Suminoe Textile GroupFor inquiries about this Report:
CSR Promotion Department
Suminoe Textile Co., Ltd.
11-20, Minami-Semba 3-Chome, Chuo-ku, Osaka 542-8504 Japan
Phone : +81-6-6251-6817 Fax : +81-6-6251-6806
E-Mail : csr@sin.suminoe.co.jp
URL : https://suminoe.co.jp/en/

CSR Report2019Editorial Policy and Contents

Offering Amenity Spaces and Enriched Lifestyles
For over 136 years since its inception, the Suminoe Textile Group has always endeavored to produce even better products in
response to social needs that it has identified.
As a textile manufacturer, we will continue to embrace challenges to create state-of-the-art living spaces.

Contents
Editorial Policy and Contents · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 1
Top Message · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 3
About Suminoe Textile Group
Overview and Growth Strategies ofEach Business Segment · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 5
Businesses and Global Operation Sites · · · · · · · · · · · · · · · · · · · · · · · · · · · 7

Editorial Policy
This CSR Report is published with the aim of helping all stakeholders deepen their comprehensive understanding of the Suminoe Textile Groupby reporting on its management strategies, businesses and CSR activities.

Feature1. Suminoe Textile Group and SDGs · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 9
2. Global Expansion and Introduction ofan Overseas Affiliate · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 13
Foundation That Supports Growth1

Period Covered

Referenced Guidelines

Fiscal year 2018 (From June 2018 to May 2019)(Some activities undertaken outside the above period are included.)

ISO26000 Guidance on Social Responsibility

Scope of the Report

Date of Publication

Suminoe Textile Co., Ltd. and its consolidated subsidiaries in Japanand overseas.
However, the scope varies according to the items reported.

December 2019
(The next report will be published in December 2020.)

Suminoe Textile Group CSR Report 2019

Initiatives for CSR
Corporate Philosophy and CSR System of
the Suminoe Textile Group · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 15
Fiscal 2018 Results of CSR Activities · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 17

Initiatives for Society
Growth and Success of Employees · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 25
Creating Value for Customers
Contribution to the Environment andSociety through Manufacturing · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 29
Further Improvement of Customer Satisfaction(Delivery Track Records of Each Business Segment) · · · · · · · · · · 31
Communication with Local Communities(Social Contribution Activities) · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 35

Initiatives for the Environment
Environmental Management
Under the Slogan of KKR+A · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 36
Fifth Medium-Term Activity Goals—Eco Challenge 2020— · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 38
Eco Challenge 2020 (Fiscal 2018 Results) · · · · · · · · · · · · · · · · · · · · · · · · · 39

Column / Editorial Postscript · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 42

Enhancing Corporate GovernanceCorporate Governance · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 19
Ensuring Compliance · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 21
Risk Management · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · 23

Suminoe Textile Group CSR Report 20192

Top Message

Seeking to be a Company that
Continuously Contributes to the Realization ofa Sustainable Society

Introduction
In May 2019, Japan entered the new era of “Reiwa.” Ever since
its founding in the Meiji Period (1868—1912), the Suminoe
Textile Group has offered enriched lifestyles by delivering
products that help create comfortable housing, and pleasantbuilding and vehicle interiors. In the Reiwa period, which has
just begun, and also into the future, we will seek to achievebusiness growth and strive to contribute to the realization of asustainable society.

Progress in the Three-Year Medium-Term
Management Plan “2020”
The Company launched its 5th three-year medium-term
management plan “2020” in June 2017. Under the plan, we havecarried out various measures on two themes: restructuring ofcorporate governance, and growth of business.
Restructuring of corporate governance
We have continued to encourage interactive communication
between management executives and employees, to promotecompliance and review the management system. The Suminoe
Textile Group is pushing forward with the restructuring of its core
operation system on a global basis, to ensure that we can grasp
information on income and expenditure and inventory status ona timely basis, and make effective use of such data for businessdecisions, thereby conducting efficient and effective monitoring.
In the future, based on the knowledge obtained in the first phaseof this system restructuring, we will make improvements inaccordance with the actual conditions of each business segment,
and apply the improved system company-wide in earnest.
In July 2019, the Nomination and Remuneration Committee
was established as an advisory body to the Board of Directors.
The Committee aims to strengthen its oversight function by

3

Suminoe Textile Group CSR Report 2019

increasing transparency and objectivity in the evaluation anddetermination process concerning the nomination andremuneration of Board members, thereby further enhancing
the corporate governance system.
Growth of business
To meet customer needs in a flexible and timely manner, weboldly take on challenges consistent with three themes: expansionof product lineups, strengthening of our response to globalization,and development and sales of high value-added products.
We promote “expansion of product lineups,” by proposing
seat coverings using new materials in the automotive textiles
business. In the interior fittings business, we have expanded our
lineup of highly functional products, including hard floor materials
that look like real wood or stone, transcending the boundaries of
conventional fabrics. In terms of “development and sales ofhigh value-added products,” our efforts are focused on productcommercialization by taking advantage of open innovation.
For example, we hold new product development meetings
involving persons in charge of development and sales, actively
participating in exhibitions in cutting-edge fields, andaccelerate joint research with external organizations.

Satisfying Social Needs
As the phrase goes, “A company is a public entity of society,”companies must always be of service to society and have theirvalue recognized by society. At the time of its founding in the
Meiji period, the Company commenced its business to meetsocial needs including the modernization of such facilities as theImperial Diet Building and railways. Since then, Suminoe Textile
has expanded its business while anticipating the needs of thetimes, focusing on the latest trends in society.
Nowadays, ESG (Environment, Society and Governance) is
attracting increasing attention as a new set of indexes forinvestors in choosing companies to invest in. Meanwhile, theworld has begun to see a groundswell in building a sustainable
society, as exemplified by the adoption of the Paris Agreement
and the Sustainable Development Goals (SDGs). In this respect,since more than 20 years ago, the Suminoe Textile Group has
strived to expand sales of environmentally friendly products
and develop technologies conducive to health-related fields, in
response to the growing demand for measures to protect theenvironment and to create a sustainable society. For instance, in2011 Suminoe Textile released its mainstay product—the ECOS®
series of recycled carpet tiles produced under a “horizontal
recycling” system. ECOS® has realized a technology for recycling
resources into the same products, by producing raw materials
for new carpet tiles from used carpet tiles, for which there has
conventionally been no alternative other than disposal in
landfills. As a result, it has achieved a post-consumption recycledmaterial usage rate of up to 84%, which is unprecedented
throughout the world. This eco-friendly product series is theculmination of our initiatives promoted under the philosophyof “KKR+A (Kenko [Health], Kankyo [Environment], Recycle andAmenity),” which we have cultivated as our managementfoundation. ECOS® is also in line with one of the SDGs:“Responsible consumption and production.”
Going forward, we will intensify our efforts to develop evenbetter products, by constantly exploring social needs.

Initiatives to Maximize Human Power
Human resource development is indispensable for our Company
to continue transforming itself for further growth over the next
50 to 100 years. In Japan, the shortage of human resources andan increasing number of employees leaving their jobs due tochild/family care have become serious matters of concern. It isalso part of a company’s responsibility to protect its employees.
The Suminoe Textile Group puts its energies into creating aworking environment that ensures diverse human resources canwork together happily and actively, regardless of gender, age, or
nationality. The Group also places emphasis on improving thecapabilities of mid-career employees mainly in their 30s and 40s,
to develop human resources who will take the lead in the next
generation. Meanwhile, as part of our efforts to promote reformof working practices, we are committed to enhancing work
efficiency by using information technology (IT) and to helping
employees realize a better work-life balance.

Promoting External Communication
In conducting our corporate activities, we attach the greatest
importance to winning “trust” from stakeholders. To further
deepen their understanding of the Group, we focus onpromoting external communication. In 2019, each Group
company redesigned its website in order to provide more
substantial information. Moreover, beginning in April 2019,
Suminoe Textile Co., Ltd. has held the Exhibition on the History ofTrain Interiors, first at its showroom in Osaka and then in Tokyo.
The Suminoe Textile Group will continue to proactively
communicate with its stakeholders so that they obtain a better
understanding of the Group and its activities, and build evenmore beneficial relationships with stakeholders by promoting
our diverse values.
The amenity and lifestyles required by people vary according
to the times. In any age, we remain committed to pursuing andhelping to realize such amenity and lifestyles.
December 2019

Chairman and President
Suminoe Textile Co., Ltd.

Suminoe Textile Group CSR Report 20194

About Suminoe Textile Group / Overview and Growth Strategies of Each Business Segment

Contributing to Enriching People’s Lives by
Manufacturing Environmentally Friendly Productsthat Feature both Excellent Design and Functionality

Traffic Facilities Business (Interior Materials for Trains / Buses / Ships / Aircraft)
Creating Safe and Comfortable In-Car Environment
Offering Total Proposals for Interior Materials
We have supplied our products to JR, private railways andpublicly operated transportation services, maintaining the
top market share for more than a century.
Currently, the Suminoe Textile Group offers total proposals
for seat coverings, curtains, wall materials, flooring materials
and other interior materials for public transportation systems,
such as Shinkansen bullet trains and other trains, buses, andships. We also deliver environmentally friendly products,
including SUMICUBE® seat cushion material, which excels interms of both safety and environmental performance.

Automotive Textiles Business
Global SupplierSupplying a Total Line of Automotive Textiles,
from Floors to Ceilings
The greatest feature of our Company is that we can supply
a total line of automotive textiles, from floors to ceilings,
including headliners, seat covering materials, car mats, andfloor carpets. Outside Japan, the Suminoe Textile Group has
now expanded its overseas presence by setting up 12
manufacturing and sales sites in six countries (the UnitedStates, Mexico, China, Thailand, Indonesia, and India),
thereby creating a globally optimized supply system.

① Expand the markets for new products and new components.
② Improve quality, cost competitiveness, and delivery systems (QCD).
③ Enhance productivity by developing a core system.
④ Establish a human resource development system to strengthen our
response to globalization.

Interior
materials
for buses

Future Direction and Growth Strategies
We will establish a system to offer not only basic textile
materials but also other interior components as a whole,including resin components for traffic facilities.

Future Direction and Growth Strategies
While actively proposing new seat covering materials, we
encourage the use of fiber to make components that we have
not handled thus far. In so doing, the Suminoe Textile Group
works to expand the scope of its product supply, thereby
promoting the diversification of its business as a total supplier.

Interior
materials
for trains

Seat covering materials
Seat covering
Seat backSun visor

Wheel house

Floor carpets

Ceiling material
Door trim
Luggagecompartment

Floor carpet
Engine cover
Car mat

Car mats① Expand our market share, develop new products and expand sales ofinterior materials for buses.
② Expand sales and augment the manufacturing sites of cushion
materials for trains.
③ Increase the market channels of products for improvement of vehicle
safety (high-durability signage film, etc.).

Interior
materials
for ships

Functional Materials
Expanding Applications of Functional Materials into
in New Fields
In Pursuit of Endless Business Possibilities

Interior Fittings Business
Environmentally Friendly Products that Meetthe World’s Highest Standards
Product Development Capitalizing on
Our Own Technological Capabilities
The Suminoe Textile Group provides a wide variety ofinterior products that feature both excellent design andfunctionality to public facilities, hotels, schools, hospitals,
and office buildings, as well as for general households.
We are also committed to developing eco-friendly
products under the theme of KKR+A, or Kenko (Health),
Kankyo (Environment), Recycle and Amenity.

Future Direction and Growth Strategies

Officebuildings
andcommercial
facilities

5

Suminoe Textile Group CSR Report 2019

Interior materials
for aircraft

Persimmon peel
polyphenol
supplement

スミノエバイオテック®
(SUMINOE BIOTECH)

Future Direction and Growth Strategies
BERRY ALLOC® PURE LVTCarpet tiles

Nishijin brocade fabricHotelsand halls

We will expand our brand business in line with the basic
policy of ensuring “a Suminoe that excels in environmental
measures” and “development of one-of-a-kind products.”① Strengthen sales of new products, including “LVT” hard floor materials
with high functionality and quality and “2tec2” woven vinyl high-techflooring that features outstanding durability.
② Strengthen sales of “HOME® Series,” which has enhanced③ functionality.
④ Strengthen sales of made-to-order curtains “mode S®” and “U Life®”.
Expand sales of “DESIGN LIFE®” and “Disney Home Series,” both ofwhich enjoy great popularity.

The Suminoe Textile Group has delivered products thatincorporate its unique technologies we have accumulated,such as トリプルフレッシュ® (TRIPLE FRESH) deodorizing
filters and olefin bathroom flooring. In addition, the Group
offers new value in the fields of functional materials (スミノエ
バイオテック® [SUMINOE BIOTECH]) based on biotechnology
and functional food, in keeping with the theme of KKR+A, or
Kenko (Health), Kankyo (Environment), Recycle and Amenity.

Hand-woven carpets
and hooked rugs

Plush hand-woven
curtains

Coin purses andcard holders

Households

Rugs and mats

Curtains

Wallpaper,
sliding paper doors

We will improve our ingenuity and business development
capabilities so as to enhance our product value and expand
our business.
① Strengthen the production and supply system for hot carpets andpromote the development of new household electrical appliances,including small appliances and health appliances.
② Develop product applications, taking advantage of our uniqueprocessing technologies and functional materials.
③ Strengthen the supply and sales system for bathroom flooringmaterials and improve their functions.
④ Strengthen the development and sales functions of the deodorizer
and filter business and expand sales of deodorizers and filters invarious categories.
⑤ Expand the Internet and brick-and-mortar marketing channels for the
柿ダノミ® (Kakidanomi) supplement and develop new functional
food products.
⑥ Promote the development of new products with international
competitiveness in the aircraft business.
⑦ Promote commercialization of smart textiles.

The Tispa Series“Real Odor Deodorization without
Disguising with a Scent”

Electric carpets

Deodorant air filters
for air purifier

Roof tile side
Heatinsulating
property

Bathroom flooring

CLOTHCABIN®

Roof board side

Roofing materials

Suminoe Textile Group CSR Report 20196

About Suminoe Textile Group / Businesses and Global Operation Sites

Global Operations of the Suminoe Textile GroupThe greatest strength of the Suminoe Textile Group lies in maximizing the capabilities of all Group companies
through close cooperation between experts in research and technological development, production and sales.

Interior fittingsbusiness

Automotive textiles
business

Traffic facilities
business

Functional materials
business

Arts andcrafts textiles

United States

MexicoChina

SPM Automotive Textile
Co., Ltd. Guangzhou

Suzhou Suminoe Koide
Automotive Accessories
Co., Ltd. (SSK) Suzhou

Number of employees(all Group companies)

Suminoe Textile of America
Corporation

Bondtex, Inc.

24

CapitalOverseas operation sites

employees

companies

9.5

13 6

Equity ratio

Overseas sales ratiosites inbillion yen

33%

Offices/Factories of
Suminoe Textile Co., Ltd.

Major Group companies in Japan (head offices)❶ SUMINOE Co., Ltd. (Osaka City)

1 Head Office (Osaka City)■
2 Tokyo Branch (Tokyo)■
3 Nara Factory (Ikoma-gun, Nara Prefecture)■
4 Shiga Factory (Koka City, Shiga Prefecture)■
5 Kyoto Traditional Art and Craft Factory (Kyoto City)■
6 Sapporo Sales Office (Sapporo City, Hokkaido Prefecture)■
7 Sendai Sales Office (Sendai City, Miyagi Prefecture)■
8 East Tokyo Sales Office (Wako City, Saitama Prefecture)■
9 West Tokyo Sales Office (Isehara City, Kanagawa Prefecture)■
10 Nagoya Sales Office■countries%

Wholesales of traffic facilities textiles❽ Suminoe Techno Co., Ltd.

❷ RUNON CO., LTD. (Tokyo)

Production and processing of carpets, continuous
fiber spinning (including recycling), and production
and sales of needle punch carpets
Shiga Factory (Koka City, Shiga Prefecture)
Nara Factory (Ikoma-gun, Nara Prefecture)

Planning and sales of interior products,
mainly wallpapers❸ Suminoe Logistics Co., Ltd.
(Ikoma-gun, Nara Prefecture)
Product storage, handling, processing,and delivery❾ Tango Textile Co., Ltd.
(Kyotango City, Kyoto Prefecture)
Production and sales of plush hand-woven curtains,hand-woven carpets and hooked rugs, and other rugs

❹ Suminoe Works Co., Ltd. (Tokyo)(Nagoya City, Aichi Prefecture)

Installation of interior products

11 Hiroshima Sales Office (Hiroshima City)■
12 Fukuoka Sales Office■

Thailand❼ Marunaka Souei Co., Ltd. (Osaka City)

Planning and sales of interior products,
mainly carpets and curtains

10 Teijin Tecloth Ltd.
●❺ Kansai Laboratory Co., Ltd.
Testing and inspection services
Nara Laboratory (Ikoma-gun, Nara Prefecture) andOsaka Laboratory(Matsubara City, Osaka Prefecture)(Fukuoka City)

India

Suminoe Textile de Mexico,
S.A. de C.V.

Number ofGroup companies

2,899
34.8

Suminoe Textile of America
Corporation (C.A. Design)

Suminoe Textile Shanghai
Co., Ltd. (STS) Shanghai

Suzhou Suminoe Textiles
Co., Ltd. Suzhou

Indonesia(Inazawa City, Aichi Prefecture)
Production and sales of automotive seat covering
materials, chair upholstery fabrics, and clothing textiles
11 Owari Seisen Co., Ltd.
●

Dyeing and finishing of automotive seat covering
materials and interior fabrics
Head Office (Ichinomiya City, Aichi Prefecture)
Ishikawa Factory (Nomi City, Ishikawa Prefecture)❻ Suminoe Teijin Techno Co., Ltd.
(Osaka City)
Production and sales of automotive textiles,
mainly seat covering materials

12 Sewing Hyogo Co., Ltd.
●(Tamba City, Hyogo Prefecture)
Sewing and processing of fabric products

Suminoe Teijin Techno
Krishna India Pvt. Ltd.

7

Suminoe Koide (Thailand)Co., Ltd.

T.C.H. Suminoe Co., Ltd.

PT. Sinar Suminoe Indonesia

PT. Suminoe Surya Techno

Corporate Summary (As of May 31, 2019)

Changes in the number of employees

Name of Company
Suminoe Textile Co., Ltd.
Head Office
11-20, Minami-Semba 3-Chome, Chuo-ku, Osaka 542-8504 JapanFounded1883
Incorporated
December 25, 1913
Suminoe Textile Joint-Stock Company
Organizational Change
December 26, 1930
Suminoe Textile Co., Ltd.
Capital9,554,000,000 yen
Number of Employees
260 (Consolidated group companies: 2,899 employees)(Persons)
3,000

Suminoe Textile Group CSR Report 2019

2,500

2,786

2,604

2,000

1,091

1,287

2,830

1,338

2,850

1,324

Net sales breakdown (fiscal year ended May 31, 2019)
2,899

1,346

Functional
materials
business

Others

143
0.1%

3,886
3.9%

1,500

(Unit: ¥1 million)(Unit: Millions of yen)

Consolidated numerical targets and results

Asia

Others· · · Net sales

18.1%

0.3%

· · · Operating 1,297
income17,901

258

1,513

1,499

1,492

1,526

1,553

0

FY2015

Overseas

FY2016FY2017FY2018FY2019FY2017

Interior
fittings
business

North andCentral America

Japan

61.2%

34.8%

15.1%

66.5%

34,282 14,868

Original
forecast

3,118

3,100

2,247

Original
forecast

Results

FY2018Results

FY2019

3,450

2,600

Original
forecast

Revisedforecast

FY2020Consolidated numerical results

By region

Automotive textiles
and traffic facilities
business

60,304

2,800

ResultsBybusinesssegment

1,000
500

5th Three-Year Medium-Term Management Plan “2020”
102,000 96,000
100,000 98,617
97,87297,50096,03865,588Net sales
OperatingincomeOrdinary
incomeROE

FY2017FY2018FY2019FY2020Results

Results

Results

Revised forecast

96,0381,297
1,364

97,8722,247
2,358

98,6173,118
2,956

96,000
2,600
2,800

0.1%

3.2%

1.4%

4.5%

Japan

Suminoe Textile Group CSR Report 20198

Feature 1 / Suminoe Textile Group and SDGs

1SDGs

Suminoe Textile Group andFeatureSustainable
Development
Goals

Bio Woven and Bio Flat are seat covering materials madeof plant-derived polyester (30% of which is plants). By
using less fossil fuel, which is considered to cause various
environmental problems, these materials contribute to
reducing the environmental impact. Bio Woven and Bio
Flat are superior to other bio-based textile materials interms of productivity and cost. At the same time, since
they have the same performance as seat covering materials
made of petroleum-derived polyester, Bio Woven and
Bio Flat are capable of reproducing the intended design
and texture.
The Bio Woven and Bio Flat materials are adopted by
Nissan Motor Co., Ltd. for the G and X Grades of the LEAF.

The Sustainable Development Goals (SDGs)
were adopted at the United Nations Sustainable
Development Summit in September 2015. SDGs
comprise 17 goals with 169 targets to be achievedat the global level between 2016 and 2030.

Suminoe Textile Group’s Initiatives
to Achieve SDGs
Contribution to Achieving the SDGs

Company
PurposeStarchSugar
Plant

Company Motto
Code of Conduct

Photosynthesis
CO2
Water

Saitama New Urban Transit,
2020 and 2000 Series

2

Hybrid cushion
material fortrain car seating
Section view of
SUMICUBE AIR

In Consideration of
a Comfortable andSafe In-Car Environment

Seat Cushion Materials for Train Cars
—SUMICUBE® and Hybrid Cushion Material
SUMICUBE® is made from safe materials that do not
generate cyanide or other poisonous gases when
combusted. It is therefore an environmentally friendly
product that does not pollute the atmosphere during
disposal by incineration. We also offer a hybrid cushion
material, which is created by combining SUMICUBE® andthe new resin spring material SUMICUBE AIR. The hybrid
cushion material is safer, more breathable, more durable,
and more comfortable to sit on.
SUMICUBE® and the hybrid cushion material are widelyused in train cars of JR, private railways and publicly run
subways, also finding applications in limited express andShinkansen bullet train cars, in which greater passenger
comfort is required. These cushion materials help ensure thatpeople can use public transportation more comfortably.

EthyleneglycolThese products arecarbon neutral withno influence on the amount Polymerizationof atmospheric CO2
in their lifecycle.

Biodegradation
Incineration

Specific Management Strategies

SUMICUBE®

SUMICUBE AIR

Plant-derived Seat Covering Materials“Bio Woven and Bio Flat”

Sustainable Development Goals(SDGs)

Businesses are considered important partners
in achieving SDGs, which call on all businesses
to apply their creativity and innovation to solve
sustainable development challenges.
Under its fundamental development
philosophy “KKR+A (Kenko [Health], Kankyo[Environment], Recycle and Amenity),” theSuminoe Textile Group has so far strived forenvironmental preservation, including
improvement in indoor environments andreduction of environmental impact.
We will continue to tackle environmental
problems and other various issues while
regarding the SDGs as our important
challenges to be addressed.

1

Contributing to Energy-Saving
by Harnessing Botanical Power

Fiber
Product

East Japan Railway Company,
New Commuter Train E235 Series(Yamanote Line)

SUMICUBE® seat cushion material
for railway cars

Suminoe Textile Group CSR
CSR through Business
Operations

9

Suminoe Textile Group CSR Report 2019

CSR that Serves as
a Management Foundation

Suminoe Textile Group CSR Report 201910▼Feature 1 / Suminoe Textile Group and SDGs

3

4

High Deodorizing
Performance Ensures
Clean Indoor Air

ECOS Recycle System
Double Recycle

ECOS uses スミトロン® (SUMITRON),
a recycled polyester yarn madefrom used PET bottles, in thesurface pile material.

空気を洗う壁紙®
(Air Cleaning Wallcoverings) Olefin Plus

Eco-friendly Yarn Madefrom PET Bottles

スミトロン® (SUMITRON) Continuous Fiber
Made from Recycled PET Bottles
スミトロン® (SUMITRON) uses more than 50% chips recycledfrom used PET bottles, thereby contributing to resource
conservation. This recycled fiber is used for interior products,
automotive textiles, functional materials, and for manyother products in a wide range of fields.
スミトロン® (SUMITRON) is a polyester yarn that isstain-resistant. Since it is solution-dyed, the yarn has
excellent light- and heat-resistant properties, enabling
long-term use of the products made of スミトロン®. In its
dyeing process, we use a coloring method that discharges
no dyeing wastewater in order to prevent water pollution.

Surface material

Olefin Plus is a series of new eco-friendly deodorant
wallcoverings with a cyclical deoxidization function. Its
surface is processed with a recycled material of olefin
plastic chips. Olefin Plus is coated withトリプルフレッシュ®
(TRIPLE FRESH) Plus deodorizer, which removes 12 types ofodor-causing substances. Olefin Plus wallcoverings havehigh deodorizing performance to remove cigarette andtoilet smells, household odors, and body odors associatedwith aging. By improving the indoor air environment
through this property, these wallcoverings are conductive
to people’s healthy and comfortable lives.
In addition, the series’ unique uneven surface reduces
glossy reflection from lighting, helping to create interiors
with a calm atmosphere.

Backing material

5

Recycled materials are used for boththe surface and backing materials.

5

After releasing these substances,
トリプルフレッシュ® (TRIPLE FRESH) is
restored to its original state. (The catalyst
does not change the original material.)

1

Restoration

Decomposed into
harmless substances!

トリプルフレッシュ®
(TRIPLE FRESH) is applied(adhered) to the surface
layer of the 空気を洗う壁紙®
Wallcoverings.

Carbon dioxide (CO2)Absorption
Water (H2O)

4

Odor-causing
substances aredecomposed
into H2O and
CO2, which arethen released.

Cyclicdeodorization2

Decomposition

3 The catalyst decomposes theabsorbed substances into H2O
and CO2.

Odor-causing
substances

Catalyst action

Odor-causing substances
are carried by airflow so
as to come into contact
with トリプルフレッシュ®
(TRIPLE FRESH) on thesurface layer, and thenthey are absorbed.

Tispa Series Deodorizer for Home Use,
“Real Odor Deodorization without
Disguising with a Scent”
The Tispa series deodorizer for home use, “Real Odor
Deodorization without Disguising with a Scent,” is a lineof deodorizers using トリプルフレッシュ® (TRIPLE FRESH),
our proprietary deodorant treatment technology that is
employed in many interior products and materials forhotels, automobiles and aircraft. Tispa features zero-energy,
long-time cyclic deodorization that uses no light orelectricity.

Resources for the Future

ECOS® Recycled Carpet Tiles Produced
Using Horizontal Recycling Technology

Installation image of 空気を洗う壁紙 ® (Air Cleaning Wallcoverings)

6

Functional Products that Are
Useful in Your Everyday Life

We have established a system to recycle used carpet tiles,
which were conventionally discarded, into new carpet tiles.
This system has enabled us to reduce waste and realize
resource recycling. The ratio of recycled materials in mostrecycled carpet tiles available on the market ranges fromabout 25% to 40%. However, ECOS® has achieved a recycledmaterial ratio of up to 84% (in the case of ECOS® iD-8100),
far superior to that of existing carpet tiles. Although there
are many recycled materials whose origin is unknown,
ECOS® only uses waste carpet tiles as recycled materials forthe backing material to secure safety by controlling theorigin of materials in a visible manner.
The SG-500 series using スミトロン® (SUMITRON) has
reduced CO2 emissions by 43% as compared to Suminoe’s
conventional products. The series has also reduced the
product weight by around 5% so as to lessen the load
during transportation.

Scan here fordetails.

Recommendable for Those who Love Drinking!
柿ダノミ® (Kakidanomi) Supplement Containinga Polyphenol Extracted from Persimmons
Produced in Nara Prefecture
柿ダノミ® (Kakidanomi) is a supplement containing
persimmon (kaki) polyphenol extracted from persimmonsgrown in Nara Prefecture using a patented processing
method. We have developed this supplement through a
joint research project with Kindai University. The project
was adopted as one of the recipients of the subsidy
provided under the FY2016 Nara Prefecture Local Food
Product Development Project, a funding scheme
implemented by Nara Prefecture to support eligible
companies in developing value-added food products using
local specialties. Our research team carried out a humanclinical trial, whose results showed the supplement’s safety.
We also confirmed that 柿ダノミ® (Kakidanomi) has beenhighly evaluated as a health food (common food). The
supplement is helpful in maintaining people’s health.

Scan here fordetails.

11

Suminoe Textile Group CSR Report 2019

Suminoe Textile Group CSR Report 201912

Feature 2 / Global Expansion and Introduction of an Overseas Affiliate

2
FeatureAyutthaya Province

Global Expansion

BangkokIntroduction of an Overseas Affiliate:
T.C.H. Suminoe Co., Ltd. in Thailand

In the automotive textile business, the Suminoe Textile Group has established 12 manufacturing andsales sites in six overseas countries to supply a total line of automotive textiles to customers around the world.
To satisfy customer needs, we deliver our products to customers in a speedy and stable manner by applying
manufacturing and management expertise we have cultivated in Japan to overseas operation sites.
The respective global sites have also contributed to economic development and job creation in
their local communities.

Overseas Expansion of Each Category in the automotive textile business
Fabric Category

Carpet Category

Mat Category

In December 2009, Suminoe Textile Co., Ltd. set up its
subsidiary, Suminoe Teijin Techno Co., Ltd., jointly with
Teijin Fibers Limited. This has enabled the Suminoe
Textile Group to establish an integrated systemcovering from material procurement, knitting andweaving processing to proposal and sales of products.
Since then, a similar system has been introduced
at overseas operation sites so that we have displayed
the Group’s strength both in Japan and abroad. In
recent years, while solution-dyed yarns have been
increasingly used as raw materials, we have lowered
environmental impact through a reduction in waste
water and waste heat.

Automotive flooring textiles are largely divided into
tufted carpets and needle punch carpets. As forflooring materials, currently the Suminoe Textile
Group focuses on needle punch carpets, which are
manufactured and sold in six countries in Asia and in
North and Central America. Needle punch products are
conducive to reduction of environmental impact for thefollowing advantages: simple material constitution, afewer number of processes, and relatively lightweight.
Besides floor carpets, we have applied this needle
punching technique to textile products that reduce noise
inside and outside cars. Through the development of
mass-production of such products, we endeavor to help
improve the environment surrounding automobiles.

Suminoe Koide (Thailand) Co., Ltd. was set up as ourthird manufacturing factory of car mats in Chiang
Mai, Thailand, in 2018. Thailand is ranked top in
vehicle production volume in the ASEAN region.
The business objective of the company is notconfined to producing products for Japan. It also
aims to further enhance the Suminoe Textile Group’s
competitiveness to expand its trading area and sales
in the local market.

Global Establishment with the Longest History
T.C.H. Suminoe Co., Ltd. (TCHS) was set up as a joint venture in
1994 in Ayutthaya in the central part of Thailand. With thelongest history among the global establishments of theSuminoe Textile Group, TCHS has been engaged in production
and sales of mainly fabrics and carpets. Its production activities
are supported by approximately 190 employees, about 36% ofwhom are female.
As part of its commitment to quality-oriented
manufacturing in response to customer needs, TCHS
obtained ISO/TS16949 certification in 2002. With regard toenvironmental impact reduction, the company also acquired
ISO14001 certification in 2006. As a pioneer of the Suminoe
Textile Group companies, TCHS is seriously working to reduce
its global environmental impact.

Social Contribution and Activating Intra-company
Communication

Comfortable Working Environment

TCHS is eager to contribute to society, such as by donating
knitting machines to universities and making monetary
donations to a school and a charity to help orphans in
Kanchanaburi Province. In recent years, the company has been
participating in a charity marathon. In Thailand, running is
popular among people, indicating an increasing public interest
in fitness. The company also strives to activate intra-company
communication, on such occasions as Songkran, a large-scalewater festival held to celebrate the start of the traditional Thai
New Year during the country’s hottest season. Employees pay
respect to their seniors and superiors by spraying water on them.
This cheerful event is greatly enjoyed by all members of TCHS,
regardless of whether they are supervisors or subordinates. In
addition to the Songkran festival, TCHS holds an annual company
trip, a New Year party and other various events, through which
employees are encouraged to deepen mutual communication.

Thailand is a mostly Buddhist country, whose people arecharacteristically polite and gentle and take good care of theirparents. Being connected with neighboring countries by land,
Thailand has deepened exchanges with other countries since
olden times, making it a very conformable place for foreign
people to live in. In a country that respects human diversity,
including LGBT, TCHS takes it for granted to embrace workforce
diversity, rather than considering diversity something to beachieved. The company therefore offers an environment where
everyone can enjoy working.

The entire factory of TCHS was submerged during the great
flood that hit Thailand in 2011. Nevertheless, thanks to the
backup production and supply system from Japan and otheroverseas factories, TCHS was able to supply products withouta hitch until the restoration of the factory, thereby gaining
strong trust from customers.
In 2019, the company marked its 25th anniversary. TCHS
will continue to commit itself to stable business operations
and contribution to the local community in the future.

Social contribution activity: Charity marathon in June 2018,with 17 people participating from TCHS
(TCHS employees and their family members at the Bang Pa-in
Industrial Estate)

Thai traditional “Songkran” festival (a water festival in whichyounger people spray a small amount of water on their seniors
to pay respect to them), held in the front yard of the factory on
April 12, 2019.

Reclining Buddha Image at Wat Yai Chai Mongkhon,a world heritage site in Ayutthaya Province, against
the crisp sky during the dry season

Yukihiro Yamamoto Joined the Company in 1992
In April 2017, I took up my new post here at TCHS. I am in charge of the development of carpets and other products to be delivered to automobile
manufacturers inside and outside Thailand. In terms of technology, an increasing number of vehicle models have been developed for the global
market in recent years, requiring us to develop automotive textiles with the same performance level as products made in Japan. On the cost front, weare also engaged in price competition with local capital manufacturers. Accordingly, TCHS needs to display comprehensive technological strength.
Since it is the ﬁrst time for me to work at an overseas aﬃliate, I am faced with not only a language barrier but also unexpected culturalbarriers, including the Thai way of thinking. I sometimes become slightly emotional when I have trouble communicating with local employees.
In such a case, however, the next day I make it a rule to greet them in Thai with a smile, as part of my eﬀorts to create a favorable atmosphere in
the workplace. Through experience in working overseas, I have now developed a broader perspective of my work by considering how I can
improve the performance of the local employees. I real feel myself growing little by little.

13

Suminoe Textile Group CSR Report 2019

Suminoe Textile Group CSR Report 201914

Foundation That Supports Growth

Initiatives for CSR
Corporate Philosophy and CSR System of the Suminoe Textile GroupCSR Activity Policy
Company Purpose

We contribute to the improvement of society throughthe production and sales of good products, and a prosperous business.
Company Motto

Code of Conduct

We pride ourselves as a pioneer in the interior design
and furnishing industry and persist in a spirit of cooperation,
sincerity and determination.

1. We comply with all laws and ethical business standards,
and conduct corporate activities in an impartial andethically sound manner.
2. We contribute to the advancement of the community
through the production and sale of high-quality products.
3. We treat all employees of the Company fairly, act with
due respect for their individual personalities, and placehigh importance on their health and safety.
4. We place high priority on maintaining good relationships
with all our stakeholders.
5. We make proactive contributions to the community,
as expected of a good corporate citizen.
6. We take very seriously the impact of our businessactivities on the global environment, and contributeto environmental preservation initiatives.

Company Purpose

Company Motto
Code of Conduct

Shareholders
and investors

Customers
Suppliers

To further enhance its corporate value and win a broader range of social trust, the Suminoe Textile Group aims to simultaneously
advance both “CSR through Business Operations” and “CSR that Serves as a Management Foundation.”

Medium-Term CSR Plan
We formulated the Medium-Term Management Plan “2020,” whose main themes are the restructuring of corporate governance andthe growth of business. In addition to the management plan, we drew up the 2nd Medium-Term CSR Plan, aiming to achieve further
growth toward 2020. Under the new CSR plan, in which our key CSR issues are identified, we are promoting initiatives.

Process of identifying the key CSR issues
STEP2

STEP1

. ISO26000 and otherinternational standards
regarding social responsibility. Medium-Term Management Plan
. Reviewing the 1st Medium-Term
CSR Plan

STEP3

Analyzing the issues

Extracting issues

STEP4

Identifying the issues. Social issues to beresolved throughbusiness operations (CSR
Promotion Department)

Formulating a plan

. Deliberations andidentification by top
management (CSR
Promotion Committee). Formulating andimplementing the CSR
activity plan (measures)

Employees
Local communities

Global environment

2nd Medium-Term CSR Plan and Priority issues (Planned period: June 2018 – May 2020)
ESG *
item

Specific management strategies

CSR through Business Operations

CSR that Serves as a Management Foundation

Stakeholders
concerned

Measures (initiatives)
Promote fair corporate activities

All stakeholders

G

1 Corporate Governance2 Compliance

Raise compliance awareness of executives and employees and improve theircompliance training

All stakeholdersG

3 Fair operating practices

Promote procurement based on the Green Procurement Guidelines

G

Suminoe Textile Group CSR

Top priority issues

Improve work-related legal education and internal audits

Suppliers

Implement training programs and develop globally competent human resources

Offering products that contribute to the global environment andsociety, and which enrich people’s lives and minds, in line with ourfundamental philosophy of “KKR+A (Kenko [Health], Kankyo[Environment], Recycle and Amenity)”
Promoting global strategies, to ensure that our products will be used bymany more people, and to promote “KKR+A” around the world.

Establishing a fair and highly transparent governance system.
Ensuring thorough compliance* to conduct corporate activities witha high sense of ethics.
Supporting employees to develop themselves through worthwhile
work, while giving consideration to the creation of an
employee-friendly environment and the diversity of employees.

*

Compliance: A company’s process of making decisions and taking action in
observance of laws and corporate ethics so as to live up to the expectations
and trust of society.

Communication with Stakeholders
Based on our CSR activity policy, we work to provide value to our stakeholders as described below. In doing so, we will establish favorable relationships
with our stakeholders, and contribute to the global environment, thereby fulfilling our responsibilities to the next generation.

15

Customers

Suppliers

Shareholders and investors

Local communities

Employees

Global environment

We will strive to sincerely
respond to our customers,by earnestly listening totheir voices. Taking great
pleasure in creating
comfortable spaces
together with ourcustomers, we aim to gain
their trust. We also pushforward with ourquality-improvement
efforts.

We attach great importanceto our relationships with
our suppliers, and work
together with them toimprove our customer
service capabilities. We
strive to conduct fairtransactions on an equal
footing, by selecting
suppliers based on rational
criteria regarding price,
quality, delivery times, etc.

By securing appropriate
profits, we aim to give backto our shareholders andinvestors. We will also
work on proactive
information disclosure,through our investor
relations (IR) activities.

We will deepen exchangewith people in various
countries and local
communities, so as tobetter understand theircultures and histories. At
the same time, we will
carry out social
contribution activities.

We -elop comfortableworking environments,
by respecting theindividual personalities
and characteristics of
our employees. We will
also live up to ouremployees’ hopes tomaximize their own
abilities to resolve
various issues andchallenges.

We will devote our energies
to developing attractive
environmental products
and technologies that
contribute to thepreservation andimprovement of the global
environment.
Moreover, through ourbusiness operations, we will
strive to decrease our
impact on the environment(e.g., energy saving, resource
conservation, and waste
reduction).

Suminoe Textile Group CSR Report 2019

Human resource development
and revitalization

S

4

S

5 Health and safety

ESG
item

Priority issues

S

6 Quality improvement

S

7 Stakeholder communication

S
G
G

8
9
10 Risk management
11 Environmental impact reduction
12 Implement social contribution activities

E
S

Appropriate response to customers and sharing
customer service experiences company-wide

Promote a business continuity plan (BCP) to be
implemented in the event of an emergency or disaster

Respect diversity (promote women’s empowerment, employment of persons with disabilities,
re-employment of retired employees, and employment of foreign nationals)
Promote reform of working practices (improve the systems for supporting employees incaring for children, the elderly and other family members and promote a work-life balance)

Employees

Prevent occupational accidents (provide safety education and implement risk assessment)
Employees

Create a comfortable working environment (promote employees’ health)Correct the issue of long working hours

Stakeholders
concerned

Measures (initiatives)
Regularly hold Quality Assurance Joint Meetings

Customers

Promote proactive IR activities

Shareholders and investors

Improve corporate image
Work on daily business activities and ensure our Customer Service Center’s
appropriate response to customers

Customers

Regularly review the BCP

All stakeholders

Raise awareness of risk management at overseas subsidiaries

All stakeholders

Promote Eco Challenge 2020 and the development of environmentally friendly products
Promote regional preservation and revitalization, environmental conservation,and biodiversity preservation

Local communities andthe global environment
Local communities andthe global environment

After identifying the issues that the Suminoe Textile Group should address, we have classified them into “top priority issues” and “priority issues.” Then we have formulated
the measures (initiatives) to grapple with these issues.
In the above process, we have also clarified the relationship between these issues and ESG items.
ESG stands for Environmental, Social and Governance.
* ESG
refer to the three factors that companies should take into account toward the realization of a sustainable society.

Suminoe Textile Group CSR Report 201916

Foundation That Supports Growth

Initiatives for CSR
Fiscal 2018 Results of CSR Activities
Referencing the ISO 26000 guidelines, we have classified CSR activities into seven categories, for each of which we have set
medium-term targets. The results for fiscal 2018 are shown in the table below.
A : Accomplished B : Almost accomplished C : Not accomplished
CSR
category

Related
page

FY2018 results

Selfassessment

Hold discussions at meetings ofthe Board of Directors, the Boardof Corporate Auditors and othercommittees, to promote faircorporate activities.

. Hold meetings of the Board of Directors and the Boardof Corporate Auditors. Review activity plans at CSR Promotion Committee
meetings.

. Held meetings of the Board of Directors 9 times andmeetings of the Board of Corporate Auditors ten times.
. Held meetings of the CSR Promotion Committee
meetings five times to review activity plans.

A

Evaluate the effectiveness ofinternal control over financial
reporting of Group companies thatfall within the scope of assessment.

. Reduce the number of material weaknesses requiring
disclosure in the internal control evaluation to zero.

. Implemented activities with the Financial Control
Committee playing a central role.
[Result: Number of material weaknesses requiring
disclosure: 0]APromote the Code of Conduct andthe Code of Corporate Behavior of
the Suminoe Textile Group.

. Provide compliance education at training by level.
. Distribute the Compliance Guidance to new employees
and hold seminars to provide them with basic
compliance knowledge.
. Hold compliance workshops.
. Timely publish compliance information through thein-house intranet.
[Rate of plans implemented :100%]. Provided compliance education at training by level andtraining for new employees.
[Rate of plans implemented :100%]. Provided compliance education (as part of the training
for officers and compliance workshops).
. Read the Code of Conduct aloud in unison at themorning assembly and weekly meetings.

A

Continue compliance relatedmonitoring.

. Conduct compliance audits in rotation.
[Rate of plans implemented: 100%]. Conduct compliance audits in rotation.
[Rate of plans implemented: 100%]. Planned to conduct audits primarily for overseas
subsidiaries.

A

Announce the Hotline to all
employees.

. Announce the Hotline to all new employees.
. Announce the Hotline to all employees on the occasionof training by level, harassment prevention training orworkshops. [Target :100%]. Announced the Hotline to all new employees.
. Announced the Hotline to all employees on theoccasion of training by level, harassment prevention
training and workshops. [Result :100%]A

Visualize the status of contracts andimplement legal education andFairtransactions monitoring concerning business
transactions.

. Implement education regarding the Subcontract Act
and the Antimonopoly Law.
. Conduct internal audits.
[Rate of plans implemented :100%]. Hold study meetings, briefing sessions andawareness-raising activities regarding the Subcontract
Act and the Antimonopoly Law.
. Conducted internal audits. [Rate of plans implemented :100%]A

Promote the Green Procurement
Green
Procurement Guidelines.

. Distribute the guidelines to suppliers and collect Green
Procurement records. [Target :Once a year]. Distributed the guidelines to suppliers and collectedGreen Procurement records. [Result : Once a year]

A. Increase the percentage of employees with disabilities.

. Did not achieve the legally required percentage of
employees with disabilities.
. Measures were not implemented to have Senior Employees
create job manuals in their specialized field and to hold study
meetings in which Senior Employees serve as instructors.
. Continued to preserve knowledge and skills of Senior
Employees and hand them down to future generations.
. Publicized the active roles played by Senior Employees
through the CSR report.

Corporate
governance
Governance and complianceP.19-20
andP.21-22
Compliance

Operatingpractices

P.21

Implement activities to create acomfortable working environment
Respect
for diversity that respects the diversity of

Implement group training to help
employees improve their skills andabilities.

P.25-28

Develop global human resources.

Human
resource
development
Women’s empowerment.

Occupational Promote activity plans to protect
health and the safety of employees.
safetySuminoe Textile Group CSR Report 2019P.26

. Revised the manual for supporting a balance between
work and childcare and created a manual for
supporting a balance between work and care of theelderly and other family members. Promoted a work-life balance (by promoting
no-overtime days and increasing the use of paid leave). Provide training sessions by level and by theme andimprove the content of these sessions.
. Implement training sessions by carefully selecting
themes suited for employees (referencing the traineequestionnaire survey results).
. Provide prior training for employees who will leave foroverseas duty.
. Continue to provide foreign language training programs.
. Hold meeting to exchange information with employees
who have experienced working overseas.
. Hold on-site training for young employees.
. Hold risk management seminars.

. Training by level: Discussed the content as in previous years.
. Training by theme: Implemented training by selecting“Improving Communication Skills” and “Improving
Preparation Skills” as the themes.

A. Administered TOEIC tests for new employees.
. Provided foreign language training programs (school
attendance course, correspondence course, online
course, and prior training for employees who will leave
for overseas duty).

B. Publish Top Message in the notes and in-house magazines.
. Actively recruit female employees.
. Hold training programs for male managers and female
employees to encourage them to change their mindsets. Implement round-table discussions between female
employees and their role models (female managers).
. Establish a re-employment system (to let retired
employees come back to work).

. Dispatched female employees to the Women’s
Empowerment Support Forum.
. Publicized the active roles played by female employees
through the CSR report and at training by level.
. Implemented Career Design Training and Training on
Coaching Female Subordinates.
. Established the re-employment system “Job Return System.”A. Hold the Mirai-juku program (a series of seminars on
further growth).
. Implement “management by walking around.”. Hold interviews with employees to foster
next-generation leaders.
. Hold lunchtime meetings.

. Held the third Mirai-juku program (a series of seminars
on further growth).
. Management Meetings were held five times a year at
operation sites other than the Suminoe Textile Head
Office as part of “management by walking around.”. Held lunchtime meetings and interviews with
employees to promote communication with them.

. Have the Central Health and Safety Subcommittee
consolidate opinions and promote information sharing.
. Share information related to occupational accidents.
. Target for the rate of lost-worktime injuries: 1.0 or lower. Provide safety education.
. Implement risk assessments.
. Conduct mutual patrols between different
factories/offices. The Central Health and Safety Subcommittee
consolidated opinions and promoted information
sharing.
. Shared information related to occupational accidents.
. The rate of lost-worktime injuries stood at 1.33, fallingshort of the target.
. Regularly provided safety education.
. Implemented risk assessments (at the Shiga Factory, in
addition to the Nara Factory).
. Conducted mutual patrols between the offices/factories
where Health and Safety Committee meetings were held.

B. Carry out disaster drills. [Rate of plansimplemented :100%]. Carried out disaster drills. [Rate of plansA

Major theme

Selfassessment

B. Manage and grasp employees’ overtime work hours.
. Hold interviews with employees who work long hours.
. Implement measures for operational improvement.
. Make the rounds of workplaces on no-overtime days.

. Periodically checked employees’ overtime work hours,
confirmed whether there were differences between
actual working hours and the records on the time
recorders, and provided guidance where necessary.
. Held interviews with employees who work long hours.
. Made announcement on the public address system toprompt employees working overtime to return home early.

B. Discuss activities to raise employees’ awareness of theirhealth improvement.

. Did not hold discussions on awareness-raising activities
for employees’ health improvement.

C. Conduct a safety confirmation drill at otheroffices/factories.
. Conduct a BCP drill including procedures forcommunicating relevant information to customers at
the Head Office.
. Hold discussions on a new method of confirming
personal safety information.

. Conducted a safety confirmation drill at the head officeof SUMINOE Co., Ltd.
. Did not implement a BCP drill including procedures forcommunicating relevant information to customers at
the Head Office.
. Discussions are under way on a new method of
confirming personal safety information.

B. Implement awareness-raising activities regarding
intellectual property rights (through the in-house
intranet and training sessions).
[Rate of plans implemented :100%]. Implemented awareness-raising activities regarding
intellectual property rights (through the in-house
intranet and training sessions).
[Rate of plans implemented :100%]A

Provide information security
education (security of information
terminals and personal
information protection).

. Provide information security education at training bylevel.

. Provided information security education using a DVD at
training by level.

A

Carry out awareness-raising
activities to prevent insider
trading.

. Implement awareness-raising activities regarding
insider trading.

. Implemented awareness-raising activities regarding
insider trading through the in-house intranet.

A

Quality
Promote quality improvement
improvement efforts.

. Regularly hold Quality Assurance Joint Meetings. Implement quality improvement activities (activities toreduce the percentage of defective products and losses
due to defective quality).
. Continue to implement activities to share the initiatives
regarding chemical substances regulations.

. Regularly held Quality Assurance Joint Meetings, fourtimes a year.
. Implemented activities to share the initiatives regarding
quality improvement (activities to reduce thepercentage of defective products and losses due todefective quality) and chemical substances regulations.

A

respond to
Customer Appropriately
and share customer
satisfaction customers
experience
improvement service
company-wide.

. Report the content of inquiries/complaints received by
the Customer Service Center to the CSR Promotion
Committee.
. Analyze the contents of complaints and results of the
responses to these complaints.
. Develop products incorporating customer opinions.

. In FY 2018, the Customer Service Center received 2,158
inquiries/complaints. Among them, inquiries about
products, standards, prices and functionality accounted
for 32% (691 cases), and complaints accounted for 3%(73 cases).
. Regarding complaints, after classifying their contents
and analyzing their causes, we will utilize the results forthe next time we develop products.

B

Information Properly disclose investor
disclosure relations information.

. Disclose IR information related to our corporate
activities in a timely manner.
. Disclose in a timely manner the quarterly summary offinancial results to the Tokyo Stock Exchange, andpublished the summary on the Company’s website
without delay.

. Disclosed IR information related to our corporate
activities in a timely manner.
. Disclosed in a timely manner the quarterly summary offinancial results to the Tokyo Stock Exchange, andpublished the summary on the Company’s website
without delay.

A. Engage in external communications.
. Enhance CSR and corporate branding initiatives.

. Set up Suminoe Textile booths at various exhibitions,
including JAPANTEX 2018 and the 85th Tokyo
International Gift Show.
. Each Group company redesigned its website, aiming to
improve its corporate brand image.
. Increased the number of dialogs with institutional
investors as compared with the previous fiscal year andactively communicated with them, aiming to promote
their understanding of the Group’s business and its results.

. Formulate a policy for social contribution activities.

. Continued local contribution activities andenvironmental protection activities.
. Willingly engaged with the local communities, andparticipated in activities for regional preservation andrevitalization.

. Reduce energy consumption and fuel consumption bycompany-owned vehicles each by 1% as part of ourefforts to prevent global warming.
. Improve the rate of use of recycled materials by 1%.
. Reduce the amount of industrial waste generated by
1% (as compared with fiscal 2017, in terms of basic unit).

. Achieved the reduction targets both for energy
consumption and fuel consumption bycompany-owned vehicles.
. Also achieved the improvement target for the rate ofuse of recycled materials.
. Did not achieve the reduction target only for theamount of industrial waste generated (as comparedwith fiscal 2017, in terms of basic unit).

Occupational Promote activity plans to protect
healththe safety of employees.
and safety

Information
security

Promote a business continuity
plan (BCP) to be implemented in
the event of emergency ordisaster.

Promote communication withstakeholders
External
communications (publicize the strength of theCompany).

Contribute to the local

P.35

FY2018 results. Provided anti-harassment training at small
offices/factories.
. Further notified the contact points for harassment
consultation.
. Measures were not implemented to increase thenumber of harassment counselors.

B

A

FY2018 targets. Continue to provide anti-harassment training.
. Further notify the contact points for harassment
consultation.
. Increase the number of harassment counselors(including those working at affiliated companies).

Intellectual Promote understanding ofproperty intellectual property.

P.30. Improve the systems for supporting employees incaring for children, the elderly and other family
members.
. Promote a work-life balance (by promoting
no-overtime days and increasing the use of paid leave).

Priority item

P.23

Socialcommunities.
contribution Carry out social contribution
activities activities relating toenvironmental protection.

Environment

Safety, disaster prevention,and health

P.26

B

Relatedpage

BCP

Consumer issues /Social contribution management activities

Human Rights, employment, treatment of employees,
and human resource development

employees.

Revitalization of human resources.

17. Have Senior Employees create job manuals in their
specialized field.
. Hold study meetings in which Senior Employees serve
as instructors.

C

CSR
category

Risk management

FY2018 targets

Safety, disaster prevention, and health

Major theme

Priority item

Reduction ofenvironmental
P.36-41 impact from Prevention of global warming.
business
activities

A

B

B

Suminoe Textile Group CSR Report 201918

Foundation That Supports Growth

Enhancing Governance
Establishing a Trustworthy Corporate Foundation—Fair and Sound Management

Corporate governance*

CSR Promotion System

Governance System
To secure the soundness and efficiency of management, wehave been appointing outside directors and strengthening
the function of the corporate auditor system. The Board of
Directors functions as a body for making management decisions
in a speedy and agile manner and for overseeing the status ofbusiness execution. The Company has also introduced an operating
officer system, under which operating officers are held responsible
for business execution. In this manner, we ensure theeffectiveness of governance.

The CSR Promotion Committee is an organ that plays a central
role in promoting CSR initiatives. The Committee holds its
meetings four times a year at the Head Office of Suminoe
Textile Co., Ltd. At these meetings, the Committee members
make decisions on the policies for CSR-related activities,
deliberate on each subcommittee’s activity plans, and confirm
their progress.
They are also engaged in discussions on the medium- tolong-term recurrence prevention plan and check its progress.
In so doing, the Committee works to enhance governance andcompliance.
Individual subcommittees conduct a series of lively discussions
in order to identify the CSR issues to be addressed and implement
specific measures to tackle these issues.

Corporate governance: The mechanisms by which company management is* controlled
and supervised, in order to enhance its management transparency
and corporate value

Board of Directors
The Board of Directors comprises eight directors (including
three outside directors) and supervises business execution andmakes decisions on important matters.
Board of Corporate Auditors
The Board of Corporate Auditors consists of three auditors(including two outside auditors). The Board decides auditing
policies and plans and deliberates on audit reports.
Nomination and Remuneration Committee
The Nomination and Remuneration Committee is set up as
an advisory body to the Board of Directors. The Committee aims
to strengthen its oversight function by improving transparency
and objectivity in the evaluation and determination processes
concerning the nomination and remuneration of the membersof the Board of Directors, thereby further enhancing the corporate
governance system.
The Committee membership comprises five directors
selected by a resolution of Representative Directors,
independent outside directors and the Board of Directors.

The majority of the membership should be outside executives,
including independent outside directors.
Management Meeting/CSR & Internal Control Council
A Management Meeting is held every week, in principle, toreport and deliberate on important management matters.
Matters of particular importance will be reported to theBoard of Directors. CSR-related important matters andevaluation of internal controls concerning financial reports
are discussed at a meeting of the CSR & Internal Control
Council. The meeting is attended by one full-time
corporate auditor as an observer.
Meeting of Operating Officers
The Meeting of Operating Officers comprises President
and operating officers of Suminoe Textile Co., Ltd., andholds its meeting once a month.
At the monthly meeting, the decisions made by meetingsof the Board of Directors or by the Management Meetingare announced, and reports are made on the present
status of business execution by each operating officer.

Corporate Governance and CSR Promotion System
General meeting of shareholders
Selection/
dismissal

Selection/
dismissal

Selection/dismissal

Board ofBoard of Directors

Board of Directors

3 auditors

8 directors(including 3 outside directors)(including 2 outside auditors)

Audit

Nomination andRemuneration Committee

Selection/dismissal and supervision

Accounting auditor

Representative
Directors

Cooperation

CSR Promotion System
CSR Promotion Committee

Cooperation

Management
Meeting
Cooperation

CSR & Internal
Control Council

Audit

Compliance .
Risk Management Subcommittee
Central Healthand Safety Subcommittee

Meeting ofOperating Officers
Direction andsupervision

Respective departments,
Head Office,and Group companies

Internal Auditing
Department

Human Resource (Development
and Health)Subcommittee
Consultation
services foroverseassubsidiaries

Corporate Ethics
HotlineEnvironmental Promotion
Subcommittee
Product Liability (PL) Subcommittee

Financial Control Committee

Audit
From the left in the back row Outside Corporate Auditor Masashi Hashimoto/Outside Director Kohei Nomura/Corporate Auditor Kunihiko Kotaki/Director Katsuyuki Sawai/
Director Teppei Nagata/Outside Corporate Auditor Atsuhiro Sonoda
From the left in the front row Outside Director Takashi Yokota/Representative Senior Managing Director Hitoshi Iida/Chairman and President Ichizo Yoshikawa/
Representative Senior Managing Director Yoshiaki Tanihara/Outside Director Haruo Shimizu

19

Suminoe Textile Group CSR Report 2019

Suminoe Textile Group CSR Report 201920

Foundation That Supports Growth

Enhancing Governance
Establishing a Trustworthy Corporate Foundation—Fair and Sound Management

Ensuring Compliance
Basic Policy
Corporate Activities in Compliance with Laws andCorporate Ethics
We have formulated the Suminoe Textile Group Code of
Conduct and the Suminoe Textile Group Code of Corporate
Behavior, both of which lay out the basic policy for implementing
compliance management.
In keeping with the basic policy, officers and employees of
the Suminoe Textile Group strive to ensure that their own waysof thinking and behavior are always in compliance with laws
and corporate ethics.

Compliance Education

Whistleblowing System

Questionnaire Survey on Workplace
Comfort (In-house Employees’ Opinion Survey) 2019

Repeatedly Conducting Awareness-Raising Activities forEnhancing Corporate Governance and Ensuring Compliance

Announcing Whistleblowing Contact Points andEncouraging Their Use

Realizing a Comfortable Working Environment andChecking on the Progress of CSR Activities

As a fundamental principle of corporate activities, we need tocomply with laws and regulations that are applicable to various
situations, with a strong sense of ethics.
The Suminoe Textile Group has repeatedly provided
compliance education on a regular basis. In accordance withthe compliance training plans designed for each operation site,
in fiscal 2019 we held a workshop at the Shiga Factory of
Suminoe Techno Co., Ltd., with 48 trainees from theproduction departments in our Group companies. These
trainees shared their compliance awareness regarding what
are the risks underlying their work and what are misconduct
risks, from the viewpoints of compliance in the production
departments.

We have established the Corporate Ethics Hotline asa whistle-blowing system covering the entire Group. We encourage
employees to use the Hotline to submit a report should they findincidences of violation of laws and regulations or corporate ethics.
The Corporate Ethics Hotline Management Office serves as thein-house contact point for whistleblowing. For consultation outside
the Company, employees may use an outside attorney’s office, anexternal contact point exclusively for consultation on harassment,
and outside health consultation services. All Group employees arenotified of and encouraged to use these contact points on occasionsof in-house training and compliance workshops to ensure thatthey can seek consultation easily and with peace of mind.

The Questionnaire Survey on Workplace Comfort is conducted
once a year for all Group employees both in Japan and overseas inorder to assess the progress of CSR activities and utilize the results
for future initiatives.
In the 2019 survey, those who agreed to “I feel strongly that
I want to work at my present company for a long time” increased
by 0.05 points from the 2018 survey. In response to this result, tofurther improve employee satisfaction, various measures were
implemented mainly to revitalize human resources. We willcontinue to carry out these measures in the future.
The questionnaire results are reported to the Management
Meeting, the Meeting of Operating Officers, and the responsible
personnel in each department. These results are also madeavailable on the in-house intranet so that the information can beshared among all employees.

Consultation services used (number of consultations received)

Compliance Measures

2017

2018

Creating a Corporate Culture to Develop
Compliance Awareness in Daily Operations

Corporate Ethics Hotline

3

2

Outside attorney

00

The Suminoe Textile Group communicates relevant
information to develop compliance awareness among officers
and employees through various media contents. For example,
the Compliance Guidanceissued in April 2017 is used asa tool for lectures on compliance,
which are continuously provided
for employees at the time they
enter the company and training
by level.
English and Chinese versionsof the Guidance were distributed
to employees of overseas Group
companies. Employees are also
encouraged to recite the Codeof Conduct in unison to help
foster their awareness ofcompliance.

Health consultation service (consultation on harassment)

60Harassment consultation contact point

1

8

Poster on which the Code of
Conduct is printed

Compliance Guidance(Japanese, English and Chinese versions)21

Suminoe Textile Group CSR Report 2019

Consultation contents / FYManagement by walking around

Major Responses to the Survey[Results of General/Contract Employees]

All Group employees both in Japan and overseas weretargeted. Questions were asked in eight categories, including“work,” workplace,” and “corporate culture,” and each question
was answered in two ways: four-grade multiple choice and freecomments. Note that responses from overseas employees are
not included in the following survey results.

Discussions on Each Worksite’s Problems Based on
Interactive Communication between Employees andManagement Executives

Fair Trade (Compliance with the Subcontract Act)
Implementing Periodic Seminars on Subcontract Act
The purpose of the Suminoe Textile Group is to “contribute to
the improvement of society through the production and salesof good products and a prosperous business.” To this end, we
consider it very important to deepen the relationship of trustwith our suppliers. With particular emphasis on compliancewith the Subcontract Act, we continue to take various
measures to ensure appropriate and smooth management of
subcontracting transactions.
As educational and awareness-raising measures, the Legal
Affairs Group of the CSR Promotion Department holds
in-house seminars to prevent violations of the Subcontract Act
and promote employees’ awareness of the Subcontract Act. In
fiscal 2019, these seminars were held at Suminoe Textile Co.,
Ltd., SUMINOE Co., Ltd., Suminoe Teijin Techno Co., Ltd. andOwari Seisen Co., Ltd., with a total of 123 participants. In
the seminar materials, we included some frequently asked
questions and answers, as well as examples of actual
transaction documents. After the seminars, the lecturers
responded to questions from trainees and held individual
consultations.

The Suminoe Textile Group implements “management by walking
around,” through which management executives share informationand interactively communicate with employees. Executives(directors and operating officers) of Suminoe Textile Co., Ltd.
visit Group companies and their offices and factories toexchange opinions with worksite employees.
On March 25, 2019, these executives visited the Ishikawa
Factory of Owari Seisen Co., Ltd. After a factory tour, they visitedthe Hokuriku Office of Suminoe Teijin Techno Co., Ltd. and helda meeting with executives of Owari Seisen, which was followed
by a convivial meeting in which local employees also participated.

Agree. 4 points
Somewhat agree. 3 points
Somewhat disagree. 2 points
Disagree. 1 point

I feel strongly that I want to work at my present
company for a long time
2018
2019
12.4%

10.5%

20.2

%

20.2%
46.8%

47.5%

2.75*

2.80*

I find my present work rewarding
2018
8.0%

14.2

2019
7.0%

14.3

%

26.3%

%

26.1%
51.4%

2.72*

*

21.6

%

20.6%

52.3%

2.74*

Index based on a scale of 4

Suminoe Textile Group CSR Report 201922

Foundation That Supports Growth

Enhancing Governance
Establishing a Trustworthy Corporate Foundation—Fair and Sound Management

Risk Management

Intellectual Property Management Efforts

Three Projects

2. “Easing Workloads” Project

To Achieve the Trinity Strategy

Risk Management
Risk Management at Offices/Factories in JapanAs for risk management at offices/factories in Japan, we strive
to identify risks, mainly the risk of material misstatement infinancial reports, based on the risks reported from Suminoe
Textile Co., Ltd. and its Group companies. The Financial Control
Committee examines the risk assessment results, which arealso recognized by members of the management meeting. In
implementing internal control, offices/factories in Japan have
reduced risks to a certain level. We will henceforth promote
the introduction of information technology (IT) to establish
a system to mitigate each risk even further.

Risk Management at Overseas Subsidiaries
China SPM Automotive Textile Co., Ltd. (SPM)
In its sixth year of RM activities, SPM is focusing on “Costreductions” this fiscal year to achieve improvement. The theme
was selected due to the reduction of automobile sales volume
caused by a reactionary fall after the last-minute demand before
the end of the tax break for automobile purchases and to
the deterioration in consumer confidence caused by the U.S.-China
trade war. Although it is expected that the impact causedby these factors will not be so strong, the need for activities tomaintain profit is increasing. To achieve results steadily, the RM
committee sets goals for the items of improvement submitted
by each department, examines monthly results, and considers
adding items if the goals are not achieved. In this way, SPM is
working to ensure good performances and achieve goals.
Indonesia PT. Suminoe Surya Techno (SST)
Last year, SST introduced a stocktaking system using barcodes
and handy terminals to prevent inventory variance and showed
successful results. This fiscal year, to achieve further risk reduction,
SST introduced a production management system targeted atstreamlining field work and management, which will serve asa model case for overseas production factories. After achieving
full-fledged operation and results at an early stage, the system
will be introduced at Suminoe Koide (Thailand) Co., Ltd. (SKT)and Suzhou Suminoe Koide Automotive Accessories Co., Ltd.
(SSK), both of which adopt the same production style, thus
contributing to the Group-wide project: reengineering of
the core system.
We will continue effective and efficient risk management
focused on high-risk areas at overseas subsidiaries.

Intellectual property rights include patents, utility model rights,
design rights and trademarks. To protect rights of our products,
we are working to raise awareness and promote
understanding of intellectual property rights among
employees.
To be more specific, we publish the Intellectual Property
News on the in-house intranet as part of our efforts to provide
intellectual property education for employees, regarding thecost required to file patent applications at the Japan Patent
Office based on international applications under the Patent
Cooperation Treaty, as well as the trinity strategy andintellectual property rights in corporate business activities. In
addition, at regular technical meetings held in Nara and Osaka,
we introduce related patent information and topics on
intellectual property rights.
In business fields with harsh market competition, close
coordination of strategies
related to business,
Trinity Strategy
planning/development, andintellectual property is
becoming more important.
Planning/
We will continue our efforts
Businessdevelopment
strategy
to achieve the “trinity”
strategy
strategy.
Intellectual
property strategy

Progress in Preparation of BusinessContinuity Plans (BCPs*)
Implementation of Personal Safety Confirmation Drills
In the event of a disaster, disseminating information to customers
speedily and accurately is key for us to maintain customer trust
as a company. Based on this idea, our Group has been working
to establish its business continuity plans (BCPs), focusing oncollecting such information as employees’ personal safety anddamage caused by a disaster. At its Head Office building,Suminoe Textile Co., Ltd. has continuously held BCP-based
emergency drills, in which participants confirm the personalsafety of employees following the in-house emergency contact
rules, with particular emphasis on ascertaining how to behave
in an emergency.
On September 5, 2019, a personal safety confirmation drill
was held on the occasion of the Osaka 8.8 Million Drill, andthe emergency headquarters were able to swiftly confirm
the safety of all employees. The drill was also held at the head
office of SUMINOE Co., Ltd. for the first time.
Stands for “Business Continuity Plan,” a plan developed to ensure that
* BCP:
a company can continue and/or restore business operations in an emergency,such as a disaster or an accident.

23

Suminoe Textile Group CSR Report 2019

Maximization of the Power of Human Resources

EnhancinggovernanceHuman
resources

Promotingcompliance

Maximization of
the power of human resources

Easingworkloads“Easing Workloads” Project

Based on the results of the fact-finding survey on workloads
conducted last fiscal year to ease workloads, the project teamstudied “measures to ease workloads regarding operations
other than IT-related ones” in each section, focusing on
the measures that all departments in our Group can work on.
Training to improve Excel skills (Improving PC operation
skills for work efficiency)
Utilization of video conferencing (Considering introductionof video conference systems at feasible operation sites)

Creating an environment where each employee can exert his/her abilities to the fullest“Mid-career Employees” Project

Easing Workloads Is Essential in Raising Awarenessof Compliance

ISRP

Future challenges (e.g. utilization of shared files, effective
utilization of in-house intranet, measures to prevent
overtime work [locking PCs, etc.], promotion of paperless
operations)

1. “Mid-career Employees” Project

3. ISRP (Information System Reengineering Project)

Activate Interaction between Human Resources acrossDepartments and Improve Their Problem-solving Skills

Accelerate Reengineering of the Core System asa Group-wide Effort

Activities in FY2018
It was the third year for the project that was launched to develop
next-generation human resources and to promote corporate
culture reforms as a medium- to long-term initiative.
In recent years, “work style reform” has been the focus ofattention. In this fiscal year, to advance labor/personnel savings,
shorter working hours, and business sophistication, we studied
and formulated specific solutions based on the “inventory
counting of operations” and “easing workloads” activities
conducted last fiscal year, and we implemented feasible solutions.

We are working on the reengineering of the core system asa Group-wide effort. It had been conducted as a bottom-up
project, but in November 2018, it was changed to a top-down,Group-wide project. The change was made to enhance
employees’ awareness that the project is a mission to beundertaken and achieved across the Group and to accelerate
the project implementation under closer cooperation
involving the entire Group.

Awareness Gained
There were cases where workloads increased due to repetitionof past operations and insufficient systems, which led toa shortage of time to improve operations. In other cases,
excessive time was taken for some operations since convenientfunctions of certain systems had not been shared among
employees. In this fiscal year, we specified these problems andmade efforts for improvement, and by that, we achieved somepositive results.
Future Plan
The “mid-career employees” team considers it also necessary
to compile small improvements. As such, we will start activities
to support employees to be involved in the improvement ofoperations in other departments and promote personnel
exchange. In addition, in cooperation with the “easing workloads”
project, we will focus on providing suggestions and proposals
to the newly established ISRP (Information System Reengineering
Project) in advancing our activities.

ISRP Basic Policy
To compile information required for management promptly
and accelerate decision-making
To submit monthly consolidated financial reports earlyTo establish a global information management system
To compare costs (production and procurement at optimal
locations) and “achieve competitive costs (strengthening
benchmarks)”
To realize the best quality (enhancing traceability and BCPs)
To reduce the use of paper and introduce automatic entry(paperless)To visualize the costs (sharing cost data across the Group)
To study an operation model to be shared by all operationsites and establish a global standard model
To adjust operations to the standard model without
customizing the model for each operation site
To automate the sales order management system

Suminoe Textile Group CSR Report 201924

Foundation That Supports Growth

Initiatives for Society
Growth and Success of Employees—Creating a Working Environment Where Each andEvery Employee Can Demonstrate His/Her Best Performance

Respect for Human Rights

Human Resource Development

The Suminoe Textile Group will ensure a sound working
environment where no employees are harassed or
discriminated against because of their race, beliefs, religion,
nationality, physical features, etc.

We have formulated an education curriculum for the entire Group.
The curriculum comprises various programs, which are categorized
into training by level, role training, and selective training. In fiscal
2018, we launched a new online course for English conversationas part of language training for employees.
At Suminoe Textile Co., Ltd. those who are in their third year
or less of employment are regarded as young employees. They
are required to receive collective training for one month after
joining the Company and then take on-the-job (OJT) training
between May to September. Their department director andthe person in charge of their OJT draw up a three-year training
plan for new employees and coach them according to the plan.
During the first three years after employment, young employeesof Group companies in Japan are required to take annual training
sessions. After receiving training for new recruits, they undergo
collective training designed for second- and third-year employees.
The Suminoe Textile Group companies in Japan jointly implement
training programs, which also serve as opportunities for deepening
mutual exchange among employees participating from theirrespective Group companies.

Respect for Diversity
The Suminoe Textile Group considers that human resources
are the source of sustainable corporate growth and that it isimportant to enable each and every employee to demonstrate
his/her best performance and grow further. We place emphasis
on initiatives to create a working environment that ensuresthat diverse human resources can work happily and actively,
regardless of gender, age, and nationality.

Personnel data (Group companies in Japan)

As of the end of May each fiscal year

Item/sex/fiscal year
Male
FemaleMale
Average age
FemaleMale
Average years of service
FemaleMale
Number of new graduates hired
FemaleNumber of employees

2018

2019

1,063
463
45.9
41.2
15.4
12.2
21
20

1,070
483
45.9
41.4
15.5
12.2
21
10

Supporting a Balance between Career and Family Life

Number of employees taking training
Training system / Number of trainees

Total

Male

Female

186

139

47

Correspondence
course99

51

48

Language training

18

13

5

Training system / Number of trainees

Total

Male

FemaleCareer design for female employees

14

0

14

Training on coaching female subordinates

18

16

2

Harassment prevention

31

13

18

Subcontract Act seminar

123

76

47

Middle management training*

13

13

0

Web management course*

22

19

3

(FY2018)

Number of employees who used childcare/familycare supporting systems
Item/sex/fiscal year
Childcare leave, etc.
Childcare leave, etc.
Number of employees
who advanced/postponed
work start/finish times

25

Number of employees
who took childcare leave

Male
FemaleMale
FemaleNumber of employees
who returned to work afterchildcare leave

FemaleNumber of employees
who reduced working hours

FemaleNumber of employees
who took family care leave
Number of employees who
returned to work after familycare leave
Number of employees
who advanced/postponed
work start/finish times

Male
Male
Male
FemaleMale
FemaleMale
FemaleSuminoe Textile Group CSR Report 2019

2017

2018

0
9
0
8
0
10
0
1
0
0
0
0
0
0

0
8
0
9
0
13
0
4
0
1
0
0
0
0

Nominative/selective training

Suminoe Textile Co., Ltd. revised its internal regulations so thatthree days of childcare leave are counted as paid leave to makeit easier for male employees to take childcare leave. The Company
also strives to support employees in striking a balance between
career and family life by such means as establishing a Job Returnsystem for re-employ former employees who left the Company
due to care for children, the elderly or other family members andenabling employees to take nursing care leave by the hour.

Global Design Group, Design Department
Suminoe Teijin Techno Co., Ltd.

Ayaka Kamiya
Impression of the training for second-year employees
At the training, I was grouped with other second-year employees
to hold discussions on our everyday work. We also received
practical training as to how to proceed with work. Throughsuch training, I realized anew the importance of performing
jobs with a concrete goal or objective. I also studied how to set
my job priorities and distribute my efforts accordingly to improve
work efficiency. It was particularly informative for me.

Occupational Health and Safety*

Started in July 2019

Safety Activities

The First Personnel Subcommittee, established under the CSR
Promotion Committee, regularly reviews current employees’
working hours, and based on the results, it discusses improvement
measures to reduce these hours. The Subcommittee held interviews
with employees who stayed long hours at their workplaces andwith their supervisors about the reasons and improvement
measures, and it also repeatedly called employees’ attention to
no-overtime days in the morning assembly. Consequently, we
have begun to see these measures gradually produce effects.
The results of the Questionnaire Survey on Workplace Comfort
also showed a higher rating for the question regarding employee’s
working hours than in the previous surveys.
As for the use of paid leave, we will discuss measures toincrease the rate of employees using paid vacation days.

Use of paid leave (in Group companies in Japan)
Use rate of annual paid leave (%)

2017

2018

42.1

42.7

Promoting Occupational Accident Prevention Activities
At each office/factory of the Suminoe Textile Group, the Healthand Safety Committee (in the case of a small establishment,
the person in charge of health and safety) takes the lead in efforts
to eradicate occupational accidents.
To promote occupational accident prevention activities,
the Central Health and Safety Subcommittee consolidated andshared Group-wide “proposal instances regarding occupational
health and safety,” “on-site safety awareness-raising examples,”and other information on the initiatives carried out at respective
offices/factories. Through these efforts, we reduced boththe number of occupational accidents and the number oflost-worktime injuries, thereby improving the incident rate.
However, we failed to achieve a rate of lost-worktime injuries of“1.0 or lower,” which we had set as the target for fiscal 2018.
We will henceforth continue to implement risk assessments
and consult with each factory/office about measures to reduce
occupational accidents by thoroughly decreasing risks andpreventing the recurrence of similar accidents.

Change in the incident rate* of Group companies in Japan(Incident rate)
8

6.82
6

Middle Management Training

6.33
5.27

4.98
3.35

4

Developing Next-Generation Management Personnel
From among employees in their 30s and 40s who will become thenext-generation leaders of the Company, several members attended
business school. To show what they have learned there, thesemembers presented future business strategies to management at
a training camp. In addition, we invited all those who were interested
to take a web management seminar. Through such activities, we are
actively developing management personnel.

Promoting Measures to Correct the Issue of Long
Working Hours

Item / Fiscal year

(FY2018)

Training by level, role training,Collective training
and selective training(for skill improvement)
Selective training(for self-development)

Management of Working Hours

2.35
2
0

2.00

All Group companies in Japan(Lost-worktime injuries& non-lost worktime injuries)
Average for the industry(Lost-worktime injuries)
All Group companies inJapan (Lost-worktime injuries)

1.33

1.06
0.65

1.32
1.06

1.15

1.02

1.20

2014

2015

2016

2017

2018

Prevention of Harassment
Create a Harassment-Free Working Environment withan Open AtmosphereAs part of its effort to create a comfortable working environment,
the Suminoe Textile Group has conducted harassment prevention
training. In fiscal 2018, as in the previous year, the training wasprovided mainly at offices/factories with a small number of
employees, where we could not hold the training in the previous
three years.
Employees of the Kansai Center and the Takino Center of
Suminoe Logistics Co., Ltd. and Sewing Hyogo Co., Ltd. took
lectures on harassment cases that may tend to occur atworkplaces and on harassment on social network sites. At
TANGO TEXTILE Co., Ltd., training was held to teach employees
how to improve communication and how to coachsubordinates without engaging in power harassment. Having
received the training, participants made such comments as“I reconsidered the way that workplace communication should
be in the future” and “I will take care to avoid behavior and actionthat may cause discomfort to others.
” We will continue
to implementawareness-raising
activities.

(Fiscal year)

Source: 2018 Workplace Accident Trend Survey, Ministry of Health, Labor and Welfare
Incident rate: Accident frequency, measured as the number of deaths and injuriescaused by industrial accidents per million working hours*

Suminoe Textile Group CSR Report 201926

Foundation That Supports Growth

Initiatives for Society
Growth and Success of Employees—Creating a Working Environment Where Each andEvery Employee Can Demonstrate His/Her Best Performance

Promoting Women’s Empowerment

Target 2

1. Planned period: June 1, 2018 – May 31, 2020:
2. Targets and progress

Target 3

Ratio of new female graduates hired
Suminoe Textile Co., Ltd ... 50% or more for administrative and sales staff,
25% or more for technical and research staff
SUMINOE Co., Ltd ................ 40% or more for administrative and sales staff

New graduates hired (2019)
Suminoe Textile Co., Ltd.
(%)
50

50

Result(%)

Target
50

44.4

40

Earning a High External Evaluation
0

Administrativeand sales staff

As for the target of raising the rating of the questions regarding
women’s empowerment, we improved the rating by 0.02 point on
average, according to the responses to the four questions fromgeneral employees. Going forward, we will continue to promotemeasures to ensure that not only female employees but also allindividual employees can play active roles in their workplace.

Result25
0Raising the rating of the questions regarding women’s
empowerment by 0.1 point in the in-house employees’
opinion survey (Questionnaire Survey on Workplace
Comfort)SUMINOE Co., Ltd.

TargetTechnical andresearch staff

00Administrativeand sales staff

Suminoe Textile Co., Ltd. obtained a two-starverification as an Osaka City Leading Company
in Women’s Participation.

Interviews with Female Employees Who Are Actively Working
Global Design Group, Design Department
Suminoe Teijin Techno Co., Ltd.

Yuka MimuraEntering into the world of manufacturing, accomplishing mychildhood dream
Since I was a child, I have loved drawing pictures and manufacturingsomething. At university, I learned dyeing and weaving. Since I
wanted to do work related to what I had learned at university, I
joined Suminoe Textile. Now I am in charge of designing
automotive seat covering materials. Immediately after entering
the company, I sometimes felt that seat covering materials thatare a part of an automobile were less attractive, as compared withgorgeous interior or fashion materials. However, as I came to learn
the texture of yarns, the beauty of textile tissues, and new processing
techniques, I found myself absorbed in my present work.
Doing my utmost, with no later regrets
Manufacturing is challenging but rewarding. Every time wemanufacture a product, we always take on new challenges.
Members from sales, technical, and design divisions work as a team,exchange ideas and give a concrete form to the ideas through trial
and error. First, we designers listen to requests and views ofcustomers and then convey their requests and views to technicians,
who will share them with staff working on the processing floor.
Our jobs are not limited to creating design drawings and determiningcolors. We are also constantly involved in the development ofa product for a competition, playing a role in indicating the directionof the development, so we bear a grave responsibility. When I workon the development of a product for a competition, I always do myutmost so that I will not have any regrets later. At the competition
27

Suminoe Textile Group CSR Report 2019

Senior Employees Playing Active Roles

We promote initiatives to support female employees in striking
a balance between career and family life. For details, please refer to“Supporting a Balance between Career and Family Life” on page 25of this CSR Report.

This section reports on the progress made in the Women’s
Empowerment Promotion Plan.

Target 1

Enhancing the system to enable female employees tocontinue working even after going through various life
events by supporting them in balancing work and family

site, I also try to convey our team’s passion in making a presentationon the product, which is a culmination of great efforts of manymembers of the development team, so as not to let their hard
work go to waste. Since I don’t want to feel sorry later, thinking “Ifonly I had done that,” I make it a rule to exert all of my strength toaccomplish each task at hand.
Of course, I am happy when the product is successfullycompleted. In addition, I feel the greatest pleasure and happiness
when we can win an order for the product. This is probably
because all the members involved in the development can sharea sense of unity as a result of concerted efforts to overcome
difficulties toward the same goal under great pressure. Until
the completion of a product, we face so many difficulties, making
me think “I won't ever do this again.” When the development isfinished, however, I can remember such difficulties most happily.
Passing what I have learned to younger employees
Since I work together with a number of people until a product iscommercialized, I can learn a lot from their attractive features andresourcefulness. Thanks to the members with whom I have sharedpleasure and exchanged candid views, I was able to overcome
difficulties. I also appreciate my supervisors and seniors who haveprovided me with generous support, facilitating my personal growth.
In my second year after joining the company, I was assigned towork in the United States, which was a valuable experience for me.
Although I faced many difficulties, I was able to become
self-independent because of them. The human relations
I established there are my treasures even today.
In design, everyone can be successful irrespective of gender.
My working environment is truly comfortable since our hard work
is fairly recognized. In the future, I wish to continue to develop
myself together with younger employees, while teaching them
the pleasure of manufacturing that I have experienced andthe importance of teamwork, as much as I can.

socialize with many people. It was a beneficial experience thatbrought me positive results.
New Product Team, New Business Section
Owari Seisen Co., Ltd.

Mitsuhiro Mizukami
What approach do you take to your daily work?
I am in charge of handling new products in the New Business
Section. Specifically, I am engaged in the manufacture of
microfiber cleaning tools, CLOTHCABIN, and other products.
On the New Product Team, a small number of staff members
have to deal with a wide range of work, from order intake toquality control. As such, each member must be an all-rounder.
I therefore think that I should always be ready to change myself,
without being stereotyped or afraid of changes. My favorite
maxim is “keep improving every day,” and I am conscious ofchanging myself for the better day by day. This is the attitude
I have taken since I was young, but it has become stronger
after I became a Senior Employee.
What aspect of your work do you find the most worthwhile,and what has been your most beneficial experience working
for the company?
We cannot survive if we just offer standard products without
expanding our product lineup. With this recognition, I find it
worthwhile to do my work based on my own ideas while creating
something novel and making proposals from a new perspective. I
treat people of our cooperative factories like my family members
and attach importance to daily communication with them. I alsofeel a great sense of fulfillment when I act as a director who leads
other members in a way that satisfies everyone. I have undergone
many personnel changes and faced difficulties. However, while
engaged in various kinds of work, I was happy to meet andWhat has been your happiest experience working for thecompany?
Ten years ago, our section had very poor sales figures.
However, as we began to receive orders for products other thanconventional ones, the section gradually began to produce
stable sales. Since I didn’t want to see my section closed while
I was working here, I was happy to be able to make a profit.
Message to those working as Senior Employees
I hope that you will actively fulfill your duties without fearing
changes. As we get older, we tend to become less willing totake on challenges. I believe, however, that it is important for
us to do our everyday work with a new mindset, without goingon the defensive.

New Product Team, New Business Section
Owari Seisen Co., Ltd.

Yumiko Motoe
Message to Mr. Mizukami from a Coworker
I respect Mr. Mizukami because he has all-around ability to perform
a wide variety of tasks, including office work, development, quality
control, and sales. When I have something I cannot understand,he gives me proper instructions and follow-up support. Althoughsometimes he may be too serious and square, Mr. Mizukami hasa very gentle nature, and he always cheers us up. I hope that hewill continue to teach us a lot of things in the future.

Introduction of a Local Employee Working at an Overseas Subsidiary
Suminoe Textile of America Corporation (STA)
Fabric/Mat Manager

Christopher Glawson

Joined the company
on May 18, 2015

What aspect of your work do you find the most worthwhile?
I find it worthwhile to consider how I can get along well with
employees and how STA can achieve positive results.
What is the key to communicating well with Japanese staff
members?
It is to share the same understanding of the department targets
with Japanese staff, trust them and establish strong ties withthem.

What do you think are important in working with STA?
There are a lot of things that I feel are important for SUMINOE.
Among them are the following:
1. Protect employees’ safety by keeping the workplace clean
and tidy (based on the Japanese “6S” approach: Seiri (sorting),
Seiton (setting-in-order), Seiso (clearing), Seiketsu (standardizing),
Shitsuke (discipline), and Saho (etiquette).
2. Deliver high-quality products with confidence to customers,
meeting promised delivery dates.
3. Maintain an environment that promotes open communicationtranscending departmental boundaries.
4. Maintain an environment that promotes open communication
with employees and make them aware of what is importantfor SUMINOE and customers.
What is the special strength of STA?
A flexible way of thinking that can appropriately respond to
the diversity of the market.
Suminoe Textile Group CSR Report 201928

Foundation That Supports Growth

Initiatives for Society
Creating Value for Customers—Contribution to the Environment
and Society through Manufacturing

Concept on Manufacturing

Sharing Technical Information

Contribution to Society through the Creation of Highly
Functional Products

Sharing Useful Technical Information acrossDepartments

Our Group’s Company Purpose is to “contribute to the improvementof society through the production and sales of good products
and a prosperous business.” We consider that it is our corporate
responsibility to contribute to society by producing innovativetechnologies and highly functional products through ourmanufacturing activities. We are determined to satisfy the needsof our customers both at home and abroad, utilizing ourcomprehensive ability supported by the trinity of development,
manufacturing and sales departments. To achieve this, establishinga good balance between our scheme and uniqueness is necessary.
Toward the future, we will continue our efforts to foster ourhuman resources and develop and suggest eco-friendly andhealth-conscious products.

The Group organizes department meetings with participationfrom management in order to share technical information
related to production technology, R&D status and intellectual
property. In addition, to share new technologies and initiatives
created at each office/factory, regular technical meetings areheld in Nara and Osaka.

Customers

Comfortable spaces
Colorful lifestyles

Sales and service

Manufacturing

Production
management

Product
development

Business Growth through Innovative TechnicalDevelopment
The research department is required to have an inquiring mind
at all times and take on challenges in new fields. It is not an easytask to utilize our unique solutions for customer needs andproduce an innovative product. We will support our company’s
growth not only by utilizing our Group’s traditional technology
and production but also by promoting technical developmentin accordance with the changes over time. We are working tofoster personnel who, based on their interest in people andthings outside the company, will try to have broader knowledge
and commit themselves to technical development, responding
to the changing times. We are also making efforts to advance into
new fields through cooperation with companies from otherbusiness fields as well as with universities and research institutions.

Suminoe Textile Group CSR Report 2019

Quality Management

SafetyTo provide our customers with safe and secure productswith satisfactory quality, our Group is making efforts to ensure
the safety and improve the quality of our products based on
the traditions and technology we have developed since ourfoundation. To maintain and improve product quality on
a continuous basis, we apply the quality management system
across the Group, give priority to our responsibility for customer
satisfaction, and focus on “Better Products” and “Better Sales
Service.”

Laws

Quality Management System Certified
by External Bodies

Value
offeredTechnical Development

29

Suminoe Textile Group’s Value Chain
for Manufacturing

Basic Policy

Quality

Technology

Suminoe Textile Group’s Value Chain
for Manufacturing

Quality management
Facility maintenance
Production technology
ISO promotion
Intellectual property

Quality Assurance and Product Safety

Suminoe Textile Group’s Quality Cycle

JIS Q 9100 Certification, a Quality Management System
Standard for Aerospace and Defense Industries, Obtained

Design and Creation
Regular Meetings Held to Share Information acrossthe Entire GroupThe Design Department boasts a history of about 90 years since
the establishment of its predecessor in 1929. Having undergonechanges according to the change of the times, the department
cherishes the attitudes of sensitively catching market trends andfashions and of studying and accepting new techniques andmaterials. Based thereon, the department is working to promotesustainable product development and eco-friendly designs thatwill last long, in cooperation with the technical department.
Designers from each department attend regular meetings to share
information, utilizing the opportunity to inspire eco-friendly
designs and manufacturing across the Group.

Continuous
improvement

PDCA

Act

Seven offices/factories in our Group, both in Japan and overseas,
have obtained ISO 9001 certification, an international standard
for quality management. Outside Japan, five offices/factories
have obtained, and one is trying to obtain, IATF 16949 certification.
Last fiscal year, we obtained JIS Q 9100 certification, a quality
management system standard for aerospace and defense industries.
We will continue our efforts to improve quality even further
and to provide safe, secure and more reliable products, thereby
satisfying the needs of customers both in Japan and aroundthe globe.

(Improvement)

Check(Evaluation)

Do

Plan

(Preparation)(Implementation)

Status of Acquisition of External Certifications for Quality Management System
Organization

ISO9001:2015

JIS Q 9100:2016

IATF16949:2016

JIS Q 17025

Registration No.

Registered Expired

Suminoe Techno Co., Ltd. Nara Factory(including Suminoe Techno Co., Ltd. Shiga Factory and Suminoe Logistics Co. Ltd. Nara Center)

Japanese Standards Association

JSAQ 283

May 1998

May 2022

Suminoe Teijin Techno Co., Ltd.

Japanese Standards Association

JSAQ 422

Jan. 1999

Jan. 2020

Teijin Tecloth Ltd.

Japan Quality Assurance Organization

JQA-QMA12298

Jul. 2005

Jul. 2020

Owari Seisen Co., Ltd.

Japan Quality Assurance Organization

JQA-QMA12266

Jul. 2005

Jul. 2020

Suzhou Suminoe Textiles Co., Ltd.

China Quality Certification Centre

00117Q25120R0M/3200 Dec. 2010

Jun. 2020

Suminoe Textile of America Corporation (STA)NSF ISR

C0315276-IS3

Feb. 2017

Jan. 2020

Suminoe Textile de Mexico, S.A. de C.V. (STM)
Suminoe Textile Co., Ltd.

DQS Holding GmbH

10015814QM15

Jul. 2019

Jul. 2022

JIC Quality Assurance Ltd.

A5048

Apr. 2018

Apr. 2021

Suzhou Suminoe Koide Automotive Accessories Co., Ltd. (SSK)NSF ISR

CNTS024857

Jul. 2005

Mar. 2021

T.C.H. Suminoe Co., Ltd. (TCHS)

TÜV Rheinland

01 111 064933

Aug. 2002

Feb. 2021

SPM Automotive Textile Co., Ltd. (SPM)

Intertek

0223927

Dec. 2009

Jan. 2021

Bondtex, Inc.

NSF ISR

83141-TS9

Sep. 2018

Sep. 2021

Suminoe Textile de Mexico, S.A. de C.V. (STM)

DQS Holding GmbH

10015814IATF16

Jul. 2019

Jul. 2022

Kansai Laboratory Co., Ltd. (Osaka Laboratory)

National Institute of Technology and Evaluation

090277JP

Apr. 2009

Apr. 2021

Kansai Laboratory Co., Ltd. (Nara Laboratory)

National Institute of Technology and Evaluation

000137JP

Sep. 2006

Sep. 2022(Functional Materials Business Division, Osaka First Sales Department and Quality Assurance Department)

Certification bodySuminoe Textile Group CSR Report 201930

Foundation That Supports Growth

Initiatives for Society
Creating Value for Customers—Further Improvement of Customer Satisfaction
Delivery Track Records of Traffic Facilities

Delivery Track Records of Functional Materials

Interior Material Adopted for the New Limited Express “Laview” by SEIBU Railway Co., LTD.

Deodorizing Filter Newly Adopted for Ceramic Fan Heaters by Hitachi Global Life Solutions, Inc.

On March 16, 2019, SEIBU Railway Co., LTD. launched its ﬁrst
new limited express train, “Laview,” in 25 years. The vehicle
design was directed by an architect, Ms. Kazuyo Sejima, as
a “never-seen-before train car” featuring a unique façade madeof 3D curved glass and soft and bright interior colors that canbe seen through large passenger windows. The train car
produces an attractive and comfortable space like a living room,
made possible by carefully selected color combinations as well
as by the shape and texture of the seats.

Hitachi Global Life Solutions, Inc. produces highly functional
products with sophisticated designs that match well withcustomers’ lifestyles.
The company newly adopted Suminoe Textile’s トリプルフ
レッシュ ®(TRIPLE FRESH) bio ﬁlter for their ceramic fan heaters.
Their ceramic fan heaters are compact and do not take upmuch space, so they can be used in various areas in the house,
including the bathroom and entrance. The design of the トリプ
ルフレッシュ ® (TRIPLE FRESH) bio ﬁlter has been improved sothat it can exert its deodorizing function to the fullest and go
better with compact heaters compared to conventional
products. The トリプルフレッシュ ® (TRIPLE FRESH) bio ﬁlter has
been highly evaluated by Hitachi Global Life Solutions, and wewill continue our eﬀorts so that the ﬁlter will continue to be
the ﬁrst choice for them.

Osaka Traﬃc Sales Group Traﬃc Sales Department
Suminoe Textile Co., Ltd.

Chief, Rolling Stock Division,
Rolling Stock Department, Railway Business Headquarters
SEIBU Railway Co., LTD.

Tokyo Sales Department
Functional Materials Business Division
Suminoe Textile Co., Ltd.

Functional Processing and Development Group
Technical Center
Suminoe Textile Co., Ltd.

Keisuke Ryu

Mr. Katsuya Ushitsuka

Kodai Komori

Takahiro Hamasaki

The ﬁrst new limited express train launched in 25 years, “Laview,” wasco-developed by SEIBU Railway Co., LTD., designer Kazuyo Sejima, andHitachi, Ltd. and embodies their strong passion for making
a “never-seen-before train car.” We, as a manufacturer, made pilot interior
fabrics many times, caring about the slightest details.
To create a bright cabin space with a soft impression, we madean all-out eﬀort for material development. I am pleased that I could
participate in making a train car that will be loved for a long time bypassengers and look forward to feeling the passion of SEIBU Railway
Co., LTD. when I get on the train car as a passenger.

31

All interior fabrics were designed anew. The moquette adopted
as the seat covering material boasts a soft texture that iscompletely new, produced by specially processed pile yarn
covering the entire surface. Our products feature polyester
moquette for seats, curtains and carpet tiles.

Suminoe Textile Group CSR Report 2019

The 001-series Laview was launched after a quarter of a century,
following the 10000-series limited express New Red Arrow. We
developed it with Ms. Kazuyo Sejima, a world-renowned architect, basedon the concept of creating a new, never-seen-before train car.
The bright, white-based cabin houses warm yellow seats, calm
gray curtains on windows, and low-maintenance carpet tiles on
the ﬂoor. It is notable that Suminoe Textile Co., Ltd. produced grayish
yellow moquette for seats featuring a color that would not easily fadeaway. Using it, we were able to produce “never-seen-before,” one-and-only,
characteristic and cute seats with a round shape designed to gently
envelop your body.

Ceramic fan heaters of Hitachi Global Life Solutions, Inc. arecharacterized by their compact size, and we could not oﬀer ourconventional トリプルフレッシュ® (TRIPLE FRESH) bio ﬁlter due to its
thickness and pressure loss. Therefore, we started the development ofa thinner ﬁlter with lower pressure loss. The schedule was tight and
we faced many challenges. However, we visited the base material factoryin China to directly investigate the cause and develop countermeasures.
As a result, we were able to successfully deliver the new product. I am
grateful for all those who cooperated with us, leading the product tobe adopted.
I will continue taking on challenges and working proactively for
product development.

This was the ﬁrst ﬁlter featuring a base material other than paper, which
had been used for the ﬁlters for conventional air puriﬁers, etc.
The challenge in the course of development was to prevent the ﬁlter
from applying load to the fan motor and to enhance its deodorizing
function. Conventional paper material caused higher pressure loss andoverload, so we searched for a new material, selected the optimal
deodorizer and studied processing methods. As a result, we were able
to produce a ﬁlter with lower pressure loss. At the pre-production stage,
we observed a problem with the product appearance. By investigating
the cause and developing countermeasures in cooperation with the basematerial maker and the manufacturing department, we were able tosuccessfully deliver the new product.
I will continue my utmost eﬀorts to develop products that will meetthe needs of our customers.

Suminoe Textile Group CSR Report 201932

Foundation That Supports Growth

Initiatives for Society
Creating Value for Customers—Further Improvement of Customer Satisfaction
Delivery Track Records of Interior Fittings Products

Delivery Track Records of Automotive Textiles

Embossed fabricGrace Cord

The Main Banquet Floor on the 1F of Hotel New Otani Renovated with Specially Ordered Tufted Carpet

Automotive Textiles Adopted by Toyota Motor’s RAV4 (Adventure/X/HYBRID X Grades)

Hotel New Otani, one of Japan’s leading hotels, was opened as
an international hotel in 1964, when the Olympics were held inTokyo. It has since been loved as a hotel suitable for the capitalof Japan, Tokyo, and hosted numerous international conferences.
The carpet covering the Main Banquet Floor on the 1F of Hotel
New Otani was renovated for the ﬁrst time in 18 years, following
the renovation of the Lobby Floor on the 2F last year. The carpet
from the banquet entrance, which has welcomed a number of
VIPs from around the globe, leading to the banquet room, which

The ﬁfth-generation model of the Toyota RAV4, a pioneer ofcrossover SUVs selling well in Japan, was released.
The fourth-generation model was not sold in Japan, but due tothe global trend for SUVs, they resumed sales of the RAV4 inJapan from this new model. The exterior design featuresa cross-octagon (combination of two octagons) and boasts
a sharp shape. There are 12 exterior color patterns, including
two-tone colors. Regarding automotive textiles, our embossed

fabric is used as the main material for the seats of the X/HYBRID X
Grades, and our GRACE CORD as the trim accent material of
the Adventure Grade.

The Second Block, East Japan Branch
SUMINOE Co., Ltd.

Representative of the Facilities Department,

Design and Development Department, R&D Center
Suminoe Teijin Techno Co., Ltd.

Design Department, R&D Center
Suminoe Teijin Techno Co., Ltd.

Masaru Okuma

Hotel New Otani

Masaya Kido

Kazunori Nakabayashi

We have worked with Hotel New Otani for over 40 years. On the occasionof this renovation, we were able to deliver a product that bears
comparison with products delivered in the past by my seniors. I am
proud of this as a sales representative of SUMINOE. The venue isconnected to the 1F entrance of the hotel, where many guests pass by.
As such, we implemented the project with great care to ensure
the safety of the hotel guests as well as SUMINOE’s staﬀ when carrying
in and installing the carpet. It was one of the most diﬃcult carpet
installation works I have ever experienced, but I felt all the happierwhen I saw the exotically colored carpet beautifully covering the ﬂoor.

33

has hosted many guests as a top hotel of Japan, was transformed
into a new one featuring a pattern expressing a Japanese rockgarden with vivid red and green on a black background. Many
people traverse over the banquet ﬂoor at all times in thisinternational urban hotel. Therefore, the renovation work was
conducted at night over a period of two weeks. Our eﬀorts
paid oﬀ—the hotel is satisﬁed with the result as they havereceived positive feedback from guests.

Suminoe Textile Group CSR Report 2019

Our hotel is located next to the State Guest House, Akasaka Palaceacross Sotobori-dori Avenue, surrounded by lush greenery in the middleof Tokyo. We renewed the carpet on the 1F banquet ﬂoor for the ﬁrst
time in 18 years. Our hotel, opened as a new Japanese-style international
urban hotel prior to the Tokyo Olympics in 1964, will be again welcoming
guests from around the world in 2020. We needed to install a carpet
that well serves this purpose, so we requested our long-term, reliablebusiness partner, SUMINOE Co., Ltd., to produce and install a new carpet.
The banquet ﬂoor of our hotel, one of the largest in Tokyo, was reborn
as a sophisticated space and we have received very positive feedback
from our guests. It was a successful project also from the viewpoint offacility management.

Group worked as one to develop a better product.
This product was created based on four themes: use of textile fabrics,
multicolor expression, resource-saving design, and cost performance. It
was a diﬃcult task to meet those conditions in making a main material
for seats while also considering physical specs required by the maker.
After making many trial products to achieve stable performance andweaving/processing conditions, we were able to start mass productionsome ﬁve years after the project launch. I am very pleased as a designer.

To contribute to further improvement of the car interior texture, we
designed this seat fabric with great attention to the smallest details.
The development of the RAV4’s seat material started with the themeof “expressing commonalities with the icon pattern in the cabin.”
We did not simply use the same pattern as other parts but made thebest of our inventiveness to take advantage of the embossing.
In making the fabric, we pursued a contrast that maximizes the value of theembossed pattern. Thanks to the cooperation of all those involved in
the development, I enjoyed the rare experience of creating a fabric
for the RAV4, equipped with the feel of both precision and ruggedness.

Suminoe Textile Group CSR Report 201934

Foundation That Supports Growth

Initiatives for Society

Initiatives for the Environment

Communication with Local Communities (Social Contribution Activities)

Environmental Management—Under the Slogan of KKR+A

Each factory/office in the Suminoe Textile Group has conductedcommunity-based social contribution activities and will continue
to do so.

Local Cleanup Activities
Each factory/office actively participated in cleanup activities
with the purpose of beautifying the surrounding area. Each
employee has been continuously taking part in the activities,
being well aware of environmental protection.

Teijin Tecloth Ltd.
Suminoe Textile Co., Ltd. Nara Office
45 employees participated in the Inazawa Nineteen employees participated in the beautification“Gomi Zero” Campaign (Inazawa Garbage activity around the factory. May 2019
Reduction Campaign). May 2019

Sponsorship of the Midosuji Illumination
The Midosuji Illumination is a large-scale event to fill Midosuji,
a symbolic street of Osaka stretching about 4 km from Umeda
to Namba, with light. As a local-oriented company, Suminoe
Textile Co., Ltd. has supported this event since fiscal 2017.
We will continue our support activities to energize Midosuji.

Cooperation with Educational Institutions(Lecture on the Future Path)
Tango Textile Co., Ltd. organized a lecture on the future pathfor third grade students at a local high school, namely, Kyoto
Prefectural Amino High School, Taiza Branch, as part of career
education. Under the theme “To participate in society throughwork,” the lecturer conveyed the things to keep in mind duringhigh school life and at work. Participating students provided suchcomments as “Greetings will improve the image of a person,”“I will learn to be a patient person,” and “I will never give up.”
The company also accepts interns and provides work experience
programs.experience programs.

Lecture on the future path
Kyoto Prefectural Amino
High School, Taiza BranchSocial Contribution Activities at Suminoe
Textile of America Corporation (STA)
STA makes donations every year to Spartanburg Dominion
Boys’ Home, a local facility where 32 boys aged between 10 to
18 live. The facility provides support for boys having no relatives
to rely on or having undergone abuse at home to live everyday
life in safety, serving as “a house for boys to find their childhood.”
Their activities are supported by churches and other organizations.
The company also donated school supplies and book bags toan elementary school in Gaffney. STA will continue support
activities for children.

Kenko(Health)35

Suminoe Textile Group CSR Report 2019

Book bags offered

School supplies

Amenity

Fundamental Environmental Philosophy
Recently deterioration of global environment has rapidly
progressing. It is a mission in common among human beings
who live on earth to make efforts to preserve and improve global
environment and hand the beautiful earth to our descendants.
Suminoe Textile Co., Ltd. well recognized this fact, will makea comfortable and rich society with a cooperation of all theemployees positively tackling with environmental preservation
activities.

Suminoe Textile Group“SUMINOE Environmental Declaration”
The Suminoe Textile Group is promoting environmental
measures based on the seven declarations released in 1998
and revised in 2009.

Declaration

1

We shall contribute to the improvement of interior
environments and realize comfortable spaces.

Our TRIPLE FRESH deodorant treatment is applied to carpets,
curtains, wallpaper and automobile interior fabrics to deodorize
unpleasant smells, such as cigarettes, pets, household odors,
and Formaldehyde, which is believed to be behind sick building
syndrome, by absorbing and dissolving the elements causing
bad smells. Other efforts being made by us to create a comfortable
and care-free living space include an anti-allergen treatment
called ALLER-BLOCK, aimed at suppressing allergen activity,
and a skin-care beauty treatment.

Declaration

Suminoe Textile Co., Ltd. made a donation to the Nakanoshima
Children’s Book Forest, to open in March 2020 as a place toenhance the creativity and emotions of children in Osaka. We
are supporting this facility with a wish to expand the capabilities
and enrich the hearts of children who will play a leading rolein Japan’s future.

RecycleWe, the Suminoe Textile Group, are continuing to work on environmental conservation
activities such as interior environment improvement and utilization of recyclable
materials as well as decreasing our impact on the environment with our fundamental
philosophy of“ K - Kenko (Health)”, “K- Kankyo (Environment)”,“ R - Recycle” and“A - Amenity : Comfort”

Letter of gratitude fromthe Boys’ Home

Cooperation with the “Nakanoshima
Children’s Book Forest” Foundation

Kankyo(Environment)

shall respond to the recycling society and2 We
positively adopt recycled materials.

We are actively using recycled materials as part of our efforts topromote environmental conservation and the efficient use ofnatural resources. Specific products launched for that purpose
include スミトロン ® (SUMITRON) polyester yarn made from recycled
PET bottles, a recycling system for carpet tiles in which used tiles
are recollected and recycled into new products, SUMICUBE®
seat cushion material for railway cars boasting high recycle
efficiency, and SE Light simplified raised floor material madefrom PP resin which was recycled from beer cases.

Declaration

shall provide products that enable the reduction
3 Weof CO2 and decrease our impact on the environment.

To play a part in curbing global warming and building
a low-carbon society, we will develop and provide low-carbon
products based on the Life Cycle Assessment (LCA) method.
LCA is intended to comprehensively and quantitatively evaluate
the impact of manufacturing activities on the environment while
taking into consideration the entire cycle of products—materials,
manufacturing, transportation, use, and disposal.

Declaration

shall use safe/secure materials and4 We
always consider health and the environment.

We will provide products that have passed safety rules andregulations, while refraining from supplying products that
contain volatile organic compounds (VOC), believed to cause
sick building syndrome, or heavy metals, which require special
attention in disposal. Instead, we will actively use natural fabricmaterials such as wool, hemp, and cotton. In addition, we will
make consumer-friendly products, such as flooring mats using
Olefin film, which is known to emit a minimal amount of toxic
gas during burning.

Declaration

shall work on resource and energy conservation
5 Wefrom manufacturing to the finished product.

We will promote the effective use of resources by reducing
losses of primary materials, auxiliary materials, water and energy
occurring in the production process. We will also updateenergy-saving facilities constantly, improve product quality,
reduce the weight of products, and simplify packaging. At
the same time, we will strive to increase the efficiency oftransportation, resources utilization, and waste disposal,
thereby promoting resource and energy conservation.

Declaration

shall promote the appropriate management
6 We
of environmentally hazardous substances basedon the latest information.
Tougher controls have been in place both in Japan and abroadon the use of specific chemical substances in products. In responseto this, we will check all of our products using relevant materials
and properly manage such materials based on the Supply Chain
Management (SCM) concept. Furthermore, we will keep ourselves
abreast of the latest information on product safety.

Declaration

We shall present and provide products that are

7 conscious of the environment.

Our environmental consideration in manufacturing will be given
not only to external product appearance and functions but also
to other factors, such as minimizing resources and energy
consumption in the process of production, making productrecycling easier, manufacturing longer-life products and optimizing
waste disposal. We will propose and deliver products based onsuch an “eco-design concept.”
Suminoe Textile Group CSR Report 201936

Foundation That Supports Growth

Initiatives for the Environment
Environmental Management—Under the Slogan of KKR+A

Fifth Medium-Term Activity Goals —Eco Challenge 2020—

Guideline on Activity

Environmental commitment
In carrying out environmental conservation activities

1 We will positively promote energy-saving, resource-saving, and recycling with a consideration not to
contaminate environment in all of our business activities.

2 We will try to preserve environment through products’ life cycle from production, sales to disposal bydeveloping environment-friendly technology and products.
Development of technology for energy-saving and resource-saving
Development of recycling technology and recycling system
Development of products and technology to replace materials which would put less loadon environment and have more safety
Development of product which could improve environment and contribute to health and comfort

Business activities undertaken by the Suminoe Textile Group are deeply connected to the environment. This holds true to our daily
operations, as well as to the entire lifecycle of our products-from product development and design, material procurement,
production, sales, distribution, consumption, disposal and recycling.
The Suminoe Textile Group is working on assessing and reducing the impact on the environment from all of our business activities
and our products throughout their lifecycle. We are committed to manufacturing environmentally friendly products. One example isactive use of recycled materials, including polyvinyl chloride powder recycled from used carpet tiles and raw cotton and polyester
pellets recycled from PET bottles. In conducting CSR activities, we also focus on environmental conservation, and Group-wide efforts
are underway to achieve the goals set under Eco Challenge 2020.

Eco Challenge 2020 (Fifth Medium-Term Activity Goals)
We have formulated Eco Challenge 2020 (Fifth Mid-Term Activity Goals) as a set of goals on environmental protection. Its duration is
two years from fiscal 2018 to 2019, during which we promote environmental activities.

3 We will try to live together with community through close communication and all employees will start

Affiliates covered by Eco Challenge 2020

action from whatever one can do.

4 We will try to maintain internal system to promote environmental protection and enhance

Automotive Textile &Traffic Facilities Business Headquarters

environmental consciousness of all employees.

Suminoe Teijin Techno Co., Ltd.
Teijin Tecloth Ltd.
Owari Seisen Co., Ltd. Head Office Factory
Owari Seisen Co., Ltd. Ishikawa Factory
Suminoe Textile of America Corporation
Bondtex, Inc.
Suminoe Textile de Mexico, S.A. de C.V.
SPM Automotive Textile Co., Ltd.
Suzhou Suminoe Koide Automotive Accessories Co., Ltd.
T.C.H. Suminoe Co., Ltd.
Suminoe Teijin Techno Krishna India Pvt. Ltd.

Environmental Protection Promotion System
The Environmental Promotion Subcommittee
was set up within the CSR Promotion Committee.
Environmental measures drawn up and finalized
by the subcommittee are implemented in alldivisions throughout the Group.

CSR Promotion Committee

Suminoe Textile
Administration
Headquarters

Working Group

Automotive Textile
Business Headquarters

CSR &Internal Control Council

Environmental
Promotion Subcommittee

Environmental
Management WG

Traffic Facilities
Business Headquarters

Office Management WG

Functional Materials
Business Headquarters

Introduction of environmental management system
The Nara Factory obtained ISO 14001 certification in fiscal 2000, making it the first among the Group to be awarded certification on
environmental management. To date, five factories in Japan have obtained ISO 14001 certification, and one factory Eco Action 21
certification.
ISO14001: 2015
Nara Factory, Shiga Factory

SUMINOE Co., Ltd.
RUNON Co., Ltd.
Suminoe Logistics Co., Ltd.
Kyoto Traditional Art andCraft Factory
Tango Textile Co., Ltd.

Suzhou Suminoe
Textiles Co., Ltd.

Technical and Production
Engineering Headquarters
Suminoe Techno Co., Ltd.
Nara Factory
Suminoe Techno Co., Ltd.
Shiga Factory
Kansai Laboratory Co., Ltd.
Technical Center

Activity Goals and Fiscal 2018 Results
Work areas
1

Prevention of
global warming

2

Resources
conservation:Attained

Final numerical targets:Not attained at some factories

Base FY

Numerical targets for FY2018:Not attained

FY2018 results

Reduction of energy consumption
Reduction of fuel consumed bycompany-owned vehicles
Increased utilization rate ofrecycled material

2% reduction (Basic unit)

2017

-1%

-4.4%

2% reduction (Basic unit)

2017

-1%

-5.1%

2% improvement

2017

1%

1%

Reduction of industrial waste

2% reduction (Basic unit)

2017

-1%

2.7%

Increase of recycling rate

65% or more-

65% or more

65.9%

3

3Rs regarding
waste material

10% or less-

10% or less

19.0%

4

Reduction of waste disposal
rate via land reclamation
Reduction of air pollution
Prevention of(reduction of NOx emissions)environmental
Reduction of emissions reported
pollution
under PRTR system
Promotion of green Improvement of green stationery
purchase rate
activities

2% reduction (Basic unit)

2017

-1%

-3.7%

2% reduction (Basic unit)

2017

-1%

4.4%

95% or more-

95% or more

85.2%

12 items under LCA

5

Eco Action 21: 20096

Promotion of LCA assessment for products-

6 items

0 items

Owari Seisen Co.: Head Office Factory,
Ishikawa Factory

Tango Textile Co.

7

Promotion of development of environment-friendly technologies 2 cases-

1 case1case

Japan Quality Assurance Organization Japan Quality Assurance Organization

Institute for Promoting
Sustainable Societies

8

Promotion of development of environment-friendly products

6 cases-

3 cases3case

9Promotion of biodiversity preservation in business activities

-

-

-

-

Compilation of data for all overseas factories

2017+1 company

0 company

Teijin Tecloth Ltd.

Evalu
-ationScreening andregistration agency

Japanese Standards Association

Registration number

JSAE 235

JQA-EM1519

JQA-EM3114

0009522of data on environmental impact of
10 Consolidation
overseas factories and reduction of such impact

Registration date

May 2000

April 2001

March 2003

July 2013

6th renewal completed (May 2018)

6th renewal completed (April 2019)

5th renewal completed (July 2017)

3rd renewal completed (July 2019)

Basic unit: Consolidated sales used as a denominator for calculation
Conversion coefficient: The amount of CO2 emissions is calculated based on a conversion coefficient set in accordance with the law to promote measures against global warming. The amount of NOxemissions is calculated based on a conversion coefficient used in the 2002 edition of Eco Action 21. The amount of CO2 emissions at overseas factories is calculated based on a conversion coefficient set
for each country in the 2007 GHG protocol.

Registration renewal

37

Functional Materials
Business Headquarters

Period: Fiscal 2018–2019 (two-year plan; data collection lasting between June 2018 and May 2020)

Interior Business
Headquarters
Technical and Production
Engineering Headquarters

Interior Business
Headquarters

Domestic factories: Subject to meeting numerical targets on the use of recycled materials, the amount of industrial waste generated (the recycling rate and the rate of industrial waste disposed of
at final disposal sites) and the amount of PRTR-designated substances handled
Overseas factories: Subject to meeting numerical targets only regarding energy consumption

Management Meeting

President

Suminoe Textile

Suminoe Textile Group CSR Report 2019

Suminoe Textile Group CSR Report 201938

Foundation That Supports Growth

Initiatives for the Environment
Eco Challenge 2020 (Fiscal 2018 Results)
Eco Challenge 2020 uses the ﬁscal 2017 data as the standard.
In ﬁscal 2018, the ﬁrst year for Eco Challenge 2020, we achieved targets in work areas related to prevention of global warming andenvironmental pollution.

Reduction of industrial waste generated
Increasing the Recycling Rate and Reducing the Waste Disposal Rate via Land Reclamation
We are striving to reduce industrial waste generation by minimizing unused materials for our products, by not manufacturing
products that do not pass quality standards, and by using resources eﬀectively. In this ﬁscal year, situations related to waste treatment
were changed, which have aﬀected the amount of industrial waste generated and the waste disposal rate via land reclamation.

Prevention of global warming
Reduction of Energy Consumption[Reference data] Reduction of CO2 Emissions

We assess the results of our energy-saving activities basedon the calorie equivalent of our energy consumption*.
Eight companies have been included in the “overseas”
category since the base year ﬁscal 2017 (ﬁve for 2016 or before).

We assess the impact of our corporate activities on global
warming based on CO2 emissions. Both CO2 emissions andbasic unit have decreased compared to 2017 (overseas: 8companies for 2017 onwards, 5 companies for 2016 or before).

*

3Rs regarding waste material

Reduction of industrial waste generated
Amount of industrial
waste generated(t)Amount of industrial
6,000
waste generated
5,000

36.5

Unit of calorie equivalent of energy consumption: GJ (gigajoule)

4,000

Change in calorie equivalent of energy consumption

Change in CO2 emissions

3,000[including overseas consumption][including overseas emissions]

2,000

Total caloric value(1,000 GJ)
Overseas
1,800

Basic unit
(GJ/¥1 million)
Domestic

Basic unit

Comparison to base year
Down

1,500
1,200
900

12.2
1,109
415

12.3

11.2

4.4%

1,202
1,090

1,158

1,046

420

391

Overseas
15

12
9

488

502

Domestic

Basic unit

120

5.3% For reference

0.640
80

40

0.683

0.647

0.613

0.6

66.9

65.8

20

670

655

700

670

2014

2015

2016

2017

2018 (Fiscal year)

0

58.9

23.7

23.9

22.4

28.6

27.7

43.4

38.5

36.5

38.3

38.1

2014

2015

2016

2017

2018 (Fiscal year)

Reduction of Fuel Consumed
by Company-Owned Vehicles

Change in fuel consumed by company-owned vehicles
Basic unit(L/¥1 million)
Basic unit
10

Comparison to base year

7.0

5.1%

642

603

522

5.1

503

2015

2016

3,394

3,511
10

0

0

2014

2015

2016

2017

20

0.3

Increased Utilization Rate of Recycled Materials
We are actively using recycled materials for productmanufacturing to promote savings in resources.

2017

60,000Emissions

Basic unit

Comparison to base year

37.9

37.0

37.3

30

4

20

2

10

Suminoe Textile Group CSR Report 2019

10.9

2014

2015

2016

2017

2018 (Fiscal year)

Atmospheric emissions of deca-brominated diphenyl ether(DBDE), used as a ﬁre retardant, and perﬂuorooctanoic acid(PFOA), used as a ﬂuorosurfactant, are being replaced by safer
alternatives, as their use is likely to be banned in the future.

3.7%

Basic unit(kg/¥1 million)

0.349

0.371

Emissions
(t)

4.4 %

37.7

Emissions

Basic unit(kg/¥1 million)

Basic unit

Comparison tobase year
Target notUp% fully attained

3,000

0.4

0.357

2,500
0.3

15.2

4.4

15.2

14.9

30,000

13.6

13.0

2,000

40,0001,000

20,00034,81533,49836,28435,209

0.1

2016

2017

2018 (Fiscal year)

5

1,386

1,453

1,464

1,275

1,341

0

0

2014

2015

2016

2017

2014

2015

2016

2017

2018 (Fiscal year)00

2018 (Fiscal year)

Promotion of Green Activities
Change of rate of buying eco-friendly office equipment
(%)
100

87.5

91.4

89.7

87.6

95%

85.2 or less targeted

80

0

2015

15

500

We are actively promoting purchases of environmentallyfriendly oﬃce equipment and supplies to reduce theirimpact on the environment throughout their entire life
cycle, from collection of materials to disposal.
2014

20

10

1,500

0.2

Target not
fully attained

0

2014

39

11.7

Reduction in amount of PRTR-designated substances
Comparison to base year

Improvement of Green Stationery Procurement Rate2018 (Fiscal year)

11.4

Reduction in the Amount of PRTR DesignatedSubstances Handled

10,000Rate of use of recycled materials

36.0

12.8

0

2018 (Fiscal year)

Down

0.394

35,921

4.9

481

Emissions(kg)

50,00040

fully attained

19.0

Prevention of environmental pollution

0.357

6

0

0

2014

3,670

Substances that may pollute air include NOx, SOx, and otherﬁne particles. NOx is used here as an example to explain
the situation of air pollution. The amount of NOx emissions is
calculated based on the emission coeﬃcient used in the 2002
edition of Eco Action 21 for facilities where no emission-cutting
measures were taken.

400
200

3,434

Reduction of air pollution (NOx emissions)

Down

6.2

600

8

10
%
Target notor less targeted

40
20

3,324

65.9

61.1

60

30

0.4

Resources conservation

(%)
50

67.9

65.5

65.1

40

0.5

0.2

Up
1,000

5.4

35.6

Reduction of NOx emissions

We are striving to reduce fuel consumption by company-owned
vehicles by promoting eco-driving and adopting a policy ofactively switching to fuel-eﬀective vehicles. We have steadily
achieved our targets for the past ﬁve years.

Consumption of gasoline, gas oil(1,000 L)
Overseas
Domestic
1,200

0

34.7

65
%
or more targeted

Rate of waste materialburied at ﬁnal disposal sites

Recycling rate
80

0.7

3

694

0

800

0.8

62.4

60
6

Comparison to base year

2.7

(%)
50

1,000

Down

100

67.1

600
300

Basic unit(t/¥1 million)

0.736

11.7

10.9

Emissions(1,000 t)

Comparison tobase year
Target notUp% fully attained

Basic unit

38.2

35.2

Changes in recycling rate and rate of wastematerial buried at final disposal sites

Basic unit(kg/¥1 million)

2015

2016

2017

2018

(Fiscal year)

Suminoe Textile Group CSR Report 201940

Foundation That Supports Growth

Initiatives for the Environment

Exhibition on the History of Train Interiors(Moquette from Meiji, Taisho and Showa) Held

Eco Challenge 2020 (Fiscal 2018 Results)

Promotion of LCA*
Assessment for Products
Promotion of LCA Assessment for Products(6 Items Targeted)
We have established an LCA system for products andhave conducted in-house assessments since ﬁscal 2015.
Assessment of 12 items has been set as the target
for the two years from ﬁscal 2018 to 2019. However,since there were no new target products in ﬁscal 2018,
we did not conduct any assessments.

0

items
Target not attained

Promotion of Developmentof Environment-Friendly
Technologies and Products
Promotion of Development ofEnvironment-Friendly Technologies (One Goal Set)
UV inkjet printing on PH film
We have developed a technology thatenables high-resolution, lightfast printing
on environment-friendly ﬂoor signage
ﬁlms that are often used for train cars.

1 Hybrid cushion material made by combining

SUMICUBE® (seat cushion material for train cars) and
SUMICUBE AIR (new resin spring material)
2 Caruru, an ultralight carpet that can be easily washedat home, made in pursuit of lightness and compactness
3 “空気を洗う壁紙 ® (Air Cleaning
Three products
Wallcoverings) Oleﬁn Plus” that canTarget attained
deodorize 12 substances, featuring
recycled materials on the surface

Consolidation of Data on
Environmental Impact of Overseas
Factories and Reduction of Such Impact
Compilation of Data for Overseas Factories

41

Suminoe Textile Group CSR Report 2019

Activity Policy
business activities. Monitoring the situation on biodiversity aroundfactories and their vicinity. Using locally-grown native species, not nonnative
species, for tree planting. Periodically cleaning areas near factories and improving
environmental conditions there by weeding out grass. Checking sustainability when biological resources areused as product material. Promoting development of products with recycledmaterial and building a recycling system to manufacturesuch products. Incorporating activities for biodiversity preservation
into an environmental management system. Promoting new measures that are possible at eachfactory for preservation of biodiversity
2 Promoting new measures that are possible at

One productTarget attained

Promotion of the Development ofEnvironment-Friendly Products (3 Goals Set)

There were no overseas factories thatstarted compilation of environment-related
data during ﬁscal 2018.

Factories run by the Suminoe Textile Group have been
undertaking various unique activities since ﬁscal 2013
to protect biodiversity based on the environment
protection guidelines the Group formulated in ﬁscal 2011.

Suminoe Textile Co., Ltd. organized an exhibition
highlighting the moquette (seat cloth) for train cars.
The company ﬁrst developed it in Japan and has continued
its production and sales to this day.
[Osaka Event] Period: April 22 (Mon.) to August 31 (Sat.), 2019
Venue: Suminoe Textile Co., Ltd.
Showroom on the 4F of
the Head Oﬃce Building[Tokyo Event] Period: September 17 (Tue.) to December 26 (Thu.), 2019
Venue: Suminoe Textile Co., Ltd.
Tokyo Showroom on the 3Fof BR Gotanda Building

1 Reduction of impact on biodiversity from

LCA: Stands for lifecycle assessment. LCA is a
* methodto quantitatively evaluate the resources
used to produce a product at each stage of its
lifecycle—from raw material procurement,
manufacturing, distribution and use to disposal—
as well as its load on the environment, and also thepotential environmental impact that the productand resources may have on the Earth andecosystems.

Environmental Activities
for Preserving Biodiversity
in Business Operations

0 companies
starting
compilationeach factory for preservation of biodiversity
Activities to seek suppliers’ cooperation in
reducing impact on biodiversity across theentire supply chain. Seeking cooperation from suppliers in observing green
purchase guidelines to promote our eﬀorts to preserve
biodiversity
3 Social contribution activities. Supporting groups engaging in forestry preservation
activities. Supporting green charity activities

We displayed rare original moquettes we have produced,
over the change of the times through the eras of Meiji,
Taisho, Showa and Heisei.
Most notably, the moquette indicating the emblem of
the Osaka City Tram, miotsukushi channel marker, is the oldest
domestic item preserved at the company. It astonishedvisitors with its vivid color retained from those days.
More recent moquettes displayed included those for
the 0-series Shinkansen (operated by Japan National
Railways) as well as those for other trains of JR and private
railways. Visitors were able to directly touch them andfeel the diﬀerence in materials, such as wool and polyester.
In addition to moquettes for train cars, we also displayedmoquettes for ships used during the Taisho Era and earlyShowa Era. The classy designs for international passenger ships
conjure an image of luxurious cruises in the good old days.
Since the exhibition attracted many visitors from acrossSeat cloth for Osaka City Tram

Seat cloth for the Ikegami-maru(ship) of O.S.K. Lines, Ltd.

Osaka SIP and Tokyo SIP (Showrooms)
Using these venues, we share information on interior ﬁttings through projects, such as history exhibitions and seminars,
and work on diverse cultural/social contribution activities.

Activity Results[Nara Factory of Suminoe Textile Co., Ltd.]The factory has participated in activities of the Ando
Ouyu-Kai, an association aimed at developing a cherrytree-lined promenade in the area along the Okazaki
River ﬂowing south of the factory, and has taken careof the trees.
[Shiga Factory of Suminoe Techno Co., Ltd.]The factory has been working on propagating the
Sasayuri lily, known as the ﬂower of Koka City anda symbol of the harmonious coexistence of people andnature, on the factory premises.
[Factory at the head office of Owari Seisen Co., Ltd.]The factory has been supporting the project to revive
ﬁreﬂies along the Kiso River and in other wetland areas,
as a member of the Ichinomiya Heisei Fireﬂy Association.

Japan and was very well received, we extended the periodof the Osaka Event and hastily organized the Tokyo Event.
It served as a wonderful opportunity to publicize
the history of train interior materials and the Suminoe
Textile Group’s strong desire to take on new challenges
and to become a “one-of-a-kind” company.

Osaka SIP

Tokyo SIP

4F, 3-11-20 Minami-Semba,
Chuo-ku, OsakaPhone+81-6-6251-9380
Fax+81-6-6251-9959

BR Gotanda Building 3F
2-30-4 Nishi-Gotanda,
Shinagawa-ku, TokyoPhone+81-3-5434-6545
Fax+81-3-5434-2315

Editorial Postscript
Thank you very much for reading our CSR Report 2019.
We organized the information about the Group’s ideas and projects related to CSR activities and expressed them inan easy-to-understand manner. While we receive growing demands for tackling international social challenges, we are determined tocontinue steady implementation of CSR activities to become a corporate group to be trusted. In this respect, we would be grateful if
you could give us your candid opinions and comments about the Group’s CSR activities by answering the questionnaire, for future reference.
CSR Report Editorial Team

Suminoe Textile Group CSR Report 201942