Dai Nippon Printing Co., Ltd.
Corporate Social Responsibility Office, Corporate Communication Division
1-1, Ichigaya Kagacho 1-chome, Shinjuku-ku, Tokyo 162-8001, Japan
Tel: +81-3-3266-2111
Fax: +81-3-5225-8083
URL: http://www.dnp.co.jp/eng/
Next issue scheduled for release in June 2013
Published: June 2012 © 2012 DNP

DNP Group
CSR Report 2012DNP Group CSR Report 2012

Top Message

Top Message

Going Beyond Society’s Expectations,
Creating What Everyone Will Take forGranted in the Future
More than one year has passed since the Tohoku-Paciﬁc
Ocean Earthquake in March 2011, but many issues remain
unsolved, and it will take much more time to achieve acomplete recovery. DNP has provided various types of
support with the aim of aiding the people and restoring
the area aﬀected by the disaster.
At DNP Tohoku—our Group company in chargeof business in the Tohoku region—we have establisheda Recovery Support Oﬃce. We are directly addressing
local issues to further the recovery, and making eﬀorts
such as providing solutions, and engaging in volunteer
activities. Going forward, DNP will continue to ascertain
the conditions and needs in the aﬀected area, and provide
continuous support with a long-term perspective.

President

Yoshitoshi Kitajima

1

The eﬀects of this disaster extended beyond the Tohoku
region, and had a major impact on the entire economy
of Japan. An extremely diﬃcult management environment
has continued, with impacts experienced such as
interruptions in supply chains, an atmosphere of selfimposed restraint in corporate advertising campaigns,
sluggish personal consumption, and shortages ofelectricity. There have also been other impacts—such as
ﬂooding in Thailand, the economic slowdown overseas,
higher crude oil prices, and a strong yen—and the outlook
for the Japanese economy remains uncertain. DNP has
also been aﬀected by these events, and there was a major
drop in our operating income for the ﬁscal year ending inMarch 2012. Furthermore, we booked a large impairment
loss for manufacturing equipment, primarily in theElectronics segment, and as a result we posted a net loss.
In the ﬁscal year ending in March 2013, we expect thissevere management environment to continue, and we aim
to improve our results at DNP through approaches such asactively developing products and services to ﬂexibly adapt
to a rapidly changing market.
Therefore, we are focusing our eﬀorts in particular on
product development and innovation from the consumer’s

standpoint. At our Social Innovation Institution, whichbegan operation in April 2011, we are identifying various
social issues, and taking steps to resolve them by combining
our original R&D with DNP’s various business “seeds.”
Our primary research themes at present include theenvironment/energy, education, the super-aging society,and universal design. We will anticipate future changes insociety, and actively propose the best approaches to the
products and services needed under the conditions of
tomorrow.
Printing technology serves as our foundation forpioneering new business sectors, and developing
innovative new products and services. It has a broad scopeof application, and has previously given rise to productsin the ﬁelds of packaging, decorative lifestyle materials,
and electronics. Today, printing technology is being usedin energy related applications such as components forsolar cells and lithium ion batteries, and in the ﬁeld oflife sciences. There are high expectations, in both academia
and industry, that printing technology will contribute toresolving future issues in society. Faithfully meeting these
expectations and contributing to the development ofsociety are the realization of our Management Concept ofcontributing to the emergently evolving society.

Our highest priority in the DNP Group is to always takeaction to meet the expectations of society. We understandcompliance not in the narrow sense of complying withthe law, but rather as ensuring we behave in accordancewith social norms, and in line with social expectations.
Therefore, we address a broad range of issues, including
corporate ethics, information security, and environmental
protection. Over many years we have built up a trackrecord of reﬂecting on our daily behavior, and constantly
checking whether the expectations of society are being
met.
Together with this corporate approach, it is also
important to ensure that the thoughts and behavior of

all our employees can meet the expectations of society.
At present we are engaged in activities based on thetheme of “Workstyle Innovation.” This involves having
our employees fundamentally reexamine their previous
approaches to work, improve themselves in the time freed
up by greater eﬃciency, and hone their sensibilities bydeepening contact with society. In the future, we will strive
through these activities to deepen the involvement of each
employee with society, and ensure that the expectations ofsociety are met at a higher level.

In our ad campaign, which we launched in 2012, we areusing the catch-phrase “Creating What Everyone Will Takefor Granted in the Future.” For example, today it is taken
for granted that everyone has a mobile communication
terminal, such as a smartphone, but these use many of
DNP’s products and technologies, including: color ﬁltersand functional surface ﬁlms for high-deﬁnition displays,
3-axis acceleration sensors for changing the orientation ofimages or text according to terminal movement, and smart
cards for identifying individuals.
No one can accurately predict the future, but it ispossible to participate in forming it and sketching its
blueprints. Each of our employees continuously engages
in TAIWA* with our many stakeholders, quickly perceives
the issues facing consumers, companies, and society, andsolves those issues by applying our technology and knowhow. That is DNP’s mission, and we believe it will lead
us to “Creating What Everyone Will Take for Grantedin the Future.” Previously we have been involved in thecreation of numerous things that have come to be taken
for granted as part of everyday life and going forward, we
will tenaciously continue these eﬀorts, and strive to be acompany which can always enjoy a high degree of trustfrom the public.

* TAIWA is a Japanese word describing process for identifying problems
and ﬁnding solutions through the exchange of viewpoints and ideas.

DNP Group CSR Report 20122

Editorial Policy

CONTENTS

We report on the CSR activities of DNP in the “DNP Group CSR Report 2012” and on our website. More detailed information on our

Top Message

1

environmental activities is provided in the “DNP Group Environmental Report 2012,” available as a PDF on our website.

Editorial Policy

3

Contents

4

Outline of the DNP Group5

For Realizing a Sustainable Society—CSR at DNP

7Chart: FY2011 Results

11

About the DNP Group CSR Report 2012
● Period covered by this report
April 1, 2011 to March 31, 2012
However, the report is not conﬁned to this period regarding some importantmatters.

DNP Group CSR Report 2012
FY2011 CSR Activities

DNP Group Environmental Report 2012
FY2011 Environmental Activities

WebsiteProvides information not listed
in reports (CSR related policies,
organization charts, systems, andactivities not listed in reports, etc.)

http://www.dnp.co.jp/csr/

Paper
Printing plates
Binding
Ink● Scope of report
This report applies to all companies and divisions in the DNP Group.
In this report, “DNP” indicates the DNP Group, as distinguished from Dai
Nippon Printing Co., Ltd. The designation “DNP Group” shall be used incontexts where we wish to emphasize the Group as a whole.

Social Responsibility Report

Special Report: DNP Solutions for Expanding the Possibilities of the"Culture of Intellectual Knowledge"

16
17(Contributing to the Development of Society through Our Business)● Hybrid Bookstore "honto"

19● DNP Original Typeface "Shueitai"

21● Neuromarketing Support Services

22● Digital Pen Learning Support System

23

Development of a System for Business Continuity

25

Compliance with the Law and Social Ethics

27

Ensuring Information Security

29● Report content
In addition to the important themes of CSR (see page 10) that are within thescope of DNP’s management, this report includes a special report on businessactivities DNP is focusing on that generate high social expectations.
The theme reports provide a general overview of activities, and discuss DNP’sapproaches. Coverage of more speciﬁc efforts is provided in each Focus
section.

Promoting Social Responsibility through the Supply Chain

31

Proper Disclosure of Information

33

Realization of a ‘Universal Society’

35

Ensuring the Safety and Quality of Our Products and Services

37

Respect for Human Dignity and Diversity

39● Stakeholder comments
Stakeholder comments are included in order to provide objectivity in evaluationof activity content for each theme, and to introduce activities in an easy-tounderstand way. We have also solicited the opinions of a third party—Mr.
Saburo Kato, Co-Chair of the Japan Association of Environment and Society
for the 21st Century (an NPO)—regarding the entire report.

Realization of a Safe and Vibrant Workplace

41

Social Contribution as a Good Corporate Citizen

43

Certiﬁcations and Symbol Marks Earned by This Report

47

About the data provided in the environmental section
Since FY2011, we have tabulated data for Dai Nippon Printing and all domestic
Group companies subject to consolidation in our ﬁnancial accounting. Until
FY2010, data was tabulated for 37 domestic manufacturing companies, and1 domestic distribution company, and starting in FY2011 we added the nonmanufacturing sites of Dai Nippon Printing and all domestic Group companies
subject to consolidation (e.g., 2 development centers, ofﬁce buildings, salesofﬁces). As part of this change, we have retabulated data for FY2010 andprevious years.

● Independent review
The environmental section (see pages 49-52) has been independently reviewed
by Ernst & Young Sustainability Co., Ltd. It has also been certiﬁed with theEnvironmental Report Assurance and Registration Symbol by the Japanese
Association of Assurance Organizations for Sustainability Information.
● Reference guidelines• GRI (Global Reporting Initiative) “Sustainability Reporting Guidelines Ver. 3.1”
• Ministry of the Environment “Environmental Reporting Guidelines (2012edition)”• ISO 26000, JIS Z 26000

FSC certiﬁed paper, forest thinning support paper(Forest Neighborhood Association)
Forest Neighborhood Association A2 matte FSC certiﬁed
MX (Mitsubishi Paper Mills Limited)
Filmless system using CTP output
Perfect binding using recyclable hot melt adhesive
Spine glue: Asahimelt K1217 (Asahi Chemical Synthetic Co., Ltd.)Side glue: Asahimelt RPS310 (Asahi Chemical Synthetic Co., Ltd.)Ink which does not interfere with recycling:
NS PVF K (DIC Graphics Corporation)

Calculating and indicating the carbon footprintof this CSR Report

604g

CO 2 の「見える化」
カーボンフットプリント
http://www.cfp-japan.jp
検証番号：CV-BS01ｰ015

3

DNP’s CSR Efforts

The Carbon Footprint of Products (CFP) markindicates the total amount of greenhousegas (converted to amount of CO2) emitted in
the product’s entire lifecycle, from materials
procurement to disposal and recycling. DNP has
participated from the beginning in CFP System
Trials conducted by the Ministry of Economy,
Trade and Industry and other related agencies.
We calculate and indicate the CRP of our own
publications, and promote the growth of the CFP
system.

DNP’s CSR Efforts

Environmental Report48

DNP Environment Management Activities

49

Status of Environmental Impact in Fiscal Year 2011

51

Achieving a Low-Carbon Society

53

Building a Recycling Society

55

Realizing a Society in Symbiosis with Nature

57

Independent Review Report Comments by an Independent Institution

61

Third Party Opinion62● About the cover design
We believe the social contributions stemming from CSR at DNP arehighly diverse. The cover reﬂects this by combining various shapes andcolors to read “CSR,” giving a simple yet powerful typographical design.
Art Director: Kenjiro Sano
Born in Tokyo in 1972. After working at Hakuhodo, Sano became president of
MR_DESIGN. Some of his main works include: TV commercials and graphics for“ReBORN Doraemon” (Toyota), “Zero Summit” (Suntory Boss), and “Green Dakara”(Suntory); character design for “LISMO!” (KDDI), “T Bu! S” (TBS), and “Nyanmage”(Edo Wonderland); and package design for “Toromame” (Mizkan).
www.mr-design.jp

DNP Group CSR Report 2012

4

Segment Results(FY ending March 2012)

DNP Corporate Proﬁle (as of March 31, 2012)
Company Name

Dai Nippon Printing Co., Ltd.

Head Ofﬁce

1-1, Ichigaya Kagacho 1-chome, Shinjuku-ku,

Main Plants

58 domestic plants

Tokyo 162-8001, Japan

R&D Facilities

13 locations in Japan

Tel: +81-3-3266-2111

Net Sales¥1,507.2 billion(down 5.2% over the previous term)

Net Operating
Income¥34.0 billion(down 49.8% over the previous term)

Ordinary Income¥36.8 billion(down 41.3% over the previous term)

Net Income(Net Loss)(¥16.3 billion)(in previous term, net income was ¥25 billion)

URL http://www.dnp.co.jp/
Established

October 1876

Incorporated

January 1894

Capital¥114.464 billion

Employees

10,812 (Non-consolidated)
39,986 (Consolidated)

Sales Ofﬁces

48 locations in Japan
25 locations overseas (including local afﬁliates)

FY2011 Financial Data (FY ending March 2012)
At the base of our printing operations lies the Business Vision of
P&I Solutions. DNP is working to provide solutions to customers
by fusing the printing technologies cultivated since our founding
with the information technologies that have rapidly advanced
through digitalization.
In FY2011, in addition to actively developing our businessand offering products and services corresponding to customer
needs, we worked hard to maintain our business results throughour Group-wide “Production 21” efforts, which are aimed at

establishing a solid production system in areas such as quality,
cost, and delivery.
As a result, consolidated sales for the term were ¥1,507.2
billion, with consolidated net operating income of ¥34.0 billion,
and consolidated ordinary income of ¥36.8 billion. However, an
impairment loss of ¥24.7 billion was booked on ﬁxed assets,
primarily in the Electronics segment, and thus the consolidated
net loss for the term was ¥16.3 billion.

Net sales (Yen billions)

Net operating income (Yen billions)0Printing
Information Communication

The business of DNP is made up of
our Printing Operations and Beverages
Operations.

12 overseas plants (including afﬁliates)

Publication printing: Magazines, books, e-books, e-publishing 1 , etc.
Commercial printing: Catalogs, pamphlets, posters, ﬂyers, POP, digital signage 2 , etc.
Business forms: Passbooks 3 , smart cards 4 , IPS (services for printing and dispatching mail to individuals
based on input data), etc.

● Printing:
We are developing our printing businessacross a broad range of applications.
These include the Information Communication segment, made up of operations
such as publishing/commercial printing,smart cards, and network businesses; theLifestyle and Industrial Supplies segment,
which includes packaging, lifestylematerials, and industrial supplies; andthe Electronics segment, which includes
display products and electronics devices.

1

2

3

4

Lifestyle and Industrial Supplies
Packaging: Container packaging materials 5 and sterile ﬁlling systems for food, beverages, confectioneries,
daily necessities, medical, and other products.
Lifestyle materials: Exterior and interior ﬁnishing materials 6 (ﬂooring, decorative sheet metal, etc.) for home,ofﬁce, rail cars, etc.
Industrial supplies: "PrintRush" self-service printing systems 7 , ink ribbons, softpacks for lithium ion batteries
8 , etc.

● Beverages:
We produce and market carbonatedbeverages, coffee, tea, and otherbeverage products, mainly through
Hokkaido Coca-Cola Bottling.

5

Sales distribution
Beverages

Outline of the DNP Group

Outline of the DNP Group

6

7

8

Electronics

3.8%

Display products: LCD color ﬁlters 9 , touch panel sensors 10 , etc.

Electronics

Information
Communication

14.8%

47.0%

Electronic devices: Semiconductor photomasks 11 , lead frames, electronic modules 12 , MEMS products, etc.

0

2007

1,616.0

2007

2008

1,584.8

2008

2009

1,583.3

2009

66.5

2010

67.8

2010

1,589.3

2011

10

12

11

46.1

2011

1,507.2

9

87.1

Beverages
Lifestyle andIndustrial Supplies

Beverages

34.4%

34.0

Production and marketing of beverages 13 through Hokkaido
Coca-Cola Bottling.

Net income (net loss) (Yen billions)

Ordinary income (Yen billions)
0

2007

2007

86.5

2008

2008

47.3

2009

2011

2011

36.8

Total assets (Yen billions)
ROA (%)

0

2010

62.7

Bar chartLine chart

Net sales by business segment (Yen billions)45.1(20.9)

2009

68.8

2010

Net assets (Yen billions)
ROE (%)

5.2
3.0

1,601.1
1,536.5

2008

25.0

718.4

551.8

255.9

71.7

2009

739.6

536.6

257.5

62.8

2010

721.9

531.7

286.2

63.0

2011

714.6

522.8

224.8

57.0

Bar chartLine chart
1,040.1

(2.2)

0

940.0

2007

4.4

1,618.8

2009

2.6

956.8

2008

2010

3.8

1,649.7

2010

2.7

952.4

2009

2.3

1,608.8*ROA (Return On Assets): Calculated using ordinary income.

2011

(1.8)

*ROE (Return On Equity): Calculated using net income.

914.2

679.8

322.3

0

73.4

0

31.6

18.1

2011

15.4

19.8

19.9

1.3

2.5
43.7

23.4

2010

0

31.8

43.0

Information Communication

5

555.7

Operating income by business segment(Operating loss) (Yen billions)

2009

2011

0

2008

4.4

2007

0

23.2

0

2007

0

2007

(16.3)

0

2008

13

0

8.3

46.7

31.8
Lifestyle and Industrial Supplies

0.3

12.2

(4.6)

(0.5)
1.2

1.3
Electronics

Beverages

DNP Group CSR Report 2012

6

—CSR at DNP

to achieve a sustainable society by broadly understanding social changes and needs, andcontributing to the solution of problems society faces together with employees who haveshared values.

Key Policies for Achieving Sustained Growth

DNP’s Approach to CSR (Three Corporate Responsibilities)

Under today’s rapidly changing social conditions, DNP itself must grow in a sustained fashion in order to continue
contributing to society.
Based on our Business Vision of P&I Solutions, we promote the following key policies for achieving sustained growth.

While CSR stands for “Corporate Social Responsibility,” at DNP we deﬁne this to mean “being a company which istrusted by society.”
At DNP we will simultaneously fulﬁll the following “Three Corporate Responsibilities,” meet the expectations of society,and continue to be a trusted company.

Strengthening
Business to Solve
Social Problems

We will stress the “social perspective” wherein we focus our business on whatsociety needs in order to address the problems which are multiplying inside andoutside Japan. Our main themes include the environment/energy, education, thesuper-aging society, and universal design, and we will actively suggest solutions
which combine our unique R&D with DNP’s business “seeds.”

Promoting R&D
Focused on
Business Creation

In developing the products and services which will serve as the pillars of our future
management, we believe it is crucial to engage in R&D that leads to the creationof new businesses in a quest to accurately solve problems from the consumer’s
standpoint.
We will innovate in terms of products, services, and business models, and properly
manage the results as intellectual property.

Expanding Our
Global BusinessAs markets become borderless, and corporations accelerate their advance overseas,
we are actively expanding our own global business. For almost half a century we havebeen engaged in global business, but in order to deploy more quickly and effectively,
we established a new organization in April 2012 for supervising overseas businessat our head ofﬁce and in each region. With this new structure, we will formulate
a global strategy from a company-wide perspective, improve competitiveness bystrengthening collaboration between segments, and provide general oversight ofbusiness operational risks and legal compliance issues.

The DNP Group Vision for the 21st Century
and the DNP Group Code of Conduct
The DNP Group Vision for the 21st Century is an expression of our basic philosophy of co-existence and codevelopment with society and the environment.
It consists of our Management Concept, Business Vision, and Guiding Principles.
We have established the DNP Group Code of Conduct as the set of principles upon which our efforts towardrealizing our Management Concept are based. The Code of Conduct ensures that we continue to conduct
ourselves with integrity based on strong ethical principles.
Our Vision for the 21st Century and our Code of Conduct are closely related to the Three Corporate Responsibilities
of DNP, and serve as the basis for all of our employees in carrying out CSR activities.

7

The essential mission of CSR at DNP is the realization of our Management Concept. We aim
For Realizing a Sustainable Society—CSR at DNPFor Realizing a Sustainable Society

1. Value Creation

2. Integrity in Conduct

3. Transparency(Accountability)
Being a company that isaccountable and highly
transparent

Providing new value tosociety

Practicing fairness andimpartiality in the value
creation processes

The ﬁrst and most fundamental
responsibility of a corporation tosociety is “providing new value
to society.” We must make aconnection between the offering ofproducts and services necessary
to the sustainable developmentof society and the growth of thecompany. DNP will continue toprovide high value which contributes
to the solution of social problems
through our P&I Solutions Business
Vision.

The second responsibility ispracticing fairness and impartiality
in value creation processes. No
matter how superior or useful tosociety the value produced is, value
is compromised if, for example,
environmental damage occurs orlaws are broken during the value
creation process. Therefore, DNP
seeks to fulﬁll this responsibility byensuring that all employees always
conduct business with integrity inaccordance with the DNP Group
Code of Conduct.

Value
CreationManagement Concept
The DNP Group will contribute to the emergently
evolving society of the 21st century.

Finally, the third vital corporate
responsibility is providing accountability to society and being a company
with high transparency. DNP achieves
accountability by encouraging all
employees, during the course of
their regular duties, to engage in
TAIWA with stakeholders, listen to
their opinions, and provide correct
information themselves.

Accountability

Business Vision: P&I Solutions

Guiding Principles: Five Principles

We will identify and solve the problems and issues that
consumers and corporate clients face within theemergently evolving society by fusing our Printing
Technologies (PT) and Information Technology (IT).

Principles to guide employee conduct:
TAIWA, independence/collaboration,
accepting challenges, integrity, and responsibility

1. Contributing to the development of society
2. Social contribution as a good corporate citizen
3. Compliance with the law and social ethics
4. Respect for human dignity and diversity
5. Environmental conservation and the realizationof a sustainable society

DNP Group Code of Conduct

Integrity
in Conduct

6. Realization of a 'universal society'
7. Ensuring the safety and quality of our
products and services
8. Ensuring information security
9. Proper disclosure of information
10. Realization of a safe and vibrant workplace

DNP Group CSR Report 20128

Endorsement of the Global Compact
For Realizing a Sustainable Society CSR at DNPFor Realizing a Sustainable Society—CSR at DNP

DNP announced its endorsement of the United Nations Global Compact in July 2006. The Global
Compact covers 10 principles in four categories: Human Rights, Labor Standards, Environment,
and Anti-Corruption. Corporations endorsing the Global Compact engage in voluntary efforts toadvance these 10 principles, with the goal of achieving a society capable of sustainable growth.
DNP will contribute to the sustainable growth of global society by incorporating the 10 principlesof the Global Compact into our group management.

DNP Stakeholders
to the CSR Committee* and the main departments to
be incorporated into our management. Various special
committees have also been established to deal with key
themes relating to CSR such as corporate ethics and theenvironment.

■Corporate Governance
We at DNP regard good corporate governance as animportant management issue for fulﬁlling our social
responsibility as an emergent company adapted to the
21st century.
We are building and operating a system to enable
correct management decision-making, proper andprompt execution of business operations based on thosedecisions, and oversight/auditing of those operations.
We are also raising compliance awareness among all
our employees through diligent training and education,
and working to improve corporate governance, includinginternal controls.

* Persons in charge: Executive Vice Presidents
Chairman: Managing Director
Committee members: Directors in Charge at Head Ofﬁce,
Corporate Ofﬁcers■Important Themes for CSR Activities
At DNP, we conduct materiality analysis between“themes important to DNP” and “themes important tosociety,” and thereby select the CSR activity themes to bepromoted. “Themes important to society” are identiﬁed
from a global perspective by verifying the opinions ofstakeholders (via report questionnaires, etc.), core issuesof ISO 26000/JIS Z 26000, the 10 principles of the United
Nations Global Compact, relevant international treaties/
agreements, and social issues regarded as important interms of socially responsible investment. For important
themes, we establish annual goals (see pages 11-15),■CSR Promotion System
We have established a department speciﬁcally in chargeof CSR. In collaboration with the main departmentsof the Head Ofﬁce, this department engages in tasks
such as identifying themes and formulating policies/
goals relating to CSR, and exchanging information withstakeholders. The gathered information is fed backand work to improve our activities by checking results
and goals for the next ﬁscal year in the CSR Committee
at the end of the ﬁscal year.

■Activities to Educate Employees
In promoting CSR, it is crucial to ensure that all employees
understand CSR at DNP, and can apply it in their daily
work. We are providing training and education on CSR
and each important activity theme by making use of
training opportunities such as group training and network
learning. We are also creating more opportunities tocome into contact with CSR-related information by using
our intranet to notify employees of CSR topics, anddistributing CSR reports to senior executives.

-

CSR Management

The foundation of DNP’s business activities is building
relationships of trust with our stakeholders—shareholders,clients/consumers, suppliers, the local community, andemployees. It is crucial for our employees to constantly
engage in TAIWA with the stakeholders they encounterday to day, listen to their opinions, and then take theinitiative to provide them with correct information. We
believe that by faithfully meeting the expectations ofsociety, which have been learned through TAIWA, we
can win the trust of society, and ensure the sustainable
development of both society and DNP.

Reference: Content of Report on Important Themes, and Core Topics of ISO 26000/JIS Z 26000
Diagram of the Corporate Governance and Internal Control Systems
General Meeting of Shareholders
Board of Directors
Audit

Audit

Management Committee

CSR activities of DNP

CSR Report 2012

ISO 26000/JIS Z 26000

Important Themes

Content of “Focus” section

Corresponding Core Subjects

Contributing to the Development of Society

DNP Solutions for Expanding the Possibilities of the"Culture of Intellectual Knowledge"

Consumer Issues, Community Involvement and Development

Development of a System for BusinessContinuity

IT Network Redundancy

Consumer Issues

Compliance with the Law and Social Ethics

Strengthening of Anti-Organized Crime Measures

Fair Operating Practices, Human Rights

Ensuring Information Security

Delivering Joy and Peace of Mind in Collaboration with
Client Companies

Consumer Issues

Promoting Social Responsibility through the
Supply Chain

Enhancing TAIWA with DNP’s Proprietary Systems

Fair Operating Practices, Human Rights, Labor Practices,
The Environment, Consumer Issues

Proper Disclosure of Information"Get to Know DNP" Information for Employees

Labor Practices, Fair Operating Practices

Realization of a ‘Universal Society’

The UD Perspective Is Needed for Digital Textbooks

Consumer Issues

Ensuring the Safety and Quality of Our
Products and Services

Achieving Safety and Quality in Collaboration with Client
Companies

Consumer Issues

Respect for Human Dignity and Diversity

Generating Synergy from Interaction between Employees
Human Rights, Labor Practices
with Diverse Backgrounds

Realization of a Safe and Vibrant Workplace

All Employees Striving to Realize Ideal Goals

Representative Director
ReportingDirector in Charge

Corporate Ofﬁcers

Product Safety Committee

Audit
Audit

Environmental Committee
Complaint Handling Committee

Guidance

Central Disaster Prevention Council
Legal and other main divisions/departments

Corporate Social Responsibility Committee
Audit & GuidanceCommunications
Coordination

9

Communications
Assistance

Audit unit

Group Companies
Guidance &Training

Information Security Committee(Environment & Product Liability Department, Labor Department,
Technical Engineering Division, Accounting Division, Management
Department, IP Division, Legal Affairs Department, others)

Audit(Autonomous implementation,
inspection, review, improvement)

Insider Trading Prevention Committee

Auditors Ofﬁce

Business Divisions

Oversight of internal controls

Head Ofﬁce

Operating units

Accounting Auditors

Audit

Open Door RoomInformation Disclosure Committee

Board of Statutory Auditors

Corporate Ethics Committee

ReportingSocial Contribution as a Good Corporate
CitizenEnvironmental Conservation and theRealization of a Sustainable Society• Congratulations, ggg• Support for Victims Affected by the Tohoku-Paciﬁc
Ocean Earthquake• The Response of 36 DNP Business Sites Supplied by
TEPCO to Electricity Use Restrictions• Creation of Green Spaces at Business Sites• Energy-Efﬁcient Drying System Using Heat Pump
Technology• Improvement of Material Procurement Practices

Human Rights, Labor Practices
Community Involvement and Development

The Environment

The Environment, Consumer Issues

DNP Group CSR Report 201210

Chart: FY2011 Results

Evaluation Targets
Target achieved or making steady progress toward target

Chart: FY2011 Results

Making active efforts but target not achieved
Efforts insufﬁcient

TargetResultWe trained personnel in level-speciﬁc training andSolution Business Practical Training so as to cultivate
personnel who can contribute to the development of
the emergently evolving society.

Continuously
conduct
Solutions
Workshops, share issues in the course of
TAIWA with customers, and contribute to
the development of society by providing
solutions to customer issues.

We held our annual Next Generation Communications
Fair directed at people outside the company, andheld twice annual “Biz Support” sessions which are
exhibition and consultation meetings for people inside
the company.

Use DNP’s printing technologies (PT)and information technologies (IT) todevelop and expand businesses in every
segment, including energy, life sciences,and digital media, so as to help achievea low-carbon society and improve qualityof life.

• We developed and began operating an Energy Saving Total
Management System to improve efﬁciency of energy use.

Examine our world from a social
perspective, and seek out signiﬁcantissues, to which we will propose
business-based solutions that exceed
the limits of our current operations.

• We opened and started operations of our Social
Innovation Laboratory in order to provide solutions
to society’s needs through our business.

• We helped expand the biomass market throughcommercialization of packaging material employing
biomass plastic.
• We created and veriﬁed operating guidelines as abusiness promoting dissemination of the ebformat(e-Book Interchange Format) established to enable
efﬁcient production of e-books.

● Work to ﬁrmly establish the
management system relating toDisaster Response Work Plans
and Business Continuity Plans(BCPs) which was started in
FY2011, and continue taking
individual
disaster
response
measuresandconducting
education and training at each site.

Examine issues concerning the DNPGroup response to the Tohoku-Paciﬁc
Ocean Earthquake, and revise planning
as well as engage in actual enhancement
measures.

To ensure business continuity, we promoted
improvement measures such as measures to saveelectricity, network redundancy, integrated production
management, and standardization of materials. As
measures to ensure safety of employees, we checkedbuildings and equipment at all business locations,improved disaster response equipment and stockpiles,
distributed the Disaster Preparedness Handbook, andconducted various types of disaster response training.

● Strengthen disaster response
capabilities of the entire Group• Incorporate the latest disaster
response
measuresintomanagement, such as review ofdamage estimates and response
measuresofgovernment
agencies based on the TohokuPaciﬁc Ocean Earthquake.

April

10th Keinosuke Sato Award, Corporate/Group Division (Shueitai Development Department, Dai Nippon Printing)
35th Kinoshita Prize New Creation Award (Award shared with Meiji Co., Ltd., and Oji Packaging Co., Ltd.)(For development of packaging for Meiji Step Rakuraku Cube)

SponsorJapan Typography Association
Japan Packaging Institute

September2011 “Great Place to Work” Ranking/Overall ranking: 27th

Nikkei Inc.

November

Carbon Disclosure Project 2011
Ranked 11th out of 214 companies in Japan in terms of information disclosure relating to climate change issues

Carbon Disclosure Project

15th Japan Environmental Management Survey/Overall ranking: 23rd

Nikkei Inc.

SAM Corporate Sustainability Assessment 2012
“Sustainability Leaders 2011/2012”

Sustainable Asset Management

2011 Energy Conservation Grand Prize for excellent energy conservation equipment,
Jury’s Special Prize (For reducing power consumption in the photomask manufacturing process)

The Energy Conservation Center,Japan

January

February
March

Trends in CSR Management at Japanese Businesses 2011
(Company which made progress in socially responsible management efforts)

11th Annual Integrex Survey: “Survey of Corporate Honesty and Transparency (Ethical and Social)”/Overall ranking: 15th

The Japan Research Institute, Ltd.
Integrex Inc.

TargetEnsuring Information Security

Development of a System for
Business Continuity

All organizations took preventive measures basedon Disaster Response Work Plans and BusinessContinuity Plans (BCPs), and established a foundation
for a management system to conﬁrm progress
through self-checking, and reviewing plans.

May

11

● Solve problems from ourunique DNP perspective, using
printing technologies (PT) andinformation technologies (IT),to meet social needs in ﬁelds
such as the environment/
energy and life science.

Proceed deliberately at all operationsand Group companies with response
measures based on Disaster Response
Work Plans and Business Continuity
Plans (BCPs). Conduct self-checking,and enhance the PDCA Cycle.

(For development of DNP original typeface "Shueitai")2012● Hold more practical seminars
and exhibitions which provide
new value to society through
TAIWA and collaboration withcustomers.
• Improve the annual Next
Generation Communications
Fair directed at people
outside the company, andcontinue to provide at least
twice annual “Biz Support”
sessions which are exhibitionand consultation meetings forpeople inside the company.

• As electricity conservation gains momentum dueto the recent earthquake, we are developing digital
signage products which achieve beautiful, colorfuldisplays with low power consumption.

FY2011 Awards & Evaluations
2011

FY2012 Targets

Compliance with the Law and Social Ethics

Contributing to the Development of Society

Reexamine the DNP Vision for the 21st Century
in response to the changes (predicted) due tothe Lehmann Shock and the Tohoku-Paciﬁc
Ocean Earthquake. Continue to provide
solutions to the issues facing society and tocultivate human resources who can contributeto the development of the emergently evolving
society.

Evaluation

ResultWe believe in the importance of theaccumulated effects of study, along withdaily efforts for adherence to and thoroughunderstanding of corporate ethics. Therefore,
we encourage activities in which all Group
employees return again to our fundamental
principles and consider the meaning of the“integrity in conduct” to which we aspire.
Part of this effort is to include the revision oftraining methods and materials.

We conducted training in a discussion format taking
actual case studies as the subject matter. We
also revised training material content to facilitate
understanding, and added new information to keep
up with changes in society.

Strengthen programs for creating internal
control systems and structures to further
establish and disseminate corporate
ethics at all domestic and overseas
afﬁliates – particularly new companies.

We provided improvement guidance relating to internal
controls and corporate ethics to new companies suchas Oguchi Book Binding & Printing, DNP Fotolusio,
DNP ID System, DNP Field Eyes, and 2Dfacto.
We conducted a survey and ascertained current
conditions at overseas Group companies relating toefforts to comply with corporate ethics, implementationof training, and the status of key risks and responses.
This will be used to support future activities.

Revise and improve management content
so as to enhance internal controls andrisk management effectiveness.

In order to improve the Compliance Assessment System
which is the heart of risk management, we have newly
added “proper transactions,” and in the “environment”
segment we have also added evaluation items including
biodiversity, lifecycle assessment, and green energy.

Enhance the activities of the Corporate
Ethics Committee in each of our business
operations.

We made it mandatory for all organizations to hold
Corporate Ethics Committee meetings, and had eachorganization check effectiveness of internal controls in
its own operations.

Engage in goal-sharing through repeated
TAIWA in the course of maintaining our
personal information protection systems
and information security control systems,
as well as in executing the PDCA Cycle.

Guidance was provided by the Chairman 56 times.
Inspection and guidance were performed in 73
departments (a total of 186 times). TAIWA was
conducted repeatedly, and goals were shared.

Revise and maintain autonomous
checking and improvement structures atall operational bases so as to respond to
new risks stemming from new businessor new technologies.

Autonomous checking was carried out at 118
organizations. We conducted Internet vulnerability
inspection.

Implement education and training so as
to improve the security awareness of all
employees, and enhance the content oftraining for overseas operations.

We created one new English pamphlet relating
to information security (for a cumulative total of 3
pamphlets). We provided general and specialized
education for all employees (including part-time andtemporary employees).

Implement physical security measures
employing our own solutions and knowhow.

We introduced new access security equipment thatuses employee smart cards at 11 business locations,
including 1 overseas operation site (for a cumulative
total of 129 business locations).

Evaluation

FY2012 Targets● Steadily continue to hold trainingfor
ensuring
thoroughestablishment and disseminationof corporate ethics and takemeasuresrelatingtoriskmanagement, while continuously
conducting
reviews
toaccommodate conditions insideand outside the company.
• Strengthen
supportfor
corporate ethics education
activities at overseas Group
companies.
• Firmly
establishthe“proper transactions” and“environment”
evaluation
categories revised in the
Compliance
Assessment
System in FY2011.

● Engage in goal-sharing throughrepeated TAIWA in the courseof maintaining our personal
information protection systems
andinformation
security
control system, as well as inexecuting the PDCA Cycle.
• Increase the number of times
inspection and guidance are
performed to at least 110% of
the 2011 level.
● Prepare new education content
in 5 languages for improving
efforts to deal with globalization.
Provide and improve education
inside and outside Japan inorder to increase awareness of
information security.

Received Special Prize of the Energy Conservation Grand
Prize for excellent energy conservation equipment for reducing power consumption in the photomask manufacturing
process
Photomasks act as the original plate when forming semiconductor circuits on silicon
substrates. At our Kamifukuoka Plant (Saitama Prefecture), we have developed
an energy conservation system for the laser writing process on this photomask
production line, and thereby dramatically reduced power consumption.
This system can properly maintain precision of the optical axis when writing
resumes, while minimizing laser current during writing standby. As a result, annual
power consumption was reduced by 6% compared to that for 2010. We havealso achieved a reduction of 42% of that for 2010 in our power consumption rateby practically applying technology for reducing the number of writing iterations
from 4 times to 2 times, while still maintaining precision. As commendation forthese efforts, we received the 2011 Energy Conservation Grand Prize for excellent
energy conservation equipment, Jury’s Special Prize, sponsored by The Energy
Conservation Center, Japan.
DNP Group CSR Report 201212

TargetBroadly expand the number of suppliers
subject to the explanatory meetings
for small and medium-size suppliers,
and conduct a number of CSR Activity
Promotion Explanatory Meetings.

CSR Activity Promotion Explanatory Meetings have yet
to be held, but an e-mail system has been developed
to enable smooth bidirectional communication with
suppliers.

Obtain the results of the 4th DNP Group CSR
Procurement Criteria Compliance Survey, andconduct an on-site inspection of key suppliers.

On-site inspection has not been conducted yet due tothe impact of the Tohoku-Paciﬁc Ocean Earthquake.

With the goal of maintaining the supply
chain, request that suppliers draw up
business continuity plans (BCPs), andconﬁrm that they are in place.

A supplier questionnaire was administered regarding
the existence of BCPs (February 2012).
Another request was made to draw up BCPs, whenevaluation results were sent regarding regular survey
results (March 2012).

2011, in addition to marking the 135th
anniversary of DNP in October, is the60th year since we began expanding
business through the “expansion
printing” concept, and the 10th year
since we established our Vision for the
21st Century. Over the course of theyear we will establish important themes,
increase our supply of information to
the mass media, hold theme-based
study meetings for institutional investors,
and develop content for a variety ofcommunications tools.

We developed and provided optimal content suited
to stakeholder needs, with the aim of stimulating
communication.

Engage in deeper communication
with stakeholders, collecting their
expectations and opinions and reﬂecting
them in conducting business.

We gathered stakeholder evaluations and comments
regarding communication tools – such as the CSR
Report, Annual Report, and in-house publications –and used those in establishing policies for the future.
We summarized shareholder/investor opinions, analyst
reports, and other materials, provided appropriate
feedback to the management team and related
departments, and supported efforts to improve
corporate value.

Conduct more thorough controls overimportant information both inside andoutside the company, and enhance ourefforts for timely disclosure and insider
trading prevention.

[Key results] News releases: 130 (123 in FY2010),
about 170 responses to individual interviews by mass
media companies (213 in FY2010), 216 IR meetings(209 in FY 2010), 4 seminars/tours for investors (3 in
FY2010)We strengthened communication with overseas
operations, conﬁrmed current and future businessstrategies, and focused on local reporting. Reports
were actively announced both inside and outside thecompany through in-house video news, the Annual
Report, shareholder communications, and in-house
publications.

We carried out thorough information control regarding
important undisclosed information, through efforts
such as having relevant persons inside and outside
the company submit conﬁdentiality agreements. We
promoted use of organizations such as the Information
Disclosure Committee and the Insider Trading
Prevention Committee, education based on network
learning, and timely disclosure.

● Continuing in FY2012, we will
promote activities by expanding
coverage of CSR Procurement
Criteria to subcontractors.
● Deepen understanding of CSR
activities at DNP and stimulate
efforts at suppliers.
• Conduct questionnaire survey
and measure degree ofunderstanding by comparing
against past questionnaire
results.
• Review applicable suppliers,and hold explanatory meetings
to promote CSR procurement.
• Undergo 5th regular survey,
and conduct on-site inspectionof key suppliers.
● Develop and improve bidirectional
communication system (e-mailsystem) for prompt and effective
mutual exchange of information
when issues arise (up to 50% on
a number of transactions basis).

● Provide a diverse range
of information desired bystakeholders, so that there is noinequity between stakeholders
in useful information. Do thisby editing information on theintranet and announcing it
outside the company.
● Broaden opportunities forstakeholders to come into
contact with DNP information
using approaches such associal networking services anddigital signage.
● Promote corporate brandstrategies
so
DNP
is
more correctly and deeply
understood.

TargetResultContribute to realizing a Universal Society
through development of our businessthroughout the company.

Execute onsite inspections and monitoringof quality indicators for prevention of
product accidents stemming from the
manufacturing process.

We held onsite inspections (Product Safety Practices
Committee) based on monitoring of quality indicatorssuch as product yield and occurrence of quality trouble(held 4 times). In FY2011 we started a Practices
Committee relating to Overseas Contracted Production(held 1 time).

Continue
toimplement
thoroughemployee education concerning productsafety.

We conducted employee education concerning
product safety through group learning and network
learning conducted by our head ofﬁce, and practicaltraining at our operations and Group companies.

Respect for Human Dignity and Diversity

We began regular surveys at the end of March 2012.
We also reviewed the content of the regular survey
form (questionnaire) and updated to a system of using
the Internet for the questionnaire response system.

• We amended provisions in the Basic Business
Agreement signed with contractors. A clause wasadded regarding the CSR Procurement Criteria.
We also started issuing the CSR Procurement Criteria inwriting when signing agreements with contractors.

FY2012 Targets

Ensuring the Safety and Qualityof Our Products and Services

In conjunction with the revision of
the CSR Procurement Criteria, afterreconsidering the content of the CSR
Procurement Criteria Compliance Survey,
conduct continuous, regular surveys.

Proper Disclosure of Information• We expanded the number of business sites covered. We
held explanatory meetings to ask contractors to cooperatewith efforts to implement CSR Procurement Criteria.

Evaluation

Realization of a ‘Universal Society’

Promoting Social Responsibility through the Supply Chain

In regard to our application of the CSR
Procurement Criteria to contractors
which started in 2010, expand thecoverage and continue with the program.

Enhance the information we provide bothwithin the company and externally about
DNP’s efforts overseas.

13

ResultStrengthen diversity promotion efforts.
• Continue with Female Employee
Active Support Meetings. Focus on
employees (female employees andtheir superiors) in the Group who have
not yet taken the course.
• Continue with concrete measuresconcerning matters related to diversity
promotion at each Group company.
• Continue with the mentoring programfor female employees in the sales units,
and implement measures aimed atincreasing the retention rate for female
employees in the technical units.

• We continued Female Employee Active Support
Meetings.
The total number of course attendees was 441(238 female employees, 203 male and female
managers).

Promote creation of an environmentthat enables work-life balance support
measures and systems to be effective.
• Look into measures for promoting use
by male and female employees of thechildcare leave system, implement
such measures, and increase the useof the system by male employees.
• Continue to hold “DNP Family Friendly
Day” when children can visit theworkplace at ﬁve or more worksites
so as to gain 2012 Next-Generation
Childrearing Support Action Plan
certiﬁcation.

• We continued seminars (the Kangaroo Group)for balancing childrearing and work for persons
currently taking childcare leave, returnees, and theirspouses.
(Usage rate of childcare leave by male employees:
34.4%)We positioned Universal Design (UD) as an important
theme at our Social Innovation Laboratory, which wasestablished in April 2011, and strengthened promotion
activity.

Offer society more products and services
based on the UD concept.

• We felt it would be more effective to develop UD evaluation
methods suited to individual business domains rather
than attempting to apply one-size-ﬁts-all UD evaluation
methods, and we have promoted these efforts.
• In order to share knowledge on UD, we launcheda research group cutting across in-house businesssegments and continued to hold research sessions.
• We participated in various events outside the company
relating to UD, such as the project activities of theInternational Association for Universal Design (IAUD), andannounced information on our efforts.
• We promoted acquisition of external qualiﬁcations inorder to develop our human resources.

• Develop generally applicable UD
evaluation methods that are suited to
DNP’s business domains.
• Share knowledge across businesssegment boundaries.
• Actively provide information both within
and outside DNP about our efforts.
• Cultivate
next-generation
human
resources.

• We continued the mentoring program.
As a measure to improve the retention rate forfemale employees in technical units, we plan tocarry out activities to develop mentors for all units
starting in FY2012.

Evaluation

Chart: FY2011 Results

Chart: FY2011 Results

FY2012 Targets● Strengthen the foundation for
promoting UD efforts throughcompany-wide deployment.
• Improve employee knowledge
regarding UD by providing
seminarsandtraining
programs for all employees.
• Develop new UD services
and merchandise.

● Take the following measuresin order to prevent accidents
relating to product safety.
• Continue quality indicator
monitoring, and conduct
onsite inspections (Product
Safety Practices Committee)
based on the results. Also
provide thorough employee
education onsite.
• Expand departments subject
to the Product Safety Practices
Committee to departments
handling overseas contract
production.

● Strengthen efforts to promote
diversity• Make efforts to increase thenumber of leadership classfemale employees in all
segments.
• Improve the employment rateof persons with disabilities by
expanding the job categories
they can work in (employment
rate in FY2011 1.91%).

• We held the “DNP Family Friendly Day” at 10
operation sites. There were 344 participants (298in 2010).

DNP Group CSR Report 201214

Chart: FY2011 Results

TargetResultEvaluation

Realization of a Safe and Vibrant Workplace
Social Contribution as a Good Corporate Citizen

Continuously discuss the Vision for the
21st Century and Code of Conduct
during training and at meetings, so thateach employee understands the goals
and the meaning of both, and is able tocontribute autonomously to society.

In level-speciﬁc training, selected training for sales
planning, and new staff training, i.e. at key turning
points in employees’ career paths, we provided
multiple opportunities for all employees to learn about,and discuss their involvement in our Vision for the 21stCentury and Code of Conduct.

Cultivate creative human resources who
can plan and develop new services, suchas digital publishing and SNS (social
networking services).

We are conducting intensive courses on rich media
content for sales and media production staff taking
them from basic knowledge up to the point where
they can propose applications. We are also holding
seminars on social media regarding its possibilities andrisks. (Students attend the seminars at business sites
throughout Japan via video conferencing systems.)

During what will be the ﬁnal year of the
DNP Group Productive Time Resource
Project 1st Basic Plan, make “workstyleinnovation,” which is at the heart ofthese efforts in each operation and Group
company, part of the corporate culture,so that each employee makes effective
use of time resources.

Through labor-management collaboration, we held theProductive Time Resource Project two times in 2011.
Average non-scheduled working hours: We achieved
the goal of 35% or less of the 2008 benchmark.

Continue to aim for the 1st Work
Accident Prevention Basic Plan Work
Accident Occurrence Rate target of 0.30
or less (61% of 2008) by promoting risk
reduction.

The Work Accident Occurrence Rate in 2011 was 0.39
(80% of that for 2008). We did not achieve the target of
0.30 (61% of that for 2008).

Reach the targets of the 1st Health
Maintenance Promotion Basic Plan target
rate for regular physical checkup rate for
employees of 100%, and implement ahealth improvement plan to reduce thepercentage of those found to have healthissues by 2.2%.

We did not achieve the targets. The rate of employees
receiving regular physical checkups was 99.8%,
and the rate of persons found to have health issues
increased by 0.4% from 2011.

Foster employee consciousness of good
corporate citizenship.
• Hold a meeting announcing the
FY2011 CSR Report.
• Introduce the social contribution efforts
of all DNP Group organizations on theintranet.
• Also on the intranet, introduce externalsocial contribution organizations whose
activities can serve as a reference forin-house activities (6 organizations).
• Hold lectures by experts, NPOs, etc.

• We used the CSR Report not only at the announcement
meeting, but also featured it in executive trainings andat other opportunities.

Develop DNP’s own social contribution
programs and conduct them horizontally
across the Group.

We conducted the “Dispatch Lecturer Science Lesson:
The Mysteries of Color” at the “DNP Family FriendlyDay”—an event held for the families of employees. We
used the acquired knowledge to develop our businessin the ﬁeld of education support services.

SRI indices in which
DNP is included• After FY2011, the activities of various organizations
were introduced on the intranet, but the target ofdoing this for all organizations was not achieved.
• The activities of 10 organizations were introduced on
the intranet.
• In July, we held an in-house seminar on the themeof recovery support for the Tohoku-Paciﬁc Ocean
Earthquake.

FY2012 Targets● To ensure that our employees clearly
understand our Vision for the 21stCentury, and can make efforts toachieve transformation, we will provide
repeated opportunities for education,
at important times in each employee’s
career path, and improve the education
completion rate.

DNP’s CSR Efforts

SocialResponsibility
Report● We will continue efforts toward“workstyle innovation” and achieve
productive utilization of time
resources. (We will work to improveeach employee’s job satisfaction
and promote efforts to support each
person’s growth.)• We will hold the Productive Time
Resource Project two times in 2012,
and follow up efforts in each unit.
• Average non-scheduled working
hours: 35% or less of the 2008
benchmark.
● We will formulate a 2nd Work Accident
Prevention Basic Plan (3 years: 20122014), and promote activities to reducerisk in order to attain the ﬁnal target ofa Work Accident Occurrence Rate of
0.30 or less (77% of that for 2011).
● We will formulate a 2nd Health
Maintenance Promotion Plan, andpromote a heath improvement planwith the goals of ensuring that 100%of employees receive regular physicalcheckups, and reducing persons
found to have health issues.

● Strengthen activities of the entire
group by making the social
contributions of operationsand Group companies visible.
Achieve an implementation rateof 80% (of all operations andGroup companies) for social
contribution efforts in the statussurvey at the end of FY2012.
● Conduct the “Dispatch Lecturer
Science Lesson: The Mysteriesof Color” as a “Just Like DNP”
social contribution programin Shinjuku, Tokyo where ourhead ofﬁce is located. We will
also conduct this lesson at
events for the families of Group
employees.

Socially Responsible Investment (SRI):
This is investing that includes a company’s CSR efforts along with ﬁnancial analysis among
investment criteria.

“Father and Daughter”
This index, developed by Morningstar Japan K.K., tracks the shareperformance of 150 selected Japanese companies based on theircommitment to CSR.

15

Submission to Company Photo Contest (2011) sponsored by
the Information Media Supplies Operation Group
Photo: Kaori Tabuchi, IPS Operation GroupDNP Group CSR Report 201216

Contributing to the Development of Society through Our BusinessSpecialReportDNP Solutions for
Expanding the Possibilities of the

Printing supports the development of society
The year 1876—in the early Meiji era, when the light ofmodernization had just begun to shine in Japan—saw thebirth of Shueisha, later to become Dai Nippon Printing Co.,
Ltd., the oldest printing company existing in Japan. Amongits principles, the new enterprise included "engaging inbusiness beﬁtting a modern civilized society." This phrase
expresses the aspiration of Shueisha’s founders to contributeto Japan’s modernization by making Western ideas andtechnology broadly available using the then cuttingedge technology of letterpress. More than 130 years havepassed since that time, but through the cultural business ofprinting, we are still actively fulﬁlling our social mission toserve the development of society by making a broad range
of intellectual knowledge widely available.

Responding to society’s diverse demandfor knowledge
DNP was founded as a specialist publishing printer.
But today, our range of printing applications has growntremendously, and we oﬀer solutions in diﬀerent ﬁelds.
In particular, our Information Communication businessincludes the collection, analysis, processing, and transmissionof information, and in collaboration with our customers, wehave created a variety of new products and services. The key
word for all of these businesses is "intellectual knowledge."Intellectual knowledge is information with value, and into
the future DNP will strive to meet diversifying demand forknowledge through the expertise we have cultivated in our
pursuit of information-centered businesses.
The bestseller that made modern JapanThe year after Shueisha’s founding, it published theﬁrst book manufactured completely in Japan using
Western-style binding: a revised edition of Self-Help bySamuel Smiles translated into Japanese by Masanao
Nakamura. It is said that this book, which begins withthe words “Heaven helps those who help themselves,”
helped a generation of young people muster thecourage to devote themselves tonational development, and it becamea huge bestseller. The role ofknowledge in the development ofcivilization is truly immeasurable.

Tatsuya Nishimura
Senior Corporate Ofﬁcer

17

Since its founding, DNP has engaged in the business of publishingprinting. Beginning in 2007, we have made successive investments
in booksellers such as Maruzen and Junkudo, establishing the
Maruzen CHI Holdings and extending our business to bookstorerelated activities. The word CHI in the company’s name means
intellectual knowledge in Japanese, and expresses our commitment
to serve the circulation of knowledge by invigorating the publishing
distribution business. In 2010, the Bunkyodo Group joined the
DNP Group, while "honto," which was established as a web-based
provider of e-books, became a hybrid bookstore with the addition of
printed books to its offerings in May 2012. Into the future, DNP will
deliver knowledge in diverse ways that meet current needs.

• Hybrid Bookstore "honto"

Contributing to the Development of Society through Our Business"Culture of Intellectual Knowledge"

DNP’s "Culture of Intellectual Knowledge" Fields▶P19-20• DNP Original Typeface "Shueitai"▶P21

TransmittingIntellectual
Knowledge
Generating
Intellectual
Knowledge
In the creation of such tools as catalogs, pamphlets,and POP displays for advertising, PR, and sales
promotion, the key factors are which products areto be sold, to which customers, in what manner, andwith what information.
DNP has half a century of experience in market
research, analysis of consumer preferences, andrelated areas. These research results are simply
data, but the accumulation and analysis of such data
yields information with value—that is, intellectual
knowledge. Utilizing the knowledge created in thisway, we offer products and services that society
demands.

• Neuromarketing Support Services▶P22

Cultivating
Intellectual
Knowledge
Educational institutions are the frontline of thecreation and cultivation of intellectual knowledge.
DNP is engaged in a variety of businesses that beneﬁt
educational institutions. For example, the Maruzen
CHI Group offers a range of academic publications,and Kyoiku Shuppan Co., Ltd. publishes textbooks
and instructional materials.
In today’s classroom, there is a trend towardapplication of ICT (Information and Communications
Technology) to promote collaborative education inwhich children help each other learn, and study
together. DNP is collaborating actively with schools,
and offers educational solutions that maximize themerits of both paper and digital media.

• Digital Pen Learning Support System▶P23-24DNP Group CSR Report 201218

TransmittingIntellectual
Knowledge"You’re sure to ﬁnd the book you’re looking for""Books you want, in the format you prefer"
Encounter intellectual knowledge and enrich your life

Here’s what’s special about honto!
One-stop shopping for e-books and printed books
E-books and printed books are displayed on the same page, so consumers canchoose the version they prefer. Searches can be carried out laterally for titles in e-bookand printed formats as desired.
Start of common hybrid point services

Hybrid Bookstore "honto"

Contributing to the Development of Society through Our Business

Consumers accumulate points as they purchase e-books and printed books on the
honto site. The honto Point Card service was also made available in retail bookstores*
beginning in late June 2012, allowing consumers to accumulate points at those storesas well. Points can be applied to purchases from each platform.

My Bookshelf promotes social networking
through books

Hybrid e-bookshelf automatically registers books purchased

2Dfacto was jointly established by DNP,
http://honto.jp/(honto bookstore is available inJapanese only)

NTT DoCoMo, and Maruzen CHI Holdings
to operate "honto," an online e-bookretailer. On May 17, 2012, honto wasInformation about e-books and printed books purchased is automatically registeredand displayed on the user’s e-bookshelf**.
The e-bookshelf can do more than just register information. Consumers can also posta variety of information, such as book reviews and ratings.
Japan’s most extensive "hybrid combined rankings"
honto’s site displays combined top 100 rankings for all of its offerings. Separate rankings are also available by format, by retail store, and by genre. Users can track changes in rankings data over 24-hour, one-week, and one-month intervals.

* Centering on ﬂagship stores in major metropolitan areas.
** For printed books, bibliographic information
only (title, etc.) will be registered/displayed.
This applies only to books purchased at retailbookstores using the honto Point Card.

reestablished as a hybrid bookstore.
honto is a total platform that integrates
online sales of printed books, sales ofBookstore

e-books, and retail bookstore functions,

Onlinebookstore

Printedbooks

e-bookstore

e-books

Retailbookstore

Retailbookstoreservicesand can now offer printed books andComputere-books through a single website.
honto is a new approach to theConsumers
Mobilephone

circulation of knowledge that keeps
expanding the possibilities of human
honto website

Tabletcomputerencounters with books.

honto is a total book service platform
accessible with multiple devices

Books you want in the format you prefer

Meeting diverse expectations for books

The Internet is unparalleled as a medium for searching

Consumers today have a choice of three ways to obtainbooks. They can purchase them at brick-and-mortar
bookstores. They can order printed books from online
booksellers. Finally, they can obtain the titles they want inelectronic form from e-book sellers. DNP can offer books
through any of these sales formats. By leveraging ourstrengths as a group, we can now offer books throughhonto, our new platform.
honto was launched in 2010 as an e-book provider
with Japan’s largest selection of comics, literature andnonﬁction, business-related, and other publications in awide range of genres. Now, by merging and linking theservices of online and retail bookstores, we can serve
the diverse needs of book lovers even better than before.

for information, and online bookstores are an ideal sales
channel for consumers who know what they are looking
for. e-books offer the convenience of anywhere/anytime
reading on a variety of devices. Furthermore, with the
propagation of smartphones and tablet devices, themarket for these publications is expanding. On the other
hand, real world bookstores offer consumers a chance
to encounter books. In these stores, consumers can
not only search for books they have heard of; they canexperience new encounters with books with the adviceof sales personnel. Bookstores are part of people’s lives;
they are places that stimulate intellectual curiosity with

Leveraging the merits of the Internet andelectronics to pursue the potential of
hybrid services
Takehiko Ogi
President, 2Dfacto, Inc.

each visit. DNP’s goal is to create an environment where
consumers can read the books they want, in the formats
they prefer, in accordance with their reading style, byintegrating all book formats and sales channels. DNP
is expanding the possibilities of human encounters with

Maruzen Marunouchi Main StoreMaruzen’s Book Museum concept positions books as "art through words." Thestore offers visitors a space to explore impressions and feelings through encounters with books.

honto is managed by
2Dfacto, Inc., a joint
venture between DNP, NTT
DoCoMo, and Maruzen
CHI Holdings. On a percapita basis, Japan has
roughly four times as many bookstores as the US;
one can’t talk about reading without talking aboutbricks-and-mortar bookstores.
Online booksellers cannot simply be substituted
for retail bookstores, and e-books cannot replace theirpaper counterparts. By offering a hybrid approachthat leverages the merits of each sales environment
and publication format, we are striving to create aneven richer book experience for consumers.

books.

19

DNP Group CSR Report 201220

TransmittingIntellectual
Knowledge

A typeface that has been transmitting
intellectual knowledge for a century
throughout changing eras

Generating
Intellectual
Knowledge

Generating intellectual knowledge ofconsumer preferences from brainwave data
Neuromarketing Support Services
Contributing to the Development of Society through Our Business

Neuromarketing aims to uncover hidden consumer psychology, preferences, and causes of be-

DNP Original Typeface "Shueitai"

havior through neuroscience, using brainwave measurement of reactions to various stimuli. These
results are then used to create more effective marketing. Neuromarketing is being applied to

Kojien Dictionary:always in Shueitai

advertisement and product development, and offers promise in educational applications as well.

Masaaki Tanaka
Editorial Committee, Editorial Department,
Iwanami Shoten, Publishers

Shuei
MaruGoShuei
Shuei
KakuGoKakuGoGin (Silver) Kin (Gold)

Shuei Shuei-Mincho
Sho-goMinchoIn the fall of 2012, DNP’s new Shueitai typeface family—Shuei KakuGo Kin (Gold),
Shuei KakuGo Gin (Silver), and Shuei MaruGo—will be available from digital typeface
provider Morisawa Inc.
To promote even wider use of Shueitai, DNP has licensed the results of its project
to update Shueitai for the 21st century to Morisawa Inc. for sale to designers andconsumers. Now anyone will be able to use these fonts on their computers and otherdevices.

A commitment to text, the foundation of
information transmission

Since its ﬁrst edition appeared in 1955, the Kojien Japanese dictionary has always been set in Shueitai. From letterpress typesetting to computerized typesetting, each
new edition has used updated typesetting technology. Likeother dictionaries, Kojien has its own unique typesetting
rules, and requires a huge number of text elements thatare not normally included in standard typesetting systems.
With each edition, DNP has implemented these variant text
elements in the system, and the accumulated fruits of thiseffort have become a major asset.
What I like most about Shueitai is its well-balanced lookwhen Chinese and kana characters are mixed in both vertical and horizontal typesetting, and even smaller point sizes
are clear and easy to read. We have never even consideredusing a different typeface. As
the resolution of e-book readers approaches that of printed
type, the need for Shueitai’squality should only increase.

DNP’s predecessor company, Shueisha, was not only
engaged in book printing, it also worked to create thetypefaces used in printing. In 1912 it completed thedevelopment of a full range of original Ming typefaces,from #0 to #8*, which it christened Shueitai. For morethan a hundred years, it has continued to serve as amainstream typeface in books and magazines and is
widely recognized for its superior readability.
Over the last century, methods of information
distribution have changed enormously, but text has only
gained in importance as a means of sharing thoughts
with others. Since the dawn of the e-book in 1995 down
to today, Shueitai has continued to respond to digitaland networked environments to display information that
previously had been conveyed in book form.
DNP will continue to offer an evolving Shueitai as amainstay tool to support rich information transmission
not only for readers of printed books, but also for people

Shueitai’s inherent beauty
will create value
Masaaki Hagino
President, Voyager Japan, Inc.,
Electronic Publishers*

Work in electronic publishing led to along involvement with issues of text
readability and appearance. My encounter with Shueitai
came with the e-publication of 100 major titles from Shinchosha Publishing. The challenge was to ﬁnd a typeface
that could bridge the worlds of digital and printed books
and display text correctly. As time went on, the answer became clear, because the universal principles of communication never change. The answer was Shueitai.
Still, the search for better typefaces will never end.
The challenge will be to retain an appealing appearance.
Shueitai’s inherent beauty is sure to create value as timegoes on, because there
will always be people wholove text itself.

accessing information in a wide variety of environments
via a range of channels, including TV and movie subtitles,
video games, computers, and mobile phones.
* Cast metal letterpress sizes

21

Chiisana media no hitsuyo("The Need for Small Media"),by Kaitaro Tsuno (.bookversion)*Beginning with an e-book format (.book) and viewer (T-Time) developed in-company by
Voyager Japan, Inc., the company is engaged in planning, development, publishing, andsales of multimedia software featuring text, image, video, and audio content.

Brainwave measurement plus eye tracking(using display)
Where the subject looks and their level of interest can bemeasured for TV commercials, websites, and other material.
Brainwave plus page measurement
The length of time the subject looks at a given page in a
catalog or pamphlet, as well as their level of interest, canbe measured.

“New” attention and interest factors
stimulate consumer interest
Until recently, written surveys and group interviews were used
as methods to evaluate consumer psychology, including theirreal attitudes and underlying desires. However, factors suchas vanity, pride, a 'follow-the-others' mentality, and moral
conformity can cause subjects to consciously control their
responses, and this limits the ability of conventional methods
to accurately proﬁle consumer psychology.
DNP’s neuromarketing support service utilizes headbandtype brainwave monitors to measure consumer brainwaves
while they view various types of reading material such asmagazines, etc. Viewing time data for each page is alsocollected, and by correlating these results with brainwave
data, it is possible to get a more nuanced view of consumer
interest and attention. One might discover, for example, thatthe subject was more interested in a particular page than shereported, or that a page she spent a long time looking at was
not very interesting for her.
Discovering hidden consumer interest and attention
factors is a representative example of "generating intellectual
knowledge." The knowledge generated through these efforts
will form the basis for new products and services creating
new social value.

Brainwave measurement plus eye tracking(using glasses-type device)
By combining brainwave measurement with eye tracking
that uses reﬂected infrared light to monitor facial, eyeball,and corneal movement, what the subject looks at, for how
long, and at what level of interest can be determined.

Promoting R&D for promising applications inother ﬁelds, including education
Minako Miyama
General Manager, IT Development Division,Communication & Information Operations, DNP

DNP’s experience in the creationof catalogs and other marketing
materials led us to develop a method
for investigating consumer interestsand preferences using neuroscience.
Take, for example, the act of viewing
a painting. We discovered that if thesubject studies the work ahead of the viewing session, theirbrainwaves indicate higher levels of interest than those ofsomeone with no previous knowledge of the work. If thesubject experiences the painting process ﬁrsthand, ourexperiments show that interest levels rise even higher.
These methods show promise for further applicationin such ﬁelds as education. At the same time, large areasof neuroscience remain unexplored and are still at the R&D
stage. Going forward, DNP will collaborate with researchbodies and enterprises to generate even more knowledge.

DNP Group CSR Report 201222

Cultivating
Intellectual
Knowledge

The digital pen and printing: two criticaltechnologies for knowledge cultivation

Combining "paper" and "digital" to cultivate
intellectual knowledge and enrich the future

Yoshinori Higashibara
Professor, Faculty of Education, Shinshu University
Member, MEXT Promotion Council for Learning Innovation

The use of Information and Communications Technology (ICT) in the classroom is spreadinginternationally. While the introduction of such ICT tools as electronic blackboards and tablet
computers is progressing, DNP is applying its knowledge accumulated over many years to offer
solutions that make paper notebooks interactive through the use of digital technology.

ICT in education is spreading aroundthe world

Bringing the advantages of digital into
the classroom

Synergy between paper-and-pen anddigitalThe use of ICT in the classroom to enhance student
learning is accelerating internationally. Nations like theUK, South Korea, and Singapore are pushing forwardwith plans that include the introduction of electronic
blackboards, construction of local area networks inschools, and the use of digital textbooks.
Japan’s Ministry of Internal Affairs and Communications (MIC), and Ministry of Education, Culture, Sports,
Science and Technology (MEXT) are promoting policies
to enhance students’ information literacy. These policies have a goal of introducing electronic blackboards,
tablet devices, and digital textbooks in all classrooms by
FY2020, and so far, trial programs including the Future
School Promotion Project and Learning Innovation Project and the more recent effort by MEXT to assess student
information literacy have been conducted. In the private
sector, one consultative council includes more than 100
education-related companies, and numerous organizations and enterprises are offering opinions or conducting
ﬁeld testing for the introduction of ICT in the classroom.
It is hoped that the introduction of ICT will revolutionize
school lessons by helping propagate individualized aswell as cooperative learning, in which students teacheach other and study together.

However, the use of ICT in education brings with it a number ofchallenges, including varying levels of instructor skill in operating
equipment and school infrastructure; the ability of schools tomanage these new tools; and the need to devise new models
for instruction. It will take time for this technology to achieve
wide use in classrooms, while the culture of "pen-and-paper"
teaching is still very much alive. It is precisely because DNP has
had a deep association with paper from its very beginnings andbeen involved in the digitalization of information from the earliest
stages that we decided to offer a tool that would respond tothese frontline challenges and enable teachers and students toenjoy the beneﬁts ICT has to offer, without greatly changing thebasic paradigm of pen-and-paper teaching.
DNP had already been involved in the development of digitalpens to enhance operating efﬁciency in the private sector, andthis enabled us to develop our Digital Pen Learning Support
System. The system simultaneously displays on an electronic
blackboard or other devices whatever students write with theirdigital pens on special sheets of paper, where their contributions
can then be compared and discussed. Field testing began in
FY2007, and in FY2011 tests were carried out at approximately
30 schools, from which repeated system improvements basedon teacher evaluation and feedback were made. Currently thetechnology is in use in tens of schools, with some municipalities
consideringg wholesale adoption.
p

ICT brings many beneﬁts to the classroom. Examples include
exercises in rapid location of information on the Internet andaudiovisual learning through digital textbooks, as well as drills
in which students input answers to a computer, then are
immediately scored and can reattempt questions they failed
to answer correctly.
At the same time, a considerable amount of ﬁeld research
indicates that some lessons are best conducted withpaper and pen. These include lesson units in Japaneseand social studies where students must be able to takea position and express it in writing, and units in which thesteps in mathematical problem-solving must be laid out. In
minor subjects as well, for example art, one new approach
discovered through our ﬁeld research is that students’learning is improved if the process of composing a picture
is made visible.
The fusion of ICT on the one hand and paper-and-pen on
the other is extremely effective where the goal is developmentof students’ ability to think and express themselves, since
they can write what they have in their mind on paper and theirwriting can be immediately displayed and compared alongwith their thought processes. There are also schools in which
students view materials on tablet computers and express theirthoughts with digital pens and paper.

The future for schools incorporating
digital technologies

How are digital pens used in the classroom?
Making lesson content easier to understand and assimilate
Draw or write something in a notebook, and a tiny camera in the pen tip
senses its location. The information is sent wirelessly to a computer for
display on the electronic blackboard. Teachers who have experienced
the technology say that unlike with conventional lessons, the digital technology provides more exercise in thinking for students since simply by
writing in their notebooks during the lesson, students can see and compare their answers with those of other students at a glance, and thesystem can make the writing (i.e., thinking) process visible.
Digital Pen Learning Support System website
http://www.dnp.co.jp/opennote/index.html

23

Class at Aoyama
Elementary School,Tokyo

As students write, their work appearson the electronic blackboard.
Because students are using pen andpaper, they can write large amountsof small-size text.

Testing to date has brought praise for the digital pen
learning system. Since the system does not requirecomplicated equipment, ICT can be introduced into theteaching process nearly seamlessly and very effectively.
DNP hopes to serve as a bridge toward the digitalizationof the classroom through further enhancement of
the beneﬁts of this system via the development ofworksheet instructional materials and testing using digital
educational materials on tablet computers.

Contributing to the Development of Society through Our Business

Digital Pen Learning Support System

Gutenberg’s letterpress technology
brought revolutions in both scienceand religion through the transmission
and sharing of information. The digitalpen makes possible the transmission
and sharing of thinking processes
through the collation and recreationof the process of expression, and is gradually bringing a
revolution in education.
The impact on a person of the recreation of the process
of expression is far greater than the impact of expression
itself. Making thinking processes visible and shared helps
stimulate thinking that might have been stalled within one’s
mind and enables one to understand how one’s own wayof thinking differs from that of others. This fosters respect
for others as well as self-afﬁrmation. Furthermore, it opens
up a world of creation through collaboration with others.
The digital pen, like printing technology, is a criticaltechnology in the cultivation of knowledge. Its contribution
to society will be tremendous.

The digital pen promotes two-way communicationand is changing the quality of lessons
Setsuko Sone
Principal, Aoyama Elementary School
Member, MIC Study Group for the Future School Promotion ProjectBecause use of the digital pen during
lessons presumes showing others
your work, the children learn to write
carefully and legibly. And, because
there is more opportunity for them toexpress themselves, they inﬂuenceeach other in a positive way and theirexpressive ability improves rapidly.
In addition, teachers allocate more time for the children
to think, and because lessons become more interactive,
the children’s attitudes become much more positive.
The digital pen can truly be regarded as a tool that ischanging the quality of lessons.

Using digital pens and tablet devices to facilitate
mutual sharing and understanding of thinking
Nobuo Tanba
Teacher, Yanabe Elementary School(Panasonic Education Foundation Designated School for 2012)

We are using digital pens and tablet
devices for collaborative learning. The
tablets are used for photographs andvideo, while the digital pen is an output
device for the children’s thoughts.
Combining the use of thesedevices is proving more effective infacilitating the exchange of thoughts than using the devices
separately.
For children with limited ability to speak out, or with
difﬁculty putting their thoughts on paper, the digital pen has
a kind of "mind reset" effect. In addition, we are seeing
students make more of an effort to visualize and organize
their thoughts so they can present them within groups or
before the entire class.

DNP Group CSR Report 201224

Development of a System for Business Continuity

Updating the BCP for our information system,a prerequisite for uninterrupted operations,and strengthening our IT foundation

Reinforcing Our Capacity to Respond to
and Recover from Disaster by Learningfrom the March 2011 Earthquake

Tadashi Henmi

Basic DNP Group Disaster Prevention Regulations and are continuously maintaining
and reinforcing them.

Update and Reinforcement

Creating ﬁrm structures and measuresand reinforcing employee understanding
and mental preparedness

Strengthening disaster preparedness
from a management standpoint
DNP regards the formulation of disaster preparedness
plans and the promotion of preparedness measures
as of the utmost importance. We have established aCentral Disaster Prevention Council, which enhancesand promotes basic disaster preparedness for the Group
as a whole; Operations and Group Company Disaster
Prevention Councils that promote concrete disaster
preparedness based on the characteristics of eachdivision; and Regional Disaster Prevention Councils that
promote coordinated disaster preparedness in eachregion.
In addition, the Tohoku-Paciﬁc Ocean Earthquake
has redoubled our awareness of the importance of
our Business Continuity Plan (BCP). We are promoting
disaster preparedness and maintenance of appropriate
daily awareness of disaster risk, with the highest priority
given to ensuring human safety at the time of a disasterand enhancing DNP’s disaster response and recovery
capacity.
Central Disaster Prevention Council

2010

Basic DNP Group Disaster Prevention Regulations
DNP Group Disaster Prevention Basic PlanDNP Group Major Earthquake Response Plan

March 11: Tohoku-Paciﬁc Ocean Earthquake
Central Disaster Prevention
Headquarters Activities

2011

Disaster response/recovery measures
Disaster response challenges in light ofexperience from the earthquake

After the Tohoku-Paciﬁc Ocean Earthquake, DNP
updated its level of preparedness in such areas as
ensuring employee safety, securing access to electric
power, and assuring business continuity. As a result, wemade the following efforts over the course of 2011.

2012

25

IT Network Redundancy

AfterupgradeBeforeupgradeDirect impact on 97 major
worksites if Relay Point A is
disabled

Bolstered disaster emergency structure• Reviewed measures to establish disaster response headquarters• Updated action plans for each disaster response headquarters• Adopted satellite phones and other emergency communication
methods and established a safety conﬁrmation system

Reinforced disaster response measures

Tokyo 23 wards

51 worksites• Inspection and reinforcement of buildings/facilities• Stockpiling of helmets, food, drinking water, and other emergency
supplies• Preparation of emergency power supplies, promotion of emergency
earthquake notiﬁcation systems, etc.

Kanto Region

17 worksites

Area around
Kanto Region

7 worksites

Asia
America
Europe22 worksites

Enhanced orientation and training• Distribution of Disaster Preparedness Handbook for workplaces andresidences• Companywide safety conﬁrmation training (Emergency Call system)• Disaster drills for each workplace• Disaster-preparedness seminars (participated in by approx. 650
employees)

Operations and Group Company Disaster Prevention Councils

Disaster-preparedness seminars

Companywide
emergency
contact training

Metropolitan Area Epicentral Earthquake
and Corporate Disaster Prevention

Promotion of disaster preparedness structure and management

Establishment of disaster response headquartersr 5PIPLV1BDJàD0DFBO&BSUIRVBLFEBNBHF

Earthquake  BOBMZTJTBOENJUJHBUJPONFBTVSFT
Response r $PNQSFIFOTJWFSFFWBMVBUJPOPGEJTBTUFSSJTL
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Council JNQMFNFOUBUJPOr #$1VQEBUF

Distribution of Disaster Preparedness Handbook
Strengthened in-house disaster
response measures in accordance with
updated damage projections andresponse measures promulgated bynational and local governing bodies

The NTT Group carries out business activities
based on its mission to provide disaster-resistant,secure communications networks.
When the unexpected happens, businesses
must ensure that they have a secure means of
information transmission.
Immediately after the earthquake, the DNP Group carried out arisk analysis and built a reliable, highly available, robust IT network.
Witnessing how DNP was able to develop and implement their
network upgrade in less than two months—an unprecedented
accomplishment—I was struck by their strong commitment tofulﬁlling their social responsibilities.
Going forward, the NTT Group will continue to fully back the
DNP Group as it works to ensure business continuity.

Development of a System for Business Continuity

In 2011, Tokyo Electric Power implemented
planned blackouts in response to the effects of the
Tohoku-Paciﬁc Ocean Earthquake on power
generating capacity. This new development
prompted us to update our information system
BCP. Previously, we had conducted our business
impact analyses on a system unit basis andwere considering the use of a variety of backup power generation
methods. However, the planned blackouts made it clear that our BCP
had to be based on a larger framework (networks and data centers).
Information systems are a prerequisite for corporate operations,and new demands are being placed on these systems all the time,
including the accelerating use of IT to revolutionize ways of working,as well as the use of strategic data to support management decision
making.
In response, we are constantly striving to reinforce our IT base toprovide stable system service.

products and services to our customers at the time of a disaster, we have establishedImproved disaster response
structure

Yoshihiro Saito
General Manager, Sales Dept. I,
Fourth Sales Division,
NTT Communications Corporation

General Manager, Information Systems Division, DNP

To protect employees and their families and ensure uninterrupted, secure provision of

Structure and Basic Philosophy

Providing a secure communications
network to support business continuity

VOICE

Disaster-preparedness seminars
Appropriate Preparedness Measures Based on
the Tohoku-Pacific Ocean Earthquake

Integrated
disastertraining

Disaster Management
2011 Edition
Disaster Work Plans
Business Continuity
Plan (BCP)
Implementation of
preparedness measures
based on BCP
FY2011 preparedness
self-assessment
2012 Edition
Disaster Work Plans
Business Continuity
Plan (BCP)

Strengthened
building and facilities
inspection

Companywide
safety conﬁrmation
training

Stockpiling ofequipment andsupplies

Comprehensive
disaster training

Regularlifesaving
workshopA

After the Tohoku-Paciﬁc Ocean Earthquake in 2011, thedamage to Tokyo Electric Power’s nuclear power stationin Fukushima reduced generation capacity and resulted ina series of planned blackouts. The DNP Group’s network
system, which links approximately 230 locations, wasalso signiﬁcantly impacted. As an emergency response,
we obtained power generators and were able to restore
service. However, the system was down intermittently
for four days, and our internal network was also partiallyunusable, which greatly impaired our business continuity.
After this ﬁrst disruption, we had very little time toprepare for the planned blackouts expected to begin in
July. During the month of April, we carried out a review ofA
B

Redundant connections for 97
major worksites
If Relay Point A is disabled, thesystem automatically hands off
to Relay Point B

Tokyo 23 wards

51 worksites

Kanto Region

17 worksites

Area around
Kanto Region

7 worksites

Asia
America
Europe22 worksites

our communications infrastructure and decided to createa redundant system with switchable network backbones
in two locations. Network switchover rehearsals took
place on holidays and late at night, and by the end ofMay, we had constructed a redundant system so that if
power was interrupted at Relay Point A, serving 97 major
locations, we could immediately switch the network overto Relay Point B. Based on our BCP, we are now pushingahead to create a completely reliable system that willprotect the network system throughout the company,
rather than protecting speciﬁc systems or locations.

DNP Group CSR Report 201226

Compliance with the Law and Social Ethics

Making continuous effort with sensitivity
to social change a part of our culture

Continuous review and enhancementof activities is the key toadvanced corporate ethics

VOICE

Anti-Organized Crime Working GroupOne Akiyama

DNP

Continuous Operational Reviews
Ensure Sustained Ethical Conductof each employee, acting with integrity in accordance with high ethical standards.
To ensure that our corporate ethics are ﬁrmly established throughout the entire DNPGroup, we promote the establishment of the proper structures and corporate culture,and make structured efforts in accordance with our operating environment.

Sustainability

DNP’s response to organized crime has
always kept pace with social trends.
However, in recent years, we haveintroduced more concrete policies in
response to such trends (see timeline
below).
When DNP began implementing supplier agreements inJanuary 2008, it invested considerable time in ﬁelding inquiries
concerning the content of the agreements and DNP’s stance.
However, currently such inquiries have become much lessfrequent, reﬂecting DNP’s response based on its prediction of
emerging social trends in this area. Going forward, to ensure that
we have absolutely no contact with organized crime, it will be
important for each employee to practice vigilance and adhere
strictly to corporate and social ethics.

The DNP Group’s high level of corporate
ethics activities is supported by their efforts toestablish and inculcate those values sustainably,autonomously, and positively, and enhance theeffectiveness and efﬁciency of those activities
and their validity in changing social contexts by continuously
reviewing them. DNP’s continuous review of their activities toensure integrity in everything they do is highly commendable.
Going forward, we hope to see DNP progress from an arm’slength relationship with society in which gaining trust is the goal,
toward an organic unity between society and enterprise andbetween employee and enterprise, and where they can practicean even higher level of corporate ethics.

Compliance with the Law and Social Ethics

DNP believes that the trust of society is only possible through the accumulated actions

President, Inegrex Inc.

Major objectives and activities, FY2011

Thoroughgoing eﬀort is the key toinculcating corporate ethics

Strengthening of Anti-Organized Crime Measures
Risk management update1● Enhanced Compliance Assessment System• Commercial Transactions section added• Biodiversity subsection added to Environment section

Training content and methods update
Corporate Ethics Promotion Policy

2● Introduction of case-study training● Addition of discussion and presentation activities totraining

3. Positive efforts to maintain ethics as a natural
prerequisite to gaining the trust of society

Japan Securities Dealers Association released "Report on Exclusion ofOrganized Crime from Securities Trading and Securities Markets"
Securities Exchanges
Japanese Bankers Association
Revised listing procedures to eliminate May● Council for Eliminating Racketeering establishedinvolvement of organized crime● Consideration on criminal organization-related database sharing

July

3

For overseas Group companies

4

To raise the effectiveness of its ongoing efforts, DNP
establishes objectives for each ﬁscal year. Our Corporate
Ethics Committee, which oversees the Group’s corporate
ethics programs, sets annual objectives from a risk
management standpoint based on a summary of activity
policies and challenges as well as principle corporate
ethics trends. Each specialized subcommittee carries out
activities on this basis and provides the Committee withperiodic reports. This enables us to carry out activities inaccordance with social change.

27

5● Carried out surveys at overseas Group companies● Proﬁled possible overseas risks and status of
response capabilities

Strengthened internal control management● Carried out training for awareness needed for overall
structure functioning

Re-publicized internal reporting system(consultation, whistleblowing)

6● Re-publicized the existence of the Group Open Door
Room via the “DNP web” intranet● Evaluated needs and method to re-publicize the Supplier
Hotline, which in its second year is still not well known

Response to social change

7

2007

● Carried out prioritized training on DNP thinking andpolicies● Explained risk management activities

Establishing Major Objectives

Making our eﬀorts eﬀective
in a changing society

enacts theTokyo Metropolitan
Ordinance for
Eliminating theOrganized Crime
GroupsFor new Group companies● Strengthened cooperation toward elimination of any
associations with organized crime in conformancewith legal ordinances

DNP Group response

4. Continuous review of activities from a standpoint ofeffectiveness, efficiency, and social change

October Tokyo Metropolis(Financial industry response)

1. Strict adherence to the PDCA management cycle
2. Self-directed efforts based on a strong desire toprotect the organization

Working Committee of the Ministerial Meeting Concerning Measures Against
Crime released "Report on Policies for Corporations Against Organized Crime"

June

Events in society

Based on its Corporate Ethics Promotion Policy, DNP
conducts year-round programs to establish and inculcate
its Corporate Ethics.

2008

2009

December

June

Established internal anti-organized crime structure(addition of related provisions to DNP Group Codeof Conduct, creation of anti-organized crimeagreements, establishment of a system to ensure
employee awareness and thorough adherence, etc.)

Began creation of internal structure
in consultation with specialists,
including police and lawyers

DNP is committed to identifying and responding promptly
to social change. From an early stage, we have also been
actively involved in anti-organized crime efforts.
In October 2011, in response to the enactment of theTokyo Metropolitan Ordinance for Eliminating the Organized Crime Groups, and in line with the emphasis given in
our Corporate Ethics to responding to social changes, we
extended the scope of our management anti-organizedcrime activities from suppliers only to also include custom-

2010

March

Inclusion in Corporate
Governance Report

January● Companywide brieﬁngs● Began implementing new
supplier agreements

2011

2012

October

Incorporated stipulationsof the Tokyo Metropolitan
Ordinance for Eliminating
the Organized Crime
Groups in existing
agreements and began
implementing withcustomers

ers. We now stipulate that we have the right to terminate
business relationships with customers and suppliers who
prove to be part of criminal organizations or are associated directly or indirectly with organized crime.
Going forward, DNP will promote the establishment ofsystems to proactively prevent any dealings with organized crime, including gathering information needed toprotect the enterprise on an ongoing basis.

DNP Group CSR Report 201228

Fruits of activities taken from a customer
and consumer standpoint

Building a Convenient and AbundantSociety through Secure Information
Management

Tomoyuki Natsume

It goes without saying that we are responsible for protecting personal information and the corporate
information assets of customers acquired in the conduct of our business.
DNP regards information security and the protection of personal information as one of our mostimportant management objectives, and to this end we are strengthening internal structures andeducating our employees.

A memento for parents on the birth oftheir child: Personalized Picture Book

VOICE

Maki Takahashi

Manager, Sales Division I, Information Communication Operations, DNP

Benesse Corporation offers a wide variety of
products and services. DNP and Benesse worked
closely together on all aspects of development for
their Personalized Picture Book, beginning withthe design of the overall production process. This
project also provided the opportunity for us todevelop a highly secure new service.
Our work with Benesse has been an opportunity to witness
the joyful reactions of customers on receiving their books, andthis has encouraged us to consider extensions of this concept.
We strive to continue to meet Benesse’s expectations toward
us and keep the needs of consumers ﬁrmly in view. Going forward,
we hope to leverage DNP’s range of solutions to provide evenbetter service in collaboration with our client companies.

Information Communication Operations Activities

Regional Marketing Dept., Benesse Corporation

Based on Benesse’s corporate philosophy, “Livewell,” we provide a wide variety of services tomeet people’s desire for self-improvement.
Beginning in winter 2010, we introduced the
Personalized Picture Book as a celebratory
item for families on the important occasion ofchildbirth.
Each Personalized Picture Book is a custom order, withthe baby’s name, date of birth, and birth facility integrated withpictures and text. The baby is the main character of the book.
We hope that these books will also help parents and children
communicate.
Stable, large-scale production of these picture books would
not have been possible without DNP Group’s on-demand printing
technology, backed by strong security measures and meticulous
information management. We intend to explore new projects
utilizing this printing technology in the future.

Ensuring Information Security

Ensuring Information Security

Secure control system enables
productive use of information
In Information Communication Operations, DNP isprincipally engaged in printing of such commercial
materials as posters and catalogs. Because this businessdivision handles a wide variety of corporate customer
information, it strives to implement and maintain acomprehensive information asset protection structureand stringent management practices. In addition,
we leverage the expertise and technology we haveaccumulated through those efforts to offer corporate
customers information security-related solutions.

Delivering Joy and Peace of Mind in Collaboration
with Client Companies
ID gate (ID card veriﬁcation)

Flapper gate at plant entrance

Surveillance cameras(monitoring plant status)

Education/training

Information Communication Operations information security policy
Organizational
measures

Guarding against new threats and risks

Risk analysis for information asset protection conforming to internal regulations

Daily PDCA activities

Self-directed evaluation and correction of compliance with each security ruleLong-term PDCA activities

Submit inspection reports to operations general managers and review for improvement

Heightening employee awareness by
setting high standard goals

100% score required for information security comprehension test

Minimizing unnecessary accessauthorization; intrusion prevention

Installation of ID gates for areas containing sensitive information

Discouraging illegal activity

Surveillance cameras installed at key locations with regular monitoring

Preventing unauthorized carryingout of printed materials
Preventing information leaks
Protecting important information

29

WeeklyOrder

Data receipt
and transfer

Data input

Plant A

Dedicated line

Personalized
Picture Book

Insert additional
enclosures
Dispatch

Internal
dedicated line

Secure courier
DeliveryDataprocessing
On-demand
printing

Plant B

Binding➡

Preventing computer theft

BenesseConsumers

Plant with stringent
security procedures forhandling a range of
personal information➡

Data encryption* On-demand printing: Digital technology for printing items asordered, even in small volumest.PSOJOHDPNNVOJDBUJPOt/FUXPSLMFBSOJOH

From order through delivery➡

t3FTUSJDUJPOTPODPNQVUFSEBUBPVUQVUt"OUJWJSVTNFBTVSFTBOEQSFWFOUJPOPGmMFTIBSJOHTPGUXBSFJOTUBMMBUJPOOperation-speciﬁc information security
educationknowledge of each other’s information security structures,and we have a highly secure, dedicated data transmission
line in place. We cooperate with Benesse in their annual
audits of personal information handling procedures at all of
our locations holding information received from them, andcomply promptly with any requests for improvement thatthe audit may generate.
DNP will continue to offer consumers the assurance
that their personal information is secure and protected, as
well as beneﬁcial and useful information security systems incollaboration with our client companies.

➡

Physical andtechnical policies

The One-of-a-Kind Personalized Picture Book

The Personalized Picture Book is a service
developed by Benesse and DNP that embodies
the joy accompanying a baby’s birth. This is aone-of-a-kind book that has the baby’s name,date of birth, and birth facility printed on the cover.
This book tells the story of the baby from his or
her time in the mother’s womb until birth and thebaby’s name appears frequently in the text as well.
This service was made possible by DNP’ssecure personal information handling system andon-demand printing* technology. We distributeorder forms in gift packages given to mothersfrom birth facilities when they are discharged togo home. Reception has been extremely positive,
and annual orders top 230,000 volumes.

Creating a foundation for maintenance and Long-term promotion of 5S activities with full participation
enhancement of our security structure

Personnel
policies

When Information Communication Operations receives
a work order, we use our Personal Information HandlingConﬁrmation Form to conﬁrm in advance the nature of theclient information we will be handling, how it will be received,
whether all the information is actually necessary, and otherconﬁrmations from transport of data to its processing,return, and required method of destruction. Based on thisinformation, we adopt the optimal approach.
Benesse Corporation and DNP collaborate in a wide
range of areas, including educational materials, packaging,individual-order, on-demand textbook printing, and direct
mail. Our companies work together on each project with a

Enclosure
All production information
controlled by Benesse/
DNP shared QR code

DNP

DNP Group CSR Report 201230

Promoting Social Responsibility through the Supply Chain

Enhancing CSR procurement by
sharing values with partners

VOICE

The goal: Better CSR understanding andstrengthened competitiveness throughinformation sharing using new systems

Mikio Yoshihara

Toshio Hasumi

General Manager, Purchasing Division, DNP

Creating Enhanced Value throughOngoing TAIWA with Partners
enhanced value by strictly complying with applicable laws and engaging in socially beneﬁcial
activities, including but not limited to environmental preservation.
Consequently, DNP undertakes to maintain ongoing TAIWA to share its values with suppliers,

DNP not only carries out surveys to assess
compliance with our CSR Procurement Criteria,
but we also provide feedback to suppliers
regarding their performance and provide themwith other types of useful information. In recent
years, very rapid response to social changes and social needs
has become increasingly important, and it is not always easy for
DNP and its suppliers to share all useful information.
To address this issue we are utilizing our CSR survey system
to make faster and more detailed information sharing possible.
Going forward, DNP and its suppliers will continue to sharevalues and further enhance their CSR procurement activities.

including communicating its CSR vision clearly.

Response to Social Change

Our company is pleased to do business with
DNP in a range of ﬁelds that includes printing
inks and adhesives.
Since our founding, we have participated in
DNP’s CSR Procurement Criteria Compliance
Survey, and we continue to receive feedback via the Evaluation
Sheet.
DNP has created a new system through which sharing of
useful information promises to promote better understanding of
CSR and enhance the competitive capabilities of both parties, inaddition to ensuring compliance with procurement criteria.
Through the strengthening of our own supply chain, we areworking to ensure secure provision of printing materials and thecreation of new value.

Promoting Social Responsibility through the Supply Chain

DNP aim is for the company and its entire supply chain to respond to changes in society and create

President, DIC Graphics Corporation

Promoting TAIWA

Self-directed updating of activities inaccordance with changes in society’s
expectations

Ongoing CSR promotion—
because it’s win-win

As the activities of enterprises become increasingly
globalized, society’s expectations of enterprises
with respect to the problems society faces are not
only intensifying, but are becoming more diverse. In
response, DNP revised its CSR Procurement Criteria in
March 2011. In November of the same year, we issued
an English-language version of the criteria to suppliers of
DNP Indonesia.
In addition, our Basic Business Agreement, which sets
the basic terms on which we do business with suppliers,
was revised in November 2011. The agreement now
includes a section calling for understanding andcompliance with DNP’s CSR Procurement Criteria,
and makes it clear that DNP and its suppliers will work
together to promote CSR.

DNP aims for a high level of value creation, as well ascompliance with our procurement criteria. As such,
we regard TAIWA with all of our suppliers as very
important. We believe that a shared understanding of thesigniﬁcance of CSR creates a win-win situation for DNP
and its suppliers and enhances the value of our entire
supply chain. Consequently, since we established the
DNP Group CSR Procurement Criteria in March 2006,
we have been conducting a series of brieﬁngs to reach
all of our work subcontractors.
We also conduct periodic surveys to assess suppliercompliance with our CSR criteria. Our analysis of
the survey results is fed back to each supplier via an
Evaluation Sheet. We also help promote supplier CSR
activities with on-site assessments and interviews.

Enhancing TAIWA with DNP’s Proprietary Systems
In 2011, to further extend the sharing of information
between DNP and its suppliers, we updated our CSR
Procurement Criteria Compliance Survey system to enable
not only the solicitation and gathering of survey information,
but also two-way exchange of useful information. We arealso undertaking to update our survey by adding BCPrelated content in light of experience gained after the
Tohoku-Paciﬁc Ocean Earthquake, when the printing
industry was signiﬁcantly affected (including procurement
delays for printing materials such as paper, inks, and ﬁlm,

as well as production and distribution disruptions causedby planned blackouts and fuel shortages). This experiencedemonstrated the importance of having a BCP that takes
into account the entire supply chain.
For DNP and its suppliers to continue providing society
with enhanced value, it is very important for both parties tocommunicate closely and cultivate a shared sense of value.
Consequently, we will continue to deepen TAIWA across ourentire supply chain.

Building a procurement network using surveys
Assessment of compliance status
with CSR Procurement Criteria
SurveyResponse

Equipment/materials suppliers

Evaluation Sheet feedback

DNP Group

Information notiﬁcation
Information notiﬁcation
Sharing of useful information

CSR Procurement Criteria Compliance Survey
Evaluation Sheet

31

Brieﬁng for work subcontractors

DNP Group CSR Report 2012

32

DNP IQ Check

Proper Disclosure of Information

Well-informed employees make the best
DNP ambassadors

Internal Information Ofﬁce

VOICE

Appropriate, timely information is highly
useful in sales work

Kayoko Kanao

Enriching Communication with
Regular Opportunities for TAIWA
DNP strives to engage in active TAIWA with a broad range of stakeholders to deepen their understandingof our business and activities, and to accurately ascertain how we are perceived by stakeholders.

Annual Plan

Deepening internal and external
TAIWA, and incorporating diverse
opinion in company activities

Each year, DNP deﬁnes an important theme in response
to internal and external developments, draws up anannual plan, and carries out information management
activities. The theme for 2011 was “Get to Know
DNP,” and we worked to reach our employees withinformation about the company. The goal of this effort
was to encourage employees to focus their interest andattention toward DNP, improve their ability to provide
accurate information about DNP to external audiences,and enhance their motivation. Going forward, DNP will
work to create opportunities and tools that encourage
active TAIWA, and will disseminate information withattention to important themes.

August September October November December January February MarchNews releases

Releases: 130/year

IR meetings

216/year (principally directly after earnings announcements)

Investor seminars, etc.
Corporate brochure

Updated as required● Release

Media content

Annual Report
Regularpublications CSR ReportCompany newsletterNews gatherings: 170/year

4/year (including technical seminars, factory tours, etc. in relation to high-proﬁle topics)

Shareholder communications

33

July

Earnings
announcement

General Meetingof Shareholders
June

Earnings
announcement

Earnings
announcement
May

Earnings
announcement

New employee
welcoming
ceremony
April● Release● Release"Get to Know DNP" Information for Employees“Get to Know DNP” was selected as the importantinternal information management activity for 2011,
with the goal of strengthening communication
with employees. A wide range of information was
disseminated to employees in Japan and overseas
to help them enjoy learning more about the company
they work for.
This online test of DNPrelated knowledge wascreated in response
to suggestions from
employees.
The test provided
immediate scoring anddetailed explanations,and proved a good
way to deepen employee understanding of the company.
The test included 30 multiple-choice questions divided
into several topic areas, including Management, Principles& Systems; History; and Products & Services. The test
was available for about one month, during which 23,023
employees participated in taking it. A total of 1,091
employees scored 100%.
DNP IQ Check

Corporate Brand Ofﬁce established● Release● Release● Release● Release

Website (Japanese/English)
Intranet

I recently had the opportunity to bid on work
for a music contents distribution company.
The work involved Augmented Reality image
processing (superimposing virtual computergenerated images on video footage) of popular
vocal groups. DNP’s Internal Information Ofﬁce introduced me
to DNP Media Art, which was critical in helping DNP win thiscompetitive bid against 20 other companies.
Previously, one had to try to get this information fromcoworkers or guess at which part of the Group might be able tohandle the work. Now, with their help, it’s easy to put your ﬁnger
on the right part of the Group for a given service. As someone
responsible for sales, I’m really thankful for this. Leveraging thepower of the entire DNP Group is the key to sales success, andbeing able to access the information you need when you need itis enormously helpful.

DNP on This Date…

This service uses
the intranet andworkplace
digitalsignage to convey
information on pastsigniﬁcant eventsin DNP history
that took place on
the same date. Content consists of easily-grasped
photographs and short text that can be absorbed evenduring short breaks.
DNP News Channel

This channel delivers
video news via DNP’s
intranet and website.
During FY2011, thechannel presented aseries of programs
proﬁling DNP overseas
companies.
Workplaces without access to the intranet are provided
with content on DVD to ensure that it reaches all employees.

● Release● Release● Release

The “DNP IQ Check” was a test created to help
employees to assess their knowledge of thecompany. The goal was to get a perfect score,
but there was no time limit. If I got stuck, groping
for the answer took me to DNP sites I’d neverseen or materials I hadn’t looked at recently, such as the Group
Code of Conduct. It was good for me as an employee, and thetest helped spur my interest in the company.
No matter which department we belong to, for our externalaudience we are all DNP employees.
Fortunately DNP has a full range of tools for disseminating
information, including our in-house newsletter as well as thewebsites of each division and Group company. If each employee
utilizes these tools skillfully to enhance their DNP-related interestand knowledge, they will then be able to convey lots of information
about DNP’s positive attributes to an external audience.

Issuing a wide range of information
based on annual communication goals

DNP strives to expand the range of opportunities forcommunication with stakeholders and others throughmedia contact, showroom and event planning andmanagement, IR activities, and other means. We
also promote the use of new communications tools
compatible with social change and diversiﬁcation.
Moreover, as we fulﬁll our corporate disclosure
responsibilities through appropriate release of information,
we gather information on stakeholder opinions anddesires and make use of this information in evolving
our corporate culture and improving the products andservices we provide.

Annual information
management activities(FY2011)

Sales Division 5, IPS Operations, DNP

Proper Disclosure of Information

Building trust with stakeholders is essential for DNP’s continued development.

Active Communication

Toshiya Kitani

Fukuyama Sales Ofﬁce, DNP Nishi Nippon

Content updates as required (for timely and appropriate disclosure)Video news

Video news programs, principally on important themes

Other

Timely internal and external release of CSR- and brand-related news, "DNP on This Date…" and other content

We have worked to unify our corporate image byintroducing consistency to our corporate logo,
fundamental brand design format, and brandguidelines.

Internal Information Ofﬁce established

The Ofﬁce was established as a point of contact
for employees to share information regarding DNP
products and services and deepen their cooperation.

DNP Group CSR Report 201234

Realization of a ‘Universal Society’

Making learning materials accessible tochildren everywhere

VOICE

Digital textbooks makefor more effective lessons

Katsuyuki Tano

Reﬂecting Social Needs inEvery Aspect of Design
every aspect of daily life and support abundant, convenient lifestyles.
To realize the promise of a more abundant society for as many people as possible, DNP offers
products and services incorporating universal design principles.

We deﬁne secure, comfortable lifestyles
in terms of maximum inclusivenessSocieties that recognize diversity must create environments
where individuals with diverse characteristics and needs
can live securely and comfortably. This makes universal
design (UD) of increasing importance.
DNP emphasizes the implementation of UD in our
Code of Conduct, and our Five Principles of Universal
Design sum up our policy in this regard. To realize asociety where everyone can live in security and comfort
regardless of such factors as health, age, and disability
status, DNP is working to develop and enhance its
products and services from a user point of view.

Working with users to create socially
responsive universal design

When we began working to incorporate color
UD into our textbooks, we were committed tomaking the content of every textbook available
to every child. The digital textbook is one wayof realizing DNP’s UD principles “Make it clear” and “Make it
intuitive” for textbooks.
Our digital textbooks for instructors, issued in 2011, allow
touch-driven enlargement of images and diagrams. Text can beenlarged and underlined for emphasis. Our goal is to make it eveneasier to both teach and learn by offering textbooks that combine
the advantages of paper and digital formats.

"We shall work on the development and diffusion of easy-to-use functional products, services, and systems so that everyone can live insafety and comfort, and thus contribute to the realization of a ‘universal society’ in which all kinds of people can lead pleasant lives." (DNP
Code of Conduct, 2007)

DNP Group Universal Design Declaration
We established our Universal
Design Declaration andFive Principles of Universal
Design as expressions of
our commitment to thedevelopment of easily used,secure, convenient products
and services. (2008)

1. Make it clear
Five Principles
of Universal
Design2. Make it intuitive
3. Make it ﬂexible
4. Make it safe
5. Make it easy

Meeting society's
expectations

The UD Perspective Is Needed for Digital
Textbooks
In recent years, education has been changing under
the inﬂuence of advances in information technology andincreasing international competition. At the same time,education’s importance is only increasing. The current
environment includes internationally standardized
scholastic testing, and children’s scholastic ability is being
compared on a global scale. As a measure to improve
scholastic performance in this context, the effective useof ICT in teaching is becoming widespread.
DNP Group company Kyoiku Shuppan leverages its
expertise in the creation of digital learning materials. In
April 2011, it issued its Digital Textbooks for Instructors
for major primary school subjects, and in April 2012
began to offer them for middle schools. Digital pages

Digital Textbooks for Instructors issued by Kyoiku Shuppan
Primary school

DNP’s UD is aimed at making its products and services
accessible to as many different people as possible byprioritizing safety and ease of use. Moreover, to establish
a foundation for UD that meets social needs, we consider
the people who are likely to use our products andservices, examine individual and social needs as well as
the structures and approaches we can use to meet themfrom a variety of angles, and act on that information.
By working continuously to ensure that no one is
excluded from using our products and services andthat we are meeting society’s expectations, we arestrengthening the foundations of our UD activities andcreating new value.

35

ICT is being utilized increasingly in the classroom.
A typical example would be imaging textbooks
and written notes with a visual presenter andshowing them on a large display or projector.
This allows the instructor to focus on speciﬁc points or proceduresin an immediately accessible way that engages student attention.
This is an example of UD applied to classroom lessons.
With digital textbooks, embedded photos and diagrams caneasily be made larger, which further facilitates concentration.
Photos that can be blown up with no loss of resolution are sure
to increase student interest and attention. Easily-used digitallearning materials that thoroughly incorporate a UD perspective
will support the development of lessons that will be easy for any
child to understand, and we are working together to develop suchmaterials.

DNP Group Code of Conduct Realization of a Universal Society

DNP’s Universal Design Scope

Value Creation

Associate Professor, Faculty of Human Development,
Toyama University

Realization of a ‘Universal Society’

DNP applies printing technology to a wide range of areas. Our products and services have spread toWorking Policy

Jun Takahashi

General Manager, Digital Business Development Section,
General Management Division, Kyoiku Shuppan Co., Ltd.

Socialenvironment

People withspecial needs

Structures

Psychology

The generalpublicServices

Five senses

Society's
vulnerable
members

Products

Important
needs

Users

Deliverymodes

No one left behind

1st 2nd 3rd 4th 5th 6th
●
●
●
●
●
Japanese ●
●
●
●
●
●
Arithmetic ●●●●●Science̶●●Social studies
̶
Geography
̶History̶Civics̶
English̶

can be magniﬁed and text can be made audible, bothof which are UD attributes for information provision.
The company is also involved in the development ofdigital learning materials for MEXT’s Learning Innovation
Project, and these materials are being used in primaryschools participating in MIC’s Future School Promotion
Project. Digital learning materials are designed to be easy
for a wide range of children to use. For example, blackon-white text can be changed to white-on-black.
Future digital textbooks and learning materials will
incorporate an even greater degree of UD, and promise
to become tools for information access appropriate toeach child’s abilities and unique capacities.

Basic functions of "Easy to use and see" digital textbooks

Middle school
1st 2nd 3rd
●

●

●

̶
̶
̶
●
●
●
●

●

●

"Easy to use and see" is a prerequisite for all digitaltextbooks from Kyoiku Shuppan. These materials
and their features can be used not only with digital
blackboards, but with computer/projector setups
and digital TV monitors. The tools are designed to be
intuitive and easy to use.
In addition, we have employed color universal
design to ensure that the materials can be used byindividuals with limited color perception.

● Zoom-in display for ease of understanding
Easy enlargement of photos, ﬁgures, and text

● Large amount of image
and video content
Videos can be played back justby touching the screen, making
it possible for digital textbooks
to vividly convey almost any
activity or operation.

DNP Group CSR Report 201236

Ensuring the Safety and Quality of Our Products and Services

VOICE

Looking back on the “Capri-Sun battery”

Pursuing better softpacks with DNP to meetmarket requirements

Akira Yoshino

Safety and Product Quality is No. 1 at
Every Stage of Manufacturingview of products and services, where and how they will be used, what is expected of them, and what
constitutes safety in each context.
The entire DNP Group coordinates to deliver products and services that satisfy consumers and help
solve challenges facing society.

Energy-related Materials Development

The Panasonic Group manufactures andmarkets a wide range of batteries for every
need. The lithium ion battery has represented
the industry’s cutting edge, contributing tolighter weight and extended operating times formobile devices. In recent years, there are new
demands for thinner and lighter laptops andslimmer mobile phones with larger screens. To respond to thesedemands, batteries now have softpack external packaging, andwe are seeing a huge increase in consumer demand for thesebatteries. For more than 15 years, we have worked closely with
DNP in softpack development, with product stability, reliability,and elimination of environmentally harmful constituents as our top
priority. The global battery market will continue to expand, and welook forward to DNP’s further development of new technology,enhanced reliability, and lower cost for softpacks that meetmarket requirements.

I think it was back in 1983. The lithium ion battery
was in the prototype stage, and producing test
batteries was still a challenge. Around this time,
the fruit juice drink Capri-Sun, which came inlaminated ﬁlm pouches, was making a splashwith consumers. We bought a huge numberof these pouches and recycled the packaging
material to create batteries that we used for demonstrations in thecompany and elsewhere. We called them “Capri-Sun batteries.”
Looking back, I think this was around the time that a revolution
in materials technology took place, which allowed laminatedﬁlm to ﬁnally be used in fresh food packaging. Now a second
revolution is under way. Laminated ﬁlm for batteries is even morechallenging than ﬁlm for food packaging, but it is now in practicaluse and transforming the battery industry. We’re very thankful
for DNP’s pioneering promotion of technical development andcommercialization in this area.

Product Quality Enhancement

Highly functional, quality products
manufactured with advanced processing
technology in well-controlled environments
DNP’s Energy Systems Operations develops materials forsolar cells, fuel cells, and lithium ion batteries, which require
weather resistance, durability, and moisture resistance,
using expertise accumulated over many years, principally
converting technology* that designs new combinationsof materials. In April 2011, we established a new plantin Kitakyushu, Fukuoka Prefecture, to manufacture
softpacks, which are external packaging for lithium ion
batteries, as well as back sheets and sealing material forsolar cells. At this new plant, we succeeded in realizing aneven higher-standard clean manufacturing environment
than in previous plants, and at the manufacturing stage,
impurities are reduced, which enables us to provide
products with a higher degree of reliability.
* Converting technology: Processing technology that produces highly functional
materials by selecting and combining the best materials
for a given application.

Further enhancing ﬁnished productquality through attention to treatment
processes and conditions of use
In the ﬁeld of energy-related materials development, by
combining material production technologies that maximize
material functionality, and processing technologies,
including lamination technology, coating technology,
and membrane extrusion technology, that draw out the
maximum capabilities of each individual material andrealize optimum combinations of multiple materials, weare striving further to enhance the required functionalityof our materials. For example, these technologies haveenabled us to create solar cell materials that are highly
insulating and moisture resistant. Such materials arecontributing to enhancing the weatherability of solar cells.
Our lithium ion battery softpacks also offer the best
possible terms for customers to achieve a high degreeof safety during their molding, sealing, and inspection
processes for lithium ion batteries. This is possible thanks
to our being ﬁrst to develop softpacks, and our longrecord of achievements reached working in collaboration
with client companies.
DNP solar cell materials offer excellent ﬂexibility
over a wide range of temperatures
Sealing material

Structure of asolar cell module

Sunlight

This sheet material protects the solar cellfrom the external environment, including
rain, wind, snow, and temperature changes.

Aluminum frame
Surface glass
Solar cell

Back sheet
Distribution
cables, etc.

37

Director, Global Procurement Center
Energy Company, Sanyo Electric Co., Ltd.
Energy Company of Panasonic Group

Ensuring the Safety and Quality of Our Products and Services

DNP’s quality and safety assurance and improvement efforts are guided by a consumer-standpoint

Hiroshige Kajii

General Manager, Battery Materials Business Development Dept.,
Asahi Kasei E-materials Corp.,
Fellow, Asahi Kasei Corp.

This highly insulating sheet material
protects the solar cell, power distribution
cables, and other system elements fromthe external environment, including rain,
wind, snow, and temperature changes.

Achieving Safety and Quality in Collaboration
with Client Companies
Terminal
tabs

Penetration oflithium ion batteries

Construction
equipment

Communications
equipment
Transport
equipment
Mobiledevices

Softpack

Lithium ion batteries are currently used in a wide varietyof electronics and electric equipment including mobile
phones and laptops, and thus feature in many aspectsof daily life. Batteries generally have metal packaging, but
DNP has developed multilayer-ﬁlm softpacks for lithium
ion batteries. Our softpacks are ﬂexible, easily moldedand shaped, tough, light, and thin. These features haveenabled their use to spread to smartphones and otherslim mobile devices, and they are now seeing use inmotive batteries for such transport applications as electriccars, where high levels of safety are required. Future use inan even wider range of applications is expected.
DNP partnered with customers to develop softpacks
around the same time that lithium ion battery development
was beginning. Precisely because DNP possesses a
detailed understanding of the conditions of use for ourcustomers’ products and insights into usability, we
can test softpack durability right from the design stage
in simulated conditions of use. Furthermore, we areconstantly improving our products in response to thechallenges faced by customers as well as their requests.
This enables us to offer the highest level of quality on an
ongoing basis.

RenewableenergyIndustrial
equipment

Offering safe and secure products
Designstage

Durability testing
simulating conditions ofuse for customer products
We simulate the conditions of use andtest the ease of use of the softpack forthe customer's product, and subject it tomore severe conditions than it is likely to
encounter. This testing is factored into
our speciﬁcations.

Manufacturing
stage

Double-checking for
impurities
After manufacturing, the ﬁlm undergoes
imaging inspection and is thenre-inspected for impurities and surface
defects after being cut for the customer.

Utilization
stage

Ensuring optimal productuse conditions andproviding customer service
We make our expertise in softpack
molding available to customers andprovide support if problems occur. We
also provide customized support forindividual customer needs.

DNP Group CSR Report 201238

To learn more about DNP’s efforts andsystems to leverage employee diversity, visit:

Respect for Human Dignity and Diversity

http://www.dnp.co.jp/csr/theme08.html

As a member of DNP, a world-leading
corporation, I always remember to be bold

Aiming for personal growth by applying
business ideas gained from interacting withpeople of different backgrounds

VOICE

Belinda Lopresti
DNP IMS America

Leveraging Diversity to Create
New Value and Culture
Fostering a corporate culture that encourages DNP Group members to realize their personal potential
and work with enthusiasm promotes the creation of new value and sustainable development for theentire Group.

Information Media Supplies Operations

Since its entry into the US market in 1994, Information
Media Supplies Operations has continued to expand its
share in Europe and the US in its two principal businessareas of photographic and barcode media. Today
it oversees seven overseas Group companies andapproximately a third of its employees are non-Japanese.
In the Japanese market as well, approximately 40% of
the Group’s employees came from other companies as
the result of acquisitions. Diversity is therefore an integral
part of its daily operations.
DNP adheres to an equitable personnel system thatencourages this diverse pool of employees to actualize
their individual potential and stimulate each other tocreate synergy, regardless of their background. For
example, years-of-service calculations include time spent
with previous employers. We also maintain an active
program of employee transfers to encourage personnel
interaction and provide employees with opportunities to
put their careers to work in new areas of business.

Cultivating diversity of outlook andforeign language ability to better serve
the market
While business-to-business is the main area of activity for
DNP, Information Media Supplies Operations provides
consumer solutions including automated portrait photobooths and photo printing terminals. Success in thisbusiness demands sensitivity to market needs. To foster
this sensitivity, the division sends employees to sales
agents and retail outlets as part of their training andwhere they can hear directly from the market.
Since the division’s products hold a high share in
their overseas markets, an accurate understanding ofoverseas market requirements is also essential. In addition
to foreign language training for employees at the Grouplevel, the division also mounts its own language training
efforts. This ensures rapid, efﬁcient communication
between business units in different countries. The Groupalso encourages the internationalization of its employees
through such means as periodic TOEIC testing for all
employees, with established score targets.
➡ Information Media Supplies Operations

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Sales Manufacturing

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39

When we began to extend our brand, theaccumulated experience and know-how of
employees from Konica Minolta was a huge
help in creating a new business model for DNP. Employees
who joined us from global pioneer Sony played a major role instreamlining and accelerating our business procedures. The
lessons we have learned from employees coming from othercompanies have strengthened our client relationships and area major asset.
Interaction between people of diverse backgrounds isessential if we are to grow the business rapidly in a constantly
changing global market. I hope to actively absorb new ideas
from diversity and hone my capacity for creating new value.

Cultivating and Leveraging Diversity

Creating a work climate where diverse
corporate and national cultures
integrate naturally

Manufacturing

A great company is often deﬁned by theirproducts, sales, proﬁtability, customers andbrand strength. True. But none of this is achieved
without integrity, teamwork, respect for thechallenges and unlimited passion to do a greatjob. One of the best examples of this culture is the “never give up”
attitude of DNP employees. It has been a year of challenges but
our strength of character, work ethic and dedication to fulﬁlling ourcustomers’ needs has helped shape our organization and shown
us the path to take for our future.
DNP is on the verge of something truly great. We are ready to
reinvent ourselves, to build toward unrivaled customer excellencewith a passion for our work and a celebration of our successes. We
will be an industry leader even in the face of turbulent times. I want
to look back at DNP as one of the great companies in the worldand someday say, I was part of that. It is a prevailing attitude andone that will take DNP from a good company to a global leader.

Respect for Human Dignity and Diversity

The DNP Group regards the uniqueness of each employee as a precious resource.

Kiyoshi Hamao
Manager, Sales Division 2,
Information Media Supplies Operations, DNP

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Generating Synergy from Interaction between
Employees with Diverse Backgrounds
New value creation
Bolstering our planning, development and cost competitivenessfor products that meet consumer needs

Technical
expertise(Information Media Supplies
Group functions)

Synergy
Retail sales channel PM KM

Intellectual
property

System integrator PM KM SO
Printer manufacturer SO
Print media manufacturer SO
Previous employer

PM

Business
promotion
expertise

Personnel exchange and education
Active personnel exchange,
training at sales agents and retail outlets, etc.

DN

Pixel Magic Imaging

KM

Konica Minolta Group

Information Media Supplies Operations formerly focusedon supplying printing media to printer manufacturers.
Then in 2004, the division invested in US company Pixel
Magic Imaging, and in 2006 acquired the Konica Minolta
Group’s photo paper business. These moves brought
numerous new sales and development personnel into
the Group, creating an environment for absorbing a wide
range of know-how relating to digital photo printing, fromthe manufacture of numerous varieties of print media toprinting system development and sales.
Furthermore, in April 2011 the Group acquired Sony’s
printer business. This brought personnel to DNP who

SO

Sony

DN

DNP

had been involved with printer development at Sony andmade it possible for DNP to develop its own printersand printer-related business. Employees with diverse
backgrounds are now learning from and inspiring eachother. The synergy from this interaction is promoting thecreation of new value.
But intellectual property and technical know-how
are not the only things to be gained from this humaninteraction. This interaction also brought know-how
indispensible for the conduct of business, including cost
control methods, thus enabling DNP to bring to bear
numerous new perspectives.

DNP Group CSR Report 201240

To learn more about DNP’s efforts to create
comfortable worksites that boost the Group’s
vitality, visit:

Realization of a Safe and Vibrant Workplace

http://www.dnp.co.jp/csr/theme09.html

Developing employee self-conﬁdence
and capacity for action throughexpertise and skills transfer

Innovating for ﬂexible response tochanges in the business environment

VOICE

Yuki Nakanishi

Yukio Kohara

Fostering Employee Motivation and Job
Satisfaction for Continued Value Creation
If companies are to provide new value to society, they must establish environments where employees
can work safely and comfortably with energy, enthusiasm, and a sense of reward.
DNP aims to create lively workplaces to enhance job satisfaction for every employee.

Workstyle Innovation

Sharing pride and a sense of solidarity
through TAIWA

In order to continuously create new value, we consider

To enhance employee job satisfaction, it is important forit necessary for employees to practice a self-directed

them to take pride in their work and feel a connection

working approach that is efﬁcient and productive.

with coworkers, while trusting management andWith this in mind, DNP developed and promoted

understanding the direction the company is taking. With

the Productive Time Resource Project Stage 1 Plan

this in mind, we are making efforts to motivate employees

for FY2009-FY2011, based on a theme of workstylethrough TAIWA with managers, focusing on employee

innovation. We are promoting activities that focus on

activity, and creating opportunities for employees totime resource creation, targeting value-added work,

participate and be stimulated, with the aim of enhancing

while creating time resources for every employee tojob satisfaction through effective use of time resources.

utilize effectively. As part of this effort, we successfully

We will continue working to ensure that our efforts are

reduced average group-wide overtime by more thaneffective and fulﬁlling on a Group-wide basis, as well as

35% relative to the base year of FY2008.

for each Operations and Group company. In particular,

At the same time, we consider it necessary to enhance

we consider communication focusing on TAIWA to beeach employee’s motivation and job satisfaction by

the basis for enhancing job satisfaction. DNP targets

promoting activities focusing on the effective use of time

workplaces where employees in a variety of roles canresources by further implementing workstyle innovation.

maximize their potential in a stimulating atmosphere.

Continuous development andprovision of new value
Workstyle innovation
Time resources

Stage 1 creation stage
FY2009FY2010Effective utilization of time

Stage 2 resources stage (enhancing
job satisfaction)

FY2011FY2012FY2013Otherlabormeasures

FY2014

Safe and comfortable worksites (safety ﬁrst)

41

D.N.K. is a printing machine manufacturer.
This profession requires specialized expertise.
If a printing machine is assembled by referring
to diagrams alone, it is not enough to ensurethat printed materials will be streaming out
in no time. My aim is to transfer this expertise to younger
employees. Accordingly, we have launched assembly seminars
for manufacturing division employees to learn the basic
skills required. I hope these seminars will give participants achance to learn new skills and help them conﬁrm their existingunderstanding, as well as answering any questions they may
have regarding the work. I will continue striving to teach as muchas I can to help each participant gain conﬁdence and develop
their capacity for action.

D.N.K., the DNP Technology Development Center,and the DNP Technical Engineering Division
are boldly promoting a three-party cooperative
structure as they continue to innovate the
manufacturing system. We are bolstering ourefforts to differentiate all processes from planning, development,
design/manufacture, operation, and direction through to maintenancewhile working to enhance competitiveness. We hold residentialtraining at our center in Hakone on a quarterly basis to strengthen
collaboration among the three parties and combine vectors. In thestimulating atmosphere of a hot spring spa, participants engage inheart-to-heart discussions into the early hours. To achieve an ideal
result, various measures and ideas from personnel development
to strategic facility development are discussed, and the parties are
responsible for promptly implementing these proposals. The role of
D.N.K. as a manufacturing unit in particular is increasingly regarded
as important by the manufacturing sites.

Workstyle Innovation

From time resource creation to eﬀective
utilization of time resourcesand enhancing job satisfaction

DNP'slabor measures

Deputy General Manager,
Technical Engineering Division, DNP

Realization of a Safe and Vibrant Workplace

A company is comprised of people.

Manager, Production Division 1,
Product Management Division, D.N.K.

Other
labor
measures

All Employees Striving to Realize Ideal Goals
Handing down of technical tradition
primarily from masters

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Hakoneresidential training

AssemblyseminarIchigaya training

Coaching by mechanicalengineering specialists

EnhancingoverallstrengthThree-party cooperative strategy
Practical technologies
and methods
Safety educationPEseminar*Technical guidance by university
professors focusing on the development
themes of the Design Division, Control
Division, and Manufacturing Division

Cutting-edge technologies

DesignseminarDesign technologies
and methods

Enhancing specialized expertise
D.N.K. basic
training

D.N.K. new
employeetraining

Training Division
technical
seminarRaising overall capabilities

Overall structure of personnel development at D.N.K. * PE seminar: Plant engineering seminar

D.N.K. performs all operations, including the development,
design, manufacturing, and maintenance of production
systems for various printing machine coaters. In 2009,
we took the opportunity afforded by the joint discussion
camp held by the DNP Technology Development Center,
DNP Technical Engineering Division, and D.N.K. with theaim of establishing an innovative manufacture system.
All 358 employees assembled to discuss D.N.K.’s ideal
goals and how they could be realized. The employees
expressed wide-ranging views on such topics as how
to strengthen the organization and its training systems.
To create worksites where people can work actively,
enthusiastically and happily, we have brought theseviews to management. In order to embody the themes
proposed by many—making all D.N.K. employees self-

reliant, creating activated worksites, and personnel
development—we have organized monthly D.N.K. basic
training since 2011. During training sessions, three to
ﬁve designated employees work with general managers
and managers, who play the roles of lecturers to prepare
lecture materials and are involved in running the session.
Accordingly, this training session means that everythingfrom preparation to operation becomes a training context.
The fact that this scheme was the product of discussion
by all employees helps reinforce their commitment andjob satisfaction. Together with professional training, which
was similarly established, the training helps restructure
employee techniques and awareness, improves basic
skills, and enhances the work climate.

DNP Group CSR Report 201242

The DNP Group’s social contribution activities are based on ﬁve focused themes

Social Contribution as a Good Corporate Citizen
Environmental
conservation

Arts andcultureHumanitarianaid

Supporting the Development of Graphic
Design by Oﬀering “Familiar Experiences”

DNP hopes to increase the number of individuals capable of respecting each other’s

25 years have passed since ggg ﬁrst opened. It
remains the only gallery in Japan to introduce
works of key graphic designers from Japan andoverseas. I hope ggg will continue to evolve its
activities over its next quarter century.

The ggg gallery and its global view of activities as alocus, the contribution made by friendly competition
and mutual inspiration among designers throughprinting technologies, and the virtue and signiﬁcanceof a working approach that expects nothing in return– I consider all of these to be hope for the future.

Hiroshi Kashiwagi
Design Critic

Keiko Hirano
Designer, Executive Director of the Communication Design Laboratory

Happy 25th anniversary to ggg – the great
greater greatest gallery!
It was 10 years ago when I was ﬁrst invitedfor my ‘Oriental Passion Western Harmony’exhibition, I love to work with ggg again . . .
and again . . . and again!

ggg has really given art students a boost
through its work with THE SIX. I look forward tofurther opportunities to cultivate a diversiﬁed
sense of values.

Alan Chan
Designer (China)

sense of values through exposure to arts and culture.
We believe the experience of mutual involvement will facilitate a culture of TAIWA andSince my days as an art student, ggg has been
my dream venue. On countless occasions, I
would ﬁght my classmates to get ggg posters
placed on the college bulletin board. I sincerely
hope ggg continues to shine as a center for art.

help spawn new solutions as well as values.

Akiko Nakaya
P&I Solution Group, DNP Hokkaido

What Is ggg?

Ren Suzuki
College of Art and Design, Musashino Art University

ggg has been a signiﬁcant platform for the
documentation and celebration of leading designers
from throughout the world. Its international focus
makes it one of the most important venues for the
display of graphic design, typography and illustration.
The only thing better is if ggg were in every major
design city in the world.
Steven Heller
Design Critic (USA)

ggg’s 25th Anniversary

Printing × Graphic design:
A chance to experience the enhanced
quality of collaboration
Graphic design as developed through posters and books
is inextricably linked to printing. As printing technology
has evolved to match design ideas, designer creativity
has expanded even further. Consequently, products
created through interchange between cutting-edge
sensitivities and technologies have signiﬁcant worth asartworks.
To create an opportunity to experience the brilliance ofgraphic design through examples of outstanding work,
DNP launched “ggg” (Ginza Graphic Gallery)—Japan’sﬁrst specialized graphic design gallery—in Ginza,
Tokyo in 1986. DNP aims to nurture individuals withdeep sensitivity, capable of accepting diverse cultures,by providing them with venues and opportunities toencounter creative and wide-ranging work and artists
from a range of nationalities and eras.

What we have cherished over 25 years
and what we want to hand down for
the next 25 years
ggg marked its 25th anniversary in 2011. Over thisperiod, a total of more than 300 exhibitions have been
held, generally once a month, and over a million people
have visited the gallery.
ggg has been developing various activities under thethemes of “Familiar experiences in graphic design” and“Preserving and passing on contemporary sensitivity.” Its
events have included themed exhibitions with tremendous
impact that also offer the chance to experience the extreme
attention to detail of real creations; “Gallery Talk” (alsofeaturing web-casting), presenting the unique views ofartists; and “ggg Books” (hard copy and digital), a series of
100 anthologies featuring the works of graphic designers
bursting with unique talent. In addition to these activities,
in future we also hope to collect and preserve creations
in which the artist’s era and sensitivities are accumulated
as cultural assets, to provide renewed opportunities toexperience such creations and hand them down to the next
generation.

Congratulations, ggg!
ggg has twice organized personal exhibitionsof Katsumi Asaba. Holding such personal
exhibitions at ggg gives artists the opportunity
to lay themselves bare and helps them see,discover, and recognize what they should do.
It is a signiﬁcant design launch pad.
Katsumi Asaba
10th Director of the Kuwasawa Design School

ggg. To graphic designers these three letters
say it all.
Ginza Graphic Gallery is the focal point
where art and design, quality and creativity
congregate.
Congratulations for the splendid years and all
the best for the future!
Kari Piippo
Designer (Finland)

Ikko Tanaka Graphic Art,
“Botanical Garden” (1990)

Shueitai 100 (2011)

Rodchenko: Innovator of Russian
Avant-Garde (2012)

Has it already been 25 years or has it only
been 25 years? Anyway, what a fruitful quarter
century!
ggg is an iconic playground for global designers
and an oasis where the latest contemporary
trends ﬂow like fresh air.
Shoji Katagishi
Deputy Curator, Museum of Modern Art, Toyama

Thanks to ggg’s nearby stimulus, we havebeen able to continue our activity as a graphic
design gallery in Ginza for such a long time.

Makiko Odaka
Creation Gallery G8,
Recruit Creative Center, Recruit Co. Ltd.

ggg has been my mecca and goal, as well asa venue that constantly reminds me how muchfurther I have to go.
My heart races with excitement, and thissensation urges me to continue designing.
I think this feeling will last forever. With thanks!

ggg is a dream for students, a source of
motivation for designers, and a beacon of
pride for DNP employees. I am truly gratefulfor this venue, which offers diversiﬁed value
through graphic design.

Kaoru Kasai
Art Director, Vice President, SUN-AD Company Limited

Masakazu Matsukawa
No. 2 Cross Media Planning Division, DNP Media Create

I would like to extend my congratulations on
ggg’s 25th anniversary. I also express my respect
for its wide-ranging contributions to culture andart, especially in the ﬁeld of graphic design. I
wish ggg the best in its future endeavors.

I feel grateful that you provide this uniquevenue for us to express ourselves. I lookforward to our continued association.

Naoko Hirai
Graphics Curator, Art Museum Department, Kawasaki City Museum

Gan Hosoya
Chairman, Tokyo Art Directors Club

ggg is a crucial venue for today’s designcommunity. How marvelously it has contributed
to stimulating designers!

Shigeo Fukuda Exhibition“ILLUSTRICK 412” (1986)

Social Contribution as a Good Corporate Citizen

Arts andcultureLocal
Next-generation
communities
childrearing

Kenjiro Sano
Art Director, President, MR_DESIGN, INC.

ggg is worldwide strongly acknowledged
and highly estimated with a strong focus on
mediation of visual communication on a top
level. With their exhibitions, publications andtheir generosity, the institution promotes graphic
design internationally in a remarkable way. I
cordially congratulate ggg on their big success.
Christian Brändle
Director, Museum für Gestaltung (Museum for Design), Zürich

Various posters let people experience the atmosphere of the era (left to right: designs by Shigeo Fukuda, Ikko Tanaka, Dainippon Type Organization, and Kijuro Yahagi)

43

DNP Group CSR Report 201244

Social Contribution as a Good Corporate Citizen

Local
communities

DNP has been providing various forms of support to help victims and reconstruct affected areas.

DNP Group Support for Victims Aﬀectedby the Tohoku-Paciﬁc Ocean Earthquake

In this section, we introduce the approaches taken by two Group companies.
For DNP to continue providing support, we shall strive to understand the current situation of the affectedareas and act to meet their needs.

DNP Digitalcom Efforts

DNP Facility Services is a general service company that works to create a valuable, safe, and productive business environment,
as well as a comfortable worksite and surrounding environment for the DNP Group and its stakeholders (mainly DNP Group
employees). The company is engaged in a wide range of businesses, including facilities administration and business support for over thirtyplants and ofﬁces in Japan, security, company cafeterias, company stores, travel agency, real-estate, resort and training facilities, ﬁtness
clubs, and environmental measurement.

With a vision of evolving to be an “ICT solution brand company” offering communication and commerce to everyone with“ICT and people” as the driving force, DNP Digitalcom provides solutions through digital media that facilitate and revitalize
communication among society, companies, and general users. In addition, since 2009, we have been conducting our own CSR activity,
which we have dubbed the Hachidori-no-Hitoshizuku (The Hummingbird and the Water Drop) Project, designed to contribute to society withtechnology and know-how we have developed through our business, and fostering employees who voluntarily participate in these activities.

DNP Facility Services organized the “Support for Tohoku Fair,”a project involving employees and local residents proactively
purchasing and consuming specialty products from Iwate,
Miyagi and Fukushima Prefectures, where damage was mostacute. We provided services in the form of support activity,
making it easy for Group employees to participate, anddonated 5% of sales to charity for those affected.

Fiscal 2011 marks the third year of DNP Digitalcom’s
Hachidori-no-Hitoshizuku Project* and our activities havebeen conducted under six themes. One of these themes
is disaster support, and since the earthquake we havestrived to do everything we could in this respect.
As the project name suggests, we hope to continue
providing as much support for reconstruction as possible.

Project
overview"Menus to support Tohoku" have been served at company cafeterias

The company offers a menu with seven meal options that maintain a highquality of ingredients, taste, and nutritional balance, featuring local products
and specialty dishes of the Tohoku region. Over the course of around half ayear, we provided more than 31,000 such meals at our 24 company cafeterias
nationwide. The project has been very well received by employees, and wewill continue to provide menus of local food from affected areas in 2012.

In March 2012, a donation of ¥775,573, equivalent to 5% ofsales from the “Support for Tohoku Fair” plus a matching
contribution of the same amount from DNP, for a total of¥1,551,146, was donated to the secretariat of the Gakko
Toshokan Genki Project (School Library Cheer-up Project). The
project donates new books sought by school libraries in Iwate,
Miyagi, and Fukushima Prefectures that were affected by theearthquake.
Since donated books will bepurchased locally, the effort
will also help local bookstores. Funds donated by
the DNP Group will be used
for book donations planned
for August 2012.

Social Contribution as a Good Corporate Citizen

DNP Facility Services Efforts
Project
overview

Support for establishing a high school website in Fukushima

After the earthquake and the nuclear power station accident,
evacuated students from one high school in the restricted zone
in Fukushima Prefecture had to be divided among four different
schools in the prefecture. In response to the desire of teachers tolink the students via website, DNP Digitalcom provided website
construction software and supporting materials.
Joint efforts with an IT business operator in the affected areas* Hachidori-no-Hitoshizuku Project: The Hummingbird and the Water Dropis a native folk tale from South America’s Andes region. It is said that whena forest ﬁre struck, a hummingbird brought water in its beak and placed asingle drop of water on the ﬁre. The other animals told the hummingbird that
it was wasting its time, but the hummingbird replied, “I am just doing what
I can.” We named our project Hachidori-no-Hitoshizuku because we would
like to take small steps and do what we can, like this hummingbird.

As part of our business-based support, we have been promoting
the creation of a system for utilizing human resources engaged inlocal IT business. In November 2011, we started a new endeavor incooperation with IT companies in affected areas while still seeking
for the right business category in which our mutual strength is bestleveraged. Looking to the fully-ﬂedged launch in 2012, we arestrengthening this cooperative structure.
Dispatching employee volunteers

VOICE

Moriyuki Morita
Director, School Library Association

Sales of regional Tohoku specialties at the company store

I would like to express my sincere gratitude

We ordered local specialties of Iwate, Miyagi, and Fukushima Prefectures forsale at a discount at the Ichigaya My Shop, a company store within the DNPGroup. We also gave employees nationwide an opportunity to purchasethe products at My Shops in local ofﬁces as well as by in-house mail. As
a result, a total of more than 2,000 items of 28 kinds of food, including
Morioka specialty noodles and confections from Miyagi, were sold.

to those from DNP Facility Services as wellas the DNP Group for their heartwarming
support for earthquake victims. The heartsof the children in devastated areas were affected even morethan adults could imagine, and they remain emotionallyscarred. Books can help open their minds and generate themotivation they need to live for tomorrow. Seeing children
avidly reading books at evacuation sites and school libraries
reminded me of the vast power of books. We appreciate
your continuous support bringing smiles to children.

With the voluntary efforts of DNP Group employees nationwide, we successfully
provided integrated support

VOICE

Yuu Yasui
Medical Doctor, GMJ President

With determination that we will not sit stillwhen there are people in need, we at GMJ(Good Medicine Japan) have been delivering
hot meals and helping encourage victims in evacuation centers,
mainly with the help of young adults from Tokyo. In December
2011, we held a Christmas party at a temporary shelter in
Kesennuma. Six participants from DNP Digitalcom provided
assistance as well as 30 sets of Santa Claus costumes for staff towear that day. There were warm singing voices and laughter in the
shelter, and I think the children were pleased and were enabled tomomentarily forget their situation. I hope we can continue suchsupport activities until the affected areas have recovered.

The goal: Continuous reconstruction support in accordance with changing demand
President*, DNP Digitalcom Ryota Chiba

Kenichi Kaya President, DNP Facility Services

We have been considering what we could do to contributeand how we could support earthquake victims through ourbusiness activities while participating in fund-raising activities asa member of the DNP Group in the aftermath of the earthquake.
We successfully held the “Support for Tohoku Fair,” and I am
delighted to have accomplished our integrated efforts, however
meager, within the DNP Group. We provided Group employeeswith opportunities to help support areas of the Tohoku region
close to our worksites through our food business, which
operates company cafeterias, as well as our service businessengaged in company store operations. Moreover, we also45

In December 2011, six employees participated as volunteers in a
Christmas party held at a temporary shelter, helped decorate theparty site, and provided costumes. Moreover, since April 2012,
we have been dispatching 3-4 employees at a time to serve as
volunteers on a regular basis. In April, our president joined thisscheme. There is an increasing need for manpower support in theaffected areas for debris removal and other restoration work, andwe are considering providing physical support on an ongoing basis.

decided to make our donation to the Gakko Toshokan Genki
Project which is related to DNP Group businesses, to produce
additional support for the next generation.
Through these efforts, employees of both service providers
and service receivers experienced the joy of participating in
the project, and I believe we achieved a satisfactory result. At
the same time, employees including myself felt we could domore within the company. I would like to use this experience toprovide continuous support, as well as consider the nature of
support measures when disaster strikes to ensure that we areready, based on lessons learned from the earthquake.

DNP Digitalcom aims to be a company where people
shine, providing services to help people shine, with our
Employees First management motto. People are our
key asset and our driving force. We also believe that all
employees should strive to contribute to and improvesociety through our business activities. This will makefor effective CSR.
Currently, nearly half of DNP Digitalcom’s employees
are participating in the Hachidori-no-Hitoshizuku
Project, and our goal is to get all employees involved.
To achieve this, we have been providing various

opportunities for our employees in response to theirbasic aspiration to contribute to society. In 2011, after
the earthquake struck, we were constantly wondering
what we could do right there and now. This has
also been one of the themes of our Hachidori-noHitoshizuku Project. The theme remains ongoing, andwe will strive to encourage as many employees as
possible to participate in this long-term support effort
to help those in the affected areas.

* Current Deputy General Manager, C&I Operation Division
DNP Group CSR Report 201246

Planning and Development Color Universal Design

The CUD mark is given to designs whosecolors have been chosen to be easily
perceptible by the majority of people. The
mark is issued by the Color Universal Design
Organization.

Certiﬁcations andSymbol Marks Earned
by This Report
Printing & Binding

Environmental Impact

Planning and Development Reliability

The J-SUS mark is given to environmental
reports and other documents deemedby a testing institute to have met certain
Assurance criteria in its reporting and contents.
The mark is issued by the Japanese
Association of Assurance Organizations for Sustainability
Information. Pages 49 through 52 of this report, which deal withenvironmental issues, are subject to J-SUS evaluation.

This mark is awarded for the use of natural, "green"electricity generated using wind, biomass, andsmall-scale hydroelectricity facilities. Natural energy
produces no CO2 emissions during the generation
process and is renewable, unlike energy produced
from fossil fuels. As a result, it has a smaller impact
on the environment. This report took 2,476kWh ofelectricity to print and bind, which was taken from the 1.15 million kWhof green energy we source every year.

This mark is awarded for documents
printed on paper that can be recycled
back into printing paper. This reportis printed on recyclable paper madeusing only A-rank materials as listed on
the Japan Federation of Printing Industries’ Paper Recyclability List
(materials that do not hinder recycling back into printing paper are
ranked A).

Environmental
Report

These marks denote that we at DNP planned, produced,
printed, and bound this report in a manner that wasconsiderate of society's needs. Perhaps you have seen
these marks before but do not know much about them. Why
not take this opportunity to ﬁnd out?

Printing & Binding

The Green Purchase Network, acollection of organizations who
pursue green purchasing practices,
issues this mark for companies who
manufacture printed products in accordance with the GPN's Printing
Services Purchasing Guidelines and who disclose their practices on the
GPN website. Our efforts related to this report are posted on that site.

This mark is awarded for products made using
biomass—i.e. renewable organic resources. Because
it uses organic resources and not fossil fuels, biomass
offers two beneﬁts: ﬁrst, there is no danger of theresources running out and, second, CO2 emissions areminimal. The mark is issued for products approved by theJapan Organics Recycling Association. In the case of thisreport, the ink has been approved for the biomass mark.

DNP's CSR Efforts

Forest Protection

This mark is issued by the Forest StewardshipCouncil™ to paper produced in a way that helps
sustain forest environments. This mark applies tothe cover and main body of this document.

This mark is awarded for documents
printed on the Forest Neighborhood
Association's"forestthinning
support paper" which promotes
forest thinning and therefore contributes to healthier forests. Forest
thinning is carried out by Ofﬁce Chonai-kai, an NPO that focuses onenvironmental issues, to produce no more paper than is needed.
The price for this paper includes a surcharge to fund forest thinning(15 yen per kilogram), all of which is put to thinning activities andthe effective use of forest thinning. The cover and main body of thisreport is printed on forest thinning support paper.
This mark is awarded for products made using
non-wood materials. Issued by the Non-Wood
Green Products Association of Japan, an NPO,
it is designed to help cut back on deforestation.
The questionnaire included in this report is
printed on approved non-wood paper containing 30% reed pulp.

Indication (Visualization)

Environmental Conservation
throughout the Whole Life Cycle

The Carbon Footprint of Products (CFP) markindicates the total amount of greenhousegas (converted to amount of CO2) emitted in
the product's entire lifecycle, from materials
CO 2 の「見える化」
procurement to disposal and recycling. DNP
カーボンフットプリント
has participated from the beginning in CFP
http://www.cfp-japan.jp
検証番号：CV-BS01ｰ015
System Trials conducted by the Ministry of
Economy, Trade and Industry and other related
agencies. We calculate and indicate the CFP of our own publications,and promote the growth of the CFP system.

604g“A hermit crab—one natural monument living in another natural monument”*
Submission to Company Photo Contest (2011) sponsored by
the Information Media Supplies Operations
Photo: Child of Mitsuru Kitamura, Research and Development Center* The terrestrial hermit crab has been designated as a natural monument. This one lives in a semi-fossilized shell of the mandarina

47

luhuana, a species of snail said to have become extinct 1,000 years ago. These shells are also natural monuments. This photo wastaken at Minamijima Island, one of the Ogasawara Islands, which have been designated by UNESCO as a natural heritage site.

DNP Group CSR Report 2012

48

FY2011 Environmental Management Results

Evaluation
Targets

Target exceeded by a wide margin
DNP Environment Management Activities

DNP Environment Management Activities

Target achieved or making steady progress toward target
Making active efforts but target not achieved
Efforts insufﬁcient

As a manufacturer, we at DNP are constantly
concerned

about

achievingaharmonious

coexistence with the Earth's environment. We do

Structure Overview

Targets through FY2015*

our best for the planet, as required by the DNP

DNP Group Environmental Committee

Group Code of Conduct, which states that "We

Promotion Ofﬁce

Global warming prevention

Emissions in 2005: 1.035 million tons
Emissions in 2005: 0.980 million tons

Operations Group Environmental Committees

Technical and Manufacturing Group

Environmentally Conscious Products
Development GroupRegional Measures Group

Environmental Conservation and
VOC Group

Ofﬁce and Work Environment Group

Industrial Waste Reduction GroupTo reduce per-unit fuel use for transport (amount of fuel used/sales) by 1% per annum and 10% by FY2020 compared to
FY2010.

To reduce emissions of VOCs (except for methane) by 20%
compared to 2010 by FY2015.

Operations Group Sites

Details are available on our website:

To reduce per unit waste emissions (waste emissions/production) by 15% from the 2010 level by FY2015.

Outline of Environmental Management System

http://www.dnp.co.jp/csr/eng/

Management Concept
Code of Conduct

Group

Environmental Committees.

18.7%
decrease fromthat in 2010

DNP Group Environmental Committee

Site Eco-Reports
Action Policy

PLAN

directors in charge of environmental matters.

t4FUUJOH(SPVQEnvironmental Targets
t%FUFSNJOF4JUF
Eco-Report Formats

They deliberate and make decisions concerning
the environmental policies, objectives, and plans

those objectives.

To increase sales of environmentally conscious products andservices to 400 billion yen by FY2015.

Environmental Vision

The committee is made up of operations groupthe plans and the status of the achievement of

ACTIONDNP Group
Eco-Report

Improvement
Indicated• Operations Group Environmental Committees

CHECK

The decisions made by the DNP GroupConﬁrmation by
Committee Chairman

after considering the special characteristics ofthe particular sphere of business.

Submission ofSite Eco-Report
Eco-Report
Evaluation/
Next-term Plan

Environmental Management System
We established an independent environmental
management system (EMS) in 1993. Using EcoReports and Site Eco-Reports, we operate a halfyearly "Plan-Do-Check-Action" cycle.
We also strive to improve the efﬁcacy of our
EMS. To that end, we began performing "EcoAudits" in 1996 to strengthen the foundation of thegroup's environmental management initiatives.

0.1 pointdecrease fromthat in 2010

DO

To increase the purchase rate of environmentally certiﬁed
products, such as those labeled with the Eco-Mark, of the total
supplies (ofﬁce supplies and equipment) to 85% by FY2015.

Site Eco-Report
Environmental Target

SettingS
tti Sit
Site
Targets

ACTION

Site
Eco-Reports

Improvement
It
Indicated

DO
Environmental
vironmeniActionCompiled
Environmental
Regulations

CHECK
Conﬁrmation by
Site Environmental Coordinator
Committee Execution

Site Eco-Report
Next Term
Action Report

To keep the maximum concentration of air emissions subject toemissions regulations at 70% of the required standard or less.
To keep the maximum concentration of wastewater discharges subject
to wastewater regulations at 70% of the required standard or less.
To keep the maximum concentration of odors at our site
perimeters at 70% of the required standard or less.
To keep the maximum level of noise at our site perimeters at
70% of the required standard or less.
To keep the maximum level of vibration at our site perimeters at
70% of the required standard or less.

39.9% green purchasing rate for materials in 2010
45.8% green purchasing rate for materials in 201160.0% green purchasing rate for materials in 201061.2% green purchasing rate for materials in 2011

5.9 point
increase fromthat in 2010
1.2 point
increase fromthat in 2010

Internal Environmental Audit(Eco-Audit)

95% achievement rate of targets for 2011(voluntary target)
97% achievement rate of targets for 2011(voluntary target)
98% achievement rate of targets for 2011(voluntary target)
82% achievement rate of targets for 2011(voluntary target)
100% achievement rate of targets for 2011(voluntary target)

Ofﬁce environment
To increase the rate of the fractional recovery of waste paper to
70% of that for general waste.

Status of Legal Compliance
Eco-Report Explanation

Sales of 336.0 billion yen in 2011

5.7%
increase fromthat in 2005

Environmental conservation

Operations Group
Environmental Committee
Each site

PLAN

Sales of 318.0 billion yen in 2010

Green purchasing
To increase the rate of the materials purchased according to the
DNP green purchasing standards to 50% by FY2015.

Environmental Committee are developed by the
Operations Group Environmental Committees

Per unit in 2011: 0.451 tons/10 million yen

3.6%
decrease fromthat in 2010

Development and sales of environmentally conscious products• DNP Group Environmental Committeeof the entire Group, and monitor the progress of

Per unit in 2010: 0.468 tons/10 million yen

Landﬁll waste rate in 2011: 0.8%

operated by the DNP Group Environmental

49

Emissions in 2011: 5,563 tons

To achieve zero emissions for the entire DNP Group by FY2015.

Our environmental management structure is
Operations

Emissions in 2010: 6,840 tons

Landﬁll waste rate in 2010: 0.9%

Environmental Management StructurethePer unit in 2011: 1.64kl/100 million yen

1.9%
increase fromthat in 2010

Reduction of industrial waste

DNP Group Environmental Report 2012 (PDF)andPer unit in 2010: 1.61kl/100 million yen

VOCs

Energy Conservation Group

Committee

5.3%
decrease fromthat in 2005

Reduction of environmental impact incurred during transport

Promotion Ofﬁces

future generations."

Evaluation* Targets relating to global warming prevention and reducing environmental impact incurred duringtransport are for FY2020.

To reduce GHG emissions 10% from the 2005 levels by FY2020.

are contributing to building a sustainable society
so as to pass on the rich blessings of the Earth to

ResultPresident

77.7% recovery of waste paper in 2011

In FY2011, there was one incidence where water quality standards for wastewater were exceeded, the fourth such incident inthree years. There are no ongoing legal disputes involving environmental issues. We have unfortunately had some complaints
from areas neighboring our plants concerning noise and odors. Whenever we receive such complaints, we respond promptly bylaunching a thorough investigation into the cause of the problem and working to make improvements and prevent recurrence.

DNP Group CSR Report 201250

Status of Environmental Impact in Fiscal Year 2011

Status of Environmental Impact in Fiscal Year 2011

DNP manufactures a variety of different products
closely related to the everyday lives of consumers,
with main materials such as paper, ﬁlm, plastic,
metal (iron, aluminum, etc.), and ink, as well as
electronics.
a Information Communications Segment

Mainly manufactures magazines and otherprinted material through offset printing, uses a

Product
Manufacturing
Process

Main materials (Unit: 1,000 tons)
2010

2011

Paper

1,816.7

1,824.8(0.4% increase)

Film

121.8

119.2

(2.1% decrease)

Plastic

107.0

113.6

(6.2% increase)

Metal

47.6

50.5

(6.1% increase)

Ink

52.0

51.1

(1.7% decrease)

Others

104.1

98.1 (5.8% decrease)2010

it manufactures packaging, construction and

2011

78

10

12

a

b

d

79

9

12

2011

980 (3.6% decrease)NOx emissions (tons)

697

740

SOx emissions (tons)11

10 (9.0% decrease)

Atmospheric emissions of VOCs (tons)

6,840

5,563 (18.7% decrease)

Of which, subject to PRTR (tons)

654

Information Communications Segment

GHG*3 emissions (1,000 tons-CO2)

Books and periodicals, commercial
printing, business formsb
Lifestyle and Industrial Supplies Segment676(6.2% increase)(3.4% increase)

Percentage distribution by individual segment
for GHG emission amounts(Unit: %)Packaging, decorative materials,
industrial supplies

Percentage distribution by individual segment(Unit: %)for paper

One of the biggest users of solvents at DNP as

2010

1,017

a

great amount of paper.
b Lifestyle and Industrial Supplies Segment

Emissions into the air

2010cElectronics Segment

2011

19

33

33

15

a

b

c

d

19

32

35

14

Displays, electronic devices

other industrial materials and uses solvents for its
dgravure printing, coating, and lamination.

Emissions into bodies of water

Other

Main secondary materials (Unit: 1,000 tons)

water in proportion to the rest of the Group
in manufacturing LCD color ﬁlters and lead

2011

Solvent

23.4

25.0

Acid and alkaline

21.0

13.9 (33.8% decrease)

Percentage distribution by individual segment
for solvent(Unit: %)1

frames through its etching and photolithography
technologies.
d Other(6.8% increase)

2010
2011

90

9

b

c d

90

8

OUTPUT

Uses and discharges a great amount of

2010

2010

2011

Water discharged (million m )

14.0

13.6

(2.9% decrease)

COD emissions (tons)

48.9

40.4

(17.4% decrease)

Nitrogen emissions (tons) *4

13.4

13.5

(0.7% increase)

Phosphoric emissions (tons)

0.4

0.4

(—)

3

INPUT

c Electronics Segment

Ink, beverages, etc.

2

Percentage distribution by individual segment(Unit: %)for water discharge
2010

5 11

70

14

a b

c

d

2011 4 973

14Group companies manufacturing products not
associated with the Information Communications,

Current Status of Recycling in the DNP Group

Utilities

Lifestyle and Industrial Supplies, or Electronics
segments, or those spanning multiple segments.

2010

2011

2010

2011

Undesired materials generated (Unit: 1,000 tons)
2010

2011

365.6

357.9

(2.1% decrease)

65.1

59.3

(8.9% decrease)

3.2

2.7 (15.6% decrease)

Overall energy input (TJ)

23,10022,400 (3.0% decrease)

Recycled solvent (1,000 tons)

4.6

4.0

Electricity (million kWh)

1,635.5

1,585.7 (3.0% decrease)

Usage ratio *1

1.2

1.2

City gas (million m3)

117.1

115.7

Waste emissions

LNG (million kg)

15.2

13.8 (9.2% decrease)

Recycled acid and alkaline(1,000 tons)

3.2

3.2

Landﬁll waste amountLPG (million kg)

6.8

6.5

Usage ratio

1.2

1.2

Percentage distribution by individual segment
for undesired materials(Unit: %)Recycled water (million m3) *2

519.4

509.7

Usage ratio

32.2

33.0

206,400

203,200(1.2% decrease)(4.4% decrease)

Fuel oil (kl)

1,900

1,000 (47.0% decrease)

Steam (TJ)

520

500 (3.8% decrease)

1,300

Kerosene (kl)Water (million m3)

1,300

16.7

(—)

15.9 (4.8% decrease)

Total amount of undesired materials

Vapor generated from waste
heat recovery (tons)

2010
2011

43

27

18

12

a

b

c

d

45

27

17

11

Percentage distribution by individual segment
for water(Unit: %)
2010
2011

6

12

66

16

a

b

c

d

*1 Usage ratio: This is a calculation of (input + recovery and recycling)/input. It does not include vapor or solvent in ink.

5 12

68

15

*2 Calculation methods have been revised and FY2010 data recalculated accordingly.
*3 GHG: Greenhouse Gases*4 Water discharge channels to which the Water Pollution Control Act applies.

51

DNP Group CSR Report 201252

A group-wide effort to conserve
electricity raises awareness of theimportance of energy conservation

Achieving a Low-Carbon Society

VOICELong-term efforts to ensure substantial
quality of energy conservation initiatives andleverage experience bring clear outcomes

For more than thirty years, we at DNP have endeavored to promote achievement of a low-carbon
society, and our efforts have been based on three main concepts: (1) development, implementation,and constant improvement of energy-efﬁcient facilities and technologies; (2) increased production
efﬁciency; and (3) ﬁnding ways to improve operations.
We have pursued deliberate action throughout all areas of our business to achieve this goal, wherein
our various workplaces have led a broad range of efforts. Having built up a wealth of experiencein this area, we now seek to establish a structure that will enable the whole DNP Group to achievesolid outcomes.

Bolstering Network-wide Efforts

Tetsuji Oyama

Technology Division, Kuki Plant, Ichigaya Publication
Printing Operations, DNP

Applying the PDCA cycle to energy
management

Achieving a Low-Carbon Society

Manabu Ohara

Expert Adviser, Technical Engineering Division, DNP

The Kuki Plant is located in the Kiyoku Industrial
Park in Kuki City, Saitama Prefecture. Here, we
are involved in rotary printing such as offset andletterpress printing, as well as saddle-stitchingand perfect binding. We boast more printing
and binding devices than most other printing factories in Japan,
and offer the full range of printing solutions for a large number of
periodicals and other printed material.
To conserve electricity in the high-demand summer season,
we have introduced a group-wide electricity cap, and we workwith other factories supplied by TEPCO to make electricity
demand along our production lines more readily visible andmonitor demand centrally. Here at the Kuki Plant, we haveincreased the capacity of our power generators and installed gasﬁred devices, as well as implemented limits on the use of lights
and air conditioners. We also stagger our summer vacations toﬂatten the peaks of demand. These innovations proved last yearthat we can get through periods of limited supply if we try andreinstilled in us the importance of energy conservation.

We at DNP have long strived to monitor and share
information about energy conservation efforts at
our plants nationwide. Similarly, as we go aboutbuilding the Energy-Saving Total Management
System, we have always endeavored to exchange
information and share successful case studies in order to achievea system of substantial efﬁcacy, both quantitatively and qualitatively.
In particular, our drive to visualize overburden, waste, andinconsistencies throughout our plants and facilities has promoted
strong teamwork throughout the DNP Group, and the same can also
be said for the mutual identiﬁcation by head ofﬁce and plant staff ofareas in each other's workplaces where energy could be conserved.
These experiences helped us to quickly respond to the restrictions
on electricity use, as covered in the Focus section on this page, and I
believe this contributed to our ability to make electricity savings.
Moving forward, we look forward to further following the PDCA
cycle to achieve better outcomes in terms of conserving energy andreducing greenhouse gas emissions. These efforts will surely leadto due recognition of DNP as a company that makes environmental
management a pillar of its business.

Action as a Group

Development and introduction of
new systems bring solid outcomes andfurther improvements

Deploying the Energy-Saving Total
Management System as a concerted
group-wide eﬀort

At DNP, we have made a concerted effort to make energy
consumption more visible using a system we launchedin 2009. We have installed monitoring equipment atsome 70 business sites nationwide. Information about
their energy use and energy loss can then be put touse optimizing manufacturing conditions and otherwise
making our production activities more energy-efﬁcient.
In August 2011, the outcomes we had achieved up tothat point culminated in the development of our EnergySaving Total Management System, which enables ourbusiness sites to keep tabs on energy use across thewhole production process from initial planning to ﬁnal
testing of products. The system, which helps eachsite to apply the PDCA cycle in its efforts to conserve
energy, represents a major success in our creation ofa framework that provides for more efﬁcient energy
conservation innovations.

The Energy-Saving Total Management System runs on
regular computers or other general-purpose devices,and the interface can be customized in accordance withthe work performed by the site involved. The system
can be built quickly and at low cost, as illustrated byits smooth introduction into DNP Group sites despite
the fact that those workplaces cover a broad array of
products including printed paper materials, ﬁlms, andelectronic components.
What is more, we are constantly looking for initiatives
to pursue energy conservation on a companywide
scale. For instance, 36 facilities within the Tokyo ElectricPower Company (TEPCO) service area and 9 within the
Kansai Electric Power Company (KEPCO) service area
are connected to a network that enables the TechnicalEngineering Division at DNP head ofﬁce to monitor
energy use centrally.

Energy-Saving Total Management System Conﬁguration(4 sub-systems)

The Response of 36 DNP Business Sites Supplied
by TEPCO to Electricity Use Restrictions
Head ofﬁce (Technical Engineering Division)
Institutes cut-backbac planp a anda d monitorso to s electricity
e ect c ty usage
usag
g of 36 business sites centrally
Warnings are issued whenusage nears the planned limit.

Data onElectricity Use

Instructions to restrict electricity
use are issued to business sites
and equipment identiﬁed as
those whose production lines will
suffer the least.

Each site's
progresscan beviewedHead ofﬁce

Business site
locations

Data sent
every halfhourElectricity use at business sitesof similar scale and that
manufacture similar items arecompared,andeffective
conservation measures ordered.
Electricity management system screen example

Warnings issued,
restrictions imposed

36 business sites supplied by TEPCOEnergy conservation measures implemented at each site in accordance with the Energy-Saving Total Management System
Tokyo Plant, Lifestyle Materials Operations

Kuki Plant, Ichigaya Publication Printing Operations

Sayama Plant, Information Media Supplies Operations

Sayama Plant, Packaging Operations

PLAN

Management

The system displays 350 energy-saving
actions in descending order of effectiveness.
Users select the desired action and enter
successive status data to monitor progress.

Diagnosis

Settargets

ACTION

Energy efficiency diagnoses highlight areas inwhich energy savings can be made. Optimalenergy-efficiency plans are suggested on a
per-plant or per-equipment item basis.
Review

Visualization

Data on energy use from monitoring devices
installed on production equipment is tallied
and analyzed according to operating
conditions.

Consideradditional
actionNarrow
down
options

SelectactionPDCA Cycle forEnergy Conservation
Initiatives at DNPGroup Business Sites

CHECK

Simulation

The effects of upgrading to more efficient devices,
fine-tuning operating conditions, and otherinitiatives are calculated and used to determine
whether or not those ideas should be adopted.

53

Monitor Enter progress
progress data, manage
progress

DO

Predict effects▼
Conduct action

In the summer of 2011, an order was issued to large consumersof electricity supplied by TEPCO to cut their power consumption
at peak times by 15% compared with the previous year. Here at
DNP, we created a system that connected 36 of our businesssites supplied by TEPCO (including our head ofﬁce, plants, andsales ofﬁces) to a network and enabled the Technical Engineering
Division to manage electricity use centrally. In addition to eachsite's conservation initiatives, having efﬁcient, centralized controlof their power consumption enabled us to achieve savings of 20%
at peak times in comparison with the previous year.

Japan's nuclear power stations were shut down after theaccident at Fukushima Daiichi Nuclear Power Station in the wake of
the Tohoku-Paciﬁc Ocean Earthquake of March 2011. Since then,the resumption of their operations has been delayed nationwide,
and this has led to instability in the nation's power supply. In
December, we also installed the Energy-Saving Total Management
System at nine of our business sites supplied by KEPCO, thus
ensuring we have a system in place to minimize disruptions if
similar restriction orders are received. At DNP, we have some 70
plants nationwide and we are looking into expanding the scope of
the Energy-Saving Total Management System.

DNP Group CSR Report 201254

Numerous challenges overcome tobuild the new plant – now to make manyenvironmentally conscious products

Building a Recycling Society

Only a manufacturer could havedesigned a plant so suited to recycling

VOICE

Here at DNP, we place effective action above mere talk when it comes to reducing environmental
impact. To that end, we seek to modify our manufacturing processes so they produce lessundesired materials and allow for more effective reuse of any waste that may be produced. Thoseefforts include designing new plants and ofﬁces to be as environmentally considerate as possible.

Attention to Design

In November 2011, we built a new wing on the premisesof the Tanabe Plant, where we manufacture paper
containers for liquids and non-liquid products. At the
new facility, we will make soft packaging using highperformance ﬁlm for drinks, instant food products, andmedicines.
The design of the new building takes environmental
needs into account from a variety of angles. For instance,
the clean area features a multi-stage dirt removal areawith air showers and other devices so that dust anddirt are not brought into the clean area during entry andexit. In this way, we seek to ensure the integrity of our
product quality regime. In addition, the new plant hasheat pumps* to harness heat energy, as well as stateof-the-art equipment that allows the solvents usedin the printing process to be reused. As illustrated bythese examples, we are keen to introduce new facilities
so as to help reduce the environmental impact of ourmanufacturing processes.
* Heat pump: A device that transfers thermal energy from a source to a sinkthat is at a higher temperature than the source. Heat pumps ﬁnd uses indevices such as refrigerators, air-conditioning units, and water heaters.

Recycledsolvent

The new wing of the Tanabe Plant is designed not only
to minimize CO2 emissions, but also to cut back on theuse of materials. By doing so, we hope that lifecycle
assessment (LCA) will also show that the new building
has lower environmental impact and is conducive torecycling. For instance, we now have equipment thatrecovers the solvents used to thin out ink as a gas fromamong the exhaust generated as part of the printing
process and converts them back into liquid form.
Impurities are then removed and the solvents can once
again be used for printing. From design to installation,
it took more than a year to make this system a reality,
including the design of special reﬁning equipment. As aresult, we now use more recycled solvents in the printing
process than new, and this has contributed to a drop inuse of materials.
Meanwhile, because solvents are also contained in
the ink itself, we end up recycling more solvent thanwe use. As a result, we use excess solvent as fuel forour boilers, which reduces the need to activate electricboilers to generate heat.

1

55

Solvent recovery
equipment

Dotted line: Gas

Puriﬁedexhaustgas

3
Distilled
solvent

Solvent reused
Exhaust gas generated as part of theprinting process is recovered, refined,
and reused as a diluting solvent.

Boiler fuelSpecialsolventburning
boilers

Solvent
reﬁningequipment

Solid line: Liquid

Diluting
solvent2

MachineexhaustSolvent reused
Waste liquid
generated as partof the printing
process is distilled
and reused as adiluting solvent.

Steam
SimpledistillerNew
solvent

When DNP sought our opinion on the various
concepts and other matters relating to their
new plant, it became clear that not only were
there some high hurdles to clear, but also that
DNP were determined to build the factory
most suited to recycling and with the least
environmental impact in the whole world.
The designs faced extreme difﬁculties andunderwent innumerable amendments, but we got there in
the end by installing systems that have been developed andproven in DNP's existing plants, incorporating know-how that
had been gained through long years of improvements made totheir production lines, and using technology veriﬁed throughexaminations at test plants. Moreover, the generous sharing ofexpertise by producers, machine manufacturers, and equipment
suppliers was a major contributing factor. I hope that the DNPTanabe Plant will serve as an example of how we can contributeto the minimization of society’s environmental impact withoutcompromising productivity.

I get the feeling we hear the term "recycling
society" from all sorts of places these days. But
the reality is that there are still many challenges
to overcome before you can actually put thatconcept into action. Opportunities to build a
new production facility, like we did at the Tanabe
Plant, are rare indeed. When designing the newwing, we thought of all the environment-related
ideas we'd come up with previously and debated repeatedly withvarious divisions about how to best overcome the challenges
we faced. The new building was completed after a long andexhaustive process. This, however, is not the end; it is just a
milestone. It is our mission to provide the world with all kindsof environmentally conscious products, and we look forward to
pursuing that goal.

Recycling solvents helps cut back on
use of materials and CO2 emissions

Reuse and recycling of solvents via solvent recovery equipment
at the new facility of the Tanabe Plant

Any solvent left overfrom ❶ is reused asboiler fuel.

Design Group, Kyoto Branch, Daikin Applied Systems Co., Ltd.

Building Plants that Promote Recycling

Designing plants to maintain productquality and reduce environmental
impactHeat recycling

Tatsushi Nanameki

Manager, Manufacturing Optimization Promotion Division,
Packaging Operations, DNP

Installing new facilities to improve ourplants’ recycling capabilities

Building a Recycling Society

Masaki Amikura

Production equipment (gravure printers)

Waste ink

Waste liquid

Energy-Efﬁcient Drying System Using Heat Pump
Technology
Conventional
systemHeat derived from steam
generated by a gas-ﬁred boiler

High-Efﬁciency
Electric System

Draws heat from hot water generated
by a high-efﬁciency heat pump

Fuel: City gas supply

CO2

Fuel: Electricity, recycled solvent

Gas-ﬁredboilerAir supply(external air)CO2
Air supply(external air)Absorption
refrigerator

Approx.
Cold
water

Specialsolventburning
boiler

Hot
water

Cold
water

Steam heater

ExhaustPrinters, laminators, etc.

Electric
boilerWhen 80+°C
temperatures
are needed,
steam issupplied fromthe boiler

3x moreenergy-efficient

Steam heater

Hot water
heat pump

ExhaustPrinters, laminators, etc.

When we built the new wing at our Tanabe Plant, wewater generated by a heat pump and could be augmented

designed, manufactured, and installed a print drying

by an electric boiler when demand was greater than thedevice based on heat-pump technology. The gravure

system could handle. Because it is conﬁgured to generate

printing process used for soft packaging involves laying

only the amount of heat energy needed to dry ink and not

one color at each unit and, as a result, the ink needs to becreate any waste, and since the heat-pump is up to threedried before the ﬁlm is moved to the next unit. Around 30%

times more efﬁcient than a conventional gas-ﬁred boiler,of the energy used by a printer is spent on the dryer, so

our new dryer system's average energy consumption is

we thought making the dryer more efﬁcient would result in

about half that of a conventional system.

signiﬁcant cuts in energy use.

At the same time as they create hot water, heat pumps

Previously, our dryers got their heat from steam

also create cold water, which can be used to cool printers.

generated by gas-ﬁred boilers, but we developed an

In this way, the heat pump system also helps cut back onenergy-efﬁcient dryer system that draws heat from hotenergy used for cooling.

(consigned toexternal
contractors)

DNP Group CSR Report 2012

56

Realizing a Society in Symbiosis with Nature

Case Study 1

The human race beneﬁts from a diverse ecosystem, but society does not yet sufﬁciently realize
the importance of biodiversity. Here at DNP, we are keenly aware of our reliance on the ecosystemin the course of our operations, and we feel it is our responsibility to protect it and in turn promotea sustainable society.

Creation of green spaces at businesssites and improvement of material
procurement practices

We unveiled the DNP Group Biodiversity Declarationin March 2010 and commenced our action plan under
the declaration as part of our biodiversity protection
initiatives.
In FY2011, we reexamined the effects on biodiversityof our product development, material procurement,
manufacturing, sales, use of products, and disposal ofwaste. As a result, we established two key initiatives,
both of which have a major inﬂuence on ecosystems, andwe are already working to achieve them. These initiatives
are the creation of green spaces at our business sites
and the improvement of material procurement practices.

It is important that our employees are aware of the goals
and progress of our biodiversity protection initiatives,
and that they work to help achieve those goals.
For instance, regarding our goal of creating green
spaces at our business sites, beginning in October 2011
we conducted a survey of our business sites worldwide
to see how we could contribute to ecosystems in theirvicinity with green spaces.
Similarly, as part of our drive to improve material
procurement practices, we are working to apply lifecycle
assessment (LCA), which we have used since the 1990s,
to development and commercialization of packaging
made from materials that are considerate of biodiversity.
Elsewhere, we have implemented biodiversity-friendly
initiatives for materials in other segments, too, in linewith our CSR Procurement Criteria. We are also looking
to bolster our efforts in this area, particular as relates
to printing and paper for processing, for which we areconsidering instituting procurement guidelines.

Our survival depends on ensuring biodiversity

Protecting biodiversity is not just a niceway for companies to contribute to thecommunity; it is vital for the future survivalof their businesses. The way DNP has
gone about its biodiversity protection
initiatives after ﬁrst investigating the impact
of its business activities on ecosystems
demonstrates that they understand thatprinciple.
This report contains information
on how the company is striving to improve the quality of its
stewardship of green spaces. DNP conducted on-site surveys
of 65 manufacturing facilities in Japan and one overseas, notonly to check on the state of affairs at those sites, but also

57

We conducted surveys at 65 production facilities in Japanand one overseas to see how we could use green spaces
to contribute to the ecosystems in their vicinity.
First, we gauged the level of biodiversity in andaround our sites based on factors such as the areas ofthe premises, green spaces, and other green areas (e.g.,woods, grassed areas, and forested slopes) or wetlands(e.g. ponds, swamps, rivers, and springs) within 2km of thepremises. The sites were divided into groups in accordancewith the results of these studies.
Ten of the sites that stood out were targeted for further
studies into whether or not there was a link between theon-site green areas and those nearby in terms of their role
as a habitat for wildlife. These relationships were made into
diagrams and used for further ecological network analysis.

Meanwhile, we also conducted on-site surveys basedon the Eco-friendly Business Site Promotion Guidelines
developed by the Japan Business Initiative for Biodiversity(JBIB) as a ﬁrst step to boosting interest among employees
and motivating them toward creating green areas that
contribute to biodiversity.
Furthermore, the current redevelopment of our site at
Ichigaya includes plans for an Ichigaya Forest, which willlink with surrounding green areas. Our aim is to create anenvironment for birds and insects that is not divided byland boundaries. We have already begun studies of ﬂora
and fauna on our premises and its surrounds in order togauge the degree of any contribution to biodiversity that
the Ichigaya Forest may make, in order to reﬂect that
contribution into subsequent plans.

Major Initiatives

Business activities that are deeply
relevant to ecosystem protection are
our key focus

VOICE

Surveys conducted at 65 sites in Japan, one overseas

Dr. Naoki Adachi
CEO, Response Ability, Inc.

to ascertain their inﬂuence on the surrounding ecosystems. I
think its assessments and plans, which take these issues into
account, are far ahead of the curve. I hope that DNP will strive
to continue to beneﬁt ecosystems, not just through the effortsof the company's employees, but by involving local residents
as well.
The use of Biomatech PET material and the company's LCA
are also intriguing endeavors. The results of these initiatives
indicate that biomass will continue to be sought and used
as a sustainable resource, but even so, we must use theseresources carefully so as to minimize impact on ecosystems
and water resources. I sincerely hope that DNP will come up
with concrete ideas that will point us in the right direction.

Knowledge of Current Environments Will Help
Future Initiatives
Biodiversity network evaluations made it possible togauge quantitatively the level of biodiversity at the
DNP business sites and the surrounding areas. This
information provides useful insights for use when
deciding on the direction of future initiatives.
In addition, quantitative information on the link
between the green areas on DNP land and those in
the local vicinity was studied as part of an ecosystem
network analysis in order to determine how DNP may
further contribute to the building of a local ecosystem
network.
In the case of the Okayama Plant, because the Mitsu

Studies of Potential Biodiversity of Major DNP Business Sites (sample)

Biodiversity in on-site green areas

Basic Policy

Realizing a Society in Symbiosis with Nature

Leveraging our Business to Help Protect
Biodiversity

Creation of Green Spaces at Business Sites

High

Industrial Park, in which the plant is located, is situatedon developed land in a valley between mountains,the continuity of forest land has been compromised.
However, 34% of the land within 1km of the plantis green land, and is in proximity to the Asahigawa
River, which is home to a broad array of wildlife. It was
discovered that, therefore, the area has high potential
for biodiversity. Accordingly, we look forward to using
the Okayama Plant's green areas to provide habitats forwildlife, and we aim to turn the area into a pathway fromthe forest mountains to the lowland, thus creating a local
ecosystem network.

Ecosystem Network Analysis of the Okayama Plant
Key
Network Assessment(relative)

Izumizaki

Kurosaki(Fukushima)(Fukuoka)

Tsukuba

Low(Ibaraki)Kashiwa(Chiba)Tsuruse(Saitama)High

Mt. Shiroyama

Okayama

UshikuTanabe(Ibaraki)(Kyoto)AsahigawaRiver

Mt. Akadake

Kamiya(Tokyo)

Kyoto
Karawang(Indonesia)

Mihara(Hiroshima)

Okayama
Plant

Route 53
Mt. Kawatakayama

Yokohama

Low

High

Kita Ward, Okayama City,
Okayama Prefecture

JR Tsuyama Line

Area of DNP site premises 179,665m2
Area of green space
33,442m2

Biodiversity in the local vicinity

DNP Group CSR Report 201258

Case Study 2

Research into environmental impact
helps us publicize good and bad aspects
and minimize risks

Improvement of Material Procurement Practices

Vigorously supporting DNP's environmental
conservation efforts, including groundbreaking use of sugarcane

Ayumi Shibata

Norihiro Itsubo
Ph.D. (Engineering)
Associate Professor, Faculty of Environmental
and Information Studies, Tokyo City University

Development Division, Packaging Operations, DNP

made from sugarcane-derived material
When we at DNP develop products, we research materials
thoroughly based on lifecycle assessment (LCA), which
offers a quantitative evaluation of the impact the subject
material has on ecosystems and environments. Throughthis, we are aggressively commercializing sustainable,
biodiversity-considerate packaging.
In 2011, we were the ﬁrst in the world to develop
Biomatech PET, a PET ﬁlm made from plant-derived
ingredients, in a joint research project focusing on
LCA. Our research partners were Norihiro Itsubo, anassociate professor at Tokyo City University, and Iwatani
Corporation.

LCA begins with painstaking data research toensure the studies are based on accurate information.
We visited India, where the sugarcane that forms thebasis of Biomatech PET material is produced, in orderto study the various relevant manufacturing processes
and get a tangible idea of the volume of greenhouse gas
emissions. Also, because Biomatech PET is made fromplant-derived material, it was also vital that we looked
into use of water resources and the effects of production
on biodiversity, and we made these issues more readily
visible.

Biomatech PET Manufacturing Process
On-site studies in producer countries (using data taken from measurements)
Sugarcane
blackstrap
molasses

Ferment
and distill

Bioethanol

30%

(MEG)

PET resin

Film forming

Puriﬁed terephthalicacid (PTA)70%

PET ﬁlm

Incinerate(based on data from other sources)of rawmaterial

Sugarcane raised using spring water

Reduction of Greenhouse Gases Emitted in the
Production of Biomatech PET Film
Note: Assuming PET film (20% biomass)
0
20
40

60

80

Raw materials + ﬁlm production

100

Incineration

Benchmark: 100% oil-derived PET ﬁlm
Raw materials + ﬁlm production

Incineration

Biomatech PET reduces emissions by 10%

MEG

PET resin

PET ﬁlm
Sugarcane ﬁeld in northern India

Percentage ofbiomass

100%

30%

20%

Reduction of greenhousegas emissions

79%

18%

10%

● Biomass MEG enables greenhouse gas emissions to be reduced by 79% compared to oil-derived MEG● PET resin (30% biomass) enables greenhouse gas emissions to be reduced by 18%

Use of water resources per kg of PET resin
Blackstrap
molasses 0%
Sugarcane73%

MEG 7%
Terephthalicacid 16%

Ethanol
3%Ethylene3%

PET 16%Oil-derived
PET
174 ℓ/kg

MEG
15%

Terephthalicacid 64%● Because biomass is made from plant-derived ingredients, it registers a higher environmental
burden in terms of water resource use. (Sugarcane cultivation accounts for 70% of water use inproduction.)● Because rainfall, soil quality, and irrigation methods differ from region to region, it became clearthat it was important to obtain data on these factors when studying sugarcane production.

59

Monoethylene glycol plant

Hopes are high that DNP's Biomatech series can play amajor role as a packaging material with a low environmental
impact for a broad range of goods, particularly for goods
used on a daily basis such as foods, beverages, anddaily sundries. Here at DNP, we are gradually replacing
the packaging materials we supply to manufacturers
with Biomatech series materials. Starting in March 2012,
Biomatech PET is being used in Morinaga Milk Industry's
Creap and Creap Light coffee creamer packets. Plantderived ﬁlm is generally much more expensive than oilderived material, but we have succeeded in capping theincrease in manufacturing costs of our Biomatech seriesof ﬁlms to between 20% and 30% compared with oilderived ﬁlm. We will continue to pursue expanded salesof the Biomatech series by further reducing costs andbroadening its use to a greater range of products.

Our studies showed that Biomatech PET ﬁlm can reduce

What is the plant-derived Biomatech series of ﬁlms?
Our Biomatech series of ﬁlms are packaging materials made fromplant-derived ingredients. For instance, Biomatech PET is madeusing approximately 30% ethylene glycol, which is produced fromsugarcane-derived bioethanol, instead of oil-derived material.
Packaging material needs three layers: a printing layer, aninternal layer, and a barrier layer in between. To this end, wedeveloped a printable three-layer ﬁlm that can be used in a broad
range of ﬁelds including food, daily sundries, pharmaceuticals,
and industrial products.
Packaging Material Conﬁguration
Top printing layer: Biomatech PET
Middle barrier layer: Biomatech IB-PET
Bottom sealing layer: Biomatech PE

Why is plant-derived material environmentally friendly?
The main reason is that it reduces the use of fossil fuels, which areﬁnite resources. The plants that form the basis of the Biomatech
series can be grown and harvested again and again. In addition,although CO2 emissions are generated when the products areincinerated after their useful life is over, plants absorb CO2 asthey grow so there is no net increase in emissions.

greenhouse gas emissions by 10% over the PET ﬁlm
lifecycle.

Naphtha 2% Crude oil 0%

PET 1%

Biomatech
PET
690ℓ/kg

The rise in interest in bioplastics has sparked
innumerable
environmental
assessment
projects worldwide. The environmental impactof a crop varies greatly depending on a variety
of factors, including the type of plant, cultivation
methods, location, and yield. As such, it isimperative that any analysis be conductedbased on data relating to local conditions. The ethylene glycol
used in Biomatech PET is derived from sugarcane—speciﬁcally,
the blackstrap molasses which is usually disposed of as waste.
This radical innovation means that we can use sugarcane in a
way that does not put us in competition for the same resources
with food producers who want the sugar, and we can reduce
the amount of waste the sugarcane generates. DNP did well toidentify sugarcane as a potential ingredient for bioplastic, and toverify its efﬁcacy through LCA. I strongly support DNP's efforts
to pursue the potential of eco-materials while maintaining thetraceability of environment-related information.

Morinaga Milk Uses Biomatech PET in Creamer
Packets
Reﬁne oilContent

By dedicating ourselves to ﬁnding the right
raw materials and conducting in-depth
studies in production regions, we were able
to get a clear picture of the effects of PET
ﬁlm on the environment. We reafﬁrmed ourview that Biomatech PET is a material we canrecommend to clients with conﬁdence; it isrecyclable, a replacement for conventional, oil-derived PET, andcontributes to efforts to prevent global warming. I was remindedof the importance of LCA for businesses like ours because it
provides a visible picture of environmental impact.
The results of these latest studies were not uniformly
favorable from a DNP perspective; there were some negative
results among the positives. But I believe it is vital for companies
to publish the bad along with the good, to be as considerateof the environment as possible, and to minimize environmental
risks.

of rawmaterial

Monoethyleneglycol

Ethylene

Realizing a Society in Symbiosis with Nature

Lifecycle assessments of Biomatech PETVOICEConversely, we also found that it uses around fourtimes the water resources of oil-derived PET and has

Oil is ﬁnite—
the more we use,
the less there isaround ﬁve times the impact on biodiversity. Therefore,
if we are to continue to use sugarcane as a raw material,

CO 2
emission
Global CO2balance ismaintained

we will need to consider ways of eliminating risks
regarding water consumption and biodiversity.

CO 2
absorption

We at DNP are determined to address pressing
issues like these through appropriate supply chain
management and big-picture decisions.

220g packet of Morinaga Milk Industry's Creap coffee creamer advertising
the use of environmentally friendly sugarcane-derived material

Plants can be
replanted—we simply
replace what we use

Incineration

Sugarcane
Products

DNP Group CSR Report 201260

Independent Review Report Comments (Third-party review: Ernst & Young Sustainability Co., Ltd.)

Third Party Opinion
Chairman, Japan Association of Environment and Society for the 21st Century

Saburo Kato
Upon graduating from the Faculty of Engineering of the University of Tokyo in 1966, joined the Ministry of Healthand Welfare. Works in pollution and environmental administration at the newly-established Environmental Agency.
Appointed ﬁrst Head of the Global Environmental Department in 1990. Participated in the Global Summit andhelped write the Basic Environment Act. Left ofﬁce in 1993 to establish the Research Institute for the Environment
and Society, of which he is currently president. Serves concurrently as Chairman of the Japan Association of
the Environment and Society for the 21st Century (formerly the Association for the Study of the Environment andSociety in the 21st Century). Major published works include: Thoughts About The Environment (2010, PresidentInc.); The Power of the Environment to Create Wealth (2005, Goma Shobo); The Power of the Environment (2003,
Goma Shobo); The Environmental Century (2001, The Mainichi Newspapers); Conditions for Creating the Recycling
Society (1998, Nikkan Kogyo Shimbun); and The Environment and the Future of Culture (1996, President Inc.).

DNP defines CSR as the process of earning the trust of society.
This is the fifth time the company's CSR report has been subject
to comment by a third party. As with previous occasions, I haveread the report carefully, page by page, and have taken greatinterest in DNP's efforts over the past year.
The first thing that took my eye was the title of President
Kitajima's message, Creating What Everyone Will Take for Grantedin the Future. Wondering what he meant, I read on in anticipation.
He goes on to say: "No one can accurately predict the future, but
it is possible to participate in forming it and sketching its blueprints.
Each of our employees continuously engages in TAIWA with ourmany stakeholders, quickly perceives the issues facing
consumers, companies, and society, and solves those issues byapplying our technology and know-how. That is DNP's mission,
and we believe it will lead us to Creating What Everyone Will Takefor Granted in the Future." DNP has been a mainstay of theprinting business since the 1800s. The company is a pioneer inmany areas, producing such innovative technologies and products
as color filters for high-definition displays and softpacks for lithium
ion batteries. I was solidly convinced by those words, which arebacked by robust performance.
DNP has stated that it has three key challenges to achieving
sustainable growth. They are:(1) Offering stronger solutions to the issues society faces, suchas those relating to the environment, energy, education, thesuper-aging society, and universal design;(2) Pursuing R&D that leads to the creation of new businesses ina quest to solve problems from the consumer's standpoint;(3) Respond to the increasing borderlessness of markets byfurther expanding the company's global business.
I was impressed by the way President Kitajima has exhorted
his charges to maintain their consistency in offering technologies
and expertise that are breathtaking today but will go on to be the"everyday" standards of the future.
I always look forward with particular pleasure to the Special
Report section in DNP's CSR Report. This time, those articles arefocused on expanding the possibilities of the "culture of intellectual
knowledge." With its origins in Shueisha, which was founded 130
years ago as Japan's first full-scale printing company, DNP has
always played the role of being one of the foremost disseminatorsof intellectual knowledge through its publication and printing
operations. At DNP, intellectual knowledge is defined as
information with value. The company has successfully evolved
with the times to consistently deliver that knowledge, incorporating
heavyweight bookstores such as Maruzen and Junkudo into its
corporate group and transforming "honto," originally an e-bookwebsite, into a hybrid "paper and digital" bookseller.
This year's Special Report looks not only at the transfer ofintellectual knowledge from multiple angles, but also at DNP'sschemes to generate and cultivate new intellectual knowledge. I
was smitten by the idea of the digital pen, the electronic
blackboard, and digital textbooks, all part of the Digital Pen

On-site audits

Akabane Plant, Information
Communication Operations

61

Sayama Plant, DNP Technopack

DNP Chubu

Learning Support System that encourages handwritten
communication. Indeed, I felt the real broadening of the "cultureof intellectual knowledge" in DNP's contribution to creating asystem that encourages today's youngsters to be moreenthusiastic about learning, while still maintaining the tradition ofwriting by hand in this era of digitalization.
DNP has long valued TAIWA. The company maintains suchinteractive communication with its many suppliers and its
employees, many of whom, in this age of globalization, areforeign nationals or employees newly coming aboard via
mergers. This richness of variety among its employees amounts
to a profound diversification of the company. It appears to me
that DNP does much to deliberately create opportunities for allparties to come together and engage in TAIWA with anatmosphere of respect for each other's personalities and values
so that the resulting dialogue may yield new values and solutions.
The company's environmental conservation initiatives arealso worth mentioning. Each year's efforts see generally
positive outcomes, which has led to largely positive appraisalof their stance. However, as I say every year, the company
would do well to set higher goals for greenhouse gas emission
cuts, not only because it would do the company credit, but also
because it would encourage the development of newtechnologies. In the mid-to-long term, this would certainly leadto further improvements in the company's strength incompetition. DNP's performance in FY2011 measures 5.3%
lower than FY2005 and 3.6% lower than FY2010. This must be
taken in the context of the dramatic reduction in energy use in
the aftermath of the Tohoku-Pacific Ocean Earthquake of 2011
and the subsequent nuclear power plant accident. Despite this,DNP managed to reduce electricity consumption at peak times
in FY2011 by 20% compared with the previous year through asummertime initiative that saw the company connect 36 of its
business sites supplied by Tokyo Electric Power to a networkthat enabled its Technical Engineering Division to control
consumption centrally. It is my fervent hope that DNP uses thatexperience as inspiration to set higher emission reduction
targets as an industry leader.
Meanwhile, DNP has made strides toward establishing indepth measures to help protect biodiversity. Sixty-five of its
business sites in Japan and one overseas were subject topainstaking quantitative assessments of biodiversity on-site
and in their local vicinities. As such, there are high expectations
that the results of these analyses will guide the company's
efforts to create green areas on its various sites and improve its
material procurement practices.
I mentioned DNP's efforts to develop Biomatech PET plantderived material in this column last year, and this year I noticed
that this new packaging had been adopted by client companies.
A year on, I am thrilled to see that the company has stepped up
its endeavors in that area, a sure sign that there is more to lookforward to in the future.

Okayama Plant, DNP Lifestyle Materials

DNP Group CSR Report 201262