Our Initiatives for SDGs
OUR PRACTICES TO ACHIEVE THE SDGs

FY 2021 Annual Activity ReportIntroduction
In March 2020, we endorsed the principles of the "United Nations Global Compact" and announced ourparticipation. In order to comply with and put the principles into practice, we started to using the Sustainable
Development Goals (SDGs) as indicators for our activities.
This report is based on the annual activity reports of each division for FY2021. The status of achievement foreach target is described in numerical figures, which will drive further activities in FY2022. Since last year, wehave continued corporate activities by implementing infection prevention measures against the newcoronavirus to sustain stable production of pharmaceutical products. We will continue to enhance our infection
prevention measures.We will also ensure all of our employees will work together to internalize the principles ofthe SDGs so that they can naturally practice them in their jobs. Our goal is to create a better working
environment and to ensure the stable corporate activities.
FUJIMOTO CHEMICALS Co,LTDESG Promotion Department
31 April 2022
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SDGs Activity Goals for FY2021
Target Setting: 10 May 2021
ESG Promotion Department
Goal 3：Good health and Well-being
Business goal：CSR activities via core business・Through our contract manufacturing business of active pharmaceutical ingredients, we manufacturehigh-quality pharmaceuticals under cGMP control and contribute to the health of people around theworld through stable supply.
【Division Goals】
Technology Division：Ensure production plans and deadlines are met and maintain a quality assurance system

Research & Development Division：Practicing social contribution through drug development

Administration Division：Ensure compliance with laws and regulations and revitalize the company

Sales Division：Increased customer satisfaction

Goal 7：Aﬀordable and Clean energy
Business Goal：Promoting energy conservation
・Reduce energy consumption based on energy base unit.
・Promote the introduction of low-GHG (Greenhouse gas) equipments and devices.
【Division Goals】
Technology Division：Practicing environmental measures through ISO 14001 and energysaving activities

Research & Development Division：Contribution to pharmaceutical manufacturing with reduced environmental impact

Administration Division：Transition to New Normal Digital Management

Sales Division：Improving the eﬃciency of sales activities
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Goal 8：Decent work and Economic growthBusiness Goal：Respect for human rights and compliance with laws and regulations through businessactivities
・Achieve revitalization of the organization by promoting work style reforms.
・Use in-company human resources eﬃciently and systematically recruit employees, looking ahead to thefuture.
・Strengthen the CSR procurement throughout the supply chain.
【Division Goals】
Technology Division： Reduce overtime and workload

Research & Development Division：Execution of an ongoing training system and participation in conferences and workshops

Administration Division： Recruitment in line with company strategy

Sales Division：Strengthening communication skills

Goal 9：Industry, Innovation and Infrastructure
Business Goal：Commercialization of nucleic acid pharmaceutical business
Solid phase synthesis has been established as a manufacturing method for nucleic acid drugs which are expected tobe applied to rare diseases. We have newly developed a carrier (Fujimat🄬) for liquid-phase synthesis instead whichenables inexpensive mass production of nucleic acid drugs. The technology is expected to accelerate thedevelopment of new nucleic acid drugs. After its launch, we hope to establish an integrated supply system forpharmaceuticals serving the world under our GMP management.
【Division Goals】
Technology DivisionーResearch & Development Division：Contribution to pharmaceutical manufacturing through the development of new

Administration Divisionー

Sales Division：Dissemination of information on our technology
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Goal 12：Responsible consumption and Production
Business Goal：Risk management, Reduction in raw materials usage, Enhanced recycling,
Development of environmentally friendly manufacturing methods
・Reduce energy consumption by promoting the stable procurement of raw materials and conducting theplanned production.
・Reduce usage of harmful substances and strengthen the management of harmful substances in products.
・Promote recycling of organic solvents.
・Promote reduction of processes and raw materials by improvement of manufacturing methods.
【Division Goals】
Technology Division：Compliance with laws and regulations related to chemical substances, waste reduction,and recycling promotion

Research & Development Division：Promote initiatives through manufacturing process optimization studies

Administration Division：Promote CSR and risk managemen

Sales Division：Multiple sources of key raw materials and establishment of new technologies

Goal 14：Life below water
Business Goal：Industrial wastewater management
・Complete management of the facilities of activated sludge process. Achieve the regulated value of treatedwastewater for release to the Osaka Bay.
・Completer wastewater management for sewage.
・Complete control of the processing method of industrial waste generated from the facilities for highpotency active pharmaceutical ingredient.
【Division Goals】
Technology Division：KYK Used Tare and Industrial Wastewater Management

Research & Development Division：Acquire knowledge of industrial wastewater management and water quality control

Administration DivisionーSales Division：Eﬀective utilization of industrial waste4/9Technology Division Action Targets/Progress
Action Items

Targets

SGD Goal

備考(製品名等)
Status of Achievment

Senboku

Introduciont of new manufacturing method G2

PV completion

Goal 3

PV completed、all shipped

100%

Plant

Introduction of new product FPV completion

Goal 3

PV completed、all shipped

100%

Introduction of OH form

Production completion

Goal 3Completed pruduction of 2 lots

100%

Achievement of zero complaint

No complaint

Goal 3

3 complaints received

Introduction of environmentally friendly equipments One or more

Goal 7

4 equipments introduced

100%

Progress0%Reduction of electricity consumption0.1% reduction

Goal 70%

60%

Workload reduction by appropriate workforce

75% or less operation rate

Goal 872.5%

100%

Accident/disaster-free operations

0 caseGoal12

1 incident

Resource and energy savings by solvent recycling

1 case or more

Goal12

1 case conducted100%

No exposure incident

Goal 140 case100%Compliance with regulated standards

Goal 14Compliance achieved

100%

Study of changes for each item

Goal 3

Material A: temporarily postponed due to reduced product50%

planning and recruitments0%and other measures
Thorough management of used containers forpharmacologically active materials
Trend analysis of activated sludge treatment
through daily monitoring and implementation ofcountermeasures
Kinraku・Continued production of P products

Plant

Consideration of supplier change for difficult -to-production, Material B: use test completed,change control

procure materials

in progress with no quality issue, Material C: poor quality

・of Chesense material and improvement was requested
while Japanese material was of good quality and thiersupply capability was under investigation, Material D:
sample was requested
Monomer production capacity enhancement

Tech-transfer of OH form

Goal 3

In progress as planned

83%

Zero complaint

No complaint

Goal 3

No complaint

100%

Introduction of environmentally friendly equipments One or more

Goal 73 cases

100%
100%

Reduction of electricity consumption

0.2% reduction

Goal 70.55％ reduced

Improvement of labor productivity

Production output improvement by 1%,

Goal 8Both targets not achieved

0%

efficiency improvement by 0.5%
Accident/disaster-free operations

zero accident

Goal12

One incident (burn)0%

Wastes recycling

One or more cases

Goal120 case0%

Daily monitoring and weekly water quality testing

Compliance with regulated standards

Goal 3Compliance achieved

5/9100%Action Items

Targets

SGD Goal

備考(製品名等)
Status of Achievment

Progress

CMC

Introduction of new production method G2

PV completion

Goal 3Completed

100%

Planning

Introduciotn of new product FPV completion

Goal 3

Ccompleted

100%

One proposal

Goal 8&9

A system of thin film concentration unit was studied. No50%

Department Cost reduction by improved monomer productivity

progress of implementation due to low production volume.
Improvement of acetylated sodium hyaluronate

One proposal

Goal 8Implementation postponed due to low production volume0%

Implementation of plans (progress)

Goal 3&7

Construction of drying building and new adminstration

100%

productivity
Execution of capex plans to improve production
outputsbuilding in progress as planned(progress of drying building and new adminitration

No delay from planbuilding project)
Implementation of environmental activities throughISO14001 and energy saving activities

Quality

・Promotion of ISO14001 activities

Zero finding at JQA audit

Goal 7

Audit completed

100%

・Promotion of energy-saving activities

1% reduction of energy intensity

Goal 7

FY2020 energy intensity reduced by 96.8% year-on- year

100%

Promotion of EHS activities

Zero accicent/disaster（both plants）

Goal 3,8&12 2 cases occures（both plants）

Execution of planned supplyer audits0%

Zero environmental accident (both plants) Goal 14

None

100%

24 audits planned

40 audits executed

100%

Goal 3

Assurance
Department

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Research and Development Division Action Targets/Progress
Action Items

Targets

SDG Goal Remarks

Status of Achievement Progress

Against FY2030 Targets
Research and・Contract manufacturing of products underDevelopment

development

Division90 products : 2030 Goal 3

6 products

7%・Scale-up study

90 cases : 2030

Goal 7

7 cases8%・No overtime work for all employees

120 times : 2030

Goal 7

12 times

10%

・Participation in conferences and workshops

150 cases : 2030

Goal 842 cases

28%

・Study of new technology development

30 cases : 2030

Goal 95 cases17%

・Study of manufacturing method improvement

30 cases : 2030

Goal 127 cases

20%

・Zero TOC abnormality in waste water

100% : 2030

Goal 14No abnormality

10%

・Study sessions on water quality

10 sessions : 2030 Goal 14

1 session

10%

Against FY2021 targets
Process・Contract manufacturing of products underDevelopment

development

Laboratories

9 products : 2021

Goal 36 products

67%

・Scale-up study

9 cases : 2021

Goal 7

7 cases78%

・No overtime work for all employees

12 times : 2021

Goal 7

conducted jointly 12 times

100%

・Participation in conferences and workshops

8 cases : 2021

Goal 825 cases

100%

・Improvement of manufacturing process

3 cases : 2021

Goal 127 cases100%

・ Zero TOC abnormality in waste water

100% : 2021

Goal 14conducted jointly No abnormality

100%

・Study sessions on water quality

1 session : 2021

Goal 14conducted jointly 1 session

100%

Basic・No overtime work for all employees

12 times : 2021

Goal 7

conducted jointly 12 times

100%

Technology・Participation in conferences and workshops

7 cases : 2021

Goal 824 cases

100%

Debelopment

・Study of new technology development

3 cases : 2021

Goal 95 cases100%

・Zero TOC abnormality in waste water

100%: 2021

Goal 14conducted jointly No abnormality

100%

・Study sessions on water quality

1 session : 2021

Goal 14conducted jointly 1 session

100%

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Administration Division Action Targets/ Progress
Action Items

Targets/ Goals

SDG Goal Remarks

Administration DX to new normal

100% electronic transition ofGoal 7

Division

documents under responsibility ofmanagement

XPOINT、 With electronic bookkeeping capability, electronic
EVALUE

Administration Division
Recruitment

Status of Achievement

Progress

50%

conversion to be promoted from January (only foraccumulated paid holidays).

Hiring of 19 new graduates andGoal 8

21 new graduates hired100%

mid-careers（manufacruring 11、QC 5、R&D 3)

BCP review

Company-wide BCP drill(manufacturing10、QC８、R&D３）
Goal 12

Not implemented

Update of BCP documentationThrough complianceUtilization of paid holidays aswith laws andrequired by law

Goal 3

regulations

0%

BCP documentation update completed

100%

Average 7.8 days of paid holidays through August

100%

Eligible employees took more than 5 paid holidays
Overtime work management

Goal 3Monthly tally of overtime for all employees and100%

communication to each base(strict adherence to 36 agreement）
Company revitalization `Kurumin Mark `acquisition

no agreement violation throughout the year
Goal 3Publication of the status of paid holiday utilization

activities

100%

and compliance with revised Child Care and Family
Care Leave Law - target achieved 1 year earlier
Certification of Healthy

Goal 3

Certification obtained

100%Web meetings promoted by creating meeting

100%

Management Company
DX to New Normal

80 % of internal meetings to bemanagementtransferred to web meetings

Goal 7TEAMS

channel on MS TEAMS

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Sales Division Action Targets/ Progress

Sales

Action Items

Targets

SDG Goal Status of Achievement

Customer survey

2 surveys

Goal 3

1 survey（nucleic acid questionnaire）

50%

Goal 7

Teams、Zoom utilization, cloud-based sales management system

100%Division Active use of WEB meetings

Progress(introduction of Smile V)
Introduction of customer meeting briefing

Information sharing

Goal 7

Daily report introduced for information sharing

100%

Monthly training X 12

Goal 8Monthly themes were selected jointly and presentation materials were100%

memo (daily report )Enhancement of presentation skills

created and presented at the training sessions.
Awareness promotion on nucleic acid

Quarterly presentation to customers

Goal 9technology and sales result increase

・Search for potential partners for contract oligonucleotide synthesis -100%

business alliance proposal under consideration・Data acquisition for FujimatⓇ application（ amidite blocks),presentation materials ( updates)created and presented on HP and tocustomers

Re-presentation on facility for

Sales of Fujimat🄬 reagent (forConclusion of reagent sales agreement with Fujifilm Wako Pure Chemical

distribution agreement)

Corporation

Participation in new theme -projects

2 themes obtained

for nucleic acid drugs (2 themes)( nucleic acid contract , Fujimat🄬 supply, discussion on amidite blocks)

1 new contract

Goal 91 contract obtained

4 cases

Goal 12 ・Addition of aldehyde suppliers

100%
100%
100%pharmacologically active materials
Establishment of material procurement
network

50%・Addition of new suppliers ( solvents, reagents. search for key raw
material suppliers, information sharing with manufacturers)
・Study of contracting out intermediate production, listing up auxiliary raw
materials and investigation of manufacturers
・Study of second contractor for manufacturing transfer

Establishment of flow synthesis

JV participation, information

・Completed study of ﬂow of main materials

infrastructure

gathering・JV participation （full-scale sales activities to start on April 1)

New material and product development

6 cases (asphalt materials, adhesives for optical fiber, new electronic

100%
85%

materialsc, application development of AcHA)
Effective utilization of waste liquid

1 caseGoal 14 2 cases（study of THF waste liquid、evaluation of methylene chloride
eﬄuent of OH form and charging for it）

9/9

100%