LIXILCORPORATE RESPONSIBILITYREPORT 2021

Contents

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

ABOUT THIS REPORTABOUT THIS REPORT

Reporting Period

Reference Guidelines

stakeholders and achieve sustainable growth that benefits

We updated and published CR-related information for• GRI (Global Reporting Initiative) Standards

society.

FYE2021 (from April 1, 2020 to March 31, 2021) on July

• TCFD (Task Force on Climate-related Financial Disclosures)

30, 2021. We plan to update the report for the next fiscal

recommendations

LIXIL is committed to providing prompt and transparent
disclosure in order to earn the long-term trust of our

We advance our Corporate Responsibility (CR) activities
by establishing lasting relationships with our stakeholders

year in July 2022.

* You can find content indices for each of the guidelines on thefollowing website.

through appropriate disclosure, reporting, and dialogue.
We disclose information on our CR activities through our

Coverage

website as described below.

WEB

GRI and TCFD content indicesThis report covers the CR activities of LIXIL as well as the
LIXIL group of companies. Please click the link below for

Independent Practitioner’s Assurance Report

data on human resource and environmental performanceand other relevant topics.

Please refer to the following website for ESG data andexternal assurance of these data.

WEB

ESG Data

CR Information DisclosureWEB

ESG Data

Click on a title to be directed to the relevant website.

Please direct queries on this report to:
Financial

Non-financial
WEB To Link to Our Site or for Other Questions and Comments

Integrated Reports
Corporate Responsibility Reports
ESG Data
Corporate Governance Information
Consolidated Financial Statements** Please refer to our Supplementary Data Book for details.

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment

Highlights

Management & Material Issues

About This Report

CONTENTS

2Strategic Pillars

Our People

Environment

Our People

39- Diversity & Equal Opportunity

41- A Rewarding Workplace

46

Commitment4- Talent Development

49- Our Purpose and Behaviors5- Occupational Health & Safety

52- Message from the CEO6

- Message from CR Committee Chairperson

8

Environment56- Supporting International Initiatives

10- Environmental Management System

58- Climate Change Mitigation and Adaptation

62

Highlights13- Water Sustainability

65- Review of Material Issues

14- Circular Economy

68- Updating Our Diversity & Inclusion Strategy

15- Management of Chemical Substances

70- Combatting COVID-19, Forging the New Normal

16

Customers & Supply Chain

71

Contents3

Customers & Supply Chain

SocietyWEB* The following items are disclosed on our website.
Click on a title to be directed to the relevant page.
- External evaluations & awards- Action plan & KPIs
- ESG data (human resources, environment, other)

CR Management Structure &Material Issues Selection

- Responsible Supply Chain Management

73

18- Product Safety & Quality

76- CR Management Structure

19- Customer Satisfaction

80- Selection of Material Issues

20- Corporate Responsibility Strategy

22- GRI index- TCFD index

Society83- Human Rights

85
92

Three Strategic Pillars

23- Stakeholder Engagement- Global Sanitation & Hygiene

24- Community97- Water Conservation & Environmental Sustainability

31- Diversity & Inclusion

34

LIXIL Corporate Responsibility Report 2021

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Contents

01
COMMITMENT

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

COMMITMENT
LIXIL is committed to improving the quality of people's lives, by delivering safe andcomfortable products and services through responsible and sustainable innovations.

Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

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01
COMMITMENT

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

OUR PURPOSE AND BEHAVIORS
LIXIL’s Purpose is the north star that guides LIXIL’s employees in making decisions and inspires us to become a more agile, entrepreneurial company for sustainable growth,and LIXIL Behaviors are how we implement everyday as we work to realize this purpose.

Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson

LIXIL sSupporting International Initiatives

CR

Improving Understanding of LIXIL Behaviors (P47)

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01
COMMITMENT

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

MESSAGE FROM THE CEO

The global spread of COVID-19 in 2020 has triggered a risein worldwide interest in environmental and social issues

Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

such as sanitation, climate change, economic disparity,and human rights. The continuation of such momentum isproviding a tailwind toward efforts to meet the objectives of
the Paris Agreement, where governments have signed up to
limit global warming. It is also drawing attention to the United
Nations Sustainable Development Goals (SDGs), targeted to beachieved by 2030. In Japan, the revised Corporate Governance
Code came into effect this June. Against this backdrop,
proactively engaging in all elements of ESG (Environment,
Social, and Governance) will become increasingly critical for
corporations in achieving sustainable growth and enhancing
medium- to long-term corporate value. In the rapidlychanging global business environment, we sense there are
great expectations for LIXIL to contribute to society.

Operating Under the New Normal
The spread of COVID-19 has had a profound impact on

Kinya Seto
Director,
Representative Executive Officer,
President, and CEO

the way people live and work around the world. However,and sanitation needs to quadruple its current pace. To

I believe unprecedented environmental changes present

The COVID-19 pandemic has placed a spotlight on the

new opportunities. As people spend more time at home,

importance of handwashing as a measure to reduce thesupport the achievement of this goal, LIXIL has been offering

they are re-evaluating the importance of a comfortable living

spread of infection. However, approximately 2.3 billion

the affordable SATO Toilet Solutions to developing economies

environment. There is also increased interest in healthpeople in the world do not have access to daily handwashing

as a social business. As the world faces the threat ofand hygiene. At LIXIL, we have responded rapidly to needs

at home. While the availability of water supply and other

COVID-19, we have developed a new handwashing station,

under the New Normal and are focusing on delivering on ourbasic facilities for sanitation is a given in developed

SATO Tap, to improve hand hygiene for people without

corporate mission to support healthy and comfortable living

countries, to achieve SDG 6 of ensuring clean water andaccess to necessary facilities.

around the world.

sanitation for all, the speed of improvement in global water

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

01
COMMITMENT

Upon Celebrating our 10th Anniversary

has established three strategic pillars: Global Sanitation &Hygiene, Water Conservation & Environmental Sustainability,

Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

This year marks our 10th anniversary as LIXIL, which

and Diversity & Inclusion. We contribute to the achievement

was formed through the merger of five Japanese buildingof the SDGs by focusing on solving issues within these pillars

materials and housing companies. Over the past ten

through our business activities. LIXIL operates in over 150

years, the world around us and our lifestyles have evolved

countries around the world, and our products touch thesignificantly. While the pace of change continues tolives of more than one billion people every day. In delivering

accelerate, the one constant is that everyone, regardless of

products and services, we focus our efforts on improving

the country or region of residence, dreams of a better home,

lives and the environment for future generations by

and LIXIL is making that a reality through its water andleveraging all our resources, including technology, expertise,housing products.

talent, information, and financial resources.

LIXIL’s purpose is to make better homes a reality for

We have been strengthening our efforts to help reacheveryone, everywhere. At LIXIL, we engage in a circular

the SDGs and hope to further accelerate our contribution

Value Creation Process (VCP), with our corporate purposeby encouraging as many people as possible, including

being the starting point. Employees are the driving force

end-users and children, to become interested in social andbehind our value creation. By enabling them to implement

environmental issues. In December 2020, we launched thebusiness strategies with a sense of purpose in a swift and

LIXIL x SDGs NEXT STAGE project and welcomed former

agile manner, we can create value for our stakeholders

Japan national team football player Atsuto Uchida as LIXIL’sand deliver on our purpose. Contributing to society throughSDGs ambassador. Driving societal change is never easy,

our business activities is also essential for our sustainable

and it is essential to collaborate with various stakeholders.

growth. Corporate Responsibility (CR) is at the heart ofWith the support of Uchida, we hope to nurture a positive

our VCP. It motivates our employees, and we incorporate

impact by informing more people about what is required and

CR in all our core business strategies to support long-term

what we should do to realize a sustainable society.

business growth.

LIXIL SDGs Ambassador Inauguration Ceremony

At LIXIL, we remain committed to contributing to society
through our business activities. Partnering with various

Contributing to the SDGs

stakeholders, we will continue to help enable healthy andcomfortable living around the world.

To leverage our expertise and address the most urgent
issues relevant to the regions in which we operate, LIXIL

LIXIL Corporate Responsibility Report 2021

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01

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

MESSAGE FROM CR COMMITTEE CHAIRPERSONCOMMITMENT

Our strong commitment to CR has continued to gain
global recognition. LIXIL has been listed in the respected
Dow Jones Sustainability World Index for two consecutive

Our Purpose and Behaviors

years and Dow Jones Sustainability Asia Pacific Index

Message from the CEO

for four years. We also have continued to be included in

Message fromCR Committee Chairperson

FTSE4Good and MSCI Japan Empowering Women Selectindices. We are honored to receive these recognitions, which

Supporting International Initiatives

represent the progress we have made toward becoming a
global leader in sustainability.

Refining Material Issues
To focus our efforts on realizing our corporate purpose

Jin Song Montesano

effectively while fully utilizing our resources, we reviewed
and updated our material issues in FYE2021. Factoring in

Director, Executive Officer, Executive
Vice President, Human Resourcesand General Affairs, Public Affairs,
Investor Relations, External Affairs,
and Corporate Responsibility,
and Chief People Officer

the latest sustainability trends and the current social andbusiness environment, we defined 20 issues that mattermost to LIXIL and our stakeholders. Through the review
process, we reaffirmed that the priorities in which LIXIL
can play a significant role by using our unique expertise

The COVID-19 pandemic has highlighted the importanceexecute our CR Strategy through our business activities.

are reflected in our three strategic pillars of Corporate

for businesses to do the right thing and consider the needs

This approach of embedding CR within our core businessResponsibility.

of their most important stakeholders, including employees,

strategies is not only necessary to demonstrate our ESG

customers, suppliers, business partners and society at large.

credentials but has also generated two clear benefits. The

At LIXIL, our commitment to Corporate Responsibility (CR) is

first is the sense of pride it instills in our employees, who arestronger than ever.

motivated by being a part of LIXIL. The other is the growth

I am delighted to report that we are on track to meet ourin opportunities to collaborate with customers and partners

ambitious goal to improve the lives of 100 million people

for everyone, everywhere. CR forms an integral part of ourwith Sustainable Development Goals (SDGs) as the common

through safe sanitation and hygiene by 2025, throughValue Creation Process to deliver on this purpose, and welanguage.

the tremendous growth of our SATO social business. This

LIXIL’s corporate purpose is to make better homes a reality

Global Sanitation and Hygiene

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Contents

01
COMMITMENT
Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Societyventure is truly unique to LIXIL, and we are very proud of theand fulfill our responsibility to help protect the planet. Our

become a company that can achieve sustainable growth andprogress we are making.

Environmental Vision 2050 aims for LIXIL to achieve net-zerodeliver on our purpose, we must become a truly consumer-

carbon emissions and preserve water and natural resources

centric organization that can understand our users andof defense against COVID-19, we launched SATO Tap, anin operations, housing and lifestyle solutions for futureoffer innovative products and solutions in anticipation ofaffordable off-grid handwashing station, in 2020 and started

generations to become a leading company in environmental

their needs. D&I is fundamental to achieving this cultural

production in India and Tanzania. This simple and functionalsustainability by 2050. To achieve these goals, we aretransformation, as new ideas and technologies can only

product, designed for more than 40% of the global

focusing on climate change mitigation and adaptation, water

come to life in a truly inclusive working environment.

population who do not have access to a handwashing facility

sustainability, and circular economy, through which we seek

At LIXIL, we are accelerating our transformation to foster awith soap and water, has proved to be a practical solution toto reduce the environmental impact of the entire value chain

corporate culture in which our employees want to work andhelp improve hygiene and fight the spread of diseases. SATO

and also capture opportunities to improve the environmental

thrive. In March, we renewed our D&I Strategy and goals

Tap was named one of TIME’s best inventions of 2020 as anvalue of our products and services.

for 2030, focusing on inclusion as our goal, with the belief

Amid the urgent need for handwashing as the first line

As a part of our drive to contribute to the realization of athat achieving inclusion will lead to sustainable diversity.

circular economy, we established the LIXIL Plastics Action

The enterprise-wide D&I strategy includes ambitious newmeet specific local needs and challenges worldwide.

Statement in October 2020. The group-wide commitment isgender equity targets, which we believe serves as a proxyHarnessing the power of collaboration, we work closely

a further step forward for LIXIL in pursuing responsible use

for measuring our progress toward a more inclusive culture.

with valued partners such as UNICEF, USAID, JICA, theof plastics and other resources through innovation. We will

Our goals include achieving 50:50 gender parity in Board

Toilet Board Coalition, and local NGOs to strengthen local

be implementing measures to reduce single-use plastics,

of Directors and Executive Officer roles and females insanitation ecosystems as well as engage in advocacy topromote recycling, accelerate research and development of

30% of managerial positions across the organization byadvance the importance of and appreciation for the value of

renewable materials, and actively use eco-friendly alternatives

2030. Specific targets have also been set to reflect regional

improved sanitation. We are also continuing to build on thein all our business processes, products, and services.

priorities, such as maintaining equal gender ratio for all new

momentum in raising awareness of our MAKE A SPLASH!

To ensure that we have a clear roadmap ahead topartnership with UNICEF among our consumers throughdeliver on our 2050 vision, we are currently formulating

successful campaigns under the GROHE brand in Europe

environmental milestones for 2030, including specifying

reinforces our belief that we can contribute to society byand the LIXIL Owners Club campaign in Japan.

a target reduction of CO2 emissions. We will be using thedelivering on our corporate purpose. Last year, we were proud

TCFD framework to monitor and disclose our climate

to see our employees swiftly come together to support theaction progress, analyze risks and opportunities, formulate

needs of the communities as they faced the global pandemic.

innovation that facilitates effective handwashing.
SATO’s focus now is to expand the product lineup to

Water Conservation & Environmental Sustainability

strategies, and reflect them in our business plans.
The world’s consumption of energy, water, and natural
resources continues to rise dramatically every year. Against

At LIXIL, we believe that it is imperative we recognize

The challenges that COVID-19 has imposed on the world

With a clear purpose and engaged employees, LIXIL is
uniquely placed to play an important part in society. We still

Diversity & Inclusion

this backdrop, countries worldwide have pledged to accelerate
their drive to reach net-zero carbon emissions by 2050.

graduate hires in Japan.

have a long way to go and there is much more we can andshould engage in going forward. I am, however, excited about

As a maker of pioneering water and housing products,

the progress we are making and will continue to seek ways to

LIXIL serves a consumer base as diverse as society itself. To

accelerate our CR initiatives in a strategic and agile manner.

LIXIL Corporate Responsibility Report 2021

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Contents

01
COMMITMENT

Commitment
Commitment

Highlights

Management & Material Issues

Message from the CEO

Our People

Environment

Customers & Supply Chain

Society

SUPPORTING INTERNATIONAL INITIATIVESLIXIL’s Purpose is to “make better homes a reality for

The UNGC 10 Principles

everyone, everywhere.” To bring our purpose to life throughour operational activities, we are driving a range of R&D and

Our Purpose and Behaviors

Strategic Pillars

HUMAN RIGHTS

Principle 1: B usinesses should support andEndorsing the Task Force on Climaterelated Financial Disclosuresother initiatives to help resolve global sanitation and hygiene

respect the protection of internationally

In March 2019, LIXIL announced our support for the Task

problems as well as other social and environmental issues.

proclaimed human rights; andForce on Climate-related Financial Disclosures (TCFD). In

Principle 2: m ake sure that they are not complicit in

To meet and exceed society’s expectations for LIXIL, we

Message fromCR Committee Chairperson

must take active leadership as a global company of pioneering

Supporting International Initiatives

implement the Ten Principles of the United Nations Global

water and housing products. We will continue to support andhuman rights abuses.
LABOUR

Principle 3: Businessesshould uphold the freedom of
association and the effective recognitionof the right to collective bargaining;

Compact (UNGC), and provide our expertise in areas ofPrinciple 4: the elimination of all forms of forced andsanitation to help create safe and healthy living spaces for all,compulsory labour;

as envisioned in the Sustainable Development Goals (SDGs).

ENVIRONMENT

scenario analysis of climate-related business risks andopportunities in line with TCFD recommendations. Going
expand relevant operations to further improve information
disclosure and earn greater stakeholder trust.

Principle 7: B usinesses should support aprecautionary approach to environmental
challenges;

CR

Environmental Disclosure (P60)

Principle 8: u
 ndertake initiatives to promote greater

In order to help implement the UNGC Ten Principles inenvironmental responsibility; andthe four areas of human rights, labor, environment, andPrinciple 9: e ncourage the development and diffusion

anti-corruption, in FYE2021 we shared information virtuallyof environmentally friendly technologies.

with other parties as a member of Global Compact Network

WEB

Ministry of the Environment to help companies perform

Principle 6: the elimination of discrimination inprinciples set out in the framework.

reporting, SDGs, and CSV).

analysis under the support program provided by Japan’s

forward, we will seek to strengthen our TCFD response and

LIXIL signed the UNGC in July 2013 in full support of theJapan working groups (environmental management,

supporters in Japan. We also conducted proactive scenario

Principle 5: the effective abolition of child labour; andrespect of employment and occupation.

Commitment to the UN Global Compact

FYE2020, we participated in TCFD Consortium consisting of

ANTICORRUPTION

Principle 10: B usinesses should work against
corruption in all its forms, including
extortion and bribery.

United Nations Global Compact
The UNGC was proposed in 1999 by then SecretaryGeneral Kofi Annan to encourage companies andother organizations to pursue voluntary actions topromote sustainable growth as good social citizens.

LIXIL Corporate Responsibility Report 2021

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Contents

01
COMMITMENT

Commitment
Commitment

Highlights

Management & Material Issues

Sustainable Development Goals

Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

Our People

LIXIL’s Three Strategic Pillars andTheir Relevance to the SDGs

LIXIL reflects the SDGs approach in its Corporate
Responsibility (CR) Strategy and uses the goals as a major

Our Purpose and Behaviors

Strategic Pillars

Environment

Customers & Supply Chain

Society

LIXIL x SDGs NEXT STAGE
In December 2020, we launched LIXIL x SDGs NEXT STAGE

Global Sanitation & Hygiene

to further accelerate action on the SDGs in partnership withguideline when forming management decisions. The SDGs

our stakeholders, which include customers, business partners,

are a set of concrete action plans outlined in “Transforming

local governments and residents, shareholders and investors,

our world: the 2030 Agenda for Sustainable Development,”

international organizations, NGOs, and non-profit organizations.

the outcome-oriented document adopted by the UN General

The project is especially focused on strengthening

Assembly in September 2015, consisting of 17 global goals

partnerships with LIXIL customers, the next generation, andand 169 targets to be achieved for sustainable development.

business partners. To that aim, we will disseminate information

To help achieve the SDGs as part of its business, LIXIL
focuses on the three pillars of its CR Strategy: Global

Water Conservation &Environmental Sustainability

Sanitation & Hygiene, Water Conservation & Environmental

and hold events and campaigns related to the SDGs and LIXIL
initiatives. We also plan to post awareness-building videos andother materials on social media and YouTube.

Sustainability, and Diversity & Inclusion.
LIXIL was recognized in the 2nd Japan SDGs Awards

WEB

LIXIL x SDGs NEXT STAGE (Japanese only)

for its contribution to solving hygiene problems throughits simple SATO Toilet Solutions intended for use inemerging markets and by working with non-governmentalorganizations (NGOs) and international bodies to raise
broader awareness of sanitation issues.
CR

Three Strategic Pillars (P23)

PDF

Details about our winning at
the 2nd Japan SDGs Awards (503KB)WEB

UN Sustainable Development Goals

Diversity & Inclusion

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment
Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

01
COMMITMENT
Our Purpose and Behaviors
Message from the CEO
Message fromCR Committee Chairperson
Supporting International Initiatives

LIXIL SDGs Ambassador

SDG House

In December 2020, we appointed former Japan national

LIXIL is cooperating on the SDG House project which tackles the

football team player Atsuto Uchida as the LIXIL SDGs

SDGs in the housing sector to help achieve sustainable cities

ambassador under the LIXIL x SDGs NEXT STAGE. Uchidaand communities. The SDG House project has been designed

became interested in helping to solve social issues after

primarily by professors Norichika Kanie and Hiroto Kobayashi fromwatching his former teammates at the Schalke football

Keio University Graduate School and full-time lecturer Norihisa

club in Germany getting involved in community service.

Kawashima from Meiji University around the concept of creating

During his NEXT STAGE after retiring as an athlete, Uchidahousing that offers ultimate comfort for both residents and society

is looking to help tackle global issues and create a moreat large. Under that concept, the team has built a model house

habitable world for the next generation through his activities
as the LIXIL SDGs ambassador: “My goal is to learn more

Atsuto Uchida

about the SDGs and LIXIL initiatives myself while working

that it hopes will become the gold standard by 2030 by conducting
quantitative testing and evaluation of SDGs-related impacts acrossall processes from design through construction and operation.

with LIXIL to communicate the importance of these activities

The SDG House, designed by Kawashima’s architecture firm

to more people worldwide.”

Nori Architects, was completed in March 2020. Its passive design

If we can encourage more LIXIL customers and children

utilizes renewable energy and incorporates various ingenious

to join Uchida in learning about global issues, the SDGs,features including energy conservation and energy creationand LIXIL initiatives in this field, we will widen the circle ofmeasures, sustainable materials and construction methods, waterinterest and action and improve our impact on the SDGs.

conservation, natural disaster preparedness and response, and
IoT functionality. LIXIL has provided a range of products that canWEBhelp achieve the SDGs including washbasins and system kitchens he LIXIL x SDGs NEXT STAGE ambassador Atsuto
T
Uchida’s activity report (Japanese only)with Eco-Handles, the Resilience Toilet* that can be used during
natural disasters, energy- and water-saving toilets, and bath units
and exterior doors that offer a high degree of thermal insulation.
Uchida and children learning about environmental issues at an event* Originally designed for public facilities, so requires special plumbing.

LIXIL Corporate Responsibility Report 2021

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Contents

02
HIGHLIGHTS

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

HIGHLIGHTS
Here is an overview of our key initiatives and their results for FYE2021.

Review of Material Issues
Updating Our Diversity &Inclusion Strategy
Combatting COVID-19

LIXIL Corporate Responsibility Report 2021

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Contents

02
HIGHLIGHTS
Review of Material Issues
Updating Our Diversity &Inclusion Strategy
Combatting COVID-19

Highlights

Commitment

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

REVIEW OF MATERIAL ISSUES● Priority:● High:● Medium:

improving our company’s sustainable growth and corporate value

Areas in which LIXIL is able to

Areas that should be addressed from

Areas requested by stakeholders

for driving progress on sustainable development. We are working

proactively exploit its unique strengths

the perspective of responding toand that should be appropriately

to resolve these issues through our business activities. We also

to greatly help solve issues andstakeholder needs and appropriately

addressed as the basis for our

review these material issues to accommodate any changes in LIXIL’s

have a significant positive impact onmanaging risks to ensure businessbusiness activities.

immediate environment or society at large.

stakeholders and society. Areas wherecontinuity.

LIXIL has identified material issues that we, our stakeholders, andsociety in general consider to be of the highest importance for

initiatives should be strengthened inMaterial Issues Selected in FYE2021
In FYE2021, we reviewed the material issues selected in FYE2016.

view of stakeholder needs.

PriorityHigh

MediumBased on the process outlined on page 20, we determined 20
new material issues by selecting and evaluating issues from both a

Global Sanitation & Hygiene

Product Safety

Information Security

Customer Satisfaction

Tax Transparency

Employee Safety & Wellbeing

Responsible Marketing & Advertisingrisk and opportunity perspective, taking into consideration LIXIL’s
Purpose, Value Creation Process (VPC), Medium-Term Plan, Corporate
Responsibility (CR) Strategy and other business strategies, stakeholder

Climate Change
Mitigation and Adaptationneeds and expectations as well as current social circumstances andissues.
The priority of each material issue was determined following examination

Water Sustainability

and discussion by the CR Committee, the officers in charge of individualfunctions, and the Board of Executive Officers, considering the degree ofCircular Economy

risk as weighted by ESG-rating organizations and their impact on LIXIL,
our stakeholders, and society at large (see right). Material issues thatare labeled as “Priority” are deeply related to the three pillars of our CR

Talent & Development
Ethics & Integrity
Human Rights

Environmental Impactof Product Lifecycle

Supply Chain Management

Environmental Management

Corporate GovernanceThree pillars of our CR Strategy
Global Sanitation & Hygiene
Water Conservation &Environmental Sustainability

Strategy. We will continue to accelerate our CR activities with a focus on
these material issues. See the below link for more information on how
material issues are selected.
CR

Selection of Material Issues (P20)

Diversity & Inclusion

Risk Management
Diversity & Inclusion
Stakeholder Engagement

CR

Corporate Responsibility Strategy(P22)

LIXIL Corporate Responsibility Report 2021

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Contents

Highlights

Commitment

Management & Material Issues

Strategic Pillars

Our People

02

UPDATING OUR DIVERSITY & INCLUSION STRATEGYHIGHLIGHTS

Our Approach

Review of Material Issues
Updating Our Diversity &Inclusion Strategy
Combatting COVID-19

Environment

Customers & Supply Chain

Society

Updating Our D&I Strategy

LIXIL’s Purpose is to “make better homes a reality for everyone,

In FYE2021, we conducted a D&I awareness survey of all employees to further promote D&I across the organization. The

everywhere.” We do this by striving to understand our customers

survey helped us to understand the current situation and issues and update our D&I Strategy.

and other stakeholders around the world and provide products and

The D&I Strategy sets goals and measures focused particularly on correcting gender inequality. To do this, we

services that meet their diverse needs. Promoting diversity andconsidered current gender imbalances across society and in our organization, the important role that women play ininclusion (D&I) — an inclusive cultural and organizational environment

consumers’ purchasing decisions, and the fact that female talent bring views and ideas to the table that are critical to thethat embraces diversity — is the cornerstone of a customer-centric

type of innovation we need. We seek to strengthen D&I in a wider area of our organization by promoting these initiatives.

organization. It also drives the type of innovation and sustainable

Going forward, we will set and implement more specific plans at each of our bases and pursue D&I measures that

corporate growth that is only possible through the open and freepromote diversity in all its forms.

exchange of opinions from varied perspectives.
CR

Past D&I Initiatives

D&I Awareness Survey of All Employees (P41)

By 2030, embed a culture of inclusion across LIXIL and achieve key gender equity goals.

In FYE2018, LIXIL published its Diversity and Inclusion (D&I)
Declaration. This document outlines priority areas for D&I, including

Enhanced gender equity acrossleadership roles by 2030:

gender, age, race, nationality, ability and disability, and sexual
orientation, and is now guiding action on relevant issues in each

• 50:50 for Board & Executive Officers• 30% female leaders across LIXIL• Maintaining gender parity in new graduate recruitment (Japan)** Excluding our group companies.

country and region. In FYE2020, we established our Global D&I
Department to implement common global D&I initiatives. In FYE2021,
we issued our D&I Statement and set up a D&I Committee, both ofwhich were prompted by the global spread of anti-discrimination
protests starting in the US. Staffed by our CEO and executive officers,
the committee is tasked with strengthening our organizational

Key Actions to Enhance D&I and Achieve Targets from FYE2022 Onward:
Talent Development• Accelerate creation of a deep bench for senior roles and managers

Talent Acquisition• Set targets and implement unbiased processes for talent acquisition• Conduct market sweep for qualified talent• Build and promote Employer Value Proposition

Inclusive Environment• Create more inclusive work environment with policies• Create transparency and momentum on the importance of D&I• Build Employee Listening Strategy• Update HR policies and processes to reflect business strategy based on D&I

structure by placing D&I at the very core of LIXIL’s corporate culture,business processes, and day-to-day operations management.
CR

Diversity & Equal Opportunity (P41)

PDF

Diversity and Inclusion Statement (195KB)

LIXIL Corporate Responsibility Report 2021

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Contents

02
HIGHLIGHTS
Review of Material Issues
Updating Our Diversity &Inclusion Strategy
Combatting COVID-19

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

COMBATTING COVID-19, FORGING THE NEW NORMALAs a company that prides ourselves on supporting sanitary

We are now preparing to start production in Africa toenvironments and healthy living, LIXIL was quick to establish

complement our existing production facility in India. We area global team to help combat the COVID-19 pandemic

also using SATO Tap as a tool to raise awareness of hygienic

and put various countermeasures in place to protect ourpractices in various regions.

customers, employees, and local communities.
We are also pursuing initiatives that encourage the ongoing

Protecting the Safety of Our Customers• We adopted various digital tools to deliver services tocustomers safely. Examples include providing showroom

To help fulfill one of our three strategic pillars, Global

services and seminars online, conducting sales activities

Sanitation & Hygiene, LIXIL will invest approximately JP¥100

virtually, and introducing an automated enquiry response
system that utilizes AI-powered chatbots.

transformation in working styles, digitalization, productmillion in encouraging the broader use of handwashingdevelopment, and globalization in order to help shape oursolutions, and we are working with UNICEF and othernew normal post-COVID world. To that aim, in FYE2021 weorganizations to help prevent the spread of COVID-19

new normal, we are strengthening our range of touchlessdeveloped a global framework that sets out some guiding

through initiatives that advocate handwashing and otherfaucets and IoT-driven products. We are also focusing

principles for our organization in the new normal.

sanitary practices.

on the development of products with superior ventilation• To prevent the spread of COVID-19 and prepare for thecapabilities and solutions designed to satisfy people

Developing SATO Tap Handwashing Station

choosing to work from home.
• As part of our emergency preparedness, we distributed
our global production system to multiple sites andHandwashing is an effective way of preventing the spreadof COVID-19. However, this can be problematic primarily forpromoted supply chain integration and coordination.

emerging markets that do not have sufficient access to water• We issue informative advice on how to ventilate homes, etc.

or soap, sufficient handwashing facilities, or an ingrained
handwashing culture. Approximately 2.3 billion people, or one

WEB

in three people in the world, do not have basic handwashing

LIXIL Online Showroom (Japanese only)

facilities in the home.
Our SATO Tap handwashing station, developed in 2020,
can generate a stable but frugal flow with minimal waterusing water contained in a PET bottle and gravity. To
facilitate use in emerging markets and other underprivileged
regions, we designed a handwashing station that can use
PET bottles of various shapes and sizes and is simple todesign and manufacture with only two plastic parts to keep
both costs and prices low.
SATO Tap handwashing station using a plastic bottle

Navish Hands-Free touchless faucet

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society02
HIGHLIGHTS
Review of Material Issues
Updating Our Diversity &Inclusion Strategy
Combatting COVID-19

Protecting the Safety of Our Employees

Protecting the Safety of Our Communities• We were able to shift smoothly to remote work thanks• We established a working group of employee volunteers

to the solid digital technology base that we have been

to brainstorm and create products and services that help

gradually introducing for some time. That digital base alsoenables us to hold town hall meetings with managers andemployees all over the world and conduct online training.
• To help forge a new normal, we are using digital tools toprevent the spread of COVID-19.
• We donated sanitary products and equipment worldwide:- We manufactured medical masks and faceshields using 3D printing technology as part of ourprogress our flextime and remote-working systems and to#LIXILShields employee volunteer initiative and donatedpromote even better internal communication.

more than 70,000 units to healthcare workers and• At manufacturing sites, we introduced a flexible shiftsystem, created a scheme that enables people toteachers (North America).

commute without using public transport, and further

donated them to local schools (Japan).

strengthened hygiene management.

- We donated sanitary products such as sanitizers,• We are using internal social media and other channels to
distribute information on topics such as preventing infection
spread, mental health care, and remote work communication.
• We published guidelines for COVID-19 vaccinations.
• We paid a special COVID-19 allowance to all employees

LIXIL Community Day (P97)

communities (China, India, Ethiopia, etc.)• We raised awareness on good handwashing habits (China,etc.).
• We are helping to prevent the spread of COVID-19 by
installing more of our SATO Toilet Solutions for emerging

FYE2020 and US$200 in FYE2021).

markets and accompanying handwashing facilities

sanitation and hygiene issues to help support employeesCRsoap, masks, and handwashing equipment to local

worldwide (one-time payments equivalent to JP¥50,000 in• Within Japan, we provided digital teaching materials on

Employee volunteers worldwide create and donate sanitary products- We produced foot-operated sanitizer pumps andin order to improve sanitation and encourage morewidespread handwashing.

who have children.

Digital teaching materials on sanitation and hygiene issues for employees with children

LIXIL Corporate Responsibility Report 2021

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Contents

03

CR MANAGEMENTSTRUCTURE &MATERIAL ISSUESSELECTION

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CR MANAGEMENT STRUCTURE &MATERIAL ISSUES SELECTION
We have put in place a robust management structure for driving sustainability initiatives,and identified key issues that matter the most to our stakeholders, and to us.

CR Management Structure
Selection of Material Issues
Corporate Responsibility Strategy

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Contents

03

CR MANAGEMENTSTRUCTURE &MATERIAL ISSUESSELECTION
CR Management Structure

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CR MANAGEMENT STRUCTURE
technology business.

Management leadership and coordination with the

LIXIL’s CR Committee meets quarterly with the aim of

The executive officer in charge of CR swiftly reports thedeveloping a swifter response to sustainability issues in thetechnology businesses is critical to achieve prompt

economic, environmental, and social fields. In FYE2021, theand appropriate action. Accordingly, the CR Committee

results of CR Committee discussions and deliberations tocommittee held workshops to review LIXIL’s material issues

consists of executive officers from corporate functions,the LIXIL Board of Executive Officers, enabling necessary

and also discussed various topics, including the LIXIL Plastics

including Human Resources, Legal & Compliance, Finance,

decisions to be made. The executive officers, who are in

Action Statement announced in October 2020 and ourTechnology/Quality/Environment, R&D, Marketing, andcharge of promoting CR initiatives, immediately indicate andDiversity & Inclusion (D&I) Strategy updated in March 2021.

Communications/Investor Relations/External Affairs/

communicate decisions made in the CR Committee to their

Corporate Responsibility, and representatives from each

respective functions to facilitate speedy, concrete action.

Selection of Material Issues
Corporate Responsibility Strategy

Decision-making body
LIXIL Board of Executive Officers

CR Committee

Human
Resources

Legal/Compliance

Comms/IR/EA/CR*

FinanceTechnology/Quality/Environment

Officers in charge

R&D

MarketingTechnology Businesses

LIXIL Water Technology representative
LIXIL Housing Technology representative

As of March, 2021
* Communications/Investor Relations/External Affairs/Corporate Responsibility

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Contents

03

CR MANAGEMENTSTRUCTURE &MATERIAL ISSUESSELECTION

Commitment

Management & Material Issues

Highlights

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

SELECTION OF MATERIAL ISSUESLIXIL has identified material issues that we, ourissues through our business activities while monitoring theconsideration LIXIL’s Purpose, Value Creation Process

stakeholders, and society in general consider to be of the

progress against our goals.

(VCP), Medium-Term Plan, Corporate Responsibility (CR)highest importance for improving our company’s sustainable

Strategy and other business strategies, stakeholder needs

LIXIL’s material issues are determined by selecting

growth and corporate value for driving progress on

and evaluating issues from both a risk and opportunityand expectations as well as current social circumstances andsustainable development. We are working to resolve theseperspective using the process outlined below, taking into

issues. We review these material issues to accommodate anychanges in LIXIL’s immediate environment or society at large.

CR Management Structure

LIXIL’s Material Issues Selection Process

The process of selecting our material issues is deeply linked to our VCP, which creates value for stakeholders and broader society
based on LIXIL’s Purpose and available resources, as well as to our business strategies and CR Strategy.

Selection of
the issues• Selection of candidate issues based on
the evaluation criteria by ESG-ratingorganizations (DJSI and MSCI), as well as
essence from global standards such as
SASB, GRI and SDGs
• Define the impact of each issue based on
the weighting of evaluation criteria

IDENTIFY

Value Creation Process (VCP)
A Path to Sustainable Growth

Make better homes a reality
for everyone, everywhere

A Path to Sustainable GrowthSocieties

Consumers

Shareholders

VAL

UE

A strong
governancefoundation

Clear
strategic
goals

Detailed Evaluationof the issues

TE

ES

W

WE

REL

Y ON

3.

THE

Y
WA

• Discussion at Corporate Responsibility
Committee, focusing on candidate issues• Interviewing with business units andcorporate functions

DISCUSS

EA

RC

SU

“Monozukuri”
Manufacturing
PlatformRE

Meaningfully
Designed Products

Discussion on
the issues

Employees

Partners

HE

Unrivalled Portfolioof Brands

How we create value in asustainable and meaningful way
for our stakeholders and society

CR

Financial
Foundation

OUR VALUECREATION PROCESSE

Global Sales
Infrastructure

Outcomes for Stakeholders

TE
REA
EC
W

Sustainable
Resource
Management

2. T

Diverse andPurpose-Led
People

4. T
HE
VA
LU

e
os
rp
Pu

E

IXI
Ls

Corporate Responsibility Strategy

Positioning of the Material Issues

1. L

Selection of Material Issues

A modern
workenvironment

LIXIL’s value creation comes fromour people, who are empoweredto act and create value forstakeholders via six enablers:

Universal“LIXIL
Behaviors”

LIXIL’speopleA clearcorporate
purposeAn efﬁcient
operatingstructure

REFINE• Detailed evaluation of the selected issues
at executive level• Selection of key issues and prioritization
based on the above feedback and theimpact on society and LIXIL• Approval at Board of Executive Officers

Following the above process, we will continuously review the material issues.

LIXIL Corporate Responsibility Report 2021

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Contents

03

CR Management Structure
Selection of Material Issues
Corporate Responsibility Strategy

Highlights

Management & Material Issues

Strategic Pillars

Our People

Material Issues Selected in FYE2021

Environment

Customers & Supply Chain

Society

Global Sanitation & Hygiene

We seek to promote and enable access to safe and hygienic sanitation practices, especially for women and girls, while
preventing the harmful transmission of diseases for children. The SATO brand is LIXIL’s primary driver of R&D andbusiness operations to tackle this challenge as it is tailored to the characteristics and needs of individual markets,
including infrastructure, income levels, and environmental restrictions.

Climate Change
Mitigation and Adaptation

To meet the urgent need to address climate change, we will further reduce greenhouse gas emissions from ourbusiness processes, products, and services and provide solutions to allow people to better adapt.

Water Sustainability

As a leading company in the water-related product industry, we help achieve global water sustainability by tacklingissues such as the improvement of access to safe drinking water and the depletion of water resources so that people
can get the most out of the water they use.

Circular Economy

To use limited resources more sustainably, we promote circular manufacturing practices that consider the entire
product lifecycle, from raw material procurement through to manufacturing, product use and disposal.

● Priority:
Areas in which LIXIL is able to proactively exploit its unique

Environmental Impactof Product Lifecycle

LIXIL can contribute to reducing environmental impact throughout its products’ lifecycle because they are used for along period of time in people's lives.

strengths to greatly help solve issues and have a significant

Environmental Management

We will strengthen environmental management and compliance, including management of waste and chemical
substances.

Diversity & Inclusion

We promote a culture of diversity and inclusion. We are seeking to leverage the knowledge and perspectives of adiverse employee base as the driving force for growth and innovation and to develop products and services that
contribute to improving the quality of life for everyone, everywhere.

Product Safety

We will improve product quality and safety throughout their lifecycle based on the belief that quality is the key toearning the trust of customers and society.

responding to stakeholder needs and appropriately managing

Customer Satisfaction

We will pursue customer satisfaction from the perspectives of both professional users and end users so that ourcustomers enjoy amazing experiences in every aspect of their lives.

risks to ensure business continuity.

Employee Safety & Wellbeing

We promote health management for greater corporate value by prioritizing the safety of all employees.

Talent & Development

Employees are the driving force behind the value creation. With that in mind, we will engage in systematic humanresource development and support proactive career development of individual employees.

Ethics & Integrity

We will build and maintain a culture of compliance where all employees and executives are proud to engage in daily
business activities based on high corporate ethics.

Human Rights

We position the respect for human rights as a fundamental requirement for business continuity. We are committed topromoting business activities that consider the human rights of all stakeholders, following international human rights principles.

Supply Chain Management

We identify risks during procurement and promote stable supply and responsible procurement of products throughcooperation with suppliers.

Corporate Governance

We will continue to enhance our corporate governance structure. We expressly separate the functions of business execution
and supervision to enable executive officers to make management decisions quickly and decisively while securing
management transparency.

Risk Management

We identify risks that affect business activities, and define particularly important risks as those to be managed withpriority. We then manage risks for the entire group by having risk owners share and report the status of responses.

Stakeholder Engagement

LIXIL believes that its business activities are supported by a large number of stakeholders. We will contribute toimproving the quality of life and solving social issues through active engagement with each stakeholder.

Information Security

To ensure the efficient and stable execution of business activities, we will update core systems, strengthen the
management of personal information, and establish a system to ensure cyber security.

Tax Transparency

We strive to ensure tax transparency and implement appropriate tax payments.

Responsible Marketing & Advertising

We seek to provide appropriate information about our products and services.

In FYE2021, we reviewed the material issues selected in
FYE2016 and selected 20 new material issues based on theabove-mentioned process. We categorized these issues into thefollowing priority levels in terms of degree of risk as weighted
by ESG-rating organizations and their impact on LIXIL, ourstakeholders, and society at large.

Priority

CR MANAGEMENTSTRUCTURE &MATERIAL ISSUESSELECTION

Commitment

positive impact on stakeholders and society. Areas where
initiatives should be strengthened in view of stakeholder needs.
● High:Areas that should be addressed from the perspective of● Medium:
Areas requested by stakeholders and that should beHighappropriately addressed as the basis for our business activities.
Material issues that are labeled as “Priority” are deeply
related to the three pillars of our CR Strategy. We will continue toaccelerate our CR activities with a focus on these material issues.

Three pillars of our CR Strategy
Global Sanitation & Hygiene

Diversity & Inclusion

CR

Corporate Responsibility Strategy (P22)

MediumWater Conservation &Environmental Sustainability

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Contents

03

CR MANAGEMENTSTRUCTURE &MATERIAL ISSUESSELECTION

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CORPORATE RESPONSIBILITY STRATEGY
LIXIL’s Corporate Responsibility (CR) Strategy outlines threeeach area, we are leveraging our expertise and business

committed to the strategy, we aim to achieve LIXIL’s Purpose

core pillars of activity representing the most pressing global

scale to pursue responsible and sustainable innovation andto “make better homes a reality for everyone, everywhere.”

issues relevant to our business. To drive positive change indevelop safe, comfortable products and services. By being
PDF

Details on our CR Strategy (660KB)

LIXIL’s Purpose:
Make better homes a reality for everyone, everywhere

CR Management Structure
Selection of Material Issues

Global Sanitation & Hygiene

Corporate Responsibility Strategy

Promote and enable access to safe andhygienic sanitation practices, especially for womenand girls, while preventing the harmful transmissionof diseases for children

Water Conservation &Diversity & Inclusion

Conserve water, energy, and other natural
resources utilized in and by LIXIL products andservices, including in the supply chain,production, distribution, and during end use

Leverage the knowledge and perspectives of adiverse workforce as a key driver of growth andinnovation, and improve quality of life for all people
through our products and services, irrespective of
their age, gender, and the level of disability

Environmental Sustainability

Sanitation for All

Zero Carbon and Circular Living

Inclusive for All

By 2025, improve the livelihood of 100 million people
through sanitation and hygiene initiatives

By 2050, achieve net-zero carbon emissions, preserve waterand natural resources in operations, housing and lifestylesolutions for future generations to become a leading company
in environmental sustainability

By 2030, embed a culture of inclusion across LIXIL andachieve key gender equity goals
By 2030, ensure all products and services* are based on
LIXIL’s Universal Design concept● Design products and services with consideration to lifecycle impacts● 50% of Board Directors and Executive Ofﬁcers to be women● Promote research and development of products that actively contributeto resolving sanitation issues● Expand and ensure self-sustainability of businesses that improve

sanitation in developing economies around the world● Foster a range of initiatives to tackle global sanitation and hygiene
issues across LIXIL's global business units

and environmental efﬁciencies, and increase the sales share ofthis product portfolio● Lower environmental impact through efﬁcient energy usage andadoption of recyclable energy to minimize carbon emissions, andrealize higher water usage efﬁciency and resource circulation
throughout all of business operations

by 2030● 30% of our leaders globally to be women by 2030
● Maintain gender parity in new graduate recruitment in Japan● Promote the development of universal design products and services

that are “Good for one, Good for all, Good for a lifetime”

Scope: Products and services in Japan

Our strategy stands upon a foundational commitment to ethical business practices
GovernanceFair Business Practices

Human Rights

Labor Practices

Enhance LIXIL’s governance tomaximize our corporate value

Engage all employees andofficers in our business
operations with a high standardof corporate ethics

Advance human rights acrossthe business to operate as a
responsible corporate citizen

Build a strong corporation andworkplace where all employees
can achieve their fullest potential

Quality andCustomer Satisfaction
Strengthen relationships withcustomers through our products
and services

Supply Chain
Through responsible managementof the overall supply chain, deliver astable portfolio of products and fulfill
stakeholder accountability

Stakeholder
Engagement
Proactively engage with
LIXIL’s key stakeholders

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

THREE STRATEGIC PILLARS
We leverage our specialist expertise and business scale to pursue initiatives
focused on three strategic pillars, selected from among the most urgent
issues relating to the regions in which we operate.

● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

LIXIL Corporate Responsibility Report 2021

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Contents

04

Commitment

Highlights

Environment

Customers & Supply Chain

Society

Promote and enable access to safe and hygienic sanitation practices, especially for women and girls,
while preventing the harmful transmission of diseases for children.

Highlights● Global Sanitation & Hygiene

Social Issue● Diversity & Inclusion

Our People

GLOBAL SANITATION & HYGIENE

THREE
STRATEGIC PILLARS● Water Conservation &Environmental Sustainability

Strategic Pillars

Management & Material Issues

People living
without a toilet

1.7

ProgressThose regularly
defecate outdoors

billionpeople494 million
people(1 in 5)

5.1 million units of SATO Toilet Solutions

TargetShippedto dateSanitation for All

Shipped to

By 2025, improve the livelihood of 100 million
people through sanitation and hygiene initiatives

Improved the lives of

41 countries
25 million people

Our Journey

Set up the SATO Businessdivision, which focuses onsanitation solutions

2016

Launched Toilets for All project (2017-2019)2017
Analyzed socioeconomic losses
from poor sanitation

2018

MoU with JICA

2019

Developed new handwashingsolution SATO Tap

2025

2020

Launched Team Splash
employee donation program

MoU with USAID

Target:Improve thelives of 100
million people

MAKE A SPLASH! with LIXIL
Owners Club donation
program for club members

Donation campaign for
GROHE brand products

Launched MAKE A SPLASH! global partnership with UNICEF

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Commitment

Highlights

Strategic Pillars

Management & Material Issues

Our People

Environment

Customers & Supply Chain

Background

Society

Our Approach & Strategy

An estimated 1.7 billion people, or about one-fifth of thedevelopment. In 2015, global economic losses from poor

LIXIL continues to strive toward the target of improving the

global population, live without access to safe, sanitary toilets.

sanitation were estimated at US$223 billion.* Among thesanitary environments of 100 million people, but we haveAmong them, approximately 494 million people still regularly

United Nations (UN) Sustainable Development Goals (SDGs)

pushed out our target date from 2020 to 2025. We hopedefecate in the open. These figures come with a devastatingfor 2030, Target 6.2 seeks to “achieve access to adequatethat accelerating cooperation with various partners to help

human cost: Each day, over 700 children under five die fromand equitable sanitation and hygiene for all and end open

expand our business will also help improve people’s sanitary

diarrheal diseases caused by unsanitary living conditions.

defecation, paying special attention to the needs of womenenvironments and quality of life.

A lack of safe, clean toilets poses particular dangers forand girls and those in vulnerable situations.” This highlights

Sanitation problems vary by region, depending on thewomen and children. There are countless cases of womenthe need for collaboration between governments, non-availability of water resources, the level of urbanization, andor children being sexually assaulted while trying to findgovernmental organizations (NGOs), private companies, andaccess to toilet facilities. LIXIL’s SATO Business division issomewhere private to relieve themselves. Sanitation issues

various other sectors in tackling sanitation issues.

the primary driver of R&D and business operations tailoredalso contribute to the gender gap in education — the lack of* According to “The True Cost of Poor Sanitation,” a 2016 survey
conducted by Oxford Economics, international NGO WaterAid, and LIXIL.

to the characteristics and needs of emerging markets,

sanitary school toilets has been identified as a reason why
girls who have started menstruating feel they are no longer
able to attend classes.

including lack of infrastructure, lower income levels, andenvironmental restrictions, such as water scarcity.

WEB

The True Cost of Poor Sanitation

About 2.3 billion people, or one in three of the world’s
population, lack basic handwashing facilities at home. This
lack of handwashing facilities increases the risk of a more
rampant spread of infectious diseases, such as COVID-19.

Regional Issues and Solutions
RegionIssue

Solution

Features

Many households andschools lack toilet facilities

SATO Toilet Solutions

Rural areas• Low price• Simple installation• Water-efficient flushing

Urban areas

Inadequate water supply
and facilities

Micro Flush Toilet System(under development)• Reuses wastewater for flushing• Water-efficient flushing

Rural areas with
scattered communities
and slums

Difficulty of sewerage
infrastructure or pit toilet
installation

Portable Toilet System(under development)• A combination of easily installed portable toilets
and stations for collecting toilet waste fromindividual households

Regions without basic
handwashing facilities

Lack of water supply,
handwashing facilities, andwater resources

SATO Tap• Affordable• Compact• Portable

The impact of the sanitation crisis is felt throughout entire
nations and regions, crippling opportunities for growth and• Uses small amountof water• Easy to operate

Slum in Mumbai

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment04

Highlights

Strategic Pillars

Management & Material Issues

Our People

Environment

Customers & Supply Chain

Society

SATO Toilet Solutions

THREE
STRATEGIC PILLARSSATO Toilet Solutions are a range of simple, aspirational yet● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability

How SATO Toilet Solutions Work

SATO Toilet Solutions are currently manufactured in six

affordable products intended for use in emerging countries.

countries of Asia and Africa. Including donations, over

Flushing requires less than one liter of water, using a

5.1 million units have been distributed to 41 countries,

counterweight trapdoor that otherwise remains closed

contributing to better sanitation for an estimated 25 million

to reduce odors and prevent insects, such as flies, frompeople (as of July, 2021).

User relieves themselves

spreading bacteria. The original SATO model, developed
based on the needs of communities in Bangladesh,● Diversity & Inclusion

received a grant from the Bill & Melinda Gates Foundation.
38V

Production and sales began in the country in 2013.

Countries Where SATO Toilet Solutions Are Used
39

SWITZERLAND

ARMENIA

38V

35

25

15

26

22
32

2

29

37

8

30V

28
17

36T
41

40

33
18

9

6

1
7

31
10 13 27

16

11

3

14

User pours water into
the pan, which opens
the trap and flushes
the waste

4
24

21

23

20

19

12

5

Bangladesh
34

BelizeBenin
BhutanHaiti

Papua New Guinea

Tajikistan

Bolivia

India

Mauritania

Peru

Tanzania

BrazilIndonesia

Mozambique

Philippines

UgandaCambodia

Ethiopia

Kenya

Myanmar

RwandaU.S.A.

Cameroon

Fiji

Madagascar

Nepal

Senegal39 Uzbekistan

Democratic Republic of the Congo

Ghana

Malawi

Niger

Somalia

40 Vietnam

Cote d'lvoire

Guinea-Bissau

Mali

NigeriaSouth Africa

41 Zambia

The counter-weight trap
door closes to keepodors and flies away

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Strategic Pillars

Management & Material Issues

Developing Products Suited to Local Needs

Our People● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Customers & Supply Chain

Society

Using Sato Operations to Nurture Human Capitaland Promote Hygiene Education

How SATO V-Trap Works

Adapting product development to local challenges and
Our SATO business is collaborating with local manufacturers

needs is one of the vital elements of a successful sustainablesocial business.

● Global Sanitation & Hygiene

Environment

are tailored to local sewage treatment methods and market
needs. In India, for example, we developed the SATO V-Trap

and NGOs to establish regional production and sales systems.

TankA

We are developing a range of SATO Toilet Solutions that

By driving the make-sell-use cycle, we seek to generateregional employment and enable autonomous, continuousInternal
内部ユニット
components

Tank
B

toilet system to address local problems of clogging and time-

including women and youth, in India, Uganda, Nigeria,

The Indian government promoted a twin-pit system,

Tanzania, and other countries have participated in free

but it was burdensome to switch from one pit to another,
タンク A

タンク B

Tank AAタンク

the standard Y-shaped piping with a V-shaped one, the

タンク A

タンク B

Tank BB
タンク

generated improvements in toilet installations and income,approximately 80% less water per flush than conventionalwith reported 200% increases in income for some women

タンク A が一杯になったら

toilets. India achieved its target of eliminating outdoor
to boost the ratio of toilet use there.

training programs designed in conjunction with NGOs andinternational organizations. The training programs have

SATO V-Trap toilet reduces the risk of clogging and requires

defecation by 2019, and our SATO V-Trap toilet has helped

One such job-creation initiative is the training of masons
who install SATO toilets. To date, more than 19,000 people,

consuming installation.

often causing blockages in the mechanism. By replacing

improvements and create a local sanitation economy.

棒で内部ユニットを回転させ、使用するタンクを A から B に切り替えて使用する

内部ユニットwho underwent the training in India, and the nurturing ofskilled masons in Uganda who sold and installed more than
3,000 SATO toilets over a period of five years.

Internal
内部ユニット
components

At the same time, we are working to drive consumer’s
When collected waste
reaches the capacity limit ofタンク
thetankAAが一杯になったら

awareness on the importance of toilet use as part of ourefforts to help solve sanitation issues because we believe
simply installing toilets is not enough. That is why we work

タンク
Tank AA

タンク
Tank BB

with UNICEF and NGOs
to promote understandingof the importance ofsanitation and toilet use.

棒で内部ユニットを回転させ、
Rotatethe internal components
使用するタンクをからBに
witha bar to switchAtankfrom
切り替えて使用するA
to B
Installing SATO V-Trap toilet

A training session in Uganda

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

SATO Tap
We developed SATO Tap in 2020 to help prevent the spread

SATO Tap works with plastic bottles of various shapes andWe conducted user testing in four African regions and areof COVID-19. As a handwashing solution, SATO Tap uses

sizes and is manufactured from two simple plastic parts tolooking to develop products that satisfy local needs, based onwater in a plastic bottle and gravity to release a minimal,

keep costs and prices low. To quickly deliver the product tousers’ feedback. By using SATO Tap to encourage frequent

frugal but stable water flow.

areas with the most urgent need, we started production in

handwashing even in areas with insufficient handwashing

India, where we already had a network of partners in the SATO

facilities and water supply, we hope to gradually instill better

SATO Tap was conceived by an employee who has long

● Water Conservation &Environmental Sustainability

been involved in the development of SATO Toilet Solutions.

business and were able to operate a manufacturing system

practices that will ultimately help prevent the spread of● Diversity & Inclusion

He came up with the idea when he became infectedduring the COVID-19 pandemic, as well as in Tanzania.

infectious diseases and improve hygiene.

with COVID-19 and was being treated for the disease. In

In FYE2021, we used SATO Tap to raise awareness of theemerging markets, where water and soap were not readily

importance of hygienic practices in various regions. In India,WEB

available and where there were no handwashing facilities

we joined forces with the Japan International Cooperation

Video SATO Tap

or effective handwashing habits, there was an urgent need

Agency (JICA) on an awareness-building campaign toto develop solutions to address these problems. To ensure

promote hygienic practices, conveying the importance of

SATO Tap could be used across different regions, ourhandwashing in rural areas, schools, and hospitals throughproduct development team focused on local needs and end-

animation-enhanced lectures and hands-on SATO Tap

user perspectives, such as the need for simple materials andexperience sessions.

SATO Tap

production methods, and affordable pricing.

SATO Tap handwashing station using a plastic bottle

Awareness-building activities in India (photo credit: JICA)

Handwashing practice using the SATO Tap stations (photo credit: JICA)

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene

Commitment

Highlights

Strategic Pillars

Management & Material Issues

Our People

Environment

Customers & Supply Chain

Society

Partnerships
USAID

BRAC, PSI, and Other NGOs

partnerships that utilize the strengths of various specialist

In October 2020, LIXIL signed a Memorandum of

We work with experienced NGOs such as Bangladeshorganizations, NGOs, and business partners.

Understanding (MoU) with the United States Agency for

Rural Advancement Committee (BRAC) in BangladeshInternational Development (USAID) to collaborate on solving

and Population Services International (PSI) in Kenya tohygiene and sanitation issues in emerging countries. The

build the value chains that enable SATO installation, lobby

MoU covers the planned deployment of SATO toilets andgovernments to promote sanitation measures, and receive

SATO Tap handwashing stations in Asia and Africa.

feedback on product development.

JICA

Toilet Board Coalitionand ensure the availability of affordable products for people

LIXIL signed an MoU with JICA, the incorporated

LIXIL is a member of the Toilet Board Coalition, a global

lacking toilets. We are working to expand this market-driven

administrative agency that coordinates official development

alliance of public and private sector partners that aims

program.

assistance for the Government of Japan, to cooperate on

to develop sustainable solutions to the sanitation crisis.

Solving sanitation issues is not something that LIXIL
can achieve alone. Our initiatives rely on collaborative● Water Conservation &Environmental Sustainability

UNICEF● Diversity & Inclusion

In 2018, LIXIL and UNICEF formed the MAKE A SPLASH!
global partnership to improve sanitation for children aroundthe world. We launched the initiative in Ethiopia, Kenya,
and Tanzania to establish markets for hygiene-related goods

In Tanzania, we have been cooperating on a government-

the goals of improving sanitary environments and securing

We assist with the running of the organization, mentor

driven campaign to ensure access to toilets for all of thesafe water in emerging countries. This is the first cooperative

entrepreneurs who tackle sanitation problems, and engage

nation’s citizens by 2025. In India, we installed SATO toilets

endeavor between a private company and JICA in this field,

in advocacy through the Toilet Board Coalition.

as part of UNICEF’s #FlushTheVirus campaign to support

and we intend to accelerate progress by leveraging ourhealthcare professionals seeking to treat COVID-19. We alsomutual strengths. In 2020, we worked together in India to

conducted SATO Tap demonstration testing together withraise awareness of hygienic practices such as handwashing.

UNICEF in four other African regions, and are now seeking
to develop products that better suit local needs.

Thanks to our partnership work with the agency, JICA
officially recognized LIXIL as a JICA-SDGs Partner for ourefforts to help achieve the SDGs.
WEB

WEB

JICA-SDGs Partners: List of certified organizations(JICA website) (Japanese only)

MAKE A SPLASH!

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Commitment

Highlights

Management & Material Issues

Together with Japanese Customers

Strategic Pillars

Our People

Environment

External Recognition

Customers & Supply Chain

Society

Designing Toilets for the Future

LIXIL is partnering with customers in Japan to broaden

In December 2018, LIXIL received the Deputy-Chief’s

LIXIL formed a partnership with the Bill & Melinda Gates

understanding of hygiene issues and together help improveAward, given by Japan’s Minister of Foreign Affairs, at theFoundation in 2018 and is now working to develop andsanitary environments in emerging countries.

2nd Japan SDGs Awards. LIXIL’s efforts to tackle sanitationcommercialize the world’s first household reinvented toilet,

issues, including the development of SATO products andan off-grid system able to treat human waste without water

which we agreed to donate one SATO toilet to a country inthe solving of challenges throughout the value chain, as wellor sewerage facilities. The system is designed for areas

Asia or Africa for each integrated shower toilet purchased

as advocacy in collaboration with NGOs and international

where installing conventional toilets is difficult due to limited

by a customer in Japan. We donated 400,000 SATO toilets

bodies, have been recognized through various awards.

access to water or problems with maintaining and updating

In 2017 and 2018, we held the Toilets for All Project, induring those first two years. In 2019, we donated a portionof the sales of integrated shower toilets through our MAKEA SPLASH! partnership with UNICEF. Approximately JP¥26
million in donations to UNICEF has been used to build theinfrastructure to help install safe and sanitary toilets and toraise awareness of hygiene issues in local communities.
We also launched a new service in November 2020
whereby we donate JP¥10 to MAKE A SPLASH! for every
purchaser of a LIXIL product who registers as a member ofthe LIXIL Owners Club.

sewerage systems because of rapid urbanization. With
• Deputy-Chiefs’ Award given by Japan's Minister of Foreign
Affairs, 2nd Japan SDGs Award• Grand Award, 2017 International Association for Universal
Design (IAUD) Awards (Toilets for All project)• Innovation of the Year Award, Responsible BusinessAwards (SATO)

a team of specialists in technology, design, and productdevelopment, LIXIL is leading the creation of experimental
new toilet systems.
We are also working to develop Micro Flush Toilet System
and Portable Toilet System, which aim to help solve issues incities and slums.

• Selection Committee Special Award, 7th Technology,
Management and Innovation Awards (SATO)• 2018 Good Design Award (SATO)• Red Dot Award 2018 (SATO V-Trap toilet)

CR

MAKE A SPLASH! (P94)CR

LIXIL Owners Club (P82)• Time Magazine’s Best Inventions of 2020 (SATO Tap)

2nd Japan SDGs Award ceremony

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Strategic Pillars

Management & Material Issues

Our People

Environment

Conserve water, energy, and other natural resources utilized in and by LIXIL products and services across the value chain fromprocurement through production, distribution, end use, and product disposal.

Highlights● Global Sanitation & Hygiene● Diversity & Inclusion

Society

WATER CONSERVATION & ENVIRONMENTAL SUSTAINABILITY

Progress

Social Issues● Water Conservation &Environmental Sustainability

Customers & Supply Chain

World energy
consumption

32%

is consumed inbuildings(residential: 24%, commercial: 8%)

Those likely toexperience water
stress by 2050

4billionpeople(Over 40% of global population)

Global resource
consumption

Doubleby 2050

CO2 emissions from operational processes

18.2%
reduction

TargetZero Carbon and Circular Living

CO2

FYE2016(standard value)

By 2050, achieve net-zero carbon emissions, preserve water and natural resources inoperations, housing and lifestyle solutions for future generations to become a leading
company in environmental sustainability

FYE2021

Target:30%
reduction

FYE2030* Covers LIXIL and its group companies (production and non-production bases in Japan andproduction bases outside Japan).
* Excluding companies divested during the period covered by the above data. Specifically, data for
FYE2016 exclude Permasteelisa Group and LIXIL VIVA CORPORATION.

Our Journey
Developed a group-wide
environmental management
and promotion system, held aglobal meeting of theEnvironmental Committee

2016

2017

Formulated Environmental
Sustainability Principles andEnvironmental Vision 2030

Set the 2020
medium-term targets,
promoted environmental
initiatives at eachbusiness base

Our GHG reduction
targets were approvedby the Science Based
Targets initiative

2018

Endorsed the Task
Force on Climate-related
Financial Disclosures(TCFD)

2019

Formulated
Environmental Vision
2050

2020

Launched My Bottle
Promotion and
THINK HEAT campaigns

Goal:
Net-zerocarbonemissions

Announced the
Plastics Action
Statement

2030

2050

Target:Reduce carbon emissions
30% (v. FYE2016)
Joined RE100

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

BackgroundThe 2015 Paris Agreement seeks to keep the rise in global

LIXIL Environmental Vision 2050

average temperature well below 2°C above pre-industrial
levels, and aims to limit that rise to 1.5°C. To achieve this,In FYE2020, we formulated an environmental vision for LIXIL in

the world must reduce CO2 and other greenhouse gas

the year 2050. Based on our Zero Carbon and Circular Living

emissions to net-zero by 2050.

policy, by 2050, we aim to achieve net-zero carbon emissions

In addition, an estimated 800 million people around theand preserve water and natural resources in operations,world today do not have access to safe drinking water. By

housing and lifestyle solutions for future generations to become

2050, over 40% of the world’s population won’t have accessa leading company in environmental sustainability.

to necessary water supply due to the depletion of water
resources.
Furthermore, global resource consumption is expected to

Corporate Responsibility (CR) Strategy and our specific businessWe have designated the following three focus areas forcharacteristics as well as broader global issues and risks such as

realizing our environmental vision. These three focus areas

climate change and international frameworks including the SDGs

are based on the three strategic pillars outlined in LIXIL’s

and Paris Agreement.

more than double by 2050. To help change this situation,
the world is gradually shifting from a one-way economy,
which mines resources, makes products in large quantities,

Three Focus Areas to Achieve Our Visionand eventually discards them, to a circular economy thatcloses resource loops.

Our Approach & Strategy

CLIMATE CHANGE MITIGATION AND ADAPTATION
Achieve Net-Zero GHG Emissions through Our Business Operations, Products, and Services

Modern lifestyles rely on large amounts of energy andresources. As a company that seeks to make better homes a
reality for everyone, everywhere, LIXIL plays a crucial role inconserving our global environment.

WATER SUSTAINABILITY
Enhance the Environmental Value of Water Resources by Saving, Circulating, and Purifying Water

We strive to minimize environmental impacts both in ouroperations and through eco-conscious products and services
that fully draw on advanced technologies and know-how
related to life and living.
We are also committed to partnering with various stakeholders

CIRCULAR ECONOMY
Help Transition to a Circular Economy and Preserve Natural Resources for Future Generations

to foster an environmentally sustainable future together.

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Commitment

Highlights

Management & Material Issues

Three Focus Areas to Achieve Our Vision

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Initiatives to Achieve Our Vision

Climate Change Mitigation and Adaptation

LIXIL set medium-term environmental targets for five years

details). From FYE2022 onward, we will be even more

The energy consumed by LIXIL products during their end-use phaseaccounts for over 90% of CO2 emissions of the entire lifecycle of
LIXIL products and services, from raw material procurement throughto product disposal. At LIXIL, we strive to reduce our environmental
impact and aim to achieve net-zero CO2 emissions by 2050 byoffering eco-conscious products and services.
We also seek to provide products and services that can help
alleviate the damage caused by rising temperatures, increased
rainfall, major typhoons, and other natural disasters brought
about by climate change, and also to further advance ourclimate adaptation policies.

from FYE2017 to FYE2021 (see the table below), and has

committed to realizing our Environmental Vision based on

been implementing a wide range of activities, including

our new medium-term plan.

increasing renewable energy use, improving recycling rates,

Activity details:

and managing water risks (click the links below for more

Progress against the targets:

Water Sustainability

LIXIL uses a variety of resources, including metals, timber,resin, and ceramics. In order to use limited resources moresustainably, we promote circular manufacturing practices
that consider the entire product lifecycle, from raw material
procurement through to manufacturing, product use, anddisposal.
In FYE2021, we announced our LIXIL Plastics Action Statement.
We are accelerating initiatives at all LIXIL plants and offices toreduce plastic use and recycle plastic, to develop and utilize
recyclable alternatives, and to design products that have a low
impact on the environment.

PDF

LIXIL Plastics Action Statement (1.3MB)

Environment (P56)WEB

Action Plan & KPIs

Medium-Term Environmental Targets and Our Performance against Them
Issues
Improvement inenvironmental valueof our products andservices

As a leading company in the water-related product industry,
providing products such as toilets, kitchen systems, prefabricated bathrooms, and faucets, LIXIL strives to help achieve
global water sustainability so that people can get the most out of
the water they use.

Circular Economy

CR

Climate change
mitigation andadaptation

Climate change
mitigation andadaptation
Environmental footprint
reduction from ourentire business process

KPI

2020 medium-term targets(FYE2021)

FYE2021 performance2030
targets*3

CO2 emissions reduction
attributable to our products
and services

Increase by 1.36 times
v. FYE2016

Increased by 1.29 times
v. FYE2016

ー

CO2 emissions from places ofbusiness*1

Reduce by 8% v. FYE2016

Reduced by 18.2% in total
volume (-18.7% in emission
intensity)

Reduceby 30%

CO2 emissions form productuse

Formulate KPIs/targets andimplement measures based on
business plan

Reduced by 3% v. FYE2016

Reduceby 15%

CO2 emission intensity
per unit of output in the
distribution process

Reduce by 5% v. FYE2016

Reduced by 2.6%
v. FYE2016

ー• Select high-risk sites,
formulate KPIs/targets, andimplement measures

Achieved both water
intensity and water use
volume targets at two sites
out of four high-water risk
sites

ー

• Complete the water risk
analysis of all production sites

Watersustainability

Improvement in water usage
efficiency at high-water risk
bases

CirculareconomyRecycling ratio of waste
collected from places ofbusiness• Japan & Europe: 95%• Asia: 66%• North America: 40%• Japan & Europe: 97%• Asia: 92%• North America: 39%ーCoverage of the system

100%

100%

ー

Number of environmental law
violations*2

0

0

ー

Establishment of an environmental
management system*1 CO2 conversion factors are published by each electricity company with which our sites have a contract (factors that include emissions from renewable energy sources, etc.)*2 Number of serious violations with penalty of operational suspension or fines.
*3 Medium- to long-term targets approved by the international Science Based Targets initiative.

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Contents

04

Commitment

Highlights

Our People

Environment

Customers & Supply Chain

Society

Leverage the knowledge and perspectives of a diverse workforce as a key driver of growth and innovation.
Improve quality of life for all people through our products and services, irrespective of their age, gender, and the level of disability.

Highlights● Global Sanitation & Hygiene

Social Issue● Diversity & Inclusion

Strategic Pillars

DIVERSITY & INCLUSIONTHREESTRATEGIC PILLARS● Water Conservation &Environmental Sustainability

Management & Material Issues

1 in 5 people

ProgressMany of those will be living inelderly-only households

aged 60+ by 2050

Ratio of new female graduate andpost-graduate hires
In Japan (Covers LIXIL Corporation)

Target47.9%

ResultInclusive for All

2012

2013

Determined LIXIL Universal
Design Policy

30%

Total throughto FYE2021

Result23

80

studies

60

33.2

30.5

Made LIXIL Diversity & Inclusion
Declaration

2017
Establishedcompany-wide UD
Strategy Task Force topromote development of
universal design

2018

10

Over

studies

FYE2019

FYE2020

Participated in the International
Home Care and Rehabilitation
Exhibition 2020
held online

200Target47.9

40* Scope: Products and services in Japan

Made the Diversity
Declaration

Over

100

By 2030, embed a culture of inclusion across LIXIL
and achieve key gender equity goals
By 2030, ensure all products and services* arebased on LIXIL s Universal Design concept

Our Journey

TargetResearch studies on
supporting the daily lives of
elderly people and people
with disabilities

Set up the Global D&I
department

2019

FYE2021・Issued the D&I Statement
・Established the D&I
Committee

2020

Updated the D&I
Strategy

2021

2030

Released DOAC, a front door
electric opening system

Introduced a fully updated
version of Well Life kitchen
range adapted for easy use
for people in wheelchairs

Releaseddisaster-conscious
Resilience Toilet

Set 2030 universal design targets

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Management & Material Issues

Strategic Pillars● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Environment

BackgroundBy 2050, one in five people are projected to be over theage of 60, with most of them living either alone or with their
today also live with some degree of disability, and this rate isincreasing every year.
Creating a sustainable society requires providing
opportunities for people of all ages and abilities to play an

Society

Easy tounderstand

LIXIL has strengthened digital communication by revising

Intuitive
Clear purpose

right information about our UD concepts and products to

our UD website in FYE2021 to ensure we provide thecustomers and business partners.

Easy to use

Safe & secure

Easy to executeand operate
Flexible

Considerate of
all peopleChild-friendly

active role in society.

The new website has separate pages for end users andbusinesses to make it easier to access the information theyneed. We are also working on improving accessibility andusability by introducing font and contrast settings that are

Our Approach & Strategy

Easy to loveeasy to read, intuitive design, and the alt attribute to specify

Can be used fora long time
Encourages smiles

alternative text for images that can’t be displayed, making

LIXIL provides products and services to improve people’s
lives based on LIXIL’s Purpose to “make better homes a

Customers & Supply Chain

Promoting Universal Design

spouse only. Approximately 15% of the world’s population● Global Sanitation & Hygiene

Our People

the site easier to navigate for a broader range of people
including people with disabilities or elderly people.

LIXIL Universal Design Policy

reality for everyone, everywhere.”
Organizational diversity is the key driver of innovation

WEB

Universal design (Japanese only)and sustainable growth as we work to develop businesses
that satisfy a wide range of customer needs. Based on

Easy to understandIntuitive

Clear purpose

our Diversity & Inclusion (D&I) Strategy, we aim to foster• Detectable by anyone• Can be properly recognized

an inclusive culture that embraces employee diversity• Uncomplicated• Multi-sensory information, such as sight, hearing, and touch

Easy to execute and operate

Flexible• Simple to operate• Uses shapes and dimensions that support body movement and posture• Able to adapt along with changing physical capabilities andgrowing or aging families• Uses layouts that follow the natural flow of movement• Able to select or add necessary functions

and create an environment that engages and includes all

Easy to use

employees. We are seeking to embed this culture of inclusion
across LIXIL and achieve key gender equity goals by 2030.

• Ensures space needed to operate

CR

Updating Diversity & Inclusion Strategy (P15)

Safe and secure

We are also implementing universal design (UD) concepts
that help improve the quality of life for all people irrespectiveof age, gender, or disability. We aim to ensure all our products
and services are based on LIXIL UD concepts by 2030.** Scope: Products and services destined for the Japan market.

Considerate of all peopleChild-friendly• No physical or financial loss from incorrect use• Designs that consider children’s needs• Minimal damage from accidents

Easy to love

Can be used for a long time

Encourages smiles• High quality to support long-term use• Beautiful, pleasant designs• Easy to look after and keep clean over a long time

• Demonstrates its functional beauty with every use• Designed to adapt to individual ways of living

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Contents

04
THREE
STRATEGIC PILLARS● Global Sanitation & Hygiene● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Examples of Products and Services
Well Life Kitchen: Easy to Use While Sitting

DOAC Front Door Electric Opening System

In October 2018, LIXIL introduced a fully updated version

LIXIL launched its DOAC front door electric opening systemproducts and services. Our team adopted an inclusiveof our wheelchair-adapted Well Life kitchen range. Thisin September 2020. DOAC enables people to lock anddesign approach when developing this product, interviewing

includes sink and countertop dimensions that are easierunlock and open and close their front door without touchingvarious wheelchair users and inviting potential interested

to use from a seated position. Our Well Life kitchen also

it using a remote control. This helps people with disabilities,

users to act as advisors from the early design stage.

incorporates user feedback to facilitate steadier side-to-side

wheelchair users, elderly people, and others get in and out

We intend to continue this rapid approach to productmovement in a wheelchair. This approach is not only popularof the house easily.

development that also meets diverse needs.

DOAC was developed by LIXIL’s new Business Incubation
Center, which practices agile development of value-addedwith wheelchair users, but also with many elderly and otherWe have designed this system so that it is easy to use andpeople who prefer to do their housework from a less-tiring

safe for all family members. For example, we developed an

Products Awards held in 2021 on the theme of products andseated position.

auto-assist function for moments when users don’t haveservices that help people with disabilities to live a full life

the remote control on hand. Pushing the door lightly inand enjoy their work. DOAC was applauded for broadening

these situations fully opens the door. The pinch-detection

the scope of independent activity for people with disabilities

function, meanwhile, prevents the door from closing whenand improving the lives of a wide range of people. We were

it detects any abnormal contact or obstacle in its path. And

also recognized for our agile development approach, being

the proprietary wireless system makes it possible to retrofit

based on a clear understanding of the needs of potential

the electric opening system using existing doors and keys.

users gained through talking directly with them during the

The system can be installed in one day and is designed todevelopment stage.

DOAC won a Social Products Award at the 8th Social

accommodate various environments.

WEB

WEB

DOAC (Japanese only)WEB

Social Products Awards (Japanese only)

Well Life (Japanese only)

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Accessible Mobile Toilet
LIXIL and Toyota Motor Corporation have jointly developed
Mobile Toilet that wheelchair users can use with greater
ease when outside the house. The toilet vehicle is● Global Sanitation & Hygiene

easy to maneuver and has a comfortable and hygienic● Water Conservation &Environmental Sustainability

vehicles at event venues that typically don’t provide enough● Diversity & Inclusion

multifunctional toilet on board. Installing a number of these
multifunctional toilets, such as music festivals, firework
displays, and sports matches, would increase the range ofplaces that wheelchair users can go. The vehicles could also
prove useful in a natural disaster.
The ultra-low floor design enables people to get in and outof the vehicle on a gentle sloping surface. There is enoughAccessible Mobile Toilet

Inside the toilet vehicle

space inside the vehicle for a wheelchair to easily rotate. It
also has a universal seat, or a large bed, that can be usedin multiple ways, and an area in the front where wheelchair

Other Examples of LIXIL’s UD Products and Services

WEB

UD Ideas (Japanese only)

users and caregivers can wait. The vehicle also features a“nature window” that provides views and sounds of nature
to help users relax. We hope to help create a world in which

ToiletBathroom

Honoka-Light

Push faucet

Bathroom
vanityWheelchair
accessible vanity

everyone — including people who have given up on goingout due to a lack of multifunctional toilets — can go where
they want and do what they dream about.
PDF

Mobile Toilet (Japanese only) (600KB)

Public toilet

Stairs, corridors,
entrances

Entrance,
exterior

Stairs withslip prevention

Slide system

Large remotecontrol
Resilience Toilet

Kitchen

Living room

In town

Hands-free faucet

Non-rail sash

Support rail UD

LIXIL Corporate Responsibility Report 2021

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Contents

04
THREE
STRATEGIC PILLARS

Commitment

Highlights

Our Gender-Neutral Toilet Wins Good Design Award● Water Conservation &Environmental Sustainability● Diversity & Inclusion

Our People

Environment

Customers & Supply Chain

Society

Promoting Broader Understanding of Diversity

Our new toilet facility installed in the LIXIL Tokyo

Aiming to create a universally accessible society thatdesign in nearby streets and individual homes to deepen

headquarters in 2019 won a 2020 Good Design Award.

enables diverse groups of people to live invigorating lives

students’ understanding of diversity in terms of gender, age,while respecting those around them, LIXIL offers education

nationality, and ability and disability, and encourage them toprograms for elementary school students.

think what they can do and how they can act on it.

The facility enables everyone to select freely which toilet● Global Sanitation & Hygiene

Strategic Pillars

Management & Material Issues

they want to use, irrespective of such categorizations as man,woman, adult, child, able-bodied person, or person with

At our Universal Run: Sports Prothesis Experience Classdisabilities. The pods of different cubicles offer gender-neutral

program held at elementary schools throughout Japan,

toilet options that respond to diverse needs and ease thechildren learn about universal design by experiencing

difficulties faced by transgender users who have to choose

wearing a prosthetic limb designed for sports use and by

between public toilets for men or women.

talking with prosthetic limb users about their lives.

Community (P100)

Respecting Employee Diversity
We aim to build an organization where all employees can

The vacant toilet monitor located at the entrance to thetoilet space encourages users to “choose a cubicle thatCR

CR

Stakeholder Engagement (P96)

reach their full potential by fostering an inclusive culture andworking environment that embraces diversity in all its forms,

best suits you.” On each side of the corridor are toilets thatanyone can use. There are also some gender-specific toilets

We also hold our Universal Design: Good for One, Goodand a handwashing corner, so that users can choose thefor All, Good for a Lifetime program, where LIXIL employees

most appropriate toilet for them without attracting attention.

create their own teaching materials and visit elementary

including gender, age, ethnicity, nationality, ability anddisability, and sexual orientation.
Our goal is to embed a culture of inclusion across LIXIL

schools to conduct lessons on universal design for children.

and achieve key gender equity goals by 2030. To that aim,

The program is designed to highlight examples of universal

we are promoting various initiatives in talent recruitment anddevelopment and many other areas. Follow the link below tolearn more.
CR

WEB

Diversity & Equal Opportunity (P41)

Good Design Award

LIXIL Corporate Responsibility Report 2021

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Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

OUR PEOPLE
We strive to respect the individuality of all employees
and create a rewarding working environment.

Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development
Occupational Health & Safety

LIXIL Corporate Responsibility Report 2021

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Contents

05

Commitment

Highlights

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Strategic Pillars

Our People

Environment

Customers & Supply Chain

SocietyHighlights
TargetBuild a strong corporation and workplace where all employees can achieve their fullest potential.

Diversity & Equal Opportunity

OUR PEOPLE
Diversity & Equal Opportunity

Management & Material Issues

100 ( % )Ratio of new female graduate
and post-graduate hires

Number of participants
63

40

Target

47.9%

Over

Programs for training next-generation leaders

80
60

ResultTalent Development

58

33.2

57

1200

Over
30.0

47.9

30.5

20

30%

＊2

0

FYE2019(in Japan )FYE2020

FYE2021*1■ Ratio

FYE2021(Target)NumberResponse rate across the group
Result78%(in Japan*)Target1,329
1,300
peoplepeople

1,265

1,329

1,300

FYE2019 FYE2020

FYE2021

FYE2021

1.2

1.21

0.44

0.42

1,195

900
600
300
0

* Covers LIXIL Corporation.

A Rewarding Workplace

(% )
100

Result(in Japan*)*1 Covers LIXIL Corporation.
*2 Achieved our 30% target for FYE2021 and set a new target of 50% for FYE2022 onward.

Employee opinion surveys

1500 (people)(Target)Occupational Health & Safety

LIXIL Heartbeat

LIXIL VOICE(every two years)

90(quarterly)

90

92

LTIFR*1(Directly and indirectly hired employees)

78

75

1.2

Result

50

0.42

25
0

FYE2016 FYE2018 FYE2020

FYE2021* Covers LIXIL Corporation.
* The LIXIL Heartbeat survey was conducted every two years through FYE2020 but was replaced by the LIXIL VOICE quarterly survey in FYE2021.
* The lower response rate in FYE2021 is due to changes in the survey method, such as the shift from paper to electronic surveys. We plan to improve
the response rate going forward.
* The survey was conducted only twice in FYE2021, in the third and fourth quarters. The response rate is the average of the two surveys.

1.5
1.02

1.2

0.9
0.6

0.46

0.54

0.3
0

* Covers LIXIL and its group companies, excluding GHS Corporation,
FYE2018 FYE2019 FYE2020 FYE2021
LIXIL ERA Japan, Corp., and other companies divested during
LIXIL
Industry average (Japanese manufacturing)*2
the period covered by the above data.
*1 LTIFR (Lost Time Injuries Frequency Rate): Number of occupational injury cases involving days away from work / Total working hours × 1,000,000*2 Source: Ministry of Health, Labour and Welfare's "Survey on Industrial Accidents (Surveys on establishments (with 100 or more employees) andgeneral construction)"

LIXIL Corporate Responsibility Report 2021

40

Contents

05
OUR PEOPLE
Diversity & Equal Opportunity

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Environment

Customers & Supply Chain

Society

DIVERSITY & EQUAL OPPORTUNITY
LIXIL is committed to respecting diversity and recruiting and developing high caliber talent across the group.
We believe that harnessing the intelligence and perspectives of our diverse workforce is critical to driving growth and innovation.

Our Approach
At LIXIL, we believe diversity is the very thing that enhances our uniqueness andcompetitive edge. Diversity is what drives innovation and sustainable growth as we strive

A Rewarding Workplace

to develop the products and services that meet diverse needs and realize LIXIL’s Purpose

Talent Development

to “make better homes a reality for everyone, everywhere.” Creating a comfortable working

Occupational Health & Safety

Our People

environment and culture for all members helps us become an organization of people who
feel empowered to tackle difficult challenges with an entrepreneurial spirit and see theirachievements justly rewarded.
In FYE2018, we published our Diversity and Inclusion (D&I) Declaration. This
document outlines priority areas for D&I, including gender, age, race, nationality,
disabilities, and sexual orientation, and is now guiding action on relevant issues in eachcountry and region. Based on our D&I Strategy updated in March 2021, we are working

D&I Awareness Survey of All Employees
We conducted a D&I awareness survey of all global employees in FYE2021 with the aim ofincorporating the results in the formulation of our D&I Strategy and action plans.
The survey probed categories such as organizational culture and systems, careers,
evaluation and promotion, and learning opportunities. The results showed high scores fororganizational culture overall but low scores for careers and promotion. In addition, while
the differences were small, women scored lower than men in all categories.
After analyzing the survey results, we updated our D&I Strategy and promotion measures
in FYE2021, placing a specific focus on reducing gender inequality. We intend to conduct
D&I awareness surveys on a regular basis and use the results as input for future strategies
and initiatives.

hard to nurture an inclusive culture and build an environment that embraces people in allthese priority areas and other groups. The strategy includes a commitment to attracting
and educating human resources with a particular focus on reducing inequalities between
women and men. We are also creating and expanding systems to promote sexual, gender,and other forms of diversity with the aim of strengthening D&I on a broader level.
CR

Updating Our Diversity & Inclusion Strategy (P15）

Our System
In FYE2020, we established our Global D&I Department, which is tasked with developing
common global measures for promoting D&I. In FYE2021, we set up the D&I Committee
consisting of our CEO and other executive officers, and updated our D&I Strategy andpromotion measures. The committee meets four times a year to implement various
measures based on the D&I Strategy and accelerate D&I initiatives across our organization.

#ChooseToChange Internal Campaign forInternational Women’s Day 2021
LIXIL launched an internal #ChooseToChange campaign to dovetail with the#ChooseToChallenge theme
selected for International Women’sDay 2021. Employees voluntarily
expressed their support for D&I
and gender equality by sharing
enthusiastic posts, messages, andphotos relating to the slogan oninternal social media.
Employee photos and messages posted on internal social media

LIXIL Corporate Responsibility Report 2021

41

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Environment

Empowering Women in the Workplace

Customers & Supply Chain

Society

Supporting a Healthy Work-Life Balance

Promoting gender equality is essential to create a workor childcare leave to use this tool to explore potential career

At LIXIL, the executive management team actively supervises

environment in which each employee can demonstrate theirpaths and support structures with their managers andthe creation of a rewarding working environment in which

own individual strengths. At LIXIL, the CEO is leading oursustain a fulfilling career after they return to work.

each and every employee can perform vigorously to their fullcommitment to accelerating gender equality.
Diversity & Equal Opportunity

Our People

Strategic Pillars

We consider diverse talent, including women, in ourpotential.

We have also set relevant regional targets for increasing
the percentage of women working in LIXIL Water Technology

We are committed to creating the necessary systems andsuccession planning for major positions within the group.

(LWT) Americas, LIXIL Asia, and other locations outside

cultivating the right atmosphere to support a good work-life

Every year, we achieved our target of 20% or higher female

Japan, and are making efforts to achieve the targets. Thesebalance, enabling employees to maintain a high level ofparticipation in the younger class of our Talent Acceleration

include, for example, the percentage of women in eachperformance throughout different life stages. In FYE2021,

Program (TAP), a training program designed to foster

professional class or ethnic group.

we expanded these systems to enable greater workstylenext-generation managers, conducted in Japan throughflexibility, support childbirth and childcare, and provide leave

FYE2020. In FYE2021, we launched our selection-based

options to suit employees at different life stages.

NEXT and NEXT 2nd programs for training next-generation
management candidates, and we continue to accelerate

Number and Composition Ratio of Female Managers

Number of Maternity Leave Users

female participation. The number of female managers
working at LIXIL in Japan (excluding our group companies)
rose from 22 (0.9%) in March 2012 to 168 (6.0%) in March
2021.
We are also working to create an environment where(People)900

819

encourage female employees preparing to take maternity

813

15

(People)

400

99.4

10

300

5.7

168

6.0

5.7

91.8
75

300

FYE2019

FYE2020

5

200

0

100

168

171

0

100

100

96.0

756

(%)

100

97.2

257

249

As part of this effort, we have developed the Mamap
career-building tool for working mothers. Our aim here is to

(%)

15.0

14.0

600

female employees can consistently develop their careers
even if they take time off for life events such as childbirth.

14.1

50

175
169

176

140

25

FYE2021

Ratio of women among managers (LIXIL and its group companies)
Ratio of women among managers in Japan (excluding the group companies)
Number of female managers (LIXIL and its group companies)
Number of female managers in Japan (excluding the group companies)* Covers directly hired employees worldwide only. Data collected based on thequalification system used at each operating company.
* Excluding companies divested during the period covered by the above data.
Specifically, data for FYE2019 and FYE2020 exclude Permasteelisa Group. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.
* In FYE2021, the number of female managers declined as we divested Kawashima
Selkon Textiles Co., Ltd., etc., resulting in the decrease in the total workforce.
However, the composition ratio of female managers has improved.

00
FYE2019

FYE2020

FYE2021Return to work ratio (LIXIL and its group companies)
Return to work ratio (LIXIL Corporation)
Number of users (LIXIL and its group companies)
Number of users (LIXIL Corporation)* Covers directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.
* Number of employees who started maternity leave during each fiscal year.
* In FYE2021, the number of users declined as we divested Kawashima Selkon Textiles Co., Ltd.,LIXIL VIVA CORPORATION, etc., resulting in the decrease in the total workforce.

LIXIL Corporate Responsibility Report 2021

42

Contents

Commitment

Highlights

Management & Material Issues

Our People

Strategic Pillars

Environment

Customers & Supply Chain

Society05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development

Systems That Support Flexible Workstyles

Expanded Support for Childbirth and Childcare

In addition to expanding our remote-working system for

In FYE2021, we introduced a new system that facilitates

addition, we subsidize extended daycare fees or the use of aworking from home or satellite offices, in FYE2021 we also

shorter working hours to support childcare as well as abroader range of childcare facilities.

introduced a Superflex system that no longer requires core-system that provides financial support to employees wanting

time working hours and offers greater flexibility of working

to return to work early after maternity or childcare leave. We

bases outside Japan in various ways. For example, LWT

hours and locations.

have also extended the period during which male employees(GROHE Sanitary Products Shanghai) & LHT Asia forbid

can take Spouse Birth/Childcare Leave (Papa’s Childcare

employees from doing 36 or more hours of overtime a month.

Occupational Health & Safety

Leave and Employment Systems Tailored to
Different Life Stages

Leave) when their spouse gives birth from six to twelve

In FYE2021, we created a new 10-day paid leave for

Number of Childcare Leave Users

We are also promoting a strong work-life balance at ourmonths, and the length of that leave from five to ten days. In

employees with preschool-age children (Childcare Leavesystem) and for employees who have to care for family(People)400

members (Family Care Leave system). We also set up a SelfCare Leave system that covers morning sickness and fertility

92.4

left the company for reasons such as childbirth, childcare,nursing care, or relocation due to a partner’s job transfer.

100.0

100.0

99.5
98.2

98.7
97.9

(%)

100

75

300

treatment in addition to the original menstruation leave.
Under our Career Return system, we rehire employees who

100.0
97.9

Number of Nursing-Care Leave Users

263
11
200

249

20

106.3
21
6

(%)

100.0

11

214

238

90.0

15

50

10

25

5

75

0

0

9
50

15

186

100

100

19
17

7
28

252

(People)1010

FYE2020

FYE2021

25

Percentage of Staff Still Working 1 Year After Childcare Leave
0

FYE2019

FYE2020

FYE2021

FYE2019

FYE2020

FYE20210
FYE2019Male

100.0%

88.9%

100.0%

Return to work ratio (Male, LIXIL and its group companies)

Return to work ratio (LIXIL and its group companies)

Female

96.8%

96.8%

88.5%

Return to work ratio (Female, LIXIL and its group companies)

Number of new users (Male, LIXIL and its group companies total)

Total

96.9%

96.4%

88.8%

Return to work ratio (Female, LIXIL Corporation)

Number of new users (Female, LIXIL and its group companies total)

Number of new users (Male, LIXIL and its group companies total)
Number of new users (Female, LIXIL and its group companies total)* Current employment of LIXIL Corporation’s permanent employees in Japan
at the end of the business period one year after their return to work.
* The decline in FYE2021 is due to our New Life early retirement programand other human resource programs.

* Covers directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.
* In FYE2021, the number of users declined as we divested Kawashima Selkon Textiles
Co., Ltd., LIXIL VIVA CORPORATION, etc., resulting in the decrease in the total workforce.

* Directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.

LIXIL Corporate Responsibility Report 2021

43

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Our People

Environment

Customers & Supply Chain

SocietyPromoting Diversity in the Workplace
Respecting Sexual and Gender Diversity

Then in September 2019, LIXIL endorsed the “Support thefor 250 major group positions and selection-based

Recruitment and Retention of Talent by Instituting Marriage

NEXT program for training next-generation management

Since April 2017, LIXIL has been working to create a friendly

Equality in Japan” viewpoint published by the American

candidates (for LIXIL bases in Japan).

working environment for sexual and gender minority employees.

Chamber of Commerce in Japan (ACCJ) recommending thatIn March 2019, we made some improvements to ourDiversity & Equal Opportunity

Strategic Pillars

human resource system and working environments for basesin Japan. For instance, we have started treating same-sex

qualities from among its factory workers and from particularand gender minority couples.

ethnic groups who have traditionally found themselves in*1partners as dependents and applying the relevant congratulationor condolence leave and financial payments, arranging times*1 Excluding our group companies.
*2 86 bases with 50 or more employees, excluding the bases of our groupcompanies.

and locations for undergoing health checks, and recognizing
employees’ preferences for either male or female uniforms.

a disadvantageous position and are underrepresented incurrent management positions. These employees join a Future
Leadership Program designed to develop the necessary skills toadvance to management positions in the future.

Promoting Multi-Cultural Understanding

We are also promoting internal activities to expandCRunderstanding and support. In FYE2018, we created a series

LIXIL factories in Japan accept foreign-national apprentices.

of online lectures relating to sexual and gender diversity and

To enable these apprentices to work enthusiasticallyhave been encouraging employees to watch them. We seek

in Japan, we believe it is important to build betterto increase the number of allies who understand and support

communication, so we hold events to help promotesexual and gender minorities through venues such as study

understanding of Japanese culture and Japanese language

sessions, and distribute Ally badges and stickers to employees

study sessions.

who support this initiative. We encourage allies to share

LWT South Africa selects staff who have potential leadership

the Japanese government extend the right to marry to sexual

It is essential for a global company to understand different

Talent Development (P49)

Encouraging Employee Activities
LIXIL has established frameworks to support employee activities.
The LIXIL Diversity Network in Japan encourages
employees to get together voluntarily to share and solve
their problems and to improve individual skills. We have fiveinformation through the LIXIL Ally network and seek to deepen

cultures in order to foster strong communication. In that

networks for women, people with disabilities, sexual andunderstanding by arranging opportunities to interact with sexual

spirit, LWT Americas conducted a program to improve

gender minorities, people involved in childcare or nursing

and gender minorities. Thanks to these efforts, in FYE2019 we

employees’ understanding of values and work procedures incare life stages, and for those interested in other issues. For

achieved our target of having two or more allies in LIXIL’s bases

Japan, where LIXIL’s headquarters is located.

instance, LIXIL Women’s Sales Group helps increase thein Japan.*2

active participation of saleswomen in the traditionally male-

We have been working to further improve our working

Encouraging the Promotion to Management Positions

dominated construction

environments by installing a toilet facility in the LIXIL Tokyo
headquarters in 2019 with cubicles that do not distinguishvenue for proactively

between male, female,inclusive working environment and talent acquisition andsharing and solving any

adult, child, anddevelopment plans that consider diversity of all types.

issues or problems that

person with or without
disabilities.
Sexual minority-friendly logo

industry and provide a
Based on its D&I Strategy, LIXIL is seeking to create an

When we nurture and promote the next generation of

women in particularleaders, we ensure diversity in terms of gender, nationality,
race, and career through a list of potential successors

might have.
LIXIL Women’s Sales Group

LIXIL Corporate Responsibility Report 2021

44

Contents

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development
Occupational Health & Safety

Commitment

Highlights

Management & Material Issues

Our People

Strategic Pillars

Environment

Customers & Supply Chain

Society

In addition, our Mimishiru team, run primarily by

the type of environments that would enable employees with

with mental disorders and seeking to make various efforts

employees with hearing disabilities, offers sign language

and without disabilities to work together most effectively. We

and considerations to improve working environments to suitclasses for hearing people.

strive to create comfortable working environments based on

the capabilities and characteristics of individual employees.

barrier-free concepts by, for instance, introducing software

For instance, we ask people who are prone to anxiety to do

for female employees, multicultural employees, and

LWT Americas has established its own employee networks

that increases the font size for people with impaired eyesighttasks at their own pace, or leave an empty desk in front of

employees currently involved in childcare or nursing care

and adjustable-height desks for wheelchair users.

an employee who gets distracted by other people aroundto help employees from various different backgrounds find

In Japan, LIXIL is also strengthening company-wide

them or allow them to work in a free space.

suitable mentors so they don’t feel isolated. The number

efforts, including introducing sign language interpretation in

In May 2016, we were certified by Japan’s Ministry ofof members in each network is increasing every year.

training sessions and putting subtitles on intranet videos for

Health, Labour and Welfare as a leading company in the

Each group provides a venue for learning and exchanging

employees with hearing disabilities.

active employment of people with mental health disorders

opinions on relevant themes and uses internal social media

Since 2012, we have been proactively employing people

and other disabilities. We aim to help create a social

to raise awareness. For example, the women’s network
shared their opinions on how to promote female leadership

structure in which people with disabilities can participate

Number and Percentage of Employees with Disabilities

actively by sharing these initiatives with other companies

and joined forces with the non-profit The Letter Project,which seeks to empower women through letters, to deliver
letters and gifts to local women going through difficult times.

Initiatives for Employees with Disabilities
LIXIL seeks to create environments in which employeeswith disabilities can better perform and enjoy their work by
tailoring jobs to suit each individual’s skills in a wide range ofareas including R&D, production, sales administration, andplanning management. As of June 1, 2020, LIXIL had 453.5

and government institutions.
(People)

1,250

2.43

1,000

2.26

2.33

784

823

750

(%)

2.54

2.32

2.50

*1 Excluding our group companies.

2.25

2.00

*2 C
 alculated based on the Employment Rate System for Persons with
Disabilities by the Ministry of Health, Labour and Welfare.

1.50

559
500

1.00

250
438

458.5

453.5

0

0
FYE2019

FYE2020

FYE2021

Ratio of employees with disabilities (LIXIL and its group companies)

employees with disabilities*1 in Japan, constituting 2.32%*2

Ratio of employees with disabilities (LIXIL Corporation)of the total workforce.

Number of employees with disabilities (LIXIL and its group companies)

In 2014, LIXIL launched its WING NIJI office that focuseson employment of people with disabilities. In addition to
supporting employees with different disabilities to performtheir work assignments, conducting career aptitudeevaluations, and offering job development opportunities,
WING NIJI has been undertaking many initiatives to explore

0.50

Number of employees with disabilities (LIXIL Corporation)* Covers directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.
* LIXIL Corporation data for FYE2019 include Senior Life Company Ltd.
* Employee numbers on June 1 of each fiscal year. However, the number of employeeswith disabilities for FYE2019 is the number recorded on March 31 of the year.
* The percentages were calculated based on the Employment Rate System for Persons
with Disabilities issued by the Ministry of Health, Labour and Welfare.
* The decline in the data for LIXIL and its group companies for FYE2021 is due tothe disposal of our shares in LIXIL VIVA CORPORATION, etc.

Job instruction at WING NIJI

WEB

Scope and details of employee-related data

LIXIL Corporate Responsibility Report 2021

45

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Our People

Environment

Customers & Supply Chain

SocietyA REWARDING WORKPLACE
LIXIL seeks to create a fair and rewarding workplace, develop a strong and cohesive corporate culture, and foster an open atmosphere in terms of the union-company relationship.

Our Approach
LIXIL strives to create an environment that encourages

Diversity & Equal Opportunity

Strategic Pillars

employee diversity, inspires pride in the company, andenables each employee to maximize their productivity
and potential. As part of this, we have been focusing on
workstyle reform and revising our human resource systems
to foster employee enthusiasm and motivation. This includes
encouraging employees to take paid holidays, offering morecomprehensive childcare and nursing care support, andpromoting proactive personal career development.

Our System
LIXIL is evolving rapidly. In order to further integrate
employees and become One LIXIL, it is important for us tounderstand the circumstances of each internal organization
and actively incorporate employees’ views when seeking tofurther improve working environments and building both
top-down and bottom-up systems.

Promoting More Flexible and Diverse Working Styles
LIXIL is promoting workstyle reform as part of our company-wide human resource program, Kawaranaito
LIXIL, which is aimed at revitalizing its business in Japan. We are currently developing human resources
policies and work environments to facilitate a range of effective working styles that suit individual
circumstances.

System Reform to Increase Flexibilityof Work Location and HoursIn FYE2021, we updated our remote working policy,
which includes work-from-home practices popularized
during the COVID-19 pandemic, to make it more
flexible to use. We also replaced our former flextime
system around core working hours with a new Superflex
system that will make it even easier for employees
to independently select their working hours. We fully
expect these systems to improve operational efficiency,
productivity, and employee work-life balance.

Supporting Working Styles for Different Life
StagesWe are making changes to enable working styles tailored to thedifferent stages of an employee’s life, such as childcare or nursing
care. In FYE2021, we expanded our frameworks for paid leave andshorter working hours to respond to leave requests to nurse elderly
relatives or children, self-care leave (can be used on days whenan employee’s physical condition deteriorates due to menstruationor pregnancy or to receive infertility treatment), Spouse Birth/Childcare Leave (aka. Papa’s Childcare Leave, which can be taken
when a partner gives birth or to look after children), etc. We havealso established a financial support system for employees who arelooking to return to work promptly after giving birth.

Designating the Office as a Place of Communication
We have designated the office as a place of communication and consolidated
our offices in Japan, which has helped fuel the conception of new ideas
and increased operational efficiency. We have organized our Tokyo head
office building into several functional areas, including a focus-work area,
a conversation area, and a “mood-change room,” as spaces to inspire
innovation. The Tokyo Design Studio housed within the building also offers theperfect environment for teams to collaborate on creating excellent designs.

LIXIL Corporate Responsibility Report 2021

46

Contents

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development
Occupational Health & Safety

Commitment

Highlights

Management & Material Issues

Improving Understanding of
LIXIL Behaviors

Our People

Strategic Pillars

Environment

Customers & Supply Chain

Employee Opinion Surveys

Society

Preventing Overwork

LIXIL has been conducting the LIXIL Heartbeat survey every

LIXIL emphasizes working styles that help employees achieve

We work to ensure that employees understand the threeother year since 2015 in order to incorporate the opinions ofhigh output efficiently. To that aim, top managers are proactively

LIXIL Behaviors, which serve as a guideline on how

all employees and improve workplace environments.

seeking to improve employee productivity by eradicating longindividual LIXIL employees think and act in their daily work.

As new workstyles and consumer-centric approaches

To help that process, LIXIL set up an internal social media

started to permeate the company in FYE2021 through our

LIXIL provides information on time management to allgroup called Behaviors Lounge in which we conduct relay

Kawaranaito LIXIL program, we became aware of the need

employees to help increase awareness of the need to work

interviews with our CEO, CFO, and other executives. We also

to swiftly understand and respond to employee and end-

efficiently. Clarifying the definition of working hours is helping

offered special menus associated with each of the threeuser needs. We replaced LIXIL Heartbeat with the LIXIL

improve the quality of time management. Employees whobehaviors in our staff cafeterias.

VOICE survey, which is now conducted quarterly with newconsistently work long hours are interviewed by an industrial

digital tools. As a result of digital transformation of the survey

physician to prevent any consequent issues with their mental

process, we are now able to gather and analyze a large

or physical health. We also encourage employees to take fivenumber of survey responses in just two weeks, which allows

consecutive days of annual leave at a time, and to take leave

us to capture any problems with current conditions andto celebrate special personal anniversaries. In FYE2021, whiledevise solutions more quickly.

the number of annual paid leave days taken declined due

Relay interview with our executives

In recognition of these efforts, LIXIL received the SAP

to COVID restrictions, overtime work decreased significantly

Japan Customer Award for Experience Management, an

year on year thanks to advances in our work-from-home andacknowledgment of organizational achievement in the area

IT infrastructure development. This is an indicator of higherof digital transformation.

productivity and more flexible working styles.

Paid Leave Days Taken per Employee

Average Monthly Overtime Hours per Employee(Days)(Hours)

15

25

23.6

20

18.3

10.4

10.9

9.5

9.7

9.0

15

FYE2019

FYE2020

FYE2021

10

10
5

9.1

LIXIL and its group companies
LIXIL Corporation

Online meeting with members promoting awareness of the LIXIL BehaviorsCR

Our Purpose and Behaviors (P5)working hours and ensuring a healthy work-life balance.

* Directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data fromFYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.
* In FYE2021, the number of annual leave days taken declined due to the COVID-19
pandemic.

22.9
17.0
17.5

FYE2019

FYE2020

16.5
FYE2021

LIXIL and its group companies
LIXIL Corporation* Directly hired employees in Japan only.
* Excluding companies divested during the period covered by the above data. Data
from FYE2020 also exclude consolidated subsidiaries with 100 or fewer employees.

LIXIL Corporate Responsibility Report 2021

47

Contents

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development
Occupational Health & Safety

Commitment

Highlights

Management & Material Issues

Labor-Management Relationship

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Creating Local Employment Opportunities

LIXIL believes that building mutual trust between the union

LIXIL supports the expansion of employment opportunities

and the company based on an equal and responsible

in regions in Japan where it operates by employing technicalrelationship helps create a fair and rewarding workplacecollege and high-school graduates as local permanentand leads to improved business performance. LIXIL has

employees at its plants.

established a labor union which adopts a union shop systemfor permanent employees of the company, and achieved amembership rate of 100% (as of March 31, 2021).
The fundamental labor-management agreement

Local Employees Hired at LIXIL Plants(People)250

includes items relating to health and safety and working
environments. Labor-management consultations are

200

conducted in the form of regular discussions andinformation-sharing on business status, working conditions,health and safety issues, etc., and the union and the

239

230
200

210

216
200

150

company work together to resolve any issues. When working
conditions and/or other systems are newly introduced or100

revised as a result of labor-management consultations, theunion and the company cooperate to ensure employees
are aware of the changes. This is facilitated by posting
the information on the company intranet, passing the50

FYE2019

FYE2020

FYE2021

TargetResult* LIXIL’s plants in Japan only.

information down through relevant general administration
departments, and distributing copies of the Union Guide

WEB

Scope and details of employee-related datacompiled by the union to all union members.

LIXIL Corporate Responsibility Report 2021

48

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Our People

Environment

Customers & Supply Chain

Society

TALENT DEVELOPMENT
LIXIL supports a systematic and structured talent development program, and encourages all employees to proactively develop their own careers.

Our Approach
LIXIL pursues talent development from a long-term perspective toDiversity & Equal Opportunity

Strategic Pillars

Global Challenge Program: Nurturing Future Global Human Resources

nurture personnel who can expand the LIXIL brand well into the
future. As part of that process, we focus on training next-generation
leaders and employees after evaluating global LIXIL talent based on
future business needs. To create a working environment in which

We launched our Global Challenge Program with the aim of finding and nurturing globally minded,active talent and supporting self-motivated career-building. The program gives employees of LIXIL achance to work in an office outside Japan for a year.

all employees can work with high engagement, we support careerdevelopment from two angles: strategic company-driven careerdevelopment, and self-motivated career development managed
by individual employees. Our Kawaranaito LIXIL company-wide
human resource program, launched in November 2019 to revitalize
business in Japan, is noteworthy in that it focuses on self-motivatedTraining Future Human Resources
We offer opportunities for international work experience tonurture our people to develop the knowledge, experience,career independence, capability, and adaptability requiredfor our future global business.

management of career paths as a priority theme for fostering the next
generation of human resources.

Our System
LIXIL holds People and Organization Development (POD)
conferences with its CEOs in all major global organizations, andcreates an annual next-generation training plan to cover key
positions and help achieve its Medium-Term Plan. From FYE2021,
we have created a list of approximately 800 potential successorsfor 250 major group positions worldwide. This enables us to ensurebusiness continuity even in times of emergency and to build afuture-fit system for strategically selecting successors. We devise
training plans for each of the listed successors that are designed tobuild their individual strengths and address development areas by

Selecting Primarily Young Employees
through Open Recruitment
Each year, we offer open recruitment opportunities to all
employees (excluding managers) via our intranet. Over 40
employees, primarily in their twenties, apply each year.
They undergo selection procedures including an interview
conducted in English with an office outside Japan, andselected applicants are then dispatched overseas. In
FYE2021, we had to postpone the dispatch of the thirdgroup of employees (nine people) due to the COVID-19
pandemic, but we intend to send those employees in
FYE2022 as long as circumstances allow. Each dispatchedemployee creates their own career plan prior to departure,and receives regular advice and support through interviews
with the Japan office and mentors, enabling them to growthrough their international on-the-job training.

Building Bridges between Japan andOther Global Offices
As LIXIL continues its global expansion, the employees
dispatched to overseas bases to work together with local
staff play an extremely important role in helping build
a closer relationship with the head office and promotemutual understanding and cooperation across the group.
After returning to Japan, dispatched employees share
their experiences and what they learned with Japanesecolleagues, so their personal insights can be more
broadly incorporated into daily business routines.

providing business assignments and job transfer opportunities andoffering mentor and leadership training.

LIXIL Corporate Responsibility Report 2021

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Contents

Commitment

Highlights

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace

Management & Material Issues

Strategic Pillars

Occupational Health & Safety

Environment

Customers & Supply Chain

Society

Overview of Talent Development
LIXIL’s talent development programs in Japan are designed

their enthusiasm for learning so they can acquire the necessaryfor employees in all layers to improve fundamental skills,

competencies. Our communication skills training for each year

develop stronger expertise, and grow as next-generationgroup, in particular, focuses on developing the skills required to

managers. We have three types of virtual educational

foster flat communications and an open corporate culture.

institutions, which are all intrinsically linked.
1

Basic School for Improving Fundamental Skills

Professional College for Improving Specialist Skills

Each division offers its own training opportunities to improveThis training system is designed to help employees at each levelspecialist knowledge, with the aim of improving the comprehensive

improve fundamental skills and offers learning opportunities to match

strength and specialist expertise of our business divisions andfunctional departments.

Professional development for each technology function

Next-generation education

❶

❷

❸

New manager training

Technology education

Education for selected employees

New employee orientation training
Optional
trainings

Free-choice programs(LIXIL MANABO! System, third-party
training programs)
Third-party e-learning
Correspondence education

LHTJ

LWTJ
LBTJ
LJC

Commontraining
for sales reps

Finance

NEXT program
NEXT 2nd program
Sponsoring EMBA candidates
Temporary training indifferent business sectors

IT
HR
…

Englishlanguage
trainings

Self-study(online English conversation, TOEIC)
Candidacy system
Nomination system(intensive training, etc.)
Aimed at supporting independent talent development

Basic School

In FYE2021, we terminated our Talent Acceleration Program (TAP)and launched new selection-based human resource development
on-the-job training. These are part of our company-wide drive toaccelerate a comprehensive shift toward merit-based systems anda more diverse management-level human resource pool. The NEXT
program is for potential company executives and the NEXT 2nd
program is for managerial candidates. We also offer an overseas
to enhance management skills and develop an international outlook.

Company-wide: improving fundamental skills

Young employee training
for year 1, 2 and 3 employees

Selection-Based Program for Developing the Next
Generation of Company Leaders

MBA study program to help employees with managerial experience

LIXIL Training System

Essential
skillstrainings

3

programs called NEXT and NEXT 2nd that focus on practical2

Talent Development

Our People

Professional College

Selection-based programs

Training and Education Support Programs Conducted in
FYE2021
Item

Training Summary

Participants

New employee
training

Basic training for employees newly
entering the company

387

Corporate
position-specifictraining

Training to develop skills andcapabilities required at each position
level

1,120

NEXT program

Selection-based development
program for executive candidates

64

Management
training

Training for employees being
promoted to management positions

189

Division training

Training in each division to develop skills
and capabilities respectively required for
product development, production, sales,
and other lines of work

92,352* Scope: LIXIL bases in Japan* Postponed NEXT 2nd until FYE2022 due to the COVID-19 pandemic.

LIXIL Corporate Responsibility Report 2021

50

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

Offering Diverse Educational Programs

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Career Development Support

LIXIL advocates self-motivated management of career

We are developing a global Career Journey project designed

communicating what they expect from individuals. Managers

paths as a key component of its Kawaranaito LIXIL human

to motivate every employee and encourage them to thinkalso hold regular one-on-one interviews with their employees

resource program to support career development andindependently in their job. In Japan, for example, employees

during each evaluation period to foster motivation andDiversity & Equal Opportunity

training for all generations. In FYE2021, we promoted thediscuss future career goals one-on-one with managers at

mutual understanding. To secure fair evaluations, we share

A Rewarding Workplaceuse of our LIXIL MANABO! learning management system

least once a year as part of our self-declared career plan

our policies and approach to the evaluation process with ourand e-learning programs. We also made self-study easiersystem designed to help them fulfill their career aspirations.

employees through the Personnel Evaluation System Manual

by creating recommended skill maps for each company

We also offer systems that provide career flexibility, suchand position-specific training programs.

level so that employees can choose the right programas our Job Posting open-recruitment system for recruiting

for their individual skills and needs. LWT Americas offers

employees to specific positions and a career option system

a comprehensive education program through its LWTA

for employees aged 50 or over as a means of transferring toUniversity to meet diverse needs. The University offers

a post outside the company. These systems were expanded

a great variety of online tools including webinars, video

in FYE2021 to facilitate continuous recruiting as opposed tosessions, and e-books, with course topics ranging fromjust once a year.

Talent Development
Occupational Health & Safety

leadership, management, and other basic business skills
to compliance, environment, occupational health and

PE: every half year
BE: o nce at the
beginning of eachfiscal year

Draft theme and objectives

Agreement on theme and objectives

Self-assessment

Evaluation Framework

safety, and product knowledge. LWT EMENA is focused on

To ensure growth and positive results are fairly rewarded,

expanding e-learning opportunities so that employees canemployees of all major LIXIL group companies review theirtake courses on a wide range of topics, including products,

performance against their goals with their direct manager,

leadership, and compliance, regardless of their location.

and are evaluated by at least two managers at the end ofeach fiscal year.
In Japan, under our evaluation framework revised in

Annual Training Hours and Costs per Employee (FYE2021)

Performance Evaluation Flow

PE: every half year
BE: o nce at the end ofeach fiscal year

October 2019, we assess employees’ performance in two

Initial

Initial performance review interview
Initial performance review meeting
Initial performance review

SecondSecond performance review meeting
Second performance review

Third

Third performance review meeting
Third performance review

ways: through evaluation on individual performance over
Scope

Training hours

Training costs

In Japan

21.4 hours

53,331 yen

Global12.3 hours

21,725 yen* Scope: Directly hired employees only (Excludes those working at
consolidated subsidiaries in Japan with 100 or fewer directly hired
employees).
* Excludes our group companies in Japan.
* Training hours include online learning.

Determination of final review rating

the past half year, and through behavior evaluation to help
nurture employees and encourage their personal growth. All

Assessment feedback

employees assess their own achievements against objectives
set at the beginning of the relevant evaluation period anddetermine final review rating by going through an evaluation
process. Managers seek to nurture their employees by giving
feedback in interviews on each employee’s performance and* PE and BE refer to performance evaluation and behavior evaluation,
respectively.

WEB

Scope and details of employee-related data

LIXIL Corporate Responsibility Report 2021

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Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

A Rewarding Workplace
Talent Development
Occupational Health & Safety

Society

OCCUPATIONAL HEALTH & SAFETY
LIXIL has built a group-wide occupational health and safety management system to protect all employees, and is working to expand its scope.

Our Approach

PDF


LIXIL
Occupational Health and Safety
Principles (49KB)

In our Group Charter of Corporate Behavior, LIXIL
Diversity & Equal Opportunity

Customers & Supply Chain

commits to promoting “the mental and physical well-beingof all workers by prioritizing safety to realize an ideal

simulate past occupational accidents. Fifty employees frominside and outside Japan visit the Anzen Dojo 10 times ayear. Each technology business also boasts their own Anzen

Efforts to Eradicate Work-Related Accidents

Dojo offering consecutive training sessions for new hires andtransferred employees.

working environment without any work-related accidents.”

In order to prevent work-related accidents, all employees at

As for the measures we are pursuing to ensure zero

LIXIL are encouraged to comply thoroughly with the rules.

work-related accidents and zero occupational illnesses,

We also establish systems that enable each employee to

we have introduced an occupational health and safety

predict danger and take action to prevent accidents from

Our logistics department holds a forklift safety competition

management system and implemented a PDCA approach

happening.

each year. Employees from all over Japan participate, which

to help prevent accidents at work. We also promote healthmanagement for greater corporate value by enhancing

has helped promote safe driving and raise overall awareness

Safety Meetings

employee health.

of safety in the workplace. The competition has been held
seven times in total, but it was canceled in FYE2021 due to

We hold cross-technology safety meetings three times a

Our System

Forklift Safety Competition

the COVID-19 pandemic.

year to share and help develop positive examples of how
to ensure occupational safety. From FYE2020, employees

Hazard Source Risk Assessment

Our occupational health and safety management system isin charge of safety at each business base have been

based on the Occupational Health and Safety Assessment

invited to join function managers at these meetings for

In FYE2021, LIXIL Water Technology (LWT) conducted a

Series (OHSAS) and ISO, and involves implementing company-

enhancing communication and the speedy development ofrisk assessment of hazard sources and highlighted ways towide policies and core rules and conducting internal audits.

occupational safety ideas.

prevent accidents from an employee’s perspective.

GROHE AG in EMENA region is certified to ISO 45001.

Safety promotion function managers at each technology

We submit monthly reports to senior managementbusiness conduct legal compliance audits at all businessdetailing our initiatives and their performance in order tobases, obtain a good understanding of effective safety

help promote occupational safety-related activities across theactivities at each location, and share that informationgroup. We operate specific health and safety management

through the intranet or at joint meetings attended bysystems at each of our business bases and hold Health andrepresentatives of each business base.

Safety Committee meetings on a single technology businessor location basis. We also share and discuss issues related toAnzen Dojo

occupational health and safety, all with the aim of achieving
ongoing improvements.

Training session Anzen Dojo

A forklift safety competition

LIXIL has set up an Anzen Dojo in Japan where visitors can

LIXIL Corporate Responsibility Report 2021

52

Contents

05
OUR PEOPLE

Commitment

Highlights

Management & Material Issues

The Occurrence of Work-Related Accidents

Our People

Strategic Pillars

Environment

Customers & Supply Chain

Society

Driving Health Management

Severity Rate and Lost Time Injuries Frequency Rate

LIXIL believes the physical and mental health of each

To implement these initiatives, we have established(LTIFR)

employee is essential to create a vibrant workplace.

an employee health support framework through which(Severity Rate)

0.60

0.12

We promote health management based on our Health

0.54
0.50

Diversity & Equal Opportunity

0.40

A Rewarding Workplace

0.30

Talent Development

0.20

Occupational Health & Safety

0.10

0.10

0.46

0.44

0.44
0.33

0.08

an environment that supports all employees to maintain a

0.06

vital and healthy work-life balance.

0.42

0.26

0.25

0.04
0.014
0.013

0.019

0.025

0.012

0.007
0

0.013
0

FYE2019

FYE2020

FYE2021WEB

LIXIL believes that the good health of all our employees is a

• Encourage employees to increase their health awareness andillness and promote good health.

FYE2018

FYE2019

FYE2020

FYE2021

0

0

0

0

Contractors

0

0

0

0

Number of Work-Related Fatalities
FYE2018

FYE2019

FYE2020

FYE2021

Directly and indirectly
employed staff

0

1

0

0

Contractors

0

0

0

0

Scope: Covers directly and indirectly hired employees and contractors at production
and non-production bases in Japan and production bases outside Japan(excluding some bases) across LIXIL and its group companies.
* Excludes GHS Corporation, LIXIL ERA Japan, Corp., and other companies divested
during the period covered by the above data.
*1 Lost Time Injuries Frequency Rate (LTIFR): Number of occupational injury
cases involving days away from work / Total working hours × 1,000,000*2 Severity rate: Total work days lost due to occupational accidents / Total working
hours × 1,000 (Total work days lost means actual days away from work)*3 Occupational Illness Frequency Rate (OIFR): Number of occupational illness
cases involving days away from work / Total working hours × 1,000,000

to contribute to making better homes a reality for everyone,
everywhere.

• Establish health-conscious, comfortable working environments.

Directly and indirectly
employed staff

source of the good health of our organization. We declare ourcommitment to promoting sustainable health management• Provide more employees with opportunities to help prevent

OIFR*3

physicians and relevant departments.

Employee wellness (Japanese only)

improve self-management.

LTIFR*1 (Directly and indirectly employed staff [left])
LTIFR (Contractors [left])
Severity Rate*2 (Directly and indirectly employed staff [right])
Severity Rate (Contractors [right])

company nurses facilitate collaboration between occupational

Health Management Declaration

0.02

0.004

FYE2018

Management Declaration, through which we seek to facilitate

In order to build a more resilient organization that can
respond quickly to changing circumstances, LIXIL is working
hard to foster a corporate culture in which our employees —Health and Productivity Management officer:
Company president

Health and Productivity Management promotion officer:
Officer in charge of HR

the core of our organization — can actively realize their fullpotential. Changing circumstances may change employees’
workstyle, but we will continue to be committed to creating anenvironment in which they can work in ever healthier ways.
We ask all our employees to understand that the mostimportant factor in realizing better homes for everyone,

HR and general affairs for each base:
Safety and
HealthCommittee

Head office HR and general affairs:
Healthcare group

Occupational
physicians

everywhere is the health of you and your families. So pleaseactively participate in activities that help maintain andimprove your health.
October 2020
Kinya Seto

Company nurses

LIXIL Health Insurance Society

Director, Representative Executive Officer, President, and CEO

LIXIL Corporation
Health management promotion framework

LIXIL Corporate Responsibility Report 2021

53

Contents

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Measures to Maintain and Promote Health

Mental Health Measures

Health Promotion Events

Blanket Ban on Smoking

We conduct annual stress checks as part of our mental

Given the importance of daily efforts to maintain health,health support, with a response rate of 90.6% in FYE2021.

we work with the LIXIL Health Insurance Society to actively

In April 2020, LIXIL banned smoking throughout the day

Employees who are confirmed to be suffering from high stressencourage exercise. Since 2016, we have held biannual LIXIL

in all our offices and facilities across Japan to maintainlevels are referred to occupational physicians for private

Walking Rally events to encourage employees to develop their

the health of our employees, customers, and all otherconsultation. Any workplace with 10 or more respondents thatown exercise routines, drawing some 2,000 participants eachstakeholders. In addition, smoking is strictly prohibited for all

has been identified as being high-stress is required to create

time. We were not able to hold the rally in FYE2021 due to theemployees during working hours.

an action plan sheet to resolve the underlying causes.

COVID-19 pandemic.

We are also strengthening our mental health support system

Occupational Health & Safety『改正健康増進法』施行に伴い、従業員及びお客様の健康保持増進のため

年月より
敷地内 終日禁煙

In addition, the LIXIL Health Insurance Society conducts

by allocating occupational psychiatrists in multiple Japanesea health promotion campaign twice a year. In FYE2021, thebases to facilitate a more targeted specialist approach.

society expanded the campaign to 23 courses, including
smoking cessation, developing an exercise routine, and dieting.

となります

Health Education Programs
Supporting Return to WorkWe create programs tailored to specific employees, such as➢ 敷地内には屋内・屋外を含みます➢ 年月以降 喫煙室は設けません➢ 施設利用者全員が対象となります➢ 加熱式たばこ・電子たばこも含みます

皆様のご理解とご協力をお願いいたします㈱/,;,/

Posters to announce the smoking ban

Annual Medical Checkups

new hires and supervisors, through which company nurses

We provide support to employees who take sick leave based

provide various information on topics such as mental health,on our Return to Work Program. From during their absencedisease prevention, and improvement of lifestyle habits. Due

to after returning to work, we support them both physicallyto the COVID-19 pandemic, we held 15 seminars online

and mentally in conjunction with human resources

for 657 employees in FYE2021. In particular, we ensure all

department, supervisors of the department they belong to,

newly appointed managers receive training on mental healthoccupational physicians, and company nurses.

management, as part of efforts to create work environmentsthat facilitate the early detection and treatment of mental

All employees undergo annual medical checkups, andoccupational physicians determine whether individual

COVID-19 Countermeasures

health issues.
We also work together with the LIXIL Health Insurance

In FYE2021, we regularly transmitted information on

employees require special arrangements to their jobs. In

Society to arrange health seminars given by external

infection prevention, online communication, and mental

addition, employees with health risks are encouraged to visit

lecturers on topics selected to suit the needs of individual

health care linked to increased work-from-home practices

a medical institution to ensure early detection and treatment

workplaces or job types. In FYE2021, we held 16 online

through internal social media and bulletin boards as aof any diagnosed illness. The LIXIL Health Insurance Society

seminars for 335 people on topics ranging from mental

preventive measure against COVID-19. The Health andoffers a subsidy for basic medical examination for both

health issues, such as how to deal with stress when working

Safety Committee and other bodies have also put this issue

employees and their dependents.

from home, to health promoting behaviors (exercise, sleep,on their agenda and are working to ensure everyone is fully

lifestyle habits, etc.)

informed of COVID-19 countermeasures.

LIXIL Corporate Responsibility Report 2021

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Contents

05
OUR PEOPLE
Diversity & Equal Opportunity
A Rewarding Workplace
Talent Development
Occupational Health & Safety

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Setting Up Helplines

Participation in KENKO Kigyo Kai

Overseas Cases

In Japan, LIXIL has established a helpline offering mental

Maintaining and enhancing workers’ health is a challenge

To introduce a few of our international well-being promotion

and physical health advice through which employees can

not only for a company but also for all working people

activities, LWT & LHT Asia (LIXIL Thailand) created exercise

receive specific individual advice and specialist support fromthemselves. LIXIL takes part in KENKO Kigyo Kai, anclubs designed to relieve stress and promote health awarenesscompany nurses via email or telephone.

organization that shares and uses know-how of healththat all employees can attend after work. These clubs, ranging

management with an aim to enhance active and effectivefrom badminton to futsal, attract over 1,200 participants inmental and physical health support line where employees

The LIXIL Health Insurance Society has set up its own

health promotion activities. We hope this organization

total. LWT & LHT Asia (LIXIL China) is also organizing healthcan seek advice via telephone, web, or face-to-face interview

will become a group of leading companies in the healthclub activities to help promote employee health.

from external doctors and public health nurses not only

promotion sphere, and ultimately, set a strong example forabout health and medical treatment, but also about child-promoting health management in our society at large.

raising and nursing care.

METI Health and Productivity Certification
LIXIL has been recognized for the fifth consecutive year
under the Certified Health & Productivity Management
Outstanding Organizations Recognition Program run byJapan’s Ministry of Economy, Trade and Industry (METI).
This certification recognizes our health maintenance andimprovement measures, including mental health education,
initiatives to help prevent serious lifestyle diseases and

LWT & LHT Asia (LIXIL Thailand)
exercise club in action

LWT & LHT Asia (LIXIL China)
health club puts on a show

other conditions, and measures to maintain and promote
employees’ health such as exercise promotion. LIXIL VIVAWEB

Scope and details of employee-related data

CORPORATION is also certified under the same program.

LIXIL Corporate Responsibility Report 2021

55

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

ENVIRONMENT
We proactively pursue environmentally conscious initiatives across all of our processes
based on our earnest desire to help people coexist in harmony with our planet.

Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy
Management of Chemical Substances

LIXIL Corporate Responsibility Report 2021

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Contents

06
ENVIRONMENT
Environmental Management System

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Circular Economy

Environment

Customers & Supply Chain

SocietyHighlights
TargetHelp realize a sustainable society through innovative products and services and environmental considerations across all operational processes.

CO2 emissions reduction attributable toour products and services
Result

1.29

times

Target(v. FYE2016)

Waste recycling ratio

CO2 emissions from places of business (Scope 1 and 2)

1.36

Emission intensity
per unit of output

Resulttimes(v. FYE2016)

Emission intensity
per unit of output-18.7%

Target(v. FYE2016)

Climate Change Mitigation
and Adaptation
Water Sustainability

Our People-8%

ResultTarget(In Japan and Europe)(v. FYE2016)(Thousand t-CO2)
2,000

97%

(%)
0

(％)
100

97

95%

(In Japan and Europe)

97

97

90

92

95

-8.0
1,600
(Times)
1.5

1.0

1.30

1.29

1.36

1,128

1.00

Management of Chemical Substances
0.5

582

1,070

923

1,038

525

457

536

545

466

502

400
0

FYE2016 FYE2020*(standard value)

FYE2021

FYE2021(Target)■ Scope 1 ■ Scope 2(Million t-CO2)
150
120

109

112

FYE2019
Japan and Europe

Emission intensity per unit of output

0

FYE2020

FYE2021

FYE2021

FYE2021(Target)Asia (excluding Japan)

North America* Excluding companies divested during the period covered by the above data.
Specifically, data for FYE2019 and FYE2020 exclude Permasteelisa Group and
LIXIL VIVA CORPORATION.

(Million m3)
20

15■ Intake ■ Discharge

FYE2019

FYE2020

16.7

30

40

0

FYE2021(Target)102

60

Scope: LIXIL and the majority of its group companies

FYE202139
27

25

Water intake and discharge

90■ Use of sold products

34

Scope: LIXIL and its group companies (production and non-production bases in Japan andproduction bases outside Japan).
* Excluding companies divested during the period covered by the above data. Specifically, data
for FYE2016 and FYE2020 exclude Permasteelisa Group and LIXIL VIVA CORPORATION.

* Reviewed past data and revised the result for FYE2020 during the process of aggregating
data for FYE2021.
* An estimated cumulative amount of CO2 emissions reduced by using LIXIL’s eco-conscious
products and services, in comparison to the reduction achievable by its conventional products.

Scope 3 emissions

50

-30

-50

FYE2016 FYE2020*(standard value)

66

62

-20

-40

546
0

75

-18.7

1,200
800

-10

-14.7

Scope: LIXIL and its group companies (production andnon-production bases in Japan and production
bases outside Japan).
* Excluding companies divested during the period covered by
the above data. Specifically, data for FYE2019 and FYE2020
exclude Permasteelisa Group and LIXIL VIVA CORPORATION.
* Excluding tenanted properties, etc. that we can't access toassess the water intake.

16.1
13.9

13.2

FYE2019

FYE2020

13.3

12.3

10

5

0

FYE2021

Please click the link below for more information on the scope of coverage and other details.

WEB

Scope and details of environment-related data

LIXIL Corporate Responsibility Report 2021

57

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

ENVIRONMENTAL MANAGEMENT SYSTEM
We are strengthening group-wide management systems to reduce environmental risks that we seek to address in our Environmental Vision 2050 and expand theenvironmental benefits that we offer to society.

Our Approach

Our System

In 2019, LIXIL updated its Environmental Vision to

In order to promote group-wide environmental activities,

contribute to improving people’s comfort and lifestyles andwe established the Environmental Committee chaired

hold regular, biannual Environmental Committee meetingsa better future for our global environment. We will do this by

by our chief technology officer (CTO). The head officewhere they establish and revise environmental strategies,

reducing environmental impacts in all business processes

environmental management department serves as thedeliberate and decide on important measures, and monitor

from raw materials procurement through the end-of-lifecommittee’s secretariat, overseeing all our businessand review implementation plans. The FYE2021 meetingsof products. Based on the 2050 vision, we aim to achieveorganizations, head office departments, and consolidated

were held online due to COVID-19 restrictions. In the first half

Circular Economy

net-zero carbon emissions and preserve water and natural

subsidiaries. The Environmental Committee enlists theof the business year, the meeting reviewed our performance

Management of Chemical Substances

resources in operations, housing and lifestyle solutions

cooperation of LIXIL’s Board of Executive Officers and Board

against key goal indicators in our focus areas, and discussed

for future generations to become a leading company inof Directors, the Risk Management Committee, and thewhat needs be done going forward to achieve our vision.

environmental sustainability.

Corporate Responsibility (CR) Committee for its activities.

Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability

Our CTO and environment managers from each businessAt the end of each business year, committee members

Realizing the Environmental Vision will require

These activities focus primarily on establishing a group-wide

meet for a management review session where they lookbuilding an effective group-wide framework, which

environmental management system, including promoting

back on the past year’s activities, formulate plans for the

includes an environmental philosophy, code of conduct,environmental strategies, organizing effective management

coming business year, and revise the group’s overall vision

and a management system. To lay the foundation forstructures and reporting lines, and sharing and expanding

and medium-term targets. We then execute these measuresenvironmental target setting, monitoring, and information

organizational and regional measures.

within each organization to help strengthen governance anddisclosure, we established and began implementing LIXIL

improve performance.

Environmental Sustainability Principles and Performance
Data Reporting Guidelines in 2016. By developing theseframeworks and foundations, we are uniting the entire groupof companies in reducing environmental risks and realizing
the Environmental Vision.
PDF

LIXIL Environmental Vision (8.3MB)

Environmental Committee (2019 face-to-face meeting)Internal TCFD study session during an Environmental Committee meeting (held in 2019)

LIXIL Corporate Responsibility Report 2021

58

Contents

06
ENVIRONMENT
Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy
Management of Chemical Substances

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

LIXIL Environmental Sustainability Principles

Environmental Auditing

Environmental Education and Internal Evaluation

Philosophy

LIXIL is working hard to achieve ISO 14001 certification

We strive to inform and educate employees at different

at targeted production sites in order to strengthen

levels of the group about environmental initiatives. We

Striving to help people live in harmony with the earth, LIXIL

environmental governance at all relevant locations including

conduct environmental training for new recruits, provide

is committed to continuing our environmentally sound efforts

group companies. In FYE2021, 94.8% of the 77 targeted

Environmental Management System (EMS) training forin every aspect of our business activities.

sites (see ISO-certified site list below) acquired the

EMS promotion managers and operators at each site, andcertification, including four new scheduled certifications.

distribute monthly reports on environmental trends to top

We also have an internal environmental auditing systemmanagement, including the directors, executive officers,

Code of Conduct• Continually improve environmental management systems
and performancethat covers all our production bases as well as non-auditors, and Technology representatives. In FYE2021, we

production bases and group companies in Japan. We

invited an external expert to an inhouse seminar on the

conduct internal audits at production bases based on ISO

circular economy (CE) for a wide range of people within• Adhere to rigorous compliance

14001 to check that environmental management systems

the company to deepen understanding of CE concepts and• Develop and provide environmentally sound products andare effective and law-abiding. At non-production bases andinitiatives and how to incorporate CE principles into theirgroup operating companies, we conduct internal audits

business.

services• Reduce environmental impact in every process of thebusiness operation• Proactively communicate with all stakeholders
PDF

LIXIL Environmental Sustainability Principles (50KB)

according to our own ISO-based environmental management

In addition, we evaluate and award environmental

systems and are gradually expanding the number ofactivities led by employees at each site. For our executives,companies covered. We follow up on any matters highlighted

we introduced a stock-linked compensation that evaluatesby the internal audits and confirm that improvements are

their contribution to the group’s medium- to long-term

being implemented to ensure the effective operation of

improvement in corporate value, including environmental

our management systems. Our head office environmental

performance, to help promote environmental activities

management department also started auditing theacross the group. The structure of compensation for eachenvironment managers at individual businesses in FYE2018.

executive is determined considering the business targets andenvironmental, social, and governance (ESG) issues that they

ISO 14001-Certified Sites

are in charge of. We also take their performance into account(FYE2021)

when revising the amount of their annual base salary.
Targeted sites
Certification ratio

77

94.8％
Targeted sites:
Production and distribution sites in which
we have a 50% stake or more

PDF

List of ISO-certified sites (55KB)

Online inhouse seminar on circular economy

LIXIL Corporate Responsibility Report 2021

59

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Climate Change Mitigation
and Adaptation

Environment

For all LIXIL products destined for the Japan market, we

Product-Related Environmental Assessment StepsSociety

We are establishing systems to assist environmental
management decision-making by appropriately evaluating

conduct an environmental assessment at each stage of the
Product planningenvironmental laws, and to help reduce the environmental

Set environmental targets for new
products to be developedrisks and opportunities and clearly understanding the financial
impacts of climate change on our future business operations.
Our head office environmental management department

impact of products in all three lifecycle stages: produce, use,and dispose.

Customers & Supply Chain

Environmental Disclosure

Environmentally Conscious Design

product development process to ensure compliance withEnvironmental Management System

Our People

Designing and testing

Compare each evaluation criteria against
standards and existing products

Water Sustainability

provides information to top management derived from various
analyses on regulatory trends; carbon tax, emissions trading,and energy cost forecasts; and the estimated financial impacts

Circular Economy

Final confirmation

Final check of strong selling pointsof capital investments and environmental measures.
In March 2019, we announced support for the Task

Management of Chemical Substances
Eco product marketing

Showcase selling points in catalogs andother marketing materials using eco
labels and graphs

Force on Climate-related Financial Disclosures (TCFD),
and have been disclosing information based on the TCFD
recommended items. In FYE2020, we conducted TCFDbased scenario analysis of our window sash/door and zero-

Evaluation Criteria for Product-Related Environmental Assesment

energy house (ZEH) promotion businesses (see next pageStage

for analysis results). Looking ahead, we intend to strengthen

Items to be considered

Eco product features

Reducing major component materials and parts

Resource-saving

Additional reductions from using recycled materials

Recycled material use

Efficient assembly and construction

Construction-saving

We also respond to questionnaires from the international

Using lawful, sustainable wooden materials

Lawfully logged wood

non-profit CDP, earning us an A- rating both in CDP Water

Reducing energy and water usage in everyday living

Energy- and water-saving

Improving performance using natural energy and zero energy use

Energy-creating / zero energy

Leaderboard in the CDP Supplier Engagement Rating, which

Ease of maintenance and cleaning

Dirt-proofing, easy cleaningevaluates initiatives for reducing greenhouse gas emissions

Responding to sick-house countermeasures

F ☆☆☆☆ , etc.*

across the supply chain.

Material recyclability of main component materials and parts

Recyclable design

Reusability of main component materials and parts

Reusable

Produce

Use

Dispose* F☆☆☆☆ (four-star) is the highest rating in the formaldehyde emissions level rating scheme.

our systems and expand target businesses as we strive toenhance our information disclosure and improve trust in theeyes of our stakeholders.

Security 2020 and CDP Climate Change 2020. We were also
selected for the first time for inclusion in the highest-rated

WEB

TCDF index

WEB  Details about our CDP results
PDF

LIXIL Earns Place as a CDP Supplier Engagement Leader
for the First Time in 2020 (390KB)

LIXIL Corporate Responsibility Report 2021

60

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Climate Change Mitigation
and Adaptation
Water Sustainability

Environment

Customers & Supply Chain

Society

Response to the TCFD
Steps of Analysis

In light of LIXIL’s aspirations set forth in our Environmental

Step 2

Vision for 2050, we analyzed the projected impacts ofclimate change on our business in the year 2030. In

Environmental Management System

Our People

Step 1FYE2020, we conducted scenario analysis of our window· Assess risks andopportunities

sash/door and ZEH businesses using the IEA’s World Energy

Step 2· Evaluate financial
impacts

Step 3· Identify response
measures

Outlook (WEO) and other analysis tools.

Given the significant financial impacts of a carbon tax andassociated rise in fuel and material prices from a movetoward decarbonization, we find it crucial to minimize suchimpacts by investing in environmental technologies andGoing forward, we intend to expand the scope of ourdriving manufacturing innovation. Because natural disaster

Step 1

scenario analysis to help us evaluate the medium- to long-impacts are expected to intensify in a scenario of worsening

Circular Economy

term risks and opportunities relating to the achievement ofManagement of Chemical Substances

the LIXIL Environmental Vision and clearly grasp any relevant

We organized risks and opportunities by identifying themanagement at each business site and build a resilient

financial impact. We will continue to review our environment-

business impacts of climate change and climate measures

supply chain.

related goals and revise our business planning based on theand assessing the size of those impacts qualitatively.

climate change, we reaffirmed the need to conduct risk

analysis results.

Our results also suggested a potential rise in demand for
ZEH-related products. An increase in energy retrofits of existing
housing, in addition to new construction, is needed to realize a
2ºC scenario. Thus, it is important that we seize this business

Risks and Opportunities Identified as High Impact in Step 1

opportunity by increasing promotional communications tocustomers and responding to public policy changes. Growing
Expected business impacts

disaster risks may increase demand for products that help

Category

reduce these risks, making the contribution of our business to

Risks

Opportunities· Carbon tax sharply increases fuel taxes and electricity rates· Stronger regulations raise energy efficiency standards· Use of alternative and recycled materials is mademandatory· Increasing production efficiency reduces costs· Demand for ZEHs, high-insulation, and renewable energy
products increases· Increased demand for sustainable raw materials promotes
sustainability

Renewable energy policy· Demand declines because feed-in tariff and othersubsidies level out· Service markets related to ZEHs and renewable energy are
created

We will use these scenario analysis results to draft responseTechnology investment· Cost of investing in manufacturing processes rises· Innovation in manufacturing processes is encouraged

this scenario analysis process to other businesses in the group.

Market changes· Raw material prices rise

· Alternative materials are developed

Extreme weather· Cost of natural disasters grows· Supply chains are disrupted· Business opportunities for disaster risk-reducing products
expand· Implementation of BCP measures increases resilience

Regulatory strengthening

safer homes and lifestyles even more important.

Step 3measures and formulate action plans. We also plan to apply

LIXIL Corporate Responsibility Report 2021

61

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CLIMATE CHANGE MITIGATION AND ADAPTATION
We have set out to achieve net-zero greenhouse gas emissions from business processes, products, and services across our organization.

Products & Services: Conserving Energy
and Reducing Greenhouse Gas Emissions

Launching in August 2021, our resin window EW (TOSTEM)

Developing Water- and Energy-Saving Products

boasts a world-class thermal insulation performance anda frame that enhances outdoor scenery and beautifies theHeating water constitutes 24% of

LIXIL aims to reduce CO2 emissions to net zero by 2050

interior with its picture frame design. The resin frame’shousehold CO2 emissions. Reducing

Environmental Management System

and realize its Environmental Vision through the provision ofmultilayered, hollow structure and the leading-edge, triple-

the amount of hot water used,

Climate Change Mitigation
and Adaptation

environment-conscious products and services.

glass window support the window’s strong thermal insulation

therefore, is an effective way to reduce

performance, restricting heat inflow and outflow and helping

emissions. Our Eco Aqua Showerof LIXIL products and services occur during the product use

to reduce energy used on heating and cooling, thereby(INAX) offers double the benefits

stage. We are taking steps to reduce these emissions andreducing CO2 emissions.

with a large shower head that emits large droplets of air-filled

Water Sustainability

Over 90% of CO2 emissions generated during the lifecycle

Circular Economy

mitigate climate change by improving home insulation to

The renovation-specific RE-PLUS insulated windowwater for a more comfortable shower experience and better

Management of Chemical Substances

reduce heating and air conditioning demands, reducing the(TOSTEM) uses a new cover method that attaches the newwater-saving performance. The shower’s one-push on/off

energy required to supply hot water, using renewable energy

window to an existing frame to create an aluminum-resinswitch makes it easy to save energy and water by up to 48%*in product and service development, and utilizing IoT. We

hybrid window in as little as 60 minutes.* We meet homecompared to the conventional water volumes of 10 liters/min.

are also helping people adapt to climate change by providing

renovation needs as a way of promoting window insulation insolutions for disaster preparedness and indoor heatstroke

existing homes.

* Please refer to the product catalogue for more details on the product’s
features (Japanese only).

prevention, for example.

* Regular-sized pane replacement takes at least 60 minutes, and terrace
window-sized pane replacement takes at least 90 minutes.

Conserving Energy through High-Grade Thermal
Insulation Products

Our Automatic Heating
Faucet (INAX) for public
toilets instantly heats water
to the right temperature for
handwashing as it is released
from the faucet. Combinedwith our Ecoful feature,
this faucet provides a fullhandwashing feel even witha small volume of water andachieves energy savings ofReplacement image

An example of EW installed room

Multilayered, hollow structure

WEB

About EW (Japanese only)WEB

About RE-PLUS (Japanese only)

Cross-section image

92%* compared to conventional electric water heaters.
* Please refer to the product catalogue for more details on the product’s
features (Japanese only).

WEB

About Eco Aqua Shower (Japanese only)WEB

About Automatic Heating Faucet (Japanese only)

LIXIL Corporate Responsibility Report 2021

62

Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Climate Adaptation Solutions

Promoting Net-Zero Energy Houses (ZEH)

Reducing CO2 Emissions with IoT-Enabled Products

Global warming and the rising frequency of natural disasters

LIXIL TEPCO Smart Partners Inc. (LTSP), a company jointly

The growth of online shopping in recent years has increased

linked to climate change are causing dramatic changes to people’sestablished by LIXIL and TEPCO Energy Partner, Inc., leases

the number of home deliveries. However, due to theliving environments. Our

solar-power generation systems to consumers who use LIXIL’s

growing number of redeliveries as well, this is cited asexternal Style ShadeZEH* building materials and earns income from any surplus

reducing labor productivity and increasing CO2 emissions.

sun blinds (TOSTEM)

energy sold. In return, consumers pay virtually zero yen

LIXIL’s IoT-Enabled Smart Delivery Box facilitates two-way

stop penetration of theeach month to lease their solar-power generation systems

communication between the box and a smartphone, sending

sun’s heat on the outsideand enjoy favorable electricity rates through the company’s

notification of deliveries and enabling users to accept

and reduce indoor

Tatetoku Value service.

multiple separate deliveries. In a demonstration experiment

Circular Economy

temperature by as muchconducted at 100 households in Tokyo, we successfully cut

Management of Chemical Substances

as 3.5ºC,* cutting energy* ZEHs realize both a comfortable indoor environment and a substantial
reduction in energy consumption with high-insulation and high-efficiency
equipment. A ZEH also produces energy with a solar or other power
generation system, thereby reducing net annual energy consumption tozero.

Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability

use for air conditioning
and preventing indoor

Solar power generation systemheatstroke.

the redelivery rate from 41.7% to 14.9%* and confirmed theefficacy of the product in reducing CO2 emissions.
* Please refer to the press release (PDF) for more details on the product’s
features (Japanese only).

* Please refer to the product webpage for more details on the product’s
features (Japanese only).

TOSTEM’s Residential Window Shutter can protect against or

Effective cost:

0yen

mitigate adverse impacts
from natural disasters.

Consumer

Benefits include
preventing damage toand the scattering ofIncome from surplus energy sales

window glass causedby flying debris during

In 2021, we launched a Tatetoku Denchi plan that utilizes

typhoons, and reducing

our energy storage system designed for consumers using

the risk of the roof flying

designated LIXIL products when building new ZEH-type homes,

off when strong winds

the service allows consumers to install solar-power generation

blow into the room.

and energy storage systems at reduced initial costs in exchangeWEB

About Style Shade (Japanese only)WEB hutters and other products that help mitigate disasterS
impacts (Japanese only)

for any surplus energy revenue for a period of 10 years.
WEB

About Tatetoku Value (Japanese only)WEB

About Tatetoku Denchi (Japanese only)WEB

IoT-Enabled Smart Delivery Box (Japanese only)

LIXIL Corporate Responsibility Report 2021

63

Contents

06
ENVIRONMENT
Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

700 tons by building an eco-conscious building in 2017; theshortage by combining freight with other companies in thebuilding houses high-efficiency production equipment andsame industry. The initiative successfully reduced the combined

solar-power generation systems. All plants and distribution

driving distance by partner companies by 55,200 kilometers a

LIXIL is advancing initiatives across the group to achieve net-

centers for the GROHE brand around the world are certified

year and CO2 emissions per tonne-kilometer by 22.7%.

zero CO2 emissions from its business processes and realize

according to ISO 50001 Energy Management Systems.

Business Operations: Promoting Energy
Generation and Saving

its Environmental Vision. For example, we are promoting* A power generation
system that uses aheat recovery unit tocapture waste heatand turn it into thermalenergy.

strict energy-saving activities in factories and offices, thedevelopment of energy efficiency technologies, and the useof renewable energy.

Using Renewable Energy
LIXIL promotes the use of renewable energy as part of its
drive to reduce CO2 emissions from its products and services
to net zero by 2050. That drive includes our membership
in RE100, a global initiative of companies committed to

Improving Energy Efficiency at Production Sites

sourcing 100% renewable electricity for their operations.

Management of Chemical Substances
We are taking steps to improve energy efficiency at eachsite, such as pinpointing issues with production processes

So far, we have successfully switched to 100% renewable
Lahr Plant in Germany

electricity at all LIXIL International water faucet factories
and distribution centers (10 locations in total), and at fourand reviewing equipment.
At our Oyabe Plant in Japan, we visualized the relationship

Reducing CO2 Emissions from Distribution

offices (including our head office), two distribution centers,and 36 sales bases in Japan. Other bases have switched abetween outdoor temperature and the temperature of therefrigeration machines used in the aluminum surface treatment

In FYE2021, we launched a round-trip shipping container

portion of their electricity use to renewable sources and areprocess. In winter, we were able to reduce CO2 emissions by

program as the first shared use of logistics equipment withworking up to 100% renewable electricity in stages. At theapproximately 494 tons per year by turning off the refrigerator

other companies in the Tokai region of Japan. By allowing otherend of FYE2021, our renewable energy ratio reached 14.2%,

or operating it at a reduced load by using air from outsidecompanies to export their goods with containers that LIXIL has

cutting annual CO2 emissions by 62,000 tons.

instead. At our Ueno Midori Plant, another site in Japan, we

finished using to import its exterior materials, we eliminated 130

identified losses from steam equipment used in production andkilometers of empty container transportation for every round

reduced CO2 emissions by approximately 379 tons a year bytrip. This reduces annual CO2 emissions by roughly 40 tons andEight bases in Japan operate megawatt-scale solar power
plants in previously unutilized spaces. Together, theseplants generate

improving steam efficiency and replacing existing equipment

transportation costs by

34,500MWh ofwith eco-friendly alternatives. We have also encouraged

approximately 20%.

power a year.

factories and distribution centers in Japan to switch to LED

Our Hokkaido

lighting, achieving a switchover rate of over 95% to date.

Distribution Center

Our production plant in Lahr, Germany, has replaced

addressed the issues

inefficient boilers with a cogeneration system,* contributing toof declining loadingan annual CO2 emissions reduction of 2,550 tons. Our Klaengefficiency and a driver

plant in Thailand cut annual CO2 emissions by approximately

Fukaya Distribution Center in Japan

LIXIL Chita Plant in JapanWEB

Environmental data

LIXIL Corporate Responsibility Report 2021

64

Contents

06
ENVIRONMENT
Environmental Management System

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

WATER SUSTAINABILITY
As a leading company in water-related products, we create environmental value for water through water conservation, water circulation, and water purification technologies.

Products & Services: Enhancing the WaterSaving and Water-Purification Features
In order to help realize a circular economy as set out inflush, making day-to-day cleaning easier and keeping it

Water-Saving and Water-Purifying Products

sparkling like new for 100 years.** Please refer to the product website for more details on the product’s
features (Japanese only).

We are enhancing the water-saving and water-purifying
functionality of various water-related products such as

our Environmental Vision, we provide solutions for using

American Standard brand offers a wide range of toilets,

kitchen faucets by utilizing the latest sensing and filtrationwater resources sustainably while also creating additionalsuch as Cadet PRO, Studio S Low-Profile Toilet, and Lyndon,

technologies. Our Navish Hands-Free faucet (INAX) uses

environmental value for water. We do this by encouraging

that meet strict criteria for water saving established by thethe automatic Eco Sensor to detect the presence of hands

the use of water purification technologies and products and

US Environmental Protection Agency’s WaterSense program,and other objects, enabling water to be dispensed andCircular Economy

services that reduce water consumption, such as water-and save nearly 20% more water than the standard criteria

stopped without touching the faucet. The faucet equipped

Management of Chemical Substancessaving toilets, water faucets, and smart water controllers.

set by the government organization. The bowl height of thesewith the sensor function also separates hot and cold water,

toilets also conforms to the accessibility height guidelines as

preventing unintended use of hot water and energy. Users

outlined by the Americans with Disabilities Act of 1990.

can save approximately 37% energy* and 30% water*

Climate Change Mitigation
and Adaptation
Water Sustainability

Water-Saving Toilets

compared to conventional faucets.
The SATIS toilet (INAX), with its strong cleaning* Please refer to the product website for more details on the product’s
features (Japanese only).

performance and water-saving functionality, can save up
to 49%* of water used compared to conventional toilets
that use eight liters of water for each long flush. Its AQUACERAMIC sanitaryware material repels waste during eachStudio S Low-Profile Toilet

SATIS

AQUA CERAMICWEB

SATIS (INAX) (Japanese only)WEB

American Standard water-saving toilet

WEB

Navish (Japanese only)

LIXIL Corporate Responsibility Report 2021

65

Contents

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society06
ENVIRONMENTOur Saybrook Filtered Kitchen Faucet, which introduces

Our GROHE Blue household water system dispenses

Protecting the Home from Water Damage

INAX’s filtering technology from Japan, can remove

chilled or carbonated water from the kitchen faucet, using a

impurities such as lead, chlorine, and small particles

specialized filter cartridge. It can also chill room-temperature

According to a survey conducted by LIXIL in 2017, 54%

Environmental Management System

contained in tap water to provide safe drinking water, with anwater to a desired temperature. Given that as much asof European households have experienced some form of

Climate Change Mitigation
and Adaptation

improved taste. It comes with a small, innovatively designed

seven liters of water is required to produce a single liter ofwater damage such as those caused by water leakage. Usedfilter that can be installed for easy access above deck atbottled drinking water, GROHE Blue also contributes to thetogether with a smartphone app, our remote-controllable

countertop level or below deck on the inside wall of theconservation of water resources. The system also helps cut

GROHE SENSE GUARD notifies users in the event of acabinet. Easy access to clean water helps prevent plastic

burst pipe and automatically shuts off the water supply to

Circular Economy

CO2 emissions by 61%* compared to bottled water andwater bottle usage and home water delivery, helping to

reduce plastic waste.

minimize damage.

Management of Chemical Substances

reduce the environmental footprint.

Water Sustainability* Please refer to the product website for more details on the product’s
features.

WEB

WEB

Saybrook Filtered Kitchen Faucet

WEB

GROHE SENSE GUARDGROHE Blue

LIXIL Corporate Responsibility Report 2021

66

Contents

06
ENVIRONMENT
Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

SocietyBusiness Operations: Improving Water
Efficiency and Protecting Water Quality

conditions at each production site, we are now working to
reduce water risk at four bases in Mexico. To strengthen our

LIXIL is promoting efficient water resource use through water

We are working to use water resources sustainably inefforts to conserve precious water resources, we expanded

recycling. In FYE2021, we used 789,837 cubic meters of

all business processes across the company. At sites

the scope of water risks in the FYE2021 assessments byrecycled water.

that use water for manufacturing, we work to identify

adding water quality and regulations to the existing water

water-related business risks in each region and takeshortage risks. We will also seek to reduce the amount ofa water recycling system that treats manufacturing

appropriate steps to improve water efficiency, recycle

water intake and discharge and to improve the quality of

wastewater for reuse. The wastewater generated bywater, and manage wastewater.

discharged water, even at newly recognized high-risk sites.

manufacturing processes such as product cleaning and leak

Introducing Wastewater Recycling Systems

Having conducted risk assessments based on the local

At our Tlaxcala plant in Mexico, for example, we installed

detection is treated using a reverse osmosis (RO) membrane

Identifying Water Risks at Production Sites(FYE2021)

Management of Chemical Substances

15%

6%

In order to better understand local conditions and introduce

16%

appropriate measures to address the problem of increasingly

Total

scarce global water resources, LIXIL started conducting

54%

Our risk assessment process involves first creating a(FYE2021)

12%
4%
3%

Total

12,837,000

34%Water Risk Assessment Process

48%m3

Water Risk
STEP 1

STEP 2
Surveys at
high-risk sites

Comprehensive
water risk
assessment

severe.
* A type of filtration membrane that enables water to flow through while
blocking impurities such as ions and other molecules.

12,837,000
m3

Geographical risk
assessment

water and reduce water consumption at plants in the Asian

Water risk
High
Percentage
by Low
Water Risk Level*
Total of Water Intake

Risk Filter assessment tool. We then conduct surveys of sites

STEP 3process. We will continue to increase our use of recycled

4%3%geographical risk profile using the international WWF Water

34%
to perform comprehensive water risk assessments.

9%

12%

sites that use water in their manufacturing processes.

water treated with this system is reused in the manufacturing

and North American regions where water shortages are

67 sitessurveys in FYE2017 to identify water risks at 67 productionthat are revealed to be high-risk. This approach enables us

filtration system;* an estimated 34,000 cubic meters ofPercentage of Production Sites by Water Risk Level

Water risk

Low

48%

High
Water risk

Low

High

* Total water intake by production sites that use water in their
manufacturing processes.
* Targets those production sites that use water in their manufacturing
processes (Including India and Domenica while excluding two of Suzuki
Shutter Co. Ltd.’s sites and LIXIL’s Fujisawa Plant)

Tlaxcara Plant in Mexico

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Contents

06
ENVIRONMENT
Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CIRCULAR ECONOMY
We promote the company-wide sustainable use of raw materials across the entire lifecycle of our products, from procurement through production, end use, andproduct disposal.

Products and Services: Saving andRecycling Resources

which is generated from our wood-cutting processes andreaches end-of-life.

usually reprocessed as fuel, mixed with plastic collected

Renting and Leasing Comfortable Bathroom Spaces

and recycled by local
authorities.

We promote circular manufacturing across the group as

LIXIL is helping to reduce resource and energy inputs

part of the drive to achieve our Environmental Vision. We do

Our resin window

and waste by offering rentable and leasable products

this by using recycled raw materials, designing for durability

EW uses wood scraps

and services designed to satisfy different environments

and reuse, making functional parts of existing products

generated during theand needs. Our withCUBE mobile bathroom booth is a

replaceable and upgradable, and expanding our offering of

manufacturing process,product-as-a-service that can be obtained under a rental

products as a service.

increasing the percentage

or lease contract to make it easier to provide toilet facilities

of recycled materials

at distribution centers and other locations. It does not

used in our double-sliding

require any large-scale construction, so it can be installed

Management of Chemical Substances

Product Development Using Recycled Materials

EW cross section (blue part made fromrecycled materials)

windows* to roughly threefold that of conventional products.

in as a little as one day* and easily withdrawn, thus

LIXIL launched its

Going forward, we will further advance the circular use of

reducing resource and energy inputs and waste across thefirst Cradle to Cradle

resources.

product lifecycle.

Certified products* In case of the S range.

®

for the GROHE brandWEB

GROHE’s Cradle to Cradle Certified® products

to advance circularWEB

KIRARA STAGE Mokucho (Japanese only)

manufacturing. FourWEB

Resin window EW (Japanese only)of its products havebeen certified Gold for satisfying the five Cradle to Cradle
criteria: material health, material reutilization, renewable

Upgradable Design

energy & carbon management, water stewardship, andSome LIXIL kitchen faucetssocial fairness.
LIXIL’s KIRARA

are designed so that just the

STAGE Mokucho isspout portion can be replaced

an artificial timberwith one that has a built-in

deck with thewater purifier. This helps

natural character of

reduce waste when the faucet

wood, made from 100% recycled materials. This range ofdecks uses medium-density fiberboard (MDF) wood dust,

Can upgrade to faucet with water
purifierWEB

Kitchen faucets (Japanese only)* Installation of withCUBE only. Preparatory construction to install water
and wastewater lines and electrical wiring may be required separately.

WEB

withCUBE (Japanese only)

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Contents

06
ENVIRONMENT
Environmental Management System
Climate Change Mitigation
and Adaptation
Water Sustainability
Circular Economy
Management of Chemical Substances

Commitment

Highlights

Management & Material Issues

Business Operations: Circulating Resources

Strategic Pillars

Our People

Environment

Working with Stakeholders to Eliminate Industrial
Landfill Waste

LIXIL strives to recycle resources and reduce waste in all

Customers & Supply Chain

Society

Reducing Plastic in Packaging
Since launching its Less Plastic Initiative in 2018, ourits business processes, including production. We work with

Having obtained certification as a biomass business operator

GROHE brand has begun switching out plastic forstakeholders to minimize new resource input and promoteand lobbied timber suppliers to join forest certification

sustainable alternatives, successfully eliminating plastic

the reuse and recycling of materials. We also practiceorganizations, our Nabari Plant in Mie, Japan, succeeded inpackaging used for its products by approximately 21 million

responsible management of hazardous waste and air

selling its previously discarded wood shavings as biomass

to date. Now we aim to raise that number to 35 million by

pollutants in compliance with ISO 14001 standards.

fuel and reducing its wood shavings waste to zero in

2021. INAX has switched from plastic to paper packaging

April 2020. Our Tono Plant in Gifu, another site in Japan,

material for INAX Aqua POWER products designed for the

successfully reduced waste from adjustment tiles used

Asian market. The company has cleverly printed a full-size,for creating wall construction materials by 55 tons a year

realistically colored image of the product on the packaging

At LIXIL International water faucet factories, we carry out

and reduced the raw materials used by 80% by improving

so that purchasers can picture the product inside as clearlyalloy smelting in in-house furnaces. Roughly 70 to 85%

operations and eliminating the cutting process.

as with the previous transparent plastic packaging. Our

Proactively Using Recycled Materialsof the brass we use in these plants for the GROHE brandAt our factories in Rayong and Rangsit, Thailand, we

is recycled material collected in and outside the factories.

have been recycling waste materials that were previously

recycle the plastic stretch film used when transporting

LIXIL factories in Japan are reducing the energy required

sent to landfill, such as sludge, mold, and ceramic scraps,

products.

to produce new ingots and other aluminum products byinto ingredients for making concrete. This has reduced theBased on the 2020 LIXIL Plastics Action Statement, allreusing aluminum scraps from outside their manufacturing

amount of landfill waste generated by the two factories by

our factories and offices will continue to accelerate initiatives

process; this reduces CO2 emissions by approximately

approximately 22,700 tons (98.3% compared to FYE2020)

to reduce plastic

340,000 tons per year.

logistics department is also seeking to reduce, reuse, andand boosted recycling rates to 97.6% in FYE2021.

use and recycle

With regard to plastic resources, we aim to recycle

Meanwhile, TOSTEM THAI has earned a Level 4 rating

plastic, develop andmaterials from one resin window into another. We are also

in the Green Industry commendation system operated byutilize renewablepromoting the effective

Thailand’s Ministry ofalternative materials,

use and recycling ofIndustry. In addition,and design

resin materials by,

our two ceramic

products that havefor instance, building

factories in Mexicoa low environmental

systems to recycle

have managed to

impact.

materials left over fromrecycle ceramic waste

factory processes andand gypsum molds

introducing equipment

previously earmarked

to sort and separate
Feeding raw materials into the aluminum smelter

the materials.

Award ceremony for green industry promoted
by Thailand’s Ministry of Industry

for landfill.
Paper packaging of INAX Aqua POWER

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Contents

06
ENVIRONMENT

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Society

MANAGEMENT OF CHEMICAL SUBSTANCESLIXIL strives for appropriate management of chemical substances and reduction of substances of concern across all of its business processes.

Our Approach

Managing Chemicals
in Operational Processes

Since the 2002 World Summit on Sustainable Development
Environmental Management System(WSSD) agreed to aim to ensure “that chemicals are

LIXIL appropriately manages chemicals in accordance with

Climate Change Mitigation
and Adaptation

used and produced in ways that lead to the minimization

the local laws and guidelines set by each market in which itof significant adverse effects on human health and theoperates, such as the EU RoHS directive or REACH regulation.

Water Sustainability

Customers & Supply Chain

Related Substances to Be Controlled by LIXIL created in2015. Our inhouse training also includes study sessions on
the guideline and the latest regulatory trends to promote
employee awareness and understanding of these issues.
PDF

 IXIL’s Chemical Substances Management Rank Guidelines
L(660KB)environment” by 2020, we have witnessed a strengthening
in chemical management worldwide. Across all of its

Circular Economy

business processes, LIXIL has also been seeking toManagement of Chemical Substances

appropriately manage chemicals and reduce substances

Design development

control of chemicals in products. We seek to appropriately
Procurement

issues and improve people’s comfort and lifestyles.
PDF

Management of Chemical Substances (304KB)

Production

Our System
In Japan, LIXIL’s corporate functions of Environment,
Procurement, and Quality partner with the Technology

Chemical Substance Database
LIXIL has introduced a dedicated system in Japan for theof concern that can negatively impact human health andenvironment, helping to resolve environmental pollution

We seek to reduce substances of concern inproducts based on the concept of Design forEnvironment, and lower the risks relating to them.

Information sharing

We obtain and manage information on
chemicals from our suppliers, and use thatdata for handling raw materials and providing
information both internally and externally.

manage information when collecting details on chemicals
in products from our suppliers, gathering internal data, andproviding information to customers.

We seek to reduce and manage substancesof concern in manufacturing processes, andminimize the amount used in products oremitted into the environment, or the impact on
the health of factory workers.
We provide information on substances ofconcern to ensure comfortable product use,
and respond swiftly to customer inquiries.

Product
component data
SurveySurvey form

Suppliers

Chemicaldata

Respond

Report Customers
Chemical databasefunction under the direction of the chief technology officer
to encourage appropriate management and operation

Guidelines for the Appropriate Chemical Managementof chemical substances in products. To ensure an

Reducing Substances of Concern

understanding of and response to regulatory trends, we

In Japan, LIXIL is implementing appropriate chemical control

are working within this system to develop a management

through its guideline that details any substances prohibited

infrastructure and stronger governance.

for use in its products and those that may be used underIn new product development, we prioritize the reduction

strict control, as well as how to handle them.

of substances of concern in our products to meet strong

To further enhance our efforts, we have establishedsocietal demands. We also collaborate with our suppliers

Chemical Substances Management Rank Guidelines in

to find alternatives to any substances of concern in ourJanuary 2020 to replace the List of the Environment-

existing products.

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Contents

07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

CUSTOMERS & SUPPLY CHAIN
We are committed to delivering customer-focused products and services andpromoting responsible supply chain management.

Responsible Supply Chain
Management
Product Safety & Quality
Customer Satisfaction

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Contents

07
CUSTOMERS &SUPPLY CHAIN
Responsible Supply Chain
Management
Product Safety & Quality
Customer Satisfaction

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Customers & Supply Chain

Environment

SocietyHighlights

Supply Chain
TargetQuality & Satisfaction

Through responsible management of the overall supply chain, deliver a stable portfolio of products and fulfill
stakeholder accountability.

TargetStrengthen relationships with customers
through our products and services.

Responsible Procurement Survey
Coverage ratio(based on purchased amount)
Result100 (%)

90

97

94

90

75

Result50

Target

94% 90%Target

67.7% 70%25

(in Japan)

Customer support satisfaction level0

FYE2019

FYE2020

FYE2021

FYE2021(Target)100 (%)
75

70.6

73.5

FYE2019

FYE2020

67.7

70.0

FYE2021

FYE202150

Conformity rate

100 (%)

94

89

91

90

25

75

Result0

Target

91% 90%50
25(in Japan)

Improvement rate of low-rated suppliers

0100 (%)

FYE2019

FYE2020

FYE2021

FYE2021

100

100

100

100

FYE2019

FYE2020

FYE2021

FYE2021(Target)(Target)* Survey target: Professional users* In FYE2021, our response rate declined due to a shortageof call center personnel during the COVID-19 pandemic,
so we are strengthening our online support and otheravenues of response.

75

Result100

Target

%

100

50

%

25

(in Japan)0(Target)

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Contents

07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Product Safety & Quality
Customer Satisfaction

Our People

Customers & Supply Chain

Environment

SocietyRESPONSIBLE SUPPLY CHAIN MANAGEMENT
LIXIL seeks to ensure stable product supply and responsible procurement by identifying related risks and working closely with suppliers.

Our Approach & System
LIXIL’s procurement is based on the Ten Principles of the

Responsible Supply Chain
Management

Strategic Pillars

Promoting Responsible Procurement That
Upholds the Environment and Labor Safety
Selecting New Suppliers

Monitoring Existing Suppliers

In accordance with the UNGC principles as well as our

Our Supplier Assessment Standards used to select suppliers

We also conduct regular inspections of our existing suppliers.

Procurement Principles and Procurement Complianceinclude criteria in the following areas: quality, cost, delivery,

LIXIL employs the process outlined below to designate

Policy, we seek to build sound partnerships with global

technical capabilities, and ability to deliver stable supply;

important suppliers, which will be prioritized when sharing

suppliers to carry out procurement activities. Our LIXIL

environmental consciousness, such as sustainable use of

procurement policies, conducting surveys, and checking

Code of Conduct also specifies the ethical behavior that isresources and proper control of chemical substances; humanprogress toward improvement.

expected of all our staff, including prohibition of bribery.

rights; and labor safety. We require new suppliers to understandBased on transaction value, 75% of LIXIL suppliers are

Meanwhile, our Supplier Code of Conduct compiled inand accept our Supplier Code of Conduct. Once suppliers arelocated in Japan, followed by China, Germany, and Thailand.

selected, we also conduct assessments of their products.

For major suppliers in Japan, we hold annual meetings toUnited Nations Global Compact (UNGC) in the four areasof human rights, labor, environment, and anti-corruption.

FYE2018 requires that suppliers respect human rights,
observe international labor standards, conserve the global

LIXIL ascertains the compliance of new suppliers by checking

environment, and ensure fair business conduct. At the same

written responses to surveys of labor management, occupationaltime, we request that they demand equivalent standards

health and safety, anti-corruption, and other practices.

from their own suppliers.
Additionally, in January 2020, we created Green
Procurement Guidelines outlining our policy and standards
for procuring parts and materials that exert the least impact

activities based on these guidelines.

cooperation with surveys.

Procurement Transaction Amount Breakdown by Country
Flowchart for Important Suppliers Identification

Japan
China
Germany

Primary supplierThailandon the environment. We ask suppliers to understand andsupport our environmental initiatives and procurement

explain responsible procurement principles and request

Austria

2%
3%
5%
7%

75%

Other countries

Provides criticalcomponent/product

8%

YES
Scope: Suppliers to LIXIL and its group companies* Excluding American Standard Brands.

Difficult to substitute

PDF

LIXIL Procurement Principles (93KB)

PDF

Supplier Code of Conduct (213KB)

PDF

Green Procurement Guidelines (241KB)

YES
Large-scale supplier(Monetary terms)
YES
Important supplierNO

Meets criteria set in
our Supplier Principles
YES

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Contents

Commitment

Highlights

07
CUSTOMERS &SUPPLY CHAIN
Responsible Supply Chain
Management
Product Safety & Quality

Management & Material Issues

Strategic Pillars

Our People

Customers & Supply Chain

Environment

Society

Conducting and Following Up on
Responsible Procurement Survey
LIXIL identifies supply chain risks by conducting a

LIXIL’s procurement department, allowing efforts to be

responsible procurement survey and checking subsequentfocused on improving any problems that are uncovered.

Number of Responsible Procurement Survey Items
CSR management5

to include secondary and primary suppliers in Japan, as well

Fair business12

as suppliers to LIXIL Water Technology (LWT) Asia by stages.

Human rights

8

To help suppliers address issues and risks uncovered

Labor

6

Occupational health and safety

7Conservation of the global environment

7

Contribution to the community

2

Total

47

progress. Survey results form part of the basis for selecting

In FYE2021, we expanded the scope of the survey further

suppliers or determining whether to continue business withan existing partner.
Details of the process are outlined below.

Customer Satisfaction

through the survey, we provide careful feedback through1

2

Select suppliers to be surveyed based on previous year’s

employee education along with a variety of information ontransaction value, etc.

topics such as our Code of Conduct and other guidelines.

Conduct a responsible procurement survey for chosen
suppliers, covering CSR management, fair business,

LIXIL EMENA is also utilizing the same framework to help
specify and mitigate risks.

human rights, labor, occupational health and safety,
conservation of the global environment, and contribution

PDF

Survey form (447KB)

to the community.
3

Compile survey results, classifying suppliers with sub-Responsible Procurement Survey Results

standard conformity rates as high-risk.
4Manage high-risk suppliers individually to encourage

Activities

Targets

improvement.
For suppliers classified as high-risk through this process,we provide site visits and other forms of individual guidance
that help promote sustainable partnerships and strengthen
our supplier base, the primary goals of our supply chain
management strategy.
LIXIL reviewed its responsible procurement survey in
FYE2019. The new 47-question survey is easier to understandbecause it dovetails more closely with our Supplier Code of
Conduct, revised in FYE2018, and enables online responses.
This has lightened the survey load for both suppliers and

FYE2019

KPI

Distribute Procurement
Principles, follow up
on survey results andrelated activities

Coverageratio (basedon purchasedamount)

Japan

90%

Overseas*1

90%Total conformity
rate

Japan

90%

Improvement
rate
Scope: Suppliers to LIXIL and its subsidiaries.
Figures in parentheses represent the number ofapplicable companies.
Japan: Procurement by operating sites in Japan
Overseas: Procurement by operating sites
outside JapanFYE2020

Results
90%

（697）

90%

（116）

94%

Targets

FYE2021

Results
97%

90%（1,212）

90%

90%

（234）

85%

Targets
90%
90%

Results
94%（1,293)

85%

*
（378）

2

89%

90%

91%

*3

89%
100%

Overseas*1

80%

88%

80%

87%

-

Japan

100%

100%

100%

100%

100%

*1 Data for FYE2019 exclude GROHE Group and American Standard Brands, and data from FYE2020
exclude American Standard Brands.
*2 If we exclude LWT Asia from the scope, which we have started to cover in the survey by stages in
FYE2021, the result goes up to 92% (336 companies). Going forward, we will seek to improve thecoverage ratio at LWT Asia.
*3 Not fixed yet as the scope is now under reconsideration.

LIXIL Corporate Responsibility Report 2021

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Contents

07
CUSTOMERS &SUPPLY CHAIN
Responsible Supply Chain
Management
Product Safety & Quality
Customer Satisfaction

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Strengthening Support to SuppliersWorldwide
LIXIL provides training for procurement staff at factories

We receive regular reports from Chinese factories that

Follow-Up Activities with Japanese Suppliers

outside Japan as part of efforts to deepen understanding ofexperienced onsite training in FYE2019 about their follow-up

responsible procurement and support suppliers. We are also

activities with suppliers, and we are seeing more examples of

We follow up with suppliers in Japan through onsite visits

strengthening the support we offer to suppliers in Japan,

where those activities have led to concrete improvements inand online interviews.

mainly from the head office procurement department.

safety, disaster risk reduction, and other measures. We plan

Employee Education at Overseas Factories

We share with them information on issues and risks

to further strengthen these follow-up activities and introduce

uncovered through our responsible procurement survey. We also

them in other regions as well.

support them with their own corporate responsibility initiatives,
such as by providing guidance on information disclosure andcommunication related to community development.

In FYE2019, we conducted training for procurement

An employee from headquarters procurement department,

departments at our factories in China. Lectures led bymembers of the head office procurement department

which is in charge of follow-up activities inside and outside

provided information on the importance of responsible

Japan, said, “Responsible procurement initiatives are the firstprocurement and related social trends, enhancing thestep toward strengthening compliance. We take the long view by

understanding of the company’s challenges under ouremphasizing the significant upsides of responsible procurement

Procurement Principles. In addition to that, personnel fromto suppliers and getting to know the suppliers as closely as

local and head office procurement departments jointly

possible so that we can extend any necessary support.”

visited supplier factories to provide on-the-job training
and assist with aspects requiring improvement. Local

Chinese factory team that provides supplier support

staff commented on how the experience reinforced theirunderstanding of the importance of CR, and inspired themto utilize insights gained through the training to help their
suppliers with improvement activities.

Overseas Factories Provide Follow-Up to Suppliers
The procurement departments at factories outside Japan
where the above training took place make their own plans
and conduct their own independent follow-up activities suchas supplier visits and support.

Suppliers working to strengthen safety and disaster risk reduction

LIXIL Corporate Responsibility Report 2021

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Contents

07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Product Safety & Quality
Customer Satisfaction

Environment

Customers & Supply Chain

Society

PRODUCT SAFETY & QUALITY
We are committed to maintaining and strengthening ties with our customers by ensuring superior quality in manufacturing and services, and consistently improving our productquality management systems with the aim of eradicating serious product-related accidents.

Our Approach
LIXIL firmly believes that product quality is the key to earning the trust of our

Responsible Supply Chain
Management

Our People

customers and society. To ensure that this belief is shared among all employees, wehave published LIXIL Quality Principles in 14 languages and are continuously pursuing
excellence in product manufacturing and services around the world. Serious productrelated problems make customers anxious and adversely affect our reputation. That is
why we pursue product quality management initiatives such as confirming legislativecompliance based on the LIXIL Product Safety Principles.
We will continue to enhance our product quality management systems, and work toensure our customers know how to use products safely.
PDF

LIXIL Quality Principles (166KB)PDF

LIXIL Product Safety Principles (40KB)

Our System
LIXIL set up the Quality Assurance division in the Technology function, which reports
directly to the company president, and works to develop robust company-wide productquality management systems and resolve any quality-related issues. LIXIL International

Nurturing a Culture That Strives for Superior Quality Product Manufacturing
LIXIL works to build a culture that focuses on enhancing quality throughout the year.
We measure the level of awareness of quality via a survey of all group employees andwork to generate further improvements.

Promoting Internal Awareness through InformationSharing and Forums
We use inhouse social media platforms to post quality-related policies,
CEO messages, and case studies as part of our year-round awarenessraising activities. In FYE2021, we created the LIXIL Quality Journal
to help consistently raise awareness on quality-related topics. The
journal highlights factory initiatives aimed at encouraging workers toshare product-related issues they notice in their work and stories ofdepartments that have used their mistakes to make improvements.
Our Product Quality Forum held each November rewards outstanding
improvement-focused activities chosen from among LIXIL groupcompanies worldwide. In FYE2021, the forum was conducted online
for a worldwide audience and attracted approximately 2,200 viewers.

oversees product quality outside Japan, with product-specific COOs managing productquality directly.
We have integrated important functions of development, manufacturing, and sales
into two of our technology businesses, and strive to achieve ultimate quality in eachbusiness operation. The Quality Assurance division of each technology business works
to guarantee the quality of products and resolve any quality-related issues. In addition,
our sales and services team in Japan manages individual quality management systems
as a functional department in the pursuit of quality customer service.
The company-wide quality management conference, which conducts regular

All-Employee Awareness Survey and Action Plan
Favorable

We conduct quality awareness surveys of all employees
working at the group companies in Japan in order toraise awareness of product quality and promote qualityenhancing initiatives. We then formulate an action plan foreach department based on the survey results. Thanks toprogress made in each department, the overall survey score
for FYE2021 improved.

Not favorable

Favorable score

Items onqualityawarenessmanagement reviews, has been working to strengthen quality control by increasing thenumber of reviews conducted to once a quarter starting in FYE2021.

LIXIL Corporate Responsibility Report 2021

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Contents

07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Enhancing Quality across Entire Product
Lifecycle
To ensure customer safety, LIXIL is focused onenhancing quality across the full lifecycle of all products,

Responsible Supply Chain
Management

Strategic Pillars

Our People

Environment

better, readily understandable product explanations, including
experience-based showroom displays and online videos, in orderto ensure that customers select appropriate products. We also
have a customer service center to respond to queries.

Responding to Product Defects & Issues

from development through to design, procurement,
manufacturing, distribution, and after-sales support.

Product Safety & Quality

Design & Development

Customer Satisfaction

During the development stage, we aim to strengthen our ability
to pinpoint fresh customer value by introducing techniques suchas fault tree analysis (FTA), failure mode and effect analysis(FMEA), and design review based on failure mode (DRBFM),
which are used globally to assess risks that may arise whenusing products.
Furthermore, to help conserve our environment, we areworking to expand sales of environment-conscious products,
and are actively developing our future environmental strategy
vision. We are also developing frameworks to ensure accurate
recognition of and compliance with local and internationallaws and regulations as we continue to pursue collaborative
development projects around the world.

Materials & Parts Procurement
We set quality standards to which our business partners must
adhere. We also design joint activity themes to help resolve
quality-related issues whenever necessary.

Commercialization, Production & Sales
We only commercialize products that have undergone andpassed rigorous stress tests and quality checks for durability,
weather resistance, and other properties. Products that require
specific labeling to indicate conformance with safety and quality
standards are clearly marked in our catalogues and other sales
materials as meeting required criteria. We also strive to provide

Customers & Supply Chain

Society

Stage Gate System
In product development, LIXIL categorizes the various processes
from research and development to commercialization andmerchandising into “stages” and places “gates” between
transitions to subsequent stages. Under this system, we ensure

We have a system in place for incorporating customer opinions withregard to product-related accidents and defects. We thoroughly
investigate the cause of any problem via the system and implement
improvements, not only in product design, but across all processes
from manufacturing to retail distribution. In order to prevent
product defects and problems, the improvement process also
covers not only pursuing organizational management to ensure
improvements are fully integrated, but also developing governanceframeworks to promote better management.

evaluations are carried out and management decisions are
made properly. To raise the level of completion in design, quality,and production, the development, manufacturing, and sales
departments collaborate with each other at each stage of thedevelopment process. The criteria for gate evaluation are also
re-examined on an ongoing basis to promote the developmentof even higher-quality products.

Concept of Stage Gate System
Design & development• Reflecting customer opinions• Verification based on LIXIL safety standards
using the Stage Gate System

Materials &parts procurement• Quality terms-based procurement from our
suppliers• Joint improvement initiatives

Commercialization,
production & sales• Tests confirming fulfillment of quality
standards• Conformance indicators for sales materials

Customer opinion

Safety design

Project start approval

GATE 2Business plan approval

GATE 3

Final business plan approval

GATE 4Market launch &mass production approval

GATE 5

Review

Safety checks

Monitoring quality
information
Responding to productdefects & issues

GATE 1• Reflecting customer opinions byinvestigating problems and implementing
improvement frameworks* The above concept is developed into practical working solutions by our
individual business divisions and regions.

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07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Responding toSerious Product-Related Accidents

Product Safety & Quality

Number of Legal Infringements andSignificant Product-Related Accidents

within 24 hours of receiving notification, and sends an

Customers & Supply Chain

Environment

Society

FYE2019

FYE2020

FYE2021

Number of legal infringements

1

1

0

Number of serious product-related accidents

8

7

2

emergency notice to relevant departments. If an accident

Emergency Procedure for Responding to Accidents
Accident occurs

Customer
Informthat could have a serious impact occurs, the customer
to ensure a swift response. The center also cooperates
LIXIL

to relevant government authorities within 10 days of an
accident occurring as stipulated in Japan’s Consumer
Product Safety Act. We also seek to prevent a recurrence
by reflecting any lessons learned from accidents in product

Report major accidents
within 10 days

with other departments to formulate on-site responses
and thoroughly investigate accidents. We submit a report

Customer service center

Authorities

Cooperate

Initial guidanceFirst report

Relevant departments

Product quality department
Personnel handling initial information

InformSerious Product Accident Committee

Requestmeeting

Regulatory reporting personnel

Investigate & compile aneffective response

RequestreportReportdesign, and proactively developing technologies that help
ensure accident prevention and safety.

RespondDepartment receiving the initial information

service center reports it directly to senior management

Reportwithin24 hours

Customer Satisfaction

Our People

At LIXIL in Japan, whenever a product-related accident
occurs, the product quality department collects information

Responsible Supply Chain
Management

Strategic Pillars

ReportConsumer Affairs Agency

National Institute of Technology & Evaluation (NITE)

Regarding suspected legal infringements, our technology
or other relevant departments will ascertain if an infringement
has actually occurred, and submit a report to the authorities

Japan’s Electrical Appliance and Materials Safety Act forWEB

Product manuals (Japanese only)

concerned. We follow a similar process for suspected legal

employees working in specific technical areas. All sessions

WEB

How-to videos (Japanese only)

infringements as we do for product-related accidents, namely,

were held online, and particularly important ones were

we conduct a thorough investigation of the cause and implement

recorded so people can watch them later.

appropriate countermeasures to prevent a recurrence.

Product Safety Education

Offering Information on How to Use
Products Safely

Long-Term Guarantee to Facilitate Long,
Safe Customer Use
Today, houses are designed to last much longer than in the

LIXIL provides product safety training through its quality

LIXIL publishes product-specific instructions for all major

past. In recognition of these changing trends, LIXIL offers

education system. In FYE2021, we continued to conduct

products on the website to ensure safe product use, alonga maximum 10-year LIXIL Long-term Guarantee Service

product safety training for all technical-stream employeeswith videos illustrating how to look after and clean productsthat enables customers to use products safely over a longer

including new hires as well as offered training sessions on

to ensure appropriate use.

period of time.

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07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

External Awareness-Building Activities
Raising Consumer Safety Awareness

Safety Education Program:Think about Safety in the Home

We help consumers think of ways to prevent accidents at
Responsible Supply Chain
Management
Product Safety & Quality
Customer Satisfaction

As part of its product safety-related activities, LIXIL has

home by giving lectures at product safety seminars hosted bydeveloped a safety training program in cooperation with NPO

the National Federation of Regional Women’s Organizations

the Association of Corporation and Education (ACE) for fifth-and other consumer organizations, covering topics such as

and sixth-year elementary school students, and provided this

accidents in the bathroom or tripping over steps or falling

program free of charge to school teachers and educators.

down. We have given 56 such lectures to approximately 6,860

The program encourages children to learn about hidden

people to date. In FYE2021, we attracted approximately 100

dangers in the home, such as accidents in the bathroom orpeople even though we could hold only two seminars due

stumbling on the stairs, and to think about and implement

to the COVID-19 pandemic. We also set up online productways to prevent accidents. LIXIL employees also conductsafety seminars and on-site lessons at elementary schools inoutreach classes as part of the program. We have conductedcooperation with non-profit organizations.

172 program classes for approximately 5,170 participants
to date. In FYE2021, due to the COVID-19 pandemic,
we conducted only three classes at one school for 65
participants. The program won an Award of Excellence at the
9th Commendation
on Instructional
Materials for
Consumer
Education in 2014
conducted by the
National Instituteon Consumer
Education (NICE).
Product safety seminarWEB

Safety Education Program (Japanese only)CR

LIXIL’s Outreach Classes (P100)

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07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Product Safety & Quality
Customer Satisfaction

Our People

Customers & Supply Chain

Environment

Society

CUSTOMER SATISFACTION
We are constantly enhancing our products and services and promoting communication across the group to ensure continued and improved customer satisfaction.

Our Approach & System
To ensure that our customers enjoy all aspects

Responsible Supply Chain
Management

Strategic Pillarsof their living spaces, LIXIL seeks to maximize
customer satisfaction among both constructionrelated commercial customers and end
consumers. Developing and providing products

Improving Customer Safety in Times of Disaster
In Japan, LIXIL started to provide disaster-response information in recognition of the more frequent occurrence of
natural disasters and the rising number of related customer enquiries. We have also been working to strengthen our
support systems so that we can respond to customer enquiries even during a disaster.

and services that fulfill customer expectations
and communicating effectively with relevant
stakeholders are vital to improving customer
satisfaction. In Japan, our Marketing function
and Quality Assurance division work consistently
together to improve our products and services
based on customer feedback.

Communicating Key Points
for Disaster Response and Recovery
The damage to personal homes in times of disaster greatly
impacts the everyday lives of our customers. Our website offers
relevant information for each type of natural disaster, including
how to repair LIXIL products, to help customers get back on theirfeet as soon as possible and regain a sense of normality. We try
hard to ensure this information is widely available by regularly
providing disaster-related information through our LIXIL Owners
Club, as well as by posting it on our official social media accounts
when a disaster strikes.

Resilient Customer Support
through Cloud Solutions
During a disaster, we receive a higher number of emergency
inquiries from affected customers. However, it is difficult for ourcall centers to respond if they have also suffered damage. To
ensure we can continue to support our customers even in timesof disaster, we have moved our contact facility onto the cloud andincreased our number of satellite bases. This has enabled us tocreate a more decentralized call center network in order to makeour infrastructure more resilient, and establish a system that ismore responsive to customer concerns in times of disaster.
Product-specific disaster-response examples:• How to flush a toilet in times of suspended or restrictedwater supply• How to cope with a collapsed carport or terrace roof
• How to deal with broken window panes• How to prevent freezing in bathrooms and bathtubs
Types of disasters: earthquake, flood, power outage,
typhoon, water outage, heavy snowfall/freezingWEB ey points for responding to specific disasters
K(Japanese only)

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07
CUSTOMERS &SUPPLY CHAIN

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Product Safety & Quality
Customer Satisfaction

Customers & Supply Chain

Environment

Society

Implementing the Six Sigma Quality
Management Method
Collecting VOC* information(ensuring customers’ opinions are recorded)

LIXIL considers customer satisfaction a significant element of its
business activities. In order to listen attentively to the voices of ourCustomer Service Center
100,000 inquiries /mth

customers (VOC) and channel those opinions into creating better

End userproducts and services, we have introduced the Six Sigma system
Responsible Supply Chain
Management

Our People

pinpointing issues for improvement. Then, instead of making

VOC*
database

Products

Contractor
General Product Information
Support Center
40,000 inquiries /mthjudgements based on instinct and experience, we focus on facts
derived from numerical analyses to help control any variation in our
Outletwork and services, ultimately helping lead to quality improvements.
We have established a cross-functional team across the group ofServices
300,000 cases /mth

Showrooms* VOC: Voice of Customers

companies to promote the improvement initiatives.

LIXIL conducts satisfaction surveys of our commercial customers

CS improvement activities(making effective use of customers’ opinions)

Repair Center
150,000 inquiries /mth

in Japan. This system involves listening to customer opinions andReflecting Commercial Customer Opinions
in Our Products and Services

Analysis(visualization)

Improvement activities
WEB

Examples of service improvement through the VOC (Japanese only)

Professional User Satisfaction of Products
and Support Services

Customer Inquiries

in Japan. The surveys cover product quality and support. In（%）
90(Thousand)

(%)

500

100

80

400

80

response rate due to a shortage of human resources. As a result,

70

300

60

we decided to strengthen our online customer services by utilizing

60

200

40

AI chatbots, an automated artificial intelligence-driven tool.

50

100

20

FYE2021, the level of satisfaction was 79% for product quality
and 67.7% for support. While the number of inquiries increased
due to the COVID-19 pandemic, we had difficulty with our

We also collect approximately 300,000 comments from
customers each month through our customer service centerand product information support center. This data is stored inour database and analyzed to encourage relevant departments
to implement improvement measures. In addition, our customer

FYE2019

FYE2020

Satisfaction level for product quality
Satisfaction level for showroom services
Satisfaction level for services by sales reps

FYE202100
FYE2019

FYE2020

FYE2021

Response rate
Number of inquiries (monthly average)

Satisfaction level for after-sales maintenance
Satisfaction level for call center support* Inquiries: By phone, email or fax* Response rate: Number of responses / Total number of inquiries

service center sends a questionnaire to customers who haverecently contacted the center and conducts mystery shopping
surveys with the aim of enhancing customer satisfaction.

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07
CUSTOMERS &SUPPLY CHAIN
Responsible Supply Chain
Management
Product Safety & Quality
Customer Satisfaction

Commitment

Highlights

Management & Material Issues

Training: How to Improve Customer
Satisfaction

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

LIXIL Owners ClubWe hold practical construction-related training workshops for

In Japan, LIXIL has established a registration-based LIXIL

commercial customers on window sashes, doors, exteriors,

Owners Club that provides information and services to help

kitchens, and bathrooms with the aim of improving end

ensure easy, long-term, and safe use of purchased products.

consumer satisfaction. We also conduct regular training

In FYE2021, we started the MAKE A SPLASH! with LIXIL

for employees to improve their level of knowledge about

Owners Club initiative in which we commit to donating JP¥10

our overall work and products so that they can resolve

to the LIXIL-UNICEF MAKE A SPLASH! partnership for every

any problems customers face. Furthermore, we seek tocustomer who signs up for the LIXIL Owners Club.

boost employee motivation by offering awards for excellent
customer service skills.

Examples of available services:• Ability to extend guarantee period free of charge

Product training
Hands-on product knowledge training
using actual toilets• Long-term guarantee service (additional payment required
for a five or ten year guarantee)• Maintenance package (additional payment required)Construction training
Carport foundation construction trainingWEB

LIXIL Owners Club (Japanese only)

WEB

MAKE A SPLASH!

Recognition system
Award recipients of a regularly-held
customer service contest

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Contents

08
SOCIETY

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

SOCIETY
We uphold the human rights of all our stakeholders in our determined
drive to contribute to society through our business activities.

Human Rights
Stakeholder Engagement
Community

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08
SOCIETY
Human Rights

Commitment

Highlights

Management & Material Issues

Our People

Environment

Society

Customers & Supply Chain

Highlights

Stakeholder Engagement
TargetProactively engage with our key stakeholders.

LIXIL Community Day
participantsMeeting with investors

Stakeholder Engagement
Community

Strategic Pillars

298

6,000

(FYE2021)(Millions of yen)100

Approximately

times

Contributions and other expenditures

people

98.61
0

86.90
0

75
64.74
0

(FYE2021)

88.16

50

47.70
86.17

0

64.49

25

47.16
1.04
9.39*10

Numbers of LIXIL’ s outreach classes conducted and participants(Cumulative total)

FYE2018

0.73
0FYE2019

0.25
0FYE2020

0.54
0FYE2021

Recipients of contributions or expenditure
Lobbying, stakeholder representation, and similar activities

Classes conducted682

District, regional, and national political activities/candidates

Participants

Business associations, tax-deductible organizations (think tanks, etc.)
Other (expenditures relating to local and national referenda)

Approximately

times

25,000peopleincluding school children(Cumulative total since 2010, when we launched the program)* Data for Permasteelisa Group cover FYE2019 and FYE2020, and data for China and Asia
Pacific cover FYE2021.
*1 The significant increase in the total for FYE2018 is due to our business in the US being
engaged in consultations and services in regards to NAFTA and water regulation in
California (as indicated in the lobbying fees in FYE2018).
Please click the link below for more information on the scope of coverage and other details.

WEB

ESG data (Other)

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08
SOCIETY
Human Rights
Stakeholder Engagement

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

HUMAN RIGHTS
We are committed to operating as a sustainable, responsible corporate citizen that respects human rights.

Our Approach & Principles

principles that were approved by the Board of Executive
Officers. Particularly, we specified in more detail our

Based on our LIXIL Human Rights Principles, we strive

governance structure led by the executive officer overseeing

to uphold the human rights of all stakeholders, including

legal and compliance matters, LIXIL’s key human rights

customers, business partners including suppliers, residents

issues determined in FYE2021, and our human rights due

living near our factories and offices, and our employees.

diligence process as well as our concern-raising system andCommunity

overall commitment to reducing human rights risks based on

Human Rights Principles

those frameworks.

LIXIL business activities are built on a fundamental respect

Human Rights Principles Revision Process

for human rights. The LIXIL Human Rights Principles alignwith international standards, including the International Billof Human Rights, the International Labour Organization(ILO) Declaration on Fundamental Principles and Rights
at Work, the United Nations (UN) Guiding Principles on
Business and Human Rights, as well as being based on
the approach of the UN’s Children’s Rights and Business

Our Human Rights Due Diligence Task Force examinedthe elements that need to be included in our Human
Rights Principles based on global trends and international
standards such as the UN Guiding Principles on
Business and Human Rights, and any revisions inassessment criteria used by ESG-rating agencies.

principles among all officers and employees. If there are any
discrepancies between the internationally recognized humancountries or regions, we adhere to the higher commitment.
If any contradictions exist, we seek a way of respecting

Scope of application
Commitment to respect for human rights- Respect for the human rights of customers- Respect for human rights in the workplace- Respect for the human rights of business partners
Key human rights issues
Due diligence- Commitment- Assessment- Remediation- Reporting & disclosure- Engagement with stakeholders- Education
Governance
Review of principles

Principles. We seek to instill a solid understanding of therights standards and the laws and regulations of individual

LIXIL Human Rights Principles

PDF

LIXIL Human Rights Principles (99KB)

We formulated draft revised Human Rights Principles
that took into account LIXIL’s key human rights issues aswell as current human rights-related circumstances andchallenges.

internationally recognized human rights standards while
complying with local laws and regulations.
LIXIL will periodically review and evolve its Human Rights
Principles to continue to become a better protector ofhuman rights. In June 2021, we reviewed the principles
we had formulated in FYE2016 according to the process

The new principles were approved by the Board of
Executive Officers and signed by our CEO.

displayed on the right and subsequently submitted revised

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08
SOCIETY
Human Rights
Stakeholder Engagement
Community

Commitment

Highlights

Management & Material Issues

Other Principles

Strategic Pillars

Our People

Environment

Society

Customers & Supply Chain

Our System

LIXIL bases the formation of its corporate principles upon a

LIXIL established the Human Rights Due Diligence Task

fundamental commitment to uphold human rights.

Force in FYE2018, comprising members from a broad

member of the Human Rights Due Diligence Working Group

range of departments including Corporate Responsibilityof the Global Compact Network Japan.

PDF

LIXIL Code of Conduct (723KB)(CR), Human Resources, and Compliance, with the aim of

PDF

Group Charter of Corporate Behavior (99KB)

strengthening and ensuring strict adherence to our human

LIXIL has signed the UN Global Compact, and is a

PDF

LIXIL Occupational Health and Safety Principles (49KB)

rights due diligence process* as a company that operates

WEB

Personal Data Protection Principles

globally. In line with our Human Rights Principles revised in

PDF

LIXIL Procurement Principles (46KB)

June 2021, we set up a new governance structure led by the* Human rights due diligence: To put in place measures that identify,
prevent, reduce, or respond to any negative impact on human rights
caused by the activities of a company or its related companies, and to
regularly monitor their effectiveness.

executive officer in charge of legal and compliance matters
In our relationships with business partners including

who also oversees human rights issues. Going forward, we

suppliers, LIXIL respects human rights based on our

will extend the scope of this process to the entire group

Supplier Code of Conduct.

of companies and provide transparent reports on our
performance.

PDF

Supplier Code of Conduct (213KB)CR Management Structure

As of June, 2021

CR Committee
ReportHuman Rights Due Diligence Task Force

Human Resources
ReportLegal & Compliance
Comms/IR/EA/CR*

Decision-making body

Finance

LIXIL Board of Executive
Officers

Technology/Quality/Environment
R&D
Instruction& support

Technology Businesses

Instruction& support

LIXIL Water Technology representative
LIXIL Housing Technology representative

ReportAdministrative office:Corporate Responsibility office

Officers in chargeMarketing

Officer in charge:
the chief legal and compliance officer

Members:
Corporate Responsibility officeCompliance department
Risk Management department
Human Resources function
Quality Assurance division
Indirect Procurement · Procurement Management
department

Each base
Each department

Instruction& support* Communications/Investor Relations/External Affairs/Corporate Responsibility

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Contents

08
SOCIETY

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Our Human Rights Due Diligence Process

Customers & Supply Chain

Society

Commitment:
Human Rights Principles and Key Human Rights Issues

We seek to reduce human rights risks by analyzing and assessing potential risks using the following human rights due diligence
In addition to formulating our Human Rights Principles

process. Please refer to the following pages for details on each step in that process.

(P85), LIXIL has identified areas requiring focused action
Human Rights

to reduce potential human rights risks. By addressing these
key human rights issues, we aim to strengthen our human

Stakeholder Engagement
Community

rights due diligence. We will review these issues based on the

Human Rights Risk Management Process

results of regularly scheduled human rights risk assessments.

Progress So Far● FYE2016: Formulated Human Rights Principles● FYE2017:
Commitment

Assessment

Remediation

Reporting & disclosure• Our CR Committee (comprising executive officers
in charge of different head office functions andrepresentatives of each of our technology businesses)
mapped human rights risks with reference to international

Maintain a clear grasp of human rights
issues we face by communicatingwith stakeholders, and determine
our human rights principles and key
issues. Reflect human rights elements
in other corporate principles andpolicies.

human rights and labor standards guidelines.*1

Conduct human rights risk assessment

Pinpoint any human rights issues

across our operations and supply

within LIXIL based on the results ofRegularly disclose relevant information

chain, the results of which will be

our human rights risk assessment, andthrough our corporate responsibility

analyzed and evaluated by the Human

implement measures to reduce humanreport and website.

Rights Due Diligence Task Force.

rights-related risks.

• We invited the human rights NGO Business for Social
Responsibility (BSR)*2 to give a lecture on business andhuman rights. We then identified human rights risks
across LIXIL product lifecycles.

Concern-raising system

Engagement with stakeholders*1 Including International Bill of Human Rights, the ILO Declaration on
Fundamental Principles and Rights at Work, and the UN Guiding
Principles on Business and Human Rights.
*2 B
 SR: A global non-profit organization committed to developing
sustainable business strategies and solutions.

Conducting consistent human rights training

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Contents

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society08
SOCIETY● FYE2018:

LIXIL’s Key Human Rights Issues(5) Ensure occupational health and safety(1) Provide equal opportunity andprohibit discrimination

Providing employees, customers, visitors, business partners,

rights risk assessment across our head office functions.
● FYE2019–FYE2020:

Providing fair and equitable employment and otherWe investigated and scrutinized the impact of our business

opportunities irrespective of race, color, religion, national oron human rights based on the above results, LIXIL’s Code ofethnic origin, ancestry, age, disability, gender, pregnancy,

Conduct, and global human rights trends.

marital status, sexual orientation, gender identity or

Our Human Rights Due Diligence Task Force prepared a76-item survey sheet and conducted a test run of a human

Human Rights
Stakeholder Engagement
Community

and anyone else on our business premises with a safe andhygienic working environment that fulfills international,● FYE2021:

Providing a working environment that is free fromand prohibiting discrimination on these grounds.

discrimination, harassment and bullying of any kind, andany other offensive or disrespectful conduct.

(2) Prohibit forced and child labor

reducing potential human rights risks. These seven issues
were reported to and approved by the CR Committee, Board

Prohibiting forced labor, bonded labor and other forms ofof Directors, and Board of Executive Officers.

labor by restraint, indentured labor or prisoner labor, and● June 2021: Revised Human Rights Principles.

(6) Prohibit harassment

expression, political or personal belief, or union membership,
Our Human Rights Due Diligence Task Force identified
seven key issues (shown on the right) as focus areas fornational, and/or industry-defined standards.

(7) Legal, fair, and transparent acquisition anduse of personal datalabor procured through slavery or human trafficking. Child

Complying with laws and regulations, internal rules, andlabor is also prohibited.

relevant guidelines relating to personal information. Ensuringpersonal information is obtained fairly and lawfully and is(3) Respect freedom of association and collective
bargaining

stored and handled in such a way as to prevent improperacquisition, use, transfer, disclosure, or leakage.

Guaranteeing employee freedom of association andapproving the exercising of collective bargaining.

(4) Ensure decent wages and working hours
Paying wages that meet statutory standards, and prohibiting
exceeding the statutory maximum number of working hours.

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08
SOCIETY
Human Rights
Stakeholder Engagement
Community

Commitment

Highlights

Management & Material Issues

Assessment:
Specifying Human Rights Risks

Strategic Pillars

Environment

Society

Customers & Supply Chain

We are introducing several methods, centered primarily aroundhuman rights risks. We did not identify any items requiring

the investigations by our Human Rights Due Diligence Task

an urgent response in FYE2021, but we are working on

Force, to enable us to fully understand and address potential

improvements to help reduce potential future risks.

Assessment method for identifying humanrights risks (relevant department)

Human rights risk assessments(Human Rights Due Diligence Task Force)

Our People

LIXIL keyhuman rights
issuesAssessment overview• Mapped risks with reference to international human rights and labor standards guidelines,* and conducted a test run of a human rights
risk assessment at head office functions (FYE2018).
• Conducted a survey on the seven key human rights issues targeting 100% of staff at leader level or higher in departments that are closely
linked to the key human rights issues (FYE2021).
• Building on the above survey results, we will conduct a human rights risk assessment for all employees (scheduled for FYE2022).
We are taking measures to reduce any potential human rights risks highlighted by the survey.

Assessment’s major
target stakeholders(1)-(7)

Employees* Including International Bill of Human Rights, ILO Declaration on Fundamental Principles and Rights at Work, and the UN Guiding Principles
on Business and Human Rights.

Occupational safety audit(Quality Assurance division)

We conduct an annual occupational safety audit of Japanese bases through checklists, questionnaires, and onsite visits to confirm
compliance status primarily with laws and regulations relating to the key human rights issues. We audited 67 Japan bases in FYE2021.
We are working on any necessary responses based on the audit results, and holding information-sharing meetings between LIXIL Housing
Technology (LHT) Japan and LIXIL Water Technology (LWT) Japan.

(2)(4)(5)

Employees, foreignnational technicalapprentices in Japan

LIXIL VOICE employee opinion surveys
and D&I awareness surveys(Human Resources function)

We conduct the LIXIL VOICE employee opinion survey of all global employees on a quarterly basis. We use the survey results to identify
issues early on, formulate prompt improvement measures in each function, and reflect the findings into our global strategies and initiatives.
In FYE2021, we also conducted our first D&I awareness survey, the results of which are being reflected into our D&I Strategy and initiatives.
We will continue to conduct such surveys on a regular basis.

(1)(4)(5)(6)

Employees, women(1)(2)(7)

Local communities,
customers, business
partners(1)-(7)

Business partners
including suppliersCR
Community dialogue(Corporate Responsibility office)CR

D&I Awareness Survey (P41)

We have held more than 130 community dialogues with local stakeholders over the past nine years at Japan-based factories and sales andretail locations. Community briefings are one way we continue to promote dialogue to better understand human rights and other risks.

CR
Responsible procurement surveys(Indirect Procurement · Procurement
Management department)

Employee Opinion Surveys (P47)

Local Community Engagement: Key Stakeholders (P93)

We confirm the status of human rights-related initiatives by asking our suppliers to complete a questionnaire.
The surveys not only consider human rights issues, but also cover areas of CSR management, fair business, labor, occupational health andsafety, conservation of the global environment, and contribution to the communiy.

CR

Conducting and Following Up on Responsible Procurement Survey (P74)

Other relevant activity: Group enterprise risk management (ERM)

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08

Commitment

Highlights

Management & Material Issues

Remediation:
Measures to Reduce Human Rights Risks

SOCIETY

Strategic Pillars

Our People

Environment

In FYE2021, we conducted a human rights risk assessment that

Customers & Supply Chain

Society

Education

targeted all staff at leader level or higher in departments that areclosely linked to our key human rights issues. Although we received• Compliance education and training for all employees

very few negative or “Not sure” responses, we are taking the• Information security awareness education for all employees

following measures to address issues highlighted by the assessment.

• Convey human rights-related information on internal social
media that all employees can access

Human Rights
Stakeholder Engagement
Community

PeriodJuly–September 2020

Targets andconditions

All staff at leader level or higher who work in departments closely linked to our key human rights issues and who can provide global
support (100% response rate)

MethodSurvey using human rights risk questionnaire

Survey items

43 items related to our seven key human rights issues*1

Main results andmeasures taken

1. Results• While there were very few negative responses,*2 some responses raised issues related to key human rights issue No.1: Provide
equal opportunity and prohibit discrimination.
• While there were few “Not sure” responses,*3 the results indicated that we need to obtain more information on key human rights
issues No.2: Prohibit forced and child labor and No.3: Respect freedom of association and collective bargaining.
2. Measures(1) Number of bases that have proposed risk-reduction plans: All global bases, including those in Japan (We expect to know thespecific number of bases after conducting a human rights risk assessment for all employees by FYE2022).
(2) Response plan:• We are working to reduce risks with regard to key human rights issue No.1 (Provide equal opportunity and prohibit discrimination),
which returned some negative responses in the assessment. Measures include the creation of a D&I Committee in FYE2021,
staffed by our CEO and executive officers; the formulation of our D&I Strategy and the promotion of initiatives based directly on thestrategy; and the conducting of a D&I-specific employee awareness surveys.
• With regard to issues No.2 (Prohibit forced and child labor) and No.3 (Respect freedom of association and collective bargaining),
which returned some “Not sure” responses in the assessment, we will ask more-detailed questions in the human rights risk
assessment for all employees that we plan to conduct in FYE2022 so we can gain a more thorough grasp of the situation.
(3) Specific processes for reducing human rights risks:• We conducted a human rights risk assessment for all staff at leader level or higher who work in departments closely linked to our
key human rights issues and who can provide global support. We are now responding to negative and “Not sure” answers.
• We will conduct a human rights risk assessment for all employees and gain a more specific understanding of the number of bases
and risks to include in our human rights risk reduction plans.
• We will take measures to reduce human rights risks at the identified locations.

Results
reporting

We reported the assessment results to the CR Committee and obtained approval of our plans for conducting the next human rights
risk assessment.

• Hold seminars in the CR Committee run by human rights
NGO BSR

Preventing Human Rights Violations at Factories,
Bases, and Business Partners including Suppliers• Correct problems discovered during occupational safety audits• Respond to opinions voiced through community dialogues(reduction of noise, improvement of factory working
environments, etc.)• Confirm status of human rights initiatives throughresponsible procurement surveys*1 (1) Provide equal opportunity and prohibit discrimination; (2) Prohibit forced and child labor; (3) Respect freedom of association and collective bargaining; (4) Ensure decent
wages and working hours; (5) Ensure occupational health and safety; (6) Prohibit harassment; (7) Legal, fair, and transparent acquisition and use of personal data.
*2 When respondents selected “Disagree” or “Strongly disagree” from the available options.
*3 When respondents selected “In charge but not sure although there is a system for identification,” “In charge but not sure because there is no system for
identification,” or “Not in charge (with comment).”

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08

Commitment

Highlights

Management & Material Issues

Concern-Raising System

Strategic Pillars

Our People

Environment

sex partners as spouses and create a comfortable working
environment for all and apply certain human resource systems.

SOCIETY
Human Rights
Stakeholder Engagement
Community

Customers & Supply Chain

Society

Future Plans

employees, including those at subsidiaries outside Japanor condolence events, arranging times and locations for

Human Rights Risk Assessment and Initiatives to
Reduce Risk

We receive concerns through LIXIL Compliance Hotline –undergoing health checks, and recognizing employees’

We will conduct human rights risk assessments as detailed

Speak Up!, which is available online in 17 languages. In

preferences for either male or female uniforms (if factories that

below, pinpointing issues that require addressing to reduce

Japan, we also have a direct reporting process for voicing

allocate uniforms have the appropriate toilet and changing

potential risks, and take action.

concerns to managers and compliance officers as well as an

facilities). We also launched WING NIJI office, where we provide

option to report concerns via a third-party law firm.

support for workers with disabilities and create a comfortable

FYE2022:

working environment for all regardless of ability or disability.

• Implement measures to reduce risks, including initiatives• Concern-raising system that is available to all group

This includes providing leaves and payments for congratulatory

in line with our D&I Strategy, based on the results of theWEB    Concern-Raising System• Receive reports from external stakeholders such as businessCR

Three Strategic Pillars: Diversity & Inclusion (P34)

FYE2021 human rights risk assessment for all staff at

CR

Diversity & Equal Opportunity (P41)

leader level or higher who work in departments closely

partners including suppliers

linked to our key human rights issues.

We receive reports from around the world via the LIXIL• Occupational safety

Compliance Hotline – Speak Up! In addition, in Japan, we

We ensure appropriate management of working hours. We also

have established a contact point via an external law firm.

support the promotion of good health, encourage teleworking• Conduct a human rights risk assessment for all employees.

Re-Examining Key Human Rights Issues

and implement flexible shift systems in response to infectious
WEB    Receiving Compliance Information from Business Partners

disease outbreaks, and strengthen hygiene management.

FYE2023:
After conducting the above-mentioned assessments, we will

Promoting Respect for Human Rights in the WorkplaceCR

Occupational Health & Safety (P52)re-examine the validity of the key human rights issues, taking

CR

Combatting COVID-19, Forging the New Normal (P16)

into account the type, scale, and impact of potential human• Create workplaces that uphold diversity
We promote equal opportunities for women and men
through next-generation management development

rights risks.

Advocacy and Community Support for Upholding
Human Rights

programs and other initiatives designed to support theInternal and External Information Sharing and
Dialogue

careers of diverse human resources. We are also expanding• Support UNICEF’s Children’s Rights in Sport Principles

systems that support working styles that can be tailored to• Became the first Japanese company to announce support for

We inform and pursue dialogue with employees and otheraccommodate different life-stage responsibilities, such as

the American Chamber of Commerce in Japan’s proposal to

stakeholders about key human rights issues and related

recognize the right of sexual minority couples to marry

topics that LIXIL is working to address. In FYE2022, we plan

• Donate SATO Toilet Solutions for developing economies toto have dialogues with external stakeholders who specialize

childcare and nursing care.
In addition, we have a network of allies among staff who
understand and support sexual minorities. We view same-refugee camps

in human rights.

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SOCIETY

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

STAKEHOLDER ENGAGEMENT
LIXIL proactively engages with stakeholders to help improve the quality of people’s daily lives and resolve social issues.

Our Approach
LIXIL’s success depends on the support of a

Human Rights
Stakeholder Engagement
Community

broad range of stakeholders. We are committed
to proactively engaging in dialogue with all of ourCustomers

stakeholders, including customers, business partners,

Employees

members of the communities where our operational
facilities are located, shareholders and investors,
and our employees and their families, to collect andreflect their opinions in our business operations andBusiness
partners

NPOs & NGOs

corporate social responsibility activities.

Our System
LIXIL’s Corporate Responsibility (CR) Committee
consists of the executive officers in chargeof each head office functional division and

Educational&
research
institutions

Local
communities

representatives from each technology business.
The committee deliberates on the impacts upon
different stakeholders as well as on our community
development for and cooperation with stakeholders
as it promotes sustainability initiatives. Our
business divisions also respond to and partner with

Shareholders& investors

Government
authorities

a diverse range of stakeholders.

Internationalorganizations

Industrial
associations

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08
SOCIETY
Human Rights
Stakeholder Engagement

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Key Stakeholder Engagement
Customers

CR

Details (P80)

We incorporate customer opinions and provide timely
and appropriate disclosure on our products and services.
We offer customer support via telephone, email, 116
showrooms worldwide, and online showrooms.

Community

SuppliersCR

Details (P73)

We build and maintain strong relationships with our
suppliers by facilitating two-way communication. Basedon the results of our responsible procurement surveys,
we share our Procurement Principles, recognize
current circumstances, and follow through on promised
improvements. We also hold regular meetings with
suppliers to share information on regulatory trends andnew procurement strategies.

Local Communities

CR

Details (P97)

LIXIL operates 80 factories worldwide. As a responsible
corporate citizen, in addition to respecting local culturesand customs and creating responsible products and jobs,
we also contribute to the development of the communities
in which we operate. We hold community dialogues
at factories and sales bases in Japan to encouragecommunication with local residents. LIXIL employees alsoteach classes on social issues such as sanitation and theenvironment at local schools.

Shareholders and Investors

WEB

Details

We held 298 discussions this year with investors aroundthe world to help promote sustainable growth andenhance corporate value. In April 2021, we held an
online ESG briefing for investors, where we explained
our strategies to sustainably enhance our corporate
value, including our Value Creation Process, Corporate
Responsibility (CR) Strategy, and governance structure,
as well as answered to questions from the audience.
We disclose timely and transparent information in
English and Japanese through our Integrated Report,
our investor relations web pages, and the Tokyo Stock
Exchange website.

Employees

CR

Government Authorities and Industrial
Associations
Engaging in vigorous and transparent dialogue withgovernment authorities is necessary to shape asustainable society. As part of this process, we are
involved in several industrial and business associations
whose missions include engaging with public authorities
on behalf of their respective industries, including
window sashes, plumbing, and metals. Participatingin these associations helps keep us up-to-date withcurrent and pending changes in laws and international
agreements that may affect our business.

Details (P39)

LIXIL boasts approximately 55,000 employees. We strive tocreate an inspiring working environment that encourages
diversity and incorporates employee opinions expressed
through regular global employee opinion surveys or
discussions between the union and the company.

NPOs, NGOs, and Educational andResearch Institutions
We partner with non-profit organizations (NPOs), nongovernmental organizations (NGOs), and educational andresearch institutions to facilitate research and development
related to global sanitation, and support education forsustainable development (ESD) for the next generation.

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SOCIETY

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Stakeholder Cooperation in Our Three
Strategic Pillars● Global Sanitation & Hygiene

MAKE A SPLASH!
Human Rights
Stakeholder Engagement
Community

Through its MAKE A SPLASH! partnership with UNICEF, LIXIL
helps to establish markets for hygiene-related goods such as
toilets and handwashing products and to improve the overall
sanitation environment in emerging markets. MAKE A SPLASH!
activities are supported by end users, building contractors andTeam members participating in the mymizu Challenge

other professional users, and LIXIL employees.
In 2017 and 2018, we held the Toilets for All Project, inWEBmymizu Challenge

which we agreed to donate one SATO toilet to a country in
Asia or Africa for each integrated shower toilet purchasedChildren with the donated SATO toilets

by a customer in Japan. We donated 400,000 SATO toilets● Water Conservation & Environmental Sustainability

Reducing Marine Plastic Pollution

WEB

MAKE A SPLASH!

of the sales of integrated shower toilets through the MAKE ACR

LIXIL Owner’s Club（P82）

To help reduce the amount of plastic in our oceans, LIXIL has

SPLASH! partnership. Approximately JP¥26 million in donationsWEB

GROHE donation campaign (Dutch only)

been developing water purification products and working toto UNICEF has been used to build the infrastructure to help

● Water Conservation & Environmental Sustainability

reduce plastic use in product manufacturing and packaging.

install safe and sanitary toilets and to raise awareness of hygiene

mymizu Challenge to Reduce Plastic Bottles

We have also been supporting the NGO everwave, a team ofduring those first two years. In 2019, we donated a portion

issues in local communities.
In another MAKE A SPLASH! initiative, we donate JP¥10

natural scientists, architects, engineers, and marine biologists
In October 2020, we accepted the mymizu (my water)

who come together to devise ways of improving marine plastic

every time a customer signs up for our LIXIL Owners Club free

Challenge to reduce single-use plastics in cooperation withcollection. Since roughly 80% of marine plastic flows into themembership service. Our employees in Japan, meanwhile, haveSocial Innovation Japan, an incubator platform for social action.

ocean from rivers, everwave is developing a floating platform

made approximately 3,500 donations totaling JP¥17 million

Over 2,600 employees worldwide teamed up and competed

designed to collect plastic particles in the rivers. Apart fromthrough our Team Splash program, which automatically deducts

to see how many single-use plastic bottles they could reduce

this, they already use the so-called CollectiX garbage collection

the donations from their salaries. In 2020, LIXIL donatedby using their own reusable bottles and cups. The result was aboats which locate and collect garbage in lakes or rivers. Afterapproximately €140,000 through a campaign for GROHE

resounding reduction of approximately 34,000 plastic bottles insuccessful tests, the CollectiX boat was used for the first time inshowers in the Netherlands and Belgium.

one month.

the Hron River in Slovakia in FYE2021.
WEB

everwave

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SOCIETY
Human Rights
Stakeholder Engagement
Community

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment● Water Conservation & Environmental Sustainability

from sales of thermal windows and other eco-friendly products that

THINK HEAT:

help reduce CO2 emissions. In 2019, we donated shades to fiveLet’s THINK about Eco- and People-Friendly Temperatures

childcare centers in Kyushu, helping to reduce CO2 emissions by

Customers & Supply Chain

SocietyWEB

Minister of the Environment Award for Climate Change
Action (Japanese only)CR

LIXIL’s Outreach Classes（P100）

508 metric tons, equivalent to the annual CO2 emissions of 112
THINK HEAT is a collection of initiatives in which we consider withhouseholds. Since November 2020, we have been promoting similar

stakeholders the importance of indoor temperature, which can cause

initiatives in the Kita-Kanto area.

AI Hackathon for Students

heatstroke or heat shock, and the efficient use of heaters and air

We also visit elementary schools to give lessons on the theme

In FYE2021, LIXIL organized an AI hackathon for students asconditioners, which account for approximately 28% of householdof Healthy Living and Good for the Environment and have reachedpart of an internship program designed to develop and recruit

energy consumption. Our aim here is to help promote climate

2,920 children in 40 schools so far. We work with local businesshuman resources with strong digital skills.

change mitigation and adaptation.

partners on experiment- and experience-based classes focusing

Thirteen students proposed ideas on experimental design ofIn one such initiative, the Cool de Peace Project, we workon thermal insulation, ventilation, and other ideas for creating

new technology solutions to housing-related issues using closedwith local authorities to build awareness of how to prevent indoor

living environments that can help achieve both good health anddata collected by the LIXIL U2-Home II* research facility.

heatstroke and install sunshade protection. In addition to holding aenvironmental conservation.

Several new viewpoints and ideas emerged from the event. The

seminar in 2018 on how to prevent indoor heatstroke in Kumagaya

THINK HEAT was awarded a 2020 Japanese Minister of thehighest-ranking ideas included a system that uses a CO2 sensor to

City, Saitama, we also worked on some verification testing in houses

Environment Award for Climate Change Action in recognition of thedetect human movement to prevent bathtub drownings; a time-of-of test volunteers and uninhabited houses equipped with external

initiative’s remarkable efforts to mitigate and adapt to climate change.

flight (ToF) sensor system to detect the sudden onset of illness; and a

Style Shade sun blinds in 2019. Based on the test results, theworkplace that facilitates stronger concentration. After the hackathon,city launched in April 2020 a new subsidy for erecting external

the top performers visited the U2-Home II facility and took part in a panel

sunshades on residential buildings, which is contributing todiscussion with employees involved in digital and new business fields.

heatstroke prevention in the city.

* A house that has been transformed into an IoT smart-home researchfacility. The facility uses 250 sensors that measure elements such astemperature, humidity, and human motion to collect data on residents’behavior, consumption of utilities, and other factors, and serves as thevenue for various demonstration experiments.

Also in 2020, we conducted a collaborative experiment at Fuji
City Iwamatsu-kita Elementary School in Shizuoka designed to
improve classroom environments in summer during the COVID-19
pandemic. We installed Style Shades in the classroom, and thestudents measured, discussed, and presented their findings on
the effects of the shades, examining with LIXIL how to balanceheatstroke prevention with ventilation. The project not only
successfully improved the classroom environment but also provided
an opportunity for independent environmental study.
Our ECO Sharing through Windows Project working with local
customers, governments, and business partners donates sunshades
to public childcare centers funded by a portion of the revenue earned

Students discussing the Style Shade sun blinds installed in their classroom (Iwamatsukita Elementary School)

WEB


THINK
HEAT: Let’s THINK about Eco- and People-Friendly
Temperatures (Japanese only)

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Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment● Diversity & Inclusion

Survey on Public Toilet Use by

Universal Run: Sports Prosthesis Experience ClassChildren with Intellectual or
Developmental Disabilities in

SOCIETY

The Universal Run: Sports Prosthesis Experience Class aims to

conjunction with the Foundation

promote understanding of diversity. With support from athletes

for Yokohama Rehabilitation

who use prosthetic limbs for running, we seek to change theServices to better understand

Human Rights

way children perceive people with disabilities by giving them

the needs of children with developmental disabilities and their

Stakeholder Engagement

the opportunity to talk with athletes and experience what it

caregivers. We are now investigating the potential creation offeels like to run with a prosthetic limb. Due to the COVID-19

unisex “spacious toilets” that consider odor, sound, and light.

Community

pandemic, in FYE2021 we held the classes online in accordance

Based on these surveys, we installed a new universal toilet

with the New School Lifestyle presented by Japan’s Ministry ofmodel in the LIXIL Tokyo headquarters. The toilet facility enables

Education, Culture, Sports, Science and Technology. The classes

people to freely select which cubicle they want to use, unfetteredare conducted in

by distinctions such as male, female, adult, child, or person with orcooperation with local

without disabilities.

schools, governments,and employees. So far,
16,998 children from
238 schools have taken

PDF

Study Group on All-Gender Use of Office Toilets survey
results (Japanese only) (1.9MB)

PDF

 act-Finding Survey on Public Toilet Use by Children withFIntellectual and Developmental Disabilities (Japanese only)(1.2MB)part in the experience.
CR
WEB

U
 niversal Run: Sports Prosthesis Experience Class(Japanese only)● Diversity & Inclusion

Diversity & Inclusion (P34）● Diversity & Inclusion

Barrier-Free Mobile Toilet

Creating Accessible Toilets for All
LIXIL has developed an accessible Mobile Toilet in partnership with
We conduct surveys on toilet use together with universities, NPOs,

Toyota Motor Corporation. The toilet vehicle is towable so it can be

and companies in order to help realize a society which offers toilets

installed at event venues where multifunctional toilets are scarce.

that all people can feel comfortable and safe when using.

This could help expand the range of venues and events that

Through our Study Group on All-Gender Use of Office Toilets,

awareness of transgender issues in the office and identified aCR

Accessible Mobile Toilet (P37）

Society

Cooperating with Various Organizations
UNICEF

Promoting the distribution of toilets and handwashing facilities
and raising sanitation awareness in Asia and Africa.
WEB

Japan
International
Cooperation
Agency (JICA)

WaterAid

Toilet Board
Coalition

NPO
NijiiroDiversity

Board of
Education,
Tanabe City,
Wakayama
Ikaga
Laboratory,
Keio
University

Partnership with UNICEF

Promoting the use of water-saving Micro Flush Toilet
System in Kenya, and raising awareness of hygiene habits
in India.
Improving the lives of people in areas without hygienic
toilets. Prepared a white paper analyzing socioeconomic
losses associated with poor sanitation.
PDF

The white paper (10.2MB)

Developing sustainable, scalable sanitation solutions.
WEB

Toilet Board Coalition

Conducted awareness surveys to identify issues LGBTand other sexual/gender minorities encounter when using
public toilets.
WEB

Activities with the NPO (Japanese only)

Held toilet-related disaster preparedness classes to train
volunteers to help manage regional disaster preparedness.
PDF

Toilet-related disaster preparedness classes(Japanese only) (2.5MB)

Conducted verification testing of the effect of thermal insulationon the human body.
PDF

About the test (Japanese only) (1.9MB)

Japanese
Red CrossKumamoto
Hospital and
GK Sekkei Inc.

Jointly studying the potential impact of our mobile
bathroom product withCUBE on healthcare and disaster
response facilities.
PDF
About the joint study (Japanese only) (842KB)

Comany Inc.

Jointly developed building information models (BIM) for
public restrooms.
PDF

wheelchair users can visit.

launched in partnership with Kanazawa University and Comany
Inc., we investigated toilet use by transgender people and general

Customers & Supply Chain

TamuraSangyo Co.,
Ltd.

About the joint study (Japanese only) (873K)

Opened a renovated house in Fukushima that incorporates
the ideas of ZEH, IoT, and resilience.
PDF

About the project (Japanese only) (718KB)

need for more diverse toilets. We also conducted a Fact-Finding

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SOCIETY
Human Rights
Stakeholder Engagement
Community

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

COMMUNITY
As a corporate citizen, we are working on various activities to help solve community-specific problems.

Our Approach & System
LIXIL focuses on making a positive social impact

LIXIL Community Day

in priority areas including Global Sanitation &Our LIXIL Community Day is a day when executives and employees from all workplaces and regions

Hygiene, Water Conservation & Environmental

around the world take part in corporate citizenship activities relating to our three strategic pillars during

Sustainability, and Diversity & Inclusion, as well

working hours. In FYE2021, approximately 6,000 people took part in 87 Community Day activities,

as in areas where our expertise can make theincluding community cleaning, outreach classes, and donations of sanitary products as part of our efforts

biggest difference. When making donation andto combat COVID-19. Outstanding initiatives were recognized through the LIXIL Community Day Awards.

sponsorship decisions, we hold careful discussions

In FYE2021, we set up the New Normal category to recognize COVID-19 assistance work.

about the purpose, use, and potential benefits ofWEB

Canal cleaning in MilanLIXIL Community Day (Japanese only)

our assets to ensure they have appropriate andeffective social impacts.

● Global Sanitation & Hygiene
MAKE A SPLASH! fundraising, events, and other support activities

Community Development Expenditures

Global (primarily in Europe and Asia)● Water Conservation & Environmental Sustainability(Million Yen)

Reducing plastic bottle usage by 34,000 bottles in a month throughthe mymizu (my water) Challenge

FYE2019

FYE2020

FYE2021

81.2

70.7

54.2

● Diversity & Inclusion

Community
investments

1,147.8

1,161.0

910.6

Producing and providing a podcast for children in need

Commercial
initiatives

510.0

520.0

520.0

Charitable
donations* Data for Permasteelisa Group cover FYE2019 and FYE2020,and data for China and Asia Pacific cover FYE2021.
* Overall community development expenditures decreased dueto the COVID-19 pandemic.
* Categorization is based on the London Benchmarking
Group’s Guidance Manual.

Team of 2,600 employees worldwide

Italy● Let’s Do It Together (cross-functional collaboration)
An iwashhand awareness-building and fund-raising campaign toencourage correct handwashing habits

China● New Normal (COVID-19 assistance)
Creating and donating LIXIL Shields 3D-printed face masks

US

Producing and donating foot pumps and cleaning cloths for disinfection

Japan

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SOCIETY

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Stakeholder Engagement
Community

Society

Initiative Examples
Providing Safe Sanitation for Communities in NeedDistributing Face Shields to Frontline Workers
amid the Pandemic

employees donated food and sanitary and hygiene products.
Over 71,000 shields have been donated throughout thisprogram.

LIXIL is committed to helping ensure a safe and sanitary
Human Rights

Customers & Supply Chain

environment for communities in urgent need, including

Amid the COVID-19 pandemic, LIXIL is seeking to help

disaster areas, through teaching of plumbing skills andkeep local communities safe by donating much-needed

donation of SATO Toilet Solutions, a series of innovative, life-

face shields to healthcare workers and other frontline

saving, and affordable toilet solutions.

professionals in regions where we operate.

Solving Sanitation Problems in Nearby Communities
LIXIL Americas is engaged in tackling sanitation problems

Inadequate or damaged facilities and insufficient human

In March 2020, a group of engineers at LIXIL Americas

within the US. We donate LIXIL products to NGOs that

resources in disaster areas exacerbate already poor sanitary

launched a grassroots initiative to produce and distribute faceprovide accommodation for poverty-stricken families andconditions and the spread of disease. The Caribbean island

shields to first responders. They repurposed the 3D printersveterans with disabilities. Teaming up with universities andof Haiti, the poorest nation in the western hemisphere,

at its R&D facility in New Jersey, and ramped up production

public agencies, we also worked to raise public awarenesswitnessed a further deterioration in its already insufficientand assembly of shields to make approximately 120 shields

of sanitation problems among residents of Lowndes County,

sanitary environment following the 2010 earthquake. LIXIL

per week. LIXIL expanded this activity in July by teaming

Alabama, where 80% of homes are not connected to theengineers worked with Plumbers without Borders (PWB)

up with the Jersey City Rapid Maker Response Grouppublic sewage system. Going forward, we plan to explore theto teach students at Haiti Tec, a technical and professional(JCRMRG), a volunteer group formed in 2020 that creates

possibility of establishing local sewage treatment, and use

training center, plumbing skills and how to improve hygiene. In

hospital-approved face shields. The partnership enabled us

our products to improve the facilities of 300 households.

addition, the company donated 7,900 SATO products to towns

to distribute an additional 50,000 shields throughout the US,

Meanwhile, we offered educational sessions at schools inand villages in Haiti and surrounding countries with the help of

Canada, and Mexico. In

Indonesia, Taiwan, and Vietnam to raise children’s awarenessnon-governmental organizations (NGOs) like PWB and Food

October of the same year,of sanitation and hygiene issues, including the importancefor the Poor. SATO toilets were also delivered to survivors of thewe decided to support evenof handwashing. As part of the annual LIXIL Community

2015 devastating earthquake in Nepal with the help of NGO

more people on the front

Day, LIXIL Vietnam installed handwashing basins in a school

WaterAid, and in 2016, to people in Bangladesh with the helplines, including teachers,

near its plants, while LIXIL Thailand repainted and cleanedof Bangladesh Rural Advancement Committee (BRAC), an

through donation of more

toilets in schools and temples, and upgraded and replacedinternational NGO working to support people suffering poverty.

than 20,000 face shields

sanitaryware items in local communities. We also donatedThrough these activities, we are working to help provide accessas part of our annual LIXIL

sanitary products to communities in China, India, Thailand,

to adequate sanitation to people living in disaster-affected areas

Community Day. During

and the Philippines, and SATO Tap handwashing stations to

so that they can feel safer.

shield pickup at the various

schools and other public areas in Indonesia.

sites throughout the region,
CR

Global Sanitation & Hygiene (P24)CR

MAKE A SPLASH! (P94)

Healthcare workers wearing LIXIL face shields

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Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society08
SOCIETY

Turn Water into Food Program: Contributing toCommunities by Supporting Water Conservation

Youth Empowerment: Sanitary Installation Skills
for a More Secure Future

Career Training: Supporting Women Interested inConstruction

Human Rights

Since 2012, LIXIL has been participating in the Water for Life

The sanitary industry is faced with a chronic shortage of skilled

LIXIL Americas also trains future plumbers through its Trade

project, which seeks to reduce water usage by introducing

plumbers. To address this issue, LIXIL has officially launched

Up program. As part of this program, we got together withadvanced technology and promotional campaigns in the

its GROHE Installer Vocational Training and Education (GIVE)

Tools & Tiaras, an NPO involved in career training for female

Middle East and Africa, where water is extremely scarce.

program in March 2021 to offer plumping training at schools

students interested in entering the construction industry.

Part of the initiative revolves around the Turn Water into

across the EMENA region. The GIVE program allows students

LIXIL volunteer employees helped hold a summer camp

Food program, conducted together with local food banks

to gain knowledge of cutting-edge technologies and sanitaryin New Jersey, the US, where one of our offices is located.

since 2015. In this program, LIXIL purchases food packages

innovations through hands-on training and, upon completion ofTools & Tiaras provides job experience and mentoring

to donate to local families requiring support, equivalent

their training, receive assistance with job placement. The GIVE

opportunities for female students interested in enteringin monetary terms to the amount of money saved byscheme also incorporates the Dual Tech training program, whicha trade, such as electricians, carpenters, or plumbers,

introducing GROHE brand water efficient products. To date,

was initiated in 2009 with the German non-profit organization

all professions in which women have been traditionallythe program has provided food support to a total of over(NPO) Don Bosco Mondo to provide underprivileged young

underrepresented.

2,910 families in Saudi Arabia, Egypt, Turkey, and Jordan.

people with professional skills on sanitary installation. In addition

Additionally in Jordan, which was added in 2018 as a new

to three schools in the Philippines and in Mumbai and Delhi,

suffered abusive relationships to escape and become financiallyrecipient country of the donation, water efficient taps wereIndia that were formally part of the Dual Tech program, GIVE

independent by providing training on plumbing skills.

introduced in an all-girls high school, where schools are

already collaborates with 26 institutions across EMENA, andamong the top public spaces for large water consumption.

plans to open up 24 additional schools over the next two years.

Stakeholder Engagement
Community

In Africa, we partner with NPOs to help women who haveTraining highly skilled installers also helps solve local sanitation
problems and therefore contributes to the fulfillment of the UN
Sustainable Development Goals (SDGs), in particular Goal 6“Clean Water and Sanitation.”

Receiving food through the Turn Water into Food program

Female students participating in a Tools & Tiaras program

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Contents

08
SOCIETY
Human Rights
Stakeholder Engagement
Community

Commitment

Highlights

Management & Material Issues

Strategic Pillars

Our People

Environment

Customers & Supply Chain

Society

Supporting Children

LIXIL’s Outreach Classes for Future Generations

LIXIL Omotenashi Toilet Cleaning at Tourist Site

Through its Christmas Tree Activity, LIXIL EMENA helped

LIXIL is committed to advancing education for sustainable

In 2014, Shikoku area staff started the LIXIL Omotenashi

four organizations in FYE2021: Two of them support children

development (ESD). We try to address social issues such as

Toilet Cleaning at Tourist Sites initiative to express thewhose families struggle with poverty or alcoholism, while

global sanitation and hygiene, environmental problems, andJapanese spirit of hospitality by ensuring that visitors wereother two are child and youth welfare services. The children’s

diversity and inclusion by working with the children who will

greeted with clean toilets. As a toilet manufacturer andwishes were hung on Christmas trees at our plants inbe stewards of our future planet.

retailer, LIXIL has expanded this unique initiative to 60

Hemer, Lahr, and Porta Westfalica as well as at the brand’s

Since 2010, over 24,000 children have taken part in 650

areas in 30 prefectures throughout Japan from Hokkaido toheadquarters in Düsseldorf, and LIXIL employees made theoutreach classes using original LIXIL teaching materials held

Kyushu. To date, 6,019 employees cleaned toilets in public

wishes come true. LIXIL also distributed hygiene kits acrossat schools and events across Japan. The program not only

facilities together with local companies.

Asia, and donated notebooks and other school essentials tohelps to raise awareness and encourage action among thechildren in local villages in India during reopening of schools

child participants, but also strengthens bonds between local

amid the COVID-19 pandemic.

communities and regional LIXIL offices and employees who* The cleaning initiative was canceled in FYE2021 due tothe COVID-19 pandemic.

serve as lecturers.
• Toilets Can Save the World!
• Health-Conscious, Environment-Conscious Living• Universal Design: Good for One, Good for All, Good for a Lifetime• Learn from Water• Think About Safety in the Home

Toilet cleaning initiative

Gifts given to children through the Christmas Tree Activity

WEB

For Future Generations (Japanese only)

CR

THINK HEAT (P95)CR

Promoting Broader Understanding of Diversity (P38)CR

Safety Education Program (P79)WEB

L
 IXIL Omotenashi Toilet Cleaning at Tourist Site initiative(Japanese only)

LIXIL Corporate Responsibility Report 2021

100

Contents

08

Commitment

Highlights

Management & Material Issues

Community Activities at INAX MUSEUMSStrategic Pillars

Our People

Environment

Human Rights
Stakeholder Engagement
Community

The INAX MUSEUMS in Tokoname, Aichi, which is best

Kyushu, Chubu, and Tohoku regions of Japan. At the time,

known for its pottery, serve the local community by holding

we also set up a mobile toilet booth called withCUBE at an

exhibitions on themes of earth, pottery, manufacturing, andevacuation center in Hitoyoshi, Kumamoto.

living. They also offer “see, touch, feel, learn” participatory

We are also working to provide disaster relief throughexperiences such as shiny dorodango (mud ball) making

products based on years of research on disaster-relatedclasses and doro (mud) play events.

problems. Our Resilience Toilet is designed with disasters

In FYE2021, approximately 1,600 citizens took part inin mind because it can be switched to use only one liter ofworkshops held in collaboration with Tokoname City towater per flush in times of disaster compared to five liters

create tiles for decorating the walls of a pedestrian deck

for regular usage. This helps evacuation centers to adapt toleading to the entrance of the new city hall building.

water supply disruptions and other issues related to toilet

Also in FYE2021, we strengthened our online initiatives in theProviding Torch Materials for the Tokyo 2020
Paralympic Torch Relay
Aluminum materials collectedfrom disaster-related temporary
housing windows have also beenused to make torches for the
Tokyo 2020 Paralympic Torch
Relay (LIXIL is a Presenting
Partner of the Tokyo 2020
Paralympic Torch Relay).
WEB

facilities. We are not only promoting the installation of thesewake of COVID-19 by inviting people to post images of shiny

toilets in schools, gyms, and government buildings that serve

mud balls in a Shiny Dorodango Online Contest and by staging

as disaster response bases, but are also using them for local

virtual tours of the Tile Museum, one of the INAX MUSEUMS.

community disaster response training.
WEB

LIXIL Disaster Relief (Japanese only)WEB

Resilience Toilet (Japanese only)

As part of our reconstruction efforts following the 2011

including the windows from temporary housing provided by
INAX MUSEUMS

Disaster Relief and Reconstruction Activities in Japan
LIXIL provides a variety of natural disaster support
including product and monetary donations. In FYE2021,

Torch for the Tokyo 2020 Paralympic Torch Relay(Japanese only)

Environmental
conservation

Employees from our local offices and theirfamilies participate in rice-growing activities
in rice fields in Chiba, Japan to support andpromote awareness of biodiversity.

CultureWe are promoting cultural activities in areas
related to our history, such as managementof pottery museums and publishing.

Education

We participate in educational programs forthe upcoming Expo 2025 in Osaka and offer
factory tours to elementary school students.

earthquake and tsunami, we are collecting and recyclingaluminum building materials in Iwate, Miyagi, and Fukushima,

Paralympic Torch (Photo
credit: Tokyo 2020)

Other Community Development Activities

Reusing Aluminum Materials from Temporary Housing Windows

WEB

Society

we conducted free inspections of LIXIL products andprovided financial support following the torrential rains in

SOCIETY

Customers & Supply Chain

LIXIL. The materials are being used to construct the Tokyo 2020
Recovery Monuments to be installed at one of the venues of theTokyo 2020 Olympic and Paralympic Games (LIXIL is the Tokyo
2020 Gold Partner for the Building Components & Bathroom
and Kitchen Fixtures category).
WEB

WEB

Environmental conservation activities (Japanese only)

WEB

Cultural activities

WEB

Educational activities (Japanese only)WEB

Other Japan-based activities (Japanese only)

Tokyo 2020 Recovery Monuments (Japanese only)

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LIXIL Corporation
2-1-1 Ojima, Koto-ku, Tokyo 136-8535, Japanwww.lixil.com