Company Introduction

Relationship with
Our Stakeholders

Relationship with Our Customers

P. 48–49

Relationship with Our Business Partners

P. 50-51

Relationship with Our Shareholders and Investors

P. 52–57

Relationship with Our Local Communities

P. 58–59

Each and every member of the Toyota Industries Group makes
sure to build in quality with ownership (Jikotei Kanketsu) at theirown workplaces and positions to supply appealing products/
services that exceed the expectations of customers around theworld with safe and reliable quality.

Carrying on the spirit of founder Sakichi Toyoda that
“A product should never be sold unless it has been carefully
manufactured and fully tested in the commercial trial, withcompletely satisfactory results,” Toyota Industries strongly
believes that quality is the lifeblood of a company. Under
this belief, we have formulated our Quality Vision as ourphilosophy in ensuring quality that forms the basis of ouroperations.

the head of the Production Headquarters*1 for identifying
additional issues and devising countermeasures. Issues
raised are followed up at meetings of the Company-wide
Council of Heads of Quality Assurance Departments chairedby the head of the Quality Control Department*1.
*1: As of March 31, 2021

Quality Assurance Activities Based on the Quality Guidelines
Checking and identifying issues ofCompany-wide quality status and progressin implementing the guidelines

Head of the Production
Heads of
Headquarters
business divisions

Company-wide Council of Heads of
Quality Assurance Departments

ent
em
nag
lity
g
Ma lity
qua
turin
qua
ufac
ting
Man lity
r ke
Ma
qua

Product quality●Safety●Eco-friendliness●Durability●Ease of use

Designquality●Brand strength●Corporate image●Sales●Service●Logistics●Workmanship

Manufacturing capabilities

Toyota Industries strives to maintain and improve thetotal quality of our corporate activities, which encompasses
not only “product quality” but also “marketing quality” and“management quality.” “Product quality” is embodied in
the safety, eco-friendliness, durability, ease of use andworkmanship of our products, while “marketing quality”
entails excellent sales and service in addition to these
attributes and “management quality” further enhances ouroverall corporate image and brand strength in terms of all ofthese attributes.

Quality Guidelines and Quality Assurance
Structure
To achieve the goal of the Quality Vision, we issue the Quality
Guidelines, which identify priority quality-related issues to be
implemented in each fiscal year, to all production bases inand outside Japan and engage in quality assurance activities
accordingly. The implementation status of these guidelines
is reviewed by top management at the Quality Functional
Meeting chaired by a senior executive officer serving as48

Toyota Industries Report 2021

Quality Vision
Quality Roadmap

A
CP

PDCA*2cycle

Quality Guidelines

D

Quality assurance activities atall bases in and outside Japan

Types of Quality Sought by Toyota Industries

Quality levels that
customers truly
expectImplementing
Company-wide
guidelines

President
Quality Functional Meeting

Quality Guideline 1
Quality Guideline 2
Quality assurance in Quality assurance inproduct development
mass production

Quality Guideline 3
Quality assurance atbusiness partners

Corporate Information

Relationship with Our Stakeholders

factors integral to risk assessment, namely, the likelihood of an
occurrence of a hazard and severity of damage caused by it.
CSR Material Issue

Regarding quality as one of its material issues, Toyota Industries practices monozukuri (manufacturing) that quickly
responds to the diverse, ever-changing needs of customers.

Quality Vision

Promotion of ESG Initiatives

P. 51

Relationship with Our Associates

Relationship with Our Customers

Basic Perspective on Quality

Strategies and Businesses

Quality Guideline 4
Human resources/
workplace developmentn Rate of performing risk assessment on applicableproducts (non-consolidated): 100%

Major Initiatives
Preventing Occurrence and Recurrence of Defects
If a defect is found in a product after its launch, the Quality
Assurance Department of the responsible business division
takes the lead in making a swift response to eliminate theconcerns of customers and implementing measures toensure non-recurrence of the same defect. In particular, adefect causing considerable inconvenience to customers
is recorded as a critical quality issue and reported to thepresident. At the same time, we have in place a system
to follow through on customer response as well as
measures to prevent recurrence. Accordingly, we examine
and identify the cause by going back to its development
process. We implement countermeasures both from theprocess and technological aspects and revise our new
product development process as necessary. Through thesemeasures, we strive to thoroughly avoid the recurrence of thedefect in subsequent models. Additionally, we make efforts toprevent the occurrence of defects in all products we develop
and manufacture in the future by taking measures throughout
Toyota Industries.

*2: PDCA (Plan, Do, Check, Act)

Providing Support to Business Partners

Toyota Industries undertakes product development thatmeets customer expectations by capturing market needs
and understanding how our products are actually used bycustomers.
At Toyota Industries, development of a new productentails defining specific goals to incorporate quality in every
stage from product planning and design to production
preparation, production, sales and after-sales services. We
perform a design review (DR), which allows a product toproceed to the next stage only when a responsible businessdivision head examines and approves whether the producthas reached the target quality level.
Additionally, we are proactive in obtaining ISO 9001
certification, an international standard for quality management
systems, and IATF 16949, an international standard forautomotive quality management systems, throughout ourbusinesses.
n ISO 9001 certification:
Acquired by 20 out of the 24 production subsidiaries

Since improving the quality of our products requires
concerted efforts with our business partners in and outside
Japan, we are strengthening joint quality assurance activities
with major business partners.

(as of July 2020)

Risk Assessment for Product Safety
In order to provide products that are safe for customers touse, each business division conducts risk assessment during
a DR to identify, assess and respond to all risks.
We are also making Company-wide efforts to promote
the development of human resources who can assess two

1. Quality Audit

In each annual quality audit, we determine priority areas,
conduct genchi genbutsu (go and see for yourself)
inspections to confirm the improvement status of thepreviously identified deficiencies and provide quality
education on items that should be reinforced in order tocultivate a deeper understanding of kaizen (improvement).
In fiscal 2021, since on-site visits were not possible, we
performed audits remotely.

2. Nurturing Internal Auditors

To foster voluntary quality improvement efforts of business
partners, we are promoting efforts for business partners
satisfying our criteria to nurture their own internal auditors
and autonomously improve their quality assurance systems.
These activities enable our business partners to attain thelevel of quality assurance required and establish a culture tofoster quality assurance on their own.

human resources who think, learn and act on their own. We
have also been promoting quality control (QC) circle activities
and creative proposals to establish a vibrant workplace alongwith promoting the development of human resources who
can take a scientific approach to quality assurance by using
statistical quality control (SQC) techniques and big data
analysis.

1. QC Circle Activities

We encourage all employees to participate in QC circle
activities. We have garnered many awards, as we presented
the results of our activities at QC circle conventions acrossJapan. For example, we received an encouragement award
under the QC Circle Kaoru Ishikawa Award program for four
consecutive years. The award is given to QC circles for theircontribution to widespread, more active and better QC
circle activities.
Our production bases outside Japan are also proactive inpromoting QC circle activities. We assist them in undertaking
independent activities by nurturing and certifying QC circle
trainers at each base. Even though the COVID-19 pandemic
that started in 2020 affected QC circle activities of all bases
outside Japan, these trainers have devised creative solutions
to maintain their initiatives.
As for the Global QC Circle
Convention held every
year in Japan as a venue
for presenting activity
results, we switched toa video session in fiscal
2021 and shared the
QC circle meeting held outside due toaccomplishments of
COVID-19 pandemic (Indonesia)
all bases.
With regard to employees’ creative ideas, we received
nine awards in fiscal 2021 in the Creativity category in theCommendation for Science and Technology by Japan’s
Minister of Education, Culture, Sports, Science andTechnology.

2. Nurturing Human Resources Who Can Take a
Scientific Approach

As part of our basic education on quality management, weteach the basics of SQC and big data analysis.
Under this initiative, we have been working to increase
the practical application of big data analysis. Specifically,in addition to nurturing core human resources throughproblem solving in the workplace, we have held the TICOSQC Convention for 37 years to share best practices of eachbusiness division and hone collective skills. In fiscal 2021, thissession was held online in response to COVID-19.

TICO SQC Convention (held online)

Promoting Human Resources and Workplace
Development
Toyota Industries provides systematic quality education to
all employees to help them acquire quality assurance skills
needed in actual operations. We have been developing

CSR Material Issuen Rate of receiving quality education and training (nonconsolidated): 100%
(Number of employees receiving basic education on quality
management: 178)

49

Company Introduction

Strategies and Businesses

Promotion of ESG Initiatives

Corporate Information

Relationship with Our Stakeholders

Relationship with Our Business Partners
Toyota Industries encourages open procurement and seeks co-existence and co-prosperity with our business
partners (suppliers) based on mutual trust. We also facilitate fair trade, environmentally preferable purchasing,human resources development, disaster prevention activities for a possible major earthquake and other disasters
and more efficient purchasing.

Major Initiatives

Procurement Policies• Fair and equitable business transactions based on an open
door policy• Co-existence and co-prosperity based on mutual trust• Reducing environmental impact through environmentally
preferable purchasing• Localization of business for good corporate citizenship• Legal complianceFair and Equitable Business Transactions Basedon an Open Door Policy
We provide fair and equal opportunities to all potential
business partners. We comprehensively evaluate ourbusiness partners based on such factors as quality, price,adherence to delivery times, technological capabilities andmanagement information. We also assess their initiatives forsafety, the environment and compliance as we strive for thetimely and stable procurement of excellent products at lower
costs based on fair business transactions.

Co-Existence and Co-Prosperity Based on
Mutual Trust Cultivated through Regular Dialogue
We work hard to realize co-existence and co-prosperity withour business partners based on mutual trust. Every year, wehold procurement policy meetings and top manager seminars
for major business partners to facilitate mutual understanding
and cooperation. In addition, we provide such programs as
quality control and technical skills training, guidance directed
toward kaizen at their production sites and safety and healtheducation throughout the year.

Reducing Environmental Impact throughEnvironmentally Preferable Purchasing
We aim to procure parts, raw materials and equipment frombusiness partners that give sufficient consideration to theenvironment.
In the sixth edition of ourEnvironmentally Preferable
Purchasing Guidelines, we added
the aspirations in 2050 of ourEnvironmental Vision. Accordingly,
we have been strengthening
environmental management in our
entire supply chain and undertaking
relevant initiatives throughout the
product lifecycle.
Link tothe guidelines

50

Toyota Industries Report 2021

Environmentally Preferable
Purchasing Guidelines

Human Resources Development
We proactively provide education to enhance procurement
knowledge. In fiscal 2021, we provided education mainly
on Japan’s Subcontracting Law to personnel in charge ofprocurement at Toyota Industries and affiliated companies byusing a web conference system for greater efficiency and forpreventing the spread of COVID-19.
We also thoroughly inform personnel in chargeof procurement about our response to the Japanese
government’s initiatives and guidelines aimed at ensuring fair
subcontracts.

n Response to Conflict Minerals
As one initiative for respecting human rights, we stipulate
our Procurement Policies for Mineral Resource and Raw
Materials in the CSR Guideline for Business Partners.
Based on these policies, we conduct a periodic check to
confirm that Toyota Industries and its business partners
do not use conflict minerals that have concerns for thefunding of armed groups or for the abuse of humanrights, such as child labor, forced labor and mining underpoor working conditions.
n Establishing a Hotline for Business Partners
In fiscal 2017, we set up a hotline for our business
partners to report and inquire about possible complianceviolations in Toyota Industries’ procurement activities toensure early detection and the prevention of problems.

2. Business Continuity Management (BCM)
In further promoting BCM, we are making concerted
efforts with business partners to reduce associated risks
by implementing specific measures. In fiscal 2021, to deal
with frequent natural disasters in recent years, we extended
the scope of our IT system-based damage assessment
from earthquakes to other natural disasters. As part ofour supply chain risk assessment related to floods, wehave identified business partners with flood risk by using
hazard maps. Moreover, in order to recover quickly andmaintain production, we have reinforced our flood control
measures at each base while at the same time accumulating
inventories and examining ways to decentralize suppliers
and production bases.

Relationship with Our Shareholders and Investors
We aim to obtain an appropriate company valuation in stock markets through timely, appropriate and fair
information disclosure as well as proactive dialogue with shareholders and investors.

Participants of Subcontracting Law-Related Seminars
Toyota Industries(Persons)

Affiliated companies

1,200
1,000
800
600
400
200
0

(FY)

17

18

19

20

21

Procurement Risk Management
1. CSR-Related Efforts in the Supply Chain
Once a year, we distribute to our business partners the
CSR Guidelines for Business Partners, which describe ourrequirements related to CSR activities, and ask them toperform a self-inspection using a checklist. By doing so,
we are striving to maintain soundtransactions and augment a related
structure throughout the supply
chain.

Basic Perspective and Implementation
Structure
Toyota Industries continually carries out timely, appropriate
and fair information disclosure for shareholders and investors.
In this way, we raise management transparency and increase
an understanding of the Toyota Industries Group so that we
obtain an appropriate company valuation in stock markets.
Our investor relations (IR) activities are supervised by an
executive in charge of the Corporate Planning Department.
We also strive to engage in proactive dialogue withshareholders and investors by establishing a dedicateddepartment.

Major Initiatives
We implemented various safety protocols for our 142ndGeneral Shareholders’ Meeting held on June 9, 2020,
including reducing the number of available seats, to preventthe spread of COVID-19 and ensure the safety of ourshareholders.
With regard to the exercise of voting rights, we
encouraged shareholders to use the Internet and other online

CSR Material Issuen Rate of performing a CSR
check on applicable suppliers(non-consolidated): 100%
Link tothe guidelines
Toyota Industries’ CSR Guidelines for
Business Partners are available on its
Website (in Japanese).

means. All resolutions were passed at the meeting.
For institutional investors and analysts, we held financial
results briefings by management, while the Investor Relations
Office conducted individual interviews via telephone and theInternet. At these opportunities, we engaged in dialogue
on our future direction and other topics, which pertained
mainly to initiatives carried out by each business under
the pandemic as well as logistics solutions, for which wehave been striving for business reinforcement, and efforts
concerning electrification in the fields of automobiles andmaterials handling equipment.
Opinions and requests we collect throughcommunications with shareholders and investors are fed
back to executives and relevant business divisions via theBoard of Directors and various committees to reflect them inour future business activities.

Returning Profits to Shareholders
Toyota Industries regards ensuring shareholder benefits
as one of the most important management policies.
Accordingly, we strive to continue paying dividends at theconsolidated dividend payout ratio of roughly 30% and meetthe expectations of shareholders upon comprehensively
taking into consideration such factors as business results anddemand for funds.
For fiscal 2021, Toyota Industries decreased annual cash
dividends by ¥10.0 from the previous fiscal year and paid
annual cash dividends per share of ¥150.0 (interim cash
dividend per share of ¥70.0 and year-end cash dividend pershare of ¥80.0).

CSR Guidelines for
Business Partners
142nd General Shareholders’ Meeting

51

Company Introduction

Strategies and Businesses

Promotion of ESG Initiatives

Corporate Information

Relationship with Our Stakeholders

Relationship with Our Associates
We undertake initiatives to enable associates to work safely and with peace of mind as well as to exercise theirdiverse potentials and play active roles.

Major Initiatives
Building Interpersonal Relationships
Toyota Industries believes it important to build good
relationships between supervisors and subordinates as wellas among associates through sufficient communication.
Accordingly, we are facilitating communication in theworkplace through various measures. Examples include thepromotion of active communication between supervisors andsubordinates as well as a mentorship system in which moreexperienced associates take care of younger associates,
giving advice about their worries, including those in their
daily lives. We are also promoting informal, non-business
communication to cultivate a sense of unity in the workplace
and throughout Toyota Industries via various events. They
include social gatherings organized by each workplace aswell as sports days, summer festivals and Ekiden longdistance relay races held jointly by some Toyota Industries
Group companies as annual activities. Through these efforts,
we are creating a workplace where each associate can thrive.

Increasing Associate Satisfaction
Toyota Industries focuses on creating a workplace thatenables individual associates to demonstrate their abilities
to the fullest and find their work rewarding and meaningful.
While our basic stance is to solve difficulties faced byassociates and their grievances about the workplace throughcommunication between supervisors and subordinates, we
also listen to voices of associates through Company-wide
morale surveys. In addition, we strive to improve working
environments by holding comprehensive labor-management
discussions on associates’
suggestions gathered by ourworkers’ union. As we believe
ensuring stable livelihoods for
associates is another importantmatter, we are enhancing ourwelfare program to realize moreenriching and fulfilling lives.

Interview between a supervisor andsubordinate

52

Toyota Industries Report 2021

Toyota Industries recognizes that to achieve sustainablecorporate growth associates’ personal growth and improved
skills are essential and constitute the most important factor
in work motivation. Recognizing that on-the-job training(OJT) through daily work forms the basis of our humanresources development, we hold a biannual supervisorsubordinate interview to discuss various matters, including
a challenge of achieving the subordinate’s further growth. To
complement OJT, we also provide introductory training for
new employees, rank-based training for associates being
promoted to a higher position and specialized education tocultivate expertise, abilities and skills necessary for carrying
out work tasks. We are working to reinforce human resources
development by
providing a variety of
training programs thatlead to practical use in
the workplace.

Training for newly appointed Senior staff (SS)Rank-Based Training/Grades
Office associates
Managers

Senior staff(SS)

Middle staff(MS)

Production associates

Training for newly promoted
managers grade 3
TICO Business Practices
training III
Training for newly promoted SS

Training for newly promoted CXTICO Business Practices
training II
Training for newly promoted MS

Training for newly promoted SXManagers

Chief experts(CX)

2. Promoting Active Roles of Female Associates
CSR Material Issue

We aspire to let individual associates to thrive in theirassigned work and role regardless of gender. Accordingly,
we have augmented our efforts to promote greater roles offemale associates.
In 2015, we set up a project to promote more activeroles for female associates in office work and engineeringAction Plan for More Active Roles for Female Associates
Implementation
FY2016 – FY2022(1) Launch, message from president(2) Awareness seminar for managerial staff
Changing
mindsets(3) Follow-up on individual development plansamongmanagerial(4) Getting spouses involved in pre-maternity
staff and acrossleave seminars
all associates(5) Lectures by male role models(Ongoing)(6) Promoting further engagement of maleassociates in childcare(1) Sending associates overseas for training at
an early stage in their careers(Ongoing)(2) Career training and interviews for female
assistant managers
Career support(3) Role model exchange meetings
for female
associates(4) Early return-to-work support (pre-maternity
leave seminars)(5) Early return-to-work support (financial aid
system for day care costs)(1) Expanding work-at-home options
Promotingflexible working (2) Establishing satellite offices
practices(3) Installing refrigerated delivery lockers
Promoting more (1) Launch
active roles of(2) Seminar for supervisors on nurturing
femalefemale subordinates
production
associates(3) Work style seminar for female associates

Phase 1

Senior experts(SX)

Experts (EX)Phase 2Phase 3

Establishing and enhancing work- Cultivating a culture to encourage
more active roles
life balance support systems
to instill related practices

Undertaking initiatives to promote even greater roles

2002 —

2015 —

2008 —

2019 —

Training for newly promoted EX

Junior staff(JS)
TICO Business Practices
training I

Production associate training III
Production associate training II

Clerical staff(CS)

positions, comprising males and females from different
departments. This project was key for the identification ofissues and formulation of policy proposals in promoting activeroles of female associates, which formed the basis for theInitiatives for Promoting Active Roles of Female Associates

Induction training

Generalassociates

Induction training

Supporting Active Roles and Work Styles ofDiverse Human Resources
1. Supporting Work-Life Balance
We have been carrying out activities so that associates
who are balancing work and family can work with higher
motivation and pursue career development. Such activities

Promoting active roles

Under the spirit of “Respect for People,” Toyota Industries
undertakes a range of initiatives based on a relationshipof mutual trust and mutual responsibility between the
Company and associates. Our basic concept in this area isto develop and leverage the capabilities of associates andthe organization to the fullest by promoting the creation of ahighly motivated team.

Human Resources Development

Supporting
work-life balance

Basic Concept of Human Resources
Management and Labor Management

mainly focus on enhancing systems to support a work-lifebalance and facilitating an understanding for maintaining awork-life balance.
The enhancement of systems to support a work-lifebalance includes an on-site day care center; a return-towork (“welcome-back”) system, which allows associates
who have left work to care for children and family members
or to accompany their spouse for a job transfer to getreinstated under certain preconditions; a shorter work-hoursystem for childcare; and a leave system and loan system
for fertility treatment. Through these systems, we provide
an environment for associates to work at Toyota Industries
for longer years with peace of mind. As a means to facilitate
an understanding for maintaining a work-life balance, we
distribute the Handbook for Balancing Work with Nursing
Care to associates above a certain age to help them gain
knowledge on nursing care and to create a workplaceculture that allows associates to seek advice easily. We also
regularly hold seminars on balancing work with nursing care
for associates and their families and provide newsletters on
nursing care to those who are interested.
As a result of these efforts, Toyota Industries received“Platinum Kurumin” certification from the Ministry of Health,Labour and Welfare in August 2019 in recognition of our
excellent efforts concerning work-life balance as well as a
“Family-Friendly Company” award from the Aichi prefectural
government in February 2020.

Cultivating a culture• Opening a diversity-related pageon the intranet• Female associate exchange
meetings• Holding lectures

Project to promote more active roles for female
office associates
Working group for promoting activeroles of female production associates

Enhancing support systems• Extending the period of• Introducing a shorter work-hour system for childcare
childcare leave• Introducing a leave system to allow• Introducing a work-at-home systemparental care of children with illnesses• Establishing on-site day care center• Installing delivery lockers• Introducing a “welcome-back” system• Introducing a financial aid systemfor day care costs• Introducing a system of leave
for fertility treatment

53

Company Introduction

Strategies and Businesses

Promotion of ESG Initiatives

Corporate Information

Relationship with Our Stakeholders

development of a Company-wide action plan in clarifying
the initiatives for this project. Under the plan, we are moving
ahead with efforts to promote even greater roles of female
associates. Since fiscal 2017, we have held a seminar for a
cumulative total of more than 1,400 managers who directly
engage in the mentoring and development of associates.
Starting from fiscal 2020, we have been conducting
enlightenment activities to foster an understanding of theenvironment in which associates, both male and female,having limited working hours due to nursing care or childcare
are working. We have also worked to raise awareness ofhuman resources development that takes into account theirlife events.
In order to create an environment to allow associates
who are balancing work and childcare to work with higher
motivation and pursue career development, we haveenhanced our programs to support the early return to workfrom a break in their career. Efforts include a full-day work-athome system launched in October 2016; pre-maternity leaveseminars started in December 2017 for associates and theirspouses to think about a way of working after returning towork; and a financial aid system for day care costs adopted

3. Employment of Persons with Disabilities

TOPIC

We respect the idea of people with and without disabilities
working together and sharing life and work values. Under thisbasic policy, we continue to employ persons with disabilities
every year. They are assigned to a variety of sections andwork with other members to perform their designated tasks.

Promoting More Active Roles of Female
Production Associatesn Ratio of associates with disabilities: 2.40%(non-consolidated)

We aspire that all associates engaging in production
operations fully work and take active roles until an older
age. In order for female associates to do so, we need
to overcome issues of gender-related differences inphysical strength and frame as well as the challenges ofworking during pregnancy, after giving birth and whileraising children. As a means of doing so, we formed a
Female Working Group and Job Level Working Groupin fiscal 2020. These groups have been working toreview current issues, identify countermeasures andformulate an action plan for the next and following fiscal
years. In fiscal 2021, we held a work style seminar for
female associates, during which female production
associates explored experiences and work styles
necessary to continue thriving in their own way andcreated a plan themselves. We also held a seminar for
supervisors on nurturing female subordinates, giving
them an opportunity to think about how best to support
their subordinates.

Ratio of associates with disabilities (non-consolidated) andlegally mandated ratio

Toyota Industries Report 2021

processes in production lines with the development of a work
analysis system that evaluates work posture using videos. In
addition, we hold “Seminars for an Active Life” for associates
reaching the age of 50 and 55 to give them an opportunity toenvision life and work for the next 10 years.

Efforts Related to Respect for Human Rights
Toyota Industries believes it essential to ensure that we do
not infringe human rights of all of our stakeholders involvedin business activities, including associates. It is equallyimportant to take appropriate measures to rectify the
infringement and fulfill our responsibility if human rights arenegatively impacted in our business activities.
In respecting human rights, it is crucial that every
associate has a correct understanding of these rights. As
such, we undertake human rights enlightenment activities
through new employee education and rank-based training.
We also recognize that non-Japanese associates working inJapan are more susceptible to human rights-related troubles
due to language barriers as well as different living andworking environments in Japan and their home countries.
To protect such associates, we conduct human rights due
diligence concerning their employment on our consolidated
subsidiaries in Japan.

CSR Material Issue

Work style seminar for female production associates

54

in April 2018 for associates working while taking care of
infants younger than one year old.
As a result of these initiatives, the number of female
managers has steadily increased. In October 2016, wereceived “Eruboshi (“L Star”: L stands for Lady, Labourand Laudable)” certification, which is given to companies
making excellent efforts in promoting female engagement in
the workplace, from Japan’s Ministry of Health, Labour andWelfare. In November 2019, we also received an “Excellent
Company” award from the Aichi prefectural government
under its “Female-Friendly Company” certification program.
Looking ahead, we will continue to make efforts toimprove workplaces to offer females a wider range of jobs
and higher quality of work and maintain initiatives started infiscal 2020 to promote active roles of female associates in
production operations. We will also support the creation of abetter working environment to enable all associates working
under time constraints to fulfill their individual potential.

(%)
2.5

Ratio of associates with disabilities

2.4
2.3

Structure for Promoting Safety and Health
Under our basic policy of placing a top priority on safety,
we have been striving to eliminate industrial accidents andoccupational disorders. As part of such efforts, we haveestablished the necessary committees, including the Central
Safety and Health Committee and Plant Safety and HealthCommittees.

Occupational Safety and Health Management
SystemIn accordance with the concept of an Occupational Safety
and Health Management System (OSHMS), we haveestablished a required management structure in each plant(or business division) headed by a general safety and healthmanager (senior executive officer or another executive)
and have been carrying out safety and health activities on
an ongoing basis from human, object and administrative
standpoints based on risk assessment.
Management Council / CSR Committee

Central Safety and Health Committee(Chaired by the responsible
senior executive officer, etc.)(Held twice a year)

Basic Perspective on Safety
Based on the idea of building “a homelike atmosphere atwork that is warm and friendly” as stated in the Toyoda
Precepts, we formulated the Safety Vision in 2013 after
holding repeated discussions on the “basic stance on safety”
and “optimal safety we seek.” The vision has been instilled at
all bases in the Toyota Industries Group.

Subcommittee on
Improvement of Working
Environment(Held twice a year)
Plant Safety and Health Committees(Chaired by the responsible
senior executive officer, etc.)(Held once a month)

2.2

Improvement Flow of Safety and Health Activities

2.1

Legally mandated ratio

2.00(FY) 17

18

19

Continuous
improvement

20
21(As of June 1 of each fiscal year)

4. Creating a Work Environment for Older
Associates
In order to enable older
associates to work and takeactive roles in production
operations, we have been
focusing on creating a better,less physically stressful work
environment for them.
Recent efforts include
setting up standard
procedures for the handlingof heavy objects and a work
environment that makes it
easier for older associates
to work, and improvement in

Review by

A management
Inspection andC corrective measures

Occupational Safety
and Health Policies

P

Plans
Execution and

D operation

Safety Vision

Process improvement using
the work posture analysis system

Each and every associate in the Toyota Industries
Group, guided by the spirit of our corporate creed,aims to create a corporate culture that places a toppriority on maintaining safety in all areas and focuseson mutual courtesy and safety as well as realizing
workplaces where associates work each day with asense of happiness and pride.

Major Safety-Related Initiatives
Thorough Safety and Health Education
In order to cultivate knowledge, awareness and the skills
necessary to prevent industrial accidents and occupational

55

Company Introduction

Strategies and Businesses

Promotion of ESG Initiatives

Corporate Information

Relationship with Our Stakeholders

Education to foster a safety culture
Safety workshops, education to improve an ability to
predict hazards, education to actually experience hazards(safety dojo), etc.

Education based on positions/grades andassociated roles
Introduction training, production associate training II, training
for newly promoted SX and CX, training for newly promoted
forepersons, safety manager education, etc.

Education for acquisition of qualifications(cultivation of personal skills)
Licenses, skills seminars, special education, repeatededucation for capability improvement, etc.

checks by inspectors
possessing the required
skills, as an effort toimprove the safetyassurance of equipment.
We will continue
to work toward thedevelopment of safe
workplaces andEducating inspectors
safety-oriented humanresources based on an approach of the Toyota Production
System (TPS), which is to always shut down a machine
when something is wrong and take fundamental measures toremove the root cause.
Frequency Rate of Lost Workday Injuries (Non-Consolidated)

Manufacturing industry

No Smoking Days: Half-day no smoking (for 10 days)

TOPIC

Walking events

Held jointly with health insurance association twice ayear in spring and fall (761 participants)

Included in White 500 for Four Consecutive
Years

Early detection

Providing financial aid for various examinations(used by 914 associates)

0.80

Manufacturers of transportation machinery and equipment

Efforts against Serious Accidents
CSR Material Issue

In 2019, a serious accident occurred at a Toyota Industries
plant during the product quality assurance process due tothe defective structure of equipment. We subsequently madeefforts to identify deficiencies and undertaken measures
to prevent recurrence. In fiscal 2021, we continued toconcentrate on the implementation of physical measures.
As an example, in May 2020 we introduced a mechanism toalways cut off power when an operator accesses a machine
while disabling its safety device.
In addition, we have built a system to definitively prevent
serious accidents when installing or retrofitting equipment,
which includes visualization of stop control and safety feature(FY) 17

18

19

20

21

Source: Survey on Industrial Accidents, Japan’s Ministry of Health, Labour and Welfare

Major Health-Related Initiatives
As a task for the medium term, we are promoting healthimprovement of associates, mainly focusing on preventionof lifestyle diseases and mental health support activities, tocounter risks of health problems associated with aging andgreater stress. Through these efforts, we help associates towork and take active roles over the long term.

Improving Mental Health Support Systems(Introduced a Stress Check System in Fiscal 2017)

Objective

Prevention of Lifestyle Diseases
As a collaborative initiative of Toyota Industries, its workers’
union and health insurance association, we conduct periodic
age-based health education for all associates (every five
years, from the age of 30). To provide motivation for better
health, we feed back to associates the results of an annual
health checkup along with advice to improve lifestyle habits.

For its efforts related to the health of associates, forthe fourth consecutive year Toyota Industries wasrecognized in the large enterprise category of the 2021
Certified Health and Productivity
Management Organization
Recognition Program (White 500)
jointly promoted by Japan’s Ministryof Economy, Trade and Industry and
the Nippon Kenko Kaigi.

Major Activity Indicators
Activity indicator

FY2019FY2020

FY2021

Participants of age-based
health education*

2,470
persons

2,357
persons—

Rate of undergoing a stress
check

99%

99%

99%

* Temporarily suspended from March 2020 for preventing the spread of COVID-19

Workplaces

Individuals

Mental health education

As part of activities to prevent accidents (fires and explosions)and industrial accidents involving business partners on thepremises of Toyota Industries, we have established the Safety
and Health Council with subcontractors located on our
premises to jointly create a comfortable working environmentby sharing information on accidents and disease prevention
activities of Toyota Industries.
Using past accident cases as a reference, we periodicallyshare various information, including matters that should beobserved to prevent similar accidents, with subcontractorsof outsourced work. We also request their cooperation to
perform risk assessment in the construction work planningstage to identify associated risks. In addition, we encouragethem to always discuss in advance a safe work method withthe departments of Toyota Industries planning a construction
project.

Good

0.00

As part of mental health support activities, we have in placea system to offer early consultation through a health-related
hotline. Other activities include upgrading our self-care/line-care education to prevent new cases of mental healthproblems and operation of a return-to-work support programfor persons on long-term leave for prevention of relapses.
We have successfully achieved positive results through these
activities.
In fiscal 2021, we put particular emphasis on line careand encouraged supervisors to use check sheets and checkcards to develop skills to recognize the sign of a problem
of subordinates who report directly. Through this effort, wePreventing relapses

Safety and Health Activities for Business Partners

Mental Health Support

Preventive measures

Education based on job categories and businesscharacteristics
Education on emergency measures, education on equipment
lockout, basic education on equipment safety, hands-on
education using virtual reality (VR), risk assessment, etc.

have worked to instill a culture that will lead to increased
awareness and action. Under the stress check system
introduced in fiscal 2017, we again conducted a check on
all associates in fiscal 2021 and fed back the check results
to all participants and workplaces with suggestions for
improvement. We also set up an individual interview with adoctor for those wishing to do so and provided improvement
support as necessary to individual workplaces. As a means
to feed back the results to workplaces, we operate an ITbased Workplace Check Results Viewing System that allows
the users to perform a precise search of results and tips for
improvement.

Stop smoking
awareness event

1.20

Toyota Industries

Toyota Industries Report 2021

Major Health Promotion Activities in Fiscal 2021

1.60

0.40

56

In fiscal 2020, we started providing such information as
physical fitness propensity scores and countermeasures,
how physically fitted for work, assessment of physical fitness
age and recommended exercises to increase motivation for
promoting physical fitness.
For preventing and ameliorating symptoms of metabolic
syndrome, we provide health promotion guidance toassociates at the age of 39 or younger in addition to specifichealth guidance required by the Japanese government. By
doing so, we encourage associates to improve lifestyle habits
early on.

Early detection/early resolution

Ensuring to cultivate the necessary knowledge,
awareness and skills at the appropriate timing

disorders, Toyota Industries proactively provides safety andhealth education, including education designed to fostera safety culture, education required by law, rank-based
education and job-category-based education.

Providing information on mental healthResponse to COVID-19

Improving support via the introductionof a stress check system

In accordance with the Risk Response Manual, which
has been formulated to prepare for an emergency,
Toyota Industries has established a COVID-19 Response
Headquarters and has been collaborating with health centersand other public agencies to counter the pandemic. We havedeveloped and distributed a response manual specifying
procedures to follow when infection occurs in a workplace.
Our basic COVID-19 protocols also include checking bodytemperature every morning, frequent hand washing andavoiding the 3Cs (closed spaces, crowded places andclose-contact settings) as well as working from home. We
will continue to collect relevant information and implement
measures corresponding to the latest developments
regarding the infection status.

Encouraging associates
to be more aware of
their health andoffering advice on
health improvement
measuresInterviews aspart ofhealth checks

Providinginformation oninternal andexternal
health-related
hotlines

Understanding thecauses of stress inthe workplace andimproving working
environments

Workplace Check
Results Viewing<Line care>
SystemDisseminating(also providing theknowledge on
results of associate
skills torecognize problems awareness surveys)
Return-to-work support

Walking event

57

Company Introduction

Strategies and Businesses

Promotion of ESG Initiatives

Corporate Information

Relationship with Our Stakeholders

Relationship with Our Local Communities
With a view toward creating an enriched and healthy society and ensuring its
sustainable growth, we fulfill our role as a good corporate citizen and actively undertakesocial contribution activities in every region where we do business.

Basic Perspective

Activity Examples of the Toyota Industries Group
Link to social
contribution
activities

Implementation Structure
We have established the Social Contribution Group within
the General Administration Department in the Corporate
Headquarters. Through this group, we plan and execute
various programs in aforementioned areas; undertake
enlightenment activities to raise employees’ awareness;
provide logistics support to volunteer activities of individual
employees as well as employees’ voluntary organizations
formed at each job level; and promote communication withlocal communities.
We established a volunteer support center called “HeartfulClub” in 2008, which has been used as a base for our social
contribution activities, such as collaborating with NPOs andholding meetings with local residents.

We hold an annual local community meeting for the purposeof sharing and resolving various issues in each community.
This meeting is attended by local community
representatives and responsible persons of Toyota Industries
in the general administration, environment and other relevant
departments. Depending on the theme of the meeting,representatives from thelocal government also join.
Participants exchange opinions
not only on our businessactivities and associatedenvironmental risks but also on
local events and activities forcrime/disaster prevention andLocal community meeting
traffic safety.
Major Social Contribution Activities of Toyota Industries andGroup Companies
Theme

SocialwelfareSocial welfare

In view of the global spread of COVID-19, Toyota Industries and its Group companies across the world have been conducting
social contribution activities corresponding to the needs of each region where we do business.

Communicating with Local Communities

Carrying on the founding spirit of “contributing to society
through monozukuri (manufacturing),” each and every
employee of Toyota Industries proactively engages in social
contribution activities as a dedicated member of society.
With an emphasis on the areas of social welfare, youth
development, environmental protection and community
contribution, we not only provide cooperation and support
through personnel, facilities, funds and know-how but also
strive to closely connect with participants.

Worldwide Supporting Measures against COVID-19

Activities
Events to interact with persons with disabilities*2• “Walk Rally (orienteering),” harvest festival, festival
Support for welfare facilities• Support for charity bazaars at facilities by providing goods• Volunteer work for facility cleanup/repair/pruning/weeding• Support for sales of products from facilities for persons withdisabilities by providing opportunities to set up stalls• Volunteer listening activities at elderly care facilities*2
Supporting measures against COVID-19 (worldwide) (P. 59)• Manufacturing and donating face shields• Donating protective equipment tomedical facilities, local governments andother organizations• Lending and donating trucks and othertransportation equipment• Donating food
• Making monetary donations to NPOs
and various funds

Manufacturing anddonating face shields

U.S.A. Holding Manufacturing Day Event Online

The Raymond Corporation

Major Initiatives
Enlightenment Activities
We promote a range of programs for employees of Toyota
Industries and its Group companies so as to increase theirinterest in social issues and cultivate a mindset to always
think about what they can do to address these issues. Suchprograms include donating one item per one person to help
welfare facilities to hold a charity bazaar; local cleanup activity
conducted as part of training for new employees; social
welfare and environmental protection activities of employee
associations*1; and providing information on volunteer
activities via the intranet. In
this way, we provide various
opportunities and venues toparticipate in social contribution
activities.

Initiatives for forest conservation• Tree-thinning activities for conservation of prefecture-owned
forests
Environmental • Producing and donating benches that made effective use ofthinned wood
protection
Providing “Aim for the 21st Century-Style Monozukuri”
environmental education program for elementary school
students (P. 59)
Participation in local traditional event (Mando Festival)*2
Road cleanup activities in areas around plants
Community
Activities to raise awareness for traffic safetycontribution
Crime prevention patrols
Drill on feeding power to an evacuation shelter (P. 59)

Other

*1: V
 oluntary organizations formed by
employees at each job level

Company-wide cleanup activity

Holding charity concert*2
Support for international NGO through volunteer activities to collectspoiled postcards and others
Periodic blood donation drives(Activities without country designation were conducted in Japan.)*2: Canceled in fiscal 2021 as a measure to prevent the spread of COVID-19

Youth development

The Raymond Corporation, a subsidiary manufacturing and selling warehouse trucks, holds a Manufacturing Day event every
October for local high school students to learn about manufacturing operations. In fiscal 2021, the event was held online andattended by more than 2,000 students. They gained a deeper understanding of the manufacturing industry through a virtual
plant tour and interactive quizzes.
Japan P roviding “Aim for the 21st Century-Style Monozukuri” Environmental Education Program for
Elementary School Students

Environmental protection

The Higashiura Plant in Aichi Prefecture hosted the “Aim for the 21st Century-Style Monozukuri,”an environmental education program for fifth graders living in Higashiura-cho. The program wasdesigned to spark an interest in monozukuri and raise safety and environmental awarenessamong children. For this 12th event, we invited 63 students from Ikuji Public Elementary
School in Higashiura-cho. They learned about our ingenuity in production operations and oursafety and environmental efforts through fun activities, including an experiment to turnwastewater into clean water, walking on the plant’s animal path*3 and quizzes.
*3: Safe passage created solely for foxes and other small animals

Support for Youth Invention Clubs*2• Monozukuri workshops for elementary school children during
summer vacations
Youth• Holding handmade kite-flying competitions• Running craft corners at local events
development
Providing monozukuri lessons at school
Holding Mini Concerts at elementary schools*2
Holding Manufacturing Day event online (U.S.A.) (P. 59)

Donating protective equipment tomedical facilities, local governments
and other organizations

Donating transportation equipment

Experiment to turn wastewater into clean water

Japan Drill on Feeding Power to an Evacuation Shelter

Community contribution

Toyota Industries has concluded a disaster prevention agreement with six cities and towns
where our plants are located. At the Obu Plant in Aichi Prefecture, we conduct powerfeeding drills to set up a system to ensure a stable power supply to an evacuation shelter on
its premises when external power supply is disrupted. In fiscal 2021, we conducted a drill
to supply high-output power to the plant’s gymnasium, which will serve as an evacuation
shelter during a disaster for local residents and people unable to return home, by connecting
Company-owned hybrid vehicles and electric lift trucks to AC couplers developed in-house.
Power-feeding drill using Company-owned
vehicles and electric lift trucksn Status of Social Contribution Activities in Fiscal 2021

Europe3,578 persons from32 companies
Australia/Asia
698 persons from
13 companies

Japan
11,181 persons
from 31 companies

CSR Material Issue

Americas
2,767 persons
from 25 companies

Number of participants insocial contribution activities*4

18,224 persons from 101 companies
Amount spent on social contribution activities*4

Total of ¥840 million*4: On a consolidated basis including Toyota Industries and its major subsidiaries

58

Toyota Industries Report 2021

59