
products and parts from environmentally conscious suppliers. We also promote efforts to reduce GHG
emissions and pursue carbon neutrality. As of FY2022, the eighth year of the program, a total of 134
suppliers have earned EcoAction 21 certification.
We also discuss our environmental policies and carbon neutrality initiatives with our suppliers at yearly
production plan briefings and ask that they take action themselves. And working with the Organization for
Small & Medium Enterprises and Regional Innovation, JAPAN, we are working to visualize CO2 emissions.
We will continue providing support for our business partners in relation to EcoAction 21 certification andregistration activities, and aim to promote environmental management systems, environmental
improvements, and CO2 emissions reductions throughout the entire value chain.

Presentation of case studies of supplier improvements at

Organization for Small & Medium Enterprises andIndividual support by the Organization for Small &regional production plan briefing

Regional Innovation, JAPAN (Ota area) carbon neutrality

Medium Enterprises and Regional Innovation, JAPAN

implementation seminar(Numazu area)

Sharing Excellent Examples with Suppliers
We report good examples of EcoAction 21 initiatives to suppliers at regional production plan briefings.
At this year’s case study presentations, participants showed how they were able not only to makeenvironmental improvements using EcoAction 21, but also establish a committee to examine
management issues using this system. By entrusting operations to employees, they were able to build asystem where employees can examine and solve management issues on their own. Good examples areshared, which helps to motivate our suppliers.

Communication with Business Partners
The Meiden Group is conducting the following activities to build relationships with business partners.
We are directly confirming the challenges and requirements of our partners and pursuing support
activities.

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1. Gathering Real Feedback
Business Partners are regularly visited by officers of Meidensha, the head of the Procurement Group, andproduction engineering staff, who gather information such as issues and requirements, which leads toimproved functionality, quality, and productivity.
2. Seeking Procured Items on the Website
The Meidensha website has introduced “instructions for initial transactions” and “transaction applicationform” on material procurement, and we collect information on a broad range of business partners.
3. Using the Supplier Portal (web)We regularly post information about subsidies (grants, etc.) for SMEs on our supplier portal (web), andsupply information so that opportunities to update equipment, etc., are not missed.
We also contribute to the business efficiency of our business partners by creating efficiency in operations
from submission of quotations to ordering, ATP, and delivery, using paperless electronic information,
conducting conflict minerals surveys using a questionnaire, and confirmation of BCP implementation anddamage caused by earthquakes and typhoons, etc.
4. 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 order to promote appropriate
dealings. We request our business partners to report or consult with this contact point when they
discover any violation of laws and regulations, inappropriate behavior, or potential violation of laws andregulations by our employees in relation to business transactions.
Details on the management of information, protection of reporter confidentiality, response to reports, etc.,
can be found on the Procurement Group webpage. (Only in Japanese).
Initiatives

Increasing Business Partners Engagement
We aim to build sustainable relationships with our business partners, and work to increase engagementwith business partners with the basic philosophy of collaboration and co-creation. We believe that it isimportant to appropriately understand and respond to demands and expectations of the Group.
Hosting of Meidensha Partners Meeting
We host Meidensha Partners Meetings to enhance two-way communication with business partners andstrengthen relationships. The President gives messages to business partners concerning future
Meidensha policies, and awards to praise the assistance and contribution towards business activities andproduction activities. He appreciates them face-to-face, and rewards exceptional activities and results. In

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light of the COVID-19 pandemic, the President visited the award-winning business partners last fiscal year
to present the awards.

President’s message at the Partners Meeting

Commendation of superior and excellent examples at

Visit to business partner and commendation (last fiscal

Partners Meetingyear)

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

・Providing information about our various support activities to help suppliers adhere to the Sustainable
Procurement Guidelines(Compliance, human rights and labor, health and safety, environment, quality and safety, information
security, business continuity planning, etc.)

・Announcement of examples of notable improvement and sharing information to increase technicalability from business partners

・Explanation of the Meiden Group’s environmental policy and green procurement policy, and request
for cooperation from business partners

Production plan briefing (Numazu area)

Dialogue with suppliers

At a social gathering

Holding Various Seminars, etc.
We hold seminars on process improvement and information security measures at our suppliers'
manufacturing sites as needed to improve their capabilities. We hold product exchange meetings withworkplaces, where we communicate and exchange opinions with workers. In collaboration with the
Corporate DX Promotion Group, we conducted on-site checks of whether appropriate information security
measures were being taken to prevent information leaks and provided advice. Also, in terms of health andsafety, we have commenced workplace checks of our business partners using the Health and Safety

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Support Project. There are limitations within the COVID-19 pandemic; however, we are promoting ongoingsupport to the extent possible.
In FY2022, we have decided not to conduct some face-to-face activities in order to prevent the spread of
COVID-19.

Product exchange meeting

Information security instruction

Project to Support Safety & Health

Record of Seminars Held (FY2022)
Theme

Number of seminars held

Number of participating companies

Number of participants

Production plan explanatory meetings

6 seminars

176 companies

212 participants

12 seminars

18 companies

75 participants

11 seminars

11 companies

Approx. 70 participants

Times conducted (number of

Outline(Ota, Numazu, Nagoya)
Hands-on safety experience truck
education
Safety support diagnostics and education

Record of Monitoring Suppliers (FY2022)
Theme

Content

companies)
Environment

Environmental audits

10 companies

Participation in FY2023 EA21 (EMS)
by 7 companies that required
correction

Health and safety

Checking suppliers’ sites using the

9 companies

health and safety support businessNumazu area: 4 companies
Ota area: 2 companies
Nagoya & Kofu areas: 3 companies

Information security

Submission of self-diagnoses using

2,154 companies

the information security self-

Work-site checkup based on
checkup results: 6 companies

diagnosis card
BCP implementation

Investigation of impacts of natural

3 times (the number of companies

Concentrated heavy rain, COVID-19,

disasters, major accidents, andinvestigate depends on the scope ofetc.

misconduct, etc.

the investigation)

Enhancing Group Procurement Systems (education of procurement managers)
Thoroughness of Absolute Compliance and Prohibited Matters of the Procurement GroupIn order for the member of Procurement Group to behave in a proper manner, we have devised “absolutecompliance matters” and “absolute prohibitions” as a code of conduct for the Procurement Group so that
all employees reflect on their own actions and do not commit any inappropriate conduct.
We read the following items at every morning meeting and ensure that all employees know them as adaily education; legal compliance, prevention of corruption, respect for human rights, labor practices,

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consideration for the environment, quality, safety, and information security, etc.
Enhancing Group Procurement Systems
he whole Meiden Group is working to enhance procurement systems. Monthly meetings are held with theprocurement divisions of major group companies to promote initiatives for improving the procurementbase and to share information.
Initiatives to Improve Our Procurement Base・Be thorough with legal compliance・Be thorough with sustainable procurement

・Enhance risk management (BCP and internal control)・Enhance professional development

Education and Professional Development for Procurement Managers (as of FY2022)
Certified Procurement Professional qualification system

Attainment: 61％

Eco Test

Attainment: 87％

Education for new staff and reassigned personnel, etc. (FY2022)

100% attendance

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HOME

Sustainability

SocialHuman Rights

Human Rights

PolicyThe Meiden Group Human Rights Policy
Since it was founded, the Meiden Group has created and supplied a variety of technologies, products, andservices, with a focus on electrical equipment that supports social infrastructure, and contributed to thesustainable development of society.
Respect for human rights is the foundation of our business activities to realize our corporate philosophies
of “illuminating a more affluent tomorrow” and “for customer peace of mind and satisfaction.” Through its
business activities, the Meiden Group will create a joyful and sustainable society for everyone, andcomply with international human rights norms as indicated by the Meiden Group Corporate Code of
Conduct.
We will also identify, prevent, and mitigate risks and impacts relating to human rights throughout ouractivities, including in the supply chain, and endeavor to disclose our responses on an ongoing basis.
The Meiden Group Human Rights Policy (347KB)

Meidensha has signed a statement of support for the United Nations Global Compact and is registered asa participating company.
Also, for the sake of both internal and external stakeholders, we have revised the Group’s Sustainable
Procurement Guidelines, which include human rights considerations, to reduce risks to human rights inour supply chain, and distributed these to our business partners.
Meiden Group Sustainable Procurement Guidelines (536KB)

Relief and Remedy
Establishment of a Compliance Hotline
If a human rights violation occurs due to Meidensha’s businesses, employees are able to report to theCompliance Hotline, the Harassment Consultation Hotline, and the external Public Whistleblower System.
All stakeholders (including individuals, local residents, etc.) can make inquiries from outside the company
using our external helpline. The Compliance Committee investigates information that is brought to theabove points of contact, and, having confirmed the content, consults lawyers before resolving issues ifnecessary.

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Furthermore, our system effectively manages information concerning whistleblowers’ names, etc.,
protects whistleblowers, and enables anonymous consultation, in accordance with national guidelines.
We work to ensure that whistleblowers experience no disadvantage and improve the dependability of ourwhistleblower system.
Compliance Whistleblower System

Organization

Promotion Framework
Twice a year, human rights progress reports are presented to the Board of Directors and the Executive
Officers’ Meeting as part of Meidensha’s framework for promoting sustainability management. In
particular, incidents of harassment are reported at regular meetings of the Compliance Committee, which
oversees our response to them, and the nature of such incidents is also reported to management.

Initiatives

Initiatives for Identifying Prominent Human Rights Issues
Meidensha practices human rights due diligence to identify, manage, prevent, and mitigate human rights
risks in our business activities for all stakeholders. We also investigate the state of human rights using aquestionnaire for our stakeholder suppliers on their sustainability and environmental protection
initiatives.

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Schedule of initiatives to promote respect for human rights (scope: Meidensha)

Initiatives

Promoting Respect for Human Rights through Our Business Activities
Human Rights Education for Officers and Employees
The entire Meiden Group understands international norms (Universal Declaration of Human Rights andInternational Bill of Human Rights) and is working to conduct education activities focused on humanrights with the aim of ensuring “respect for human rights,” which is listed in the Corporate Code of
Conduct. We also comply with all relevant laws concerning the prohibition of forced labor and abolition ofchild labor. The Meiden Group Human Rights Policy is available in three languages (Japanese, English,
and Chinese) to ensure that it becomes ingrained in all employees, and we conduct various types oftraining as educational activities to raise awareness of fundamental human rights.
We offer periodic group training and videos (in Japanese, English, and Chinese) on compliance andharassment to raise all Group employees’ awareness of these issues. We also increase understanding
and awareness by providing opportunities for individuals to reconsider their workplace and ways ofthinking. We have also expanded anger management training for managers to include all employees.
Through the training, we raise awareness to respect the personalities and ideas of others.
To strengthen our efforts in mental health, we conduct self-care training in each region for each year of
joining the company and each age bracket, as well as line-care training for managers and supervisors.
In fiscal 2022, we invited external instructors to conduct training concerning “business and human rights”
required by companies for all officers of executive officer level or above and presidents of Japanesesubsidiaries.

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Content of Human Rights Training (FY2022)
Training type

Targets

Human rights themes dealt with

No. of persons
taking training

Workplace discussions relating to

All Group employees

Link between business and human rights

5,987

Harassment education

All Group employees

Prevention of various types of harassment

4,336

Compliance manager training

Compliance managers

Responses to consultations regarding harassment, etc.

178

Anger management training

All Group employees

Understanding and controlling anger, which can lead to2,350

human rights

harassment
Mental health training

Conducted in each region

Correct understanding and prevention of mental illness, and367

prohibition of discrimination

Regarding harassment, we have established an internal consultation system to respond promptly while
adhering to the principles of protecting the privacy and confidentiality of the user. The system is available
to Meiden Group employees as well as dispatch workers and contractors. Information obtained throughthe 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 measures and conduct individual education.
We have also included items concerning harassment in our employee awareness survey, which allows us
to observe trends each year.
Harassment prevention system

Interaction with employee representatives
We value conversations between employee representatives and management to ensure that employees
can engage in meaningful work. We have established a regular central labor-management conference andregional labor-management conferences, and we are working to improve the workplace environment
according to the circumstances of each site.
Support for a living wage
The Meiden Group not only complies with minimum wage requirements in each prefecture in accordancewith the Minimum Wages Act, but also is careful to pay at least a living wage.
We also provide a family allowance to support the lifestyles of employees who meet certain conditions
such as having spouses and children to provide for. The Meiden Group Mutual Aid Association also
provides various types of condolence, sympathy, and celebratory funds, as well 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 have saved property accumulation
residence funds eventually make a purchase.

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Initiatives on Labor Problems
In order to properly manage working hours and curb long working hours, our labor management systemcentrally monitors and manages PC log-ons and log-offs and employee ID card data stamps whenemployees arrive at and leave the office. If an employee works more than a certain number of hours, that
employee and their supervisor are asked about the employee’s working conditions, and guidance is given
to prevent long working hours and legal violations. Additionally, we hold briefings regularly on working
hours and distribute manuals internally on working hours and attendance management to improve
employee literacy on labor management. Furthermore, to encourage employees to take their annual paid
leave, we established “My Plan Annual Leave” and “Recommended Days for Taking Annual Leave” topromote employee work–life balance.
Personnel Data

Prevention of Child Labor
The Meiden Group only hires senior high school graduates and up.
Prevention of Forced Labor
We present working conditions to employees when they are hired and we take action to prevent forced
and involuntary labor.
Compliance Data

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HOME

Sustainability

SocialＤＸ

ＤＸ

DX at the Meiden Group
The Meiden Group defines DX as an effort to use digital technology and data to change the world’s
expectations in terms of existing business models (businesses and products); systems associated with
operations in general; and the knowledge, skills, mindsets, organizations, and corporate cultures of theemployees responsible for these, and thereby realize the enterprise’s desired state and vision. The Grouphas previously used digital technology to transform its business, such as IoT to visualize manufacturinglines and implementing Robotic Process Automation (RPA). Each of these efforts, however, was limited toindividual or partial optimization. Going forward, we will promote DX with a company-wide approach. This
will make our business more competitive and bring a greater impact to society. Within the DX Promotion
Committee, headed by the Executive Vice President and Executive Officer, there are four subcommittees,
each conducting specific initiatives with a different theme. Committee meeting discussions are regularly
reported to the Executive Officers’ Meeting and the Board of Directors for follow-up and supervision ofprogress.
DX Promotion Road Map

Our Ideal
Aggressive DX: “Transformation of Business Models”
The desire to “enrich society through the power of electricity” has been at the heart of the Meiden Groupsince its founding. This led us to an attitude of thinking about the rich lives and exciting societies to beenjoyed by people on the other end of our products and services. It has been the driving force behind thecreation of new value for our customers in every era.

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This desire is unchanged today, even as society rapidly changes and people’s ways of thinking are
growing more diverse. The important thing is to explore and pursue added value from the customer's
point of view, such as "Why do they buy our company products and how do they need us?", to move fromthe phase of “What can we get the customer to buy?” . Getting there will require aggressive DX. For
example, we will take previously scattered customer contact information, make it into a database, andshare it. This will not only enhance our sales of physical goods, but also expand sales of services. By
combining the two, we will develop a system to create a virtuous cycle of business.

Defensive DX: “Transformation of Core Business and Business Management”
In today's world, an enterprise’s competitive advantage depends directly on how fast it can make businessdecisions. To survive, enterprises need a system to quickly and centrally view all sorts of information thatcan support decision-making, such as business resources (people, goods, and money), project progress,
and operating status of products already delivered. We recognize that there is still room for improvementin the mechanisms for absorbing information right away and speeding up decision-making. To practice
defensive DX, we will elevate our business by centrally managing, quickly linking, and visualizing
company-wide business information. At the same time, by bringing digital innovation to our work sites
and linking data in our core businesses, we will work for the overall optimization of supply chain
management for higher productivity.

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Theme-Specific Subcommittees①Equipment and Systems Operations Transformation

・ Use of project management systems to centralize progress and cost information management inproduction processes and make efficiency improvements
・ Creation of database of customer contacts company-wide②Mass Production Operations Transformation

・ Establishment of inventory and cost management standards for mass-produced products
・ Establishment of maintenance and management standards for mass production lines③Business Model Transformation

・ Identification of product operation information especially in the Meiden Customer Center anddeployment to the service sales business④Corporate Transformation

・ Review of business management methods to reform Headquarters and factory core systems
・ Organization of corporate operations, and digital labor savings

Establishment of DX Promotion Infrastructure
Development of Digital Human Resources
A prerequisite to advancing DX is to build a foundation so that every employee takes DX personally andworks accordingly. To do so, we are developing an environment that supports the training and awarenessof employees, who will take the lead in advancing DX. Our aim is to foster a corporate culture for thedigital age. Specific training measures include continuing our existing ICT Primer and Basic Education for
new employees and in addition continuous IT skills e-learning designed for self-development. In addition,
we created new DX training for all employees starting in FY2023, providing opportunities for people tounderstand what DX is and why it is needed now. All Meidensha employees will receive DX training by
FY2024, and training will gradually expand to cover the entire Meiden Group.

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Personnel We Seek

TOPICS

Digital Lab for Co-Creation with an Agile Approach
The Digital Lab, an agile, co-creation center for creating new value, started up at Numazu Works in
October 2022. Unlike the historical approach with its emphasis on certainty and stability with littlechange, we have been working since FY2020 on an agile approach that puts greater emphasis on
responding to change and on speed and value.
The agile approach seeks to create new value by practicing close communication with customers
and stakeholders. We will accelerate the search for new value-based businesses by promoting agile
development with pilot projects, exchanging personnel and information with nearby enterprises andpartners, and using a wide range of seminars and events for internal human resources development.

The Open Space at the Digital Lab

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HOME

Sustainability

SocialOccupational Safety and HealthOccupational Safety and Health

PolicyInitiatives Based on Top Management’s Safety and Health Management Policy
The Meiden Group develops the “President’s Safety and Health Policy” and the “President’s Health &Productivity Management Policy” every year, and rolls out occupational safety and health and healthmanagement activities based on them. The President’s policies form a comprehensive code of conduct.
They cover all employees of the Meiden Group, including those working at each site and construction,
maintenance, and upkeep management business units of Meidensha and its subsidiaries as well as
personnel of our partner companies.
We have explicitly stated that ensuring the health and safety of each employee is at the core of corporate
management, and we work to eliminate industrial accidents and maintain and improve health.
◇ The Meiden Group Occupational Safety and Health Action Guidelines“Safety comes first before anything else”“Nothing is more valuable than good health”

1. Basic Policy
At the Meiden Group, employee health and safety is a core management value. We work to “ensure a safe
environment that is conducive to work, as well as achieve comfort and affluence for employees,” as itsays in our Corporate Code of Conduct, and aim to be a leading health and safety company.
2. Action Guidelines(1) Based on the awareness that ensuring safety and health is reliant on good communication, prevent
occupational accidents and occupational diseases by conducting appropriately managed workplaceenvironment reforms with participation by all employees.
(2) Comply with relevant laws including the Industrial Safety and Health Act, as well as business unit
and workplace rules relating to safety and health.
(3) Make 4M improvements to improve health and safety performance and conduct ongoing health andsafety initiatives through the Safety and Health Management System.
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(4) Identify health and safety risks in all workplaces, including near-miss incidents, and practicethorough risk assessments to eliminate or reduce risks.
(5) Use health and safety training to increase opportunities to develop a sensitivity to danger and raise
everyone’s health and safety awareness.
(6) Promote work-life balance and work style reforms.
(7) Work to improve the health awareness and health literacy of each employee.
(8) Enhance mental health promotion systems and promotion of workplaces that do not result in mental
illness.
(9) Prevent impairment of health due to smoking.
(10) Support prevention and response to ensure that employees can participate in a healthy manner for along time.
Organization

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

Supervision of Safety and Health Led by Top Management
In Japan, we comply with laws and regulations, hold monthly meetings of the Safety and HealthCommittee at each site, where we encourage participation by unions and employees, and conduct
consultation and information sharing relating to matters such as causes of and responses to industrial

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accidents, the status of employees that have taken leave due to illness, and other matters that require
attention. Also, the Central Safety and Health Committee, chaired by the officer responsible foroccupational safety and health as appointed by the President, discusses and makes decisions on mattersrelating to Group-wide policies and targets.
Results, Plan, and Targets

FY2022 Results● Results of Occupational Safety and Health Initiatives

Certification status of the occupational safety and health management system
1) Acquired ISO 45001
Area
Headquarters area

Scope
Meidensha (research and development business units, staff business units, and business units) and area subsidiaries** Area subsidiaries: MEIDEN KOHSAN CO., LTD., Headquarters / MEIDEN SHOJI CO., LTD., Headquarters / MEIDEN SYSTEMSOLUTIONS CORPORATION, Tokyo Branch / MEIDEN UNIVERSAL SERVICE LTD., Tokyo Branch / MEIDEN TECHNO SYSTEMS
CO., LTD., Tokyo Sales Office / MEIDEN AQUA BUSINESS COMPANY / M WINDS CO., LTD. / MEIDEN MASTER PARTNERSCORPORATION / MEIDEN NANOPROCESS INNOVATIONS, INC.
Numazu area

Meidensha (factories, research and development business units, staff business units), on-site affiliates** On-site affiliates: MEIDEN SYSTEM MANUFACTURING CORPORATION / MEIDEN KOHSAN CO., LTD., Numazu Branch / MEIDENSHOJI CO., LTD., Numazu Branch / MEIDEN SYSTEM SOLUTIONS CORPORATION, Headquarters / MEIDEN UNIVERSALSERVICE LTD., Numazu Branch / MEIDEN TECHNO SYSTEMS CO., LTD., Headquarters / MEIDEN PLANT SYSTEMSCORPORATION, Equipment Factory / MEIDEN FACILITY SERVICE CORPORATION / MEIDEN CHEMICAL CO., LTD., Headquarters
Ota area

Meidensha (factories, research and development business units, staff business units, Gunma Branch), on-site affiliates** On-site affiliates: MEIDEN KIDEN KOGYO CO., LTD. / MEIDEN KOHSAN CO., LTD., Ota Branch / MEIDEN FACILITY SERVICECORPORATION / MEIDEN SYSTEM SOLUTIONS CORPORATION, Ota Branch / MEIDEN UNIVERSAL SERVICE LTD.,
Headquarters
Nagoya area

Meidensha (factories, research and development business units, staff business units), on-site affiliates** On-site affiliates: MEIDEN SYSTEM SOLUTIONS CORPORATION, Nagoya Branch / MEIDEN UNIVERSAL SERVICE LTD., Nagoya
BranchKofu area

KOFU MEIDENSHA ELECTRIC MFG. CO., LTD. / MEIDENSHA CORPORATION (EV Business Planning Headquarters and EV Sales &Engineering Headquarters in Kofu, Motor Drive Solutions Business Sales & Engineering Headquarters)

Branches (including sales

Hokkaido Branch / Tohoku Branch / Yokohama Branch / Kitakanto Branch / Higashikanto Branch / Shizuoka Branch / Niigata

offices in jurisdiction)

Branch / Hokuriku Branch / Chubu Branch Office / Kansai Branch Office / Shikoku Branch / Chugoku Branch / Kyushu Branch

Plant Construction &Planning & Administration Division, Construction Management Dept. No. 1, Construction Management Dept. No. 2

Engineering Business Group
Domestic subsidiaries

MEIDEN PLANT SYSTEMS CORPORATION, Headquarters and Western Japan BranchOverseas subsidiaries

SHANGHAI MEIDENSHA CHANGCHENG SWITCHGEAR CO., LTD. / MEIDEN ZHENGZHOU ELECTRIC CO., LTD. / MEIDENSINGAPORE PTE. LTD. / PT. MEIDEN ENGINEERING INDONESIA / MEIDEN T&D (INDIA) LIMITED

Occupational Safety and Health Management System
In FY2015, the Meiden Group obtained OHSAS 18001 certification for each of the four main Japanese
production sites, Numazu Works, Ota Works, Nagoya Works, and Kofu Meidensha Electric Mfg. Co., Ltd.,
including on-site affiliates. Furthermore, MEIDEN SINGAPORE PTE. LTD. obtained certification in FY2013,
and the four remaining main overseas sites, MEIDEN ZHENGZHOU ELECTRIC CO., LTD., SHANGHAI

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Meiden Group Sustainability 2023

MEIDENSHA CHANGCHENG SWITCHGEAR CO., LTD., P.T. MEIDEN ENGINEERING INDONESIA, andMEIDEN T&D (INDIA) LIMITED, obtained certification in FY2017.
Since FY2018, we have promoted penetration of the Occupational Safety and Health Management
System to the entire Group, as well as transition to and expanded application of ISO 45001 certification
due to the need for international standards.
In FY2019, we acquired joint certification for the four main Japanese production sites (Ota Works,
Numazu Works, Nagoya Works, and Kofu Meidensha Electric Mfg. Co., Ltd. *including on-site affiliates)
under ISO 45001. In FY2020, we expanded ISO 45001 certification to Japanese workplaces other than
production sites (Tokyo office, branches) and construction business units (Plant Construction
Headquarters).
In FY2021, we plan to acquire certification for four Japanese affiliates. (MEIDEN PLANT SYSTEMSCORPORATION, MEIDEN AQUA BUSINESS COMPANY, M WINDS CO., LTD., and MEIDEN NANOPROCESSINNOVATIONS, INC.)
Going forward, we will continue to maintain and improve our occupational safety and health management
system at all Meiden Group locations.
Rate of ISO 45001 Acquisition (as of March 31, 2023)
Japan

Total number of sites
OHS Management

Number of sites that have acquired
certification

100 sites

95 sites

Proportion (%)
95%

ISO45001 acquisition

Overseas

Total number of sites
OHS Management

Number of sites that have acquired
certification

10 sites

5 sites

Proportion (%)
50%

ISO45001 acquisition

Health and Safety Risk Assessments
Conducting Health and Safety Risk Assessments
The Meiden Group conducts risk assessments to ensure a work environment where employees can workin health and safety.
We have established and are using rules and systems to manage not only workplaces that requiremeasurement of the work environment and workplaces where chemicals must be managed, but also
workplaces engaged in light tasks and office work. We use common risk assessment standards within
the Group and are systematically taking steps to eliminate and reduce risks.

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We also strive to identify sources of danger from past cases of industrial accidents and day-to-day nearmiss initiatives, where our goal is to get participation by all employees. Once the dangers are identified,
we visualize the health and safety risks in every workplace and tie them in with risk assessments. Then
we take preliminary measures and work to improve the workplace environment.
Preliminary Risk Assessment System
The Meiden Group established the preliminary risk assessment system to provide information that
benefits management decision-making. When screening business investments, a preliminary risk
assessment meeting carefully examines investments that may have a significant impact on the Meiden
Group. The system follows our Basic Policy regarding Establishment of a System to Ensure theAppropriateness of Business Activities.
During the assessment, we evaluate financial risks, responsibilities (such as product guarantees), andfeasibility (such as systems). The Corporate Policy Planning Group and the Internal Control Promotion
Division serve as the secretariat for preliminary risk assessment meetings, and their supervising officers
determine whether a meeting needs to be held. Other units involved include the General and Legal Affairs
Division, the Accounting and Financing Group, and the Sales Planning & Administration Group.
During M&A, a third-party unit performs the due diligence. Besides doing a financial investigation of thetarget company, we also evaluate it from an ESG perspective to strengthen risk management. This
includes the target’s corporate culture, legal compliance systems including human rights concerns,
compliance with environmental regulations, labor conditions, occupational safety and health, and otherfactors.
Business Activity Risk Management

Safety and Health Indicators
Occupational Safety and Health Indicators (Meiden Group)
Traffic accidents

Occupational accidents (cases)

People with absences due to illness of at(cases)Meiden GroupFY20220

4 or more days of

1-3 days of lost

Accident during

lost time

time*1work

00diseases (cases)

0(target values)
FY2022

least one month (rate of absence)* 2

Occupational

Total

Mental117 people (1.58%)

93 people (1.26%)(down 10% YoY)

(down 10% YoY)

6

1

50

0

139

102

0

0

0

0

125 people

92 people(down 10% YoY)

(down 10% YoY)

(established values)
FY2023(target values)*1

Published figures based on the counting method in Meidensha’s internal regulations (cases with at least one day of absence from work are counted)*2

Proportion of employees who were absent for a month or more

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Occupational Safety and Health Data (only Meidensha)
Item
Lost time accidents

2018

2019

2020

2021

2022

0.99

0.15

0.15

0.00

0.38

1.28

0.00

0.00

0.00

0.01

Number of fatalities*3

1

0

0

0

0

Number of lost time

4

2

1

0

4

2

0

0

0

1

frequency rate*1
Severity rate of losttime accidents*2

accidents (4 or moredays)*4
Number of lost time
accidents (1-3 days)*1“Frequency rate” indicates the frequency of casualties due to industrial accidents per 1 million gross hours of actual work.
“Severity rate” indicates the seriousness of accidents based on the number of days of lost work due to industrial accidents per thousand gross hours of actual work.
Individuals who suffer casualties on multiple occasions are counted on each occasion.

*2

Includes temporary employees and contractors.

*3

The number of injuries leading to lost time is defined as injuries with one or more days of lost time as based on Meidensha’s calculating regulations.

*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)

Number of official participants in the Combined Labor and Management Safety and Health Committee as labor delegates
Item

FY2021

FY2022

Proportion of total workers (those whose operation

0.60%

0.59%

or workplace is under organizational control) that(26 delegates/4,027 people)(24 delegates/4,039 people)

send delegates to the Combined Labor andManagement Safety and Health Committee

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Safety and Health Initiatives
Initiatives

The Meiden Group has experienced industrial accidents throughout its long history and takes various
measures to eliminate them. Measures include safety training, KYK (hazard prediction), risk assessment,
safety patrols, a health and safety management system, and hands-on safety training.
Safety Patrols to Identify Risks
The Meiden Group continues to actively conduct safety patrols, which is a long-standing practice. For
these, we depend on not only our own eyes, but also bring in health and safety consultants to provide anoutside perspective and offer their knowledge.
Since FY2021, we have been using digital equipment to conduct remote patrols from all over Japan.
Remote communication tools connect a single site (the subject of the patrol) with multiple sites andsubsidiaries. The system enhances workplace safety and health by allowing many remote observers tooffer new insights and give advice.

In addition, we launched Safety and Health Initiatives Reporting Meetings in FY2022 as a new effort toenhance safety and health in the Meiden Group. This event seeks to share information on the best safety
and health initiatives in the Meiden Group with sites and subsidiaries to create an improvement spiral in
the Group.
Each meeting includes a Group discussion, with a different theme each time. Each group shares its
opinions with all the rest to increase their motivation.

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Meiden Group Sustainability 2023

Enhancing sensitivity to danger through hands-on safety training
In November 2019, we built hands-on safety experience truck No. 2 for employees’ hands-on safety
training, which we give at production sites (Numazu, Ota, Nagoya, and Kofu). Hands-on safety experience
trucks are fitted with a VR system combined with a three-axis simulator to enable a more realistic
experience of simulated industrial accidents.
We aim to eliminate industrial accidents by enhancing employees’ sensitivity to danger through thishands-on safety training.
We also offer the VR hands-on safety training contents to parties outside the Company by subscription.
Following the March 2021 development of Metaverse Hands-On Safety Training, in October 2022 we
opened the new Metaverse Safety Promotion Center. Even trainees in remote locations can participate,
represented by an avatar. The format brings past cases of occupational injuries back to life and raises
employee safety awareness.

Safety Information Portal
The Meiden Group started operating the Safety Information Portal in 2020. This tool effectively gathers
and analyzes safety and health management information as it accumulates in the Group and uses it toimprove health and safety management (with the PDCA cycle). Currently, the system can manage
industrial accident reports, traffic accident reports, near-misses, safety patrols, risk assessments, numberof days with zero accidents, safety training, e-learning, accident frequency and severity rates, number ofaccidents per thousand persons each year, and more.
Using the system allows Group employees to easily access safety information and encourages theirsafety awareness and activities.

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Meiden Group Sustainability 2023

Safety Promotion Center Preserves Lessons from 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, when there is achange of managers in workplaces where an industrial accident has
occurred, the lessons learned from the accident fade even more
quickly.
We established the Safety Promotion Center as a place to encourage
story-telling and thinking about industrial accidents that haveoccurred.
We believe it is our mission to never turn our eyes away from the sadfacts and to keep telling our stories so that our employees and theirfamilies will never have to suffer tragedy again.
The Meiden Group strives to raise safety awareness and eliminate
industrial accidents by training the body (with our hands-on safety
experience trucks) and the mind (through the Safety Promotion
Center).
In October 2022, we developed the Metaverse Safety Promotion
Center, using virtual space to further increase employee safety
awareness.
The original Safety Promotion Center has struggled to bring in more
visitors and trainees in recent years, in part because its location at
the Numazu Works is too far for employees working at distantlocations and also because of the COVID-19 pandemic. The
Metaverse Safety Promotion Center was opened to solve theproblem.
To access the Metaverse version of the Safety Promotion Center,participants just need a VR head-mounted display. Multiple
employees, regardless of location, can gather on the Metaverse andexchange ideas with each other. The aim is to enable all employees
to participate, both at Japanese manufacturing sites and overseas
subsidiaries.

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Occupational Safety and Health Training Attendees (Only Meidensha)
Occupational Health and Safety Training Record (FY2022)

Safety experience education

Training outline

Number of times conducted

Number of participants

Training for the purpose of increasing

As required

1,009

58

597

21

2,680

14

413

sensitivity to danger
General safety and health education

Foreman education, ability
development education, etc.

Traffic safety education

In principle, held twice each fiscal
year. Held at each site

Danger Experience Seminars throughTraining for the purpose of increasingcollaboration with the Japan Industrial

sensitivity to danger

Safety & Health Association

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Meiden Group Sustainability 2023

HOME

Sustainability

SocialHealth & Productivity Management

Health & Productivity Management

PolicyHealth promotion: Aiming to maintain and improve the health of employees
In order to realize the Meiden Group’s corporate philosophy of “illuminating a more affluent tomorrow,” itis important for employees to maintain their physical and mental health, and work with vigor and purpose.
We are promoting initiatives as an organization in order to support the health of each individual, such as
sharing the belief that “nothing is more valuable than good health” with all employees and supporting
employees’ own health activities.
Through them, the Meiden Group is working to remain a leader in health & productivity management.

The Meiden Group Health & Productivity Management Policy Statement
In order to realize the Meiden Group’s corporate philosophy of “Illuminating a more affluent tomorrow,” itis important for employees to maintain their physical and mental health, and work with vigor and purpose.
We are promoting initiatives as an organization to support the health of each individual such as sharing
the belief that “nothing is more valuable than good health” with all employees and supporting employees’
own health activities. Through these initiatives, the Meiden Group is working to be a company thatenables employees and their families to live vigorous and healthy lifestyles.

(1) Promoting work style reforms to achieve work-life balance(2) Improving the health awareness and health literacy of each employee(3) Enhancing the mental health promotion system and promotion of workplaces that do not cause mental illness(4) Preventing impairment of health due to smoking(5) Promoting health examinations, health advice, and prevention support for the prevention and treatment of health issues

With the above five pillars of health & productivity management, we pledge to work towards becoming acompany that provides a healthy and vibrant social life.
Representative Director
President and Executive Officer

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Meiden Group Sustainability 2023

Meiden Group Health & Productivity Management Strategy Map*1

Indicator of a positive state of mind in relation to work (work engagement)*2

Indicator of sense of community, agreement with Meidensha’s philosophy and vision, and willingness to contribute, etc. (employee engagement)*3

Proportion of employees who took sick leave or were absent for a month or more for mental health reasons (absenteeism)*4

Employees evaluate their own work in the previous four weeks, with performance when well and uninjured acting as a baseline of 100% (presenteeism)

Organization

The Meiden Group Organization System for Occupational Safety and Health and health& productivity management

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Meiden Group Sustainability 2023

Results, Plan, and Targets

FY2022 Results
Results of Occupational Safety and Health Initiatives(1) Received 2023 Health and Productivity Management Outstanding Organization (White 500)
Certification
Meidensha was certified as part of 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 a 2023 Certified Health and Productivity Management
Outstanding Organization in the White 500 list. This is our third consecutive year on the Certified Healthand Productivity Management Outstanding Organization White 500 list.

(2) Smart Challenge Meiden Five

Meidensha has determined five health activities that we should engage in. Labelling them the Smart
Challenge Meiden Five, we are continuing initiatives accordingly.

①

Challenge 1: Taking action for passive smoking and promoting the quitting smoking program
We are continuously offering a program for quitting smoking, that can be taken online on an ongoingbasis. Although the number of participants declined to 35 (down 21 from the previous year), 35
people successfully quit smoking (up three from the previous year). Meetings were held with thestaff in charge of quitting smoking promotion at each business site to share information on thestatus of non-smoking and the program, as well as information from the health insurance and theunion, and to promote awareness and educational activities. After much consideration and many
discussions about prohibiting smoking during working hours and on Company property, we decided
to ban smoking during working hours at all Meiden Group locations starting in April 2022.

②

Challenge 2: Measures to combat lifestyle diseases – under 39
We continued to provide pre-obese under-40s with ICT health guidance programs. We provided aframework that allows a choice between a service to improve exercise habits using activity trackers
and a service to improve diet, according to the interests and needs of young staff. The number ofparticipants declined to 117 (down 41 from the previous year), and the program completion rate fell
to 58.1% (down 25.9%).

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Meiden Group Sustainability 2023

③

Challenge 3: Measures to combat lifestyle diseases – over 40
For people aged 40 and over, we conduct health guidance programs using ICT with the slogan“health guidance for the joy of achievement.” We have also introduced a new program aiming to help
employees regulate their body clocks. We provided participants with exercise guidance and diet andlifestyle improvement programs according to their preferences.

Results of measures to

FY2021

FY2022

combat lifestyle-relateddiseases

UNDER-39

OVER-40UNDER-39

OVER-40

Participants

158

200

117

270

Program completion rate

84

72

58.1

95.6

Weight loss (kg)

-1.1

-1.2

-0.5

1.3

Waist-line shrinkage
(cm)

-1.2

-1.7

-0.1

1.3

69.7

81.1

82.4

91.2

53.8

64.3

76.5

85

5.2

5.6

4.3

5.3

5.0

5.3

4.7

5.4

-0.2

-0.3

0.4

0.1

85.1

82.2

79.2

81.7

Average at completion

84.8

81.2

78.6

84.2

Presenteeism

-0.3

-1.0

-0.6

2.5

(%)
Quantitative improvements

Behavioral changes
Improved dietary
habits (%)
Improved exercise
habits (%)
Subjective wellness changes
Average score atcommencement
Average score atcompletion
Improvement insubjective wellness (%)
Presenteeism (first University of Tokyo scale)
Average atcommencement

improvement rate (%)

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Meiden Group Sustainability 2023

*1

Evaluation is conducted based on a score out of 10 for answering 10 questions relating towellness.

*2

This is an indicator of absence from work due to feeling unwell. Employees evaluate their own
work in the previous four weeks, with performance when well and uninjured acting as a baselineof 100%.

④

Challenge 4: Measures to combat cancer
To encourage women to undergo cancer screenings, we provide full subsidies for out-of-pocket
expenses for gynecological cancer screenings (cervical cancer screenings and breast cancer
screenings). We have enhanced our gynecological cancer screening system so that employees canbe screened in the health examinations conducted by the Company. The Company, health insurers,
and unions are actively promoting awareness activities, such as issuing reminders and information
concerning early detection of cancer.

⑤

Challenge 5: Promoting maintain mental health
We conduct interviews at workplaces with high health risks, encourage consultation with doctors forstressed individuals, etc., according to mental health plans. We conduct surveys of stressedindividuals regarding mental health care awareness, ensuring anonymity. Additionally, to make themost of the results of the stress checks, we held another educational campaign to remind all
employees how to read the results. In conjunction, we provide our workers with information and loanout textbooks to help them obtain the Mental Health Management® certification for the purpose of
self-care, and eight employees took the exam in FY2022.
* Mental Health Management is a registered trademark of the Osaka Chamber of Commerce andIndustry.

Health & Productivity Management Indicators (only Meidensha)
Item

FY2020

FY2021

FY2022

Participants in the program for smokers to quit smoking

108

56

35

Participants in Meiden Smart Walking

-

582

1,019

Number of Health Web Kencom members

1,700

1,764

1,798

Rate of regular health examinations

98.3

100

100

Rate of thorough examination, second examination, or treatment (%)*1

63

58

76

Rate of stress checks (%)

96.6

97.8

97.5

Rate of high stress

13.4

13.9

13.8

Rate of consultations with highly-stressed workers (%)*2

5

5

7

Work engagement*3

2.47

2.44

2.43

Average rate of utilization of leave

Listed in Smart Work 2024 labor practice targets

Average hours of overtime
Number of workers exceeding 80 hours of out of hours work (work outside of legally
stipulated hours) per monthRate of smoking (%)
Regular health examination
results (rate of conditions
discovered (%))

Obesity (BMI of 25 or over)

21.8

20.0

20.7

Male

35.0

37.0

36.7

Female

20.7

20.6

18.6

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Meiden Group Sustainability 2023

Item

FY2020Total

FY2021

FY2022

32.8

34.6

33.9

Rate of blood pressure risks*4

0.8

0.7

1.2

Proportion of workers at risk of diabetes*5

0.2

0.5

0.4

Medical expenses per person (yen)137,297

155,251

162,972

Insurance expenses per person (yen)13,66019,12017,041

Absenteeism (proportion of workers taking mental health leave or other leave (%))*6

1.35

1.45

1.58

Loss of absolute presenteeism (first University of Tokyo scale) (%)*7

17

27

29

above response rate（Percentage of total employees）

74.6

70.9

61.1

Job turnover rate (%)

Listed in labor practices results data

*1

Percentage of people who required thorough examinations or second examinations that actually received them*2

Proportion of highly-stressed workers for whom a voluntary interview with a physician was conducted*3

Indicator of a positive state of mind in relation to work. Work engagement is quantified by halving the sum of the values assigned to responses to two of the 80 items on the new job
stress survey (“I feel energized at work” and “I feel proud of my work”) on a scale of 1 to 4 points, with 1 point for “Not at all” and 4 points for “Very much.”*4

Proportion of workers with systolic blood pressure of 180 mmHg or more or diastolic blood pressure of 110 mmHg or more

*5

Proportion of workers with fasting blood sugar of 200 mg/dl or more

*6

Proportion of employees who took sick leave or were absent for a month or more for mental health reasons. Totaled for all employees.

*7

Employees evaluate their own work in the previous four weeks, with performance when well and uninjured acting as a baseline of 100%

Health Training Attendees (Whole Group)
Health Education Results (FY2022)
Number of times

Training outline
Online health seminar

Number of attendees

conducted

Session 1: Managing Your Well-being: Working at a

3

906

2

210

High Level of Productivity and Creativity
Session 2: Drinking Responsibly: How to Avoid Regrets
Session 3: The Key Facts on Cancer in Women
New employees training

Stress Management and Health Management

Holding a Health Seminar
We held joint health seminars with a health insurance association to increase the health literacy of ouremployees.
These seminars were provided online during work hours so that employees could attend more easily.
In the first half of FY2022, Takashi Maeno, a professor at the Keio University Graduate School of System
Design Management, gave a talk on “Managing Your Well-being” and in the second half of FY2022, Junzo
Uchiyama, Hospital Director of the Nanmouri Medical Clinic, discussed “Drinking Responsibly.”
We also held a women’s health seminar titled “Key Facts on Cancer in Women” (Speaker: Saori Kakurai,
CEO & Representative Director of the Wellness Life Support Research Center), which was open to male
employees as well. Survey respondents expressed appreciation for the session, with participants saying,“It was a great opprtunity as I didi’t have many chances to learn about cancer in women” or “I’m going torecommend that my family members go in for a checkup.”

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Meiden Group Sustainability 2023

Results of post-seminar questionnaire

Initiatives

Health Promotion Measures
In FY2023, we were recognized as one of the 2023 Certified Health & Productivity Management
Outstanding Organizations (White 500), we will continue to strive for the certifications and implement
measures in a timely manner while keeping an eye on the changing demands for Health & Productivity
Management.
Of the 5 pillars of health & productivity management - namely mental health measures, anti-smoking
measures, measures to prevent lifestyle diseases, including for young people, and measures to prevent
cancer – we are conducting activities that prioritize health issues that require urgent measures, which are
as follows.
1.

Enhancement of mental health promotion systems and promotion of workplaces that do not result inmental illness

2.

Prevention of impairment of health due to smoking

3.

Promotion of health examinations, health advice, and prevention support for the prevention andtreatment of health issues

We will roll out initiatives based on successes and points for improvement of Smart Challenge Meiden 5,
which we conducted last fiscal year.
We will work to improve the well-being of employees, with the belief that “nothing is more valuable than
good health,” in order to fulfill the role of a sustainability partner that contributes to the happiness ofpeople and a sustainable society.

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Meiden Group Sustainability 2023

Health measures by age group

Handling of International Travelers
Based on our health & productivity management policy, if an employee becomes infected with influenza,
said employee or a representative of said employee shall promptly lodge a report through the Influenza
Notification System and the Company shall take steps to prevent the infection from spreading such as
ensuring the infected employee will stay at home for a set period and notifying relevant divisions.
Furthermore, we provide pre-departure explanations of overseas lifestyle, medical treatment, safety, etc.,
as well as education concerning infectious diseases that are global health issues, including malaria,
tuberculosis, and HIV/AIDS, by industrial physicians for international transferees. We are conducting
initiatives such as promoting vaccinations as appropriate for the country visited, and otherwise working
to maintain health.

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Meiden Group Sustainability 2023

HOME

Sustainability

SocialCommunity

Community

PolicyPolicy on Local Employment and Procurement
The Meiden Group gains awareness of issues and forms positive relationships with communities throughlively 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 tocontribute to sustainable development in these countries and regions.
The Meiden Group is working to contribute to the economic development of countries and regions inwhich 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 the 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.
The Meiden Group’s Aims: Solving Social Issues Through Our Business
The Meiden Group aims to be a company that accepts the challenge of solving social issues by providing
new value created through its business activities, in order to achieve our ideal state of being “work tobuild a new society through integrity to the earth, society, and people, and through the power of cocreation”. Solving social issues through our core business leads to growth, and this aligns with the
Meiden Group Social Contribution Policy.

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Meiden Group Sustainability 2023

In terms of our social contribution activities, by conducting social contribution activities that are suited to
the Meiden Group, with features that leverage the skills and knowledge of employees, such as
manufacturing classes and visiting science lectures that leverage the technology and products developed
through our business, we contribute to the solution of social issues, such as lack of engineers and STEM
personnel due to children drifting away from science, and the development of local communities. We
believe that these activities will eventually lead to the building of a relationship of trust with our
stakeholders, which in the long run will lead to the enhancement of corporate value and the securing of
excellent human resources.
Initiatives

Contributions to Local Economies
Expansion of Comprehensive Water Supply Operations in Eastern Gunma Prefecture
In order to tackle a range of issues arising from aging water service personnel employed by local
governments, such as labor shortages, skills transfer, and risk management, the Meiden Group not only
designs and manufactures electrical equipment, but also offers comprehensive consignment services
that include facility maintenance, management, and operations. In April 2017, a private sector group, forwhich 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 and comprehensive projects including extension works in three cities and fivetowns in the East Gunma region. Through this venture, we were able to achieve efficient businessadministration and 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.

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 northof Thailand, which are populated by ethnic minorities, in FY2017, to celebrate Meidensha’s 120th
anniversary and the 50th anniversary of THAI MEIDENSHA CO., LTD. We donated a library and a watertank to Kalayaniwattana Secondary School, which was one of those schools. As these regions are
surrounded by mountains, it takes a long time to travel to school and many students choose to live indormitories. With this water tank to store the water that is necessary for life and this library to help
students learn, Meidensha was able to support children’s rights and business principles, improve thelearning environment for children in accordance with these principles, and contribute to the provision ofopportunities 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, conduct learning
activities, etc., and maintain connections with teachers and the local community through activities withstudents.

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Social Contribution Activities (Examples and Results of FY2022 initiatives)
Meidensha Manufacturing Classes: Teaching Children about the Joy of Manufacturing
Since FY2007, which was our 110th anniversary, we have held
Meidensha Manufacturing Classes at elementary schools locatednearby each of our sites, including Hosui Elementary School. Throughthese Manufacturing Classes, we will enable children to experience
the joy of manufacturing by having them assemble and operate toysthat incorporate motors by themselves. More than 10,000 children
have participated the activity so far. Since FY2018, we have held
Manufacturing Classes at Iwakuni Elementary School, which wasattended by our founder, Shigemune Hosui.
In FY2022, we held these classes at Iwakuni Elementary School,
Shinagawa Municipal Hosui Elementary School, and Ota Municipal
Ikushina Elementary School, with a total of 51 Meiden Group
employees and 326 children participating in them.

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Visiting Science Lectures for Junior High Schools Nearby Meidensha Sites
Since FY2017 we have held visiting lectures entitled “How does
electricity reach us?” for second-year junior high school students inthe areas around our sites, through which children can learn about
the importance of electricity through experience.
In FY2022, we conducted visiting lectures for 305 second-year
students at Shinagawa Gakuen, Shinagawa Municipal Osaki JuniorHigh School, Shinagawa Joshi Gakuin, and Ota Municipal Junior HighSchool. A total of 20 Meiden Group employees served as instructors
and assistants.
Observation at the New Skills Training Center, Manabi-ya, by local technical high school students
In December 2022, 20 local technical high school students visited Manabi-ya, the new skills training
center at Numazu Works, for an observation designed to provide students from local technical highschools with hands-on safety experience. The students visited the Manabi-ya Digital Zone, the practicaltraining area, and the study area.
Going forward, we will hold more observations for local schools and continue to provide learning
experiences for even more students.

Global Wind Day in Mitane Town, Akita
Meidensha and M WINDS Co., Ltd., which operates and maintains wind farms, hosted Global Wind Day, an
event both to thank local residents and to provide more information on wind power generation. Global
Wind Day coincided with Mitane City’s Sand Craft 2022 in Mitane on July 30 of that year.
Held for the first time in three years, the event featured a booth at Kamayahama Beach, a place forvisitors to stand directly underneath the 18 wind turbines of the Hachiryu Wind Farm, video tours of theinside of a turbine, pinwheel making, and a decorative arch of multi-colored pinwheels between turbines
for photographs. A large number of people came to the event, including local residents.

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Development of Wind Generator Maintenance Personnel Through Visiting Lectures at High Schools in
Akita
M WINDS Co., Ltd., a wind farm operation and maintenance service
company, conducted visiting lectures on maintenance for wind
power generation systems and the job of a chief electrical engineer
at two high schools in Akita Prefecture in February 2023. These
lectures were provided to high school students as part of the Akita
Prefecture Wind Generator Maintenance Personnel Education
Project, which aims to train technicians and retain young people in
the prefecture.
During the lecture, an instructor conveyed the allure of the job to thehigh school students, saying, “I’m responsible for the safety of boththe on-site technicians and the electrical equipment. It’s hard work,
but very rewarding,” and encouraged them to “start studying while
you are in high school and work to obtain certification as a chief
electrical engineer.” As momentum builds for the introduction ofrenewable energy to create a carbon-free society, the world will
expect even more from the wind power sector, so securing andtraining maintenance personnel in the future will be essential.
The M WINDS Akita Sales Office maintains its own 18 wind turbinesat Hachiryu Wind Farm, as well as 8 other regional wind turbines
owned by other companies. We are strengthening efforts to hire
employees from within Akita Prefecture and focusing on training
technicians. Going forward, we will continue to contribute to thegrowth and steady supply of renewable energy with local roots byfocusing on coexistence and co-creation with regional communities
to expand business.
Presentation of Exploratory Research at Shizuoka Prefectural Mishimakita Senior High School
Since 2019, Meidensha has been endorsing initiatives of Shizuoka
Prefectural Mishimakita Senior High School whereby students focus
on global issues and work together to try solutions, as well as
supporting their overseas training programs. Nine first-year students
were scheduled to travel to Vietnam for on-site research in FY2022,
but the travel plans had to be canceled because of the continued
threat of COVID-19, so an alternative curriculum was devised where

The presentation

they presented the results of their research at Meidensha’s
headquarters.
Three groups of students gave presentations on their research andfindings to Representative Director President and Executive Officer(at that time)Takeshi Miida, Managing Executive Officer Akio Ikemori,154

Meiden Group Sustainability 2023

and members of

VIETSTAR MEIDENCORPORATION, our local

Vietnam company, who joined the presentation remotely.
The presentations covered topics such as power generation methods
that combine the issues of power in Vietnam with food loss, menu
planning apps to address issues in nutrition and health, andalternative containers to help address the issue of microplastics, witheach team proposing innovative solutions to their social issue.
Following the presentations, the Director and other employees
offered feedback and everyone participated in an exchange of
meaningful ideas for use in future research.
Environmental Beautification Activities at Sites around JapanThe Meiden Group engages in daily environmental beautification activities such as picking up litter andmaintaining grassy areas to stay true to our mission of existing harmoniously with local communities.
Residents appreciate these long-standing beautification activities that improve awareness of employees
contributing to society and help foster a sense of unity with the community.

Ota Works Tending grass in Kanayama and Akamatsu

Numazu Works Outdoor cleaning

Results Data

Social Contribution expenditureSocial Contribution Expenditure(yen)

FY2018FY2019FY2020

FY2021

FY202238,000,000

60,000,000

35,000,000

27,000,000

28,000,000* Social Contribution expenditure includes donations and sponsorship costs.

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HOME

Sustainability

HRHR

DEI（Diversity, Equity & Inclusion）
DEI（Diversity, Equity &Inclusion）
Promoting DEI
DEI promotion road map
Seminar on Unconscious Bias

Labor Practices
Labor Practices
Basic HR Management Philosophy
Labor Practices Policy
Ensuring Fair and Impartial
Evaluation and Treatment
Work Style Reform
Creating a Fulfilling Workplace
Communication Revitalization
Initiatives
HR Data

HR Development
HR Development
HR Development Policy
Training system
Development of Personnel with
Abilities to Implement and Promote
Our Business Strategy
Developing the Next Generation ofGroup Personnel
Strengthening Career Formation and
Networking
Data

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HOME

Sustainability

HR

DEI（Diversity, Equity & Inclusion）

DEI（Diversity, Equity & Inclusion）

DEI（Diversity, Equity & Inclusion）
PolicyBy respecting diverse personalities and providing fair opportunities, the Meiden Group will work to createa workplace and culture in which all employees can work with all their heart.

Promoting DEI
Against a backdrop of social changes such as globalization of business-to-business dealings,
diversification of attitudes toward work and values of employees such as work–life balance and working
at companies that maximize individual capabilities, as well as labor changes such as female workforce
participation and increased labor participation by the elderly, Meidensha is working to eliminate factorsthat prevent participation based on specific attributes such as gender, nationality, and parenthood, andconducting activities with the goal of becoming a company that allows personnel with diverse skillsets tomaximize their abilities and ties individual growth with organizational development, in a fair culture andenvironment, based on the awareness that it is necessary to transform into an organization in which
diverse personnel can participate.
Framework

The Diversity Policy Planning & Promotion Office, established in FY2022, was renamed the DEI Policy
Promotion Office in FY2023. Moreover, we established the DEI Committee, a body that makes decisions
concerning DEI policies and measures as a whole, with the company President serving as chair and theofficers responsible for the Human Resources Management Group and promoting sustainability serving
as vice chairs. Through this framework, we are stepping up the promotion of DEI. By raising awareness157

Meiden Group Sustainability 2023

and enriching training, we will improve employee productivity and creativity and foster a rewarding
workplace culture.
We value diversity and promote DEI so that every employee, regardless of gender, gender identity, sexual
orientation, nationality, age, and the like can maximize their individual abilities and play an active role inthe company. Moreover, by respecting diverse personalities and providing fair opportunities, we work tocreate a workplace and culture in which all employees can work with all their heart.

Strategy

DEI promotion road map
The Meiden Group began working for diversity in 2013. Starting with planning various programs forbalancing work and childcare/nursing care, initiatives were undertaken by a working team in the humanresources division until 2020. The team focused on supporting diverse work styles, work style reform, andpromoting the use of human resources. We launched the Diversity Project in 2021, established theDiversity Policy Planning & Promotion Office in 2022, and renamed it the DEI Policy Promotion Office in2023 to further accelerate the promotion of DEI as a management strategy.

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Initiative

Seminar on Unconscious Bias
Many respondents to an FY2021 employee questionnaire listed unconscious bias as a factor impeding
diversity. In January 2023, we invited an outside lecturer to lead another seminar on the topic after doing
the same in 2022. On the day of the seminar, the more than 300 participants, including managers andGroup company presidents, learned that knowing about, recognizing, and dealing with unconscious bias
can help establish an organization where each individual can play an active role.
We will continue to hold various seminars to create an organization and culture that accepts diverse
human resources and allows them to play an active role.
Promotion of 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.
In March 2021, we were granted Kurumin certification, as well as Platinum Kurumin, which is granted tocompanies that conduct higher-level initiatives as companies that excel in providing childcare support, by
the Minister of Health, Labour and Welfare.
As of now, we have formulated action plans in line with the purpose of the Act on Promotion of Women’sParticipation and Advancement in the Workplace and are implementing step-by-step measures by job
level for women from recruitment through to the young and mid-career classes and management-levelclass. We are also actively taking steps to encourage male employees to take childcare leave.

Eruboshi

Platinum Kurumin

Action Plan and System to Balance Work and Childcare/Nursing Care Based on the Act on the Promotionof Women’s Participation and Advancement in the Workplace
Increasing the proportion of female new graduates hired
Issues for the Company

Enhanced hiring of female new graduates to foster the next generation of managers

Targets

Proportion of female new graduates hired

・ Continuation of 50% of general administrative hires
・ Achievement of 20% of general technical hires
Content of initiatives

We will endeavor to provide more media contents and hold seminars for women, in order to enable women toform a clear career plan at the Company.

Time of initiatives

April 1, 2022 to March 31, 2025

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Increasing the percentage of female managers
Issues for the Company

Continuous appointment of diverse human resources

Targets

Percentage of female managers

・ Target for FY2030: 12%*This is about three times the percentage in FY2022 (4.1%)
Content of initiatives

・ Assign human resources to different industries and use trainings at external organizations to enhance
experience・ Conduct detailed interviews to raise awareness of management and establish the mindset among relevant
employees
・ Use a supporting officer system to systematically train and assign young and mid-career employees

Time of initiatives

April 1, 2022 – March 31, 2030

Female officer appointment target
Issues for the Company

Development of diverse human resources at the management level

Targets

Female officer class (number of inside officers)

・ FY2024: At least 1
・ FY2030: At least 3 (of which, at least 1 executive officer)
Content of initiatives

・ Create opportunities to improve competencies and skills through top management training at external

institutions
・ Expand experience through transfer or assignment to other divisions
・ Foster self-motivation through interviews with officers
Time of initiatives

April 1, 2022 – March 31, 2030

Promoting utilization of childcare leave by employees
Issues for the Company

Increased rate of utilization of childcare leave by male employees

Targets

Achievement of childcare leave utilization rate of 100% by both men and womenContent of initiatives

We will notify employees of systems and promote understanding of superiors in the workplace in order toincrease the childcare leave utilization rate.

Time of initiatives

April 1, 2022 to March 31, 2025

Work-Life Balance Support System

・Up to 2 years of unpaid childcare leave (can be used even if the child is enrolled at a childcare 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 (4-day 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 and expanded
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)・Support for temporary childcare services (assistance with subsidies for day care center fees, etc.)

Improved Work Environment at Plant Construction Sites by Female Employees
The Plant Construction & Engineering Business Group is promoting the creation of environments whereon-site female staff can work comfortably.
Women share their opinions on points where improvements are anticipated in their daily work, and work
to improve workplace environments.
<Examples of Improvements>

・Female-only lockers have been installed, and lockers in changerooms have been changed from theprevious two-level type to a long type, so that long coats and dresses can be hung up.

・Signs that indicate who is using changerooms at a glance have been created for sites where officespace is limited and it is not possible to separate male and female changerooms.

・

Safety was increased by making helmets easier to access by placing them at a lower height.

・Placement of screens to reduce visibility has eliminated the need to worry about others whenentering and leaving restrooms. This also led to securing larger areas and creating cooler
environments away from direct sunlight.

Helmets are placed in a lower location than before.

A screen in front of a restroom

Introduction of Mandatory Retirement at Age of 65 and System to Extend Employment to Age of 75
In April 2020, Meidensha raised the mandatory retirement age from 60 to 65 years of age for all
employees. We have also raised the level of remuneration so that older employees can enjoy about thesame level of remuneration as when they were 60 years of age, depending on performance, in order tofacilitate more meaningful work for experienced senior employees.
In addition, we have established a dispatch company (MEIDEN MASTER PARTNERS CORPORATION) to
promote flexible workstyles to senior employees. For employees who wish to work reduced days/hours,

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we have established a system that allows them to transfer to Meiden Master Partners and work as
temporary employees at our office. We hope to promote successor development, improve quality, andenhance customer service by leveraging the knowledge and experience of senior employees more sothan in the past.
In January 2017, we introduced an “Elder System” that allows employees to work from the age of 65 to a
maximum of 70, and in October 2020, we raised the maximum age to 75.
Under this system, employees can continue to work after the age of 65 if they meet certain conditions,and veterans who have once retired can be rehired. Going forward, we will develop a workplaceenvironment where seniors can play an active role without worries.
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

・

October 2020: Revised the elder system (made it possible to work up the age of 75)

Initiatives to Employ People with Disabilities
We established the special subsidiary company, MEIDEN UNIVERSAL SERVICE LTD., in order to create
opportunities for people with intellectual disabilities to work, and thereafter we have been expanding thescope of employment at each manufacturing facility through branch deployment, etc. In 2015, MEIDEN
UNIVERSAL SERVICE LTD. received a commendation from the 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 FY2023, we continue aiming toincrease the number of workplaces that welcome people with disabilities and promote company-wide
hiring activities while stepping up support for those already hired and working to create an environmentthat lets each person make the most of their strengths.

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Ratio of Employees with Disabilities (Meidensha and MEIDEN UNIVERSAL SERVICE)
Item
Ratio of Employees with Disabilities

June, 2018

June, 2019

June, 2020

June, 2021

June, 2022

2.24

2.42

2.50

2.46

2.42

2.2

2.2

2.2

2.3

2.3

(%)
Statutory Employment Rate (%)

Initiative to promote understanding of LGBTQ
The Meiden Group includes correctly understanding LGBTQ people
as part of the basic policy on the promotion of understanding of
sexual minorities (LGBTQ), and is promoting the creation of anenvironment in which the sexuality and individuality of all people isrespected, and each employee is able to maximize their abilities andparticipate.
In FY2022, we issued the Meiden Group Human Rights Policy andalong with that, eliminated the question about gender on
employment entry sheets, provided basic training on LGBTQ issues,and established an LGBTQ consultation service. In October, weadded a new Meiden partnership system that treats employees’ defacto marriages (including same-sex marriages) the same as legal
marriages. We allow employees to identify as a gender that may bedifferent from what is shown on their family register.
The Meiden Group is also expanding our activities beyond thecompany by informing the public about our initiatives for the LGBTQ
community and sponsoring banners at Pride events near and far. In
recognition of these efforts, we earned the highest rating of Gold inPRIDE Index 2022, a program of an organization called “work with
Pride” that evaluates efforts to promote understanding of the
LGBTQ+ population and other sexual minorities.
In June 2023, we conducted basic LGBTQ training to promote
understanding of this population. More than 1,200 participants,
including managers and Group company presidents, attended theevent. LGBTQ persons gave presentations that drew a positive
response from participants, who said the event had changed theirperceptions.
We will continue to spread correct knowledge and understanding ofdiverse sexualities, ensure that prejudice, discrimination, andharassment based on sexual orientation and gender identity areprevented, and foster a workplace culture that enables all employees
including LGBTQ members to work enthusiastically and maximize
their abilities.

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Enabling Global Human Resources to Participate Actively
As an aspect of our effort to promote DEI, the Meiden Group employs people irrespective of nationality,and non-Japanese employees are active in various fields and occupations after joining the company. We
also take account of religious considerations (for example, providing prayer space) and support nonJapanese employees in various ways so that they can get used to work and life in Japan as soon as
possible. We also appoint their training personnel individually and provide various kinds of support toeach employee to help improve their work skills.
To further grow our business overseas, moreover, we believe it essential to appoint local staff to the roleof president at local subsidiaries. To develop candidates for this role, we are cultivating a management
mindset through periodic interviews of management candidates by the responsible officers of eachcompany. Along with this, we run coaching programs to enhance the management skills of candidates for
management.
Non-Japanese Employees Appointed to Management (Entire Group)
Target
Non-Japanese presidents of local subsidiaries

FY2024: At least 3

FY2022
1

FY2030: At least 5(of which, at least 1 executive officer)

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HOME

Sustainability

HR

Labor Practices

Labor Practices

PolicyBasic HR Management Philosophy
As issues facing our customers and society as a whole become increasingly complicated and unclear, 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 aredetermined to achieve sustainable growth by focusing on employing and developing competentpersonnel and creating an environment where each person can derive pride and fulfillment from theirwork.
In order for employees to maximize their individual strengths, it is important to promote DEI (diversity,
equity & inclusion) and create a workplace in which a diverse range of employees are given fair
opportunities and 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 the corporate value for the entire group.
See the page “DEI (Diversity, Equity & Inclusion)” for details about DEI initiatives.
DEI

Labor Practices Policy
Employment Policy
We are creating an employment framework that enables a diverse range of employees to maximize theirpotential, 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, and creating 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 that places weighton the results of both executives and regular employees in order to reform and enhance corporatecharacter, with the key word of professional development. Therefore, we have introduced management by
objectives to ensure that results are reflected in impartial treatment of employees. We hold discussions

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to mutually confirm objectives and results indicators, etc., between superiors and subordinates throughobjective-setting interviews and objective management results interviews to ensure that there is nodiscrepancy in expected results.
Furthermore, we disclose our evaluation standards through the Company’s intranet and the explanatory
leaflet issued by the trade union, we periodically hold evaluation feedback interviews for all employeesthat are subject to evaluation, and we focus on developing and fostering the abilities of individuals. In
order to ensure impartial evaluation and treatment of employees, complete understanding of theevaluator concerning the HR system and prevention of 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.

Work Style Reform
Rolling Out “Smart Work 2024” ― Toward improved work efficiency and productivity
The Meiden Group promotes reduction of work outside of regular hours and taking leave as an importantmanagement issue. We are rolling out Smart Work, which promotes reduction of annual working hours. In
FY2021, we considered the creation of a comfortable working environment for employees, and promoted
communication through a hybrid office/remote work model, and the introduction of a flex-time systemand shared offices, etc., based on the opinions of the employee survey and the working group, as part of
the Professional Development & Diversity Promotion Project. In addition, we are making work styles more
flexible and consistent with actual conditions. For example, in FY2022, we transitioned to a hybrid work
system that allows employees to decide the number of days they will come to the office or work remotely,
in keeping with their departments’ policies. Furthermore, we arranged our internal systems environment
and made work efficiency and productivity improvements to enable workers to perform the samefunctions remotely as they can in the office. We have also introduced a system of shortened working
days and hours to enable a balance of work and treatment of illnesses and are reviewing our HR system
to enable all employees, not just those providing childcare or nursing care, to stay employed longer at
Meidensha with peace of mind. Going forward, we will continue to realize improved work efficiency andproductivity by promoting flexible work-styles and digital transformation for all companies.
Vision and Target Values of “Smart Work 2024”
We will realize work styles based on legal compliance by reviewing and improving the work style itself,and eliminating working on holidays and overtime on weekdays.
People worked overtime>80 h/month
FY2024 targets

Achieved Zero

Average hours of overtime

Total actual working hours per year

19 hours/person-month

Under 1,800 hours/person* Average overtime hours, and total actual working hours per year are the average figure per person at
Meidensha and Meiden Engineering

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Total actual working hours per year

Total actual working hours per year

FY2018FY2019FY2020

FY2021

FY2022

2,027 hours/year

1,985 hours/year

1,990 hours/year

1,977 hours/year

1,959 hours/year* *Average figure per person at Meidensha and Meiden Engineering
Promoting Flexible Work Styles (Establishment of Satellite Offices)
In our Smart Work initiatives, we have been focusing on implementing strategies to improve productivity
and realize a positive workplace environment.

・September 2018: Opened satellite office at Numazu Works

・

August 2019: Complete renovation of Meiden Plaza at Headquarters

・March 2020: Opened Relaffice (“relax” + “office”) at Meiden R&D Center・

2021: Updated satellite office at Nagoya Works

This is a comfortable place to eat but is also equipped with a large projector and broadcasting
equipment, enabling use as a seminar hall for an audience of about 100. The space also functions as acompany-wide disaster response headquarters in the event of disaster.

Meiden Plaza at Headquarters. The layout is easy to use by both individuals and groups.

Satellite office at Nagoya Works. The interior offers a colorful space and seating of various types.

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 tooperate 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

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work style, it is also a system that allows both executives and general employees can work in a limited
area.
Diagram of the Personnel Treatment System

Major Initiatives
1. MBO Performance Measuring

In order to ensure high evaluation transparency, we use the MBO (management by objectives) performance measuring

Systemsystem coordinated with MAP activities*.

* Meidensha’s reform and improvement activities (MAP = Meiden Advantage Program)
2. Self-Reporting System

The self-reporting system helps employees develop personal talent and 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 23 certified personnel as Meisters from 2008 to 2022.

4. Job Rotation System

We have adopted a job rotation program to develop the abilities of our 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 forpeople that have newly joined the company through to family housing and houses for married couples. In
addition, we offer full support systems for transferees in order to 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 perk unique to Meidensha, we offer a menu of options that enhance leisure time for the purpose offamily travel or just taking a break, such as tickets for lodging and popular theme parks and company
assistance for specific services like childcare and nursing care. We aim to further enhance our programs,
for example by offering a menu of options to support work-life balance.

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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 held on holidays, suchas sports festivals, provide opportunities for employees and their families to socialize, and they havebecome regular events each year.
In FY2020, amid the COVID-19 pandemic, we collected photographs with messages written by employees,a theme song based video message to invigorate the Meiden Group, and posted it on the internal portal
site, as part of an initiative for employees to encourage each other. In FY2020 and FY2021, in the midst of
the COVID-19 pandemic, we held a remote riddle-solving event and an online sports festival as events for
employees to have a good time together and cooperate.
In FY2022, we held a softball tournament for employees in the Headquarters area, its first face-to-faceevent in three years. The more than 300 participants enjoyed building up their friendships with colleagues
they had not seen in person in a long while.
In addition, there are various other Company-endorsed cultural and athletic clubs that promote
communication among employees beyond individual workplaces and age groups.

Meiden Group Sports Festival

Online Field Day

Soft tennis club event

Cultural club event

Walking event

Softball tournament

Communication Revitalization Initiatives
Industrial relations
Meidensha has concluded a labor agreement with the Meidensha Union and we periodically exchange
opinions and conduct consultations about management policies, business conditions, and the working
conditions of employees at the Central Management Conference and the Central Staff Gathering. We arepromoting the creation of an environment where employees can securely work without interruption
because labor and management respect each other’s positions and sincerely engage in dialog.
Additionally, though not explicitly required in labor agreements, etc., Meidensha discusses and negotiates
notifications of job reassignments and transfers so that the labor union has sufficient time to explainthese to employees. That period of time varies depending on the nature of the change.

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Employee Awareness Survey
We conduct an annual employee awareness survey for all employees. Each year, the response rate isclose to 95%, demonstrating how much our employees value the survey. The survey comprises sevensections, which are “vision and management policy,” “motivation,” “career,” “management,” “evaluation
systems,” “diversity,” and “workplace environment.” The purpose of the survey is to statisticallyunderstand what employees feel about their work, working conditions, and other general company-related
information. In addition to the numerical results of the survey, we also evaluate the various measures andinitiatives 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
and opportunities for discussion of results. Information gained from survey results and exchanges of
opinion is reflected in the following year’s business unit targets.
Results Data

HR Data
Basic Data
Employees (only Meidensha)
Units
Number of employees(non-consolidated)

Domestic subsidiaries

Overseas subsidiaries

Number of consolidated
employees*1

Number of foreign
employees(non-consolidated)

Domestic subsidiaries
Number of foreign
employees

Overseas subsidiaries
Number of foreign
employees

Number of foreign
consolidated
employees*1

FY2020

FY2021

FY2022

Male

People

3,371

3,431

3,425

FemalePeople

571

596

614

Total

People

3,942

4,027

4,039

Male

People

3,056

3,242

3,287

FemalePeople

469

484

494

Total

People

3,525

3,726

3,781

Male

People

1,642

1,733

1,595

FemalePeople

358

437

401

Total

People

2,000

2,170

1,996

Male

People

8,069

8,406

8,307

FemalePeople

1,398

1,517

1,509

Total

People

9,467

9,923

9,816

Male

People21

19

25

FemalePeople

11

10

10

Total

People

32

29

35

Male

People61016FemalePeople

2

2

3

Total

People

8

12

19

Male

People

1,510

1,597

1,460

FemalePeople

354

434

399

Total

People

1,864

2,031

1,859

Male

People

1,537

1,626

1,501

FemalePeople

367

446

412

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Meiden Group Sustainability 2023

UnitsTotal

FY2020

FY2021

FY2022People

1,904

2,072

1,913

％

13.8

14.3

13.5

Male

Age

42.9

43.8

43.3

Female

Age

43.4

43.6

42.8

Total

Age

43.0

43.8

43.3

Male

Years

18.7

18.4

19.0

Female

Years

20.0

19.1

19.1

Total

Years

18.9

18.5

19.0

Male

People

973

985

968

FemalePeople404551Foreigners

People

6

5

5

Male

People

214

215

201

FemalePeople544Foreigners

People

0

0

0

Male

People

642

672

680

FemalePeople23

25

29Foreigners

People

665

697

709

Male

People35

34

36

FemalePeople111Foreigners

People

0

0

0

Male

People24

25

30

FemalePeople000Foreigners

People000Managers

％

3.95

4.37

5.00

Management positions

％

3.46

3.59

4.09

Managers of level of

％

2.28

1.83

1.95

Officers

％

2.78

2.86

2.70

Executive officers

％

0

0

0

Number of people with disabilities employed*4 *5

People

108

107

115

Rate of employment of people with disabilities*4 *5

％

2.5

2.46

2.56

Legally mandated percentage of employees with

％

2.20

2.30

2.30

Male

People75

69

69

FemalePeople

5

11

20

Total

People

80

80

89

Male

％

1.9

1.7

2.0

Female

％

0.1

0.3

3.2

Total

％

2.0

2.0

2.2

Rate of union membership

％

65.1

65.2

65.3

Annual average salary*8

Yen7,508,585

7,368,835

7,428,633

Proportion of all employees accounted for bycontractors and temporary workers
Average age

Years of employment

Number of managers*2

Managers of level ofgeneral manager orabove*2

For reference: Numberof management
personnel

Officers*2

Executive officers*2

Proportion of women*2*3

general manager orabove

disabilities
Number of employees
leaving the company(voluntary)

Rate of employees
leaving the company(voluntary)*6 *7

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Meiden Group Sustainability 2023

*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: 2.2% (2.3% from March 2021)
The number was calculated in consideration of those with severe disabilities, etc. The specific number was 75.

*6

Ratio of employees leaving the company is calculated as follows: Number of people that have 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

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, 2023)
Male

FemaleTotal

Under 30

621

140

761

30-39

695

69

764

40-49

649

145

794

50-59

1,131

227

1,358

60 or over

329

33

362

Graduate Recruits (only Meidensha)
Junior/technical

University graduate

college
Male

FemaleTotal

graduates

High school

Total

graduates/other

Joined April 2017

54

14

68

6

29

103

Joined April 2018

54

11

65

5

27

97

Joined April 2019

60

15

75

5

47

127

Joined April 2020

52

16

68

6

35

109

Joined April 2021

55

14

69

9

42

120

Joined April 2022

59

21

80

5

38

123

* University graduates includes those with master’s degrees and doctorates. Junior/technical college
graduates includes those who attended colleges of technology
Mid-Career Hires (only Meidensha)
University graduate

Other
Total

Male

Female

Total

Male

Female2016.4 －2017.3

26

2

28

5

1

34

2017.4 －2018.3

29

3

32

2

5

39

2018.4 －2019.3

28

4

32

24

7

63

2019.4 －2020.3

45

1

46

12

1

59

2020.4 －2021.3

40

4

44

10

3

57

2021.4 －2022.3

29

2

31

14

2

47

2022.4 －2023.3

39

7

46

6

3

55

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Meiden Group Sustainability 2023

Work Style-Related (only Meidensha)
Units
People taking maternity leave
Male employees whose spouses gave birth during the

FY2020

FY2021

FY2022People

6

12

17

Male

People

76

90

101

FemalePeople

5

11

18

Total

People

81

101

119

Male

People

4

7

14

32

29

57

current fiscal year*1
Female employees who gave birth during the current
fiscal year

People who took parental leave(within 1 week)

FemalePeople

5

11

18

Total

People

41

47

89

Male

％

47

40

70

Female

％

100

100

100

Total

％

51

47

75

Male

％

100

100

100

Female

％

100

100

100

Total

％

100

100

100

People taking family care leave

People300Average days of paid leave allocated

Days

23

23

23

Average days of paid leave taken

Days

15

17

18

Rate of taking paid leave

％

64

72

78

Average total hours worked per year*2

hours/year/person

1,980

1,970

1,957

Rate of People who took parental leave

Rate of return after leave of absence for child care
purposes*1

The number for men includes special leave (not legally required) for spousal maternity.

*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 that Underwent a Periodic Review of Results and Career Development (only Meidensha)
Units
Proportion of employees that receive feedback
interviews

FY2020

FY2021

FY2022

Male

％

94.9

93.9

94.8

Female

％

97.5

94.7

96.0

Total

％

95.3

95.3

94.0

Managers

％

94.6

95.6

93.6

Regular

％

95.5

93.5

93.9

％

95.3

95.3

94.0

employees
Total

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Meiden Group Sustainability 2023

HOME

Sustainability

HR

HR Development

HR Development

As society matures, people’s values are diversifying and the forms of happiness they seek and the ways
they work are changing. At Meiden Group, we see our Employees as human capital. To maximize its
corporate performance, the Group needs to enhance each employee’s abilities (A) and motivation (M) andcreate opportunities(O), and environments where all employees can play an active role. This AMO
framework is the basis of the Meiden Group’s thinking about human capital.
PolicyHR Development Policy
Transform the training system from company-led to proactivity of trainees, aiming to develop human resources with the autonomy to think and act on their own.

1.

People are the source of value creation, so we will make investment in human resources a higher
priority and make human resources a pillar of management.

2.

Learning should be proactive based on the diversity of individuals, so we will become a group of
professionals who use their individuality and talents as strengths.

Plan and Targets

We implement many training programs to encourage employee growth in different aspects as an
employee, member of society, and professional.
The Medium-Term Management Plan 2024 aims to strengthen human capital in conjunction withsustainability management, and will focus on further human resource development so that diverse
human resources can accept each other's individuality and make the most of their abilities. As part ofthis, we are promoting growth through opportunities to work with diverse personnel, such as our system
of bringing overseas local staff to Japan for study, coaching programs at overseas subsidiaries, theforeign trainee system, and the overseas assignment system.

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We are also enhancing our innovation education so that employees have the creativity and drive to try
new things without being trapped by conventional ideas and methods, and fostering an environment
conducive to innovation. For example, we are making opportunities to challenge and play an active role asa member of the Business Development Division, which recruits employees from within the company to
try creating and launching new businesses.
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 the way of thinking, skills, and practical abilities to solve management problems withthe aim of enhancing management capabilities.
Optional ProgramThis training teaches the knowledge and skills necessary for employees to achieve their own careergoals.
Technical Training
This training teaches product knowledge according to the technical level of the employee.

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Self-Development and Acquisition of Qualifications
When the prescribed correspondence course is completed, we will cover 60% of course fees or the fullamount if completed with high grades.
We provide incentives for acquiring prescribed public qualifications at the time of acquisition.
Initiatives

Development of Personnel with Abilities to Implement and Promote Our Business
Strategy
Enhancing Motivation
Meidensha strives to respect individual diversity and draw out each employee’s independence andmotivation. To that end, we have launched “My Vision/My Challenge,” an initiative for employees to reflect
on their own life vision, compare it to the company’s vision, and put into words what challenges they willtake on in the company (“My Challenge”). In FY2022, members of upper management put their “My
Vision/My Challenge” into words.
Also, the program is scheduled to be expanded to executive officers and managements, in FY2023.
Spreading the Sustainability Vision

Extensive Technical Education
Meidensha has long provided technical training to help employees acquire specialized skills and improvetheir practical abilities. However, in order to strengthen the technical skills of younger employees, wehave been providing training since 2018 for both technical and administrative staff to learn about
electricity, which is essential for understanding Meidensha's technologies and products. In FY2019, we
added ICT training, and we have been providing training on ICT fundamentals and design thinking, which
will be crucial to achieving digital transformation. The following are initiatives we stepped up in FY2022.
(1) Introducing hands-on ICT training for new employees(2) Developing textbooks for basic electricity training, by working with factory departments(3) Providing negotiating skills training for young employees in the sales and engineering departments

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Meiden Group Sustainability 2023

Acquisition and Transmission of Techniques and Skills
The technical training center Manabi-ya, located at the Numazu Works, is intended for the early
development of engineers and the passing on of technology and skills. It provides technical and skills
training, led mainly by experienced employees, and programs for the systematic training of engineers andraising the level of their work. Maintenance engineers in particular study for one year at the technicaltraining center to learn maintenance skills. The center also offers experience-based training using virtual
reality (VR), augmented reality (AR), and mixed reality (MR). We are making increasing use of these tools
for safety and technical training. In FY2022, we enhanced our VR and AR training, for example byproducing new training content on the structure of wind power generation equipment (nacelles).

Technical training center (Manabi-ya) (opened in OctoberBlackout procedure training using MR

2020)

Developing the Next Generation of Group Personnel
Systematic Development of Management Personnel
We offer the Career Development Management Program, a new training program to systematically andstrategically develop the next generation of personnel.
We aim to develop personnel that can think and act with a broad perspective and outlook that exceed thebounds 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 with people outside of theirown 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 also newly added a young employee program to selective training in order to systematicallydevelop the next generation of management personnel for the medium to long term.
In addition, by introducing the Innovation Professional Development Program for the next generation ofmanagement and having them experience different fields with various human resources development
measures, we aim to enhance their creativity by helping trainees absorb a variety of knowledge andbroaden their experience, as well as to foster an innovation mindset.

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Systematic Development of Management Personnel

We also train the general managers of each business on the knowledge and skills they need in the current
management environment. These include finance and accounting training, which is essential for accurate
decision-making, and training in unconscious bias, psychological safety, and anger management as partof promoting DEI. We also send general managers to outside seminars to build up their organizational
capabilities.
Local Staff Development
Since FY2018, 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 theknowledge necessary for top management positions in the Meiden Group. We also offer coaching
programs with the aim of organizational development, focusing on executive candidates from overseas
subsidiaries. This Group-wide interaction of personnel and creating personal connections will bring the
Meiden Group together.

Strengthening Career Formation and Networking
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, and we implement
rotation through regular interviews, etc. Having young employees experience a variety of jobs supports
early development of their ability and raises their awareness of career formation.

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Also, as people’s values grow more diverse, employees are becoming less passive about their careers andmore self-reliant. For that reason, Meiden Group established a new specialized Career Consultation
Service in FY2022. Employees of all ages are free to use the service, and we are stepping up support sothat every employee can further demonstrate their abilities and play an active role in the company.
Revitalizing the MFC Mentor System
In FY2016, 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. We refer mentors as “seniors” and mentees as “juniors.” We also
have groups consisting of multiple pairs, which we call them “families,” that create bonds that go beyond
divisions and business units. We provide further impetus to activities by holding social events forfamilies, and by establishing a Promotion Committee for young employees to plan and implementcompany-wide activities.
Composition of MFC Families

Results Data

Data
Number of Participants in Each Type of Training(Total participants)
Training TypeFY2019FY2020

FY2021

FY2022

Hierarchical program

2,181

2,463

2,569

2,672

Selective program

123

130

135

136

Optional program

314

147

409

2,357

Technical training

934

1,090

1,603

1,231

Education conducted by

8,049

7,111

10,09625,125

11,601

10,941

14,812

31,545departments
Total

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Meiden Group Sustainability 2023

Data Concerning Professional Development
Item
Total expenses of education

FY2019FY2020

FY2021

FY2022

104,590,000 yen

114,500,000 yen

133,428,000 yen

151,648,000 yen

48,385 hours

51,583 hours

56,050 hours

78,686 hours

and training*1
Total hours of education andtraining*2*1

Company-wide total, including expenses for training conducted by each department. Excludes personnel expenses for trainers and management and administrative expenses fortraining facilities, etc.

*2

Training days x designated work hours x number of participants (training conducted by the HR Department. Excludes OJT and remote training).

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HOME

Sustainability

Corporate GovernanceCorporate GovernanceCorporate GovernanceCorporate Governance
Basic Approach
Corporate Governance Structure and Initiatives
Directors’ Compensation
Board of Directors & Executive Officers as of July, 2023

Risk Management
Risk Management
Basic Approach
Risk Management Relating to Business Activities Preliminary Risk Assessment
Business Continuity Plan (BCP)BCM Promotion System
Strengthening Information Security Management

Compliance
Compliance
Compliance Policy
Compliance System
Whistleblower System on Compliance
Initiatives to Avoid Infringement of Human Rights
Compliance Training
Anti-corruption Measures
Tax
Compliance Data

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Meiden Group Sustainability 2023

Dialogues with Shareholders and Investors
Dialogues with Shareholders and Investors
Basic Approach and the IR & SR System
Results Briefings
Sustainability Briefings (ESG Briefings)
Individual Business Briefings (Small Meetings)
Initiatives for Individual Investors
Main IR & SR Activities in FY2022
Opinions of Analysts and Institutional Investors
Results of Conversations with Stakeholders

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Meiden Group Sustainability 2023

Home

Sustainability

Corporate GovernanceCorporate GovernanceCorporate Governance

PolicyBasic Approach
Under our Corporate Mission of “illuminating a more affluent tomorrow” and our Corporate Philosophy ofproviding value“ for customer peace of mind and satisfaction,” our group has set forth our Ideal State ofBeing/Vision for 2030 as “Work to build a new society through integrity to the earth, society, and people,
and through the power of co-creation – Sustainability Partner –.” Our group takes the basic stance that
we maintain fair and steady business activities with respect for people and the global environment,
operate businesses focusing on profit while constantly pursuing new technology and high quality, andendeavor to give back to society.
In order to implement this basic stance, we formulated the “Basic Policy to Improve the Governance toSecure Fair Business Practices” at the regular Board of Directors meeting held in May 2006. In addition,
we revised this basic policy at the regular Board of Directors meeting held in July 2022, as a result of arevision of the officer system to further clarify the division of roles between executive functions(executive officers) and so-called supervisory functions (directors and the Board of Directors).
We will work to further improve the fairness, efficiency, and transparency of management by promoting
initiatives to enhance corporate governance in accordance with the Corporate Governance Code.
Basic Policy on the Corporate Governance Code
Meidensha will work to further improve the fairness, efficiency, and transparency of management bypromoting initiatives to enhance corporate governance in accordance with the Corporate GovernanceCode.
i. Ensuring shareholder rights and equality
We will work to establish an environment where shareholders can exercise their rights appropriately andwe will actively disclose information to this end, thereby ensuring shareholder rights and equality.
ii. Appropriate cooperation with stakeholders other than shareholders
In order to achieve our Group’s sustainable growth and enhance its corporate value over the medium tolong term, we will disclose appropriate information and engage in dialogue with our various stakeholders,
including customers, suppliers, and members of the local community.

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iii. Disclosing information appropriately and ensuring its transparency
We will make timely disclosures of information in accordance with laws and regulations and will also
disclose information on the status of our company, including non-financial information, in a timely andappropriate manner through media that are widely accessible to stakeholders (our websites, integrated
reports, and other publications).
iv. Obligations of the Board of Directors
Based on the Meidensha Group Corporate Philosophy, the Board of Directors will formulate medium- tolong-term management plans and strive to enhance the medium- to long-term corporate value of ourGroup by making decisions and supervising business execution in the implementation of these plans.
As a company with an Audit & Supervisory Committee, we strive to improve the supervisory function of
the Board of Directors. In addition, we will further promote separation of supervisory and executivefunctions by utilizing the executive officer system, which was introduced in June 2003 and revised toenhance its legitimacy in June 2022 to state that the Board of Directors makes appointments grounded in
the Articles of Incorporation.
v. Dialogue with shareholders
Our policy is to ensure that senior management respond within reason, when engaging in dialogue withshareholders who wish to create that dialogue to help enhance our corporate value over the medium tolong term.
In addition, as a prerequisite for this dialogue, we will endeavor to provide more opportunities for various
briefings and IR/SR interviews and offer enhanced information disclosure through our websites,
integrated reports, and other publications.

Organization and Initiatives

Corporate Governance Structure and Initiatives
We are a company with an Audit & Supervisory Committee, and we aim to further strengthen corporate
governance in the following areas.
(a) We further enhance the supervisory functions of the Board of Directors through use of legal authority, such as directors that are Audit & Supervisory Committee
Members holding voting rights at meetings of the Board of Directors and having the right to present a position statement relating to nomination andcompensation of directors at General Shareholder’s Meetings.
(b) We further enhance discussions on management strategies, etc. by transferring the Board of Directors’ meeting to a monitoring type, since a portion of theBoard of Directors' authority to make decision on business execution has been transferred to the Director & President and Executive Officer (Executive Officers’
Meeting).
(c) We aim to further promote separation of supervisory and executive functions by making changes to increase legitimacy in June 2022, and combining it with thetransfer of authority mentioned in (b) through the introduction of an executive officer system in June 2003, and a system for election of executive officers who
are responsible for a flexible and agile business execution system by the Board of Directors, based on the Articles of Incorporation.

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Meiden Group Sustainability 2023

Corporate Governance Structure

Outline of Corporate Governance Structure
Form of Organization

Company with an Audit & Supervisory Committee

Directors

Number of directors (outside directors): 7 (3)Directors (Audit & Supervisory

Number of directors (outside directors): 4 (3)Committee Members)
Number of Independent Officers

6 (3 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 asnecessary, to discuss major executive matters, business issues, and management issues related to the
our business execution. In FY2022, the Board of Directors held 13 meetings, and the attendance rate was
100% for all directors.
The specific composition of the Board of Directors and meeting attendance in FY2022 are described
below in “Composition of the Board of Directors, Nomination & Compensation Committee, and Audit &Supervisory Committee and Attendance in FY2022” below.
① Composition of Board of Directors

Our Board of Directors consists of 11 directors, including 4 who are Audit & Supervisory Committee
members. The 11 directors also include 6 outside directors (of which 3 are members of the Audit &Supervisory Committee). The 6 all satisfy the requirements for independent directors as defined by the
Tokyo Stock Exchange and our Criteria for Determining the Independence of Outside Directors. Thismeans that independent outside directors make up a majority of the Board of Directors, ensures theeffectiveness of the supervisory function of the Board of Directors, and ensures that objective andindependent opinions are fully incorporated into the company’s management.
It is the basic policy to ensure the diversity of the Board of Directors as a whole based on the abilities,
insight, and experience of individual directors and to assign appropriate human resources that contributeto the enhancement of our corporate value. It is also our policy to ensure the diversity and balance of the

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Audit & Supervisory Committee as a whole based on the knowledge and experience of accounting,financial, and legal matters etc., of directors who are members of the Audit & Supervisory Committee. Thebalance of expertise, knowledge, experience, etc., is as described in the Board of Directors’ Skill Matrix
below.
Composition of the Board of Directors, Nomination & Compensation Committee, and Audit & Supervisory
Committee and Attendance in FY2022(period: April 1, 2022–March 31, 2023)
Nomination &NamePosition (as of March 31, 2023)

Board of Directors

Compensation

Audit & Supervisory
Committee

Committee
Yuji Hamasaki

Director & Chairman & Senior Officer

13/13

12/12

－

13/13

12/12

－

13/13

－

－

Chairperson of the Board of Directors,
Member of Nomination & Compensation Committee
Takeshi Miida

Representative Director & President & Executive
OfficerMember of Nomination & Compensation Committee

Norio Takekawa

Representative Director & Executive Vice President &Executive Officer

Masayuki Iwao

Director & Senior Managing Executive Officer

13/13

－

－

Hiroyuki Takenaka

Outside Director

13/13

12/12

－

13/13

12/12

－

Chairman of the Nomination & Compensation
Committee
Yoshiaki Shin

Outside Director
Member of Nomination & Compensation Committee

Hiroji Adachi

Outside Director

10/10

－

－

Michihiko Kato

Director (Standing Audit & Supervisory Committee

13/13

－

16/16

13/13

10/10

16/16

10/10

－

13/13

10/10

－

13/13

Member)Chairman of the Audit & Supervisory Committee
Keiko Hayashi

Outside Director (Audit & Supervisory Committee
Member)Member of Nomination & Compensation Committee

Takashi Kuroda

Outside Director (Audit & Supervisory Committee
Member)

Hideki Hiraki

Outside Director (Audit & Supervisory Committee
Member)Note: Attendance at meetings of each body is shown as “Attended/held”② Activities of the Board of Directors

The Board of Directors considers “matters for discussion” in addition to matters to be resolved andreported. ”Matters for discussion” includes following the progress of and tracing matters related to basic
management policies such as the Medium-term Management Plan and important management themes.
At their meetings, directors actively exchange opinions on our management issues and strategies and on
corporate governance, while drawing on the knowledge of the outside directors. The Board of Directors
use the meeting as a forum to reach consensus on the direction of us in the conceptual and planningstages prior to making a board resolution.

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Major topics discussed by the Board of Directors in FY2022 included the following.
■Strengthening the supervisory function of the Board of Directors

The Board of Directors discussed this issue with the aim of further strengthening its supervisory function,
as found in the FY2021 board effectiveness evaluation. In addition, an outside attorney gave a training on
the role of the Board of Directors and outside directors and the exercise of their functions. Directors also
met several times outside of formal Board of Directors’ Meetings to trade opinions.
The following measures have been taken as a result of the Board’s discussions and deliberations.
・

Improved advance explanation of agenda items of the Board of Directors
The Executive Vice President & Executive Officer attends the explanatory meeting for outside
directors to share information on overall business execution as it relates to agenda items of theBoard of Directors and executive officers in charge provide explanations to resolve questions on
individual operations related to agenda items in advance, we make an improvement that helps
stimulate and enhance discussions and debates at Board of Directors’ Meetings.

・

Participation in discussions at the conceptual and planning stages
The FY2023 profit plan was discussed at a Board of Directors’ Meeting at the stage where policy wasforming. Directors discussed setting optimal profit targets and investment plans to enhance
corporate value. The profit plan is decided at a meeting of the Board of Directors after it is reviewed
by the business execution organization based on discussions.

・

Improved agenda setting
It was suggested that to strengthen the supervisory function of the Board of Directors, it is important
to strengthen Board of Directors agenda setting based on each director’s understanding ofmanagement issues. Previously, the annual schedule of Board of Directors meetings was preparedbased on the opinions of the directors and confirmed at each Board of Directors’ Meeting. Starting in
FY2023, the agenda of board meetings will be discussed and deliberated on a regular basis as a new
agenda item itself. The aim is to strengthen agenda setting and further reinforce the supervisory
function of the Board of Directors.

■Progress of Medium-term Management Plan 2024 in each business and strategies to achieve its objectives

The Board of Directors discussed several topics intended to monitor the progress of Medium-termManagement Plan 2024 and supervise strategies to achieve its objectives. The Board of Directors
discussed the situation and strategies in each business, especially measures to cope with rising
component prices, collaboration between businesses (especially between the product sales andmaintenance service businesses), and growth strategies beyond Medium-term Management Plan 2024.
■Promoting sustainability management

The Board of Directors’ Meeting discusses the progress of the meeting of the Sustainability Management
Strategy Committee (chaired by the President & Executive Officer) as part of supervision of sustainability
management, which is a basic policy of Medium-term Management Plan 2024. It also discusses thestatus of human capital initiatives.

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③ Participation of Outside Directors in Board of Directors’ Meetings■Participation in the agenda

Our outside directors have diverse management experience and areas of specialization, understand thecontent of the proposals put before the Board of Director’s Meeting from a variety of perspectives when
said matters are explained in advance, and attend Board of Directors’ Meetings having checked any
unclear points in advance.
At Board of Directors’ Meetings, multifaceted discussion occurs, based on the broad perspective ofmanagers, the knowledge of technicians, and the high-level specialization of experts, etc. The outside
directors participate in deliberations by actively making statements, etc., in particular concerning policies
and measures to deal with risks, and cautions when monitoring, etc.
■Training for New Outside Directors

We create opportunities to explain our business and structures, primarily to aid the understanding of
newly appointed outside directors.

The responsible officers or managers in charge of the businessgroup explain their business, group-wide themes, and our governance system to the outside directors,
answer their questions, and exchange opinions with them.
(2) Effectiveness Evaluation of the Board of Directors
Meidensha has a mechanism in place to conduct an analysis and evaluation of the effectiveness of theBoard 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 FY2022, all members of the Board of Directors,
including outside directors, conducted self-evaluations of the effectiveness of the Board of Directors, andthe following discussions took place at the meeting of the Board of Directors, in order to revitalize
deliberations by the Board of Directors.
An overview of the analysis, evaluation, and discussions is as follows.
① Major issues and status of efforts to increase effectiveness as discussed in previous fiscal year
Major issues in FY2021

Status of efforts in FY2022(1) Ensure greater diversity and skills balance among directors

Starting with the Notice of Convocation of the 159th Ordinary General Meeting of Shareholders,
disclosing “Skills Required to the Board of Directors and the Reasons”(2) Explore monitoring-type Board operations, including the use

Participating in discussions at the conceptual and planning stagesof Board of Directors meeting agenda items(3) Further strengthen information sharing with outside

Improving advance explanation of agenda items of the Board of Directors and improving agenda

directors

setting② FY2022 analysis and evaluation
1

Formulation of questionnaire

The Chairman and Secretariat of the Board of Directors formulate a questionnaire (11 questions,
all descriptive) on the status of the Board of Directors’ initiatives and their effectiveness, basedon the issues identified in the discussions of the effectiveness evaluation of the previous year,
the status of the response to them and evaluation, and new issues found by the Board of
Directors in FY2022.

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2

Conducting of questionnaire survey

All 11 directors are asked to fill out the above questionnaire in April 2023.

3

Discussions at Board of Directors meeting

At the May 2023 Board of Directors meeting, all directors discuss the results of the evaluation of
the effectiveness of the Board of Directors (Matters for Discussion by the Board of Directors),
based on the results of the responses to the questionnaire received from each director. The
FY2023 analysis and evaluation results are compiled to determine whether the Board of
Directors is effective.

4

Analysis and evaluation results

Results of questionnaire evaluation from each director are summarized and discussed by themembers of the Board of Directors, and the opinions are summarized as follows.

・ The composition of the Board of Directors and its deliberation time and operating methods
are appropriate.
・ The quality of the content of deliberations (agenda setting and discussion by directors) has
been enhanced.
・ Opinions and advice from outside directors have been adequately received, and follow-up

on these has improved since last year.
Based on the above, we have judged that our Board of Directors is effective.

[Effectiveness evaluation items (questionnaire items)]①

Composition, deliberations, and operations of the Board of Directors (size, independence, diversity, content of deliberations, deliberation time, and operating
methods)②

Ensuring the effectiveness of the Board of Directors (is the monitoring-type Board of Directors functioning?)③

Self-evaluation (securing time required for duties, demonstration of expertise, inside: awareness of management and supervisory perspectives, outside:supervision from an independent standpoint)④

Reorganization of Board of Director’s mMeeting agenda items and supervisory function (how execution and supervision should be further separated)⑤

Other (free description)

Issues and Future Initiatives
Major issues in FY2022

Initiatives in FY2023(1) Improve board meeting agenda setting to further the Board of Directors’

Enhance information sharing with outside directors, link agenda setting with thesupervisory function

Executive Officers’ Meeting, and hold discussions within the Board of Directors
with an awareness of the active involvement of outside directors.

(2) Organize delegation of decisions of important business execution

To organize what is being delegated, we will first organize the monitoring
function of the Board of Directors and seek a common understanding of thesupervisory function of directors that should exist in a company with an Audit &Supervisory Committee.

(3) Establish a system on the execution side

The content of deliberations and operating methods of the Executive Officers’
Meeting will be organized and linked to efforts to improve Board of Directors
operations to enhance effectiveness.

Based on the above, we will continue working to increase the effectiveness of the Board of Directors.

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(3) Nomination & Compensation Committee
Meidensha has established a voluntary Nomination & Compensation Committee as an advisory body to
the Board of Directors. Its purpose is to ensure management transparency and strengthen accountability
regarding nominations (appointments and dismissals) and compensation of directors.
The specific composition of the Nomination & Compensation Committee and meeting attendance in
FY2022 are described in “Composition of the Board of Directors, Nomination & Compensation
Committee, and Audit & Supervisory Committee and Attendance in FY2022” above.
■Activities of the Nomination & Compensation Committee in FY2022
Month & year
April 2022

Activity

・ Consideration of directors’ composition in organization of the Nomination & Compensation Committee, etc.
(Including revisions to Articles of Incorporation and related rules)
・ FY2021 officer compensation report

May 2022

・ Report on estimated director’s compensation in FY2022
・ Consideration of interviews between candidates for the next management personnel (executive side) and Nomination &Compensation Committee members
June 2022

・ Confirmation of agenda and dates of Nomination & Compensation Committee meetings for FY2022
・ Consideration of interviews between candidates for the next management personnel (executive side) and Nomination &Compensation Committee members

July 2022

・ Consideration of reviewing director’s compensation system, such as performance-linked (incentive) ratios
・ Consideration of composition of Board of Directors and requirements for outside directors, etc.

August 2022

・ Consideration of composition of Board of Directors

September 2022

・ Consideration of reviewing director compensation framework for FY2023 and beyond
・ Consideration of reviewing director’s compensation system, such as performance-linked (incentive) ratios

October 2022

・ Consideration of director appointments for FY2023

November 2022

・ Consideration of director appointments for FY2023
・ Consideration of executive-side nominations taking account of FY2023 organizational system

December 2022

・ Consideration of director appointments for FY2023
・ Consideration of executive-side nominations taking account of FY2023 organizational system
・ Consideration of reviewing director’s compensation system, such as performance-linked (incentive) ratios

January 2023

・ Consideration of executive-side nominations taking account of FY2023 organizational system

February 2023

・ Consideration of reviewing the Board of Directors’ skills matrix

March 2023

・ Consideration of reviewing director compensation framework for FY2023 and beyond
・ Consideration of reviewing director’s compensation system, such as performance-linked (incentive) ratios
・ Consideration of reviewing Board of Directors’ skills matrix(4) Board of Directors Selection Policy and Appointment and Dismissal Process
The number of directors is set at no more than 15 to allow sufficient discussion of management issues.
(10 Directors who are not Audit & Supervisory Committee members and five who are)Based on the basic policy for ensuring a balance between the diversity of the Board of Directors as awhole and its expertise and experience, as described in (1) ① Composition of Board of Directors above,

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we select individuals who will help strengthen the decision-making and supervisory functions of theBoard of Directors. The Board of Directors consults with the Nomination & Compensation Committee (avoluntary committee), with independent outside directors as the main members and chair, then the Boardof Directors nominates candidates by resolution. Finally, nominations are submitted to the General
Meeting of Shareholders.
In the event that a director is found to be in violation of laws and regulations or the Articles ofIncorporation, or to have significantly deviated from the policy for the appointment of directors, the Boardof Directors will take the necessary procedures for dismissal after consulting with the Nomination &Compensation Committee.
•Board of Directors’ Skills Matrix[Skills Required to the Board of Directors and the Reasons]Meidensha believes that members of the Board of Directors should have such skills and experiences by
the reasons below.
SkillsBusiness management

Reasons why such skill is required
With the diversification of values as social conditions change dramatically, to promote sustainability
management and to strengthen the corporate governance structure by clarifying management direction by
rapidly and flexibly making management decisions in order to continuously grow with the challenge to build a
new society.

DX/Business transformation

It is essential to work on innovation through co-creation, operational reforms through Digital Transformation(DX), and business transformation in response to changes in society for illuminating a more affluent tomorrow.

Sales/Marketing

To formulate and execute sales strategies aimed at rapid progress in growth businesses and strengthening thecompetitiveness of the earnings base by realizing high quality growth in order to provide customer peace of mind
and satisfaction.

Research and Development/“Monozukuri”

To enhance product competitiveness which is necessary for high quality “Monozukuri” (design, manufacture,
construction, and maintenance) to maintain a safe and secure social infrastructure and for provision of value,
along with creating new technologies and new products.

GlobalTo promote initiatives aimed at building a strong business base for overseas business and further enhancing theearning power necessary to meet the world’s new infrastructure demands.

Finance/Accounting

To manage capital efficiently, invest in growth businesses, and deliver shareholder returns, together with making
accurate financial reports.

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Skills
Legal affairs/Internal control

Reasons why such skill is required
To strengthen internal control and compliance / risk management structure, the base for honest and responsible
business operations.

HR development

To enhance wellbeing and employee engagement and to promote initiatives such as DEI (Diversity, Equity &Inclusion), in order for diverse human resources, who are the source of corporate value, to be able to grow andplay an active role in a lively way, where each person can derive fulfillment from their work.

Environment

To expand businesses that contribute to the environment and to promote green strategies focused on internal
decarbonization which are necessary to realize carbon neutrality.

(5) Successor Planning
Meidensha selects several candidates to succeed the top executive from among those appointed as
directors or executive officers with titles who have undergone education and training and who meetcertain requirements and contribute to enhancing our corporate value.
In replacing the top executive, it is identified which of the candidates should be the successor after
consulting with the Nomination & Compensation Committee. The Executive Officers’ Meeting and theBoard of Directors scrutinize the requirements and eligibility, identify a candidate, and finally decide whowill be the top executive.
(6) Executive Officer System and Executive Structure
Meidensha introduced an executive officer system in June 2003 in order to streamline the Board of
Directors, as well as to accelerate management decision-making and to enhance supervisory functions.
At the same time, we sought to reinforce the functions of the Board of Directors by promoting theseparation of the decision-making authority and supervisory function from the business performance
function held by the Board of Directors.
Based on the Articles of Incorporation, executive officers selected by the Board of Director’s Meeting
assume responsibility for the execution of specified tasks within the scope of authority transferred by the
Executive Officers’ Meeting and the President and Executive Officer, and nimbly perform executivefunctions under the supervision of the Board of Directors, in accordance with the Meidensha Group’s
management policies determined by the Board of Directors.
The Executive Officers’ Meeting, which comprises Executive Officers with Titles, is created for executive
decision-making, and decides matters based on the rules of internal approval, as well as matters forwhich consultation from a full-company perspective is required.
Furthermore, apart from the meeting body to make decisions, we established advisory and internal bodies
such as review and strategy meetings, and with regard to important management matters, we created asystem wherein thorough discussion and deliberation are conducted prior to decision-making, and followup strategy and planning and improvement initiatives are conducted following decision-making.
Summaries and key points of proceedings at the Executive Officers’ Meeting and other internal bodies arereported at the regular meeting of the Board of Directors for the month as a report on business execution.
This helps to ensure and improve the effectiveness and supervisory functions of the Board of Directors.

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In executing business, resolutions and decisions are made by executive officers who have authority overbusiness execution and strive to execute operations proactively and flexibly.
In addition, when the Board of Directors delegates part of its business execution authority to executive
officers via the directors, the executive officers are required to submit a report on the status of businessexecution to the Board of Directors at least once every three months. This helps ensure that the Board of
Directors can supervise effectively.
(7) Auditing System
Meidensha transitioned from the prior institutional structure of a company having an Audit & Supervisory
Board to a company having an Audit & Supervisory Committee at the General Meeting of Shareholders
held on June 26, 2020.
Our Audit & Supervisory Committee consists of four directors who are Audit & Supervisory Committee
members (three outside directors and one standing inside director).
In principle, the Audit & Supervisory Committee is held once a month before the Board of Director’s
Meeting. The purpose is to enable the Audit & Supervisory Committee to form its own intentions on
matters to be discussed at Board of Director’s Meetings prior to the Audit & Supervisory Committee. Incase there is a quarterly audit report from the accounting auditor, Audit & Supervisory Committee is heldon the same day as the Board of Director’s Meeting. In that case, the Audit & Supervisory Committee isheld twice in a month. Each Audit & Supervisory Committee lasts about two hours.
In addition, we established the Support and Advisory Division for Audit & Supervisory Committee
exclusively to aid the Audit & Supervisory Committee. It has four members with legal, financial,accounting, sales, factory, quality control, R&D, overseas business, and internal auditing experience.
(8) Internal Auditing Systemi Organization
Meidensha has established the Internal Auditing Division (16members as of March 31, 2023).
As an organization under the direct control of the President and Executive Officer, the Internal Auditing
Division is independent from other executive lines. It conducts internal audits to check the effectivenessand efficiency of business operations, the reliability of financial reporting, the status of compliance withlaws and regulations, and the maintenance of assets, covering Meidensha and all of Meidensha Group
companies including in abroad.
With regard to internal control, the Internal Control Promotion Division is the specialized division that
establishes risk management systems that integrate the entire Meidensha Group, promotes
enhancement of internal control systems, and ensures complete internal control functions through joint
monitoring of internal control systems by the Audit & Supervisory Committee and the Internal Auditing
Division.

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ii Method of audits
In FY2022, the internal audits were mainly conducted by two methods.
We conducted risk-based audits in 10 divisions based on the major Company-wide risks identified by the
Risk Management Committee. We covered those risks comprehensively while prioritizing high-risk areas.
In FY2023, we will reevaluate the major Company-wide risks from the perspective of the Internal Auditing
Division and will audit units selected in consideration of risk factors of particular importance tomanagement and other risks.
To improve the coverage of risks in audits of subsidiaries, we conduct standardized audits with audit
standardization tools. We plan to conduct standardized audits of all subsidiaries between FY2021 andFY2024. In FY2022, we audited 4 domestic subsidiaries and 12 overseas subsidiaries.
The Internal Audit Regulations stipulate that internal audit results are to be reported to the President &Executive Officer, the Board of Directors, the Executive Officers’ Meeting, and the Audit & Supervisory
Committee.
In FY2022, reports were presented monthly to the President & Executive Officer, semiannually to theBoard of Directors and the Executive Officers’ Meeting, and 10 times to the Audit & Supervisory
Committee. Internal audit reports are also sent to the members of the Executive Officers’ Meeting andstanding Audit & Supervisory Committee members each time one is issued.
(9) Strengthening Group Governance
The Meidensha Group is working to continuously strengthen group governance by developing basic
policies based on the “Basic Policy regarding Establishment of a System to Ensure the Appropriatenessof Business Activities” at each Meidensha Group company, establishing a regulatory framework, andimplementing the PDCA cycle.
1. Major Initiatives in FY2022(1) The Group Company Internal Control Committee met twice in the year to share information on important top risks for the Group as discussed by the Risk
Management Committee and the progress of risk management at each company. It also introduced CSA (control self-assessment) to overseas subsidiaries andprovided internal control training and CSA training for local staff at 13 companies, mainly at presiding companies.
(2) In order to strengthen the internal controls of the entire Group, the Internal Auditing Division conducted standardized audits of four domestic subsidiaries andtwo overseas subsidiaries to check the status of their preparation and operation of internal controls.

(10) Basic Policy and Current Status of Cross-Shareholdings
Our purpose to hold cross-shareholdings is to maintain and expand transactions for the medium -to longterm and secure and strengthen medium- to long-term cooperative relationships with partners and allies,
taking account of market conditions and other factors. Based on the purpose, our basic policy is to holdcross-shareholdings that help enhance corporate value and to consider selling cross-shareholdings thatno longer seem significant or rational.
Under this policy, we decide to keep or reduce its current holdings of listed stocks based on acomprehensive assessment of whether the ratio of each stock’s return (dividends, related trading profits,

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etc.) to market value meets the target cost of capital, policy factors, and so on.
we sold 10 listed and unlisted stocks for ¥1,03 billion out of its 102 listed and unlisted stocks (balance
sheet amount: ¥16.406 billion) as of March 31, 2022, reducing the number of stocks to 96 (balance sheet
amount: ¥16,418 billion) as of March 31, 2023. This represents 14.8% of consolidated net assets as ofMarch 31, 2023.

Directors’ Compensation
Directors compensation policy
i Level and System of Compensation
The level of compensation of Meidensha’s directors is determined based on external objective
compensation market data, economic conditions, industry trends, and Meidensha’s businesscircumstances, etc. Giving consideration to this level, the content of the director’s compensation system
is determined in the form of internal regulations on director’s compensation after consultation andconfirmation by the aforementioned voluntary Nomination & Compensation Committee, chaired by anoutside director.
ii Composition of Compensation(a) Directors (excluding Audit & Supervisory Committee members and outside directors)

Compensation of directors (excluding Audit & Supervisory Committee members and outside directors) isbased on an annual salary system with performance-linked compensation and comprises basic
compensation (a) and incentive compensation according to position. Of these, incentive compensation
comprises performance-linked compensation (b) as a short-term incentive and compensation for stockacquisition (c) and TSR (total shareholder return)-linked compensation (d) as medium- to long-term
incentives.
Target Proportion of Each Type of Compensation (if 100% of targets were achieved)(b) Directors and Outside Directors Who Are Audit & Supervisory Committee Members

Directors and outside directors who are Audit & Supervisory Committee members only receive basic
compensation on annual salary system basis.
iii Incentive Compensation System
The performance indicator for calculating performance-linked compensation as a short-term incentive isdecided after the annual general meeting of shareholders for the relevant fiscal year. It is decided basedon the operating income of the previous fiscal year to raise awareness of the need to improve

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performance, especially profitability, each fiscal year. The performance-linked compensation indicatorvaries from 0 to 140 depending on the degree to which targets were achieved, with perfect achievement
counting as 100.
Operating income for FY2021 was ¥9.468 billion, compared to a target of ¥10 billion, which represents anachievement rate of 94.6%.
Calculation Formula

Meidensha provides compensation for stock acquisition and TSR-linked compensation as medium- tolong-term incentives to sustainably increase corporate value and ensure that directors (excluding Audit &Supervisory Committee members and outside directors) have some shared value with shareholders.
(1) The amount of compensation for stock acquisition is determined for each position based on internal rules on officers’ compensation. The amount is contributed
to the Officers’ Shareholding Association to acquire shares.
(2) The TSR-linked compensation indicator varies generally between 80 and 120 depending on the ratio of the Company’s TSR at the end of the latest fiscal year to
the TSR of the TOPIX benchmark including dividends corresponding to the Company’s TSR calculation period (relative TSR*).

Calculation Formula*

Relative TSR: Meidensha’s TSR at the end of the latest fiscal year divided by the TSR of the TOPIX benchmark including dividends corresponding to the Company’s TSR calculation period

iv Compensation Determination Procedures
Details of the compensation system and the amount of compensation (including the rules that it iscalculated in accordance with the standards of the compensation system and is within the compensation
limits decided at the General Meeting of Shareholders) are confirmed and deliberated from an objective
point of view by the voluntary Nomination & Compensation Committee.
Specific details of the amount of compensation for each individual director (excluding members of the
Audit & Supervisory Committee) are delegated to the President & Executive Officer (“President”), who is adirector, based on a resolution of the Board of Directors. To ensure that the President exercises thisauthority properly, the Board of Directors establishes procedures for the President to consult and obtainconfirmation of the draft in advance from the voluntary Nomination & Compensation Committee.
Moreover, the President’s decision must consider the details of such confirmation or report. In FY2022,
the Board of Directors resolved at its June 23, 2022, meeting to delegate President Takeshi Miida to
determine the specific details of the amount of compensation for directors. The reason for delegating
this authority is that the President, as the chief officer of the Company, is best suited to evaluate eachdirector while looking at Meidensha’s overall performance.
Compensation for directors who are members of the Audit & Supervisory Committee is determined by thesame committee within the compensation limit decided at the General Meeting of Shareholders. An
appropriate amount is set to reward the services of committee members, taking into consideration
whether they are standing or non-standing and the nature of their respective auditing duties.

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FY2022 Results
Total Amount of Each Type of Compensation, etc.

Total Amount ofClassification(millions of yen)
Directors (excluding Audit &(millions of yen)Compensation, etc.

Number of People

Basic compensation

Incentive compensation

246

175

70

6

26

26

-

4

34

34

-

2

26

26

-

5

333

262

70

17

Supervisory Committee
members and Outside
Directors)
Outside directors (excluding
Audit & Supervisory
Committee members)
Directors who are Audit andSupervisory Committee
members (excluding Outside
Directors)
Outside directors who are
Audit & Supervisory
Committee members
Total

Notes
1. Amounts are rounded down to the nearest ¥1 million.
2. The above includes three directors (excluding Audit & Supervisory Committee members) and two
directors who are Audit & Supervisory Committee members who retired at the conclusion of the 158th
Ordinary General Meeting of Shareholders held on June 23, 2022.
3. The amount of compensation for directors (excluding Audit & Supervisory Committee members)
does not include employee salaries for directors who also serve as employees.

Board of Directors & Executive Officers as of July, 2023
Board of Directors & Executive Officers as of July, 2023

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HOME

Sustainability

Corporate GovernanceRisk Management

Risk Management

PolicyBasic Approach
Businesses face conditions that change day to day: climate change, natural disasters growing infrequency and intensity, geopolitical risks coming to the surface, increasing digitalization, and diversifying
values. Under these circumstances, we must identify the wide range of potential future risks in a timely
manner and respond appropriately if we are to sustainably increase our corporate value.
The Meiden Group has created an ERM (Enterprise Risk Management) system designed to identify all
types of major business risks to the Group as a whole so that management can discuss them and control
them in an integrated manner.
In addition to everyday risk management, we also have an organization-wide BCM (Business Continuity
Management) system for managing and responding to business continuity risks caused by accidents ordisasters. Through this, we aim to be able to respond to constantly changing risks during both regular
operation and emergencies.
Risk Management Structure
The Meiden Group is building a risk management system using the following three-line model.

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[Explanation of terms]
First line

In our business units (the first line), including plants and domestic and overseas subsidiaries, we have introduced Control
Self-Assessment (CSA). With this tool, each unit identifies, assesses, and controls its own risks. To identify risks, units
refer to a 120-item risk list to ensure their review is comprehensive. Each unit then evaluates the major risks it identified,
focusing on scale of impact and likelihood of occurrence.

Second line

The second line consists of staff business units with expertise in general affairs, legal affairs, human resources, andmore. These units monitor and support the CSAs performed by the first line.

Third line

The internal audit department (the third line) conducts regular audits to verify that the first line’s CSA cycle and second
line’s support are functioning effectively. The status of internal audits is reported to the Executive Officers’ Meeting, theBoard of Directors, and key Company management as needed.

Internal Control Promotion DivisionThis unit is responsible for the framework in which management is involved in deliberations and decision-making on
major company-wide risks. The division consolidates the risk information from the first line’s CSAs and risk information
overseen by the second line and submits it to executive management after it is discussed by the Risk Management
Committee.

Risk Management Committee

Heads of staff business units serve on this committee, which meets twice a year to discuss major company-wide risks asaggregated by the Internal Control Promotion Division. The committee selects major company-wide risks, determines
which departments have jurisdiction over them, and clarifies the responsibilities of those departments. The committee
also discusses new major risks to strengthen risk control.

Internal Control Committees at Group

These committees consist of directors of subsidiaries and meet twice a year to take reports on the status of eachcompanies

company’s CSA and share information on major risks for the Meiden Group as a whole. The committees also take part inrisk discussions among subsidiaries to enrich the conversation.

The Risk Management Committee and the Group Company Internal Control Committee are chaired by the
Meidensha Director & Senior Managing Executive Officer, who is in charge of all administrative divisions.
Operations of the Risk Management Committee
The Risk Management Committee is chaired by the Director & Senior Managing Executive Officer andconsists of the heads of Headquarters staff business units. Twice a year, it deliberates on the importantbusiness risks of the Meiden Group as identified by the Internal Control Promotion Division, then selects
major company-wide risks. The committee determines which units have jurisdiction over each risk anddiscusses policies for dealing with the risks. Management holds discussions on the business risks
previously discussed by the Risk Management Committee and further debates them in meetings of the
Executive Officers’ Meeting and Board of Directors to determine the important business risks of the
Meiden Group and policies for dealing with them.
The Risk Management Committee is clearly independent from the Audit and Supervisory Committee.

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Major Risks from Business Activities
The Meiden Group stipulates major business risks to the entire Meiden Group, including in relation to ESG,
through regular discussion among managers according to systems such as those listed above. As aresult of the above discussion among managers, risks that could have a serious impact on the decisionsof investors are as follows.
Major Risks Facing the Group
Ranking

Risk

Risk assessment

Compariso
n withImpactLikelihoo

Speed ofEffectiveness ofLikelihood of harmdmaterialization

response

to brandprevious
year’sassessment1

Environmental regulations/climate

Large

High

NormalEffective

High

Large

High

Somewhat fast

NormalSomewhat highLarge

MediumExtremely fast

EffectiveHighchange2

Inadequate procurement
management

3

Insufficient internal information
management

4

Geopolitical risks

Large

MediumExtremely fast

NormalSomewhat high5

Inadequate labor management

Large

MediumNormalNormalHigh

6

Occurrence of industrial accident

Large

MediumExtremely fast

Somewhat effective

Somewhat high7

Reduced quality

Large

High

Fast

Somewhat effective

Normal8

Inadequate cyber measures

Large

MediumExtremely fast

Effective

Somewhat high9

Human rights violations

Large

MediumNormalNormalSomewhat high10

Insufficient personnel

Large

High

Somewhat slow

Somewhat effective

Normal11

Occurrence of a natural disaster

Large

MediumExtremely fast

Effective

Normal12

Disguising quality or iniquitous

Large

Low

Fast

Somewhat effective

High

Breach of Construction Business Act

Large

Low

Fast

Somewhat effective

High

Insufficient awareness or

Large

High

NormalEffective

NormalLarge

Low

Extremely fast

EffectiveHigh

MediumHigh

Somewhat fast

Somewhat effective

NormalLarge

Low

Extremely fast

Somewhat effective

Somewhat highMediumHigh

Somewhat slow

Somewhat effective

NormalLarge

Low

NormalSomewhat effective

Somewhat high

Large

Low

Extremely fast

NormalNormalinspection
13
14

responsiveness to changes in market
conditions
15

Breach of Antimonopoly Act orbribery

16

Losses due to fluctuations in
exchange rates, interest rates, stock
prices, and land prices

17

Incomplete control of overseas
subsidiaries

18

Insufficient or poor internal
communication

19

Incomplete control of Japanesesubsidiaries

20

Reduced ability to cater to customers

Note: Risk assessment is an independent analysis of the various risks faced by the Group rather than ageneral risk assessment.

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Initiatives

Risk Management Relating to Business Activities
Preliminary Risk Assessment
The Meiden Group’s preliminary risk assessment system, based on our Basic Policy on the Establishmentof a System to Ensure the Appropriateness of Business Operations, is designed to provide information for
management decision-making. In our system, we hold a preliminary risk assessment meeting to carefully
consider matters that may have a significant impact on the Group. Projects subject to review are
generally classified as large scale EPCs, M&A, partnerships, joint developments, new businesses, or othermatters that require a resolution by the Executive officer’s meeting according to regulations.
In FY2022, we conducted preliminary risk assessments on nine cases. Including these, we have not yet
identified any cases that have caused new losses. Preliminary risk assessment plays an important role inmanaging risk prior to the start of a project.
There are four key parts to preliminary risk assessment, as follows.
(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 to tenders, partnerships etc., and enhance risk management to therelatives.
(3) Analyze risk from multiple perspectives by third party experts and take measures to reduce risk.
(4) Through discussions, encourage the unit proposing the action to provide information necessary for management decision-making, such as relevance tobusiness strategy, appropriateness of risk estimates, and feasibility of various plans.

As mentioned above, in the preliminary risk assessment, we evaluate not only financial risks, but projectrisks, operation risks, etc. The Corporate Policy Planning Group and the Internal Control Promotion
Division serve as the secretariat for assessments, and their supervising officers determine whether ameeting needs to be held. Other units involved include the General and Legal Affairs Division, the
Accounting and Financing Group, and the Sales Planning & Administration Group.
During M&A, a third-party unit performs the due diligence. Besides doing a financial investigation of thetarget company, we also evaluate it from an ESG perspective to strengthen risk management. This
includes the target’s corporate culture, legal compliance systems including human rights concerns,
compliance with environmental regulations, labor conditions, occupational health and safety, and otherfactors.

Policies, Plans, and Targets

Business Continuity Plan (BCP)
Basic BCP Policy
The Meiden Group Basic BCP Policy stipulates the Meiden Group’s basic policy on business continuity,business continuity targets, and response in the event of a disaster, etc., and is applied at each business
unit and subsidiary.
(1) In the event of a disaster, it is our utmost priority to ensure the safety of all employees, their family members, and customers.
(2) We contribute to swift reconstruction and recovery from disasters, considering our corporate social responsibility as a company that supports social
infrastructure.

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(3) Limit impact on customers and Meidensha’s businesses as much as possible.

Medium-term Management Plan 2024 Initiatives
We will promote the Medium-term Management Plan 2024, paying particular attention to the following
items relating to disaster-prevention and BCP.
・

Ongoing BCP initiatives
・Moving from an earthquake-based BCP to an “all-hazard” BCP that applies to a range of risks

・

Establishing a BCP and creating systems to maintain, evaluate, and confirm its effectiveness・

Continuing education and training, and ensuring that each employee is involved with BCP
initiatives

・・

Extending the BCP to overseas subsidiaries, and creating a BCP with a global perspective

Improving corporate and organizational resilience・

Encouraging independent promotion of BCPs by business units, and work to improve Disaster
responsiveness by company organization

・・Considering alternative production sites for important operations

Contributing to society and communities
・Contributing to disaster-resilient community development by supplying Meidensha’s BCP
products and corporate BCP initiatives to communities and society

System

BCM Promotion System

Under the BCM Committee, which determines the Meiden Group’s BCP policy and measures, the Meiden
Group established the Corporate BCP Promotion Committee, BCP promotion committees for eachbusiness, BCP liaison committees at domestic subsidiaries, the Working Group to Consider Priority
Businesses, and the Working Group to Handle and Protect Employees, and promotes BCP throughout theGroup.
Initiatives

Third Natural Disaster Response Headquarters Drill
In September 2022, we conducted a company-wide natural disaster response headquarters drill to verify
the effectiveness of BCPs that had been created. In the hypothetical scenario used for the drill this time,
the Numazu Plant was hit by a Nankai Trough earthquake centered on the east side of Suruga Bay on a

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Sunday night, with Numazu Works the first production site to be damaged. Since the disaster occurred ona non-working day and at night, the initial response was not to gather in one place, but rather to organize
information on just a portal site that would be set up when the disaster happened. Subsequently, staff
verified and confirmed events particular to a damaged production site, including trade-offs between
customer response and plant restoration when several days had already passed since the disaster
happened, based on damage information prepared in cooperation with Numazu Works.
We will revise BCPs in light of the various issues identified during the training.

Scenes from the drill (Headquarters)

Scenes from the drill (Numazu Works)

Disaster Response Drill at Numazu Works
In March 2023, we brought a mobile power supply vehicle to Numazu Works to prepare for power outages
at the site. In conjunction with the introduction of the vehicle, we conducted a drill to verify the process ofrequesting the vehicle and dispatching it to the site in the event of a power outage, as well as the work to
be performed at the site. For the drill, we did in fact cut power to a portion of the plant. Participants
restored electricity by connecting to the mobile power supply vehicle. This allowed us to confirm how the
work would actually be performed. On the day of the event, an outside company provided drone footageof the drill. We have also discussed the usefulness of drones in times of disaster.
The Meiden Group will improve on issues identified during the drill to help create better BCP measures.

A scene at the drill

Drone footage

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Start of Works BCP Liaison Committee
To improve disaster prevention and BCP at each production site (works), we launched the Works BCP
Liaison Committee in November 2022. In the event of a disaster, works must set up an area disaster
response headquarters to deal with a wide range of issues such as responding to personnel in the area,
gathering information from their factories and other units and subsidiaries, and managing stockpiles.
However, each works had established its own methods of responding and there was no interaction withothers. The new liaison committee organizes disaster prevention and BCP-related issues at each works
and discusses solutions to each one. This has enhanced disaster prevention and BCP systems at each
works.
This effort continues in FY2023 to strengthen the disaster response capabilities of each works.
Establishing BCPs at Overseas Subsidiaries
Meiden Group subsidiaries outside Japan have also begun establishing BCPs. Japanese and local staff
work together to design the optimal BCP for each company. This effort is starting with the ASEAN region,
India, and China. Subsidiaries in these regions aim to complete their BCP manuals by the end of FY2023.
We are committed to advancing this initiative to ensure business continuity for the entire Meiden Group,
including overseas subsidiaries.
Employee Education on Disaster Prevention and BCP
Disaster prevention and BCP training is included in the curriculum of personnel education for each level of
employment and is provided continually. In FY2022, we gave training for new employees and mid-careerhires. We have also visited regional offices in Japan to conduct extensive awareness-raising initiatives,
including disaster prevention and BCP training for local employees and training for BCP staff of Group
companies.
In addition, we created a training video to further spread the word about our disaster prevention and BCP
efforts. The video will be released in FY2023 and we will work to ensure that all Group employees view it.

New-employee training (online)

Employee BCP training video

PolicyStrengthening Information Security Management
The Meiden Group understands that ensuring the security of the information we handle is a most criticalissue. We therefore protect information assets from disasters, accidents, criminal acts, errors, and otherthreats. We also maintain and enhance information management to prevent leaks, tampering, theft, or
loss.

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Meidensha Basic Information Security Policy
1.

Purpose and Scope of Information Security

Meidensha (hereinafter the “Company”) is aware that ensuring security of information assets handled
by the Company is a major management issue for the Company, and protects information assets fromthreats such as disasters, accidents, crime, negligence, and cyber risks.
By establishing and maintaining information security management, we aim to prevent information
security incidents such as leakage, falsification, or theft of information, build relationships of trust witha range of interested parties, including shareholders and customers, and improve corporate value of
the Company.
This basic policy applies to all personnel who handle information assets managed by the Company.
2.

Legal Compliance, etc.

The Company complies with obligations imposed by laws and agreements that relate to businessactivities.
Everyone involved with business activities ensures thorough compliance with matters required by laws
and regulations, obligations imposed by agreements, this policy, and internal management regulations
relating to information security.
3.

Establishment and Maintenance of Information Security

The Company provides for information security management such as by nominating an Information
Security Manager and an Information Security Business Unit Managers, and establishing an office, hasestablished regulations and procedures, etc., based on the Basic Information Security Policy, andcontinuously maintains and improves information security.
SystemInformation Security Control System

Information Security Management
The Meiden Group conducts information security audits of Meidensha and subsidiaries, mainly throughthe Information Security Committee, and verifies and evaluates whether security measures are actually
being implemented and function.
At present, some of Meidensha and its domestic subsidiaries have received Information Security
Management System (ISMS) certification.

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Initiatives

In fiscal 2022, we are continuing to implement initiatives to reinforce information security for the entire
Meiden Group.
Analysis of Incidents and Countermeasures for Each Cause
The Meiden Group is working to implement sustainable security measures in the areas of “prediction,”“defense,” “detection,” and “response.”
We analyze and implement both hardware and software measures to protect data from unauthorized
logins, etc., and virus infections from suspicious emails, such as targeted email attacks, as well as
measures mainly aim at combatting human factors such as theft, loss, or mishandling of information
devices. We introduced the Security Operation Center (SOC) in fiscal 2017, established a 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) and joined the Nippon
CSIRT Association in order to enhance response. In addition, we have begun strengthening information
security measures for customers of our products and services so they can better respond to
cyberattacks, which have become increasingly sophisticated in recent years. We are also establishinginternal systems to speed up incident response.
Information Security Education and Training
All of the Meiden Group’s officers, employees, dispatch workers, and contract workers, etc., engage in
information security education. In fiscal 2022, we conducted e-learning on information security threats
based on case studies. The e-learning was attended by 90% of employees, plus materials were sent tothose who were unable to attend online.
We continue to conduct suspicious email drills as education about cyber attacks such as targeted email
attacks.
Going forward, we will continue to strengthen hardware and software measures and continue to conductpersonnel measures, such as information security education and suspicious email drills. We will continue
to roll out measures for information security on a group-wide basis.

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Enhancement of Supply Chain Information Security
Since FY2017, we have continuously conducted activities to enhance our suppliers’ information security.
We ensure that suppliers are aware of information security measures as management issues, and we
hold training and information sessions as required.
We continue to support our business partners’ efforts to strengthen information security. We do sothrough four measures designed to prevent information security incidents: awareness raising, education,
visitations, and information sharing.
・Awareness raising: We have strengthened and encouraged our business partners’ voluntaryenhancements of information security by utilizing the SECURITY ACTION program of the Informationtechnology Promotion Agency, Japan (from FY2021). We also recommend that our business
partners acquire stars (logos) representing their level of efforts to address information security tomake evaluation more visible.

・

Education: We provide group training at each works and share information on information security
measures and risk case studies at production plan briefing sessions.

・

Visitations: We perform on-site diagnosis of information security risks during visits to business
partners.

・

Information sharing: We publish an information security newsletter and provide educational content
on the online Supplier Portal.

In this way, we are continuing to conduct activities to enhance information security throughout the entire
supply chain.

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HOME

Sustainability

Corporate GovernanceCompliance

Compliance

PolicyCompliance Policy
The Meiden Group fully understands domestic and overseas laws, including those relating to corporate
activities, customs, and all other social norms and spirit. The Meiden Group complies with and respects
these, and has developed the Meiden Group Code of Conduct to constantly maintain a high standard ofcorporate ethics and social decency.
In accordance with this code of conduct, the Meiden Group aims to sincerely engage in activities to live
up to the trust of 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.

SystemCompliance System
Meidensha has enhanced and constructed a compliance promotion framework that is an important pillarof risk management, by integrating the Legal Affairs Division and the Enterprise Risk Management
Division into the Governance Headquarters in April 2022. The Legal Affairs Division is the office
responsible for the Compliance Committee, which is chaired by the member responsible for compliance,and convenes twice each year to determine compliance action plans.
Based on these action plans, the staff business units, led by the Legal Affairs Division, conduct
compliance training for all Group companies on observing antitrust laws, preventing corruption andharassment, and other issues. In addition, the Compliance Committee secretariat handles matters related
to compliance reporting and works to resolve any legal issues that arise. These compliance-related
activities are reported during regular meetings of the Compliance Committee and at meetings of theBoard of Directors.
Each workplace has a compliance manager, who reports matters being discussed at the workplace andissues that have been discovered that relate to compliance, to the Legal Affairs Division. The Compliance
Committee shares information reported to it with compliance managers through compliance training, etc.
This strengthens communication and reporting systems.

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Each Japanese company in the Meiden Group has a similar compliance committee and compliancemanager system to Meidensha. Moreover, we take a survey of overseas Group companies that helps us
continually develop our internal control system such as promoting understanding of on-the-groundconditions of compliance systems at each company.
Compliance System

Whistleblower System on Compliance
The Meiden Group has a whistleblower system for compliance. This is to prevent illegal actions andmisconduct and to solve problems as early as possible.
The internal whistleblower system includes the internal reporting system (Compliance Hotline) dealing
with a broad range of compliance issues including breaches of laws such as the Antimonopoly Act,
breaches of general anti-corruption regulations such as those dealing with bribery, other breaches ofinternal or external rules, and labor problems and the Harassment Consultation Hotline, which is
specifically designed to deal with harassment. The External Hotline is a hotline operated by outside
lawyers for early detection and rectification of unlawful acts, etc. We also provide a whistleblower hotline
exclusively for use by our suppliers. In conjunction with the 2022 enforcement of the revised
Whistleblower Protection Act, we have made our whistleblower hotlines easier to understand and revised
and improved relevant regulations and systems, such as strengthening protection of whistleblowers. We
have also finished setting up whistleblower hotlines at all Group companies, including those overseas.
The external hotline (Compliance Hotline) enables employees to lodge reports using a dedicated email
address. The external hotline is handled by a law firm, and may be used by employees of the Meiden
Group (including retirees), temporary staff and subcontractors, and suppliers.
These internal and external systems can both be used anonymously, and accept a wide range of reports.
The Legal Affairs Division works with relevant departments to investigate reports that are brought to theexternal hotline and, if necessary, consults with lawyers to deal with them. We are working to increase thedependability of management of information, such as the names of whistleblowers, and thewhistleblower system as a whole, in accordance with national guidelines, to ensure that whistleblowers
are not disadvantaged by using the system.
In FY2022, the Meiden Group received 59 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.

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System to Respond to Individual Incidents
Managers who become aware of illegal or inappropriate activities are obligated to promptly report themto their immediate superior. The system ensures that reports reach responsible officers. Compliancebreaches that are detected internally, such as illegal or inappropriate activities, are investigated andhandled under the direction of the head of the business unit, who serves as a member of the Compliance
Committee. We work to introduce cases that cause compliance problems or which may do so throughcompliance training and to thus prevent their reoccurrence as appropriate.

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 tohandle harassment issues, and we are working to centralize handling of confidential information andresponses 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 with harassment issues andcreating an environment that is conducive to talking about issues. In addition, we are working to raiseawareness about our anti-harassment measures. For example, the scope of the anger management
training for managers was extended to other employees as well starting in FY2022. Our goal is to firmly
entrench these lessons in the Meiden Group and provide better guidance.

Anger management training

Unconscious bias seminar

Unit

FY2020

FY2021

FY2022

Times

3

8

26

People

91

289

2,350

Times

-

2

2

People

-

200

321

Initiatives

Compliance Training
The Meiden Group conducts compliance training every year, in order to maintain and improve awarenessof compliance and internal control systems while collecting opinions from workplaces. In FY2022, we
conducted individual training online for locations around Japan, and there were a total 4,336 participantsin the Group. At this training, in addition to making reports concerning the status of compliance activities
to employees of each company in the Meiden Group, such as compliance managers, we conductededucation concerning the Antimonopoly Act, the Subcontract Act, harassment, and environmental laws.
We also conducted individual presentations on compliance as part of training for each level of new staff,
leaders, and managers of each Group company.

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Human rights education for officers and employees

Policy, System, and Initiatives

Anti-corruption Measures
Meidensha stipulated “absolute prohibitions” through a resolution of the Board of Directors' Meeting on
December 26, 2012. These “absolute prohibitions” prohibit profit-sharing with national public servants,
correspondence with competitors, etc., such as bid-rigging or cartel behavior, collection of confidential
information such as target prices and job prices from customers, etc. “Absolute prohibitions” arethoroughly enforced within the Group.
In 2016, we developed the Meiden Group Bribery Prevention Policy in order to prevent corruption, which
includes bribery. The principles were revised in 2020. They have been disseminated throughout the Group
once more in two volumes – the Meiden Group Bribery Prevention Policy and the Guidelines for the
Meiden Group Bribery Prevention Policy.
As our anti-corruption policy, in 2016, we developed the Meiden Group Bribery Prevention Policy. We
reorganized it in 2020 into two parts – the Meiden Group Bribery Prevention Policy and the Guidelines for
the Meiden Group Bribery Prevention Policy – which we are using to remind members of the Group about
our stance.
Group Corporate Code of Conduct toward Globalization
The Meiden Group revised the Meiden Group Corporate Code of Conduct in 2022 in consideration ofsustainability management, and is increasing awareness of employees with regard to compliance withlaws and other social norms and contributing to the realization of a sustainable society. The revised
Corporate Code of Conduct includes a commitment by the Meiden Group to contribute to the realizationof a sustainable society. We also promise to conduct business honestly and fairly to prevent bribery andother forms of corruption; respect human rights; create workplaces where employees can play an activerole; protect the environment; cooperate with society; manage information; practice timely disclosure; andmanage risk. It also defines the responsibilities that top management has with respect to the Corporate
Code of Conduct. The Board of Directors approved the revised Corporate Code of Conduct. We are
educating Meiden Group employees around the world by compiling this code of conduct in addition to thecorporate philosophy system and guidance into a booklet in three languages (Japanese, English andChinese).
Furthermore, we are broadly expanding our compliance education activities such as by releasing the
Meiden Group Bribery Prevention Policy and the Guidelines for the Meiden Group Bribery Prevention
Policy in the same three languages.
These regulations and policies are available on the Group-common web portal.
Meiden Group Corporate Code of Conduct Japanese

Meiden Group Corporate Code of Conduct English

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Meiden Group Corporate Code of Conduct Chinese

Meiden Group Anti-Bribery Policy (PDF：440KB)

Officer Training
Meidensha conducts training for officers of the executive officer level and above, with a focus oncompliance with the Antimonopoly Act. In FY2022, we conducted Antimonopoly Act compliance training
administered by outside instructors, reviewed the basics, and considered case studies.

Policy and Initiatives

Tax
Tax Policy
The Meiden Group is aware that ensuring transparency of tax matters and payment of tax is its corporatesocial responsibility, and understands and complies with the principles of the taxation law of eachcountry and region in which it conducts its global business activities. We contribute to the prosperity ofeach country and region by paying tax appropriately according to the application of a preferential tax
system that avoids double taxation through normal procedures and complies with the aims of eachsystem.
Furthermore, our policy is to refuse to engage in international tax avoidance, such as by complying 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 event of advance rulings and tax
audits.
* OECD：Organization for Economic Co-operation and Development

Results Data

Compliance Data
FY2022 Breaches of the Law, etc., in Japan and Overseas (Whole Meiden Group)・Criminal cases or administrative penalties resulting from violation of competition laws in Japan andabroad: NA・

Criminal cases or administrative penalties resulting from bribery or other corrupt practices: NA・

Criminal cases or administrative penalties resulting from other major legal or regulatory violations:
NA

Consultations and Reports Through the Compliance Hotline
Number of Consultations and Reports Received Through the Compliance Hotline (Only Meidensha*)212

Meiden Group Sustainability 2023

Number of consultations and reports

Unit

FY2020

FY2021

FY2022

Cases

53

52

59

* Includes incidents at subsidiaries referred through the Meidensha Hotline.
Compliance-Related Training
Times Compliance Training Conducted and Number of Participants (Entire Meiden Group)Unit

FY2020

FY2021

FY2022

Times

11

11

4 + video viewing

Participants

1,338

1,711

4,336

New staff education

Participants

213

275

262*

Leader training

Participants

110

110

123

New manager training level 1

Participants

90

92

94

Participants

10

10

―

Compliance Training

Education by level(compliance presentations)

Training for overseas management candidates (compliancepresentations)* Includes subsidiaries and employees hired in mid-career

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HOME

Sustainability

Corporate GovernanceDialogues with Shareholders and Investors

Dialogues with Shareholders and Investors

Basic Approach and the IR & SR System
When any shareholder wishes to discuss with Meidensha’s ideas that will contribute to the medium- tolong-term improvement of our corporate value, our policy is that our management will engage in suchdialogue to the extent possible.
We have established a system whereby each special department for IR and SR under the IR & SR Director
works to strengthen external communication while simultaneously enhancing communication andcreating opportunities for discussions with shareholders, including institutional investors. These activities
are also regularly reported to and discussed by the Board of Directors.

Initiatives

Results Briefings
We hold financial results briefings twice a year in May and October (or November). In FY 2022, we
distributed a video of the financial results briefing explained by President to analysts and institutional
investors who had registered for the briefing on the day of the presentation. Q&A sessions were held thenext business day, with the session for the May Annual Results Briefing conducted via teleconference andthe session for the November Mid-Term Results Briefing held via Zoom in a webinar format.
Financial Results

Sustainability Briefings (ESG Briefings)
We held our second ESG briefing in November 2022. We changed the name to ”Sustainability Briefing”
and gave presentations on “Progress in Sustainability Management,” “Initiatives in Smart Maintenanceand Substation Products That Make Up Green Extra-High Voltage Substations,” and “Initiative to Becomea Hydropower Service Provider.”40 analysts and institutional investors joined the briefing and it was the opportunity to deepen
understanding of Meidensha’s ESG vision and initiatives through Q&A sessions with President & Executive
Officer Miida and Senior Managing Executive Officer Tamaki.
Event materials

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Individual Business Briefings (Small Meetings)
Since FY 2018, we have held small meetings once a year. We set a different business theme each year
and create an opportunity to better understand our business by giving presentations and holding Q&A
session with the relevant managing officers.
9 analysts attended the February 2023 small meeting at the Nagoya Works (Kiyosu City, Aichi). After areport on the overall state of business by President & Executive Officer Miida, Senior Managing Executive
Officer Mochizuki gave a presentation on “Our Efforts and Vision for the EV Business” before taking
questions from those in attendance. This meeting also provided an opportunity to tour the EV Factory
involved in the mass production of integrated motor inverters and the production line of the Ceramic
Membrane Production Unit.
Event materials

Initiatives for Individual Investors
Since FY2022, Meidensha has exhibited at the IR EXPO hosted by the Nagoya Stock Exchange. During
this two-day event, about 200 individual investors visited our booth and learned about our business,growth strategy, shareholder return policy, and more.

Main IR & SR Activities in FY2022
Individual Sessions

NumberBreakdown of Investor Type

Domestic Investors

77

Analyst: 43
Fund Manager: 34

Overseas Investors

32

Analyst: 11
Fund Manager: 21

Total

109

(Note: There were 41 meetings with securities analysts not listed above for a total of 150 meetings withinvestors.)

Opinions of Analysts and Institutional Investors
We publish a quarterly IR report that includes the opinions and requests given at results briefings andindividual meetings and this report is given to directors, executive officers, heads of business units, theStaff Business Unit, managers, and others. The main themes that came up in discussions with analysts
and institutional investors in FY2022 are as follows.
・The impact on performance and countermeasures following the sharp rise in the cost of materials,
energy, and logistics, and the emergence of geopolitical risks・View of the future outlook and capital investment of the EV Business

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・

Measures for improved profitability of overseas businesses and a timeline for achievement

Results of Conversations with Stakeholders
This section will introduce some case that we reflected the opinions and realizations we received throughconversations with analysts, institutional investors, and shareholders to our activities.
1)

Introduce relative TSR (Total Shareholder Return) into director’s compensation benchmarks
We were told that it would be good to introduce performance-based compensation with relative TSR as an index in addition to the conventional stock acquisitioncompensation in the medium- to long-term incentive compensation from fiscal 2023. This would make the director compensation system and benchmarks alignmore closely with stakeholder interests.

2)

Disclose the reasons (including definitions) behind the skills matrix selection
We received feedback that we should establish items with more specific definitions of the skills required for the Board of Directors to function. Therefore,
starting with the Notice of Convocation of the 159th Ordinary General Meeting of Shareholders to be held in June 2023, we disclosed the “Skills Required to theBoard of Directors and the Reasons.”

Going forward, we will continue to proactively communicate with our shareholders and investors byenhancing opportunities for dialogue through financial results briefings and individual IR/SR, as well by
expanding information disclosure on our website and in reports and other publications.

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HOME

Sustainability

Evaluations from External Bodies

Evaluations from External Bodies

Status of incorporation of the ESG Index* (as of September 2023)* ESG is an acronym for “Environment,” “Social,” and “Governance.” It is a set of investment principles
that include management’s concern for society and the environment as important criteria for
determining investment in addition to the company’s 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 for Japanese companies
that are GPIF investment targets. Meidensha was added to the index in 2018.

Sompo Sustainability Index
Meidensha has been selected for the Sompo Sustainability Index, which was instituted by Sompo AssetManagement Co., Ltd. in August 2012. Sompo Sustainable Investment is a responsible investment
product for pension funds and institutional 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 of a survey
conducted by Sompo Risk Management Inc. Meidensha’s ESG initiatives have been highly rated byinvestigation, leading us to be continuously selected by index since FY2016.

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FTSE Blossom Japan Index
The FTSE Blossom Japan Index is designed to measure the performance of companies that have taken
exceptional action on environmental, social and governance (ESG) issues, and is selected by FTSE
Russell, a global developer and manager of equity bond and other indices. The index consists of stocks
that meet various evaluation criteria related to ESG. These criteria are used to select investments byinvestors who place importance on corporate social responsibility and sustainability, and are reviewed
based on the results of annual evaluations.

FTSE Blossom Japan Sector Relative Index
The FTSE Blossom Japan Sector Relative Index is an index that reflects the performance of Japanesecompanies with relatively higher environmental, social and governance (ESG) responses in each sector
and is designed to be sector-neutral. This index has been highly rated for its stance relating to businessrisks and opportunities relating to climate change focusing on ESG evaluation, and its ESG metrics are
employed by the Government Pension Investment Fund (GPIF). Meidensha has been part of this index
since March 2022.
Morningstar Japan ex-REIT Gender Diversity Tilt Index
This Morningstar index is focused on companies where gender diversity policy has taken root in theircorporate culture and companies who have made a commitment to equal opportunity for employees
regardless of gender. The index uses Equileap’s Gender Equality Score. Companies are sorted into fivegroups based on score; Meidensha is in Group 3. The same index is also used as an ESG indicator of theGovernment Pension Investment Fund (GPIF).

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 theenvironmental impact of investors, companies, cities, countries, and regions. It investigates, evaluates,and discloses information about environmental initiatives on behalf of institutional investors. Meidensha
received a rating of C for climate change and B- for water security from CDP in 2022.

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MSCI ESG Ratings
The MSCI ESG Ratings are ESG ratings by the US-based MSCI. MSCI analyzes companies’ ESG risk
management capabilities and gives one of 7 ratings from AAA to CCC. In 2022, Meidensha received arating of A in the MSCI ESG Ratings.

Science Based Targets Initiative (SBTi)
In 2021, Meidensha upwardly revised its 2030 greenhouse gas emissions reduction target. This target
received SBT certification as it was recognized by the Science Based Targets (SBT) initiative as being
consistent with the Paris Agreement.

Establishment of the Second Meiden Environmental Vision as a medium-to-long-term environmental goal

Meidensha receives highest rating for a syndicated commitment line loan based on ESG/SDGs
evaluation
Meidensha received the highest rating for a syndicated commitment line loan based on an ESG/SDGs
evaluation concluded in September 2023 with Sumitomo Mitsui Banking Corporation (SMBC).
This syndicated commitment line loan is offered by financial institutions that endorse the criteria
developed by SMBC and The Japan Research Institute, Limited and use them to evaluate the ESG
initiatives, information disclosure, and contributions toward achieving the SDGs of the borrowing
companies (their clients). The following are the key points of the evaluation of our efforts.
Environment (E)The company’s climate change measures include expanding renewable energy procurement and introducing aninternal carbon pricing system to promote capital investment that contributes to decarbonization. In addition topromoting the EV components business and expanding its renewable energy-related business, the company has
recently focused on expanding sales of extra-high-voltage products for green transformation packaged withenvironmentally friendly products. Having set medium- and long-term goals for reducing GHGs in Scope 3 Category 11(Use of Sold Products), the company is commended for accelerating its response to climate change.

Social (S)The company is commended for creating a system for proposing specific measures from the bottom up after
establishing committees and working groups for diversity, equity, and inclusion (DEI) to clarify organizational policies
that respect diversity with the aim of creating an organization in which all employees can play an active role.

Governance (G)The company’s top executives have demonstrated their commitment to promoting ESG-based management, setting
non-financial KPIs for achieving carbon neutrality, improving diversity and employee engagement, and more in their

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medium-term management plan. The company is also commended for identifying ESG-related issues, conducting risk
analysis, and clarifying material issues.
Sustainable Development Goals (SDGs)

The company has identified areas in its business strategy that contribute to solving societal issues and narrowed its
focus on particular targets of SDGs. Specific efforts to achieve the SDGs through its core businesses include
developing (input) and institutionalizing (output) services and businesses that contribute to solving societal issues—for example, energy solution services and infrastructure business—to reduce its customers’ environmental impact(outcome) and contribute to the achievement of the SDGs, namely Goal 7 (Affordable and Clean Energy), Goal 11(Sustainable Cities and Communities), and Goal 13 (Climate Action).

2023 CSR Company Ranking (Toyo Keizai Inc.)
Released by Toyo Keizai Inc., the CSR Company Ranking generally evaluates and ranks CSR (corporatesocial responsibility) and Finance by evaluating utilization of human resources, environment, corporate
governance, social responsibility, profitability, safety, and scale, based on responses to an annual survey
given to companies. Meidensha was ranked 46th out of 111 companies in the electrical machineryindustry in the 17th CSR Company Ranking (in 2023).
The 6th 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 onlisted companies nationwide and leading unlisted companies, and consists of three elements: therealization of diverse and flexible working systems, a system for new businesses, and the ability todevelop markets. They define efforts to maximize organizational performance as "smart work
management" and evaluate them in five stages, taking into account management foundations such as
corporate governance. In the 6th survey, Meidensha was recognized as a 3.5-star company.

The 4th Nikkei SDGs Management Survey
The SDGs Management Survey comprises questions relating to the four categories of “SDGs strategy andeconomic value,” “social value,” “environmental value,” and “governance.” In the 4th survey, Meidensha
was recognized as a 3.5-star company.

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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 and Welfare tocompanies that have formulated and submitted action plans under the Act for the Promotion of Women’sParticipation in Working Life (Act for the Promotion of Women’s Participation), that meet certain
standards, and that have been exceptional in their implementation of initiatives. There are three levels ofcertification, 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 for comprehensive evaluation bidding systems, etc., of public enterprise.

Kurumin and Platinum Kurumin
In 2021, Meidensha was granted Kurumin and Platinum Kurumin certification by the Minister of Health,Labour and Welfare (MHLW). The Kurumin certification is a system in which the Minister of MHLW
certifies companies that have formulated the Plan of Action for General Employers based on the Act toAdvance Measures to Support Next-Generation Child-Rearing and that meet certain standards, such as
achieving the goals set in the action plan, as companies that support child-rearing.

Platinum Kurumin

certification is a special certification system for companies that have been certified as Kurumin
certification and have made efforts at a higher level to become exceptional child-rearing support
companies.

PRIDE Index 2022
In November 2022, Meidensha obtained gold status – the highest evaluation – in the PRIDE Index 2022.
This initiative was started by the nonprofit organization “work with Pride,” an organization that strives toincrease understanding of sexual minorities such as the LGBTQ+ community. The PRIDE Index contains 5
pillars for evaluations and aims to “create LGBTQ+ inclusive workplaces in Japan through efforts thattranscend the boundaries of companies and organizations.” In addition to establishing basic policies
toward promoting understanding of sexual minorities (LGBTQ), the Meiden Group has published the221

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Meiden Group human rights policies, eliminated questions about gender from job applications, begun
providing basic education on LGBTQ topics, set up an LGBTQ consultation line, and recently created the
Meiden Partnership System. The Meiden Group also works to promote understanding of LGBTQ
individuals by treating common-law marriages (including same-sex marriages) the same as legal
marriages, allowing employees to specify a different gender than the one listed on their family register,and more.

Health and Productivity Management Organization (White 500)
Meidensha has been certified as a "Health and Productivity Management Organization - White 500" by the
Ministry of Economy, Trade and Industry (METI) for its excellent health management practices. The“Certified Health & Productivity Management Outstanding Organizations Recognition Program (White
500)” is a joint effort by METI and Nippon Kenko Kaigi (Japan Health Council) to recognize large
corporations, including unlisted companies, that practice good health management in cooperation withinsurers. Meidensha has been certified since 2021.
In April 2023, our subsidiary Meiden System Solutions Corporation was certified in the Large Enterprise
Category and our subsidiary Meiden Techno Systems, Co., Ltd. was certified in the Small and Mediumsized Enterprise Category, a first for both companies.

Received the 2022 “Minister of the Environment Awards for Climate Action” AwardIn December 2022, Meidensha and one of its subsidiaries, Meiden Kohsan Co., Ltd., received the 2022
Minister of the Environment Awards for Climate Action Award in the Advanced Introduction / Active
Implementation Category for introducing ABW and Meidensha’s multi-functional PCS at Meiden Kohsan’s
new office building. Meidensha concurrently applied separately for its initiative “Contributing to a
decarbonized society: The World’s First Ecotank Type Vacuum Circuit Breaker that does not use SF6 gas,”
which received the Minister of the Environment Awards for Climate Action Award in the ProductDevelopment and Commercialization Category.
The Minister of the Environment Awards for Climate Action Award is presented by the Ministry of theEnvironment to individuals and organizations that make outstanding achievements toward mitigating andcombating climate change.

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The Meiden Group was the only company to receive two awards in 2022.

Recipient of the 19th LCA Japan Forum Incentive Award
Meidensha was awarded the 19th LCA Forum Incentive Award in February 2023. This award aims to
support corporations, organizations, and researchers working to reduce the environmental impact of
products throughout their life cycle and honors those who produce exceptional work with LCA.
Meidensha received the award for their “Working to promote and improve products by calculating andassessing life-cycle CO2 emissions – SF6 gas-free Ecotank Type VCB.” The SF6 gas-free Ecotank TypeVCB (Vacuum Circuit Breaker) helps Meidensha not only meet GHG emission targets, but also contributes
significantly to reduced GHG emissions throughout the supply chain. The award recognized how clearlytransitioning to products that do not rely on SF6 gas reduced the impact on global warming in LCA.

At the Award Ceremony(right) Chairman Atsushi Inaba of LCA Japan Forum(left) Meidensha Senior Managing Executive Officer
Nobuaki Tamaki

Excellence Prize at Zero Carbon Challenge Cup 2023
In March 2023, Meidensha won the Excellence Prize at the Zero Carbon Challenge Cup 2023. The Zero
Carbon Challenge Cup is a national competition in which schools, organizations, companies, andmunicipal governments make presentations and submit written documentation describing their local
decarbonization activities aimed at stopping global warming. These are then judged and the groups thatmade outstanding efforts receive awards. By recognizing the decarbonization efforts of a wide array ofgroups from across Japan, this system both encourages the sharing of information and know-how on
exceptional work being done domestically and helps foster the desire and connections for further
activities. Meidensha’s presentation covered company initiatives using the concept of “contributions thatmake Meiden Group’s total value chain carbon neutral” and focused on creating state-of-the-art officesthat can contribute to the company’s environmental impact, workplace reforms, disaster prevention, andconnecting with the local community during Meidensha’s reconstruction of the Meiko Building, the shared
headquarters of Group companies Meiden Kohsan Co., Ltd. and Meiden Engineering Corporation.

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Meiden Group Sustainability 2023

Group photograph at the Zero Carbon Challenge Cup

Winner of the YouTube Works Awards Japan 2023 Grand Prize
In June 2023, Meidensha won both the Grand Prize and the Breakthrough Advertiser category at theYouTube Works Awards Japan 2023 (hosted by Google)for their pixel-art edition of the social media ad
campaign “Electricity: Taking action” (hereinafter called “this work”).
YouTube Works Awards Japan recognizes eight categories of video advertisements that have madesignificant strides on YouTube. This work drove engagement and succeeded even with little advertisinghistory and won the Breakthrough Advertiser category, which targets campaigns that have recently begun
advertising on YouTube. Meidensha’s campaign was also selected as the Grand Prize finalist from among
49 other entries.
This work is aimed at younger generations and uses pixel art to demonstrate how electricity is an
essential component of daily life and events. It was created to convey the core values of Meiden Groupand its goal of creating a safe, prosperous, and exciting society by 2030, while the catchphrase“Electricity: Taking action” is meant to communicate Meidensha’s desire to create such a society.

Pixel art edition of “Electricity: Taking action”

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Meiden Group Sustainability 2023

HOME

Sustainability

Editorial Policy

Editorial Policy

Editorial Policy
The Meiden Group informs its stakeholders of its attitude and initiatives relating to social responsibility
through the two media, which are Meidensha Report (print edition and web edition).
The content of these media is determined after reporting to and consultation with the Board of Directors.
With regard to the content of the reports, we work to collect, analyze, and distribute information thatmeets our stakeholders’ expectations and is of interest to our stakeholders through daily public relations
and IR activities, interviews with each department.
Furthermore, the Meiden Group is conducting internal communication activities as part of the process ofdrafting reports in order to understand changes in the external environment and share future issues andtrends. In addition, we work to strategically promote future ESG management 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 and nonfinancial
information such as initiatives that contribute to improving corporate value and management strategies.

1. Booklet, PDF

Meidensha Report

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Meiden Group Sustainability 2023

2 Meiden Group’s Sustainability Web Edition (this website)
A summarized introduction focusing on specific initiatives to tackle sustainability issues that we consider
important.

2. WEB edition

Reporting Period
This report mainly covers initiatives taken in fiscal 2022 (April 1, 2022 - March 31, 2023)
It also includes some information from prior to fiscal 2021 and until July 2023
Subject Organization
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 2023

・

Next scheduled publication: September 2024

Guidelines Used as References
・

IFRS Foundation International Integrated Reporting Framework

・IFRS Foundation SASB Standards

・

Ministry of Economy, Trade and Industry “Guidance for Collaborative Value Creation”

・

GRI “Sustainability Reporting Standards”* For the period from April 1, 2022, to March 31, 2023, we refer to GRI standards and report
information listed in the GRI content index.

・Ministry of the Environment “Environmental Reporting Guidelines (Fiscal Year 2018 Version)”

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Meiden Group Sustainability 2023

Inquiries about This Report
Meidensha Corporation
Public & Investor Relations Section, Corporate Communication Promotion Division
ThinkPark Tower, 2-1-1, Osaki, Shinagawa-ku, Tokyo
141-6029 Japan
TEL: 81-3-6420-8100
Disclaimer
In addition to past and current facts about the Meiden Group, this report contains forecasts for the 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 werestated, and may differ from actual business activity results and events in future owing to changes in
conditions.

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Home

Sustainability

GRI Standards Content Index

GRI Standards Content Index

Usage declaration

Meidensha Corporation reports information contained in this GRI index for the period from April 1, 2022, toMarch 31, 2023, with reference to the GRI Standards. Furthermore, some information from prior to FY2022
and until July 2023 is included.

GRI1 used

GRI1: Foundation 2021

General Disclosures
Disclosure Title

References

GRI 2：General Disclosures
2-1

Organizational details

Company Profile

2-2

Entities included in the organization’s sustainability reporting－

2-3

Reporting period, frequency and contact point

Editorial Policy

2-4

Restatements of information

Not applicable

2-5

External assurance

Third-Party Verification

2-6

Activities, value chain and other business relationships

Products & Services
Company Profile
Supply Chain Management

2-7

Employees

Company Profile
Labor Practices＞HR Data

2-8

Workers who are not employees

Labor Practices＞HR Data

2-9

Governance structure and composition

Corporate Governance

2-10

Nomination and selection of the highest governance body

－

2-11

Chair of the highest governance body

－

2-12

Role of the highest governance body in overseeing the management of

Sustainability Management

impacts

Environmental Management
Climate Change
Human Rights
DX
Corporate GovernanceRisk Management

2-13

Delegation of responsibility for managing impacts

Sustainability Management
Environmental Management
Disclosure based on TCFD Recommendations
Product Responsibility

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Meiden Group Sustainability 2023

Disclosure Title

References

GRI 2：General Disclosures
Human Rights
DX
Occupational Safety and Health
Health & Productivity Management
Corporate GovernanceRisk Management
2-14

Role of the highest governance body in sustainability reporting

Sustainability Management

2-15

Conflicts of interest

－

2-16

Communication of critical concerns

Not applicableCompliance

2-17

Collective knowledge of the highest governance body

Sustainability Management
Corporate Governance

2-18

Evaluation of the performance of the highest governance body

Environmental Management
Climate Change
Corporate Governance

2-19

Remuneration policies

Corporate Governance

2-20

Process to determine remuneration

Corporate Governance

2-21

Annual total compensation ratio

Reason for omission:Confidentiality constraints

2-22

Statement on sustainable development strategy

The President’s Commitment

2-23

Policy commitments

Corporate Philosophy
Supply Chain Management
Human Rights
Risk Management

2-24

Embedding policy commitments

Sustainability Management
Product Responsibility
Supply Chain Management
Human Rights
Occupational Safety and Health
Labor Practices
HR Development
Compliance

2-25

Processes to remediate negative impacts

Human Rights
Compliance

2-26

Mechanisms for seeking advice and raising concerns

Compliance

2-27Compliance with laws and regulations

Not applicable

2-28

Membership associations

Sustainability Management＞Group Membership Credentials

2-29

Approach to stakeholder engagement

Meiden Group Value Creation Process
Promotion of Environmental Communication
Product Responsibility
Supply Chain Management

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Disclosure Title

References

GRI 2：General Disclosures
Human Rights
Labor Practices
Diversity, Equity & Inclusion
Community
Dialogues with Shareholders and Investors
2-30

Collective bargaining agreements

Labor Practices

Process to determine material topics

Sustainability Management

GRI 3:Material Topics
3-1

Identification of Materiality
3-2

List of material topics

Identification of Materiality

3-3Management of material topics

Corporate Code of Conduct
Sustainability Management
Identification of Materiality
Promotion of Strategic Environmental Management
Environmental Management
Climate Change
Disclosure based on TCFD Recommendations
Prevention of Pollution and Effective Utilization of Resources
Water Resources
Biodiversity
Product Responsibility
Supply Chain Management
Human Rights
Occupational Safety and HealthCommunity
Diversity, Equity & Inclusion
Labor Practices
HR Development
Risk Management
Compliance

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Meiden Group Sustainability 2023

Topic-specific Disclosures
Disclosure Title

References

Material Topics
200 series (Economic topics)
GRI 201: Economic Performance 2016
201-1

Direct economic value generated and distributed

Policies to Support Local Communities
Company Profile

201-2

Financial implications and other risks and opportunities due to climatechangeEnvironmental Management
Disclosure based on TCFD Recommendations

201-3

Defined benefit plan obligations and other retirement plans

－

201-4

Financial assistance received from government

Not applicableMarket Presence 2016
202-1

Ratios of standard entry level wage by gender compared to local

Human Rights

minimum wage
202-2

Proportion of senior management hired from the local community－

Indirect Economic Impacts 2016
203-1

Infrastructure investments and services supported

Community203-2

Significant indirect economic impacts

Community

GRI 204: Procurement Practices 2016
204-1

－

Proportion of spending on local suppliers

GRI 205: Anti-corruption 2016
205-1

Operations assessed for risks related to corruption

－

205-2

Communication and training about anti-corruption policies andCompliance

procedures
205-3

Confirmed incidents of corruption and actions taken

Not applicable

GRI 206: Anti-competitive Behavior 2016
206-1

Legal actions for anti-competitive behavior, anti-trust, and monopoly

Not applicable

practices

GRI 207：Tax 2019
207-1

Approach to tax

Compliance＞Tax

207-2

Tax governance, control, and risk management

－

207-3

Stakeholder engagement and management of concerns related to tax

－

207-4

Country-by-country reporting－

300 series (Environmental topics)
GRI 301: Materials 2016
301-1

Materials used by weight or volume

Overview of Environmental Impacts by Our Business Activities

301-2

Recycled input materials used

－

301-3

Reclaimed products and their packaging materials－

Energy consumption outside of the organization

Climate Change

GRI 302: Energy 2016
302-1

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Meiden Group Sustainability 2023

Disclosure Title

References

Material Topics
200 series (Economic topics)
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
302-2

Energy consumption outside of the organization

Information is disclosed annually concerning internal energy
usage volume and greenhouse gas emissions.
There are many customers and trading partners outside theorganization. As it is inefficient to manage the energy usage ofthese parties, greenhouse gas emissions are managed inaccordance with SBT and GHG protocols.

302-3

Energy intensity

Climate Change

302-4

Reduction of energy consumption

Climate Change

302-5

Reductions in energy requirements of products and services

Promote environmentally conscious design

GRI 303: Water and Effluents 2018
303-1

Interactions with water as a shared resource

Water Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
303-2

Management of water discharge-related impacts

Water Resources

303-3

Water withdrawal

Water Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
303-4

Water discharge

Water Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
303-5

Water consumption

Water Resources

GRI 304: Biodiversity 2016
304-1

Operational sites owned, leased, managed in, or adjacent to, protected

Biodiversity

areas and areas of high biodiversity value outside protected areas
304-2

Significant impacts of activities, products, and services on biodiversity

Biodiversity

304-3

Habitats protected or restored

Biodiversity

304-4

IUCN Red List species and national conservation list species with

Biodiversity

habitats in areas affected by operations

GRI 305: Emissions 2016
305-1

Direct (Scope 1) GHG emissions

Climate Change
Disclosure based on TCFD Recommendations
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)232

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Disclosure Title

References

Material Topics
200 series (Economic topics)
305-2

Energy indirect (Scope 2) GHG emissions

Climate Change
Disclosure based on TCFD Recommendations
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
305-3

Other indirect (Scope 3) GHG emissions

Climate Change
Disclosure based on TCFD Recommendations

305-4

GHG emissions intensity

Climate Change

305-5

Reduction of GHG emissions

Climate Change

305-6

Emissions of ozone-depleting substances (ODS)

Climate Change

305-7

Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air

Prevention of Pollution and Effective Utilization of Resources

emissions

Overview of Environmental Impacts by Our Business Activities

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

GRI 306: Waste 2020
306-1

Water discharge by quality and destination

Prevention of Pollution and Effective Utilization of Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
306-2

Waste by type and disposal method

Prevention of Pollution and Effective Utilization of Resources306-3

Significant spills

Prevention of Pollution and Effective Utilization of Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
306-4

Transport of hazardous waste

Prevention of Pollution and Effective Utilization of Resources
Overview of Environmental Impacts by Our Business Activities

Environmental Impact Data from the Four Main Manufacturing
Sites (Domestic Manufacturing Sites)
306-5

Water bodies affected by water discharges and/or runoff

Prevention of Pollution and Effective Utilization of Resources
Overview of Environmental Impacts by Our Business Activities

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

GRI 308: Supplier Environmental Assessment 2016308-1

New suppliers that were screened using environmental criteria

Supply Chain Management

308-2

Negative environmental impacts in the supply chain and actions taken

Climate Change
Supply Chain Management

400 series (Social topics)

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Disclosure Title

References

Material Topics
200 series (Economic topics)
GRI 401: Employment 2016
401-1

New employee hires and employee turnoverLabor Practices

401-2

Benefits provided to full-time employees that are not provided toLabor Practices

temporary or part-time employees
401-3

DEI（Diversity, Equity & Inclusion）

Parental leave

GRI 402: Labor/Management Relations 2016
402-1

Minimum notice periods regarding operational changes

Labor Practices

GRI 403: Occupational Health and Safety 2018403-1

Workers representation in formal joint management–worker health andOccupational Safety and Healthsafety committees
403-2

Types of injury and rates of injury, occupational diseases, lost days, andOccupational Safety and Healthabsenteeism, and number of work-related fatalities
403-3

Workers with high incidence or high risk of diseases related to theirOccupational Safety and Healthoccupation
403-4

Health and safety topics covered in formal agreements with tradeOccupational Safety and Health

unionsGRI 404: Training and Education 2016
404-1

Average hours of training per year per employee

HR Development

404-2

Programs for upgrading employee skills and transition assistance

Product Responsibility＞Developing Human Resources toprograms

Support the Supply of High-quality Products
DEI（Diversity, Equity & Inclusion）
HR Development

404-3

Percentage of employees receiving regular performance and career

Labor Practices＞HR Datadevelopment reviews

GRI 405: Diversity and Equal Opportunity 2016405-1

Diversity of governance bodies and employees

Labor Practices
DEI（Diversity, Equity & Inclusion）

405-2

Labor Practices＞HR Data

Ratio of basic salary and remuneration of women to men

GRI 406: Non-discrimination 2016
406-1

－

Incidents of discrimination and corrective actions taken

GRI 407: Freedom of Association and Collective Bargaining 2016
407-1

Operations and suppliers in which the right to freedom of association－and collective bargaining may be at risk

GRI 408: Child Labor 2016
408-1

Operations and suppliers at significant risk for incidents of child labor－

GRI 409: Forced or Compulsory Labor 2016409-1

Operations and suppliers at significant risk for incidents of forced or－compulsory labor

GRI 410: Security Practices 2016
410-1

Security personnel trained in human rights policies or procedures

Not applicable

GRI 411: Rights of Indigenous Peoples 2016234

Meiden Group Sustainability 2023

Disclosure Title

References

Material Topics
200 series (Economic topics)
411-1

Incidents of violations involving rights of indigenous peoples

Not applicable

GRI 413: Local Communities 2016413-1

Operations with local community engagement, impact assessments,
and development programs

413-2

Biodiversity
Community

Operations with significant actual and potential negative impacts on

Not applicable

local communities

GRI 414: Supplier Social Assessment 2016414-1

New suppliers that were screened using social criteria

Supply Chain Management

414-2

Negative social impacts in the supply chain and actions taken

Supply Chain Management

GRI 415: Public Policy 2016
415-1

－

Political contributions

GRI 416: Customer Health and Safety 2016
416-1

Assessment of the health and safety impacts of product and service

Product Initiatives (Management of chemical substances in

categories

products)
Product Responsibility

416-2

Incidents of non-compliance concerning the health and safety impacts

Not applicableof products and services

GRI 417: Marketing and Labeling 2016
417-1

Requirements for product and service information and labeling

Product Responsibility
Promote environmentally conscious design
Management of chemical substances in products
Prevention of Pollution and Effective Utilization of Resources

417-2

Incidents of non-compliance concerning product and service

Not applicable

information and labeling
417-3

Incidents of non-compliance concerning marketing communications

Not applicable

GRI 418: Customer Privacy 2016
418-1

Substantiated complaints concerning breaches of customer privacy

Not applicableand losses of customer data

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Home

SASB Content Index

Sustainability

SASB Content Index

Major Sustainability Disclosure Topics & Accounting Metrics
Content of Disclosure
Disclosure Topics

Accounting

Category

Metrics
Energy(1) Total energy

Management

consumption

Unit ofCode(FY2022 response status and place of reporting)

RT-EE-130a.1

997,570

MeasureQuantative

Gigajoules (GJ)

*Breakdown:
Japan - 801,205GJ /overseas - 196,365GJ
References:
Climate Change>Energy Consumption (crude oil equivalent)(2) Percentage

Percentage (%)

62.3

grid electricity (out*Breakdown:of (1))

Japan - 57.8% /overseas - 80.6%(3) Percentage

Percentage (%)

11.4

renewable*Breakdown:
Japan - 14.2%/

overseas - 0.0%
Hazardous Waste

Amount ofManagement

hazardous waste

Quantative

Metric tons (t)RT-EE-150a.1

336.1*Breakdown:

generated

Trace amount processing volume - 336.0t /high concentration processing volume - 0.1t
References:
Prevention of Pollution and Effective Utilization of
Resources>Promotion of Disposal and Processing of Devices
that Include PCBs

Percentage ofPercentage (%)

ーPercentage (%)

ーー・ Meidensha discontinued manufacturing equipment using

hazardous waste
recyclued(Optional)
Percentage ofincinerated
hazardous waste
for the purpose ofenergy recovery(%)
Supplemental

PCBs in September 1972.

information

・ As directed by the Act on Special Measures concerning
Promotion of Proper Treatment of PCB Wastes (PCB
Special Measures Act), we are gradually disposing ofdevices containing PCBs (polychlorinated biphenyls), suchas transformers and capacitors that we manufactured in
the past and stored for nearly 40 years.

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Content of Disclosure
Disclosure Topics

Accounting

Category

Metrics

Unit ofCode(FY2022 response status and place of reporting)

MeasureReferences:
Prevention of Pollution and Effective Utilization of
Resources>Promotion of Disposal and Processing of Devices
that Include PCBs
Total number of

Quantative

Number

RT-EE-150a.20reportable spills
Aggregate

Kilograms (kg)ー

Number1

Kilograms (kg)ーー・ In fiscal 2021, there was a single incident involving

quantity ofreportable spills(Ref) Total numberof spills according
to internal
standards(Ref) Aggregate
quantity of spills
according tointernal standards
Supplemental

exceeding voluntary standards for wastewater, but there
were no serious violations of environmental laws orinformation

regulations (including water intake, wastewater, otherwaste, and harmful chemicals).
・ Discharged substances have been recovered and ongoing
monitoring has been implemented for our only on-sitedischarge incident.
Product Safety

Number of recalls

Quantative

Number

RT-EE-250a.1

ー

Total units recalledー(Optional) (1)ーPercentage ofvoluntary recallsー(Optional) (2)Percentage of
involuntary recalls
Total amount of

Quantative

Yen

RT-EE-250a.2

0Quantative

Percentage by

RT-EE-410a.1

ー

RT-EE-410a.2ーmonetary losses
as a result of legal
proceedings
associated withproduct safety
Product Lifecycle

Percentage ofManagement

products byrevenue (%)

revenue that
contain IEC 62474
declarable
substances
Percentage of
eligible products,

Quantative

Percentage by
revenue (%)

by revenue, thatmeet ENERGYSTAR® criteriaー(If applicable) If
the products
certified to aprevious versionof an ENERGYSTAR® standard,

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Content of Disclosure
Disclosure Topics

Accounting

Category

Metrics

Unit ofCode(FY2022 response status and place of reporting)

Measuredisclose
information
including theversion of thestandard to which
its products are
certified, abreakdown of how
many products are
certified to thatversion of thestandard, and its
timelines toachievecertification to themost current
version of thestandard.
Quantative

Yen

RT-EE-410a.3ーDescription of theDiscussion and

n/a

RT-EE-440a.1

Promotion of Sustainability that Involves the Entire Supply

management ofanalysis

Revenue fromrenewable energyrelated andenergy efficiencyrelated products
Materials Sourcing

Chainrisks associatedwith the use ofcritical materials
Business Ethics

Description of

Discussion andpolicies andanalysisn/a

RT-EE-510a.1

Anti-corruption Measures

Yen

RT-EE-510a.2

0practices forprevention of:(1) corruption andbribery and (2)anti-competitive
behavior
Total amount of

Quantative

monetary losses

References:

as a result of legal

Compliance>Compliance Data

proceedings
associated withbribery or
corruption
Total amount of

Quantative

Yen

RT-EE-510a.30monetary losses

References:

as a result of legal

Compliance>Compliance Data

proceedings
associated with
anti-competitive
behavior
regulations

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Activity Metrics
Content of Disclosure
Accounting Metrics

Category

Unit ofCode(FY2022 response status and place of reporting)

MeasureProduction units for each

Quantative

Number

RT-EE-000.Aー

Quantative

Number

RT-EE-000.B

9,816

product category
Number of consolidated
employees*2

References:
Labor Practices>HR Data

*3

*1

Refer to Policy on Conflict Minerals Issue on our website for details of Meiden Group Sustainable Procurement Guidelines.

*2

Refer to Meiden Group Anti-Bribery Policy on our website for details of the Meiden Group Anti-Bribery Policy.

Number of employees represents the number as of March 31, each year.

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