EIZO CORPORATIONCORPORATE SOCIALRESPONSIBILITY REPORT 2018

Contents
Seven Promises 4: Open and Fair Trade

Corporate Information / Corporate Philosophy / EIZO Group Principles of Conduct – Seven Promises

02

Financial Highlights / 6th Mid-Term Business Plan

03

President ’s Message

04

Seven Promises 5: Strong Bonds of Trust with Stakeholders

Management Roundtable Discussion

06

Relationship with Each Type of Stakeholder

24

Our CSR Approach and Materiality Analysis

08

Relationships with Customers

25

Major Results of Activities in Fiscal 201709

Relationships with Shareholders / Relationships with the Local Community

26

Wherever You Look, You See EIZO

10

Corporate Governance27

EIZO Solutions

11

Risk Management / Compliance

28Competitive Advantages of EIZO

13

Protecting Intellectual Property that Enhances Value

14

Seven Promises 7: Broadminded Corporate Culture

Quality Management Policy / EIZO’s Quality Assurance System

15

Laying the Foundations for a Motivating Workplace

29

Work Style Innovation / Human Resource Development

30

Our Global Initiative

31

Securing Safety and Health32

Seven Promises 1: Creating New Value

Seven Promises 6: Strict Respect and Compliance with both the Letter and Spirit of the Law

Seven Promises 2: Environmental Consideration for Our Products and Business Operations
Environmental Policy / Environmental Management System

16

Environmental Targets / Performance Report

17

Basic Product Development Sequence / Green Procurement /Compliance with Environmental Standards and Legal Requirements

18

Overview of the Environmental Impact of Our Business Operations / Environmental Risk Management /Energy Consumption and Greenhouse Gas Emissions

19

Collection and Recycling of Used Products

20

Appendix
GRI Sustainability Reporting Standard 2016 Index

33

Comparison Table for the United Nations Global Compact / Independent Third-Party AssuranceStatement

34

Editorial Policy for the CSR Report

Seven Promises 3: Operating as an International Corporation
Development and Production Network – Coherent Development and Production System /Sales Network – Group Companies and Distributors

23• Editorial Policy: We have compiled an explanation on topics weconsider important and a report on the impact and effects ofour business activities on society and the environment, using
the GRI Guidelines as reference.
• Scope of the report: EIZO Group Exceptions to the scope ofcoverage are explained in the notes to the relevant sections.
• Period covered: April 1, 2017 to March 31, 2018 (FY2017)• Issue date: October 2018
• Issue date of previous report: October 201722

EIZO Corporation CSR REPORT 201801

• Issue date of next report: October 2019
• CSR Promotion System: CSR activities come under the responsibilityof the General Affairs Division, are supervised by the operating officer
responsible for CSR and implemented by all Group companies. They
are also subject to a review by the CSR Committee, comprising theheads of each department.
• Contact information: EIZO Corporation General Affairs Department
Tel: +81-76-274-2406

Corporate Information
Corporate Philosophy/ Principles of Conduct – Seven Promises

Corporate Information
Company NameEIZO Corporation

Business Activities

Development, design, manufacture and sales of total visual solutions and related services

EstablishedMarch 6, 1968

President

Yoshitaka Jitsumori

Corporate Philosophy
Through the pursuit of imaging solutions with advanced technologies, we enrich

Address of Headquarters 153 Shimokashiwano, Hakusan, Ishikawa 924-8566, Japan

people in their professional and personal lives.

Group Sales

84,057 million yen (FY2017)

Group Employees

2,325 including temporary workers (consolidated, as of March 31, 2018)

Group Companies

17 (EIZO Corporation and its 6 domestic subsidiaries and 10 overseas subsidiaries, as of
October 1, 2018)

Development,

EIZO Support Network Corporation (Japan)

Production and Sales

Carina System Co., Ltd. (Japan)

EIZO Group Principles of Conduct – Seven Promises
We establish the following “EIZO Principles of Conduct” as guidelinesfor each EIZO Group
employee and as a commitment to our stakeholders.We pledge to conduct our business inaccordance with these Principles.

Irem Software Engineering Inc. (Japan)
EIZO MS Corporation (Japan)
EIZO Engineering Corporation (Japan)
EIZO GmbH (Germany)

1. We will supply high-quality products and services loved by customers through creating and offering newvalue by unique technologies and ideas.

EIZO Technologies GmbH (Germany)
EIZO Rugged Solutions Inc. (USA)Sales

EIZO Display Technologies (Suzhou) Co., Ltd. (China)

2. We will promote our manufacturing and business activities in consideration ofreducing their environmental
burdens.

EIZO Inc. (USA)

3. We will act as an international corporation with a global outlook and mindset.

EIZO Nordic AB (Sweden)

4. We will conduct open and fair trade.

EIZO Europe GmbH (head office in Germany and branch offices in Belgium, Czech Republic, Italy
and the Netherlands)

5. We will seek to build and maintain strong bonds of trust with our stakeholders (businesspartners, employees,
shareholders, and the local community).

EIZO AG (Switzerland)

6. We will strictly respect and comply with both the letter and the spirit of the law as agood corporate citizen.

EIZO Limited (United Kingdom)

7. We will respect basic human rights and value a broadminded corporate culture.

EIZO Austria GmbH (Austria)
Other

EIZO Agency Corporation (Japan)

EIZO Corporation CSR REPORT 201802

6th Mid-Term Business Plan (Fiscal 2018–2020)

Financial Highlights

Synergy Transformation—Creating a Growth Engine■ Sales and Percentage Breakdown by Category (Consolidated)
80,00078,28474,878

7,885
5,749

6,956
5,470

6,870
6,355
23,40826,097

17,991

16,822

29,78020,0000FY2015FY2016

EIZO is shifting toward becoming a “visual technology company” that provides customers in various markets with

15,233

18,40815,27940,000

7,297

4,527

4,973
60,000

Basic Policy for the Mid-Term Management Plan

84,057(millions of yen)

18,111

optimally tailored products and system solutions. In doing so, we are applying our world-leading expertise inimaging technology, which has enabled the company to create highly-reliable products of outstanding quality.
Other

Under our 6th Mid-Term Management Plan, we have embarked on the creation of an growth engine that will drive

Amusement
Creative Workus into the future. More specifically, we are pursuing what we call “Imaging Chain Innovation,” the technologythat bundles together image capture, recording, distributing and displaying, in order to expand EIZO’s Healthcare,

Healthcare

Creative Work and V&S (Vertical & Specific) domains and generate a new market.

V&S (Vertical & Specific)

B&P (Business & Plus)

FY2017

Priority Measures

1. Business strategies in major markets▶ Healthcare■ Operating Income (Consolidated)(millions of yen)(millions of yen)
10,000

8,554
7,033

7,500
5,000

5,000
2,500

FY2015FY2016FY2017(millions of yen)0

FY2015FY2016FY2017■ Basic Net Income (Consolidated)

5,661

6,000

400.00200.002,000

FY2016FY20170Innovation”.
▶ Capital investment: Aggressively invest in bolsteringdevelopment and production, mainly in Europe andJapan.
▶ Higher productivity: Streamline workflows throughthe use of RPA*2 and IoT under Work Style Innovation.

265.54
197.10FY2015FY2016

Consolidated sales for fiscal
2020 (final year of the plan)

97 billion yen

Operating income for fiscal
2020 (final year of the plan)

11 billion yen

Performance Targets

Plan for FY2020
Other:
3 billion yen
Amusement:
13.5 billion yen▶ R&D: Increase investment to accelerate “Imaging Chain

100.00FY2015Two-digit ratio(10% or higher)

Sales

334.82300.004,202

Operating income to sales

2. Investment for growth

(yen)

7,138

8,000

0

7,105
5,698

5,081

■ Net Income Attributable to Owners of Parent (Consolidated)

4,000

9,505

10,000
7,500

2,500
0

• Expand our domain in the operating room field
through Imaging Chain Innovation.
• Increase sales in the endoscope field by enhancing
the product lineup and exploring new sales channels.
• Reinforce sales of diagnostic monitors by adding
Southeast Asia to the conventional markets of priority
and strategic markets.
▶ Creative Work• Establish market dominance by leading in the HDR*1 era▶ V&S
Enhance the product lineup and offer total image
solutions to promote the business in priority markets,
such as those related to air traffic control, security andsurveillance, and maritime operations.
▶ Amusement
Stay ahead of market changes to maintain the number one
position leveraged by R&D and production capabilities.

■ Ordinary Income (Consolidated)

Numerical Targets*1 High dynamic range*2 Robotic process automation

FY2017

EIZO Corporation CSR REPORT 2018

03

V&S
(Vertical & Specific):
13.3 billion yen
Creative Work:
8.2 billion yen

Operatingincome/Operatingincome to
sales

970

Business & Plus:
18.5 billion yen

billion yen(consolidated)

Healthcare:
40.5 billion yen

11 billion yen / 11.3%

President’s Message“Imaging Chain Innovation”
Creating a New Solution for Social Needs
Towards a New Growth Engine

Enriching Our Society & Future

As released in May 2018, the 6th Medium-Term
Management Plan outlines our medium-term goalof creating a new engine for additional growth. Morespecifically, we intend to realize our “imaging chain
innovation”; a comprehensive strategy for not only
‘Displaying’ but also image ‘Capturing’ and ‘Recording’.
This will not only strengthen and expand our current
business models, but will also generate opportunities in
new markets themselves.
We have been providing industry-leading imaging
solutions for a diverse array of professionals by utilizing
image display technologies we have refined since ourfoundation. The inclusion of Carina System Co., Ltd. in
March 2018 to the Group has expanded the range of ourtechnology and product development, enabling us toprovide comprehensive solutions, from image capture
through to display. This acquisition has provided EIZO
with a more powerful and deeper technology portfolio totake on even greater challenges.

Recently, we more frequently encounter people whoare interested in the company’s SDGs (Sustainable
Development Goals). Since a business should exist tocontribute to society, it is EIZO’s responsibility to play alead role in the attainment of SDGs.
EIZO’s corporate philosophy is to enrich people intheir professional and personal lives through the pursuit ofimaging solutions. In daily life, images are everywhere andour imaging solutions have in fact helped professionals
in healthcare, education, public transportation and manyother industries to enhance the quality and efficiency of
their work, thereby enabling us to contribute greatly tobetterment of the society we are a member of.

September 2018
President, EIZO Corporation

Yoshitaka Jitsumori

EIZO Corporation CSR REPORT 201804

President’s Message

Contributing to SDGs Attainment
In healthcare, one of our priority markets, we havedeveloped highly reliable, high-definition monitors
equipped with new functions to enhance the accuracy
and efficiency of medical diagnoses. Moreover, we haveused our influence to raise awareness among healthcare
professionals about the importance of displaying images
as precisely as possible. Long mindful of the need forenvironmentally sound manufacturing, we have worked
meticulously to generate features and functions thatenable users to automatically save energy.
It is clear, however, that we must further advancethe level of our SDGs initiatives, and we are constantly
reviewing our efforts towards creating and achieving new
goals. In this CSR Report, we included information on ourbusinesses and how they are related to specific SDGs,
as well as observations from the SDGs discussion in aroundtable management discussion section.

EIZO’s Growth and Employee Experience ofFulfilled Lives
We are also persistently addressing internal concerns.
As noted in the previous CSR Report, the ‘Work-Style
Innovation’ project has been underway in our Japanesegroup companies to establish working environmentsthat offer a sense of satisfaction and fulfilling work for
employees while improving productivity and maintaining
the high quality and reliability of our products.
Improvements identified and completed under the
project during fiscal 2017 have already been successful,significantly reducing overtime work. We will continue
to advance this project for even higher productivity andperformance, enhanced satisfaction and quality of life as
the cornerstone of any mature enterprise.

EIZO Corporation CSR REPORT 201805

50th Anniversary & Beyond
2018 marks EIZO’s 50th anniversary since our foundation.
Since foundation we have consistently changed withthe times aggressively transforming ourselves into a
successful industry leader that continues to grow.
Nevertheless, our future business models cannot
simply be extensions of our past approaches. We willcontinuously seek out the next strategy for robust
sustainable growth and understand the new roles EIZO
needs to play to enrich society further.
We welcome the comments and feedback of our
stakeholders towards identifying the next answers tothese vital challenges.

Management Roundtable Discussion - EIZO’s Business & SDGs
How are EIZO’s business operations, products and services related to our SDGs and which social issues does and should thecompany address?
Operating officers who serve as members of the CSR Committee discussed EIZO’s roles in relation to SDGs and our future businessmodel based on these goals.

Raised Awareness of Customers & Investors

Relations Between EIZO’s Business & SDGs

Hira: In the Japanese Sales Division we have had more opportunities than ever before to hear
about the SDGs and ESG (Environmental, Social and Governance) from customers. In fact, customers
are choosing our products not only because they are environmentally sound but also out of theirappreciation for our approach to environment and corporate governance. It’s clear that the generalpublic is becoming increasingly conscious of these issues.

Hashimoto: EIZO contributes to society through its businesses while utilizing its leading
technology and quality in ways that enable us to respond to such industries as healthcare, creative
production and air traffic management, of which the quality of work is directly affected by image
quality and monitor reliability. For example, quality is key to diagnostic monitors since a faulty
image display could result in a misdiagnosis. Moreover, image brightness and other characteristics
naturally decline over time and so it is particularly important for medical-use monitors to retain agiven level of quality for years in order to ensure the quality of medical care.

Arise: The same can be said about EIZO investors. In the Investor Relations (IR) Department wehave direct regular contact with investors. They are more frequently asking about EIZO’s ideals,
visions and value chain strengths aside from our business environment, business model andcompetitiveness. The SDGs present an ideal picture for 2030, a medium to long-term period. I think
individuals and companies are looking farther into the future and becoming more conscious of
longer term sustainability.

Shimura: In healthcare, we not only provide monitors; we also conduct training in diagnostic
imaging. While helping physicians deliver accurate image diagnoses introducing them to EIZO
products, such efforts also contribute to good health and well-being, represented by SDG No. 3.
Hiraki: We reduce costs and recycle resources by reusing waste materials generated during ourmanufacturing processes as packing materials for the shipment of components to other EIZO Group
Companies. This is our contribution relevant to SDG 12, or responsible consumption and production.

Murai: That’s exactly right! An increasing number of companies have declared their commitment
to SDGs, and more and more investors are engaged in corporate investments based on company
approaches to the environment, society and governance; ESG investing. Since EIZO markets
products around the world, stakeholders, including customers and shareholders have come toview EIZO’s social responsibilities as globally diverse and we have to respond to these expectations
sincerely through our business activities.

Hira: The Japanese Sales Division helps customers reduce waste by not including accessories,
which they would not use in the package.

Participants (positions current as of the roundtable discussion in June 2018)

Yuichi Murai

Masayuki Hashimoto

Kazuhide Shimura

Toshimine Hiraki

Kiyotaka Hira

Masaki Ebisu

Manabu Arise

Senior Executive Operating
Officer
General Affairs, & Human
Resources

Senior Executive Operating Officer
Research & Development

Executive Operating Officer
Product & Business
Development
Sales & Marketing, Global

Senior Operating Officer
Senior Manager
Manufacturing

Operating Officer
Senior Manager
Sales & Marketing, Japan

Operating Officer
Senior Manager
Procurement

Operating Officer
Senior Manager
Accounting & Finance, &Investor Relations (IR)EIZO Corporation CSR REPORT 201806

Hideki Bansho
Operating Officer
Senior Manager
Quality Assurance, & Regulatory
Compliance and Safety

Management Roundtable Discussion

EIZO on the Way to DESIGN 2025

Shimura: Our monitors are highly reliable and last a long time, thereby helping users to reduce
waste by not having to purchase replacement monitors for some time.

Arise: EIZO’s DESIGN 2025, a set of discussions on EIZO’s future business model, presents a scenario
for 2025. The focus is on changes that can occur in society by that time and the transformations
EIZO should undergo in response to such anticipated societal changes and to help address social
issues.

Ebisu: Furthermore, at EIZO, the procurement, manufacturing and sales divisions closely coordinate
to adjust supply to demand and minimize waste of raw materials in production processes. As we
can also standardize and utilize common components in the design stage as well, we are able tofurther reduce the volume of raw material waste and better contribute to society. Our partners, too,are committed to environmental conservation, compliance and the elimination of child or forcedlabor based on the EIZO Supplier Code of Conduct.

Hashimoto: EIZO has so far evolved around displays, based on a business model in which wepursued monitors with unrivaled added value. Demand, however, is shifting toward solution
systems that handle all processes, from image capture to display. Monitors alone cannot respond tothese emerging needs.

Bansho: In recent years, standards such as TCO certification*1 and EPEAT*2 have incorporated CSR
and supply chain requirements beyond product ergonomics and saving energy. As a company that
manufactures and sells final products to consumers, we should ensure even more attention is given
to our entire supply chain, which includes suppliers of components, units and raw materials, inorder to pay due consideration to the impact on society at large.

We should apply our display technology to the entire image processing pipeline, i.e., image
capture, recording, display and broadcasting technologies, and provide a single solution thatwould be far more useful in society and play a bigger role in the resolution of social issues. I hope
we will continue to contribute to the creation of a sustainable society by consistently responding
to the needs of the society and markets while engaging in image information processes entirely
capitalizing on our competitive technology.

Murai: For us to contribute to society through business activities, we should also tackle corporate
issues, such as working environments and diversity. Having a sound corporate environment is aprerequisite to producing outstanding products and services.
Arise: That’s true, and I think we should combine two strategies: implementing initiatives during
daily operations, inside-out, and creating a business that leads to the resolution of social issues,outside-in.
*1 An international certification of a third-party organization to ensure that IT products are produced, used and recycled responsibly interms of the environment, society and economy.
*2 Green Electronics Council, an NPO in the U.S., verifies and assigns ratings to PC and PC peripheral manufacturers according to various
criteria, such as reduction of hazardous substances, recycle design, product longevity, end-of-life management, and corporate
performance.

EIZO Corporation CSR REPORT 201807

Our CSR Approach and Materiality Analysis
We applied the following process to identify the material issues that EIZO must address through its
business.

EIZO’s Approach to CSR
Our business activity in itself constitutes our most important social responsibility. We are aware■ Organizing issues

that our social responsibility lies in engaging in business with integrity, which includes contributing

Organizing material issues for CSR with a panoramic view of the EIZO Group’s value chain Organizing
see page 24 for details
activities with key stakeholders

to society with products, solutions and services, returning all the benefits produced through ourbusiness to society, and complying with laws and regulations while respecting human rights. In
addition, with the view that participating in and supporting regional activities constitute part of■ Evaluating materiality

our social responsibility, we enthusiastically engage in such activities.

Evaluating the issues to be addressed along two axes: influence on stakeholder evaluation and decisionmaking, and impact on the economy, environment and society from the Group’s business activities.

In this context and as the basic policy underlying our CSR, we uphold the EIZO Group Principles ofConduct, which serve as both a guideline for the EIZO Group and our promise to stakeholders.

■ Extracting aspects
Extracting material aspects using the GRI Standard as reference

Toward the Attainment of Sustainable Development Goals (SDGs)
So that we can contribute to the attainment of the SDGs,
adopted by the United Nations in 2015, we are exploring
the fields and goals to which we can contribute.

High
Impact on the evaluations made by anddecision making of stakeholders

Participation in the UN Global Compact
EIZO joined the UN Global Compact, or the UNGC, in September 2012. The UNGC is an international
initiative in which businesses voluntarily participate and exercise responsible and creative
leadership so that they may act as good social members and thereby seek their sustainablegrowth. As a participant of the UNGC and a leader who supports the ten CSR basic principles, EIZO
is committed to protecting human rights, eliminating
wrongful labor practices, treating the environment properly
and preventing corruption.

EconomyEnvironment

Society• Economic performance• Procurement practice• Prevention of corruption• Anti-competition
behavior• Raw materials• Energy• Biodiversity•Air emissions• Water discharge andwaste disposal• Employment• Diversity and equal
opportunity• Respect for humanrights• Local communities• Marketing and labeling

Low

High
Impact on the economy, environment and society
from the Group’s business activities■ Reconfirming Principles of Conduct
Reconfirming they are represented in the EIZO Group Principles of Conduct – Seven Promises
see page 02 for details

EIZO Corporation CSR REPORT 201808

Major Results of Activities in Fiscal 2017
The following table shows the major results of our activities in fiscal 2017 as well as newly disclosed information.
Seven Promises

Major Results of Activities in Fiscal 2017 and Newly Disclosed Information
Activity
We launched EIZO-branded 2D and 3D surgical monitors, making a full-fledged entry into thesurgical/endoscopy monitor market. We also started a service for uniformly managing quality
control operations such as regular inspection and repair of monitors for use in hospitals.

Creating New Value

Environmental
Consideration
for Our Products
and Business
Operations

Disclosure
Operating officers serving as members of EIZO’s CSR Committee took part in a roundtable
talk on the roles of the Company to address social issues and contribute to the attainment ofSDGs. The roundtable talk is included in this CSR Report. see page 6
Activity
We attained Environmental Targets for all items except “reduced fuel consumption.
see page 17
Disclosure
We extended the Scope 3 calculation to include overseas consolidated subsidiaries for all items
Categories 1 (purchased goods and services), 4 (upstream transportation and distribution) and6 (business travel). see page 20

Fiscal 2018 Activity Goals

Relevant SDGs

Related Business Activities

ReportPage

We will continue striving to provide
products and services that contributeto addressing social issues bycreating and offering new value
through our pursuit of unique ideas
and technologies.

• Launch of monitors for electronic charts and operating rooms• Launch of a surveillance monitor for observing train platforms• Launch of a monitor for use at air traffic control towers• Launch of a monitor for use in vessel cockpits

P.6-7
P10-15

We will continue creatingproducts and promoting businessactivities with the aim of reducing
environmental impact in accordancewith our environmental targets.
see page 17• Proper control and reduction of use of chemical substances• Development of energy-saving monitors• Reduction of energy consumption• Environmental Policy (2)• Energy consumption and greenhouse gas emissions

P.16-20

Operating as an
International
Corporation

Activity
We continued to hold EIZO United in fiscal 2017 and strengthened bonds inside the Groupthrough an exchange of information on technologies, market trends and business strategies.

We will endeavor to grow into a
more mature group of companies by
respecting the cultures and other values
particular to each member’s country
or region and by maintaining close
connections among the members.

• Group companies and distributors around the world with customers in morethan 80 countries or regions, and production sites in Japan, Europe, the U.S.
and China• Efforts related to conflict minerals
Retrospective survey with our supply chain participants by using the Conflict
Minerals Template, which is an international standard format

P.21-22

Open and Fair
Trade

Activity
We obtained an agreement on the EIZO Supplier Code of Conduct in the form of the Supplier
Declaration from all business partners involved in procurement.

We will continue to conduct open andfair trade as a matter of course while
seeking to establish relationships oftrust based on mutual prosperity with
our suppliers.

• Environmental conservation
Proper disclosure of information about chemical substances, including thoseof very high concern• Compliance related to the prohibition of offering or accepting bribes, excessive
entertainment, gifts, etc., for the purpose of obtaining improper benefits

P.23

We will strive to forge even stronger
bonds with our stakeholders throughongoing dialogue.

• IR (investor relations) activities• Participation in local volunteer activities• Donations to and sponsorship of local organizations

P.24-26

Strong Bondof Trust with
Stakeholders

Activity
We continued to sponsor various organizations and activities and make donations to them,
thereby building and maintaining good relationships with the local communities in which
we operate. As a member of these communities, we contribute to the development of theregions as well as environmental efforts.
Disclosure
We continued to introduce initiatives that contribute to local communities, not only at thehead office in Japan but also at overseas Group companies. see page 26

Strict Respect andCompliance withboth the Letter andSpirit of the Law

Disclosure
We continued to improve the soundness and transparency of management and reinforce
the monitoring function. Officers and other employees were thoroughly reminded of the
EIZO Group Principles of Conduct—The Seven Promises. Also, educational activities to raiseawareness about compliance were carried out.

We will maintain our efforts to raiseawareness of compliance among
officers and other employees and strive
to reinforce risk management andgovernance.

• Compliance training and the internal whistle-blowing system

P.27-28

Broadminded
Corporate Culture

Disclosure
We evaluated the FY2017 activities of Work Style Innovation, our initiative to balance employee
happiness with company growth, and we published the results. see page 30

We will further promote activities of theWork Style Innovation initiative to attaina 50% reduction of overtime work.

• Support for the active participation of women• Groundwork for a motivating workplace• Promotion of careers of persons with disabilities• Respect for human rights

P.29-32

EIZO Corporation CSR REPORT 201809

Seven Promises 1

Creating New Value

We will supply high-quality products and services loved by customers through creating and offering new value by unique technologies and ideas.
In accordance with our belief that business is a social responsibility, we listen and respond to customer requests and needs and relentlessly pursue proprietary technologies and ideas toward creating andoffering new sets of values that will enrich our culture, society and daily life.

Wherever You Look, You See EIZO
Visual solutions enrich every setting of daily life. EIZO, as a “Visual Technology Company,” delivers a sense of security and inspiration with its systems that add unique value to visual displays.

1

OfficeFor business

9 Marine vessels

Professional photography,
printing, design, video production
and other creative work

2 Airport

91

8 Educational facilities

2

3

Hospital

Equipment for consultations, exams andoperating rooms

6

8
7

5

Air traffic control and ticketing
operations

3

Equipment for cockpits andinter-vessel security control

For search systems at libraries
and online learning at schools

4

Commercial and leisure facilities

4 Railway

5 Factory6

For railway platform monitoring

For machine operation andsecurity control

For security control inside facilities

EIZO Corporation CSR REPORT 201810

7 HomeFor displaying websites, editing
photos, playing games, etc.

Seven Promises 1

Creating New ValueEIZO Solutions

Surgical and Endoscopy Monitors with the EIZO Name Launched to Enhance our Lineup
for the Market
In 2017, we launched a surgical monitor and an endoscopic monitor, both under the EIZO brand,
to enhance our product lineup. The 2D and
3D monitors reproduce in high definition
the images of microscopic and endoscopic
surgery.

For the Business & Plus Markets
Pursuing User Comfort and Energy Conservation to Raise Computer Work Efficiency and Energy Saving
The FlexScan series, which has been introduced to a number of financial businesses, features
functions and structures suitable for long-hour and multiple data operations. The series supports a
comfortable environment and work efficiency by offering a virtually frame-less design that allows forseamless viewing across a multi-monitor configuration and reduced blue-light and screen reflection
to alleviate eye fatigue, as well as a mechanism and circuit design that controls noise and flickering.

CuratOR EX3220-3D / EX2620-3D

CuratOR EX3140

For the Creative Work Markets

Energy-Saving EIZO Monitor Selected by Zuiderzeeland Regional Water Authority
Zuiderzeeland Regional Water Authority operating water and sewage plants in the Dutch
province of Flevoland, launched a full-scale countermeasure against climate change in thesummer of 2017 and has since transformed its office with a view to the future. For instance,
they decided to replace their PC monitors in their efforts to reduce office energy use. Aftercomparing several products, they selected EIZO’s FlexScan EV2450 for its excellent energysaving performance, which allowed
the water authority to halve its
power consumption, compared tothe monitor it previously used.

Raising Work Efficiency by Displaying and Maintaining Accurate Colors
We are committed to color reproduction quality and seek to enhance efficiency and accuracy
in every creative setting by offering monitor solutions that facilitate achieving and maintaining
accurate color display. Our ColorEdge series of color management monitors and the exclusive
calibration software installed with the monitor enable users to adjust the displays. With acorresponding color management solution, allowing for the management of multiple ColorEdge
monitors online, the monitor administrator can remotely and simultaneously set the color modefor several monitors. This enables users to maintain a uniform color display throughout the entire
workflow, from production to referencing, regardless of their role in the process, and thereby boosts
work efficiency.

Office spaces

Color-matching Solution Receives the Good Design Award for FY2017
The combination of the Quick Color Match, a software supporting color-matching between amonitor and photo printer, and the ColorEdge CS2730, a 27-inch LCD monitor, received the Good
Design Award for FY2017.
Color-matching between a monitor and printout is challenging except for those using
Quick Color Match and the ColorEdge CS2730, since this combination accurately displays
colors when printing on paper, and the user does not feel any
frustration. The ColorEdge CS2730 is wide enough to display an
image in the A3-plus size despite its slim, flat design.

For the Healthcare Market
Constructing Optimal Visual Environments to Keep Pace with Advances in Healthcare
In today’s increasingly advanced and complicated healthcare systems, not only healthcare doctors
but also nurses, clinical engineers and other healthcare professionals are cooperating in thetreatment of patients. It is therefore essential to create environments that facilitate information
sharing and cooperation. Moreover, there is now a much greater need for efficiency in viewing
massive amounts of various image data, generated at hospitals using state-of-the-art imaging
instruments (modalities), and due to the spread of operating rooms hybridization. EIZO provides
consulting services to propose comprehensive visual solutions that encompass image display
equipment and image control software, as well as network layout, toward the construction of the
optimal visual environment that meets operating room needs and development of innovations invisual environments for medical care.

ColorEdge CS2730 / Quick Color Match

EIZO Corporation CSR REPORT 201811

Seven Promises 1

Creating New ValueFor the Vertical & Specific Markets
One of Europe’s Main Meat Suppliers Reduces Monitoring and Control Costs with EIZO’s
IP Monitor
Sopraco is a major meat supplier in Europe for wholesalers, supermarket chains, butchers,
and the hospitality industry. To ensure the best food safety and quality, the company
monitors all processes from production to shipment, around the clock, using more than 100
IP cameras. These also capture people as they enter or leave the factory as well as the license
plates of vehicles.
At Sopraco, these images are viewed on the DuraVision FDF2304W-IP, EIZO’s 23-inch
IP monitor, and the FDF4627W-IP, the 46-inch model. The company chose these because
they do not require the use ofa PC or any other hardware or
viewer software. Additionally,
they are easy to set up and costeffective, with high IP decoding
performance, image quality andSopraco in Belgium
DuraVision FDF2304W-IP
operability.

Responding to Needs Varies Depending on Monitor Use and Environment as We Support
Operations with Highly Reliable Display Performance
ATC (Air Traffic Control)
We support the important mission of ensuring safety in the sky by providing the total solution forvisual environments required by ATC. This includes monitors, graphic boards and video recorders
used in air traffic control towers, control centers and training & simulation facilities.
Maritime
EIZO provides display monitors with high reliability and that meet various standards for ships under
the harsh environment inside these vessels as well as excellent display performance. Our image
display systems are used in pilothouses and for a range of onboard applications, such as surveillance
and monitoring instruments, and are thereby contributing to ensuring safe navigation.

EIZO Launched a 46-inch LCD Touch Panel Monitor in Response to Digital Charts and Invessel Networking
In 2017, we launched the DuraVision MDF4601WT, a 46inch high-definition touch panel monitor that displays
electronic charts and thereby allows users to examine
water routes and monitor navigation. Moreover, it
serves as a chart table when installed horizontally,
which several people can read easily since it is flat withno dents or protrusions on the bezel. The projected
capacitive touch panel allows for ten simultaneous
operations.

Factory Automation
We provide products that withstand dust and dripping water and ensure clarity of display, as well
as a variety of housings, to flexibly respond to diverse needs for incorporation into equipment andsystems.
For the Amusement Market

DuraVision MDF4601WT

Enlivening the Market by Providing Products Supported by Our Technological Excellence
We design and manufacture LCD monitors installed in pachinkoequipment, capitalizing on the EIZO Group’s advanced visualdisplay technology. Our products enliven the amusement market
by offering a realistic expression of images and stories with astrong gaming feel, and they become customer favorites year
after year.
©SANYOBUSSAN CO., LTD.

Security & Surveillance
As the need for security and surveillance broadens, we contribute to enhancing public safetywith products that feature superior display performance under varying conditions. These include
IP monitors that can be directly linked to surveillance (IP) cameras and monitors mounted with
proprietary technology for improving visibility.

EIZO Corporation CSR REPORT 201812

Seven Promises 1

Creating New Value

Excellence in Development and Quality

Competitive Advantages of EIZO

Development
In the course of creating visual display products, we have gained the full spectrum of technologies
required for developing monitors. This in turn has enabled us to quickly deliver new, cutting-edge
products and high-quality products with enhanced functionality.
Quality
Consistent quality control through 100% self-development and self-production
We have always been committed to 100% self-development and self-production. One of ourcompetitive advantages lies in our ability to integrate quality control, from development andmanufacturing to after-sales service, and we remain committed to working in concert Group-wide
to further enhance quality.
Development of environmentally sound products
We have a proven track record of incorporating the principle of environmental preservation into
product development, and since the early years of our company, we have been highly regarded inEurope, where environmental standards are particularly stringent. As public concern for theenvironment grows, we will work harder to develop environmentally sound products by, forexample, actively participate in the formulation of environmental standards.
Rigorous attention to quality control
The key to the success of our products is the stringent
inspections we conduct on the image qualityof our monitors at different stages, from development toproduction. We make every effort to ensure that the image
quality of all our products is reviewed at the highest levelof accuracy from the perspective of the user, throughmeasures such as confirming inspection criteria by human
eye as well as by machine.

Since its founding, the EIZO Group has consistently focused its technology and passion on creating visualdisplay products. We continue to concentrate our energy and efforts on developing products that are a
step ahead of the times by using advanced devices and pursuing cutting-edge technologies. Our goal is todeliver reliable, high-quality products that both satisfy and inspire our customers. The outcomes of all these
efforts are EIZO’s competitive advantages: our business model, excellence in development and quality, andour global network.
Business Model
The Imaging Chain Innovation, which encompasses the technology for the capturing, recording,
distributing, and displaying of images, enables us to provide solutions for a number of different
markets.

Global Network
We leverage our extensive capabilities by generating synergies in development, production andsales among our 17 Group companies worldwide. For details on our global network, please refer topage 21.

EIZO Corporation CSR REPORT 201813

Creating New Value

Seven Promises 1

Centralized Management of Intellectual Property for the Entire Group

Protecting Intellectual Property that Enhances Value

We have centralized the management of all intellectual property (including patents, design rights,
and trademarks) owned by the Group and encourage the creation of intellectual property Groupwide. We have also established a system to facilitate the use of intellectual property and sharing ofrelated information among Group companies.

We actively seek to obtain patents and design rights for the technologies and designs created throughproduct development.
Our recent focus has been on attaining patents and design rights in countries and regions
where we expect product sales to grow such as China, India and Russia, in addition to Japan, Europe
and the United States, currently our main markets. Our overall goal is to construct a global networkof intellectual property.
We also believe that trademarks, including the names of our company and products, are key toprotecting and enhancing EIZO brand value. We therefore strive to obtain and maintain trademark
rights in all the countries where we sell our products.

Creating Intellectual Property and Obtaining Rights
We have introduced a survey and application procedure for patents and designs to our productdevelopment process with the aim of preventing missed opportunities for identifying new core andperipheral technologies created during the process.
Our goal is to ensure that every patent or design application technology is being utilized asa powerful patent or design right which is useful in our business. To achieve this, we strategicallyselect target countries for the applications and develop a network of patents and design rights
centered on application technologies.
In addition, we regularly assess the value of patents and design rights to manage our intellectual
property appropriately.

■ Number of Patents Obtained by the EIZO Group
371

400
350
300
250

Japan

Australia

U.S.A.

RussiaEurope

Other

332
280
232

China
183

200
150

131

100

37

50

9

139

125
37

14

6

37

6

45

71

68

82

2008

2009

2010

56
21

90

93

23

24

164

2013

2
2
1
4

91

2
6
13
11

17
20
17
86

2

25
24
23

2

100

31

40

45

170

155

150

152

2014

2015

2016

2017

Encouraging the Creation of Intellectual Property
We have established and manage an incentive program for employee inventions to encourage
staff to produce patents and designs. We also have an internal awards program for inventors andcreators of patents and designs that have contributed to our business.

17

14

14

6
1

7
1

296
2
1

309

114

147

Respect for Intellectual Property Rights

0
2011

2012

Beyond creating intellectual property, we also exercise the utmost care to ensure our products
and applied technologies do not infringe upon any third-party intellectual property rights. In theevent that a third party is found to have infringed upon the intellectual property rights of EIZO, wedemand that appropriate action be taken to protect these rights.

(Fiscal Year)■ Areas the EIZO Brand Has Penetrated (Countries with Trademark Protection)■ Countries with trademark
protection

EIZO Corporation CSR REPORT 201814

Seven Promises 1

Creating New Value

Planning and Development Process
EIZO is engaged in the planning and development of high-quality products based on its corecompetencies, which include video signal transmission technology, development and processing
technology for display devices, image processing algorithms and environmental compliance. We
maintain complete compliance with the rules, laws and regulations of each country as well as
various certification standards at the development stage while also rigorously assessing risks foreach market and application. Moreover, we verify processes basedon reliability standards that reflect diverse events, including cases
from both in and outside the company.
To offer a rapid, flexible response, which includes customizing
products to meet customer needs, we maintain close collaboration
with our development partners and suppliers throughout productplanning and development.

Quality Management Policy
The EIZO Group is committed to continually fulfilling customers’ expectations by proposing
and offering high quality products, services, and solutions, and therefore we will:1

Aim to develop high-quality products by pursuing the world’s highest level of technology.

2

Carry out our responsibility for environmental preservation by actively reducing our impact
on the environment in every business activity, from product development to manufacturing, sales and service.

3

Set quality targets to be carried out and reviewed by all the employees in every businessactivity.

4

Establish a quality management system, periodically review it, and continually improve it tosustain its validity and suitability.

5

Respond to the trust of both medical professionals and patients by providing medical
equipment with assured quality, effectiveness and safety.

6

Comply with legal and social requirements.

Manufacturing Process

EIZO’s Quality Assurance System
PDCACycle

Act
Check
Do
Plan

Under our Quality Management Policy, we seek to deliver
a sense of security and excitement to customers andother people who depend on EIZO products. We do
this by constructing an integrated quality management
system encompassing the entire process, from planningand development to manufacturing, sales and after-sales
service.
Additionally, we have obtained certification under
the international quality management standard ISO 9001
and ISO 13485 for medical equipment, and use thesestandards in our ongoing, voluntary efforts to enhanceeach process in the Group’s quality management system.

Stop looking for the reasons why
you cannot do it.
Think seriously about how you cando it!!

At left are the comments of an employee involved in manufacturing
EIZO products. Each employee works with a strong commitment to the
manufacture of products with superior quality and reliability and thatcan be used with confidence.
To achieve and maintain high product quality, we provide
specialized employee training for each task at the Training Center inside
the manufacturing site. In addition, we are automating the productionlines at our new factory building to raise the efficiency of production
while reducing employee workload. We are also actively utilizing IoT tomonitor product quality in real time to facilitate quick feedback.

Sales and After-sales Services
EIZO conducts its sales and after-sales services through Group companies and distributors,
constantly sharing the latest necessary information with them throughout our global network. To
ensure that customers can use our products with confidence, we organize user training seminars.
We also seek to minimize customer inconvenience when responding to their queries or to
malfunction reports by creating a support system that enables us to take prompt action.
We will continue to strive to accurately understand what customers expect from our products
and services. At the same time, we will reflect their opinions in the rigorous management of
product safety while promptly disclosing information and developing new products.

EIZO Corporation CSR REPORT 201815

Seven Promises 2

Environmental Consideration for Our Products and Business Operations

We will promote our manufacturing and business activities in an effort to reduce environmental impact.
Aware of the importance of environmental preservation as a common issue for all humankind, we are committed to doing our utmost to protect the environment in all aspects of our corporate operations,with a particular emphasis on efforts that result in environmentally sound products.

Environmental Management System

Environmental Policy

After establishing an environmental management system under our Environmental Policy, we
obtained ISO 14001 certification* in July 1998. Since then we have implemented measures for waste
reduction and reduced resource and energy consumption. We have also taken a step further inlight of a number of factors, including society’s movement toward environmentally sound products
and growing public interest in eco products, by operating our environmental management system,
which emphasizes environmental targets centered on environmentally sound products.

We, the EIZO Group, are aware that our products have an impact on the environment.
In our product development work we therefore consider friendliness to theenvironment to be part and parcel of product quality. We endeavor to supply ourcustomers worldwide with products developed to common specifications that meetor exceed the environmental requirements of individual countries as well as our own
environmental standards. We are conscious of the importance of environmental
preservation as a common issue for all humankind and pledge to do our utmost to
protect the environment in all aspects of our corporate operations.
1*EIZO MS Corporation, EIZO GmbH, EIZO Technologies GmbH, and EIZO Display Technologies (Suzhou) Co., Ltd. have also obtained certification.

Activities under the Environmental Management System
Enhancing the environmental performance of our business operations requires integratingthem with our environmental protection activities. To do so, EIZO has environmental protection
initiatives in place that comply with the revised ISO 14001:2015 standards under the leadershipand control of the director responsible for environmental management. These initiatives are linked
with management policies and business strategies set by top management. The Corporate Safety
Section of the General Affairs Department is responsible for
Raising Customer Satisfaction
promoting our corporate activities while also managing theenergy consumption of our facilities and equipment, chemical
Act
Environmental
substances and waste. The Certified Standards Section of the
Check Management System Plan
Technology Management Department is responsible for ourDoproducts, gathering environmental information from aroundthe world and promoting the development of environmentally
Stakeholder
sound products.

We endeavor to constantly remain up to date on and to strictly adhere to environmental laws andstandards applicable to our corporate operations and products, as well as other environmental
preservation requirements of society at large. We determine environmental objectives and targets basedon a clear understanding of such requirements as well as the environmental impact of our corporate
operations and products. These objectives and targets are reviewed on a regular basis to achieve ongoing
improvement of our environmental management system and performance.

2 2 At the research and development stage, we pay careful attention to the design of our products tominimize the consumption of resources and energy, ensure ease of recycling, and reduce the volume of
toxic substances. Our aim is a continuous raising of our environmental standards.
3 3 In our corporate operations we give due consideration to conserving energy and resources. We work to

reduce the volume of waste products generated by our operations and to dispose properly of all waste
generated. We are engaged in positive efforts to promote the collection and recycling of used products
discarded by consumers.
4 4 We constantly monitor the latest information related to the environment through our information

Environmental Management System Audits

network, which includes our overseas facilities and affiliated companies. We endeavor to share information
appropriately by disclosing and disseminating details of our own environmental initiatives, and we workwith others in common efforts aimed at preserving the environment.

Our ISO 14001 certification was maintained and updated in fiscal 2017 after a third-party institution
conducted an external audit. Internal audits and customer-led audits concerning chemical
substance management have also been carried out in response to increased awareness of chemical
substances in recent years.

5 5 We educate all company members and strive to deepen their awareness of environmental matters, while

creating members of a team that will be committed to the effective use of natural resources and energy,
and to the protection of our global environment.

EIZO Corporation CSR REPORT 201816

Seven Promises 2

Environmental Consideration for Our Products and Business Operations

Environmental Targets/Performance Report
Scope: EIZO Corporation headquarters area, EIZO MS Corporation, and EIZO Display Technologies (Suzhou) Co., Ltd.
Environmental
ThemesPollution control

Sustainable useof resources

Climate change
mitigation andadaptation

Environmental
protection/
biodiversity
preservation

Legal complianceand standards
compliance

FY2017 Actual Results

Selfevaluation

FY2018 Targets

Assessed risks for chemical substances andreviewed new chemical substances
Completed the renewal of the database on
chemical substances in products (chemSHERPA)○

Continue to perform reviews of new chemical substances and risk
assessment of chemical substances

Commercialize products with low impact on the environment• Deploy fully flat monitor products• Explore lightweight structure technology• Develop technology to reduce the weight of structurematerials by 50%

Launched fully flat monitor products○

Commercialize products that are more advanced in terms of having
a lower impact on the environment• Increase the usage ratio of recycled materials in products• Optimize the use of plasticizer for cables and harnesses

Efforts to curb waste generation and use reuse
components

Shipped some products with reuse components○

Explore with material makers a development possibility towardhigher reusability

Curb industrial waste emissions and copier paper purchase
Industrial waste emissions: 375 t/year
Purchase of copier paper: 6,450 kg/year

Industrial waste emissions: 349.4 t/year
Purchase volume of copier paper: 5,833 kg/year○

Curb industrial waste emissions and purchase of copier paper
Industrial waste emissions: 351 t/year
Purchase of copier paper: 5,711 kg/year

Energy consumption targets
Electricity: 9.44 million kWh/year
LPG: 130 t/year
Kerosene: 18 kl/year

Energy consumed
Electricity: 9.432 kWh/year
LPG: 136.5 t/year
Kerosene: 18.4 kl/year△• Reduce energy consumption in business activities
Energy consumption targets:
Electricity: 9.287 kWh/year
LPG: 124.4 t/year
Kerosene: 16.7 kl/year• Manage CO2 emissions (calculate Scope 3 and obtain third-party
certificates)

Comply with the energy saving law

Introduced energy management aimed at complying
with the energy saving law○

Obtain ISO 50001 certification

Planted trees and cared for the green areas on thecompany premises
Cleaned up waterways around the premises on aregular basis
Participated in Clean Beach Ishikawa and Nagisa
Clean Activity○

Plant trees on the company premises and continue to care for the green
areas on the premises and surrounding waterways
Participate in environmental conservation activities

Continue green procurement

Incorporated the latest regulations and standards
in EIZO’s Green Procurement Standards to maintainthe optimal material procurement for products incompliance with environmental standards○

Continue green procurement

Obtain ENERGY STAR 7.0 certification

Obtained/maintained certification for 16 FlexScan
series products○

Develop models compliant with TCO Certified Displays 7

Obtained/maintained certification for 13 FlexScan
series products○

FY2017 Environmental Targets• Assess risks for chemical substances• Introduce a new format for managing chemicals in products (chemSHERPA)• Develop fully flat monitor
products• Explore lightweight structuretechnology• Develop reuse products• Reduce industrial waste• Optimize inventory• Effectively use waste materials• Reduce energy consumption inbusiness activities• Comply with energy saving law• Upgrade to energy-saving
equipment (air conditioning,production facility, LED lighting,hybrid vehicles, etc.)•Develop and expand sales of low
electricity consumption products• Appropriately manage theenvironment of company premises• Greening of premises• Develop waterways around
premises• Respond promptly toenvironmental rules andstandards, such as chemical
substance rules and energy
standards

Comply with the revised EPEAT and next TCO Certified○: Results exceeding 75%, △: Over 50% and under 75%, ×: Under 50%

Status of Group Companies
The current status of Group companies is as follows.
• EIZO Display Technologies (Suzhou) Co., Ltd. (ISO 14001 certification: 2011)
Environmental targets applied to the EIZO Corporation headquarters area and EIZO MS Corporation (Hakui and Nanao factories) were also applied to EIZO Display Technologies (Suzhou) Co., Ltd. starting in fiscal 2012 to establish an environmental management
system encompassing all three companies.
• EIZO Technologies GmbH (ISO 14001 certification: 2012) and EIZO GmbH (ISO 14001 certification: 2009)
Both companies operate in accordance with local environmental conditions and regulations, including those for CO₂ emissions reduction, the 3Rs and management of chemicals.

EIZO Corporation CSR REPORT 201817

Seven Promises 2

Environmental Consideration for Our Products and Business Operations

Management of Chemical Content Information

Basic Product Development Sequence

Amid growing concern for the environment across the globe, we voluntarily monitor chemical
substances toward obtaining certifications for environmental standards in Japan and overseas, andsupport our green procurement efforts. These efforts■ Flow of Chemical Content Survey
include surveying the environmental activities of ourRequestsuppliers and the chemical substances contained in
Environmental
Environmental efforts survey
the parts we procure from them. We have established
Information
Database
Chemical substance survey lista database for collecting and managing the results
Supplier(EIZO MIS File)of these surveys to determine which suppliers andMaterial Information Sheetmaterials best align with our values, and we also use the(JAMP AIS File)
information in evaluating the environmental compliance
Survey responseof our own products.

In product development, we endeavor to meet the legal requirement and standards as well as toenhance the environmentally sound quality of our products including compliance with the legal
requirement and standards, domestic and overseas legal requirements and standards, industry trends
and social conditions. In addition, we conduct product environmental assessments in accordance with
our own Environmental Compliance Standards to measure the environmental soundness of products.
The standards are linked to our system for developing, implementing and meeting environmental
targets for each fiscal year, and are revised every year toward improving the environmental soundnessof our products. We also evaluate and control chemical substances throughout our supply chain in linewith our Green Procurement Standards so that they comply with chemical substance regulations.
■ Basic Product Development Sequence
Environmental Objectives, Targets, Criteria
Standards

Laws

Industry trends

Annual Environmental Targets
Environmental Compliance Standards
Actions for the next fiscal year

Compliance with Environmental Standards and Legal Requirements

Product Development Flow
Planning

In our effort to proactively develop environmentally sound products, we observe the legal requirementsof Japan and other countries and comply with major voluntary environmental standards in each market
for our flagship products.
In Europe a number of regulations are being enforced, including the WEEE Directive (collection andrecycling of discarded electrical and electronic equipment), the RoHS Directive (use of certain hazardous
substances in electrical and electronic equipment), the REACH Regulation (registration, evaluation,authorization and restriction of chemicals) and the ErP Directive (eco-designing for energy-related
products). These regulations were developed in Europe; however, they have been playing an importantrole in encouraging other countries and regions to take similar steps. Our products comply with theseregulations.
We also respond to environmental labeling standards such as TCO Certified Display 7 (international
comprehensive standards for monitors), EPEAT (international environmental standard for PCs/monitors),
ENERGY STAR 7.0 (energy efficiency standard established in the United States) and PC Green Label(Japanese environmental standard for PCs/monitors). In addition, we are actively involved in thedevelopment of TCO, ENERGYSTAR and PC Green Label.
EIZO will continue to focus
on developing green products
while keeping an eye on thedevelopment of environmental
labeling.

Actions forthe next
Environmental Assessment (Prototype Assessment) product
Design Planning

Improvement
Commercialization

Green Procurement
Our Philosophy on Green Procurement
Our Environmental Policy for preserving the global environment applies to all our business operations, andrespect for the environment is incorporated into product development to create a recycling-based society.
Our Green Procurement Standards were established to guide material procurement and to meet the
expectations of customers and society as a whole by maintaining and strengthening our environmental
preservation activities. The standards were also intended to fulfill our social responsibility by enabling us
to quickly respond to the evolving environmental rules and regulations in each country.
Our suppliers’ efforts to reduce environmental impact and preserve the environment are just as
important to us as their quality, prices, delivery schedule, services and technological excellence. In
selecting products, parts and materials, including packaging, we place higher priority on those that areenvironmentally sound as well as meeting our quality, function and cost requirements.
These efforts are helping to reduce the environmental impact of our business operations while at thesame time expanding markets for environmentally friendly products.

EIZO Corporation CSR REPORT 201818

Seven Promises 2

Environmental Consideration for Our Products and Business Operations

Overview of the Environmental Impact of Our Business Operations

Environmental Risk Management(Scope of calculations: six areas as listed below)

Facility Management

Suppliers in Japan and overseas

In principle, we ensure compliance with stringent voluntary management standards, including standards
not bound by law.

Energy usage:
105,145GJ

CO2emissions:
6,505t-CO2

Electricity: 9.877million kWh
Kerosene: 18.4 kl
LPG: 136.5 t
Compressed air: 35,000m3

We comply with Japanese regulations governing corporate activities such as the Air Pollution Control
Act, the Water Quality Pollution Control Act, and the Waste Disposal and Public Cleansing Act bycollecting information on revisions and new regulations and by regularly monitoring and measuring thestatus of our response. Our emissions of air pollutants NOx, SOx, soot and dust are regularly measured inaccordance with the Air Pollution Control Act and have remained well below the legal limit. In addition,
we adhere to our own voluntary management standards, even in operations for which there are no
applicable laws. No compliance problems were found in fiscal 2017, and no administrative guidance,admonitions, orders or reprimands were received.

Waste

EIZO GroupINPUT

Regulatory Compliance

Waste breakdown:
Industrial waste: 416.3t
General waste: 16.3t
Wastepaper: 558.9t
Recycling rate: 95.3％

OUTPUT

Copier paper:
7,226kg
Water usage:
28,449 m3

Customer

Energy Consumption and Greenhouse Gas Emissions■ Environmental Impact by Area
Area

EIZO
Corporation
headquarters
area

Operations

EIZO MS Corporation

EIZO Display
Technologies(Suzhou) Co.,
Ltd. (China)

EIZO GmbH(Germany)

EIZO
Technologies
GmbH(Germany)

Total

Energy Resources

Hakui
factoryNanao
factory

Development
andmanufacturing(assembly) ofmonitors

Production of
circuit boards

Assembly of
monitors

Energy usage (GJ)Electricity(10,000 kWh)
Kerosene (kl)60,94429,068

9,024

1,632

1,471

3,006

105,145

544.7

291.6

90.5

16.4

14.4

30.1

987.7

18.4

-

-

-

-

-

18.4

LPG (t)

136.5

-

-

-

-

-

136.5

Compressed air(10,000 m³)

Development Development Development
and
and
and
manufacturing manufacturing manufacturing(assembly) of(assembly) of(assembly) ofmonitorsmonitorsmonitors

-

-

-

3.5

-

3.5

4,569

815

168

281

1,393

-

7,226

Water usage (m³)

22,588

2,365

2,611

885

-

-

28,449CO₂ emissions (t-CO₂)

3,810
226.2
11.9
319.3
98.8

1,820
37.8
2.5
68.1
98.0

565
85.4
0.9
136.1
99.5

108
-

66
48.6
1.0
21.2
70

136
18.3
14.2
-

6,505
416.3
16.3
558.9
95.3

Waste

-

Copier paper (kg)Industrial waste (t)General waste (t)Wastepaper (t)Recycling rate (%)

Since the new test and evaluation building in the EIZO Corporation headquarters area began
operating in April 2017, energy use has increased.
During the same period, we set up the Energy Saving Promotion Committee to improve ourenergy use and drive changes at our facilities to■ Emissions of Greenhouse Gases(Japan, China and Germany)save energy, including the replacement of lights(t-CO2)(GJ)
CO2 emissions
Energy use
with LEDs.
8,000
120,000
105,145
In January 2018, we started purchasing power
101,896
90,131
89,847
89,119from the so-called Power Producer & Supplier
6,000
90,000for the area around the EIZO Corporation
headquarters and have since indirectly
4,000
60,0006,304
6,505
contributed to the reduction of greenhouse gas
5,667
5,800
4,582
emissions related to electricity use.
2,000
30,000Since Group companies in Germany wereadded to the scope of calculations in fiscal 2016,
0
0
2013
2014
2015
2016
2017
(FY)
there is no continuity between data for this year
*Calculations of CO₂ emissions associated with electricity use
and that for fiscal 2015 and earlier.
are based on the conversion factor of Hokuriku Electric Power
Company for Japan and the calculation methods of each country.

EIZO Corporation CSR REPORT 201819

Seven Promises 2

Environmental Consideration for Our Products and Business Operations

Scope 3 Greenhouse Gas Emissions

Appropriate Management of Chemical Substances

In fiscal 2017, for five of the categories shown in the following table, we extended the scope of
calculations to include not only our domestic consolidated companies but also those overseas. We have
yet to compile data for all the categories and to unify the scope of data; however, we intend to continue
to improve the accuracy of our calculations.

We closely manage the kerosene, organic solvents and other chemical substances we use in our businessactivities so that we maintain compliance with regulations such as the Fire Service Act and Industrial
Safety and Health Act.

Category

Collection and Recycling of Used Products

CO₂ Emissions(t-CO₂)

Composition (%)

Purchased goods and services

128,458

21.9

EIZO Corporation headquarters

Capital goods
Fuel and energy-related activities not3
included in Scope 1 or 2
Upstream transportation and4
distribution

4,910

0.8

Consolidated

350

0.1

Consolidated

524

0.1

Shipment volume of products as cargo
owner

5

Waste generated in operations

262

0.1

Consolidated

6

Business travel

603

0.1

EIZO Corporation headquarters

7

Employee commuting

731

0.1

Consolidated

451,87576.9

Consolidated

30

0.0

Consolidated

587,743100.00

1
2

11 Use of sold products
12 End-of-life treatment of sold products
Total

Scope of Data

The EIZO Group has been collecting and recycling used products in compliance with environmental
laws and regulations in each of the countries where it operates.
Japan
Collection of Used EIZO Products from Homes
End-of-Life EIZO Monitors (for Home Use)
Collected in FY2017
In compliance with the Waste Disposal Act andthe Law for Promotion of Effective Utilization of
CRT Monitors
LCD Monitors
Volume in Weight (kg)Resources, EIZO established its Product Collection
10,666.1
10,479.0
Quantity (units)
432
1,497
and Recycling System for the free collection of
Recycled volume (kg)7,463.6
9,131.8
home-use monitors purchased after October 1,
Recycling ratio (%)
70.0
87.1
2003, in accordance with the PC Recycling Markprogram.
End-of-Life EIZO Monitors (for Business Use)
Collection of Used EIZO Products from
Collected in FY2017
Corporate Users
CRT Monitors
LCD Monitors
In compliance with the Waste Disposal Act andVolume in Weight (kg)
543.2
896.0
the Law for Promotion of Effective Utilization
Quantity (units)
22
128
Recycled volume (kg)
393.2
694.3
of Resources, we have been collecting andRecycling ratio (%)
72.4
77.5
recycling used products for business use under
our Product Collection and Recycling System.
EuropeIn August 2005, the European WEEE Directive went into effect with the aim of reducing
environmental impact through promotion of the 3R’s of reduce, reuse and recycle for discarded
electrical and electronic equipment. EIZO has complied with the directive by establishing acollection and recycling system for applicable products sold in Europe.
United States
EPEAT standards require the provision of collection services for used electric/electronic equipment
based on the “Plug-In to eCycling Guidelines for Materials Management” issued by the United States
Environmental Protection Agency (EPA). EIZO has met this requirement by establishing a collection
and recycling system for applicable products sold in the United States.

Water Use
We use only groundwater in the area around EIZO Corporation’s headquarters (affiliated companies
use the public water supply). We monitor water usage and wastewater discharge to reduce the riskof subsidence and stress on wastewater treatment systems. Moreover, we use water in our corporatebuildings as well as for a snow melting system and for watering plants in the summer. Our manufacturing
processes do not use any water.
Industrial Waste
Our total volume of industrial waste is still large,
despite having decreased compared to the previous
year. A major factor is the increased size of packing
materials to accommodate larger liquid crystal display
panels, procured externally. Since Group companies inGermany were added to the scope of calculations infiscal 2016, there is no continuity between data for thisyear and that for fiscal 2015 and earlier.

■ Discharge of Industrial Waste and Recycling Rate
Industrial waste discharged

(t)
500

97.1

97.2

98.3

95.6

Recycling rate (%)

95.3

100

400

80

300

60

200

311.2

280.5

338.2

435.8

40

416.3

100
0

20
2013

2014

2015

2016

2017

(FY)

0

EIZO Corporation CSR REPORT 201820

Seven Promises 3

Operating as an International Corporation

We will act as an international corporation with a global outlook and mindset.
In order to ensure the delivery and ongoing worry-free use of our products worldwide, our Group companies and distributors in various countries maintain strong mutual relationships to support customers
and achieve sound corporate growth.

EIZO is represented in over 80 countries and regions worldwide by a network of 17 Group companies and 20 distributors.

■ Numbers of Employees by Country(as of March 31, 2018, includes temporary workers)
GermanyJapan

Germany1( 4 branch offices )*EIZO Europe GmbHGermany

EIZO Technologies GmbHEIZO Corporation (R&D, manufacturing, sales and marketing)Group companies (R&D, manufacturing, sales and marketing)Group companies (sales and marketing)Distributors
Countries where EIZO products are soldSwedenEIZO Nordic AB

1,797
Switzerland

291
Sweden19
Italy

Germany2( 1 branch office )*USA

72
Czech Republic

16

24

63
The Netherlands

Austria

910
Saudi Arabia

Belgium

United Kingdom

China

7
India

UAE

EIZO GmbH

7

Japan

USA

UnitedKingdom

Total

USA

Saudi Arabia regional sales office

2,325

EIZO Inc.

China
Saudi Arabia

1

1

1

EIZO Rugged Solutions Inc.

EIZO Limited

2

5

Hong Kong

EIZO Corporation( 6 group companies)■ Composition of Net Sales by Region (FY2017)

EIZO Display Technologies(Suzhou) Co., Ltd

North America

Austria

EIZO Austria GmbH

7%

Others3,785 million yen

5,810 million yen

Switzerland
EIZO AG5%

Consolidated
Net Sales

Europe*1 EIZO Europe GmbH is headquartered in Germany with branch offices in Belgium, Italy, the Netherlands, and the Czech Republic.
*2 EIZO GmbH is headquartered in Karlsruhe with a branch office in Plauen.

36 ％30,057 million yen

84,057
million yen

Japan

53 %

44,404 million yen

Net sales figures are broken down by country or territory where the customers are located.

EIZO Corporation CSR REPORT 201821

Seven Promises 3

Operating as an International Corporation

EIZO United
Group companies and distributors gather once a year at the EIZO Corporation headquarters toparticipate in technology showcase andgeneral and individual meetings to deepen
their understanding of EIZO products. They
also exchange information on their respective
activities to broaden their collective baseof knowledge and forge closer ties among
Group companies and distributors.

Development and Production Network Coherent Development and Production System
The EIZO Group has three production sites in Japan, Germany, the United States and China,
forming a network that maintains a coherent development and production system throughout
the Group. This enables us to apply stringent quality control from development to production,
promote the creation of development synergies that maximize the strengths of each base, andconstruct an optimal production system for each market and customer. In addition, we promptly
share information obtained in the course of development and production along with opinions
and requests obtained from markets and customers to incorporate into product development andcustomer support.

Mindset as an International Corporation—Efforts Related to Conflict Minerals
We are deeply concerned that some important mineral resources used as raw materials forcomponents of IT and electronic products and quarried in troubled regions of the Democratic
Republic of the Congo and its nine neighboring countries are used to fund military groups that
abuse human rights and destroy the environment. Given this concern, the Dodd-Frank Act of theUnited States requires that efforts be made to ensure that designated conflict minerals, including
tantalum, tin, gold and tungsten, are only purchased through legal means with no connection
to potential misconduct. The EIZO Group endorses these requirements and has adopted its own
policy of using only parts made of raw materials purchased from companies that are not involvedin any misconduct and that conduct business lawfully. In addition, to fully comply with this policy,
the EIZO Group has been reviewing its entire supply chain using the Conflict Minerals Template, awidely-adopted international standard format developed by the Responsible Minerals Initiative (RMI),
of which the EIZO Group is a member.

Sales Network Group Companies and Distributors
EIZO products are sold in more than 80 countries and territories through our Group companies and
20 global distributors (as of June 2018).
Direct Sales System in Europe
Our business extends to healthcare, graphics and V&S (Vertical & Specific) markets. Customers inthese markets demand direct, ongoing communication with the manufacturer as well as solid
global support. To effectively respond to these specific market environments and diversified sales
channels, we have sales subsidiaries in the United States, United Kingdom, Germany, Switzerland
and Sweden. We strive to achieve further business growth in Europe by reinforcing regional sales
in North America and Europe. Furthermore, to expand our sales activities into emerging markets,
where our specialized markets are expected to grow, we have employed local sales staff in Saudi
Arabia, the U.A.E. and India and are enhancing our approach to customers.
One Country/Territory, One Distributor System
From the very beginning of selling proprietary products outside Japan, we have adopted a
one country/territory, one distributor system, in which a single distributor (or Group company)
is responsible for all sales within a given country or territory. This unique system enables us toaccurately discern customer needs in each country or territory by distributors or Group companies
that fully understand the culture and values of their respective regions and provide optimal
products. It also allows us to offer products through sales methods that are appropriate for eachcountry or territory.

EIZO Corporation CSR REPORT 201822

Seven Promises 4

Open and Fair Trade

We will conduct open and fair trade.
Our suppliers are essential partners for ensuring the long-term viability of our business. We therefore ensure that transactions are conducted in a fair and equitable manner and strive to forge relationships oftrust based on mutual prosperity.

Relationships of Trust Based on Mutual Prosperity

through our business activities as well as with our suppliers by asking all business partners involvedin procurement to actively promote CSR activities, including compliance, respect for human rights,
environmental preservation, and safety and health.
Supplier Declaration
We obtained an agreement on compliance with the EIZO Supplier Code of Conduct in the form ofSupplier Declarations from all business partners involved in procurement. The suppliers conduct self-checks
on the status of implementation and compliance in an effort to improve and enhance their operations.

With respect to our suppliers, we are committed to forging relationships of trust based on mutual
prosperity to build successful, long-term partnerships, and we strive to conduct transactions thatare fair, equitable and transparent. In overseas sales, authority is delegated in each country to Group
companies and distributors who are knowledgeable about local culture and values. This has enabled us
to actively engage in overseas sales based on a deep understanding of our products. We have sought
to expand sales by building on the relationships of trust and powerful partnerships we have developed
over time, cooperating with distributors in organizing exhibitions, and providing customer support.

Basic Procurement Policy

Enhancing Employee AwarenessWe deal with suppliers on an equal opportunity basis in accordance with procurement policies. In
conducting transactions, we select suppliers who meet our standards as listed below.
Selection Standards for Suppliers

Conducting transactions in a fair and open manner requires that each employee have the necessarylevel of knowledge and awareness. We seek to deepen their understanding and awareness with asteady flow of compliance information through our intranet and study sessions. Related topics includeanti-trust regulations directly associated with business transactions. They also include procedures forhandling confidential information, as required by regulations that prohibit insider trading and thatgovern relationships with suppliers.

❶ Sound management❷ Technological excellence that will contribute to the quality of our products❸ Appropriate quality, prices and delivery schedules for products and materials to be supplied to us❹ Stable supply capacity and ability to respond flexibly to fluctuations in demand❺ Compliance with relevant laws, consideration for the environment and an active involvement inenvironmental preservation

Handling Information Obtained through Suppliers

Developing Mutual Understanding with Suppliers

We obtain confidential information from suppliers and customers through proper channels and will
not seek to obtain or use information that is known to have been improperly obtained or disclosed. In
addition, we pay the utmost care in handling the information that we have obtained and in managing
it follow the appropriate procedures.

As a manufacturing company striving to create excellent products that satisfy customers around theworld through our primary business operations, we place high priority on controlling quality, delivery
schedules and the cost of parts and materials procured from suppliers as well as confirming that
supplier operations are environmentally sound. We provide opportunities for regular exchanges of
information to address these issues and ensure that our suppliers share a common understanding with
us in regard to each other’s management policies and technical strategies.
Materials Procurement Briefing
We conduct regular briefings with our suppliers to explain our basic
procurement policy and request their cooperation. Also, we share
information on the market environment and our future direction.
These briefings, attended by many suppliers, contribute to a greater
understanding of EIZO and are used to gather information for subsequent
incorporation into business decisions.

Unequivocal Prohibition of Bribery
We do not offer money or other benefits in violation of the law governing relationships with public
servants and employees of public institutions. Likewise, in our relationships with suppliers, we do not offer
or accept entertainment, gifts or benefits that violate the law or deviate from generally accepted businesspractices, and we are explicit in communicating our corporate stance to ensure that they understand it.
EIZO Supplier Code of Conduct
The company established the EIZO Supplier Code of Conduct to ensure that sound business operations
are being undertaken globally and under the EIZO Group Principles of Conduct. We will pursue CSR

EIZO Corporation CSR REPORT 201823

Seven Promises 5

Strong Bonds of Trust with Stakeholders

We will seek to build and maintain strong bonds of trust with our stakeholders (business partners, employees, shareholders, and the local community).
We will sincerely engage with stakeholders to forge closer bonds of trust through communication channels while fulfilling our responsibilities.

Relationship with Each Type of Stakeholder
EIZO’s Stakeholders

Customers
P.25

Suppliers
P.23

Employees
P.29-31

Shareholders
P.26

Local
Community
P.26

EIZO’s Responsibility

In addition to offering products that satisfy customers, we listen closely totheir feedback and provide useful support.

Objectives• Creating and offering products with new value• Developing products from the customer’s standpoint• Responding clearly to questions and inquiries• Thoroughly responding to customer requests andfeedback

Approaches• Developing better products• Setting up Contact centers as customer liaison points−Responding to questions and inquiries before and after purchase−Pre- and post-sales technical support• Sharing information with relevant departments and considering incorporation into
products• Interacting with customers at showrooms and through direct dialogue• Providing and collecting information through participation in trade shows• Providing timely information via the corporate website

We view suppliers as essential and important partners in the continuationof our business, and forge powerful relationships by sharing management
policies and technical strategies.

• Building relationships of trust• Fair business transactions• Explaining corporate policy and broadening
understanding among suppliers• Sharing information and creating mutual understanding as partners• Establishing selection standards, dealing with suppliers on an equal opportunity basis• Holding material procurement briefings

We are a company focused on creative development that requires theimaginative ideas and powerful motivation of its employees. We therefore
work to create a broadminded corporate climate and a workplace in which
employees have a sense of security, and we support our employees intheir self-development.

• Motivating workplace environment• Developing excellent personnel• Promoting work-life balance• Securing safety and health• Providing various educational programs• Supporting self-development activity• Creating workplaces that reflect employee opinions and sound labor-management
relations through consultation conferences• Timely and appropriate disclosure of information• Enhanced corporate value• General shareholders meeting (holding informal gatherings)• Stable dividend payment• Investor relations• Preventing accidents and disasters at each business site
• Protecting the regional environment• Cooperating with regional development andpromoting culture• Receiving company visits• Sponsoring various events and organizations• Supporting environmental conservation activities• Corporation with Local Community and association• Participating in local voluntary activities

We strive to gain the understanding and trust of our shareholders
by providing fair and accurate information on management policies,
business strategies and financial performance, and by maintaining
transparency in our corporate management.
We seek to build solid relationships with the local community togain their understanding and cooperation in pursuing our business
operations.
We are committed to fulfilling our responsibilities as a corporate citizen.

EIZO Corporation CSR REPORT 201824

Seven Promises 5

Strong Bonds of Trust with Stakeholders

EIZO Contact Center (Japan)
The EIZO Contact Center in Japan
responds to customers with answers
to their inquiries related to productspecifications and functions as well as
consultations related to purchasing
products, by phone, e-mail and fax.

Relationships with Customers
We provide product information on our Website, at our showrooms and through sales andpromotional activities. Also, we strive to communicate directly with customers through various
channels in order to answer their questions fully and respond to their requests and feedback.
■ Feedback System for all Types of Customer Input

Customer Liaison

Support/Warranty/Recycling
8.7%
Orders/Sales service-related
9.7%

Other
1.1%
Functions/Operational
procedures
38.9%

Troubleshooting
10.7%
Consulting/
Product overview
19.1%

Showroom

Showroom

Visitors can test the performance of our products while trying out their functions at our showroom,
which also serves as a space for communicating with customers.
EIZO Galleria Ginza (Japan)
EIZO Galleria is a showroom located in the Ginza district of Tokyo. Our dedicated onsite staff
introduces products and provides advice to customers who want to know more about them. Hereour seminars, which have been well received, on a variety of topics also provide information on theoperating environments of computers for office and home use and on more effectively using EIZO
products. Moreover, the showroom is used as a communication space for other types of events
such as exhibitions of photographs taken by customers.

Direct sales website
WebsiteDistributors
Sales companies/Retail stores

Customer Liaison
Each Group company has set up a customer liaison process (including access by phone or e-mail)to receive inquiries and questions related to EIZO products and technology. Customer inquiries
and requests are promptly shared and appropriately addressed within the company, relevant
departments and the Group. They are also utilized to guide product development and prepare theinformation we provide to customers.
Group Company

Company and stock
0.1%

Product compatibility
11.8%

EIZO Contact Center
Customer liaison dedicated to ordering
Customer liaison for technical support

Customers■ Calls to the Contact Center(from June 1, 2017 to May 31, 2018)

Responses

EIZO Corporation (Japan)• Set up a dedicated liaison for responses by phone, e-mail and fax

EIZO Technologies GmbH (Germany)• Set up a dedicated liaison for responses by phone and e-mail

EIZO Limited (United Kingdom)• Provides customer support and technical support by e-mail

EIZO Inc. (United States)• Provides a dedicated liaison for after-purchase inquiries over the phone• Offers an e-mail address for general inquiries

Photo exhibition

EIZO Corporation CSR REPORT 201825

Showroom

Seminar room

Seven Promises 5

Strong Bonds of Trust with Stakeholders

Relationships with Shareholders

Relationships with Local Communities

We conduct investor relations activities based on the principle of providing fair and accurate
information on management policies, business strategies and financial performance to all
stakeholders.

We seek to build and maintain good relationships with the local communities in which we
operate. Also, we will contribute to developing these areas and creating better environments as acommunity member by sponsoring and funding local organizations and activities.

Basic Policy on Information Disclosure

Examples of Contributions to Local Communities

We disclose information in a timely and appropriate manner in compliance with the Financial
Instruments and Exchange Act and related regulations as well as the “Timely disclosure rules andother regulations for issuers of listed negotiable securities or valuable instruments” of the Tokyo
Stock Exchange. We strive to ensure any material information that may affect investment decisions
is delivered to all market participants in an equitable manner.

EIZO Corporation (Japan)• Participation in beach cleanups in Hakusan City
• Cooperation with the Ishikawa Keiei Tensho Juku (aneducational project for young corporate managers andfuture entrepreneurs who will bear responsibility forthe future of the regional
economy) throughoperational advice andlectures• Sponsorship and support ofcultural and sports activities
in Ishikawa Prefecture• Cooperation as an executive
Participation in a beach cleanup incommittee member andHakusan City
co-sponsor of the Ishikawa
Kanazawa Spring GreenMusic Festival

General Shareholders Meeting
We schedule our annual general shareholders meeting while taking the convenience ofshareholders into careful consideration. Invitations are sent far in advance to provide enough time
for shareholders to examine the proposed resolutions and the state of our operations. Furthermore,
we provide opportunities for direct communication with our shareholders, such as by displaying
products and holding informal meetings with shareholders on the occasion of the generalshareholders meeting.

EIZO GmbH (Germany)• Participation in and donation
to a charity run sponsoredby an organization that
supports local hospitals
in promoting the early
diagnosis and treatment ofchildhood cancer patients

Company Presentations for Investors
We invite institutional investors to our semi-annual earnings results briefings in Tokyo, where we
report on our business direction, activities and performance. Also, we hold briefings for individual
investors to promote a greater awareness of our company.
Status of Shares and Shareholder Composition

Shares issued

22,731,160

Shareholders

5,992

M

Treasury stock
1,410,536 shares
1 holderSecurities companies
195,995 shares
36 holders

Generalcorporations
4,004,397 shares
5,653 holders

Financial institutions
7,313,640 shares
38 holders

Individual investors
and others
4,036,214 shares
67 holders

Foreign investors
5,770,378 shares
197 holders• Donation to activities supporting breast cancer treatment

EIZO AG (Switzerland)• Donation to an organization that supports the Special
Olympics and sports activities by children with disabilities

EIZO Limited (United Kingdom)• Donation to a charity run sponsored by an organization
supporting sick children and their parents and funding for
its new facilities• Co-sponsorship of a graduation exhibition held bystudents at the Central Saint Martin’s Design University• Organizing of a workshop bya professional photographer
at a local school• Gardening for an institution
for child patients with aserious disease• Donation to a charity
organization supporting
activities for children around Gardening at the medical institution
for children
the world

Runners wearing T-shirts with the
EIZO logo

EIZO Pink Ribbon Day

LU

65,000,000

Besides our breast imaging monitor being instrumental in terms of accurate diagnosis and theearly detection of breast cancer, we participate
in and sponsor academic conferences andother activities related to breast cancer asmeans of diffusing the importance and uses ofsuch monitors. On EIZO Pink Ribbon Day at ourdomestic and overseas sites, we have worn pink
clothing or accessories and have deepened ourunderstanding of this disease.
EIZO employees overseas in the same pink shirts.

O

Shares authorizedN■ Distribution of Shares by Shareholder Type (as of March 31, 2018)

C■ Status of Shares (as of March 31, 2018)

EIZO Inc. (USA)EIZO Corporation CSR REPORT 201826

Seven Promises 6

Strict Respect and Compliance with both the Letter and Spirit of the Law

We will strictly respect and comply with both the letter and the spirit of the law as a good corporate citizen.
We seek to gain stakeholder trust by consistently generating corporate value as a Group. In doing this we believe that we must enhance our corporate governance and raise the compliance awareness ofeach employee.

Board of Directors

Corporate Governance

The Board of Directors, composed of three directors who are not members of the Audit andSupervisory Committee and four directors who are members of the Audit and Supervisory
Committee, bases its decisions on frank discussions while also striving to strengthen its supervisionof management. The board meets on dates scheduled for each fiscal year and as needed. All
important matters related to the company’s decisions are discussed, and status reports on theexecution of operations are presented on a regular basis.
Three of the four directors who are members of the Audit and Supervisory Committee areoutside directors (as of June 21, 2018). They maintain no special interests in the company andtherefore act in a highly independent capacity. The outside directors participate in decision-making
on important matters from an objective and impartial standpoint while auditing and supervising
the execution of operations by directors. We have selected all the outside directors mentioned
above as independent directors as stipulated under the Tokyo Stock Exchange regulations.

We strive to be a company that builds and maintains relationships of trust with stakeholders who
support us and consistently enhances its corporate value. To this end, ensuring sound, transparent
and efficient management is essential, as is viewing the ongoing enhancement of corporate
governance as a vital management concern.
■ Corporate Governance System
Shareholders’ Meeting
Election/dismissal

Cooperation

Election/dismissal

Election/dismissal

Audit and Supervisory Committee
4 directors who are Audit and Supervisory
Committee members(including 3 outside directors)

取締役会
Board
of Directors’ Meeting
Auditing/
Board of Directors
supervision(3 directors who are not Audit andSupervisory Committee members)
Appointment/dismissal
Instructions/supervision

ReportReportInstructions

ReportInspectionof accounts
Accounting
AuditorCooperation

ReportInternal Auditing
Department (Audit Office)Internal Auditing

Management Committee

President

Instructions

Management Committee
Instructions/supervision

The Management Committee is mainly composed of full-time directors and operating officers andis convened as required to accelerate strategic decision making, respond to important issues anddeliberate or report on the status of operations and other matters.

Operating Officers
Instructions/supervision
ReportDepartments/ Group Companies

Operating Officer System
We have introduced an operating officer system to separate the supervision of management andthe execution of operations while accelerating the pace of operational execution.
Audit and Supervisory Committee
Our Audit and Supervisory Committee is composed of four members including three outside
directors. It meets on dates scheduled for each fiscal year and as needed. Its members audit andsupervise the execution of duties by directors in accordance with the audit policy, plans andother committee decisions. These audits and supervisory functions are conducted through theinvestigation of operations and assets by attending the Board of Directors and other important
meetings in cooperation with the Internal Auditing Department and Internal Control Department.

EIZO Corporation CSR REPORT 201827

Seven Promises 6

Strict Respect and Compliance with both the Letter and Spirit of the Law

Internal Auditing System

Compliance

The Internal Auditing Department carries out internal audits in accordance with the Basic Annual
Audit Plan, based on the Basic Regulations on Internal Audits, which specifies audit policies. All
findings of these internal audits are reported to the president. The Internal Auditing Department iscomposed of two members. An auditor who has wide knowledge of the departments to be audited
is separately appointed to carry out the audit.

Our Approach
We have established an organizational structure for guaranteeing compliance and have beendeveloping measures and systems to ensure effectiveness. We are steadily promoting thesemeasures in accordance with an annual plan from a long-term perspective.

Internal Control System

Compliance Training

We have a basic policy underlying a system that ensures directors execute their tasks in compliancewith the law and articles of incorporation, along with a system for ensuring the appropriateness ofother operations. Under this Basic Policy on Internal Control System, we have proceeded to develop
related systems and to complete the groundwork for managing our internal control systems.
An internal control system concerning financial reporting is also in place in accordance with the
Financial Instruments and Exchange Act.

For officers and other employees, regulatory and other related information are always available on
the corporate intranet, and we regularly provide training material to encourage them to update
and enhance their knowledge. We also organize study groups for each job position, such as officers,
managers and new employees to establish full awareness of the role and importance of complianceand cultivating an ethical mindset.
We established the EIZO Group Principles of Conduct – The Seven Promises to clarify our
corporate philosophy and action guidelines in concrete terms and to serve as a standard indecision-making, evaluation and in the actions undertaken through the course of our businessactivities and seek to instill a thorough awareness among all Group officers and employees in Japanand overseas.

Risk Management
As part of our development of an internal control system, we have established and operate a risk
management system to integrate and centralize the management of risks that could affect ourbusiness activities. Risk management is supervised by the Management Conference and the Risk
Management Committee, and risks identified by each department are examined by the committee.
Any risk that could have a significant impact on our business is identified as a material risk by theManagement Committee. Appropriate countermeasures are discussed and implemented.
In view of the increasingly global nature of our business, we expanded the scope of risk
identification and evaluation to include Group companies in and outside Japan.

Strengthening the Information Management System
We ensure the proper handling of important information managed internally, including confidential
information and personal information, in accordance with our established guidelines. We have also
appointed an information management representative with overall responsibility for establishing acompany-wide information management system.
Internal Whistle-Blowing System

Business Continuity Plan (BCP)

To further strengthen our compliance system, we set up a liaison point both inside and outside thecompany to provide answers to questions and advice on problems concerning legal issues or thecontent of the Principles of Conduct, which may arise in the course of our operations. In addition,
we strive to ensure early detection of illegal activity or misconduct and to prevent misconduct byoperating a whistle-blowing system that requires officers and employees to report to the liaison
point immediately upon learning of activities in violation of laws or ethics, regardless of their own
involvement. We ensure that the privacy of the whistle blower is protected and that the individual
will not be placed at any disadvantage for reporting the violation.

To be prepared in the event of a major disaster and other incidents, EIZO formulated a BCP
disseminated throughout the company. Particularly with regard to our BCP for disaster response,
we have established procedures for restoring critical operations and resuming the supply of our
products within one month, in addition to confirming employee safety and facilitating necessary
rescue operations in the immediate aftermath of a major disaster.

EIZO Corporation CSR REPORT 201828

Seven Promises 7

Broadminded Corporate Culture

We will respect basic human rights and value a broadminded corporate culture.
EIZO is a company focused on creative development that requires the imaginative ideas and powerful motivation of all its employees. We therefore take various measures to create a broadminded corporate
culture by developing an environment that encourages the free exchange of opinions and a workplace in which employees have a sense of security. Much of our top management at overseas Group companies
is composed of local personnel, and we pay due consideration to the diversity of each country’s cultures and customs in order to create the most suitable working environments.

management relations at Group companies under the specific circumstances of each country
or company. As a result, the EIZO Group maintains a high retention rate, which contributes tomedium- to long-term human resource development and business operations.

Laying the Foundations for a Motivating Workplace
We undertake various activities to create a motivating workplace environment that cultivates
excellent human resources for the sake of the long-term growth of our personnel as well as further
corporate development.

■ Turnover Rate of Young Employees (within One Year of Joining the Company): EIZO Group (in Japan)

Employment
To ensure that EIZO continues to develop cutting-edge visual technology for creating and offering
new values as a company focused on creative development, we are expanding our engineering
staff and creating a motivating workplace for our employees.

Number of employees (including temporary workers)
Male
FemaleEngineering staff included in the above numbers

Overseas
512

2,147

892

341

1,233

743

171

914

341

88

429

Average age

39.9

44.2

40.9

Average length of service

14.2

11.3

13.5

■ Percentage of Employees with a Disability: EIZO Group (in Japan)■ EIZO Group in Japan
Graduate recruits (joined the company in April 2017)
Mid-career recruits (joined the company between April 2017 and March 2018 (full-time))
Average annual working hours (FY2017)

2017
2.94%

Persons with disabilities are engaged in careers at many of our worksites. As of March 2018, 24
disabled persons are employed by the Group, with the percentage of persons with disabilities of
the workforce at all the Group companies in Japan meeting the minimum legal requirement. As thetotal number of Group employees is on the rise, we have been making active recruitment efforts.
These include participation in joint company information sessions for persons with disabilities
and the acceptance of interns with the intention of hiring recent graduates. We will continue tomake these recruitment efforts and improve our workplace environment while creating work
opportunities for disabled persons as we expand our business.

Total

1,635

2016
2.56%

Promoting the Careers of Persons with Disabilities■ EIZO Group as of March 31, 2018
Japan

2015
4.08%

39

March 2016

March 2017

March 2018

2.08%

1.87%

2.18%

26

Paying Due Respect to Human Rights

1,964

To curtail behavior that undermines individuality at the workplace and throughout our operations,such as forced labor and child labor, discriminatory remarks or actions, and sexual or power
harassment, we have clearly stated our position on the matter in our Principles of Conduct andprovide related education for all Group employees.

Developing Trust-Based Labor-Management Relations
Mutual understanding is the cornerstone of labor-management relations. In keeping with thisfundamental point, we endeavor to develop trust in labor-management relations by encouraging
dialog through the establishment of a consultation conference. These conferences discuss awide range of topics, from labor-management agreements and reduction of overtime to ways for
improving the work-life balance and employee benefit packages. We also maintain good labor-

EIZO Corporation CSR REPORT 201829

Seven Promises 7

Broadminded Corporate Culture

Supporting Childcare and Nursing Care

Work Style Innovation

Under the respective laws of each country, we support various programs including maternity leave,
childcare leave and nursing care leave, shorter working hours, and leave to care for sick children. We havedeveloped a supportive working environment that includes measures such as reducing working hours up
to two hours per day for childcare to flexibly meet employee needs. We plan to enhance our programs forsupporting employees with childcare or nursing responsibilities by introducing benefits such as childbirthleave for prospective fathers.

To respond to diversifying work styles and ensure that employees are able to work with a sense ofsatisfaction, accomplishment and happiness, we believe in the importance of creating extra time for
employees to refresh their mind and body. To that end, we launched the Work Style Innovation projectin Japan to supplement our ongoing initiatives. We intend to balance the happiness of our employeeswith corporate growth by maintaining the high quality and reliability of our products and services
while significantly enhancing operational efficiency and productivity. We will rebuild the structure andmechanism of our work through Business Process Re-engineering, plan investments in infrastructure andsystems with an eye on the future, such as introducing AI and IoT, while simultaneously changing themindset of our employees who will sustain this initiative.

■ Number of Applicants (EIZO Group in Japan)

FY2015FY2016FY2017

Childcare/Nursing Care Leave

56

54

52

Reduced Working Hours for Childcare or Nursing Care

57

63

67

Creating Leisure Time

Human Resource Development

In fiscal 2017, the Work Style Innovation brought about year-on-year reductions of 20% and 5% in timespent for meetings and for documentation, respectively, in the development division. In a company-wide
project, we reviewed workflows, selected 95 of them for improvement targets, and refined 41 of them.
As a result, overtime work in the administrative division decreased by 23% year-on-year. We are targeting
a 50% reduction of overtime work in fiscal 2018 toward the ultimate goal of zero overtime work during
normal operations. Our average rate of paid leave taken by all employees continues to rise compared to
the national average of companies of a similar size. This is the result of introducing measures to encourage
employees who have been taking fewer paid leaves to take more days off or consecutive leave. We believethat the extra time created through these initiatives will benefit employees in that they can refresh theirmind and body, engage in self-development and social contribution activities, broaden their perspectives
and enhance their abilities through such activities. For employees whose overtime pay is reduced becauseof their success in streamlining workflows, we introduced a bonus system that rewards such efforts.
■ Average Working Hours (EIZO Group in Japan)

Reinforcing Management Capabilities
Management-level employee training is a high priority at EIZO. We ensure the practical usefulness of
training by setting a theme for each fiscal year, such as strategic thinking, customer development andoperational reform. Training is offered to candidates for management positions, and newly appointed
managers receive training on compliance, fair job evaluation and effective allocation of work to deepen
their understanding of these areas.
Supporting the Active Participation of WomenEIZO has formulated and released its the Action Plan for Promoting the Role of Women and is working to
improve the working environment so that female employees can play leading roles in the company. The
ratio of female managers in the EIZO Group in Japan is currently 3.4%, and to attain our target of 5% during
fiscal 2019, we are encouraging participation in management training seminars conducted by outside
institutions and providing training for selected mid-level employees. In future, we will provide various typesof support, including an interview program to advance career development and the encouragement of
networking among female employees.

■ Rate of Taking Paid Leave (EIZO Group in Japan)

FY2015FY2016FY2017FY2015FY2016FY20172,016 hours

2,005 hours

1,964 hours

66%

73%

71%

Opportunities for Recreation and Exchange
A variety of sports and cultural activities have been established within thecompany, and employees are enthusiastically engaged. The company
provides an environment that supports these activities by, for example,
supplementing costs and permitting the use of company facilities.
Tennis club

EIZO Corporation CSR REPORT 201830

Seven Promises 7

Broadminded Corporate Culture

Emphasis on Educating Younger Employees

addition, we appointed a local employee as a board member in fiscal 2017.
To develop global human resources, EIZO in Japan and overseas Group companies provide an
exchange program for engineers. Through the program, staff in Japan are dispatched for two or
three years to an overseas Group company, and for young core personnel there is also a trainee
program (a short-term assignment of about two weeks to three months). Those programs aim toincrease the number of employees who can work effectively in a different culture and manage
technology with a global perspective, as well as to cultivate new technological expertise.

First-year employees participate in programs on basic knowledge for corporate etiquette and on
the company policy, organization and rules. They also receive onsite factory training to learn about
the foundations of our company. We conduct a variety of programs specifically targeting first-year
employees, including technical training for new engineering staff to ensure they acquire a broadfoundation of knowledge on our basic technologies. Additionally, we provide a comprehensive
education program combining on-the-job training (OJT) and off-the-job training (Off-JT) for young
employees, enabling them to develop the ability to get things done well with market insightand a global mindset. For OJT in each department, managers draw up three-year career plans in
consultation with young employees, thus providing a basis for a systematic OJT program.

VO I C E
I worked at EIZO Rugged Solutions Inc. in the U.S. state of Florida from January
2016 to March 2018. My work at the Group company included electrical designof air traffic control graphics and research on embedded devices. Doing this has
enabled me to create a platform for a next-generation graphics board and to
improve a design check flow for higher development quality.
Working and communicating with local staff and business partners, while
going beyond the differences associated with culture and manners, has nurtured
in me a global mindset. I hope to make use of this experience so that I can help
to foster a global mindset across our companies in Japan.
As a member of EIZO in Japan, I am determined to develop and be part of a
new business model in five to ten years, which will include our Group companies
across the world. I hope that it will help EIZO respond to the expectations of its
shareholders and build relationships of trust with them.

Our Off-JT for upgrading the skills of young employees includes group-based training for acquiring
business skills, selling in stores to identify market needs, and overseas internships that provide shortterm assignments at overseas Group companies.
■ Education Programs for Young Employees

1st yearTechnical

Sales/
office work

Common

2nd yearTechnical
training
for new
engineering
staff(one anda halfmonths)New
employeetraining(one
month)

Training
after
assignment

3rd year

4th year

5th year+

Expertise seminar (in and outside the company)
Training for young employees
Off-JT 1: Business skill training

Takeshi Kori
Image Product Development
Department
Joined the company in 2004

Off-JT 2: In-store sales training
Off-JT 3: Overseas internship for selected employees

VO I C E

Off-JT 4: Customer visiting training
Well-planned OJT: 3-year plan with periodic interviews with the supervisor

I went through a one-week training program conducted by EIZO’s Manufacturing
Department from March 12 to 16, 2018. The program gave me an opportunity
to mingle with many Japanese colleagues in all sections of this department andlearn about how the Japanese approach raising efficiency, managing quality,
reducing costs and working toward improving the environment. I found it
particularly impressive that most members of the department are staff involved in
the KAIZEN activities. I think that is what EIZO Display Technologies (Suzhou) Co.,
Ltd. needs. We are among the youngest companies of the EIZO Group and arestill developing. Every employees working for the company needs to make moreof an effort and dedicate his or her skills to the company. The KAIZEN activities
I learned in Japan will serve as one means to make that happen. I am going to
imprint what I learned and experienced in Japan at my worksite in China for thecompany’s growth.

Business knowledge training(accounting/financial affairs, marketing, compliance, etc.)
Development of Global Human Resources(overseas trainee/temporary assignment, company English conversation classes)
Support for personal development(correspondence study, acquisition of qualifications, online English conversation, etc.)

Fostering the next generation of leaders with job performance, market insight and a global mindset

Our Global Initiative
Development of Global Human Resources
Many top management members of the Group companies outside Japan are local businesspeople
who can build a workplace environment that suits the particular country’s culture and practices. In

EIZO Corporation CSR REPORT 201831

Chen YunManager Manufacturing
EIZO Display Technologies(Suzhou) Co., Ltd.

Seven Promises 7

Broadminded Corporate Culture

Medium-Term Plan (Fiscal 2016–2018)

Securing Safety and Health

Maintain and improve a lively workplace environment so that each one of us can work safely,
securely and effectively.

The ongoing development, design and production of high value-added products requires not
only a significant investment of management resources but also a consistently safe workplace andefforts to safeguard employee health.

■ Fiscal 2018 Targets/Key Actions and Fiscal 2017 Results
Management
Area

Efforts in Safety Management
We investigate dangerous situations and toxicity and implement countermeasures at each worksiteusing risk assessment methods and strive to prevent workplace accidents and impaired health,in addition to KYT (hazard prediction training) and 5S activities. We will continue these efforts byidentifying and reducing risks through risk assessments and safety screening of newly installedmachinery and equipment, and by raising awareness on safety through workplace patrols andemployee training.

FY2018 Targets/Key Actions
Achieve zero workplace accidents (including
traffic accidents during working hours) *SafetyManagement

Efforts in Health Management

Key points• Improve and maintain an appropriate working
environment• Check and repair equipment and facilities(including chemical substances)• Conduct risk assessments to eliminate disasterfactors

FY2017 Results• Workplace accidents
Frequency rate
Severity rate

3
0.99
0.00

• Traffic accidents during
working hours

8 (2 injured someone
else, 5 injured self only, 1
injured by someone else)

Evaluation△

Implement mental health measures in theworkplace

Our efforts in this area include regular health checkups and preventive checkups for lifestyle-relateddiseases, dedicated contact points for responding to employee anxieties and concerns, mental
health checkups and face-to-face consultations with industrial physicians, and follow-up guidance
based on the results of health checkups. We will seek to safeguard employee physical and mental
well-being by raising individual awareness of health management.

HealthManagement

Key points• Ensure follow-up measures on health checkups• Promote preventive measures for lifestyle-relateddiseases (and specific health guidance)• Promote mental health efforts throughimplementation of stress check tests• Eliminate health hazard risks from workplaces andoperations• Follow-up on health checkups 96.3%• Ratio of employees taking stress check tests 77.2%△

Workplace accident frequency rate: Number of deaths and injuries caused by industrial accidents per million working hours. Used to express accident
frequency.
Workplace accident severity rate: Number of work days lost due to industrial accidents per million working hours. Used to express accident severity.
Note: Traffic accidents during working hours exclude commuting traffic accidents.

Basic Policy on Safety and Health (Safety and Health Management Regulations)
The basic policy on the safety and health of EIZO Corporation is intended to create a healthy and safe working
environment for all employees. This is achieved through management of risk factors related to safety andhealth. Specifically, we constantly strive to identify unacceptable risk factors in the workplace and neutralize
them, with the ultimate goal of eliminating workplace accidents.

EIZO Corporation CSR REPORT 201832

Appendix
GRI Standard Index
The EIZO Corporation Corporate Social Responsibility Report 2018 has been prepared in reference to the GRI Sustainability Reporting Standards 2016. The relevant contents and theirlocations are indicated below.
GRI 102: General Disclosures

Indicator

Report Page

Indicator

102-1

Name of the organizationa. Name of the organization.

2

102-2

Activities, brands, products,
and services

a. A description of the organization’s activities.
b. Primary brands, products, and services, including an explanation of any products or services that arebanned in certain markets.

10-12

102-3

Location of headquarters

a. Location of the organization’s headquarters.

2

102-4

Location of operations

a. Number of countries where the organization operates, and the names of countries where it has
significant operations and/or that are relevant to the topics covered in the report.

2, 21

102-5

Ownership and legal forma. Nature of ownership and legal form.

2

102-6

102-7

102-8

102-9

102-10Markets served

Scale of the organization

Information on employees
and other workers

Supply chain

Significant changes to theorganization and its supply
chain

102-11

Precautionary Principle orapproach102-12External initiatives

102-13

Membership ofassociations

Report Page

2. Strategy

1. Organizational profilea. Markets served, including:i. geographic locations where products and services are offered;ii. sectors served;
iii. types of customers and beneficiaries.
a. Scale of the organization, including:i. total number of employees;
ii. total number of operations;iii. net sales (for private sector organizations) or net revenues (for public sector organizations);
iv. total capitalization (for private sector organizations) broken down in terms of debt and equity;
v. quantity of products or services provided.
a. Total number of employees by employment contract (permanent and temporary), by gender.
b. Total number of employees by employment contract (permanent and temporary), by region.
c. Total number of employees by employment type (full-time and part-time), by gender.
d. Whether a significant portion of the organization’s activities are performed by workers who are not
employees. If applicable, a description of the nature and scale of work performed by workers who
are not employees.
e. Any significant variations in the numbers reported in Disclosures 102-8-a, 102-8-b, and 102-8-c (suchas seasonal variations in the tourism or agricultural industries).
f. An explanation of how the data have been compiled, including any assumptions made.
a. A description of the organization’s supply chain, including its main elements as they relate to theorganization’s activities, primary brands, products, and services.
a. Significant changes to the organization’s size, structure, ownership, or supply chain, including:i. Changes in the location of, or changes in, operations, including facility openings, closings, andexpansions;ii. Changes in the share capital structure and other capital formation, maintenance, and alteration
operations (for private sector organizations);iii. Changes in the location of suppliers, the structure of the supply chain, or relationships with
suppliers, including selection and termination.
a. Whether and how the organization applies the Precautionary Principle or approach.
a. A list of externally-developed economic, environmental and social charters, principles, or otherinitiatives to which the organization subscribes, or which it endorses.
a. A list of the main memberships of industry or other associations, and national or international
advocacy organizations.

102-14

Statement from seniordecision-makera. A statement from the most senior decision-maker of the organization (such as CEO, chair, or
equivalent senior position) about the relevance of sustainability to the organization and its strategy
for addressing sustainability.

4-5

a. A description of the organization’s values, principles, standards, and norms of behavior.

2

3. Ethics and integrity
102-16

Values, principles,standards, and norms of
behavior

4. Governance102-182, 10-12

102-26

a. Governance structure of the organization, including committees of the highest governance body.
b. Committees responsible for decision-making on economic, environmental, and social topics.
Role of highest governance a. Highest governance body’s and senior executives’ roles in the development, approval, and updating
body in setting purpose,of the organization’s purpose, value or mission statements, strategies, policies, and goals related tovalues, and strategy
economic, environmental, and social topics.
Governance structure

27
24

5. Stakeholder engagement102-402, 21

102-41
102-42

List of stakeholder groups
Collective bargaining
agreements
Identifying and selecting
stakeholders

102-43

Approach to stakeholder
engagement102-44

Key topics and concerns
raised29

a. A list of stakeholder groups engaged by the organization.

24

a. Percentage of total employees covered by collective bargaining agreements.

a. The basis for identifying and selecting stakeholders with whom to engage.

24

a. The organization’s approach to stakeholder engagement, including frequency of engagementby type and by stakeholder group, and an indication of whether any of the engagement wasundertaken specifically as part of the report preparation process.
a. Key topics and concerns that have been raised through stakeholder engagement, including:i. how the organization has responded to those key topics and concerns, including through its
reporting;ii. the stakeholder groups that raised each of the key topics and concerns.

ー24, 2524, 25

6. Reporting practice23

Entities included in the
consolidated financial
statements

102-46

Defining report content
and topic Boundaries

102-47

List of material topics

a. A list of the material topics identified in the process for defining report content.

102-48

Restatements of
information

102-49Changes in reportinga. The effect of any restatements of information given in previous reports, and the reasons for such
restatements.
a. Significant changes from previous reporting periods in the list of material topics and topic
Boundaries.

102-50

Reporting period

No change

27
8
18

EIZO Corporation CSR REPORT 201833

a. A list of all entities included in the organization’s consolidated financial statements or equivalent
documents.
b. Whether any entity included in the organization’s consolidated financial statements or equivalent
documents is not covered by the report.
a. An explanation of the process for defining the report content and the topic Boundaries.
b. An explanation of how the organization has implemented the Reporting Principles for defining
report content.

102-45a. Reporting period for the information provided.

2

8
8
ー
No change
1Appendix
Indicator

Report Page

102-51

Date of most recent reporta. If applicable, the date of the most recent previous report.

1102-52

Reporting cycle

a. Reporting cycle.

1102-53

Contact point for questions
regarding the reporta. The contact point for questions regarding the report or its contents.

1

102-54Claims of reporting inaccordance with the GRI
Standards

102-55102-56

GRI content index

External assurance

GRI200: Economic topics
Indicator

a. The claim made by the organization, if it has prepared a report in accordance with the GRI Standards,
either:33-34
i. ‘This report has been prepared in accordance with the GRI Standards: Core option’;ii. ‘This report has been prepared in accordance with the GRI Standards: Comprehensive option’.
a. The GRI content index, which specifies each of the GRI Standards used and lists all disclosures
included in the report.
b. For each disclosure, the content index shall include:i. the number of the disclosure (for disclosures covered by the GRI Standards);
33-34
ii. the page number(s) or URL(s) where the information can be found, either within the report or inother published materials;
iii. if applicable, and where permitted, the reason(s) for omission when a required disclosure cannot
be made.
a. A description of the organization's policy and current practice with regard to seeking external
assurance for the report.
b. If the report has been externally assured:i. A reference to the external assurance report, statements, or opinions. If not included in theassurance report accompanying the sustainability report, a description of what has and whatー
has not been assured and on what basis, including the assurance standards used, the level ofassurance obtained, and any limitations of the assurance process;ii. The relationship between the organization and the assurance provider;iii. Whether and how the highest governance body or senior executives are involved in seeking
external assurance for the organization’s sustainability report.

103-3

The management
approach and its
components

Evaluation of the
management approach

205-3

Confirmed incidents ofcorruption and actions
taken

206-1

Legal actions for anticompetitive behavior,anti-trust, and monopoly
practices

Report Page

a. Number of legal actions pending or completed during the reporting period regarding anticompetitive behavior and violations of anti-trust and monopoly legislation in which the organization
has been identified as a participant.
b. Main outcomes of completed legal actions, including any decisions or judgments.

Indicator

GRI- 103: Management Approach103-2

Communication andtraining about anticorruption policies andprocedures

23

No incidentsof corruption
werereported.

No incidentsof corruption
werereported.

GRI300: Environmental topics
Indicator

Explanation of the material
topic and its Boundary

205-2

a. Total number and percentage of governance body members that the organization's anti-corruption
policies and procedures have been communicated to, broken down by region.
b. Total number and percentage of employees that the organization’s anti-corruption policies andprocedures have been communicated to, broken down by employee category and region.
c. Total number and percentage of business partners that the organization’s anti-corruption policies
and procedures have been communicated to, broken down by type of business partner and region.
Describe if the organization’s anti-corruption policies and procedures have been communicated toany other persons or organizations.
d. Total number and percentage of governance body members that have received training on anticorruption, broken down by region.
e. Total number and percentage of employees that have received training on anti-corruption, broken
down by employee category and region.
a. Total number and nature of confirmed incidents of corruption.
b. Total number of confirmed incidents in which employees were dismissed or disciplined forcorruption.
c. Total number of confirmed incidents when contracts with business partners were terminated or not
renewed due to violations related to corruption.
d. Public legal cases regarding corruption brought against the organization or its employees during thereporting period and the outcomes of such cases.

GRI- 206: Anti-competitive Behavior

GRI103: Management Approach

103-1

Report Page

GRI- 205: Anti-corruption

Report Page

GRI- 301: Materials
a. An explanation of why the topic is material.
b. The Boundary for the material topic, which includes a description of:i. where the impacts occur;ii. the organization’s involvement with the impacts. For example, whether the organization has
caused or contributed to the impacts, or is directly linked to the impacts through its business
relationships.
c. Any specific limitation regarding the topic Boundary.
a. An explanation of how the organization manages the topic.
b. A statement of the purpose of the management approach.
c. A description of the following, if the management approach includes that component:i. Policies
ii. Commitments
iii. Goals and targets
iv. Responsibilities
v. Resources
vi. Grievance mechanismsvii. Specific actions, such as processes, projects, programs and initiatives
a. An explanation of how the organization evaluates the management approach, including:i. the mechanisms for evaluating the effectiveness of the management approach;ii. the results of the evaluation of the management approach;iii. any related adjustments to the management approach.

301-1

Materials used by weight orvolume301-3

Reclaimed products andtheir packaging materials

ーa. Total weight or volume of materials that are used to produce and package the organization's primary
products and services during the reporting period, by:19
i. non-renewable materials used;
ii. renewable materials used.
a. Percentage of reclaimed products and their packaging materials for each product category.
20
b. How the data for this disclosure have been collected.

GRI- 302: Energy

11-32

302-1
11-32

a. Total fuel consumption within the organization from non-renewable sources, in joules or multiples,and including fuel types used.
b. Total fuel consumption within the organization from renewable sources, in joules or multiples, andincluding fuel types used.
c. In joules, watt-hours or multiples, the total:
i. electricity consumption
ii. heating consumptioniii. cooling consumption
Energy consumption within
iv. steam consumption
the organizationd. In joules, watt-hours or multiples, the total:
i. electricity soldii. heating soldiii. cooling soldiv. steam solde. Total energy consumption within the organization, in joules or multiples.
f. Standards, methodologies, assumptions, and/or calculation tools used.
g. Source of the conversion factors used.

EIZO Corporation CSR REPORT 201834

19

Appendix
Indicator

302-4

Reduction of energy
consumption

302-5

Reductions in energy
requirements of products
and services

Report Page

a. Amount of reductions in energy consumption achieved as a direct result of conservation andefficiency initiatives, in joules or multiples.
b. Types of energy included in the reductions; whether fuel, electricity, heating, cooling, steam, or all.
c. Basis for calculating reductions in energy consumption, such as base year or baseline, including therationale for choosing it.
d. Standards, methodologies, assumptions, and/or calculation tools used.
a. Reductions in energy requirements of sold products and services achieved during the reporting
period, in joules or multiples.
b. Basis for calculating reductions in energy consumption, such as base year or baseline, including therationale for choosing it.
c. Standards, methodologies, assumptions, and/or calculation tools used.

Indicator

17, 19-20

17, 20

GRI- 303: Water

303-1

a. Total volume of water withdrawn, with a breakdown by the following sources:
i. Surface water, including water from wetlands, rivers, lakes, and oceans;ii. Ground water;
Water withdrawal by sourceiii. Rainwater collected directly and stored by the organization;
iv. Waste water from another organization;
v. Municipal water supplies or other public or private water utilities.
b. Standards, methodologies, and assumptions used.

306-2

Waste by type and disposal
method19

GRI- 305: Emissions

305-1

305-2

305-5

Direct (Scope 1) GHG
emissions

Energy indirect (Scope 2)
GHG emissions

Reduction of GHG
emissionsa. Gross direct (Scope 1) GHG emissions in metric tons of CO2 equivalent.
b. Gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.
c. Biogenic CO2 emissions in metric tons of CO2 equivalent.
d. Base year for the calculation, if applicable, including:i. the rationale for choosing it;ii. emissions in the base year;iii. the context for any significant changes in emissions that triggered recalculations of base year
emissions.
e. Source of the emission factors and the global warming potential (GWP) rates used, or a reference to
the GWP source.
f. Consolidation approach for emissions; whether equity share, financial control, or operational control.
g. Standards, methodologies, assumptions, and/or calculation tools used.
a. Gross location-based energy indirect (Scope 2) GHG emissions in metric tons of CO2 equivalent.
b. If applicable, gross market-based energy indirect (Scope 2) GHG emissions in metric tons of CO2
equivalent.
c. If available, the gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.
d. Base year for the calculation, if applicable, including:i. the rationale for choosing it;ii. emissions in the base year;iii. the context for any significant changes in emissions that triggered recalculations of base year
emissions.
e. Source of the emission factors and the global warming potential (GWP) rates used, or a reference to
the GWP source.
f. Consolidation approach for emissions; whether equity share, financial control, or operational control.
g. Standards, methodologies, assumptions, and/or calculation tools used.
a. GHG emissions reduced as a direct result of reduction initiatives, in metric tons of CO2 equivalent.
b. Gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.
c. Base year or baseline, including the rationale for choosing it.
d. Scopes in which reductions took place; whether direct (Scope 1), energy indirect (Scope 2), and/or
other indirect (Scope 3).
e. Standards, methodologies, assumptions, and/or calculation tools used.

Report Page

GRI- 306: Effluents and Waste

19

a. Total weight of hazardous waste, with a breakdown by the following disposal methods whereapplicable:
i. Reuse
ii. Recyclingiii. Compostingiv. Recovery, including energy recovery
v. Incineration (mass burn)vi. Deep well injection
vii. Landfill
viii. On-site storageix. Other (to be specified by the organization)b. Total weight of non-hazardous waste, with a breakdown by the following disposal methods whereapplicable:
i. Reuse
ii. Recyclingiii. Compostingiv. Recovery, including energy recovery
v. Incineration (mass burn)vi. Deep well injection
vii. Landfill
viii. On-site storageix. Other (to be specified by the organization)c. How the waste disposal method has been determined:
i. Disposed of directly by the organization, or otherwise directly confirmed
ii. Information provided by the waste disposal contractor
iii. Organizational defaults of the waste disposal contractor

20

a. Significant fines and non-monetary sanctions for non-compliance with environmental laws and/or
regulations in terms of:i. total monetary value of significant fines;
ii. total number of non-monetary sanctions;iii. cases brought through dispute resolution mechanisms.
b. If the organization has not identified any non-compliance with environmental laws and/or
regulations, a brief statement of this fact is sufficient.

Notapplicable

GRI- 307: Environmental Compliance

307-1

Non-compliance withenvironmental laws andregulations

GRI400: Social topics
Indicator

19

Report Page

GRI- 403: Occupational Health and Safety

403-2

Types of injury and rates
of injury, occupational
diseases, lost days, andabsenteeism, and numberof work-related fatalities

17, 19a. Types of injury, injury rate (IR), occupational disease rate (ODR), lost day rate (LDR), absentee rate (AR),and work-related fatalities, for all employees, with a breakdown by:
i. region;ii. gender.
b. Types of injury, injury rate (IR), and work-related fatalities, for all workers (excluding employees)
32
whose work, or workplace, is controlled by the organization, with a breakdown by:
i. region;ii. gender.
c. The system of rules applied in recording and reporting accident statistics.

GRI- 404: Training and Education
404-2

Programs for upgrading
employee skills andtransition assistanceprograms

EIZO Corporation CSR REPORT 201835

a. Type and scope of programs implemented and assistance provided to upgrade employee skills.
b. Transition assistance programs provided to facilitate continued employability and the managementof career endings resulting from retirement or termination of employment.

30

Appendix
Indicator

Comparison Table for the United Nations Global Compact

Report Page

GRI- 405: Diversity and Equal Opportunity

405-1

Diversity of governancebodies and employees

a. Percentage of individuals within the organization’s governance bodies in each of the following
diversity categories:
i. Gender;
ii. Age group: under 30 years old, 30-50 years old, over 50 years old;iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).
b. Percentage of employees per employee category in each of the following diversity categories:
i. Gender;
ii. Age group: under 30 years old, 30-50 years old, over 50 years old;iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).

United Nations Global Compact
29

GRI- 412:Human Rights Assessment
412-2

Employee training on
human rights policies orprocedures

a. Total number of hours in the reporting period devoted to training on human rights policies orprocedures concerning aspects of human rights that are relevant to operations.
29b. Percentage of employees trained during the reporting period in human rights policies or procedures
concerning aspects of human rights that are relevant to operations.

GRI- 416: Customer Health and Safety

416-2

a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerning
the health and safety impacts of products and services within the reporting period, by:
Incidents of noni. incidents of non-compliance with regulations resulting in a fine or penalty;
compliance concerning theii. incidents of non-compliance with regulations resulting in a warning;
health and safety impacts
iii. incidents of non-compliance with voluntary codes.
of products and services
b. If the organization has not identified any non-compliance with regulations and/or voluntary codes, abrief statement of this fact is sufficient.

No incidentsof corruption
werereported.

Principle 1

Businesses should support and respect the protection of internationallyproclaimed human rights.

Principle 2

Businesses should make sure they are not complicit in human rights abuses.

Principle 3

Businesses should uphold the freedom of association and the effective
recognition of the right to collective bargaining.

Principle 4

Businesses should uphold the elimination of all forms of forced and compulsory
labour.

Principle 5

Businesses should uphold the effective abolition of child labour.

Principle 6

Businesses should uphold the elimination of discrimination in respect of
employment and occupation.

Principle 7

Businesses should support a precautionary approach to environmental
challenges.

Principle 8

Businesses should undertake initiatives to promote greater environmental
responsibility.

Principle 9

Businesses should encourage the development and diffusion of environmentallyfriendly technologies.

Principle 10

Businesses should work against corruption in all its forms, including extortionand bribery.

GRI- 417: Marketing and Labeling

417-2

Incidents of noncompliance concerning
product and service
information and labeling

417-3

Incidents of noncomplianceconcerning marketing
communications

a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerning
product and service information and labeling, by:i. incidents of non-compliance with regulations resulting in a fine or penalty;
ii. incidents of non-compliance with regulations resulting in a warning;iii. incidents of non-compliance with voluntary codes.
b. If the organization has not identified any non-compliance with regulations and/or voluntary codes, abrief statement of this fact is sufficient.
a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerningmarketing communications, including advertising, promotion, and sponsorship, by:i. incidents of non-compliance with regulations resulting in a fine or penalty;
ii. incidents of non-compliance with regulations resulting in a warning;iii. incidents of non-compliance with voluntary codes.
b. If the organization has not identified any non-compliance with regulations and/or voluntary codes, abrief statement of this fact is sufficient.

No incidentsof corruption
werereported.

418-1

a. Total number of substantiated complaints received concerning breaches of customer privacy,
categorized by:i. complaints received from outside parties and substantiated by the organization;ii. complaints from regulatory bodies.
b. Total number of identified leaks, thefts, or losses of customer data.
c. If the organization has not identified any substantiated complaints, a brief statement of this fact issufficient.

Notapplicablea. Significant fines and non-monetary sanctions for non-compliance with laws and/or regulations inthe social and economic area in terms of:i. total monetary value of significant fines;
ii. total number of non-monetary sanctions;iii. cases brought through dispute resolution mechanisms.
b. If the organization has not identified any non-compliance with laws and/or regulations, a brief
statement of this fact is sufficient.
c. The context against which significant fines and non-monetary sanctions were incurred.

Notapplicable

GRI- 419: Socioeconomic Compliance419-1

Non-compliance with laws
and regulations in thesocial and economic area

EIZO Corporation CSR REPORT 2018

36

Page
21,23
29

3. We will act as an international corporation
with a global outlook and mindset.
4. We will conduct open and fair trade.
7. We will respect basic human rights andvalue a broadminded corporate culture.

21,23
29-31

2. We will promote our manufacturing andbusiness activities in consideration of
reducing
heir environmental burdens.

16-20

4. We will conduct open and fair trade.
23,
6. We will strictly respect and comply withboth the letter and the spirit of the law as a 27-28
good corporate citizen.

Independent Third-Party Assurance Statement

No incidentsof corruption
werereported.

GRI- 418: Customer Privacy
Substantiated complaints
concerning breaches ofcustomer privacy andlosses of customer data

Coverage by EIZO Group Principles ofConduct – Seven Promises
3. We will act as an international corporation
with a global outlook and mindset.
4. We will conduct open and fair trade.
7. We will respect basic human rights andvalue a broadminded corporate culture.