Initiatives for Sustainable Growth

Securing Safety and Disaster Prevention
Initiatives for Occupational Safety●Continuous Improvements through the Occupational Safety Management System

Securing the safety and health of our employees is at thefoundation of our business activities. In recognition of this, we
set forth the Company’s policy in our Environmental Protectionand Safety and Health Management Regulations. In addition, in
our Declaration of Action by Board Members and Employees westate that taking action to secure safety and health in theworkplace will be our utmost priority, and we are endeavoring toeliminate accidents and secure a comfortable workenvironment. Together with putting into practice initiatives that
include“5S”activities, pointing and calling,“KYT”accident
prediction training, and risk assessments, we also makeinformation on industrial accidents known throughout theCompany, and implement activities that function to prevent
recurrence.
We established our Safety Education Center at the Yokkaichi
Branch’s Kasumi Plant in February 2017, and have commenced
new initiatives to instruct employees with regard to safety.
In 2018, all employees underwent regular health checkups,and we also conducted mental health (self-care) initiatives
through e-learning, and other efforts. We continue to set oursights on achieving the goals of“zero disasters”and to“make acomfortable workplace.”●Industrial Accident Frequency Rate and Industrial Accident Severity Rate(January to December 2018)

In 2018 there were two accidents in the DKS Group that
resulted in lost worktime, and as a consequence, theseincreased the Industrial Accident Frequency Rate (lostworktime). We worked to conduct proper corrective

procedures, and also put in place thorough measures toprevent recurrence. Our aim for 2019 is for“zerooccurrence of industrial accidents (lost worktime),”and
we will further strengthen safety activities.

● Changes in Industrial Accident Frequency Rate*● Changes in Work-related Injury Severity Rate*DKS

DKS Group

Frequency Rate

Chemical Industry

2.5

DKS Group

Severity Rate

2.30

0.0

0.17

1.83

0.15
1.55

1.50.5Chemical Industry

0.20

2.01.0DKS

0.72

0.85 0.82
0.72

0.82

0.88

0.12 0.12

1.36

1.23
0.79

0.13

0.64
0.00

0.88 0.91
0.76

0.000.88

0.81

0.90
0.88
0.68

0.81

0.71
0.00
0.00

0.00
0.00

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 (Year)* Frequency Rate = (Number of persons absent from work due tooccupational accidents)/(Total actual working hours) x 1,000,000
This is a numerical value representing the degree of frequency ofvictim occurrence per 1 million hours.

0.09

0.10
0.07

0.05

0.00

0.04
0.04
0.00

0.03

0.05

0.05
0.04
0.00
0.00

0.00
0.00

0.03
0.00 0.00
0.00 0.00

0.06
0.00
0.00

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 (Year)* Severity Rate = (Days of lost work)/(Total actual working hours) x 1,000
This is a numerical value representing the degree of severity of anoccupational accident per 1,000 working hours.

●Conducting Hands-on Safety Training

In February 2017 we established the Safety Education Centerat the Yokkaichi Branch’s Kasumi Plant with the goal of
preventing industrial accidents and raising safety awarenessso as to maintain safe and stable operations, which is themission of a manufacturer. The Safety Education Center
makes available seven discipline training booths to confirmwhether or not control is as it should be, and also provides forthe use of hands-on training equipment with the goal ofboosting sensitivity to abnormalities and dangers. This trainingsite also offers a mini-plant which serves as a venue to foster
technicians so that they may gain a grasp of the basic
principles of equipment and processes.
Training commenced in February 2017, and from fiscal
2018 we conducted training for new employees as well as for
employees involved in R&D and production. We will continue touse this facility to convey the importance of safety knowledge
and stable operations, and to make ongoing efforts to heighten
the awareness of safety among each and every individual.

0.04
0.01
0.01

0.04

Hands-on safety training

Initiatives for Logistics Safety
DKS entrusts external vendors with its logistics operations thatinvolve product storage and transport. However, in adherence tothe spirit of Responsible Care, our activities are guided by ourstance that we will secure logistics safety and preserve theenvironment, as well as offer to customers guarantees of logistics
quality and service delivery, among other principles. We work inclose collaboration with our vendors to promote initiatives forlogistics safety to realize these goals.
One particular aim we have is to eliminate accidents inlogistics. To achieve this we hold regular committee meetings toshare information, consult and educate on maintaining safe
transport and traffic order, amendments to laws, delivery

operations’safety and environmental standards, shipping
specifications, and other topics.
In addition, in the case an accident occurs during the transportof chemicals, so that drivers can take proper measures, we provide
Yellow Cards* (emergency contact cards when products are beingdelivered) that indicate the Emergency Response Guidebook (ERG)
number and the UN number as well as Container Yellow Card
indicating the same on the product labels.
* Yellow Card: An emergency contact card used when products are being
delivered. In preparation for the event that an accident occurs during
the delivery of chemical substances, this emergency contact card
indicates the measures that should be taken by the relevant people.

Initiatives for Disaster Prevention●Response in Emergency Situations (Conducting Disaster Prevention Drills)

As preparations for the case an emergency situation arises due tofire or explosion, earthquake, leakage, power outage or other event,
we have constructed a framework for disaster prevention atbranches, and repeat disaster prevention drills in accordance withfiscal year plans. We have also taken measures to prepare in theevent of such accidents, and have developed a disaster prevention
manual for emergencies based upon the incidents of large-scale

fires and explosions that have occurred at chemical plants in Japanin recent years. Disaster prevention drills are also performed withthe cooperation, and in unison, with local fire departments and/orpublic fire brigades. We continue to work on disaster prevention
activities that will prevent accidents and disasters unique to achemical manufacturer so as to ensure that they do not occur in thefirst place.

Joint drills with public fire brigade(Yokkaichi Branch)

Joint drills with public fire brigade(Shiga Branch)

Joint drills with public fire brigade(Ohgata Branch)

Joint drills with fire department(Kyoto Head Office/Laboratory)●Disaster Prevention Measure Investment

Fiscal 2018 investment into disaster prevention measures amounted to ¥509.7 million. Investments mainly went tomeasures to respond to explosions, fires and leakages, as well as measures to deal with aging equipment, and measures
to improve work safety and working environments.