SHINRYO Report

2018

Corporate Profile and CSR Report
English Version

“Create a Freshening World”- Brand Promise We would like to provide a comfortable
air quality appropriate for where we work,
spend our time, and in the surrounding natural environment.
We would like to create a rich and pleasant environment.
We, Shinryo Corporation strive to realize an even more
comfortable and pleasant lifestyle byproviding optimal air quality around the world.
As a means to this end, we strive to provide
new value through flexible thinking byheightening the technology we have cultivated up
until now even further while sincerely
responding to the customers.
We will continue to strive to realize a “Freshening World” by
pursuing to offer greater value.

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SHINRYO Report 2018

Table of Contents■Editorial policy

The intent of this report is toenable all our stakeholders todeepen the understanding of
Shinryo Corporation’ s CSR(corporate social responsibility)
activities.

Message from the President ………… 3
Message from
General Managers …………………… 5
Corporate Profile ……………………… 7■Target period

Feature ………………………………… 17Centering on FY2017 (October 1,
2016 to September 30, 2017),
including some periods before
and after.

[ 1 ] Corrosion Engineeringfor Piping to Save Resources … 17
[ 2 ] Business Activity Highlights … 19

■Scope of report

CSR activities of Shinryo
Corporation and activities of
Shinryo Group companies[ 3 ] Work Style Reformat Shinryo Corporation ……… 23
CSR Management …………………… 25■Reference

・ISO26000
・GRI(Global Reporting Initiative)
Sustainability Reporting
Guidelines 4th Edition (G4)CSR Activity Topics ………………… 29
Corporate Governance …………… 29
Fair Operating Practices………… 31

Environmental Initiatives ………… 33■Publication date

Consumer Initiatives ……………… 37

Current Japanese Report:
January, 2018
Next Japanese Report:
January, 2019 (scheduled)

Human Rights/Labor Practices …… 39
Training and Developmentof Human Resources ……………… 41■Division responsible forpublication and contact point
CSR Promotion Division,
SHINRYO CORPORATIONTEL: +81-3-3357-2151 (Main)

Community Involvement
and Development ………………… 43
CSR Activities of Group Companies … 45

Informational dissemination system
Main publications such as pamphlets
Pamphlets bring together basic corporate information
Corporate
information

Employment
information

Varioustechnical
catalogs

Pamphlets

SHINRYO Report 2018 (Japanese/English)
Reports bring together
comprehensive information
about financial/non-financial
corporate activities

PDF[Comprehensive Corporate Activities]
SHINRYO Corporation homepage (Japanese/English)
https://www.shinryo.com/

Our homepage includes comprehensive corporate activities and the latest news.
[Employment Information]
Employment website

https://www.shinryo.com/saiyo/[Our Technology]
Comprehensive website about
technology and our track record
https://www.shinryo.com/tech/[CSR Activities] CSR website
https://www.shinryo.com/csr/

Websites
SHINRYO Report 20182

Message from the President

Growing with Sincerity,
Passion and Creativity to Be
the Company Society Wants

Takeshi Kagami
President, Representative Director

Paying Attention to International Challenges
In recent years, the impacts of international aﬀairs arecontributing to significant changes in Japan particularly
in respect of globalization and the eﬀects on the economy
and social structures. As the state of aﬀairs outside of Japan
has an unpredictable influence on corporate activities, therelationship between the global societies and economies
has increased the complexity of these activities.
In addition, recent international trends relating to
global warming and climate change are indicating amore volatile situation. Achieving the reduction targets
for greenhouse gas emissions as defined by the Paris

Agreement and responding to the eﬀects of climatechange has become an issue shared globally.
Shinryo Group, which has 89 bases in Japan andoverseas, believes that understanding changes froma broad perspective and providing for the future isnecessary to overcome international obstacles and achievesustainable growth. We will grow as a corporate group,
according to the desires of society, through contributing
to the preservation of the global environment within ourbusinesses as well as through the approach and success of
our initiatives as a responsible enterprise.

Furthering a Medium Term Plan
The SHINRYO Report 2018 is a Corporate Report that
includes a wealth of information that further develops
and expands on the content and detail of our previous
CSR reports. In addition to including information about
activities in-line with the 13th Three Year Management
Plan, this report also outlines a variety of corporate
activities undertaken in accordance with the ISO26000
Guidelines, the United Nations Global Compact, andSustainable Development Goals (SDGs).
Feature 1: “Corrosion Engineering for Piping to Save
Resources” introduces our initiatives that aim to saveresources by prolonging the life span of piping using
robust corrosion protection. This Corrosion protection
for piping is an initiative unique to Shinryo Corporationthat leverages an enormous knowledge database obtained
from more than 25 years of research related to metallic
corrosion. This technology not only saves resources but
also responds to the desires of our Customers to lighten
the burden of repairs and maintenance of equipment.
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SHINRYO Report 2018

Feature 2: “Business Activity Highlights” describes ourconstruction track record from Cogeneration systems
to Energy Management systems. Shinryo Corporation
has the technology and the skill in the fields of supplying
energy via systems with a lower level of greenhouse gas
emissions and facilitating the efficient use of energy withtotal information systems. I believe these technologies
will grow to be ever more important in the future.
In addition, CSR Activity Topics and Environmental
Initiatives include applicable examples of BIM (Building
Information Modeling) and CFD (Computation Fluid
Dynamics) technology as technical tools that contributeto the reduction of the environmental load throughmeasures such as resource saving and the reduction ofgreenhouse gas emissions. Today, digital engineering
technology allows us to create fully formed images ofequipment systems before construction. We aim to satisfy
Customer requirements and reduce environmental load
through the use of these technologies.

Message from the President

The construction industry today is concerned about theincreasing number of fatal accidents. The construction
market is in full swing with a large volumes of work.
Therefore, raising even more awareness about health andsafety is an essential requirement during these busy times.
Mitsuaki Sunaga, chairman of the Health and Safety
Council, shares his thoughts in the “Consumer Issues”
section about the health and safety activities promoted
jointly by Shinryo Corporation and its partner Companies.
We are also putting our strength into health and safety
activities overseas. The people in charge of the Safety
Supervision Department at our Headquarters conduct
frequent initiatives to raise awareness and promote healthand safety working toward an accident and disaster free
workplace. Examples of such are the participating in joint
safety patrols conducted overseas twice a year.
Led by Headquarters, Shinryo Corporation has also
started compliance education at overseas bases to further
influence and improve operating practices aroundthe globe. We are implementing measures to shareexperience and raise awareness about the importance oflegal compliance. All of us at Shinryo Corporation who
perform our duties each and every day are fully aware of
the statement in our company philosophy to ‘be fair andstraightforward’.

Message from the President

Raising Awareness About Safety and Fairness
Company Philosophy●

Be fair and straightforward●

Do your best with all your effort●

Have leadership, irrespective of education,age, or nationality.

This Company Philosophy
clearly expresses the life
philosophy and businessphilosophy of our founder
Chairperson Masaru
Kagami (deceased).
Shinryo Corporation wasestablished in order toembody this philosophy inthe business world. These
three principles serveas the roots of Shinryo
Corporation and are thefoundation for all thinking,decision-making and actionof executives.
Company Philosophy(in Japanese)Work Style Reform: Refreshing Work Style Project
The work style reform of Shinryo Corporation practices
is explained in Feature 3 and “Human Rights/Labor
Practices”. The long working hours are a major problem
in the construction industry. Describing work stylereform as the most important management challenge
now would not be an overstatement especially in termsof securing a workforce. I feel we need to undertake
efforts to solve the challenges faced by an entire industry.
Shinryo Corporation started the “Refreshing Work Style
Project” as an activity to reform work styles as the firststep in addressing these issues. The work style reform
we envision results in a refreshing and open corporate

climate rich with creativity.
Our Employees are engaged in activities designed toreview and reform their work processes and eliminate
wastefulness in working toward the realization of thisvision. We are also furthering the introduction ofprograms so that our Employees can choose to have aneven more flexible work style.
The company is also putting effort into educational
support activities for high school and college students
who are entrusted as the next generation, and we willcontinually strive in human resource development with along-term perspective.

To All of Our Stakeholders
We are actively disseminating information to help all of
our stakeholders know Shinryo Corporation. We do not
only want to share our technology and prices but also
our approach and belief in the work, such as the serious
and sincere nature of the SHINRYO brand, as we aim tocontinue to be a Company chosen by our Customers.
Shinryo Corporation, as a Global Company will
deliver “refreshingness” to the world. Our corporate logo
has been amended as of April 2017 with the purpose of
establishing a desirable presence seen in these terms.
The new logo shown on the cover of this report has threemeanings. The first is the unwavering “sincerity” wehave shown and will continue to show. The second is our“passion” of being unafraid of change. The third is our“creativity” that enhances value for the future. Shinryo
Corporation will continue working toward our goal of“Creating a Freshening World” with sincerity, hard work,
adopting a spirit of challenge, and maintaining ceaselesscreativity under this logo as our emblem.
Shinryo Corporation and Shinryo Group will promote
our medium term plan and advance business activities
to fulfill our social responsibilities. We will continue towork to reflect the feedback we receive from everyone
in our businesses so as to better ourselves. I ask for yourongoing support and guidance in the future as well.

SHINRYO Report 20184

Message from General Managers

Duty to Society as an Environmental Engineering Company

Kimio Senda

Executive Vice President
In general & in charge ofCompliance & Environment

Greenhouse gases are without a doubt a factor accelerating global warming. This isa fact based on a wide range of information and data related to the modern global
environment. Therefore, defining international targets to reduce the amount ofgreenhouse gases is especially necessary. The massive energy consumption of air
conditioning systems, which is the primary business of Shinryo Corporation, has alarge impact on people, society and the global environment. This means that we are
directly involved with the Paris Agreement and Sustainable Development Goals (SGDs)
international frameworks to fight against global warming. This engagement goes evendeeper with “Goal 7: Aﬀordable and Clean Energy” and “Goal 13: Climate Action.”
Today, air conditioning systems are indispensable when engineering environments forthe lifestyle of people and for production of services. Providing an environment in linewith Customer requirements whilst lowering the energy consumption even further relies
upon the technology to do so. A good example of our activities to realize energy savings
through optimal energy management systems is included in “Feature 2: Business Activity
Highlights” of this report ( P. 19-22). These eﬀorts are the initiatives that help ensure
even a small contribution toward achieving the targets in the Paris Agreement. Shinryo
Corporation has made a brand promise to create a sustainable world through global
environmental preservation based on our management vision to “Create a Freshening
World” ( P. 1). We need to put even more eﬀort into our businesses, as well as
research and development, to help in achieving the targets agreed upon worldwide. Our
duty to society as an environmental engineering company is immense.

Contributing to Development of a Sustainable Society with Our Technology
Technological capabilities are the source of our strength. Our core business is to provide
environments that are able to satisfy our Customers through these technologicalcapabilities. Systems that take into account energy savings are designed to reduce
the environmental load via rational construction technology. We value the ability torespond to the needs of our Customers with technology that addresses global warming
and contributes to development of a sustainable society.
The construction market in Japan is shrinking but a wave of competitive ordering
is expected after 2020. Shinryo Corporation needs to aim to improve productivity
dramatically in addition to strengthening its technological capabilities to overcome
the competition and continue to grow in the future with the recognition of all of our
Stakeholders. We must contribute to the sustainable growth of society while also
growing as Shinryo Corporation through even higher productivity as a Company.

Haruaki Kotani

Senior Managing Executive Officer
General Manager, TechnicalSupervision Division

Unifying Shinryo Group Strengths for Global Growth

Yasunori Abe

Managing Executive Officer
General Manager, International
Management Division & Managing
Executive Officer in charge ofCorporate Planning & GroupManagement
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SHINRYO Report 2018

Shinryo Corporation, as an industry pioneer, has been expanding its business withventures overseas. Currently, we have 65 bases in Japan and 24 bases overseas who are
engaged in delivering the “Freshening World” being created by Shinryo Corporation to
Customers worldwide.
Shinryo Corporation has a 62-year history of stepping up to challenges. The driving
force is our undaunted spirit of challenge. As we face the growing issue of an aging
society with a low birth rate, we have to continue to strive to expand and mature as a
Company. Both Shinryo Corporation and the Shinryo Group have to continue to growglobally. I believe this growth will help contribute to development of a sustainable
society as well as the happiness of Employees who work within the organization. We cando anything if we combine our strengths. We need to celebrate even gradual progress
forward with our direction aligned, even if there are mistakes in our methods, whilst
valuing the diversity of the individual. If every one of the 5,000 employees of Shinryo
Group takes even one small step forward, these minor increments will result in one
giant leap ahead.

Message from General Managers

Growing as a Company Through Work Style Reform

Managing Executive Officer
General Manager, Administrative
Division & Managing Executive
Officer in charge of CSR & Reforms
in the Way of Working

Message from General Managers

Takeshi Egi

The Work Style Reform: The “Refreshing Work Style Project” promoted by Shinryo
Corporation embodies a vision for a refreshing and open corporate climate rich withcreativity. We are aiming to mitigate long working hours, facilitate a work-life balanceand engage more efficient operations to realize this vision. This reform can spark
enthusiasm in Employees and succeed in building a workplace where people can enjoy
and work long-term. The growth of individuals will connect then to the growth ofsociety as a whole.
We are still only halfway through the work style reform that began in April 2016.
Although a difficult challenge, I hope we can change how we think about the impossible
to gradually move forward. The construction industry, as well as Japan, is currently
working toward reform, and we will strive to solve these problems arising as a wholesociety ( P. 23-24).

Company that Responds to Customer Needs
In the Japanese construction market, the existing real estate stock is expanding while
new construction stagnates as many of the buildings built during the bubble approach
three decades ago remain standing. There are more variations of methods to use
existing structures over the long term such as renewals, renovations, and conversions.
Customer needs are also shifting to support for “life-style” costs through, notonly renovations, but also construction, operation, repairs and renewals. Shinryo
Corporation is focusing its strengths in developing proposals to respond to those needs.
The “Create a Freshening World Management Vision” is a company philosophy
and a long-held belief. The ideals contained in these words remain the same and show
the direction of progress at Shinryo Corporation. “Feature 1: Corrosion Engineeringfor Piping to Save Resources” in this report introduces environmentally-friendly
technology for saving resources meant to prolong the use of equipment. ( P. 17-18).
This also contributes to the “Create a Freshening World” initiative.

Takeo Yamaguchi

Managing Executive Officer
General Manager, Marketing
Supervision Division

United Nations Global Compact and Sustainable Development Goals (SDGs)

The CSR activities of Shinryo Corporation
look to the United Nations Global Compact
and Sustainable Development Goals(SDGs). Shinryo Corporation is advancing
CSR management and business activities
that have adopted the ten principles in fourareas (human rights, labor, the environment,
and anti-corruption) in the United Nations
Global Compact as well as the concepts in
the 17 SDG targets ( P. 25-26).
These efforts demonstrate the will ofShinryo Corporation to grow as a company
earning trust from the international society
as it focuses its strengths into the provisionof technology overseas.

Shinryo Corporation signs the UN
Global Compact in September
2014

Sustainable Development Goals (SDGs)

SHINRYO Report 20186

Corporate Profile

Corporate Information
President, Representative Director Takeshi Kagami
Number of Employees 2,133 people (non-consolidated)(As of the end of September, 2017)
5,104 people (including Group
companies)
Capital 3.5 billion yen

Company Name SHINRYO CORPORATION
Headquarters Address 2-4, Yotsuya, Shinjuku-ku, Tokyo
Telephone +81-3-3357-2151 (Main)
Date of Establishment February 23, 1956

Business Performance Trends•Orders received■ Consolidated ■ Non-consolidated[Million yen]

250,901

250,000 238,630

192,150

200,000

246,190

242,093
188,035

178,320

192,728•Net sales[Million yen]

■ Consolidated ■ Non-consolidated

250,000

236,891

200,000

158,000

241,100

224,652

209,301

175,780■ Consolidated ■ Non-consolidated[Million yen]

15,000
182,587

172,046•Operating income

9,000

150,000

150,000

100,000

100,000

6,000

50,00050,0003,000

13,40912,427

12,00012,989
11,218

12,236

9,257
7,312
4,040

0

0
2014

2015

2016

■ Consolidated ■ Non-consolidated
14,717 15,063

15,00013,296

12,0009,000
6,000

13,10812,4002014[Fiscal year]•Ordinary profit[Million yen]

0

2017

11,274

2015

5,404

12,000120,000 116,180

9,730 9,351

3,000

0

0
2016

2017

[Fiscal year]

4,321(Special 26) No. 3447 issued by Minister of Land,
Infrastructure, Transport and Tourism
Date of license
March 11, 2015
Licensed business Plumbing, Electrical, Machine and Equipment
Installation, Building, Civil Engineering, Steel
Structure, Interior Finishing, Water and Sewerage
Facilities, Telecommunication, Scaffolding,
Earthwork and Concrete, Sanitation Facilities(Ordinary 26) No. 3447 issued by Minister ofLand, Infrastructure, Transport and Tourism
Date of license
March 11, 2015
Licensed business Fire Protection Facilities

Senior registered architect office
Register number No.46232 issued by Governor of Tokyo
Date of registry April 10, 2016

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SHINRYO Report 2018

[Fiscal year]

127,280

124,068
103,117

110,834

137,236

114,913

125,651

90,00030,0000

2014

Liscence number

Main Registered Business (Japan)

2017

60,0003,589

Construction Business License (Japan)

Licence number

8,689

6,716 6,394

2016■ Consolidated ■ Non-consolidated[Million yen]

150,000
11,043

2015•Net assets

15,000

6,000

2015

2014

[Fiscal year]■ Consolidated ■ Non-consolidated[Million yen]

3,000

2014

2017

•Current net profit

9,000

7,750

2016

2015

2016

2017

[Fiscal year]

2014

2015

2016

2017

[Fiscal year]

List of qualiﬁers (Japan)
Number of people
Name of certification
Professional Engineer Japan
4(Engineering Management) ...........................................................
50
Professional Engineer Japan (Environmental Engineering) ....
3
Professional Engineer Japan (Mechanical Engineering) ...........
First-Class Plumbing Work Operation andManagement Engineer ................................................................... 1,140
First-Class Electirc Works Execution Manager ........................... 100
37
1st class Qualified Certified Electrician ........................................
28
3rd Class Electric Works Specialist ................................................
Class A Fire Defense Equipment Officer ....................................... 354
11Class B Fire Defense Equipment Officer .......................................
37
1st-class Kenchikushi (Architect) ...................................................
First-Class Civil Engineering Works Execution
4
Managing Engineer ..........................................................................
First-Class Building Operation and
17Management Engineer ...................................................................
Qualified Person for Energy Management................................... 114
Building Facilities Diagnostic Technician ...................................... 106
Building Mechanical and Electrical Engineer .............................. 262
The First Level Instrumentation Engineer ................................... 394
2
Commissioning Professional Engineer..........................................

Shinryo Group Network

Domestic
Network

65 bases

Overseas
Network

24 bases
Corporate Profile

SHINRYO CORPORATION
Headquarters
Tokyo Metropolitan Area Division
Urban Environment Division
Air Conditioning Equipment
Division
Nuclear Power Plant Division
Electric & Instrument Division
Hokkaido Branch
Tohoku Branch
Marunouchi Branch
Yokohama Branch

Hokuriku Branch
Nagoya Branch
Osaka Branch
Chugoku Branch
Shikoku Branch
Kyushu Branch
Hong Kong Regional Office
Singapore Regional Office
Research and Development
CenterJapanese Group Companies
Shinryo Technical Service Corporation
Shiroguchi Co., Ltd.
Daiei Denki Co., Ltd.
Shinryo Kogyo LTD.
Akita Castle Hotel Co., Ltd.
Global Staﬀ Co., Ltd.
SYSPRO CORPORATIONLE PRO CORPORATION

Kanto branch office / Gunma office / Tochigi office / Tsukuba office / Kawaguchi
office / Nagano office / Kofu office / Chiba branch office / Niigata office / Osakabranch office / Nagoya office / Kobe office / Rokkasho Center / Tokai Center /Wakasa Center / Yokohama Center / Takahama Plant / Hakodate sub-branch
office / Asahikawa sub-branch office / Aomori office / Iwate office / Akita office /Yamagata office / Fukushima office / Kanazawa office / Fukui office / Gifu office /Shizuoka office / Hamamatsu office / Numazu office / Keiji branch office /Shiga sub-branch office / Kobe branch office / Tenri sub-branch office /Wakayama sub-branch office / Sanin sub-branch office / Okayama office /Mizushima sub-branch office / Yamaguchi office / Matsuyama sub-branch
office / Kumamoto office / Nagasaki sub-branch office / Kagoshima sub-branch
office / Okinawa office /HONG KONG Branch / MACAU Branch / DUBAI Branch / ABU DHABI Branch /MAURITIUS Branch / CAMBODIA Branch / KL ENGINEERING CENTER /SINGAPORE Branch / INDIA Liaison Office / MEXICO Liaison Office

Overseas Group Companies
SHINRYO (HONG KONG) LTD.
SHINRYO (HONG KONG) LTD. MACAU BRANCHSHINRYO TECHNICAL SERVICES LTD.
TAIWAN SHINRYO CO., LTD.
SHINRYO (PHILIPPINES) CO., INC.
THAI SHINRYO LTD.
THAI SHINRYO LTD. MYANMAR BRANCHSHINRYO (MALAYSIA) SDN. BHD.
SHINRYO SINGAPORE PTE, LTD.
PT.SHINRYO INDONESIASHINRYO VIETNAM CORPORATIONSHINRYO VIETNAM CORPORATION HANOI BRANCHSHINRYO Report 20188

Corporate Profile

Business Fields
The features of business at Shinryo Corporation are the state-of-the-art construction technology and track record accumulated in Japan and overseas up until now.
Our businesses create people-friendly and environmentally-friendly air conditioning, water-supply and drainage sanitation,
electrical systems, and leading-edge production environments in addition to city-friendly and community-friendly district
heating and cooling systems and comprehensive information systems that support energy savings.
Shinryo Corporation will earn the trust of customers and meet their expectations with technology, proven success and sincerity.
Planning/Proposal • Research/Development

Design/Engineering

We formulate plans suitable to customer needs
with our technology and proven track record. The
planning we conduct is highly accurate thanks
to verification that includes computational fluid
dynamic simulations.

We listen closely to the requirements of ourcustomers to select the appropriate materials andequipment and execute the proper designs andengineering whether in new construction or on
renewal properties.

Maintenance
We provide the support to prolong the use of
equipment systems such as operational managementof those systems, commissioning, inspections for thestate of equipment degradation and the formulationof long-term maintenance plans.

Concern for Environment
Energy Saving
Comfort
Safety and Security

Installation
We offer sound installation through means that
include the creation of construction drawings,
proper process management, quality management,
environmentally- and safety-friendly construction
management as well as test runs.

Main Systems Handled by Shinryo Corporation

9•HVAC systems•Plumbing sanitation

HVAC systems that responds to diversifying environmental
control needs with trusted technology. In addition, we provide
leading-edge technology in the clean room field.

Plumbing sanitation systems are built considering thesanitation of the water supply indispensable to our daily lives
and businesses.

•Electric systems•Integrated information systems

Electric systems propose energy-saving systems such as
power reception and transformer systems as well as indoor
wiring systems.

The “sc-brain” integrated information systems realizes
assured system management and energy savings throughdata management.

SHINRYO Report 2018

Business Fields

Business Items
Design and construction of various building services

Design and construction of building
Clean rooms/plant buildings/interior finishing work/associatedconstruction work for building services/general building facilities

Corporate Profile

Environmental control service work�� Air conditioning and mechanical ventilation systems/industrial air conditioning and mechanical ventilation
systems/clean room systems/dry room systems/bio-hazard facilities
Water-supply and drainage sanitation� Water supply and hot water supply systems/soil and waste drainage systems/gas supply systems/kitchenequipment systems
Firefighting service work������� Automatic fire alarm systems/smoke purge and smoke extraction systems/evacuation guidance systems/
indoor and outdoor fire hydrant system, sprinkler system and other types of fire extinguishing systems
Electric service work��������� Power reception and transformer systems/main and sub main power distribution systems/lighting andsmall power systems/extra low voltage systems/lightning protection systems/power generation systems
Cogeneration system��������� Power generation system/heat recovery system
Urban utility service work������ District heating and cooling systems/energy supply systems
Automatic control service work���� Automatic control systems/building management systems/industrial automation systems
Comprehensive information systems� Various control and management systems for utility plant facilities, industrial production facilities, building
facilities and etc.
Power plant service work������� Ventilation and air-conditioning systems for nuclear power and thermal power plants/special filteringsystems/waste treatment systems
Environmental sanitation and ���� Potable, sewage and disposal water systems/greywater recycling systems/sewage treatment systems/
hygiene service work
industrial waste water treatment systems/waste treatment and dust collection systems
Industrial production service work�� Pharmaceutical and food plant facilities/petroleum-related facilities/other plant facilities
Refrigeration service work������ Freezing and refrigerating systems/ultra-low temperature and high accuracy temperature control systems
Special service work��������� Aquarium facilities/aquaculture facilities/pool facilities/weather simulation facilities/various environmental
reliability testing systems

Sales of air conditioning equipment
Air conditioner and other heating and cooling products/fans andblowers/sanitary ware/other products related to air conditioning andventilation•District heating and cooling systems•Cogeneration systems

Shinryo Corporation shows the number one share in its
construction track record of district heating and cooling systems.
These systems realize an efficient and stable energy supply
to the local community.

We provide cogeneration systems with superior energy
savings through a deeply proven construction track record,
designs and installation capabilities.

•Plant facilities•Aquarium facilities

We design and install such as at pharmaceutical and foodplant facilities. This provides a highly precise production
environment based on GMP and validation.

The aquarium facilities we construct are perfect cultivation
environments built on high-level knowledge about ocean lifeand marine product technology as well as a construction trackrecord in the construction of aquariums throughout Japan.
SHINRYO Report 201810

Corporate Profile

Construction Track Record“Cities and Buildings Are Living Things”
If we take a glance beneath a city and inside thewalls of a building, we will see systems from pipes
and air conditioning ducts to electric wires runningback and forth and up and down everywhere.
These systems provide the air, water,and electricity to be comfort with energy
savings to each room in the building.
“Cities and Buildings Are Living Things”
Shinryo Corporation is tasked
with designing and creating cities
and buildings to breathe.

Domestic

Dai Nagoya Building(Nagoya City, Aichi Prefecture)

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SHINRYO Report 2018

Toranomon Hills(Minato-ku, Tokyo)

THE LANDMARK TOWER
YOKOHAMA(Yokohama City, Kanagawa Prefecture)

Construction Track Record

Otemachi District, Marunouchi 1-chome District DHC(Chiyoda-ku, Tokyo)

Corporate Profile

Tokyo Sky Tree® District DHC(Sumida-ku, Tokyo)

Palace Hotel Tokyo • Palace Building(Chiyoda-ku, Tokyo)

Minato Mirai 21 Central District DHC(Yokohama City, Kanagawa Prefecture)

FESTIVAL CITY
(Osaka City, Osaka)

SHINRYO Report 201812

Domestic

Yakult Central Institute for MicrobiologicalResearch, Basic Research Building(Kunitachi City, Tokyo)

Honda Motor Co., Ltd., Wako Building(Wako City, Saitama Prefecture)

Kanto Glico Co., Ltd. Kitamoto Factory(Kitamoto City, Saitama Prefecture)

Sharp Corporation Kameyama Factory(Kameyama City, Mie Prefecture)

SENDAI UMINO-MORI AQUARIUM(Sendai City, Miyagi Prefecture)*Photograph of aquarium「INOCHI KIRAMEKU UMI」

Hiroshima University Hospital Clinic Building(Hiroshima City, Hiroshima Prefecture)

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SHINRYO Report 2018

Musashino Co., Ltd. Gunma Factory(Takasaki City, Gunma Prefecture)

SAPPORO RACE COURSE(Sapporo City, Hokkaido)

SUNTORY WORLD RESEARCH CENTER(Soraku-gun, Kyoto)

Okinawa Institute of Scienceand Technology Graduate University(Kunigami District, Okinawa Prefecture)

Construction Track Record

Overseas

Marina Bay Sands Integrated Resort(Singapore)

Corporate Profile

Photo courtesy Mediacorp

Mediacorp Campus(Singapore)

Petronas Penapisan (Melaka) Sdn Bhd
Cogeneration Plant (Malaysia)

Changi International Airport Terminal 3 (Singapore)“Courtesy of Civil Aviation Authority of Singapore”

THAI KYOWA BIOTECHNOLOGIESCO., LTD. (Thailand)

The Mass Transit Railway Corporation(Hong Kong)

District Cooling Plant for the New Abu Dhabi International Airport Terminal(United Arab Emirates)

SHINRYO Report 201814

Corporate Profile

Initiatives at the Research and Development Center
Shinryo Corporation established the industry’s first research center in Shinagawa-ku, Tokyo in 1970 before opening thelargest facility in the industry, the Research and Development Center, in Tsukuba City, Ibaraki in 1990 with the aiming toCreate a Freshening World.

VOICE
Yasuhiko Sahara
General Manager, Researchand Development Center,
Technical Supervision Division

The Research and Development Center is involved
in research and development that contributes to thepreservation of the global environment with focus on airconditioning technologies. Our research and development
is in the fields of air, water, heat and sound as well as theregion of our research is broad from environment control
for people and industrial products to living things,
energy management, production technologies, and digitalengineering. We also are actively promoting collaborative
research with research institutes such as universities
because of the need for a vast range of expert knowledge.
Full view of the Research and Development Center

As a Research and Development Base
The Research and Development Center has facilities from amain research building and large-scale experiment space to an
acoustic experiment laboratory, environment simulation roomand outdoor experiment site. The center offers gigantic spaces
and systems for performing large-scale practical experiments as

Large-scale Experiment Space

well as analysis devices that support leading-edge technology
and a high-performance HPC server able to perform highly
precise simulations of phenomenon. All of this makes theresearch and development in the field of environments withfocus on air-conditioning technology possible.

Environment Simulation Room

Acoustic Experiment Laboratory

Inspection for Research and Development

As a Base to Expand Technologies

The Research and Development Center is also used as ashowroom where all of our customers and students canactually see and experience research and development
on demonstration machines, model systems and otherequipment in addition to taking a tour guided by researchersof Shinryo Corporation technology as well as themes on
research and development. Many customers and students
have taken the tour at the Research and Development Center.

The Research and Development Center holds training
for engineers at Shinryo Group about the proprietary
technologies it has worked to cultivate over many years inan effort to improve the quality of construction throughout
the entire Group.
We also hold tours of the Research and Development
Center to introduce Japanese air-conditioning systems andShinryo Corporation technology to local overseas staff.

Shift in the number of visitors
Number of visitors [persons]

556

600
400
200

309

334

393

220

Technical training

0
2013

15

SHINRYO Report 2018

2014

2015

2016

2017

[Fiscal year]

Technological explanation to local
overseas staff

Initiatives at the Research and Development Center

Research Field & Main Research and Development

Environmental Control

Energy Management
Research in technology related to energy such as energy
savings, energy creation and energy storage is advancing.

Formaldehyde removal
systemThis system realizes asafe work environmentand higher workability bycontrolling the diffusion offormaldehyde.

Optimal control for heatsource and air conditioning
systems
This control realizes the
optimal operation of heatsource and air conditioning
systems with the lowest
energy consumption.

Energy-saving dry air
conditioning system:
Arificus
Arificus realizes a low-dew
point environment in a
dry room with a minimal
amount of energy.

A multi-building energy
management system
This system realizes
centralized managementof multiple buildings ina region by using open
communication protocols.

Mass silkworm rearing
system
Silkworms can be reared
while saving space, savingenergy, and gaining a highyield percentage throughadvanced environment
control.

Dynamic Ice Storage
System: The Jiyu Sekkei
The Jiyu Sekkei proposesa dynamic ice storage
system to effectively takeadvantage of limited spacein a building.

Production Technology

Corporate Profile

We are advancing research into air conditioning systems
that build optimal environments for people, industrial
products and living things.

Digital Engineering

Research into accurate measurement technology,
corrosion diagnosis technology for construction equipment
as well as measurement and control technology for noiseand vibrations in equipment on construction sites.

Research is underway for technology to run equipment
optimally based on BIM and operational data, indoor
environmental predictions through CFD.

Space scanning System
A space scanning systemcreates an accurate threedimensional model by
scanning the actual spacewith a laser. This system isadvantageous in construction
such as renovations.

Corrosion prevention
technology
Corrosion prevention
technology is in development
based on technology being
built to inspect the factorsof deprecation and decay
caused by corrosion.

Evaluates/proposes energy
savings via air flow comparisonsof each system
Comparison

Practical drone technology
Drones are in development
to perform work such as
monitoring and measurementby autonomously
flying through building
construction sites as well as
existing buildings or facilities.

Mistmeister
Mistmeister creates CFD
models using the amount ofoil mist occurring obtained
through actual measurement
to understand the current
problem points andpropose the best solutions.

Ceiling blowoff system Floor suction system

CFD for energy savings
Proposes air conditioning
systems that satisfy
temperature, humidity,
cleanliness and other needs ofarbitrary areas while using aminimum amount of energy.
Space Visualization System
The system visualizes the realtime temperature and air flow
distribution of server rooms
using CFD. This informationis also available forinvestigating environmental
improvements and energy
savings.

SHINRYO Report 201816

Feature

1

Corrosion Engineering for
Piping to Save Resources
Using piping for long-term and eﬀectively saves resources of construction equipment.
Feature 1 introduces corrosion mitigation technology to prolong the life of piping.

Saving Resources
The lifespan of a building is said to be approximately 60
years, but the piping deteriorates more quickly with alifespan of generally 15 to 20 years. Therefore, the piping ina building needs to be replaced two or three times within
the lifespan of the building.
There are many different types of pipes, but most are
made of metal. The deterioration of piping progresses
due to the corrosion of that metal. This corrosion can besignificant over the first several years of use in some cases
while there may be almost no corrosion after use for 30

years in other cases. We know the degree of corrosion
progress depends largely on factors such as the type ofmetal and the usage environment.
This means prolonging the lifespan of the piping withproper maintenance management technology that does
not allow the corrosion of piping. We believe resources of
construction equipment can be saved by reducing theserenovations. That is why Shinryo Corporation is in the
pursuit of technology to prolong the life of this piping.

Various Signs of Corrosion
Corrosion of piping advances unnoticed hidden in theceilings and below the floor. As corrosion becomes worse,
equipment becomes damage from holes in pipes resulting
in water leaks to clogged piping lines preventing theflow of liquids. Finding corrosion as soon as possible andeliminating the cause is important for prolonging thelifespan of piping.
There are many types and signs of corrosion (seediagram below). We have to investigate the stateof corrosion in detail to clarify the causes to build
improvement measures. However, mechanisms for many
types of corrosions are still unknown. Local corrosionthat occurs on galvanized steel pipes and copper piping
is one type of this corrosion. Discovering the corrosion
mechanisms is an important challenge to prevent
corrosion.

Corrosion Forms which construction equipment piping(Findings of Shinryo Corporation)

VOICE
Yasuki Matsukawa

22 %

35%

Other
unclassifiablecorrosion

Local corrosionof galvanized steel/copper piping

13%
Carbonic acidcorrosion

4%

8%

Uniform
corrosion

5%

External
corrosion

17

Signs of corrosion like locally
stripped circles

6%

7%

Dissimilar
metalContact
corrosion

Erosion ‐ Stresscorrosion corrosion cracking

SHINRYO Report 2018

Signs of thinning piping
indicating corrosion in areas
water does not always flow

Manager, Research andDevelopment Center,
Technical Supervision Division

The corrosion happens due to a combination of thetype of metal and operating environment. The signs ofcorrosion differ slightly according to even tiny differencesin the quality of tap water and how equipment is usedeven with the same metal. I am confronted withphenomenon I’ve never seen before several times a year
even after all my time involved in this research, and eachtime is a new discovery.
Corrosion research is very interesting and it isimportant work to realize a sustainable society. I will
work even harder in my corrosion research to improve
construction quality, prolong the life of equipment andcontribute to energy savings.

Feature 1 Corrosion Engineering for Piping to Save Resources

Diagnosis Technology for Long Life Building
Local Inspection, Diagnosis and Evaluation

Flow of diagnosis

Improvements/proposals

Diagnosis/evaluation

Local survey

Analysis of corrosion product by a fluorescence X - ray device

to maintenance methods•WeImprovements
propose the correct maintenance methods from results

through renovations•WeImprovements
propose designs and construction for renovation incor-of corrosion diagnosis. For example, the cause of corrosion
is eliminated through proposals such as measures toreduce the oxygen concentration using deoxidation devices
in cases where the oxygen concentration in the water ishigh and corrosion advances quickly.

porating the proper measures to prevent corrosion in cases
piping is significantly corroded. A corrosion diagnosis andcountermeasure support system is leveraged to select apiping material suitable for the usage environment.

FeatureImprovements/proposals

Diagnosis plan

Survey image of corrosion and interior piping by a video scope

Preliminary diagnosis

Shinryo Corporation is putting its strength into
establishing corrosion diagnosis technology for long life
building. According to more than 25 years of research candiagnose signs of corrosion while verifying those signs
with past examples of corrosion. A corrosion diagnosis
and engineering support system database storing survey
examples and solution. Moreover, in addition to analyzing
the signs of corrosion, we also survey the surrounding
environment from the water quality to the temperaturein the pipes. These comprehensive diagnostics clarify thecauses of the corrosion.

To Prevent Corrosion
Shinryo Corporation strives in research not only to address
corroded piping but also non-corrosive water. Stopping
corrosion is the most effective way to prolong the life of
piping. As a result of refining our research to emphasize
local corrosion which often appears in case studies, wedeveloped technology to reduce the progress of corrosion.
This technology transforms tap water into non-corrosive

water using anion exchange resin, which was developedwith the cooperation of Yokohama National University
Center for Creation of Symbiosis Society with Risk
(Professor Atsumi Miyake, Institute of Advanced Science).
Results of experiments with the non-corrosive water haveshown a dramatic reduction in the speed of corrosion incarbon steel pipes.

Comparison of corrosive reduction eﬀects

Comparison of corrosion speed(Carbon steel pipes, room temperature, no agitation, 32-days’ immersion)

Corrosion speed [mm/y]Corrosion progresses

0.3

0.2

■ Tap water (Tokyo) ■ Non-corrosive water

0.300 mm/y

The corrosion speed
decreases dramatically0.1
0

Tap water (Tokyo)

Non-corrosive water

0.050 mm/y
0.005 mm/y
Carbon steel pipes

0.025 mm/y

Galvanized steel piping

SHINRYO Report 201818

Feature

2

Business Activity Highlights
Shinryo Corporation would like to contribute to society through its business activities.
Business Activity Highlights introduce our primary activities conducted recently.

Overseas Projects(Informational
broadcasting facility)

Mediacorp Campus

The Mediacorp Campus is a state-run broadcasting station
as goverment-linked-company in Singapore. This campus
was a national project planned by Mediacorp as a businesscelebrating the 50th anniversary since the founding ofSingapore as a nation.
The full-fledged media building provides a broadcast
studio for audio and visual production of radio andtelevision and a theater that has 1,500 seats with afuturistic exterior resembling a spaceship.
Shinryo Corporation accepted work on the chilled watersupply through a neighboring district cooling plant andwas in charge of the air condition system installation of
the facility. This was the first project in Singapore to haveintegrated management through BIM for all drawings,
including architectural and building services drawings. We
worked to improve the work productivity by performing
smooth coordination from the planning stage of the
project to data sharing using a shared server between
users who works on the projects. The audio/visual studioneeded high soundproof performance. We implemented
every effort for such performance that included technicalSingapore

partnerships from Japan to meet the indoor noise
conditions unprecedented in Singapore for the highest
NR15 possible. As a result, we succeeded in achieving
the indoor noise conditions required in all of the 135
soundproof rooms.
This building is expected to act as a base to reformthe world’s impression of Singapore as country strictly
controlling information through news and open
information broadcasting with high-transparency globally.
Shinryo Corporation has a business track record of morethan 30 years in Singapore. We will continue to contributeto society through business activities closely related to the
local community now and into the future.

Building overview
Official name
OpenedTotal floor area
Building application

Mediacorp Campus
March 2016
128,400 m2
Total media broadcasting station, studio,
theater and stores

Building exterior
Photo courtesy Mediacorp

Photo courtesy Mediacorp

Media floor

Photo courtesy Mediacorp

News production

19

SHINRYO Report 2018

Feature 2 Business Activity Highlights

Harmony with
Nature(Facility Complex)

Otemachi Park Building

In addition, we spearheaded more efficient operations
during construction using 3D-MAPS (three-dimensional
measurement system) and WINSPEC (airflow volume
measurement system) developed by Shinryo Corporation.
Shinryo Corporation is passing down this construction
experience and technological capabilities to the future
through involvement in construction of skyscrapers in
Otemachi, Marunouchi, and the Yurakucho districts thatsurround Tokyo Station, which is the heart of businessin Japan.
Building overview
Official name
OpenedTotal floor area
Building application

Otemachi Park Building
February 2017
Approx. 151,700 m2
Office, stores, service apartments, nursery
center, etc.

FeatureThe Otemachi Park Building was built to strengthen city
functions in the international financial base of Otemachi asa facility complex in a commercial zone with an office floor
that supports diverse work styles, the Ascott Marunouchi
Tokyo that acts as Otemachi's first residential service
apartment and Hotoria Square community square thathas a richly green harmony with the nature of the Imperial
Palace under the concept of a mature spot filled with styleand passion.
Shinryo Corporation was in charge of the district heating
and cooling systems, stores from the fifth floor basement to
8th floor, the offices and the air condition system constructionof the service apartments on the 21st to 29th floor.
As a heat source system, a subplant of the district
heating and cooling system on the fifth floor basementtakes in cold and hot water as well as steam and supplies
cold and hot water through a plate-type heat transfer
device to reduce pressure of steam and supply hot water
to the entire building. Fan coils are laid out for each roomof the service apartments, and each can be controlled
independently. Each office floor of roughly 3,405 m2 hasa large columnless special form that is air conditioned ineach area with seven air conditioners.
We actively worked to reduce the environmental load by
adopting technology such as highly efficient equipment toearn an S-rank in the Comprehensive Assessment System
for Built Environment Efficiency (CASBEE).

Tokyo

Entrance hall
Building exterior

SHINRYO Report 201820

Safety and Secure
Construction Technology(District Heating andCooling System)

Roppongi Hills Energy Center

The energy center of Roppongi Hills is in Roppongi Hills,
which opened in April 2003. This energy center is a plant
entrusted with both specific power distribution operations
to supply electricity to each building as well as heat supply
operations to supply cooling and heating by effectively
using waste heat from the electric power generation.

Roppongi Hills area

Machine room

The power supply up to that point had been done
through gas cogeneration using a gas turbine (GT)generator which uses city gas as fuel. However, we areaiming to save even more energy while sustaining thestable supply of electricity by updating this system to agas engine (GE) generator, which is an even more highly
efficient power generator.
Shinryo Corporation removed six exiting GT 6,360 kW
generators and installed five new GE 5,750 kW generators
while also removing one existing 2,500RT absorption
chiller and installing two new 468RT hot water driven
absorption chillers that use waste heat from the GE.
We also adopted the “sc-brain” comprehensive
information system developed by Shinryo Corporation
for the central monitoring system on the heat supply side
as well as renewed the air conditioning and mechanicalventilation system inside of the power generation plant.
We were able to complete the construction while
maintaining a stable supply of electricity and heat by
ensuring constant risk management during the installation.
Building overview
Official nameCompletion
Building application
Plant scaleEver Evolving
Energy Network(District Heating andCooling System)Tokyo

Roppongi Hills Energy Center
September 2017
Power/heat distribution plant
Cooling: 17,436 RT; Heating: 79.6 t/hPower generation Regular use: 28,750 kW;
Emergency use: 12,000 kW

Otemachi Park Building SubplantThis plant is a state-of-the-art and highly efficient district
heating and cooling plant that supplies cold and hot
water from the fifth floor basement of the Otemachi Park
Building ( P. 20). The plant is linked to the neighboring
main plant and cold water piping to establish a cold water
network built with a total of five plants, including three
subplants already connected. This cold water network has

Tokyorealized a spiral-up effect that increases energy efficiencyof the entire district by strengthening energy systems
throughout the entire Otemachi district to prioritize
operation of the high-efficiency plant.
A system was also built to supply cold water to Otemachi
Park Building and Otemon Tower - JX Building for
emergencies as support for the BCP (Business ContinuityPlan). Moreover, unused energy is also used (intercooler
waste heat and greywater waste heat of the cogeneration
system) to improve energy efficiency and reduce theenvironmental load.

Basement machine room
Roof cooling tower

21

SHINRYO Report 2018

Building overview
Official nameSupply start
Building application
Primary heatsource equipment

Otemachi Park Building SubplantFebruary 2017
District heating and cooling plant
Cooling Turbo chillers: 1,200 RT × 2 units; 560
RT × 1 unit
Intercooler turbo chillers: 800 RT × 2 units
Single effect absorption chiller: 55 RT
× 1 unit
Heating Screw chiller: 1,350 kW × 1 unit
Water source heat pump: 705 kW × 1 unit
Heat recovery hot water boiler: 167 kW
× 1 unit, etc.
Cogeneration system/gas engine: 370 kW × 1 unit
Thermal storage tank (Cooling: 3,900 RTh;
Heating: 11,200 kWh)

Feature 2 Business Activity Highlights

Smart Town
(Energy Plant Facility)

minato AQULS

minato AQULS strives to realize a leading-edge smart town
to become a model for comprehensive energy operations
through environmentally-friendly and energy-saving
initiatives with the concept to create a city connecting
and nurturing people, the environment and the local
community. This was the first to be recognized by Nagoya
City as a business for low-carbon model district that aims
to build a city with an even lower level of carbon.
The building applies a dispersion type power sourceemphasizing cogeneration systems, NAS batteries andSouthern exterior

Nagoyasolar power to realize a model city with disaster response
measures. In addition, facilitating the use of canal water
creates a system that can continually supply electricity
and heat to the area even in a disaster and also allows the
supply of emergency power even to the Minato City Halland Minato Disaster Prevention Center next door.
Shinryo Corporation is in charge of the heat supply
construction of the energy supply facility, which is the heartof the new city development. We will build an energy systemthat leverages recyclable energy and unused energy. We arealso realizing a highly efficient and low-carbon energy supply
to commercial and sports facilities as well as multiple dwellinghouses by integrating energy management of the entire area
through a CEMS (Community Energy Management System)
providing an electric, heat and information network.

Extra-high transformer(77 kV/6.6 kV 10 MVA)

Building overview
Official nameSupply start
Building application
Primary heatsource equipment(Power Generation
Facility)

BANGPA-IN COGENERATION PHASE II SPP
POWER PLANT PROJECT (BIC2)The Bangpa-in Cogeneration Power Plant was built in the
Bang Pa-in Industrial Estate in Phra Nakhon Si Ayutthaya
roughly 50 km away from the capital of Bangkok in Thailand.
This plant is the first power generation facility that
includes SPP (Small Power Producers) in which the Thaigovernment is moving toward their objective of reducing
the import and use of petroleum. The SPP plan is also
advancing initiatives to increase the efficient use of energy
by leveraging by-products of conventional power sources
and renewable energy.
Phase II, which is the same scale as Project No. 1, is underconstruction as a power plant facilitating the supply of 90
MW of electricity to EGAT (Electricity Generating Authorityof Thailand) as well as 20 MW of electricity and 20 t/h ofsteam to the factories on the Bang Pa-in Industrial Estatepremises. This project is reducing energy consumption by
improving the power generation efficiency 38% with a gas
turbine and the power plant as a whole 55%.
The cogeneration power plant not only provides a stable
power supply to the Bang Pa-in Industrial Estate but also
expands the power and distribution system in Thailand andcontributes to the reduction of greenhouse gases throughenvironmentally-friendly clean emissions and energy savings.

FeatureOverseas Projects

minato AQULS
April 2017
Power/heat distribution plant
Waste heat input cold and hot water machine:
800 RT × 2 units
Steam absorption chiller: 560 RT × 1 unit
Turbo chiller: 500 RT × 1 unit
Canal water source heat pump: 500 RT × 1 unit
Gas combustion once-through boiler: 2 t/h × 2 unit

Thailand

Building overview
Official name

BANGPA-IN COGENERATION PHASE II SPP
POWER PLANT PROJECT (BIC2)
Supply startJune 2017
Building application Power/heat distribution plantPrimary heatGas turbines: 47 MW × 2 units
source equipment Heat recovery steam generators: High pressure
42 t/h × 1 unit; Low pressure 22 t/h × 1 unit
Steam turbine: 22.5 MW Condenser × 1 unit

Power plant in operation(Left: Phase II construction;
Right: Phase I construction)

Bangpa-in Power Plant Phase II

SHINRYO Report 201822

Feature

3

Work Style Reform at Shinryo Corporation

Refreshing Work Style Project

Shinryo Corporation started the Refreshing Work Style Project and it is stepping up to the challengeof full work style reform to innovate the way people work according to the 13th Three Year Plan.

Reforming Long Working Hours and Heightening the Charm of WorkWork style reform began in April 2016 to formulate a vision, goal,
and targets under the name Refreshing Work Style Project. The
purpose of this reform is to execute more efficient operations,but we also aim to improve the charm of the constructionindustry by bettering labor practices in which long work hours
have been normalized while also improving the competitivenessand corporate value as a company. In addition, the realizationof work-life balance for employees helps cultivate a persevering
corporate climate and strengthens the adaptability to change.
In March 2017, we held the Work Style Reform Kick Off
Meeting to start activities to review work styles with a
total of more than 100 members participating from thetechnology, design, and construction departments of theTokyo Metropolitan Area Division and Urban Environment
Division as well as the General Affairs Department.
Model teams from technology (on-site), design, sales andgeneral affairs reviewed their work styles to discover andtry their own ideas to make their operations more efficientand improve their productivity.
A total of more than 100 employees joined together inintroducing PDCA for work style reform. Any ideas thatprove effective will be rolled out company-wide for reforms
as actions conceived and executed by employees throughin-house expansion via the Public Relations Department
and CSR Promotion Division.
On-site model teams were chosen from various
construction sites such as general contractors,
subcontractors, new construction, renovation, maintenanceas well as building and repairs. Employees from partnercompanies who work at on-site offices are also striving
together to reform their work styles as a unified team. We willorganize and overcome the challenges of work styles on-site
as a systems and construction business through this initiative.
Project Promotion System

Vision, goal and targets of the Refreshing Work Style Project

VisionRefreshing and open corporate
climate rich with creativity

Ideal form throughachieving goals

Goal
Realize work style reform

Targets
Challenges to overcome

Execute efficient operations❶ Correcting long working hours❷ Realizing a work-life balance

Flow of activities
April 2016

• Appointed an executive officer in charge of work stylereform• Started no overtime days

September 2016 • Held a lecture by Yoshie Komuro, President,
Representative Director of Work Life Balance Co., Ltd.,as education to raise awareness about work styles in
employees who are general managers or above
January 2017

• Introduced study sessions to start preparing forwork style reform, choose model teams and raised
awareness in those team members

March 2017

• Kicked off the Refreshing Work Style Project

June 2017• Held a mid-term report briefing for the RefreshingWork Style Project

July-August 2017 • Conducted manager training
September 2017 • Held feedback sessions to listen to ideas from junioremployees
October 2017

• Held a final report briefing for the Refreshing Work
Style Project

From
November 2017

• Began expanding project successes throughout
Japan

Management Council

Refreshing Work Style Project Secretariat (General Manager: Managing Executive Officer in Charge of Work Style Reform)

Corporate Division Meeting/General Assembly
Sales

General Affairs

3

DesignGeneral Affairs Department

Sales

4

13th
on-siteTokyo Metropolitan Area Division

6

DesignSHINRYO Report 2018

CSR
Promotion
Division

PublicRelations
Department

7

9th
on-siteUrban Environment Division

Work style reform activities by model teams

23

Technical Supervision
Division
General Affairs
Department, etc.

Corporate Divisions, Branches,
and Administrative sections

Feature 3 Work Style Reform at Shinryo Corporation Refreshing Work Style Project

Employee Initiatives to Innovate Work Styles in the Refreshing Work Style Project
Flow of initiatives and work style reform activities by model teams
Every morning: Create schedule for the workday

night: Review whether operations went as planned before
1 Everyleaving the office

Example of ❶ visualization and ❷ goal setting by a person
in charge of sales

Actual work balance

Ideal work balance-> Visualize how much time each task took

1 and 2 are reviewed by each section
or on-site to improve what can bedone independently and pick-up
requests they would like to make ofthe division and company.

2 Debate reforms to move forward more efficiently in tasks based on 1

30%

20%

20%

Visiting
customers

TravelTravel

40%

50%

4

Present reforms and initiatives in 2 to raise improvement requests
to the Corporate Division and company discussed in 3 at theGeneral Assembly in which all model teams, general managers,
and the administrative section heads participate

Visiting
customers

Working
in officeWorking
in officeDebate work styles for increasing productivity as an entire division

the Corporate Division meeting in which sales, design and3 attechnology
participate

40%

Current analysis

Goal setting❶ Visualize current work

❷ Increase time meeting with

Discover a lot of time is spent at
the office creating materials, etc.

Debate challenges and solutions

style

customers!

FeaturePassionately debate more efficiency of work on-site

Work Style Reform Meeting (WSR Meeting)

No overtime days at the office and on-site (left) as
well as Refreshing Work Style Project (right) posters

Changes, Successes and Challenges Up Until Now
March 2017

October 2017

Challenge at the beginning of the RefreshingWork Style Project was the start-up• Difference in enthusiasm between model team members• Some even were forced to participate• Mental block from a feeling of impossibility in reforming
work

Change at the final report briefing for theRefreshing Work Style Project• People became aware of how to use time efficiently• An atmosphere was built where breaks are easy to take
• The limitations of on-site time reduction and the difficultyof some reforms without site-wide and industry-wide efforts
became clear• The challenges faced by the entire company were clarified
to allow requests to improve upon those challenges to beraised with the company to create even greater efficiency

No overtime days (on-site)

Overtime (companywide)

Rate of taking paid leave(companywide)

Implementation rateYear-on-year

Acquisition rate

97%

-3.3%

Total of 142 model sites(April 2016 to March 2017)(April 2016 to March 2017)

60.0%*Other initiatives on work stylereform included on P. 39-40.

Year-on-year +3.7 points(April 2016 to March 2017)

SHINRYO Report 201824

CSR Management

Process for Considering Priority Subjects
Sustainable Development
Goals (SDGs)

ISO26000 core subjects

13th Three Year
Management Plan
Achievements of 12th Three Year
Management Plan
Overall FY2014 to FY2016 CSR activities

Shinryo Corporation
took these aspects
into account toorganize priority
subjects (materiality)
through dialogue
with the primary
members of the CSR
Promotion Division
The six items to prioritize
are outlined on the right

Top management
approved thesepriority subjects

These priority
subjects are set
for FY2017 toFY2019

1. Improve productivity
2. Work style reform
3. Cultivate environmentallyfriendly technology

4. Reduce greenhouse gases
5. Secure and nurture humanresources
6. Expand globally

Overall FY2014 to FY2016 CSR Activities
FY2014 to FY2016 CSR activities moved forward in accordance with the Shinryo Corporation CSR Statement (see P. 19
in the Shinryo Corporation CSR Report 2016) based on the 12th Three Year Management Plan, which is a business planof the Shinryo Corporation. We achieved the targets set in four of our priority subjects. The 13th Three Year Management
Plan as well as the CSR Priority Subjects (Materiality) will build on that success to expand the content of these efforts.

Priority subjects : Provision of new values to the society
Build BIM + supply chain

1 operation modelEngage in life cycle

2 management (LCM) services

Conduct initiatives aimed at

3 energy saving technology andlow carbon technology

4 Expand globally

Basic themes
Initiatives in work-life balance

1 Corporate governance

6 on-site

2 Compliance initiatives

7 Initiatives in diversity

Initiatives to ensure business8 development

Environment conservation

9 international agreed scheme

3 continuity during emergency
4 and social investing

Implementation of training

5 and human resources
development

Community involvement andParticipation in the

We successfully achieved our targets in four priority
subjects.
○ 1. Built operational models through effective useof BIM data
○ 2. Strengthened the LCM system throughcommissioning○ 3. Developed air quality improving technology andexpanded the market○ 4. Promoted technological and human exchangewith local companies as well as built a humanresource platform.
We succeeded in almost all of our goals around these
themes.
○ 1. Implementation of a continuous review ofinternal control systems○ 2. Strengthening of compliance (Japan, overseas,
and at Group companies)○ 3. Reorganization and strengthening of a BCP
operation structure△ 4. Continuous operation of ISO14001
environmental management system
Low-carbon and decarbonization initiatives
endeavored to visualize greenhouse gas
emissions and promote even lower carbon andmore decarbonization○ 5. Expansion of education distinct to each division○ 6. Start of logistical support for on-site operations
Start of no overtime days and work style reform○ 7. Implementation of training and education for
women and foreign staff as well as introductionof support systems○ 8. Deployment of lecturers to schools and otherinstitutions and implementation of activities
such as community volunteers○ 9. Participation in the GCNJ* Environmental
Management Conference*GCNJ: Global Compact Network Japan(Degree of achievement of initiatives through self-evaluation) ○: Initiatives implemented that produced results△: Initiatives implemented that need even higher results ×: Initiatives not executed

25

SHINRYO Report 2018

CSR Management

Vision, Statement & Management Plan
Shinryo Corporation is engaged in business activities which
follow our Management Vision “Create a Freshening World”
and it is contributing to the development of a sustainable
society.
United Nations Sustainable Development Summit 2015
announced the Sustainable Development Goals (SDGs)
that are shared globally in an effort to realize a sustainable

world by 2030.
The CSR activities of the Shinryo Corporation organize
challenges faced by the Shinryo Corporation and society
based on the core subjects of the ISO26000 while
supporting the UN Global Compact and the Sustainable
Development Goals (SDGs). Shinryo Corporation will further
activities able to contribute to these goals (see P.27-28).

FY2017 to FY2019 CSR Activities
Priority subjects (materiality)• Improve productivity to deliver better
technology and higher quality• Promote proposal activities that
respond to customer needs• Heighten the ability to expand people
and technology globally

ISO26000 core subjects
Community
involvement anddevelopment

Corporate
governanceFair operating
practices

Environment

Consumer issues

Labor practices
Human rights

CSR Management

Shinryo Corporation declares support
for the UN Global Compact (signed in
September 2014)17 Goals to transform our world

CSR Promotion System
We have put in place a CSR
Committee with the executive incharge of CSR as the chairman tocheck the status of activities anddetermine activity policies in order toreflect the feedback we receive fromall of our stakeholders and promotebetter CSR activities. We promote
daily activities together with the CSR
executives selected from each section
and Group company with the CSR
Promotion Division at the center.

CSR Committee

Chairperson (executive in charge of CSR)

Coordination••

Group Companies
CSR executive chairman

Corporate Divisions, Branches
and Administrative sections
CSR executive chairman

Group Company President

General managers or deputy generalmanagers at Corporate Divisions,
Branches, Administrative sections

Group Companies
CSR executives

Corporate Divisions, Branches
and Administrative sections
CSR executives

Create the CSR action plan proposal
Report activities to CSR Promotion
Division

CSR Promotion Division
Creation and notification of CSR
Basic Plan
• PDCA of CSR activities• Creation and dissemination ofreports• Report to the CSR Committee•

Create the CSR action plan proposal
Report activities to CSR Promotion
Division• Reflection of stakeholder opinions• Other••

SHINRYO Report 201826

Activity Results of Shinryo GroupThe items in our efforts as CSR activities are categorized and organized into either the provision of new value to society
through priority subjects (materiality) or basic subjects. In addition, we have added additional remarks about each of those
activities, the ISO26000 core subjects, and the 17 targets to change the world in the Sustainable Development Goals (SDGs).
The concepts of the Shinryo Corporation for the process to consider priority subjects (materiality), the ISO26000, andSustainable Development Goals (SDGs) have been systematically organized in the CSR Management section ( P. 25-26).

(Degree of achievement of initiatives through self-evaluation)○: Initiatives implemented that produced results △: Initiatives implemented that need even higher results ×: Initiatives not executed*FY2017 (October 1, 2016 - September 30, 2017)

Relevance to Sustainable
Development Goals (SDGs)

Comparison with ISO26000 core subjects
Corporate
Governance

●

Human
rightsLabor
practices

●

●

●

Fair
Environment Operating
Practices

ConsumerissuesCommunity
involvement
anddevelopment

Initiatives
Priority subjects (materiality)
Provision of new value to society[Shinryo Corporation initiative]

●

●

1

Improve productivity to deliver
better technology and higher quality

●

●

2

Promote proposal activities that
respond to customer needs●

3

Heighten the ability to expand
people and technology globally●●

Basic subjects [Shinryo Group initiative]

●

●

●

●

●

●

●

●

●

●

●

●

●

●

●
27

●

●

●

1

Corporate governance●2

Strengthening of risk management●

3

Compliance initiatives

4

Initiatives on the environment

●

●

●

●

5

Initiatives to improve quality

●

●

●

6

Implementation of training andhuman resources development

●

●

●

7

Work-life balance initiatives

●

●

●

8

Initiatives in diversity●

SHINRYO Report 2018

●

●

●

●

●

●

●

9

Community involvement anddevelopment

●

●

10

Participation in the international
agreed scheme

CSR Management

17 Goals to transform our world

FY2017 to FY2019 Initiatives

Achievements of FY2017(Company names included for achievements by Group companies)

Degree of Reference
achievement
page• Promoted a shift to BIM data and held internal briefings• Strengthened on-site support from the perspectives of safety, informationand technology• Promoted reform through the Refreshing Work Style Project• Promoted employment such as mid-career hiring

○

23-24
39-42

• Promote one-stop services that leverage commissioning and othertechnologies• Promote proposal activities that respond to customer needs byleveraging technologies such as CFD and BIM• Proposed energy-saving technologies as well as energy management
technologies• Internally expanded commissioning technology• Held technological briefings for sales persons• Produced and actively promoted various technical catalogs• Spearheaded improvements based on customer satisfaction surveys

○

19-22

• Conduct education for human resources who are active overseas• Prepare and strengthen overseas business systems• Conduct human resource development through an overseas practicaldispatch system• Strengthened collaboration systems between administrative sections inJapan and overseas

○

41-42

• Continuously review internal control systems of Group companies• Strengthened internal control systems of Group companies• Spearheaded Group cooperation in the General Affairs and Accounting
and Finance Department○

29• Continuously improve BCP and conduct comprehensive drills• Fully strengthen operation management of informational security
and promote awareness raising activities• Strengthen the ability to respond to risk

• Introduced comprehensive BCP drills (2 times)• Implemented information security education and training (3 times)• Raised awareness about information security (16 times)• Strengthened the information security management system (Global Staff
Co., Ltd./SYSPRO CORPORATION)

○

30
45

• Continuously conduct compliance education (100% implementationrate)• Promote use of the consultation service “Helpline”• Introduce comprehensive compliance at local companies• Held the compliance liaison conference with Group companies• Introduced comprehensive compliance education at local companies

○

31-32

• Contribute to reducing the environmental load by promoting onestop services that leverage commissioning and other technologies(common priority subject)• Promote the ISO14001 environmental management system• Promote Environmental Renaissance Activities• Ran the ISO14001 environmental management system• Promoted proposals for renewable energy use (Shinryo Technical Service
Corporation/Daiei Denki Co., Ltd.)• Held Environmental Renaissance Activities 36 times and donated tointernational NGOs
• Participated in tree planting activities (PT. SHINRYO INDONESIA)

△

17-18
33-36
45-46

• Provide better quality through continuous operation of the ISO9001
quality management system• Enhance the comprehensiveness of health and safety activities andtechnical training even at partner companies• Further implementation of CSR Procurement• Ran the ISO9001 quality management system• Held technical training 20 times through the Health and Safety Council atpartner companies• Held technical briefings to improve technology (Shiroguchi Co., Ltd.)• Held safety forums (SHINRYO (MALAYSIA) SDN. BHD.)

△

37-38
45-46

• Conduct education for human resources who are active overseas(common priority subject)• Strengthen execution of various education• Enhance technical training to respond to customer needs• Conducted human resource development through an overseas practicaldispatch system• Implemented the PDCA cycle such as in company-wide education andtraining by department• Held study sessions about various technologies• Held the LE PRO Academy for technical training (LE PRO CORPORATION)

○

41-42
45

• Reduce working hours through work style reform and improve
effectiveness of various leave programs (common priority subject)• Promote physical and mental health management measures for
employees• Promoted reform through the Work Style Refreshingness Project• Introduced a half-day leave acquisition system for paid leave andexpanded administration of an accumulation system• Promoted employees to take paid leave through recommended leave days
(Shinryo Kogyo LTD.)• Supported internal exchange by formulating club activity rules

○

23-24
39-40
45

• Employ diverse human resources and promote participation(common priority subject)• Promote active participation of female employees• Promote active participation of senior employees with richexperience• Promote active participation of foreign employees• Promoted employment such as mid-career hiring and established training
systems• Revised the rehiring system• Implemented the local overseas staff Japan invitation program

○

39-42
45

• Promote volunteer activities such as volunteer clean-up activities• Promote lecture activities at universities and other institutions• Continuously provide support for culture and the arts

• Conducted clean-up volunteer and other activities (24 times)• Conducted lecture activities at universities and other institutions (8 times)• Supported music organizations (24 times)• Promoted sports (Akita Castle Hotel Co., Ltd.)

○

43-46

• Continuously participate in the United Nations Global Compact• Participate in the GCNJ conference• Continuously participated in the United Nations Global Compact• Participated in the GCNJ Environmental Management Conference

○

6
25-26

SHINRYO Report 2018

CSR Management• Create more efficient operations by promoting a shift to BIM data
• Create more efficient operations by strengthening on-site logisticalsupport systems• Reduce working hours through work style reform• Employ diverse human resources and promote participation

28

CSR Activity Topics

Corporate Governance
We are building a corporate governance system and internal control system to execute rapid decision
making while working to have highly-transparent management founded in all of our business activities
in accordance with the Shinryo Corporation CSR Statement.
In addition, we are striving to build a system that enable us to fulfill our corporate responsibility evenduring crisis by thoroughly implementing measures at all times.

Corporate Governance System
The Board of Directors deliberates submitted agenda
items based on agenda and reporting criteria stipulatedby agenda items and by Board of Directors rules set
forth in the Companies Act. The Management Council
deliberates on important matters concerning company
management, in addition to proposals submitted to theBoard of Directors. The Executive Officers communicates
reports on the status of work execution by executives andresolutions of the Management Council, and performs priorhearings on opinions concerning matters for deliberationby the Management Council. The Audit Division verifies

compliance and the efficacy and efficiency of systems,
organizations, and work activities. In addition, it has
performed audits of not only domestic and overseas
workplaces but also of construction sites.
The Compliance Committee seeks to enforce andimprove awareness of legal compliance in conjunction
with corporate ethics in collaboration with Committee andsupervisors in each division and Group company, while also
conducting policy decision-making and corrective guidancewith regard to consultations and information received
through the Helpline consultation service.

Corporate Governance System
General Meeting of Shareholders
Appointment/Dismissal

Independent
Auditors

Appointment/Dismissal

Board ofCorporate Auditors
Auditing

Financial Auditing[Business Execution System]

Appointment/Dismissal

Auditing

Coordination

Board of Directors
Executive Officer
Appointment/
Supervision

President

Discussion and Reporting

CSR Committee

Management Council
Compliance Committee

Audit Division
Board of Executive Officers

Risk Management Committee

Corporate Divisions, Branches, Administrative Sections, Group Companies

Internal Control
Since the construction of the internal control system ismandated by the Companies Act, Shinryo Corporation has
performed reviews of the system as necessary, and works

to fully secure compliance and enhance consistency andefficiency in work execution.

Overview of Shinryo Corporation’s basic policy on internal control system(excerpted from resolutions of the Board of Directors)
1. Systems to ensure that the execution of duties of executives and employees of the Group conforms to laws, regulations, and the Articles ofIncorporation
2. Systems concerning the preservation and management of information pertaining to the execution of duties of directors
3. Rules and other systems concerning management of the risk of loss in the Group
4. Systems to ensure the efficient execution of duties of directors in the Group
5. Systems to ensure reasonable work in the Group composed of our company and Group companies
6. Matters concerning the employees in cases of auditors requesting the appointment of employees to assist the duties of auditors
7. Systems by which executives and employees of the Group or those that received the report to inform to auditors, and other systems concerning
reporting to auditors
8. Systems to otherwise ensure the effective conduct of audits by auditors

29

SHINRYO Report 2018

Corporate GovernanceRisk Management
Risk Management Committee

Information Security Management System

Shinryo Corporation is extracting vital risks such astechnological and contractual risks in large-scale jobs
which have the potential to greatly affect management andperiodically holds Risk Management Committee meetings
to debate measures to respond to these risks.

Preparation of Crisis Management
Measure Regulations
Shinryo Corporation is preparing Crisis Management
Measure Regulations that define the organization andresponse to resume and continue business as quickly
as possible by minimizing the impact when risks suchas disasters, accidents, and operational troubles occur.
In August 2017, we revised our reporting methods andreviewed routes right after the company is impacted by risk.

Shinryo Corporation strives to appropriately manage theinformation of our customers and partners. We clarify
internal rules for the growing complexity in informational
security management in accordance with Management
Rules of Corporate Information, while also building a PDCA
cycle that regularly conducts and improves security audits
for our primary business establishments and on-site offices.
Furthermore, we are actively striving even in employee
education and awareness raising activities.
Employee Education and Awareness Raising Activities
DescriptionDatee-learning

February 2017

Targeted email attack response training

February/March 2017

Raising awareness about information
security

Regularly(Total of 16 times)

Business Continuity Plan (BCP)
Shinryo Corporation has formulated a Business Continuity Plan
(BCP) that defines the response methods and organizationin the event of a disaster, and this plan is continually reviewed
and strengthened to resume business activities as soon as
possible even in the event of a large-scale disaster.
Business Continuity Plan (BCP)
Basic Policies of Shinryo Corporation
1. Immediately provide support by prioritizing the safety of
executives and employees.
2. Sustain ongoing operation of corporate functions by recovering
company facilities as soon as possible.
3. Cooperate with the recovery of sites currently under construction
or completed properties as support toward the business
continuity activities of our customers.
4. Introduce support to recovering infrastructure and support
for residence affected by the disaster as much as possible as amember of the local community.

Construction
Sites

Chairperson: President
Office members:
Chairperson of
Administrative Division
Chairperson of TechnicalSupervision Division
Chairperson of Marketing
Supervision Division
General Manager,
International Management Division
General Manager of Accounting
and Finance Department
General Manager of Information
Systems Department
Secretariat head:
Head of General
Affairs Department
Secretariat:
Secretariat Members

Headquarters
Corporate Division

Headquarters
Recovery Organization

・Disaster Prevention
Office Installation Group・Information Gathering Group・Rescue Group・Headquarters Building
Recovery Group・Information Systems Group・Stranded Employee
Support Group

Research andDevelopment Center・Research andDevelopment Center
Disaster Prevention Group

Administrative
SectionFire Brigade

On-siteProject Manager

Corporate Divisions/
Branches Outside Headquarters

Construction
Sites

Division Disaster Prevention OfficeOn-siteProject Manager

Division Chairperson:
Heads of Corporate Divisions/
Branches Outside Headquarters
Division Secretariat:
Secretariat Members

Fire Brigade

Corporate Division/
Branch Employees

our employees, we put in place our response for business
continuity that includes the preparation of a disasterstockpile, installation of emergency generators at ourheadquarters building, redundancy of communicationslines (installation of IP phones to each company baseand use of Internet connection), and implementation ofcloud servers. In May 2017, we fully reviewed our disaster
response bags distributed to all of our employees and ourdisaster stockpile at each base to allow executives andemployees to spend up to three days at the office or on-sitebased on guidelines related to measures for the enormous
number of evacuees andworkers having difficulties
getting home after a largescale earthquake formulatedby the Cabinet Office.

CSR Activity Topics

Disaster Prevention Officein September 2017 that assume a Tokyo metropolitan
earthquake. In addition to conducting training for actions toensure safety, safety reporting drills, and evacuation guidance
training, we also verified the collection of information at
the Disaster Prevention Office led by the President andprocedures to provide instructions for response to eachorganization. Furthermore,
we confirmed the procedure
to request support forrecovering equipmentby assuming damage tocustomer installations withthe participation of ourComprehensive BCP Drills
partner companies.

Emergency Response•InPreparedaddition to distributing disaster response bags to all ofOrganizational Structure During Disasters
Headquarters

Introduction of Comprehensive BCP Drills•Shinryo
Corporation introduced comprehensive BCP drills

Disaster response bags (distributed toevery employee)

SHINRYO Report 201830

CSR Activity Topics

Fair Operating Practices
The aim of Shinryo Group is to realize sincere, fair, and appropriate management, and to fulfill thesocial responsibilities placed upon the Group’s. As a company aiming to “Create a Freshening World”,
we will participate in corporate ethics and legal compliance and work so that we will gain the supportof all of our stakeholders.

Comprehensive Compliance
Shinryo Group believes comprehensive compliance is themost important issue in management. All of our executives
and employees of the Group will practice legal compliance,
which is at the heart of the Company Philosophy to “Be fairand straightforward” in our actions.

Compliance Promotion System
We are building a Compliance Promotion System thatencompasses our Group companies. We work to practicecompliance unified as a Group with Shinryo Corporation
Compliance Committee and Compliance Promotion
Division at our core.

Shinryo Group Code of Business Conduct
Code of BusinessConduct 1
Code of BusinessConduct 2
Code of BusinessConduct 3
Code of BusinessConduct 4
Code of BusinessConduct 5
Code of BusinessConduct 6

Pursue customer satisfaction by standing incustomers’ positions.
Pursue management efficiency for the sake ofshareholders.
Create energetic and comfortable workplaces
that staff can show their families how proud
they are of their Company.
Together with our business partners, thoroughly
comply with corporate ethics, laws, and regulations
and conduct fair, transparent, and open.
Constantly pursue how we should be as amember of a healthy society.
As a global enterprise, contribute to the societal
development of related countries.

Compliance Promotion System diagram

Compliance Guidelines

Decision-making Body
ReportingBoard of Directors
President
Management Council
OrdersAudit
Division

Compliancepromotion function
Compliance Committee
OrdersReportingCompliance
Promotion Division
Expansion of education
and relevant measures
Guidance/support
Auditing

Reporting andConsultations

Corporate Divisions,
Branches andAdministrative sections
Group Companies
Compliance Supervisors

Coordination

Coordination

Auditing
Function

ReportingRelatedDivisions
General Affairs
Department
Accounting and
Finance
Department
International
Administrative& Accounting
Department,
others

Shinryo Group Code of Business Conduct
We, the executives and employees of Shinryo Group, havebasic and common awareness of corporate ethics andcompliance in accordance with Shinryo Group’s company
philosophy and this Code of Business Conduct andStandards of Conduct, and positively practice compliancein our daily business with a strong sense of belonging to
the company.

31

SHINRYO Report 2018

Shinryo Group Compliance Guidelines are the basic
principles all of the executives and employees of Shinryo
Group must adhere to. These guidelines are founded in
our Company Philosophy, Code of Business Conduct, andStandards of Conduct, and we havedefined the Specific Compliance Items
for the Code of Business Conduct andStandards of Conduct, which are ourevaluation criteria in conducting our
day-today business. In addition, Shinryo
Corporation and all of the executives
and employees of Group companies
have taken the guideline education and“Shinryo Group
have committed to compliance.
Compliance Guidelines”

on Related Laws and Regulations•Explanations
bookletShinryo Corporation created the Explanations on Related
Laws and Regulations as a separate booklet from theShinryo Group Compliance Guidelines. These booklets are
distributed to every manager of the Shinryo Corporationand people mostly in marketing positions at Group
companies. This information is advantageous in education
as a manual bringing together systematically organizedlaws such as the Antimonopoly Act and Construction
Industry Law. In addition, we regularly implement
informational updates following legal amendments andwork to raise awareness about those amendments.

Fair Operating Practices

Establishment of the “Helpline”
Consultation Service
We have a Helpline compliance consultation service
installed with the objective of preventing legal violations
or inappropriateness as well as quickly discovering andcorrecting signs of these issues. We are working to makeit widely known by all persons participating in the work of
Shinryo Corporation.

Implementation of Comprehensive Compliance
Shinryo Corporation continues to hold various complianceeducation. We implement a wide-range of education anddevelopment from education held by the Compliance
Committee to curriculum unique to each department,
and we work hard in business while all executives andemployees always keep compliance in mind.

of education for every manager•Implementation
throughout the GroupIn October 2016, Compliance e-Learning training program
was held for the Shinryo Corporation and Group companies
in Japan. This training program was held for the purpose ofconfirming the level of understanding about complianceand taught compliance to all of our managers. e-Learningfor local companies was also held even overseas between
July and December 2017.

Periodic Distribution of Shinryo Compliance News
•ShinryoCompliance News is distributed periodicallyby email to all of our employees. Each issue provides asystem to easily offer feedback and make inquiries aboutcompliance through a questionnaire.

of Antimonopoly Act training•WeImplementation
convened Antimonopoly Act Training in March 2017
for all of our employees in marketing positions, including
those working overseas. We are deepening the penetration
and understanding of comprehensive compliance to the
Antimonopoly Act by continuing to hold this educational
training every year.

Cooperation with Local Companies

of Overseas Guidelines•WeFormulation
formulated the Compliance Guidelines (Global
Version) for Japanese employees active globally as well as
executives and employees of overseas local companies.
We are defining basic mandatory
principles in-line with different culturesand customs everyone should adhere
to based on compliance with each typeof international rule which includes
compliance to the laws and regulations
in each country and region as well as
human rights. In addition, all managers
undergo education for these guidelines
Compliance Guidelines
and vow to adhere to this compliance.
(Global Version)and Thorough Compliance to•Operation
Guidelines for Anti-corruption Overseas

Shinryo Corporation formulated and began operations
under the Guidelines for Anti-corruption Overseas in
October 2016. These guidelines clarify compliance items
and the compliance system related to government officials
when conducting business overseas. These guidelines also
include countermeasures tailored to the circumstances ofeach country and region in addition to basic principles aswell as anti-corruption concepts common to each country.
Furthermore, all of the Japanese employees who workat overseas bases as well as all of the managers fromlocal companies have participated in training about theseguidelines as of September 2017. These guidelines respondin a timely fashion to changes such as legal and politicalchanges and will be continuously reviewed.
Shinryo Group Basic Principles on Anti-corruption
Overseas

Shinryo Group Compliance Liaison Conference
Shinryo Group Compliance
Liaison Conference is held
regularly through Group
companies in Japan toshare information as a way
to unify awareness aboutcompliance of the Group.

Prohibiting a Corrupt Supply of Profit
1. We will never supply any profit with dishonest intentions foranyone such as a foreign public official in the overseas businessactivities of the Shinryo Group.
2. We will respond as a company based on the organizational
structure included in these guidelines in the event we receive arequest to provide illicit profit to anyone such a foreign public
official, and we will refuse these types of inappropriate requests.

CSR Activity Topics

1. We will not pursue the acquisition, expansion or profit in businessthrough bribery or any other inappropriate means.
2. We will comply with bribery and anti-corruption laws andregulations in each country and region while adhering to Article
18 of the Unfair Competition Prevention Act in Japan (prohibitionof illicit profits to foreign public officials).
3. We will never give gifts with the intention of acquiring business or
gaining favor even if such practices are customary in the country
or region.

Shinryo Group Compliance Liaison
Conference

Responding to Antisocial Forces
We will work to stay faithful to our Code of BusinessConduct and Standards of Conduct stating our intention

to never succumb to the threats of antisocial forces andresolutely eliminate them in a courageous manner.

SHINRYO Report 201832

CSR Activity Topics

Environmental Initiatives
Shinryo corporation minimizes its impact on the environment produced in the process of handlingair, water, heat, and energy while it aims to create a comfortable environment with the mission toCreate a Freshening World, which the company has had since its founding. We formulated the Basic
Philosophy Toward the Environment and Environmental Policies in August 2000 and acquired theISO14001 environmental management system certification in May 2001. In April 2017, we transitioned
the ISO14001 certification to the 2015 standards and are working to appropriately respond to theenvironment through our business activities.

Environmental Management System ISO14001
Basic Philosophy
SHINRYO CORPORATION, as a company connected to the environment, has been practicing environmental preservation through building equipment,
based on our mission of “Create a Freshening World”. We shall continue to take aggressive actions to reduce environmental impact through corporate
activities, and contribute to the preservation of the global environment into the future.

Environmental Policy
As a company which provides building equipment, as well as contributing to society, SHINRYO CORPORATION shall conduct the following and widelydisclose this to the general public, in order to harmonize with a rich-green global environment and contribute to the construction of a recyclingoriented society.
1. We shall establish and manage an environmental management system, in order to promote environmental preservation activities.
2. We shall accurately ascertain the impact of our business activities on the environment, and implement continuous improvements of theenvironmental management system, striving for pollution prevention.
3. We shall comply with all laws, ordinances, and regulations related to the environmental aspect, and observe the requirements of environmental
agreements we have agreed upon.
4. We shall establish environmental targets and objectives within the scope of our technical and economic capabilities, and shall periodically revise
them through our environmental preservation activities.
5. We shall take action focusing on the following items, through our environmental preservation activities.
•Promotion of activities for productivity improvements during construction, in order to minimize the emission of greenhouse gases.
•Expansion of activities in consideration of the environment, in order to contribute to the minimization of greenhouse gas emissions at the time of use.
•Promotion of the 3R*s of construction by-products, striving for environmental preservation during construction.
6. As well as widely disseminating the environmental policy to all personnel who are engaged in the business activities or our company, we shallpromote improvements in the consciousness of all personnel concerning environmental preservation, through the implementation of environmental
education and awareness activities.
*Reduce, Reuse, and Recycle

Promotion System

SHINRYO Report 2018

Corporate Divisions, Branches andAdministrative sections

33

Company wide

Shinryo Corporation is building a system to promote
a company-wide Environmental Management System(EMS) operated by the Environmental Management
Supervisor in accordance with the environmental policies
established by the executive in charge of environmental
activities. In addition, a manager supervising environmental
management appointed from the general managers,
general branch managers, and administrative section
representatives of each business department andmanagement division are promoting EMS.
We have added the Research and Development
Center to the scope of the EMS certification since April
2017. The Research and Development Center has been
advancing research and development considering the
global environment since its inception. Our new efforts in
EMS in FY2017 will raise awareness about environmental
contributes even further.

Environmental Management System
Executive in Charge ofEnvironment Activities
Environmental
Management Supervisor
Promotion Committee
Secretariat of EMS Office

General managers, general managers of branches
and administrative section representatives
Manager Supervising
Environmental Management
EMS Promotion
Committee Secretariat

Each section and officeEnvironmental Initiatives

Initiatives to Reduce CO2 Emissions and Save Resources
Initiatives to Reduce Our Environmental Load in Marketing and Design
Shinryo Corporation is actively making environmentally-friendly proposals such as the adoption of energy-saving systems
and highly efficiency equipment to customers by leveraging airflow and energy simulation technologies. Furthermore, we
support energy savings in customer equipment systems and promote reductions in CO2 emissions by taking advantage ofenergy management technology.

Examples of Initiatives•Energy
Saving Proposals using CFD simulations
Shinryo Corporation uses CFD to propose air conditioning
systems that realize the optimal temperature, humidity,
cleanliness and other needs with a minimal amount of energy.

Energy Management Proposals for Equipment Systems
We visualize the energy consumption of equipment systems
to evaluate the performance of those systems. Theseevaluations allow us to propose optimal operation methods
and further energy savings based on the current state ofactual operation.

Visualization of energy consumption

Visualization of an environment using CFD

Initiatives to Reduce Our Environmental Load in Construction
Shinryo Corporation heightens efficiency in installations and reduces CO2 emissions by using space management that uses
BIM as well as space scanning systems via 3D laser scanners on construction sites. In addition, we are actively working in the
3Rs for waste and promoting the reduction of the environmental load on-site.

Examples of Initiatives•SpaceManagement Using BIM

Prior confirmation of completed image

Simulation for arranging equipment

Space Scanning System
We are able to create authentic three-dimensional models
of existing equipment in a short period of time by generating
data for existing building installations as three-dimensional
coordinates (point cloud data) using a 3D laser scanner.
CSR Activity Topics

Integrating three-dimensional models for architecture,
structures and equipment can let us check a completed
image in advance and eliminate any rework after the
installation.
For example, we can better the safety and efficiency bychecking delivery and assembly procedures such as thatfor heat source equipment via animation to understand thedanger points when bringing in this equipment.

Point cloud data measured using a 3D
laser scanner

Three-dimensional model based on
point cloud data

SHINRYO Report 201834

FY2017 Environmental Targets and Activity Results
Our activity results between October 2016 and September 2017 are outlined below.
Operation
Designoperations

Installation andmanufacturing
operations

Environmental target
Emission reductionof greenhouse gases
through environmentallyfriendly design

Activity content

Achievement

60%

63.9%

30%

31.2%

Promotion of activities to Reduction of CO2 emissions onimprove productivity on- site (implementation of activities toimprove productivity)
site

CO2 reduction rate

6.0%

5.0%

Promotion of 3Rs on-site

Recycling rate of industrial
waste

80%

76.8%

Promote recycling of industrial waste

Shinryo Corporation is putting effort into environmental
education to raise awareness about the preservationof the environment. This training starts with education
to teach basic knowledge about the environment for
new employees and reaches specialized education tocomply with laws and regulations about industrial waste,
fluorocarbons and asbestos pertaining to the content ofour businesses in each department. Furthermore, we areconducting training related to internal auditing based on
the 2015 version of the ISO14001 for internal auditors.
Main environmental education
Internal education

Description of environmental education

New employee training
Basic environmental knowledge
and education
Mid-level technicalemployee training

On-site environmental management

Training bydepartment•Overview of EMS•Specific initiatives toward environmental goals

Specialized education

Training to comply with environmental laws
and regulations such as industrial waste,
fluorocarbons and asbestos.

Training on operation
sites

Training about environmental targets and the
duty for compliance at operation sites

Internal auditor
training

Practical training about internal audits for the2015 version of the ISO14001

Internal auditor training

SHINRYO Report 2018

Target value

Rate of proposals for CO2
Reduction of CO2 emissions during
operations through design proposals reductions
for new buildings and renovation
properties
CO2 reduction rate

Environmental Education

35

Item

Large-scale Commercial Building Certification for
Excellent Emissions Businesses
Shinryo Corporation headquarters building has beencertified as an FY2017 excellent emissions business for alarge-scale commercial building by Shinjuku-ku.
Shinjuku-ku certifies buildings with superior activities topromote waste reduction and recycling in this system as an
excellent emissions business in a large-scale commercial
building with 3,000m2 or
more of total floor area.
Certification of the Shinryo
Corporation headquarters
acknowledges the effort ofeach and every one of ouremployees in continuing
to engage in activities suchas proper separation andrecycling of waste as well as
recycling of paper resources.

VOICE
Katsunori Sakai
Manager,
Technical Supervision
Department,
Technical Supervision Division

The future of environmental management is not only
preserving the environment by improving operational
processes but also requires us to avoid risks more
and more such as violations of laws or environmental
accidents. That’s why the Shinryo Corporation is actively
advancing environmental education to fully adhere tolaws and regulations from the Waste Disposal Law as
well as the Law Concerning the Discharge and Control of
Fluorocarbons to the Ordinance on Prevention of Health
Impairment Due to Asbestos.
Environmental education is more important thanever before. I think we will calmly and clearly accept therequirements from society to raise awareness in thecompany through environmental education.

Environmental Initiatives

Ecological Conservation Activities Enlightenment Program “the Environmental Renaissance Activities”
Shinryo Corporation is conducting the Environmental
Renaissance Activities enlightenment program for the
purpose of heightening employee awareness about theimportance of ecological conservation.
This program aims to deepen understanding of
ecological conservation and heighten motivation towardongoing activities by supplying book coupons to employees
engaged in activities related to ecological conservation andenvironmental education and subsidizing the purchase ofenvironmental books. 36 different activities were held in
FY2017 (1.7 times more than the previous year).
These activities have become a matching gift system
to donate the equivalent book coupon costs that aresupplied over one year to international environment
NGOs. In December 2016, Conservation International
Japan* (Managing Director: Yasushi Hibi), which works inbiodiversity conservation activities, donated to 21 of these
events in FY2016.
*Conservation International (CI) is an international environmental non-profit
organization engaged in biodiversity conservation activities in more than 70
regions worldwide with the goal of realizing a sustainable society.

Environmental Renaissance Activities System
Ecological conservation
activities throughnon-profit organizations

ShinryoCorporation❶Participationin conservation
activities of
employees❷Activity report submission
through employees

CSR
Promotion
Division❹Donation(Sum of money
equivalent to bookcoupons supplied
to employees)

International
environmental
NGO❸Supply(book coupons)

Introduction of Activity Reports
Shin-Yokohama Park Four Seasons of Life in Nature
Observation (Shin-Yokohama Park)
Koki Sato, Design Department-2, Tokyo Metropolitan Area Division
Kazutada Muramatsu, General Affairs Department, Administrative

Division

New employees Tetsuro Sera, Masato TabataThis natural observation oflife allowed participants tointeract with nature whilelearning about the names
and characteristics of newplants and insects. Everyone
felt like an elementary school
student as they caught
insects.
Life in Nature Observation

Musashino Chihara Association Weeding Day (NPO:
Seitai Koubou)
Koji Yamada, Manager, 2nd Design Department, Urban Environment

Division

Participants removed
goldenrod, which is a weedthat comes from outsideof Japan. On the day of theevent, enough goldenrod wasremoved to fill two trailers. I
think this contributed greatly
to limiting the spread of the
non-indigenous goldenrod.
We also felt the importanceof conservation in the richbiodiversity we saw whileworking from the honeybeesthat frequently stopped tosuck nectar from flowers to
the small praying mantes
and longheaded locust.

Success of the goldenrod weeding

VOICE

Deputy General Manager,
Nuclear Power Plant Division

I myself am working in activities to save butterflies that I am
concerned will become extinct as the population has suddenly
declined. This conservation is for the small nymphalid known
as the melitaea scotosia that can only be seen in a small areaof a ski resort in northern Hyogo prefecture as well as theswallowtail butterfly known as Japanese luehdorfia that can
only be seen in the mountains in the south.
I have really felt the importance in protecting the environment
these butterflies live to pass down to future generations in
the more than twenty years I have been involved in these
conservation activities. The environment nurturing many animals,
planets and insects is the same safe and friendly environment
where human beings live. I will continue to strive to protect
the environment where these butterflies live in the future.

Explaining thebiodiversity ofbutterflies

CSR Activity Topics

Yukio Tateiwa

Local elementary
school students
holding signs about
the conservation
activities underway

SHINRYO Report 201836

CSR Activity Topics

Consumer Initiatives
Shinryo Corporation strives for customer satisfaction by pioneering the acquisition of the ISO9001
certification, which are common rules for quality management, and improving quality in processes toprovide construction, manufacturing and services. In addition, safety and health management on-site
is addressed in the Health and Safety Policy that we have had since our founding. This policy is thefundamental principle for conduct of all our employees, and we are working to ensure employees andworkers at our partner companies work with safe equipment and in optimal working environments.

Improvements to Construction Quality
Quality Policy

Ongoing improvements to work processes

Plan

Provide quality earning trust from our customers with all
our effort.

Deliberate
Quality goal setting
and practical plans

Shinryo Corporation acquired the certification for the
ISO9001 quality management system at corporate
divisions and branches in Japan. We strive to practicequality assurance activities in systems and services toprovide quality that satisfies our customers based oncommon company-wide policies.
The source of this quality is the ongoing improvements
to our work processes. We strive to provide quality able
to earn the trust of our customers through cooperation
with each and every employee involved in each aspectof marketing, design and construction management torecognize problems and find solutions. Shinryo Corporation
believes this is the basic approach to manufacturing.

Act

Work
processes
enhancement

Enhancement
Correction of incompatibilities
Initiatives toward improvements

Do

Support/Execute
Education, training
and work cycles

Check
Review

Customer satisfaction analysis
and management reviews

Health and Safety Initiatives
Health and Safety Policy
Safety First for our Prosperity

Shinryo Corporation has prioritized safety above all else
based on the Health and Safety Policy unchanged since ourfounding. All employees have been working in health andsafety activities to prevent labor accidents. We are working
to improve the workplace environment and enhance
technical training by honestly accepting issues faced bysociety such as a lack of skilled craftspersons, a growing
number of elderly and a decreasing number of youth
entering the workforce.
Employees and workers honing their sense of danger,
identifying danger factors latent at construction sites andhaving the ability to build measures against those danger
factors helps eradicate labor accidents.

37

SHINRYO Report 2018

VOICE
Mitsuaki Sunaga
Chairperson of Health and
Safety Council
President, and CEO
SUNAGA CORPORATIONThe Health and Safety Council at the headquarters
prioritizes safety above all else and actively works tobuild a culture of safety based on policies to guarantee
no accidents. A safety culture cannot be built by putting
in place stronger rules and regulations after an accident
happens.
I feel that my colleagues are my family. I think it
is important to build a safety culture that naturally
penetrates on-site by nurturing this culture in dailyinteracts and conversations.

Consumer Initiatives

Health and Safety Activities Overseas
Shinryo Corporation holds a Safety Forum (Health and
Safety Council) once a year at each base overseas where
employees related to health and safety from the presidents
of local companies, technical and safety staff and partnercompanies participate to reaffirm the importance of healthand safety activities as well as mutual cooperation.
Recently, we are implementing measures that include
demonstrations for falling into a net from high places andthe introduction of new safety supplies.
In addition, we are implementing joint safety patrols
conducted twice a year by persons in charge of safetyat local companies as well as people in charge of healthand safety at the headquarters as an activity to prevent
accidents.
Moreover, we share information, learn management
methods from one another, and work to eradicate workplace
accidents by introducing initiatives related to on-site safety
patrols and health and safety activities on each site.

Briefing about safety awareness

Safety Forum (Health and Safety Council) held at Singapore Regional Office

Safety patrol

CSR Procurement Guidelines
Shinryo Corporation pursues CSR initiatives throughcooperation and coordination with its business partners,
especially partner companies. We have established Shinryo

CSR Procurement Guidelines and have asked over 500
companies to cooperate in complying with the guidelines.

1. Fair and sound corporate activities
We ask that companies engage in fair and sound business activities without unfair competition or actions that obstruct free competition.
2. Quality, safety, and business continuity
We ask that you comply with laws and regulations concerning management of hazardous substances and product safety, and strive to ensure thehealth and safety of product users and consumers. We also ask that you engage voluntarily in initiatives for business continuity planning.
3. Consideration of human rights, labor, and occupational health and safety
We ask that you respect basic human rights and pursue business activities that take the working environment and occupational health and safety into
consideration.
4. Consideration of the environment
We ask that you steadily implement environment conservation including biodiversity, and environmental management to undertake business activities
with the global environment taken into account.
5. Legal compliance
We ask that you comply with the laws and regulations of all nations and regions, as well as international treaties and social norms, and conductbusiness activities founded on corporate ethics.
6. Management of information
We ask that you enact measures against threats to computer networks, while also appropriately managing and protecting confidential information
concerning business and personal information, to avoid leaks or improper / illegal use. Please also strive to prevent leaks of confidential information
belonging to customers and third parties.

SHINRYO Report 2018

CSR Activity Topics

Shinryo CSR Procurement Guidelines

38CSR Activity Topics

Human Rights / Labor Practices
Shinryo Corporation is furthering the introduction of programs to allow employees to choose a more
flexible work style in addition to the Refreshing Work Style Project ( P. 23-24).
We respect human rights in Japan and the rest of the world. We engage in a variety of activities to“create energetic and comfortable workplaces that staff can show their families how proud they are of
their company,” which is part of our Code of Business Conduct.

Initiatives to Further Work Style Reform
Work Style Reform Education for Managers
Shinryo Corporation held education to raise awareness about
work styles for managers throughout Japan three times
at our headquarters and Osaka as part of the Work Style
Refreshingness Project from July through August 2017.
The purpose of this education is to raise awareness aboutreforming work styles as well as to promote understanding
about the importance of managers recognizing andmanaging the work conditions of subordinates.

Work Style Reform Education forManagers

In-house discussion about work stylereformIntroduction of Programs to Support Flexible Work Styles
Overview of Programs to Support Flexible Work Styles
Programs

Overview

Transfer System to Accompany Spouse

This policy allows employees to transfer when an employed spouse has been transferred if they wantto keep working at a Shinryo Corporation office and a place at that office is available.

Come-back System

This policy allows regular employees who have worked at the Shinryo Corporation for more than three
years and resigned to (1) raise children, (2) care for family, or (3) transfer with a spouse to return towork within five years of their resignation as a general rule.

Half-day leave acquisition system for annual paid leave This system allows employees to take annual paid leave in half day increments.
Expanded administration of an accumulation system

This expansion allows employees to carry over the number of days left in annual leave under the current
rules to the next fiscal year to use the paid leave they have left the previous year and the year before
that for non-work related injuries and illnesses as well as to care for children and other family members.

Leave acquisition promotion system•Project leave policy: Employees in construction roles may take consecutive leave at appropriate
times such as at the completion of on-site construction (up to five business days that may be taken
incrementally).
•Anniversary leave policy: All employees may take leave on days recommended by the company suchas their birthday, birthdays of family members or school events (three working days per year).

Special leave program

Refresh leave policy: Employees may take designated consecutive leave as commemoration for 10, 20
and 30 years of work.

•

Promotion of Occupational System andMid-career Hiring

Start of Practices Such as Treatment
by Occupations

These policies establish practices such as treatment of
employees by occupations who can work while refining
requirements by the type of role, position and location topromote diverse work styles.

of Transfer System Between•Introduction
Occupations

Introduction of transfer system between general roles andoccupations and formulation of requirements for easier use.

Promotion of Mid-career Hiring•Shinryo
Corporation has established an environment that
accepts applications from human resources who have work
experience at other companies and institutions.
39

SHINRYO Report 2018

Support of Club Activities
Shinryo Corporation established club activity regulations
in June 2017. This support system promotes employees
to refresh both mentally and physically through sports,
culture and other activities. Clubs that satisfy thecertification requirements and are approved are provided
with grants for participation fees, transportation costs
to competitions and otherevents as well as for thecosts to purchase supplies.
Today, Shinryo Corporation
has approved basketball,
baseball, martial arts, tennis,
running and soccer clubs.
Baseball club event

Human Rights / Labor Practices

Work-life Balance and Diversity
Promotion of the Active Participation of Diverse Human Resources
Shinryo Corporation has established systems and policies to promote and support the active participation of diverse humanresources. In addition, we are actively conducting activities to communicate the appeal of the construction as well as thescience and technology industries through participation in events that promote the active participation of women.
Activities to promote active participation of diverse human resources
Purpose

Systems/Policies/Events

Promote the success of female employees(measures)•Release of information and action plans based on the Law to Promote Women in the Workplace on the Ministryof Health, Labour and Welfare Positive Ryouritsu website•Publication of an Independent Conduct Plan for Female Employees Participation on the Keidanren Japan
Business Federation website•Implementation of the Management Seminar for Female Employee Education internal education program•Implementation of the Career Design Seminar for Female Employees internal education program

Promote the success of female employees(events)•Operation of a summer school that supports the Gender Equality Bureau Cabinet Office Science andEngineering Challenge (Rikochare) ( P. 43)•Participation in the Design the City Where I live construction industry experience for junior high and high school
students held jointly by the Kensetsutsushin Shimbun Corporation and College of Science and Technology,
Nihon University•Implemented a class on occupations from the female perspective at Shinshu University ( P. 43)

Promote active participation of senior
employees with rich experience•Rehiring after retiring at 60: Up to age 65; Rehiring at Group companies: Up to age 70•Preparation of occupational requirements for temporary hiring as well as revision of salary and bonus system•Holding of life plan seminars (50/59-years old)

Promote active participation of foreign
nationals•Local overseas staff Japan invitation program ( P. 42)•Practical technical training of engineers from the Philippines•Implementation of a variety of education for overseas branches and local overseas staff (compliance, safety andtechnical education)

Children Visiting Day 2017 and Dad & Mom Work Experience
Shinryo Corporation held Children Visiting Day 2017 at
its headquarters in August 2017. The 2017 event is theseventh time the Children Visiting Day has been held withthe participation of 100 children from three-years old tojunior high school students and their families. The day letchildren experience marketing, design and construction
work related to air conditioning systems around the theme
to experience the work of the Shinryo Corporation. The
marketing experience offered practical business practices
such as how to exchange business cards while the design
experience provided the challenge of creating simple
piping drawings using CAD. In addition, the construction
experience let participants assemble valves and pipes andtest operation using beads based on the piping drawings
they created themselves. There was also a commemorative

photo session where everyone could put on a uniform andhelmet for pictures.
The children expressed how cool Dad is when he’s atwork and cheered their parents on in future endeavors.

Design experience

Technical experience

CSR Activity Topics

Physical and Mental Health
Shinryo Corporation is conducting initiatives to support physical and mental health for a vibrant every day.
Initiatives to support physical and mental health
Item

Policies/Events/Education

Promotion of health management•Health Consultation Office through the headquarters clinic and industrial doctors (offered once a week)•24-hour health consultation service (telephone/email consultations)•Support for dental check-ups (provides free check-ups at the headquarters and 1,200 dental clinics contracted
by Shinryo Corporation throughout Japan)•Full support for treatments to quit smoking (provides full support to employees who quit smoking for three ormore months after starting treatment)•Participation of all employees in the Kankogyo Health Insurance Society Walking Campaign (goal of 10,000
steps per day)

Mental Health•Implementation of stress-checks, creation of opportunities for employees who would like consultations andadvice from doctors, and implementation of PDCA to improve the workplace environment•Health Consultation Office through the headquarters clinic and industrial mental health professionals (offered
once a week)•Implementation of mental health education (33 newly appointed managers and 28 specialized education
candidates took this program in FY2017)

SHINRYO Report 201840

CSR Activity Topics

Training and Development of Human Resources
At Shinryo Corporation, people are considered to be our most valuable asset since our establishment.
The techniques, knowledge and experience that all our employees have are indeed our management
resources. We have put in place a wide-range of education programs to bring out the highest level of skill
from our employees and we are advancing the development of human resources so that executives
and employees of any age can work with flexible creativity always with a strong challenging spirit.

Various Education Programs
by department•WeTraining
are planning and holding practical training by

Development training systemtraining (required training)•WeCompany-wide
have established group and in-house experience
training as required training based on position and tenure
to recognize the roles of employees and improve theirknowledge and skill level.

department with educational curriculum linked to ourcompany-wide training. This training allows us to teachthrough a knowledge system.
Main Training by Department
PositionGroup training by level and year
Managerial position
promotion training

Senior Chief administration
promotion training

Advanced test

Chief promotion
training

Competent
promotion

Degree ofachievement Review

New employees
education

Technical role

Market role

Study session of industry trends and strategic
management methods

Administrative role

Presentation session for business role by level

CommonSymposium beyond class and role for nonmanagement employees

Training for 20thyear after joining
Mid-level technical employee training
Education for marketers and administrators

SHINRYO Report 2018

New employee training and education
ch
ar
M
ry
ua
br
Fe
y
ar
nu
Ja
r
be
m
ce
De
er
b
em
ov
r
N
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41

education, we have established the perfect curriculumfor each technical and administrative system to create
an organization able to work with confidence right after
assignment.

lyJuseminars based on official responsibilities and positions
for mid and higher level employees. This elective training
offers a wide range of courses to improve basic individual
skills such as presentation skills, training to strengthen
negotiation skills, and leadership training. This further
heightens the skills of employees and nurtures greaterawareness.

Extensive training curriculum•Over
the one-year of new employee training andneJutraining (elective training)•WeCompany-wide
implement training to take by selecting external

New Employee Training and Education

ay
M
ril
Ap

Mid-level technical employee training
We are conducting mid-leveltechnical employee training
for mid-level employees intechnical positions. We arepromoting stronger on-site
capabilities by teaching theexpertise of On-site ProjectManagers and practicalmethods of on-site budget
Mid-level technical employee training
management with technicalfor stronger on-site capabilities
managers as teachers.

Educational overview•Participating in construction review meetings ofsite the employee is not in charge of•Manufacturer new product study session•Education to prevent recurrence of trouble througheducation materials with case studies of issues

Primary training and education
Practical on-site training and education
Construction drawing training
and education (engineering)
Overseas short term
training system
Practical sales / management training
and education (administrative)
Training and education
by executives

Secondary training
and education

Training and Development of Human Resources

Dormitory Kofu Dormitory•TheTraining
overall training and education at Kofu Dormitory for
approximately one year is an ongoing tradition at Shinryo
Corporation since its founding. Employees who enter thecompany in the same year are able to build bonds by living
and learning together.

Kofu Dormitory

Communication space

employees overseas short term training•NewsystemThis system is an initiative to deepen understanding aboutliving and working overseas by providing an opportunity
for new junior employees to travel to construction sites
overseas and work on-site there for one week.

Idea Exchange Meeting at SHINRYO(HONG KONG) LTD.

On-site training at SHINRYOSINGAPORE PTE LTD.

Overseas Training System
Shinryo Corporation pioneered overseas business in
the industry in 1972, opened branches and overseas
local companies focusing on Asia / Middle East, andhas expanded those businesses. In recent years, we areestablishing various educational programs to train many
human resources able to be actively participate globally.

•This system is for employees who have worked for theOverseas practical dispatch systemcompany between four and eight years that have first-handexperience in Japan. Every
year, employees selectedpublicly experience overseas
operations over one to three
years. The youthful abilities
targeted by the overseas
business are trained throughTokyo Metropolitan Area Division
practical means.
Engineer Akihisa Sawada (Deployedoverseas to work at SHINRYO(PHILIPPINES) CO., INC.)VOICE
Neo Yoshikawa
New employee (Participatedin short-term training at
SHINRYO HONG KONG)

Training in Hong Kong was my first step toward mydream of working overseas. In the on-site tour, I was
overwhelmed by the large-scale of the site and I reallyfelt my desire to speak about technical things in English
grow. I also became even more interested in working
abroad as I listened to people talk passionately about
things such as the fun and motivation in working
overseas at the idea exchange meeting with senior
employees working in Hong Kong. I of course know I
need to work hard to learn about the technology as wellas the terminology.

Group-wide Training
Group-wide New Employee Training

Group-wide New Employee Training

We are holding training in Japan every year for managers
at local companies as part of our initiatives for further
globalization of the Shinryo Group. 19 managers
participated from eight countries over the four daysof training in July 2017. In addition to tours of theheadquarters and Research and Development Center,
these managers learned the knowledge as well as skills
in decision-making and communication required ofmanagement in an exchange with Japanese management
through group work. In
this group training, thesemanagers deepened theirunderstanding of thenecessity of an approachand communication in workthat respects one another’sculture and social customs.

CSR Activity Topics

Shinryo Group is holding new employee training throughall Group companies in Japan. Shinryo Group hascompanies in a wide range of industries from humanresource deployment and system development to hotels in
addition to the construction industry. Participants conduct
discussions around the theme of what can be done
toward business expansion
through cooperation that
goes beyond the barriersof the business category
to bring forth ideas freely
and learn the importance of
supporting one another as
the Shinryo Group.

Local overseas staff Japan invitation programGroup work

SHINRYO Report 201842

CSR Activity Topics

Community Involvement and Development
Shinryo Corporation actively promotes and implements activities to demonstrate the importanceof community and culture as a company that contributes to development of sustainable society. We
believe that steadily accumulating small, close-at-hand activities is important in engaging with local
communities.

Educational Support in This Generation to Succeed in the Next
Shinryo Corporation actively engages in educational
opportunities for students to succeed in the next generation asa way to develop the construction industry and its technology.

Support for High School Student Work Experience
In January 2017, we brought in 11th grade living environment
system work experience students from Fujisawa Koka
High School in Kanagawa to our Yokohama Branch. In
this three-day training course, students learned hands-on
creation of design plans able to meet the requirementsof customers and took a tour of the on-site roof cooling
tower and sanitary systems. Students also toured a duct
manufacturing plant of our partner company to understandhow our work is accomplished through the cooperation ofmany people. We hope thisyoung generation of students
learning civil engineering
were able to deepen
their understanding andinterest in the constructionindustry through this work
experience.
Practical on-site training

Support for Female Students Interested
in Science and Technology
We held a tour for female students who have interestin the science and technology field at the Researchand Development Center in August 2017. A total of 22
female students from elementary to graduate schools
participated. The Open Office was sponsored by the
Science and Engineering Challenge (Rikochare) that is
promoted by the Gender Equality Bureau Cabinet Office.
The Open Office was planned to encourage students tochoose science and technology work in the future. 2017
was the third year the Open Office was held. In addition
to introducing the research facilities, we also explained
state-of-the-art technologies while letting students try
the operation first-hand. All of the participants expressed
how they learned that air conditioning technology not only
includes heating and cooling
but also plays a muchbroader role as well as how
the experience had clarified
their image of work thattakes advantage of expertisein science and technology.

Trying state-of-the-art technology at
the Research and Development Center

43

SHINRYO Report 2018

Part-time Instructor Activities

Occupations from the Female Perspective Class at Shinshu University•It washeld a class on occupations from the female
perspective for 180 male and female students in theirsecond and third years in the Department of Electrical andComputer Engineering in the Engineering Department of
Shinshu University in July 2017. This class provided a detailed
explanation about what can be expected of the students
in the workplace in the future, what they will need to learn
when they first enter a company, and how their work androle will change with their tenure and experience. In addition,
students learned about thebalance of life events andwork common to both maleand female employees while
promoting understanding
about creating a career planas soon as possible.
Class at Shinshu University

System Engineers Class at Shibaura Institute of Technology•It washeld a Special Lecture (6) System Engineers classfor roughly 50 third-year students in the Civil Engineering
department of the College of Engineering at the Shibaura
Institute of Technology in July 2017. This class aimed toraise awareness about our work by explaining the latest
technical information and the work attitude through people
experienced in construction. Students were introduced tothe importance of energysaving technology in air
conditioning to preserve theglobal environment as wellas to the 42.5% reduction
in energy consumption at
the Shinryo Corporation
Course at Shibaura Institute ofheadquarters.
Technology
Course track-record
Name of University

Classes taught

Shibaura Institute of Technology Special Lecture (6) System Engineers
Tokyo University of Science

Advanced Ventilation Systems

Meijo University

Building Service Engineering 2

Shinshu University

Occupations from the Female
Perspective

Osaka City University

Construction Equipment I

Tsukuba University ofTechnology

Specialized Courses in System Engineering
Eco Environmental Systems

National Institute ofTechnology, Kurume College

Heating, Air-Conditioning / SanitaryEngineering

Community Involvement and Development

Plus Volunteer Activity to Engage with Local Communities
Shinryo Corporation is promoting the Plus Volunteer
Activity as part of its CSR activities. The Plus Volunteer
Activity aims to spread contribution activities tocommunities by adding (plus) clean-up and other volunteer
activities to events such as gatherings with employees,
families and partner companies held at each department.

Shinjuku Mission Uchimizu(Tokyo Metropolitan Area Division)
20 of our employees sprayed water in front of theheadquarters in September 2017 while the heat from thesummer still lingered. This activity is part of the Shinjuku
Mission Uchimizu initiative
held by Shinjuku-ku to cool
down Shinjuku by sprinklingwater on the streets. The
water sprayed on the streets
is not potable water but waterfrom previous rainfall.
Shinjuku Mission Uchimizu

Volunteer Cleaning Activities Around the Takamatsu
Warehouse (Air Conditioning Equipment Division)
We are conducting cleaning activities around the Shinryo
Corporation machine warehouse in Takamatsu, Nerima-ku
in Tokyo after our morning meeting every Wednesday. This
activity started as a way to express our thanks to everyonein the local community
in the residential areaaround our warehouse thatcooperate with us each day.
Everyone at our partnercompanies also take partin this initiative that has be
Volunteer cleaning activities aroundthe Takamatsu warehouse
going for nine years.

Clean-up Activities at the Moere Hanabi
Fireworks Festival (Hokkaido Branch)

Shinryo Corporation is regularly participating in clean-up
activities with the purpose of environmental beautification
around Tokyo station held by the promotional committee
for improving the living
environment in the
Otemachi-Marunouchi
districts. We work together
as a group with the ward
and police department as
a company with an office in
the Otemachi-Marunouchi
Roadside clean-up around Tokyo station
area.

Gathering and Clean-up Activity on the
Nobi Coast (Yokohama Branch)
The Yokohama Branch held a gathering with 28 employee
volunteers and their families along the Nobi coast of
Yokosuka city during a day off in July 2017. All of thesevolunteers cleaned up around the coast after enjoying
a barbecue, fishing andswimming in the ocean.
Children and adults alikecame together in uniforms
and cleaned as they further
enhanced their awareness ofenvironmental conservation
while generating a filling
Nobi coast volunteer clean-up activityof unity.

Hiking and Clean-up Activity at Mount Kobo
(Procurement Department)
The Procurement Department planned hiking and clean-up
activities at Mount Kobo in Hadano City with 11 participantsin September 2017. The volunteers hiked roughly 7.5 km from
Hadano Station to the Tsurumaki hot spring while picking
up garbage they found along the way for two hours andten minutes. Furthermore,
everyone who took partstopped by the local hot
spring on the way home anddeepened their friendshipwhile enjoying the heat.

CSR Activity Topics

These clean-up activities were conducted in September 2017
after the Moere Hanabi fireworks festival held at Moerenuma
Park in Sapporo City. Five employees and their family
participate in the World’s Most Fun Clean-up Effort held by
the executive committee.
The clean-up activities weredone with the large numberof volunteers while listing tomusic and remembering thebeautiful fireworks launched
Clean-up activities at the Moere
the day before.
Hanabi fireworks festival

Roadside Clean-up Around Tokyo Station(Marunouchi Branch)

Hiking and clean-up activity at Mount
Kobo

Support for culture and the arts
Shinryo Corporation is registered as a supporting member•List of music-related organizations for whichK

NHK Symphony Orchestra, Tokyo / Orchestra Ensemble anazawa / Osaka Symphony Orchestra / Osaka Philharmonic Orchestra / Kanagawa
Philharmonic Orchestra / Kansai Philharmonic Orchestra / The Kyushu Symphony Orchestra / Sapporo Symphony Orchestra / New National
Theatre, Tokyo / New Japan Philharmonic / Sendai Philharmonic Orchestra / Central Aichi Symphony Orchestra / Tokyo Symphony Orchestra / Tokyo
Metropolitan Symphony Orchestra / Tokyo Nikikai Opera Foundation / Tokyo Philharmonic Orchestra / Nagoya Philharmonic Orchestra / The Japan
Opera Foundation / Japan Century Symphony Orchestra / Japan Philharmonic Orchestra / Japan Performing Arts Foundation / Hiroshima SymphonyOrchestra / Yomiuri Nippon Symphony Orchestra, Tokyo / La Folle Journee au Japon Music Festival 2017
SHINRYO Report 201844

CSR Activities of Group Companies

CSR Activities of Group Companies
Shinryo Group is actively expanding CSR activities at each Group company in Japan and overseas. We are aiding in
the growth of society in many forms from initiatives to solve social issues through our businesses to contributing tocommunities through volunteer and charity efforts.

Initiatives to Reduce Our Environmental Load
Shinryo Technical Service

Promotion of Energy-Saving andRenewable Energy Proposals

Shinryo Technical Service isactively furthering proposals
to customers that aim for
more efficient use of energy as
well as a reduction in energy
consumption.
In renovations, the company ispromoting proposals for systems
that use renewable energy suited
to the needs of our customers.
Daiei Denki

Solar hot water supply systems

Promotion of a Total Photovoltaic Power
Generation Systems Installation Business

Daiei Denki has been working in the installation of photovoltaic
power generation systems since 2010, in which it has accumulated
technology and know-how. The company started a business toprovide comprehensive services
from planning and formulation to
the construction of photovoltaic
power generators for each
installation space since 2017.
Up until now, this business has
contributed to reducing 4,500
tons of CO2 emissions, which isequivalent to the amount of CO2
absorbed by roughly 320,000
Ideal place for photovoltaic power
generation systems
cedar trees.

Initiatives to Improve Quality
Shiroguchi

Initiatives to Pass Down and Improve Technology

Shiroguchi holds technical briefings twice a year to pass down
and improve technology
by horizontally expanding
examples of successes andfailures on-site, new techniques,
and other relevant information
to employee throughout Japan.
135 of our employees and
31 employees from partnercompanies participated in the
31st Briefing held in May 2017.
Technical briefing
LE PRO

Employee Skill-up Training

LE PRO regularly holds the LE PRO Academy for technicaltraining about construction equipment to increase the skillsof employees with the objective of providing high-quality BIM
models. Furthermore, roughly
ten employees are stepping up
to the challenge in an in-housetelecommunications class togain the experience to acquire
public certifications such as thebuilding engineer certificationfrom The Society of Heating,
Air-Conditioning and SanitaryEngineers of Japan.
LE PRO Academy

Risk Management Initiatives
Global Staff

Continuous Enhancement of Information
Security Management Systems

Advanced information security systems required by the humanresource service industry because a large amount of personal
information is handled. Global Staff acquired the ISMS certificationin 2013 after a review of
its information security
management, and it was recertified again in August
2017 after a registration
renewal review. The company
strives to continually enhance
its information security
management systems to ensure
trust and peace of mind.
ISMS certification certificate
SYSPRO

Comprehensive PDCA Cycle to Strengthen
Information Management

SYSPRO continually conducts internal audits based on information
security regulations to strengthen informational management
measures as customer
information increases due tothe standardization of BIM. In
addition, the company strives
for a comprehensive PDCA
cycle such as modifications
based on the auditing results,
strengthening and review ofregulations as well as employee
education.
Audit of servers

Connections with local communities
Akita Castle Hotel

Initiatives to Promote Sports

The Akita Castle Hotel cheers
on AKITA NORTHERN BULLETS
R.F.C. local rugby team as abench banner sponsor. Tevita
Tatafu is a doorman at the Akita
Castle Hotel who greets themany guests each day with asmile.
Tevita Tatafu greeting guests at the door

Initiatives to Improve Labor Practices
Shinryo Kogyo

Work-Life Balance Initiatives

Shinryo Kogyo recommends one-week in July every year for
employees to take leave. The
purpose of this leave is for
employees to refresh at a time
when the work is relatively light.
The company is also displaying
work-life balance promotion
posters to raise employee
awareness who work at the office.
Work-life balance promotion poster

45

SHINRYO Report 2018

CSR Activities of Group Companies

Overseas Initiatives
SHINRYO HONG KONG

Visiting a Nursing Home

SHINRYO HONG KONG
participated in the volunteer
nursing home visit program
held by Open Door Community
Services in the Lam Tin area
in March 2017. The volunteers
interacted with the residents
through activities such asserving warm soup.
Volunteer activities at the nursing home

STS Hong Kong

Participation as Volunteers Visiting Elderly
at HomeSTS Hong Kong participated in
the 2016 Community Service
volunteer program to visit
elderly people at their homes
held by The Hong Kong Air
Conditioning and Refrigeration
Association in October 2016.
The volunteers help each elderly
individual with difficult chores
such as replacing the lighting intheir homes to LED lights.
TAIWAN SHINRYO

Participation in the 2016 Community
Service

Participation in Clean-up Activity

Four employees from TAIWAN SHINRYO participated in the Cleanup Learning Session held by
Taiwan Souji in April 2017. 2017is the seventh time TAIWANSHINRYO has participated inthis activity. The year was agigantic event with more than
800 participants who cleaned
the Jiaoxi Elementary and JuniorHigh School. The cleaning
activity provided a sense ofParticipants of the Clean-up Learning
Sessionserenity.

SHINRYO PHILIPPINES

Cooperation in a Blood Drive

This was the first year eight
employees from SHINRYOPHILIPPINES participated in the
blood drive conducted by theCalamba Medical Center in May
2017. The company plans tocontinue to work together withthis blood drive based on the
belief it is one way to contributeto the neighboring community.

Thai Shinryo

Convening of Safety Forums

SHINRYO MALAYSIA

SHINRYO MALAYSIA convened a Safety Forum (Health and Safety
Council) in July 2017. Partner companies also participated in the
Safety Forum for discussion
about how to better safety
awareness in on-site operations
and commemorate companies
with excellent safety. In the
future, the company willcontinue to strive to improvesafety and raise awareness onsite with the cooperation of its
partner companies.
Convening of the Safety Forums
SHINRYO VIETNAM

Implementation of a Leadership Training

SHINRYO VIETNAM holds leadership training every week for
management and On-site Project Managers. This training is held
to promote awareness as
leaders such as practical onsite operations and knowledge
about technology in addition
to understanding aboutcompliance and management
methods. They will continue
to work to develop the humanresources who are entrustedwith the future of the company. Implementation of a Leadership
Training

SHINRYO SINGAPORE

Cooperation in Company Visits for
Field Trips

SHINRYO SINGAPORE provides opportunities for Japanese highschool students to visit Japanese companies on foreign soil whentraveling overseas for field
trips. The company approvedof activities to generate moreinterest about working overseas
and accepted 20 students from
Niigata Technical High School.
The students were able to enjoy
hearing a general overview of
the company and the real charmof working globally.
Niigata Technical High School students
visit SHINRYO SINGAPORESHINRYO INDONESIA

Blood drive at the Calamba Medical
CenterThai Shinryo accepted university students from Japan throughan internship. This internship showed these students the basic
principles of working overseas from practical training to thedifficulty of working in aplace that speaks a foreign
language as well as a work stylethat respects local culturesand customs. The students
who participated shared thethoughts on the experiencesuch as how much they gained
to help them to work overseas
in the future.
Support of Japanese university student

CSR Activities of Group Companies

Support of Japanese University Student
Internships

Participation in Tree Planting Activities

SHINRYO INDONESIA participated in tree planting activities in
AEON Mall Jakarta Garden City held by the AEON Environmental
Foundation. The employees who
participated said contributing
to both environmental
conservation and the local
community through the tree
planting activities had left quite
an impression on them.

Tree planting in Jakarta

internships

SHINRYO Report 201846

Shinryo Corporation integrated the brand under this logo in April 2017.

2-4, Yotsuya, Shinjuku-ku, Tokyo 160-8510, Japan+81-3-3357-2151 (Main)
www.shinryo.com
Published in January 2018