Furukawa Electric Group Sustainability Report 2016

GRI Guideline Table of Contents
No.

Indicators

Page

1. Strategy and Analysis
1.1

1.2

Statement from the most senior decision-maker of the organization (e.g.,CEO, chair, or equivalent senior position) about the relevance ofsustainability to the organization and its strategy.
Description of key impacts, risks, and opportunities.

No.

Top Message
Top Message
Risk Management

Indicators

Page

2. Organizational Profile
2.1

Name of the organization.

Company Profile

2.2

Primary brands, products, and/or services.

Company Profile
Business Report

2.3

Operational structure of the organization, including main divisions, operatingcompanies, subsidiaries, and joint ventures.

Global Network

2.4

Location of organization's headquarters.

Company Profile

2.5

Number of countries where the organization operates, and names ofcountries with either major operations or that are specifically relevant to thesustainability issues covered in the report.

Global Network

2.6

Nature of ownership and legal form.

Company Profile

2.7

Markets served (including geographic breakdown, sectors served, and typesof customers/beneficiaries).

Global Network

2.8

Scale of the reporting organization, including:Number of employees;
Net sales (for private sector organizations) or net revenues (for public sectororganizations);
Total capitalization broken down in terms of debt and equity (for privatesector organizations); andQuantity of products or services provided.

Company Profile
Financial and Non-financialHighlights

2.9

Significant changes during the reporting period regarding size, structure, orownership including:
The location of, or changes in operations, including facility openings,
closings, and expansions; andChanges in the share capital structure and other capital formation,
maintenance, and alteration operations (for private sector organizations).

-2.10

Awards received in the reporting period.

-No.

Indicators

Page

3. Report Parameters
Report Profile
3.1

Reporting period (e.g., fiscal/calendar year) for information provided.

Editorial Policy

3.2

Date of most recent previous report (if any).

Editorial Policy

3.3

Reporting cycle (annual, biennial, etc.)

Editorial Policy

3.4

Contact point for questions regarding the report or its contents.

Editorial Policy

Report Scope and Boundary

3.5

Process for defining report content, including:
Determining materiality;
Prioritizing topics within the report; andIdentifying stakeholders the organization expects to use the report.

7

Editorial PolicyFurukawa Electric Group Sustainability Report 2016

3.6

Boundary of the report (e.g., countries, divisions, subsidiaries, leased
facilities, joint ventures, suppliers). See GRI Boundary Protocol for furtherguidance.

Editorial Policy

3.7

State any specific limitations on the scope or boundary of the report.

-3.8

Basis for reporting on joint ventures, subsidiaries, leased facilities,
outsourced operations, and other entities that can significantly affectcomparability from period to period and/or between organizations.

-

3.9

Data measurement techniques and the bases of calculations, including
assumptions and techniques underlying estimations applied to thecompilation of the Indicators and other information in the report.

-

Explanation of the effect of any re-statements of information provided inearlier reports, and the reasons for such re-statement (e.g.,
3.10.
mergers/acquisitions, change of base years/periods, nature of business,measurement methods).

-

3.11

Significant changes from previous reporting periods in the scope, boundary,or measurement methods applied in the report.

No significant changes

GRI Content Index
3.12

Table identifying the location of the Standard Disclosures in the report.

GRI Guideline Table of ContentsAssurance

3.13

Policy and current practice with regard to seeking in the assurance reportaccompanying the sustainability report, explain the scope and basis of any
external assurance provided. Also explain the relationship between thereporting organization and the assurance provider(s).

No.

Indicators

Third-Party Opinion

Page

4. Governance, Commitments and Engagement
Governance
4.1

Governance structure of the organization, including committees under thehighest governance body responsible for specific tasks, such as setting
strategy or organizational oversight.

Corporate Governance
CSR Management/CSR Promotion
Framework

4.2

Indicate whether the Chair of the highest governance body is also an
executive officer (and, if so, their function within the organization'smanagement and the reasons for this arrangement).

Corporate Governance

4.3

For organizations that have a unitary board structure, state the number ofmembers of the highest governance body that are independent and/or nonexecutive members.

Corporate Governance

4.4

Mechanisms for shareholders and employees to provide recommendations
or direction to the highest governance body.

Corporate GovernanceImproving the Working Environment
through Labor-Management Opinion
Exchanges

4.5

Linkage between compensation for members of the highest governancebody, senior managers, and executives (including departure arrangements),
and the organization's performance (including social and environmentalperformance).

Corporate Governance

4.6

Processes in place for the highest governance body to ensure conflicts ofinterest are avoided.

Corporate Governance

4.7

Process for determining the qualifications and expertise of the members of
the highest governance body for guiding the organization's strategy on
economic, environmental, and social topics.

-4.8

Internally developed statements of mission or values, codes of conduct,
and principles relevant to economic, environmental, and social performanceand the status of their implementation.

CSR Management/Group Philosophy,Basic Policy and CSR Code ofConduct

4.9

Procedures of the highest governance body for overseeing theorganization's identification and management of economic, environmental,
and social performance, including relevant risks and opportunities, andadherence or compliance with internationally agreed standards, codes ofconduct, and principles.

CSR Management/CSR Promotion
Framework
Corporate Governance8

Furukawa Electric Group Sustainability Report 2016

Processes for evaluating the highest governance body's own performance,
4.10. particularly with respect to economic, environmental, and socialperformance.

Corporate GovernanceCommitments to External Initiatives

4.11

Explanation of whether and how the precautionary approach or principle isaddressed by the organization.

Risk Management/Overview of theRisk Management Structure
Compliance
Environmental Risk Management

4.12Externally developed economic, environmental, and social charters,principles, or other initiatives to which the organization subscribes orendorses.

-4.13

Memberships in associations (such as industry associations) and/or
national/international advocacy organizations in which the organization:
Has positions in governance bodies;
Participates in projects or committees;
Provides substantive funding beyond routine membership dues; orViews membership as strategic.

-Stakeholder Engagement
4.14

List of stakeholder groups engaged by the organization.

CSR Management/Stakeholder
Relations

4.15

Basis for identification and selection of stakeholders with whom to engage.

-4.16

Approaches to stakeholder engagement, including frequency ofengagement by type and by stakeholder group.

CSR Management/Stakeholder
Relations

4.17

Key topics and concerns that have been raised through stakeholder
engagement, and how the organization has responded to those key topics
and concerns, including through its reporting.

-No.

Indicators

Page

5. Management Approach and Performance Indicators
Economic
Management Approach
Economic Performance

EC1

Direct economic value generated and distributed, including revenues,operating costs, employee compensation, donations and other communityinvestments, retained earnings, and payments to capital providers andgovernments.

Financial and Non-financialHighlights

EC2

Financial implications and other risks and opportunities for theorganization's activities due to climate change.

-

EC3

Coverage of the organization's defined benefit plan obligations.

-

EC4

Significant financial assistance received from government.

-Aspect: Market Presence
EC5

Range of ratios of standard entry level wage compared to local minimum
wage at significant locations of operation.

-EC6

Policy, practices, and proportion of spending on locally-based suppliers at
significant locations of operation.

-EC7

Procedures for local hiring and proportion of senior management hiredfrom the local community at locations of significant operation.

-Aspect: Indirect Economic Impacts
EC8Development and impact of infrastructure investments and services
provided primarily for public benefit through commercial, in kind, or pro
bono engagement.

Initiatives for Society/Activities in EachRegionEC9Understanding and describing significant indirect economic impacts,including the extent of impacts.

-Environmental

9Furukawa Electric Group Sustainability Report 2016

Management Approach
Materials
EN1

Materials used by weight or volume.

Material Flow

EN2

Percentage of materials used that are recycled input materials.

-EN3

Direct energy consumption by primary energy source.

Material Flow
Preventing Global Warming

EN4

Indirect energy consumption by primary source.

Material Flow
Preventing Global Warming

EN5

Energy saved due to conservation and efficiency improvements.

Preventing Global Warming

EN6

Initiatives to provide energy-efficient or renewable energy based products
and services, and reductions in energy requirements as a result of theseinitiatives.

Financial and Non-financial
Highlights
Environmentally Friendly Products

EN7

Initiatives to reduce indirect energy consumption and reductions achieved.

Financial and Non-financial
Highlights
Preventing Global Warming

EN8

Total water withdrawal by source.

Material Flow

EN9

Water sources significantly affected by withdrawal of water.

-EN10

Percentage and total volume of water recycled and reused.

-Energy

Water

Biodiversity
EN11Location and size of land owned, leased, managed in, or adjacent to,protected areas and areas of high biodiversity value outside protectedareas.

-EN12

Description of significant impacts of activities, products, and services on
biodiversity in protected areas and areas of high biodiversity value outside
protected areas.

-EN13Habitats protected or restored.

-EN14

Strategies, current actions, and future plans for managing impacts on
biodiversity.

Biodiversity Conservation

EN15

Number of IUCN Red List species and national conservation list species
with habitats in areas affected by operations, by level of extinction risk.

-Emissions, Effluents, and Waste
EN16

Total direct and indirect greenhouse gas emissions by weight.

Preventing Global Warming

EN17

Other relevant indirect greenhouse gas emissions by weight.

Preventing Global Warming

EN18

Initiatives to reduce greenhouse gas emissions and reductions achieved.

Preventing Global Warming

EN19

Emissions of ozone-depleting substances by weight.

Preventing Global Warming

EN20

NO, SO, and other significant air emissions by type and weight.

Material Flow
Chemical Substance Management

EN21

Total water discharge by quality and destination.

-EN22

Total weight of waste by type and disposal method.

Material Flow
Reducing Waste

EN23

Total number and volume of significant spills.

Environmental Risk Management

EN24

Weight of transported, imported, exported, or treated waste deemedhazardous under the terms of the Basel Convention Annex I, II, III, and VIII,and percentage of transported waste shipped internationally.

-EN25

Identity, size, protected status, and biodiversity value of water bodies andrelated habitats significantly affected by the reporting organization's
discharges of water and runoff.

-Products and Services
EN26

Initiatives to mitigate environmental impacts of products and services, andextent of impact mitigation.

10

Environmentally Friendly ProductsFurukawa Electric Group Sustainability Report 2016

EN27

Percentage of products sold and their packaging materials that arereclaimed by category.

-Compliance
EN28

Monetary value of significant fines and total number of non-monetary
sanctions for noncompliance with environmental laws and regulations.

-Transport
EN29

Significant environmental impacts of transporting products and other goods
and materials used for the organization's operations, and transporting
members of the workforce.

Preventing Global Warming

Total environmental protection expenditures and investments by type.

Environmental
Management/Environmental
Accounting

Overall
EN30

Labor Practices and Decent WorkManagement Approach
Employment
LA1

Total workforce by employment type, employment contract, and region.

Employee Data Book/Group Data(Consolidated)

LA2

Total number and rate of employee turnover by age group, gender, andregion.

Employee Data Book/Furukawa
Electric Data

LA3

Benefits provided to full-time employees that are not provided to temporary
or part-time employees, by major operations.

-Labor/Management Relations
LA4

Percentage of employees covered by collective bargaining agreements.

Employee Data Book/Furukawa
Electric Data

LA5

Minimum notice period(s) regarding operational changes, including
whether it is specified in collective agreements.

Work Accident

Occupational Health and Safety
LA6

Percentage of total workforce represented in formal joint management–
worker health and safety committees that help monitor and advice on
occupational health and safety programs.

Employee Data Book/Furukawa
Electric Data

LA7Rates of injury, occupational diseases, lost days, and absenteeism, andnumber of work-related fatalities by region.

Occupational Health and Safety/WorkAccident Occurrence Status

LA8

Education, training, counseling, prevention, and risk-control programs inplace to assist workforce members, their families, or community members
regarding serious diseases.

Occupational Health andSafety/Healthcare for Employees
Working Long Hours

LA9Health and safety topics covered in formal agreements with trade unions.

Basic approach to occupational healthand safety management

Training and Education
LA10

Average hours of training per year per employee by employee category.

-LA11

Programs for skills management and lifelong learning that support thecontinued employability of employees and assist them in managing careerendings.

Human Resources Development

LA12

Percentage of employees receiving regular performance and careerdevelopment reviews.

-Diversity and Equal Opportunity
LA13

Composition of governance bodies and breakdown of employees percategory according to gender, age group, minority group membership, andother indicators of diversity.

Employee Data Book/Furukawa
Electric Data

LA14

Ratio of basic salary of men to women by employee category.

Employee Data Book/Furukawa
Electric Data

Human Rights
Management Approach

11Furukawa Electric Group Sustainability Report 2016

Investment and Procurement Practices
HR1Percentage and total number of significant investment agreements thatinclude human rights clauses or that have undergone human rights
screening.

-HR2

Percentage of significant suppliers and contractors that have undergone
screening on human rights and actions taken.

Relations with Business
Partners/Partners Meeting andPartner Evaluation Scheme

HR3

Total hours of employee training on policies and procedures concerning
aspects of human rights that are relevant to operations, including thepercentage of employees trained.

Compliance/Training and Raising
Awareness among Employees-Non-discrimination
HR4Total number of incidents of discrimination and actions taken.

-Freedom of Association and Collective Bargaining
HR5

Operations identified in which the right to exercise freedom of associationand collective bargaining may be at significant risk, and actions taken to
support these rights.

-Child Labor
HR6

Operations identified as having significant risk for incidents of child labor,and measures taken to contribute to the elimination of child labor.

-Forced and Compulsory Labor
HR7

Operations identified as having significant risk for incidents of forced orcompulsory labor, and measures to contribute to the elimination of forced
or compulsory labor.

-Security Practices
HR8

Percentage of security personnel trained in the organization's policies orprocedures concerning aspects of human rights that are relevant tooperations.

-Indigenous Rights
HR9

Total number of incidents of violations involving rights of indigenous people
and actions taken.

-Society
Management Approach
Community
SO1

Nature, scope, and effectiveness of any programs and practices thatassess and manage the impacts of operations on communities, including
entering, operating, and exiting.

-Corruption
SO2

Percentage and total number of business units analyzed for risks related tocorruption.

-SO3

Percentage of employees trained in organization's anti-corruption policies
and procedures.

Compliance/Training and Raising
Awareness among Employees

SO4

Actions taken in response to incidents of corruption.

-Public Policy
SO5

Public policy positions and participation in public policy development andlobbying.

-SO6

Total value of financial and in-kind contributions to political parties,
politicians, and related institutions by country.

-Anti-Competitive Behavior
SO7

Total number of legal actions for anticompetitive behavior, anti-trust, andmonopoly practices and their outcomes.

-Compliance
SO8

Monetary value of significant fines and total number of non-monetary
sanctions for noncompliance with laws and regulations.

12-Furukawa Electric Group Sustainability Report 2016

Product Responsibility
Management Approach
Customer Health and Safety
PR1

Life cycle stages in which health and safety impacts of products andservices are assessed for improvement, and percentage of significant
products and services categories subject to such procedures.

Relations with Customers

PR2

Total number of incidents of non-compliance with regulations and voluntary
codes concerning health and safety impacts of products and services
during their life cycle, by type of outcomes.

-Product and Service Labeling
PR3

Type of product and service information required by procedures, andpercentage of significant products and services subject to such information
requirements.

Environmentally Friendly Products

PR4

Total number of incidents of non-compliance with regulations and voluntary
codes concerning product and service information and labeling, by type ofoutcomes.

-PR5

Practices related to customer satisfaction, including results of surveys
measuring customer satisfaction.

Relations with Customers

Marketing Communications
PR6

Programs for adherence to laws, standards, and voluntary codes related tomarketing communications, including advertising, promotion, andsponsorship.

-

PR7

Total number of incidents of non-compliance with regulations and voluntary
codes concerning marketing communications, including advertising,promotion, and sponsorship by type of outcomes.

-Customer Privacy
PR8

Total number of substantiated complaints regarding breaches of customer
privacy and losses of customer data.

-Compliance
PR9

Monetary value of significant fines for noncompliance with laws andregulations concerning the provision and use of products and services.

13-