CSR 2015
CEO Message

02

Nissha's CSR
Approach to CSR
Nissha's Stakeholders
United Nations Global Compact

04
05
09
13

Organizational GovernanceCorporate GovernanceCorporate Ethics and Compliance
Distribution of Added Value to Stakeholders

14
15
22
24

Human Rights

25

Labor Practices
Human Resources Development
Respect for Diversity
Support for Diverse Work Styles
Safety and Health

28
29
33
38
43

The Environment
Environmental Policy and Management Structures
Environmental Objectives and Status of Achievement
Environmental Impact as a Result of Business Operations
Prevention of Further Global Warming
Waste Management
Monitoring and Prevention of Pollution
Status of Waste Generation at Bases

48
49
52
56
58
61
63
66

Fair Operating Practices
Initiatives Related to Information Security
Trade Management
Initiatives Related to Intellectual Property
Partnership with Our Suppliers
Initiatives Related to Conflict Minerals

69
70
73
76
78
82

Consumer Issues

84

Community Involvement and Development

88

Company Outline

91

Editorial Policy

96

GRI Content Index

99

Sustainability

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CSR Report 2015

CEO Message
Status of Nissha Business
The Nissha Group has succeeded in expanding
business operations by evolving our printing
technologies and selectively focusing ourmanagement resources on fields such as IMD andtouch panels. In the previous Fourth Medium-term
Business Plan (FY2013–FY2015), our financial
strength improved thanks to the rapid progress madeby Devices business, whose core product is touch
panels. The Devices business, however, requires anoptimized portfolio of target markets as it relies
largely on the consumer electronics industry prone to sharp fluctuations in demand. The Industrial
Materials business and the Information and Communication business were unable to achieve a fullrecovery of performance, and need to improve profitability through an accelerated reorganization ofbusiness structure.
Fifth Medium-term Business Plan
Recognizing these challenges, in April 2015, the Nissha Group started operation of the Fifth
Medium-term Business Plan based on a fundamental strategy for reorganizing our businessportfolio. “We will acquire and merge new core technologies into printing technologies andcompletely reorganize our business portfolio in global growth markets”—in line with this new
medium-term vision, we will seek to create new values and innovative product lineups through an
expansion of our existing base of proprietary printing technologies combined with newly added coretechnologies, and branch out into markets with global potential to realize continuous, stable growth.
Using return on equity (ROE) and return on invested capital (ROIC) as management indicators formeasuring the results of our efforts, we will promote reorganization of our business portfolio fromthe perspectives of business profitability and capital efficiency.
Nissha’s CSR
Nissha’s business activities must both achieve financial growth for the company and create value
for society. We believe this defines the “Co-existence” articulated in our corporate mission, and thecorporate social responsibility (CSR) we are required to fulfill. Essential to realizing this iscommunication and collaboration between Nissha and our stakeholders.
Our new brand statement, “Empowering Your Vision,” expresses the relationship of co-existence
between Nissha and our stakeholders. Both we and our customers, shareholders, employees,
suppliers, and society have visions, and we mutually affect each other toward realizing it. We
maximize our capabilities driven by our technology, passion, and leadership, and with the energy
infused in us by our stakeholders, together create value for the future.
Aiming to be a Company that Creates Value for Global Society
In April 2012, we joined the United Nations Global Compact and declared our commitment in theareas of human rights, labor, the environment, and anti-corruption. In April 2015, we established a
CSR Committee and defined the target areas of our activities as basic CSR and strategic CSR.

CEO Message

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CSR Report 2015

Today, corporate management that merely adheres to the laws and customs of its own country is
insufficient and unrecognized by global society. In basic CSR, we conform to standards based on
the global template provided by the Electronic Industry Citizenship Coalition (EICC). By building
and operating management systems in the areas of labor, safety and health, the environment, andethics, we aim to strengthen our foundation as a corporation and be a company trusted by global
society.
In strategic CSR, we promote initiatives to enhance our corporate value from a medium- to longterm perspective. Diversity is essential for Nissha to realize continuous growth. To promote
diversity, we strive to enable all our employees—our most important management resources—toperform to their full potential regardless of gender, nationality, age, or disability. With a focus
particularly on expanding women’s participation in business, in June 2014, we welcomed Nissha’s
first female board member. Our new Life Innovation business, launched in April 2015, aims tocontribute to safe, secure, and healthy lifestyles worldwide. By offering products and services that
resolve society’s challenges, we seek to be a company needed by society.
In Closing
Fiscal year 2016 will see the target date for realizing the United Nations’ Millennium Development
Goals (MDGs), and discussions are underway to design a post-2015 development agenda tosucceed it, notably a set of Sustainable Development Goals (SDGs). For Nissha, where we aim to
be a truly global company, it is more important than ever that we turn our eye to global society andaddress its challenges. To this end, we strive to listen to our stakeholders at all times and reflect
your voices in our business activities. We hope you will give CSR Report 2015 a read and offer us
your candid thoughts and advice.
We look forward to your further guidance and encouragement in the future.
June 2015
Junya Suzuki
President and CEO
Chairman of the Board

CEO Message

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CSR Report 2015

Nissha's CSR
Approach to CSR

Nissha's Stakeholders

Our new CSR Committee organized in April
2015 has eight subcommittees to promote thebuilding and operation of a management
system and work to achieve objectives inbasic CSR and strategic CSR.

This section introduces Nissha’s stakeholders
and our communication channels, as well as
examples of external assessment of Nissha
activities.

United Nations Global Compact
We joined the United Nations Global
Compact in April 2012 and declared ourcommitment to 10 principles in the areas ofhuman rights, labor, the environment, andanti-corruption.

Nissha's CSR

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CSR Report 2015

Approach to CSR
Nissha's CSRWith the start of our Fifth Medium-term Business Plan in fiscal year 2016, we have set forth a new
approach to, target areas of, and a promotional structure for Nissha’s CSR.
1. Nissha’s CSR seeks to realize our corporate mission of “pursuing a mutually trustful Coexistence with society through our business activities utilizing a unique technology
development, based on Printing as a core.” We established a new brand statement,“Empowering Your Vision,” expressing the ideal relationship of co-existence between Nissha
and our stakeholders.
2. We redefined the target areas of our CSR activities as strategic CSR and basic CSR. In
strategic CSR, we work to enhance our corporate value from a medium- to long-term
perspective by determining key material challenges and promoting initiatives to resolve them.
In basic CSR, we strive to reduce CSR risks by promoting compliance with the global
template, the Electronic Industry Citizenship Coalition (EICC) Code of Conduct, as well as withcustomer demand.
3. We organized a new CSR Committee, chaired by the president, with eight subcommittees
dedicated to areas such as labor and human rights, the environment, and safety and health.
Each subcommittee presents a strategic CSR topic and a basic CSR topic, discusses it with
the CSR Committee and the subcommittees, and works to achieve its objectives. Each
subcommittee further operates a management system and reports the progress of activities asneeded to its secretariat. Initiatives related to strategic CSR topics, in particular, are included
in Monthly Business Review (MBR) reports. The CSR Committee convenes once a year andconducts a management review in the presence of the president serving as chair.
We identify the stakeholders that support Nissha operations as our customers, shareholders,
employees, suppliers, and society. Toward realizing our corporate mission, we incorporate thevoice of our stakeholders into business activities that contribute to a sustainable society. Both weand our stakeholders have a clear vision, and we mutually affect each other toward realizing it. Our
aim is to work together and create value for the future.
* Nissha’s corporate mission and brand statement can be viewed here.
Corporate Philosophy and Nissha Brand

http://www.nissha.com/english/company/philosophy.html

CSR Management
The CSR Committee and each of its subcommittees, as a rule, build and operate a management
system. Quality, Environmental, and other subcommittees that already have ISO certification are
working to make continuous improvements and enhance performance. The Corporate Ethics andCompliance, and Labor and Human Rights subcommittees, however, had not operated amanagement system in the past. Following a CSR audit conducted by our customers in fiscal year
2015, Nitec Precision and Technologies, Inc. (NPT) started operating a management system. In thethree years from fiscal year 2016 covered by the Fifth Medium-term Business plan, we will buildand operate management systems based on the template provided by the EICC throughout the
Nissha Group including overseas bases and at major suppliers.

Approach to CSR

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CSR Report 2015

CSR Committee Organization Chart

CSR Committee Member
CSR Committee Chair: President and CEO
CSR Committee Vice Chair: Senior Director of Human Resources, General Affairs, and Legal
Affairs
CSR Committee Secretary: General: Senior Director of Corporate Communications
CSR Committee Secretariat: Corporate Social Responsibility, Corporate General Affairs
Subcommittee Secretariats
Corporate Ethics and Compliance Subcommittee: Corporate Legal Affairs
Business Continuity Planning Subcommittee: Corporate General Affairs
Labor and Human Rights Subcommittee: Corporate Human Resources and Employee Benefits
Safety and Health Subcommittee: Corporate General Affairs
Environmental Subcommittee: Corporate General Affairs
Information Security Subcommittee: Corporate Information Technology and Management
Quality Subcommittee: Chief Quality Officer’s Planning Office
Customer Satisfaction Improvement Subcommittee: Chief Quality Officer’s Planning Office

Approach to CSR

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CSR Report 2015

Corporate Philosophy and Nissha Brand
Corporate Philosophy
Nissha has integrated our standards of thought, rules ofconduct, and corporate mission—positioned at the apex—
into a Corporate Philosophy for disseminating across the
Nissha Group.

Corporate Mission
We are committed to pursuing a mutually trustful Co-existence with society through our businessactivities utilizing a unique technology development, based on Printing as a core.
Brand Statement“Empowering Your Vision” expresses the relationship of Co-existence between Nissha and our
stakeholders. Both we and our customers, shareholders, employees, suppliers, and society havevisions, and we mutually affect each other toward realizing it. We maximize our capabilities driven
by our technology, passion, and leadership, and with the energy infused in us by our stakeholders,
together create value for the future.
Brand Symbol

The “Empowering Your Vision” brand symbol is inspired by the ubiquitous presence of the
Fibonacci sequence in nature, such as the spiral patterns of flowers and shells. The design
represents the expansion of Nissha capabilities, of the visions we realize, of the new values wecreate. This chart expresses our ideals of Co-existence between Nissha and our stakeholders—arelationship in which each draws the other nearer while together we unlock a world of possibilities.
Corporate Philosophy and Nissha Brand

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CSR Report 2015

Shared Values
Growth Based on Customer Satisfaction
We create new value for our customers and transform it into a driver of growth.
Commitment to Results
We set challenging goals for ourselves and deliver results.
Magnify Leadership
We exhibit leadership and resolve difficulties regardless of division or position.
Diverse Capabilities
We respect diversity that enhances our organizational capabilities and drives growth.
Sustainability Through Integrity
We value individual dignity and conduct fair business as a global corporate citizen.

Corporate Logo
"NISSHA" is our corporate logo and core visual symbol. Our
corporate color is a vivid blue, and expresses strength, leadership,
and innovation.

Corporate Philosophy and Nissha Brand

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CSR Report 2015

Nissha's Stakeholders
Nissha's Stakeholders
We identify the stakeholders that support Nissha operations as our customers, shareholders,
employees, suppliers, and society. Toward realizing our corporate mission, we incorporate thevoice of our stakeholders into business activities that contribute to a sustainable society. Both weand our stakeholders have a clear vision, and we mutually affect each other toward realizing it. Our
aim is to work together and create value for the future.

Nissha's Circle of Trust

Customers
Nissha’s businesses—Industrial Materials, Devices, Life Innovation, and Information andCommunication—serve customers, centering on companies, spanning a broad range of fields.
We approach challenges seriously from the standpoint of our customers, resolve issues
together, and offer optimal solutions. With a quality control system in place, we seek to produce
quality products and services that win our customers’ satisfaction.
◆Communication channels
Marketing activities in daily operations
Activities to enhance customer satisfaction
Information provided about CSR reviews
Information provided about conflict minerals
Products and services website
Supplier responsibility (SR) audits by customers
Shareholders
We have a total of 45,029,493 outstanding shares and 9,627 shareholders. In a breakdown ofshareholders by type, 30.8% are Japanese financial institutions and securities firms, 24.1%
other Japanese corporations, 17.2% Japanese individuals and others, 23.2% foreign institutions
and individuals, and 4.7% treasury stock (as of the end of March 2015).
In addition to disclosing information, we create opportunities to meet directly and exchange
dialogue with our shareholders and investors through IR events and one-on-one briefings.
Nissha's Stakeholders

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CSR Report 2015

Feedback and comments are reported regularly from IR representatives to management as well
as at Board of Directors meetings, and used as a valuable resource for enhancing our corporate
value.
◆Communication channels
Shareholders’ meetings
Management briefings following shareholders’ meetings
Financial results presentations and teleconferences for institutional investors
One-on-one briefings for institutional investors
Response to individual inquiries
Various materials (reports) published for shareholders and investors
IR information provided via the Nissha website
Information for socially responsible investment (SRI) screening companies
Employees
The Nissha Group has 3,596 employees. In a breakdown by region, 71.2% work in Japan,
17.1% in Asia, 11.5% in North America, and 0.2% in Europe (as of the end of March 2015).
We promote the creation of safe, comfortable workplaces and offer support for diverse work
styles, respecting our employees’ human rights from a global perspective. We at Nissha believe
our employees are our most important management resources, and aim to achieve growth forboth the company and our employees.
◆Communication channels
Labor-management meetings
Safety and health meetings
Education and training
Personnel evaluation and interviews
Hotline (for reporting from within and outside the company)
Sexual harassment and mental health counseling
Awareness questionnaires and interviews
Suppliers
Nissha’s global operations revolve around procurement activities and engagement with a large
number of suppliers.
We strive to build partnerships of co-existence and co-prosperity with our suppliers, and create
corporate value founded on integrity. We seek to evaluate our suppliers fairly, impartially, andcomprehensively at all times, and promote CSR procurement.
◆Communication channels
Procurement activities in daily operations
CSR procurement briefings
ESG check sheets
CSR procurement and auditing
In-house exhibitions and seminars themed around supplier products and technologies
Society
The Nissha Group has 14 bases in Japan and 25 overseas, each of which carries out businessactivities with respect for the culture and climate of the region in which it operates.
We aim for widespread co-existence based on relationships of mutual trust with society. We
promote communication with local communities not only to fulfill our basic responsibilities as acorporation but also to be a company that is needed by society. We strive to be aware of global
social issues and play a role in resolving them.
◆Communication channels
Nissha's Stakeholders

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CSR Report 2015

Exchange events with community councils
Factory and facility tours
Cleanup activities in factory areas
Next-generation support activities
Support and promotion of arts and culture
Visits to local care homes for the elderly
Employee volunteer activities
Social contribution activities in collaboration with NPOs

External Assessment
Major examples of external assessment in fiscal year 2015 are given below (Nissha Group in
Japan).
 　Date  　Certiﬁcation/award 　Company/base 　Details

 　 　

 　 　

 　 　
To  reinforce  our  trade  management 　 　system,  we  obtained  approval  from  Osaka
June
Customs  as  an  AEO  Exporter,  under  the 　
 　AEO  Exporter  approval  　Nissha  Printing  Co.,  Ltd.  　
2014Authorized  Economic  Operator  program.
More  on  trade  management

 　 　

 　 　

 　 　

 　 　

 　 　

 　 　

Technology  &Development  AwardFeb.
 　 　(Parts  &  Materials),
2015
Toyota  Motor
Corporation

http://www.nissha.com/english/csr/fairpractices/ 　 　
trademanage.html 　 　
Technology  &  Development  Awards  arepresented  to  suppliers  that  have  greatly
improved  the  appeal  of  Toyota  products
through  use  of  the  latest  technology.  FISreceived  the  award  for  a  hydrogen 　detector  that  realizes  both  high-‐‑‒speed
detection  and  long  service  life.  Thetechnology  is  employed  in  the  fuel  cell 　FIS  Inc.

vehicle  MIRAI,  released  in  December
2014.
 　 　

 　 　

 　 　

 　 　

 　 　

 　 　

 　 　

 　 　
Awards  are  presented  by  the  Hokuriku
Electricity  Use  Rationalization  Committee,
in  cooperation  with  partner  institutions
and  organizations,  and  similar  committees
in  Toyama,  Ishikawa,  and  Fukui 　prefectures,  to  individuals  and  businesses
that  have  contributed  greatly  to  therationalization  and  eﬃcient  use  ofelectricity  and  energy.  NPT  Kaga  Factory
received  the  award  for  its  eﬀorts  andperformance  in  energy  management.
 　 　

Excellent  Energy
Management  Promoter
Nitec  Precision  and(Business)
Feb.
Technologies,  Inc.
 　 　Japan  Electric
 　
2015
(NPT)
Association  Hokuriku
Kaga  Factory
Branch  Directorʼ’s
Award

 　 　

 　 　

 　 　

 　 　

 　 　

 　 　

 　 　
NBS  was  recognized  for  its  eﬀorts  tocreate  an  employee-‐‑‒friendly  workplace
True  Work-‐‑‒Life  Balanceand  promote  work-‐‑‒life  balance,  such  as  by
Dec.
Nissha  Business  Service 　 　Promoter  Special 　 　encouraging  employees  to  take  days  oﬀ
2014
Co.,  Ltd.  (NBS)
Award,  Kyoto  City
for  child  nursing  and  establishing  systems
for  child-‐‑‒rearing  and  family  care  support
beyond  statutory  guidelines.
 　 　
 　 　
 　 　
 　 　
 　 　

 　 　
 　 　
Mie  Blood  Donor  Award
Mie  Prefecture,
Nitec  Industries,  Inc.
July 　 　Japanese  Red  Cross 　(NII)2014
Society  Mie  Chapter
Tsu  Factoryand  Mie  Blood  Center
 　 　
 　 　
 　 　

Nissha's Stakeholders

11

 　 　
NII  Tsu  Factory  was  recognized  for  itseﬀorts  to  promote  blood  donation 　activities  in-‐‑‒house  on  a  continuous  basis
and  its  contribution  to  securing  blood
supply.
 　 　

CSR Report 2015

A list of ISO certificates obtained is given below (Nissha Group in Japan as of the end of March
2015).

*1. Management divisions are excluded from the scope of certification.
*2. Only the management divisions have obtained certification.

Nissha's Stakeholders

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CSR Report 2015

United Nations Global Compact
On April 3, 2012, Nissha Printing Co., Ltd. joined the United
Nations Global Compact.
The Global Compact is a voluntary initiative based on 10
principles in the area of human rights, labor, the environment,
and anti-corruption. Its purpose is to have various companies
show responsible and creative leadership, and thereby act as
good members of society and participate in creating a global
framework for sustainable growth.

The United Nations Global Compact's Ten Principles
Human Rights
Principle 1: Businesses should support and respect the protection of internationally proclaimed
human rights; andPrinciple 2: make sure that they are not complicit in human rights abuses.
LabourPrinciple 3: Businesses should uphold the freedom of association and the effective recognitionof the right to collective bargaining;
Principle 4: the elimination of all forms of forced and compulsory labour;
Principle 5: the effective abolition of child labour; andPrinciple 6: the elimination of discrimination in respect of employment and occupation.
Environment
Principle 7: Businesses should support a precautionary approach to environmental challenges;
Principle 8: undertake initiatives to promote greater environmental responsibility; andPrinciple 9: encourage the development and diffusion of environmentally friendly technologies.
Anti-Corruption
Principle 10: Businesses should work against corruption in all its forms, including extortion andbribery.

Website: United Nations Global Compact

United Nations Global Compact

https://www.unglobalcompact.org

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CSR Report 2015

Organizational GovernanceCorporate Governance
Strengthening corporate governance is a key
management priority. We are working to build
and improve a structure for enhancing
transparency and ensuring fairness in ourbusiness activities, and promoting thereinforcement of internal controls.

Corporate Ethics and ComplianceWith a new Corporate Ethics and Compliance
Subcommittee, and managers and groupleaders to conduct training in their respective
divisions, we are making company-wide
efforts to ensure thorough compliance.

Distribution of Added Value to
Stakeholders
This section sums up our distributions ofadded value to stakeholders in fiscal year
2015.

Organizational Governance

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CSR Report 2015

Corporate Governance
Strengthening Corporate Governance toward Continuous Enhancement of Our
Corporate Value“We are committed to pursuing a mutually trustful Co-existence with society through our businessactivities utilizing a unique technology development, based on Printing as a core”—as stated in our
corporate mission, we at Nissha believe that continuous enhancement of our corporate value
comes from fulfilling our social responsibilities as a corporation and building a trustful relationshipwith our stakeholders. In line with this recognition, we position the strengthening of corporate
governance as a key management priority and work to build and improve a structure for enhancing
transparency and ensuring fairness in our business activities. We seek to achieve a structure thatenables swift decision making amid changes in the business environment, and to reinforce internal
controls in areas including management oversight functions, thorough compliance, and risk
management.
Strengthening Corporate GovernanceAppointment of Outside Directors for Increased Transparency
Nissha is a company with an audit and supervisory board comprising company auditors. Our
governance structure is built upon a Board of Directors, an Audit & Supervisory Board, andcorporate officers.
Our Board of Directors consists of seven members—a small group that facilitates a brisk,
substantial exchange of views. The board holds regular meetings once a month and extraordinary
meetings when necessary to receive reporting on the execution of business activities and makedecisions regarding important matters. The president chairs the meetings. In addition to board
meetings, for deliberations involving the direction of important matters we organize management
meetings with members centering on the president and inside directors. Directors serve a term ofoffice of one year, which allows for flexibility in responding to changes in the business environment
and for increased transparency of management responsibilities each fiscal year.
Our seven-member Board of Directors includes three outside directors (ratio of outside directors:
42.9%), selected from figures with experience in business administration at other companies andresearchers of corporate governance and business strategy. All of our outside directors participate
actively in board meetings from an independent standpoint, offering objective, specialist advice andopinions regarding Nissha’s management activities overall, and contributing to enhanced
transparency and reinforced management oversight by the Board of Directors. The three outside
directors are elected as independent directors based on the judgment that they do not correspondwith any item in the Tokyo Stock Exchange’s Guidelines Concerning Listed Company ComplianceCorporate Governance

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III. 5. (3)-2, and therefore are fully independent and risk no conflict of interest with generalshareholders.
Of the outside directors newly elected at the general meeting of shareholders in June 2014, one is
Nissha’s first female board member (ratio of female directors: 14.3%). We hope to turn diversity inthe boardroom into an opportunity to promote diversity in the workplace and improve our vitality.
Adoption of the Corporate Officer System
We adopt a corporate officer system to segregate the Board of Directors’ strategy-formulating andmanagement oversight functions from the corporate officers’ day-to-day business executionfunction. Corporate officers serve a term of office of one year. Six of our 18 corporate officers are
hired from outside Nissha (ratio of mid-career hires: 33.3%) for a structure that promotes diversity
and allows for flexibility in responding to changes in the business environment.
The corporate officers’ business execution function is monitored through Monthly Business Review(MBR) meetings, organized to confirm the progress of plans, toward building a system for swiftly
responding to changes in the business environment and ensuring that each business division is
operating appropriately and efficiently.
Enhanced Auditing System
Our Audit & Supervisory Board consists of two inside corporate auditors (full-time) and two outside
corporate auditors (part-time). The outside corporate auditors, selected from certified public
accountants and lawyers, conduct audits drawing on advanced expertise toward maintaining andimproving our governance structure. The two outside corporate auditors are elected as
independent directors based on the judgment that they do not correspond with any item in theTokyo Stock Exchange’s Guidelines Concerning Listed Company Compliance III. 5. (3)-2, andtherefore are fully independent and risk no conflict of interest with general shareholders.
The corporate auditors attend Board of Directors’ meetings and other important meetings, examine
requests for managerial decision and other important documents, visit Nissha’s major offices andgroup companies for audit, and exchange views with the president, directors, and heads ofbusiness divisions on a regular basis in accordance with auditing policies and plans drawn up inline with standards determined by the Audit & Supervisory Board. In addition to collaboratingclosely through regular meetings with accounting auditors, the internal audit division, and thecorporate division, the company auditors organize regular group-wide Audit & Supervisory Board
meetings to enhance and strengthen audits of the Nissha Group overall. To ensure objectivity andeffectiveness of audits, we have an Audit & Supervisory Board Members’ Office staffed by
employees dedicated to assisting the work of the corporate auditors.
Deloitte Touche Tohmatsu LLC is responsible for performing accounting audits appropriately and in
adherence with the Companies Act and with the Financial Instruments and Exchange Act.

Corporate Governance

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CSR Report 2015

Nissha's Management and Business Execution System

Remuneration for Directors and Corporate Auditors
Remuneration for directors and corporate auditors is set within the upper limit of total remuneration
approved at the general meeting of shareholders (an annual maximum total of 430 million yen for
directors and 50 million yen for corporate auditors).
Remuneration for directors consists of a basic compensation and bonus, the sums of which are
determined in accordance with a policy established by the Board of Directors. Basic compensationis set according to the scope of the role and position of each director, and finally determined bypresident and CEO based on an evaluation of the contribution and performance of the director.
Bonuses are determined by president and CEO and correspond to the degree of success inachieving performance targets based on business results (consolidated net sales, consolidated
operating income to sales ratio, performance of the business the director is responsible for, etc.). A
fixed sum is determined for outside directors, taking into account factors such as the businessexperience of each outside director.
Remuneration for corporate auditors is determined by negotiation with corporate auditors.

Total Remuneration and Number of Board Members (FY2015)

Internal Control System
With the objectives of ensuring effectiveness and efficiency of operations, reliability of reporting,and compliance, we are building an internal control system in line with the following Policy forInternal Control.

Policy for Internal Control
1. Systems necessary to ensure that the execution of duties by Directors, Members of the Boardand employees complies with laws and regulations and the Company’s articles of incorporation(i) The Company shall establish and enforce a Corporate Ethics and Code of Conduct based on

Corporate Governance17

CSR Report 2015

its corporate mission and Shared Values so as to comply with laws and social ethics from a
global point of view.
(ii) The Company shall establish a Corporate Ethics and Compliance Subcommittee under
Corporate Ethics and Compliance Rules to carry out monitoring and educational activities toensure compliance with laws and regulations, the Company’s articles of incorporation and social
norms. In addition, in order to appropriately address any compliance-related problems, “in-housereporting system” shall be established and operated, through which employees may provide
information directly to the Company.
(iii) The Company shall elect multiple Outside Board Members to maintain and enhance thefunction of supervising the execution of duties by Directors, Members of the Board.
(iv) The Internal Audit Division, which is under the direct control of the President andRepresentative Director, shall analyze and evaluate the state of the establishment andoperations of an Internal Control system, propose an improvement plan, and enrich the system.
(v) The Company shall not have any relationship with antisocial forces. The Company shall set abasic policy to counter antisocial forces and operate the policy in compliance with theRegulations regarding antisocial forces for responding to any unreasonable demands with aresolute attitude.
2. Systems regarding the retention and management of information relating to the execution ofduties by Directors, Members of the Board(i) The Company shall retain and manage information regarding execution of duties by Directors
Members of the Board, including the minutes of the General Meetings of Shareholders, theminutes of the meetings of the Board of Directors and the requests for managerial decision,
properly and with certainty pursuant to the laws and regulations and in-house regulations on
information management, and the information shall be maintained in a condition which can beinspected.
(ii) The Company shall disclose important information on all Group companies timely andproperly by establishing a Disclosure Control Committee which shall discuss the necessity oftimely disclosure of corporate information and the contents of disclosure.
3. Rules and other systems for risk management(i) The Company shall respond to the risk of managerial losses by organizing company-wide andcross-organizational subcommittees to manage the issues of corporate ethics and compliance,
BCP, labor and human rights, safety and health, environment, information security, productquality, and improved customer satisfaction under the CSR Committee led by the President andCEO, Chairman of the Board as the acting Committee Chairman.
(ii) Each subcommittee and the superintending division shall establish a management policy,
rules, etc.; determine risk analysis, risk assessment, and related measures; conduct daily
monitoring activities; and report the results of reviews to the CSR Committee.
4. Systems necessary to ensure the efficient execution of the duties by Directors, Members of
the Board(i) Through introduction of the corporate officer system, the Company shall establish functionalsegregation between strategy development and management monitoring functions to beundertaken by the Board of Directors and business executive functions to be undertaken by the
Corporate Officers.
(ii) The Board of Directors shall approve medium-term business plans, and the Directors,
Members of the Board and employees shall execute operations based on such strategic andperformance plans.
(iii) The Company shall request the Corporate Officers to report the status of their execution ofbusiness and confirm whether or not the business is executed according to the plans at amonthly meeting (MBR: Monthly Business Review).
(iv) The Company shall share the status of execution of business by the Corporate Officers andthe strategy implementation items to be undertaken by the organization through the use of IT to
improve business efficiency.

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5. Systems necessary to ensure the proper operation of the business group consisting of theCompany and its subsidiaries(i) The Affiliated Company Management Regulations shall be formulated to set basic
administration policy for all Group companies.
(ii) The Company shall appoint its officers or employees to Directors, Members of the Board andAudit & Supervisory Board Members of each Group company in order to ensure the proper
execution of operations.
(iii) The corporate division shall manage the proper execution of operations at all Group
companies and lead and counsel them, as necessary.
(iv) The Company shall periodically convene the Group Audit & Supervisory Board meeting forthe exchange of information among the Audit & Supervisory Board Members of Group
companies and strive to improve and strengthen the audits for all Group companies.
(v) In order to construct a framework to promote corporate ethics and compliance, managers
and personnel in charge of such promotion shall be appointed in each division of each Group
company. Corporate Ethics and Code of Conduct shall be prepared in the languages of majorcountries and made known to all Directors, Members of the Board, Audit & Supervisory Board
Members, Corporate Officers and employees globally through training programs.
6. Matters regarding employees assisting the duties of Audit & Supervisory Board Members,
when Audit & Supervisory Board Members ask for appointment of such employees, and mattersregarding the independence of such employees from Directors, Members of the Board(i) The Company shall establish an Auditor & Supervisory Board Member’s Office to assist theduties of Audit & Supervisory Board Members, and shall arrange for employees to be
exclusively assigned to the office.
(ii) The Auditor & Supervisory Board Member’s Office shall belong to the Audit & Supervisory
Board and be independent of Directors. With regard to matters regarding the personnel affairs of
the employees of the Auditor & Supervisory Board Member’s Office, approval of the Audit &Supervisory Board shall be obtained through consultation.
7. Systems for reporting to Audit & Supervisory Board Members by Directors, Members of theBoard and employees and other systems regarding reporting to Audit & Supervisory Board
Members
Directors, Members of the Board and employees shall quickly report to the Audit & Supervisory
Board items that have a serious influence on all Group companies, the status of risk
management, the results of internal audit, the status of internal reports and the details of suchreports, etc. The Audit & Supervisory Board Members shall request the Directors, Members of
the Board and employees to report the same as necessary.
8. Other systems necessary to ensure the effective audit by Audit & Supervisory Board
Members(i) The regular meetings for exchanges of opinions between the President and CEO, Chairmanof the Board, Directors, Members of the Board and the Audit & Supervisory Board shall be held.
The Audit & Supervisory Board Members shall also set up regular meetings with the Accounting
Auditor, Internal Audit Divisions and corporate division to cooperate with them closely.
(ii) The Audit & Supervisory Board Members shall attend not only the meetings of the Board of
Directors, but also other important meetings (MBR: Monthly Business Review, etc.), and express
their opinions as necessary. In addition, they shall also examine the requests for managerial
decision and other important documents.
(iii) The Company shall ensure objectivity and effectiveness of audits through Outside Audit &Supervisory Board Members, including those who have considerable knowledge concerning
finance and accounting or legal affairs, such as a certified public accountant or an attorney, etc.

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As can be seen, on top of building an internal control system and striving to enhance our corporate
value, we submit assessment results in the form of internal control reports to the Prime Minister ofJapan, and disclose the contents to our shareholders and investors.
We have in place a Disclosure Control Committee to ensure that information about all Nissha
Group companies is disclosed promptly and in a timely manner in accordance with related laws andordinances, and moreover that disclosure occurs swiftly, accurately, fairly, and on a continuous
basis. The committee secretariat is responsible for compiling internal information, and thecommittee for deliberating on and determining whether that information requires timely disclosure.
When disclosure is deemed necessary, the information is disclosed swiftly with approval from theBoard of Directors. As an organization under the direct control of the president, the internal audit
division is responsible for analyzing and assessing the status of preparation and operation of theinternal control system, and for offering suggestions for improvement toward maintaining andenhancing order.
Risk Management
With a risk management policy in place to clarify our approach, we promote risk management tocounter risks that may have a significant impact on our business activities, and to be fully preparedin the event an emergency does occur.
In fiscal year 2015, we established a Risk Management Subcommittee, headed by the Executive
Vice President in charge of administration, within the Management System Committee. Having
defined risks that require addressing as “any thing or situation that hinders Nissha’s implementationof the corporate mission,” the subcommittee works to ferret out all conceivable risks associatedwith business processes—including those related to disasters, accidents, and compliance—anddevise countermeasures for them. The Risk Management Subcommittee meets twice a year tonarrow down the selection of particularly significant risks to eight items, and strives to counter thoserisks and make continuous improvements. Our cross-organizational committee, subcommittee, andsuperintending divisions play a pertinent role in reducing and coping with evident risks related tocompliance, insider trading, product quality, the environment, information security, safety andhealth, and trade management.
In the area of crisis management, we have in place a set of Emergency Response Regulations
stipulating that we set up a group-wide response task force headed by the president and CEO in
the event of a serious interruption of business due to emergency over a certain level, such as alarge earthquake or new global influenza epidemic. Furthermore, in fiscal year 2015, we promoted
activities to enhance employee awareness about the general rules for action and response in an
earthquake, such as stockpiling supplies at major bases in Japan, distributing “survival cards”
listing information about what to expect and do should an earthquake strike to all officers andemployees of the Nissha Group in Japan, and conducting emergency drills.
For the purpose of ensuring business continuity and maximum service to our customers, securing
the safety of our employees and their families, and contributing to the restoration of communities
and of society at large, we conduct desktop simulation exercises aimed at identifying risks andreviewing our business continuity plan (BCP) and related codes.
In fiscal year 2016, we established a CSR Committee chaired by the president that promotes risk
management to counter or avoid risks that may have a significant impact on our business activities,
and to be fully prepared in the event an emergency does occur.
Initiatives of Internal Audit
Internal Audit, to maintain impartiality and objectivity in its functions, serves as an independent
corporate staff organization in drawing up annual auditing plans, investigating whether businessactivities are carried out appropriately and efficiently, and offering advice and recommendations tointernal organizations. Furthermore, it conducts follow-up audits to confirm how each finding thathas surfaced through the audits is improving. The office makes reports and offers suggestions
based on the results of its audits to the president and CEO at monthly meetings, and presents
particularly important matters at Board of Directors’ meetings. Moreover, it holds meetings with fulltime corporate auditors every three months to establish mutual cooperation with the Audit &Corporate Governance

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Supervisory Board.
Audits in fiscal year 2015 focused on governance, compliance, and work processes at overseas
bases and at consolidated subsidiaries in Japan. Internal Audit, as a third party, also performed an
independent assessment of financial reporting-related internal controls in response to the internal
control reporting system prescribed by the Financial Instruments and Exchange Act.

ESG Study Session by Outside Lecturer for Executives
On March 16, 2014, we organized a study session
on environmental, social, and governance (ESG)
led by an outside instructor for executives andstrategy divisions.
We invited as instructor Mr. Masaru Arai,* chair of
the non-profit organization Japan Sustainable
Investment Forum (JSIF), to provide a lecture
titled “Disclosure required by institutional investors
and management of the future,” followed by aquestion and answer session. Participants fromNissha included the president and CEO, the chief financial officer (CFO), and managers ofstrategy divisions including Corporate Strategy Planning. Against a backdrop of the rapid
expansion of ESG investing of late and the introduction of Japan’s Stewardship Code andCorporate Governance Code, a lively discussion took place regarding disclosure expected ofcompanies and ideas toward the enhancement of corporate value from a long-term perspective.
* Mr. Masaru Arai
Chairman, JSIF (Japan Sustainable Investment Forum)
CEO, Corporate Value Research InstituteMember, Advisory Committee, Criteria Sub-committee (only member from Asia), FTSE ESG Advisory
Committee
Member, CDP Japan Advisory Group
Member, the Independent Committee, Eco-stage Institute Japan
Elected Director, PRI Association Board (UN Principles for Responsible Investment) in June 2015

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Corporate Ethics and Compliance
Guideline of the Corporate Ethics and ComplianceIn addition to establishing a basic guideline based on the Nissha Group’s Corporate Mission,
Shared Values, and Guideline of the Corporate Ethics and Compliance, we set forth 13 important
points for the purpose of appropriately executing the guideline. All executives and employees work
to promote and thoroughly implement corporate ethics and compliance.

Guideline of the Corporate Ethics and Compliance
1. We comply with laws, social rules and internal regulations along with high ethics, and act
with common senses and responsibilities.
2. We pursue the Co-existence with the Stakeholders such as Customer, Shareholder,
Supplier, Society, and Employee.
3. We will immediately report and consult with supervisors or Hotline in case we find theviolation or the doubtful act against "Corporate Ethics and Code of Conduct".
13 important points
Relationship with Customer and Supplier
1. Free and Fair Competition
2. Prohibition of Corrupt Practices
3. Quality and Safety of Products
4. Protection of Intellectual Property
5. Appropriate Handling of Information and Resources
6. Compliance with Import/Export Regulations
Relationship with Shareholder
7. Handling of Corporate Information
8. Compliance with Regulations against the Insider Trading
Relationship with Society
9. Environmental Protection
10. Regional/Social Contribution
11. No Relations with Antisocial Forces
Relationship with Employee
12. Respect of Human Rights
13. Safe, Healthy and Comfortable Workplace

Promotion Structure and Initiatives
All Nissha bases in Japan and abroad appoint managers and group leaders in charge of promoting
corporate ethics and compliance. These managers and group leaders not only conduct training intheir respective divisions but also implement corporate ethics and compliance throughorganizational management, serve as the contact for Corporate Legal Affairs in responding toCorporate Ethics and Compliance22

CSR Report 2015

specific cases, and even take on the role of consultant in their workplace.
We designate every October as corporate ethics and compliance month, during which we offergroup-wide training. In fiscal year 2015, the managers and group leaders led training sessions on
two major themes—respect for human rights and appropriate handling of information—based on
training material. In conjunction with the training sessions, we carry out a test on the 13 important
points as well as a questionnaire on the Nissha Group’s awareness of compliance.
For the prevention of insider trading, we cover regulations against insider trading in our regulartraining programs in addition to educating employees through quarterly publications on the Nissha
intranet. To promote free and fair transactions, we work to enhance employee awareness of ourmanual on the promotion of appropriate transactions as well as our code on exchanging
information with competitors.
Corporate Ethics and Compliance Structure

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Distribution of Added Value to Stakeholders
Our fiscal year 2015 distribution of added value to stakeholders is given in the table below.
Distribution to shareholders increased due to a resumption of dividends. That to employees also
increased due to additions of consolidated subsidiaries. Increases in the amount of taxes paid andin internal reserves had an impact on distribution to government agencies and the company.

Distribution of Added Value to Stakeholders

Distribution of Added Value to Stakeholders

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Human Rights
Basic Policy on Labor and Human Rights
We define Nissha’s principles on labor and human rights in a basic policy toward realizing ourcorporate mission of pursuing a “mutually trustful co-existence with society.” The policy is translated
from Japanese into the English, Chinese, Korean, and Malay languages for group-wide distribution.

Basic Policy on Labor and Human Rights
In order to realize a widespread mutually trustful "co-existence" with society, Nissha will observe
the international norms, laws and ordinances related to human rights and labor standards andwill make efforts to continually improve human rights and labor standards.
1. Child labor: We will prohibit child labor and also implement relief measures.
2. Forced labor: We will eliminate all forms of forced labor.
3. Health and safety: We will secure the health and safety of our employees and provide ahygienic workplace environment.
4. Freedom of association and the right to collective bargaining: We will guarantee the right toorganize and the right to collective bargaining.
5. Discrimination: We will not discriminate based on a person’s age, disability, ethnic group,
gender, marital status, nationality, political support, race, religion, sexual orientation,
pregnancy or membership in a union. We will also not be party to this.
6. Punishment: We will not perform physical punishment or mental or physical coercion andwe will not engage in verbal abuse.
7. Working hours: We will observe the laws, ordinances and labor agreements related toworking hours, rest breaks and holidays.
8. Remuneration: We will observe the laws and ordinances related to the payment ofappropriate wages.
June 16, 2014
Junya Suzuki
President and CEO
Chairman of the Board
Nissha Printing Co., Ltd.

In April 2012, we joined the United Nations Global Compact, thereby declaring that we support andwill make continuous efforts to practice the initiative’s 10 principles in the areas of human rights,
labor, the environment, and anti-corruption. We include the 10 principles in our Corporate Ethics
and Code of Conduct Manual, citing “respect for human rights” as a key item. The manual is
produced in the Japanese, English, and Chinese languages and distributed through regular study
sessions targeting all employees. After each training session, we collect signatures from ouremployees confirming that they understand and will base their conduct on the contents of themanual.

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Hotline
To minimize risks and promote ethical conduct and compliance, as well as to enable the company
to immediately verify facts, we have in place a system for internal reporting in the event of fraud,illegal activity, or unethical conduct by either an organization or an individual employee. The hotline,
a dedicated telephone line, enables reporting from within the company and from outside (through alawyer’s office). Our Internal Reporting Code protects informers from any unfavorable treatment byeither the company or other employees on account of their reporting. We also accept anonymous
reports.
In fiscal year 2015, the hotline was used five times. The reports concerned mainly labor
management. We are working to enhance employee awareness of this hotline through the
Corporate Ethics and Code of Conduct Manual, as well as through the Nissha intranet and training,in order to further reinforce corporate ethics and compliance.
With the aim of preventing and resolving rifts in workplace relationships, including sexual andpower harassment, on April 1, 2015, we established a help desk specializing in harassment,
providing our employees with a clearer destination for discussing their concerns.
Hotline Organizational Chart

Relationship with Labor Union
Nissha Printing Co., Ltd. has a solid relationship with the Nissha Labor Union,*1 joined by
employees excluding managerial staff. It holds regular negotiations and discussions with the labor
union, holding Management Council meetings every month to negotiate and discuss employees’labor conditions and to share information about the Nissha Group’s business operations. Although
no minimum period is set for notifying the union of significant changes in labor conditions, thecompany exchanges dialogue with the labor union on a daily basis with the aim of reaching anagreement satisfactory to both.
The labor contract confirms, “the Company and the Union shall respect one another’s position andmaintain a peaceful relationship between labor and management as well as strive for the
maintenance and improvement of labor conditions and the growth of the Company,” and stipulates,
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“the Company shall respect the Union’s right to organize, right to collective bargaining, and right to
act as a group,” thereby guaranteeing basic labor rights for union members.
The Nitec Industries Labor Union,*2 organized at affiliated company Nitec Industries, Inc. (NII)
holds negotiations and discussions about employees’ labor conditions. And the Workplace
Improvement Committee, established by both labor and management at Nitec Precision andTechnologies, Inc., (NPT) works to promote improvements in the workplace environment and inwelfare benefits.
In fiscal year 2015, the Nissha Group had no report either of a strike or lockout or of a situation that
infringed on our employees’ freedom of association. We will continue to respect the mutual
positions of both company and union, and build a sound relationship between labor andmanagement.
*1 As of the end of March 2015, the Nissha Labor Union has a membership of 913.
*2 As of the end of March 2015, the Nitec Industries Labor Union has a membership of 476.
Freedom of Association and Collective Bargaining
Our Basic Policy on Labor and Human Rights contains the provision, “4. Freedom of associationand the right to collective bargaining: We will guarantee the right to organize and the right tocollective bargaining.” We adhere to international norms and laws on human rights and labor
standards, and strive for continuous improvement. In fiscal year 2015, we embarked to build
management systems in the areas of labor and human rights toward preparing a structure forcomplying with the global template provided by the Electronic Industry Citizenship Coalition (EICC).
A risk assessment concerning labor and human rights identified the possibility that Nitec Precision
and Technologies, Inc. (NPT), which has no labor union, risks not selecting workplace
representatives through democratic election. In response, NPT established a Workplace
Improvement Committee as a forum for regular dialogue between workplace representatives
selected through democratic election and management on improving the workplace environment
and welfare benefits. We have also started to conduct CSR audits of suppliers, evaluating similarcases as noncompliant and calling for rectification.
The Fifth Medium-term Business Plan launched in fiscal year 2016 promotes the establishment of astructure in compliance with the EICC template at all Nissha Group bases, including thoseoverseas, and at major suppliers. We are striving to reduce CSR risks also in the areas of freedomof association and collective bargaining through the operation of management systems in line withour basic policy.
Fair Evaluation and Treatment
We at the Nissha Group view evaluation systems as a mechanism for ensuring consistency
between the company’s strategy and individuals’ goals, and for determining treatment accordingly.
To this end, we conduct a personnel evaluation of all full-time Nissha Group employees twice ayear. The evaluations cover the level of achievement of employees’ goals (accountability) and
responsibility, the results of which are reflected in bonuses, pay raises, and promotions. By
organizing interviews at the time the goals are set and the results are evaluated, we strive for
evaluation and treatment that are fair and convincing.

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Labor Practices
Human Resources Development
We believe that our employees are our mostimportant management resource. We
promote comprehensive education with theaim of achieving growth for both theCompany and our employees.

Respect for Diversity
One of our Shared Values is Diverse
Capabilities. To enhance our strengths as acompany, we aim to create workplaces inwhich all employees can perform to their fullpotential.

Support for Diverse Work Styles
We support diverse work styles to help our
employees to achieve work-life balance, andpromote the creation of even more
comfortable and motivating workplaces.

Labor Practices

Safety and HealthWe operate a Safety and Health Management
System to standardize and enhance the levelof initiatives throughout the Nissha Group.
We also work to prevent lifestyle diseases
and support the mental health of ouremployees.

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Human Resources Development
Human Resources Development Policy
We implement a planned development of human resources needed for the company to growand actively support our employees in the voluntary development of their skills with the aim ofachieving growth for both the company and our employees.

We at Nissha believe that our employees are our most important management resources. We areaiming to achieve growth for both the company and our employees by actively supporting the
growth of each individual employee and developing human resources who are equipped with theskills and experience required to work at Nissha.
Approach to Human Resources Development
We at Nissha approach human resources development from the three areas of planned humanresource development, skill development, and career development. For each area, we aim topromote comprehensive education incorporating the perspectives of training system, on-the-job
training (OJT), medium- to long-term career path development, and human resource systems to
support these programs.

Human Resources Development Model

Planned human resource development
Implement planned development to foster and secure the human resources needed to achieve
the management vision. (e.g., growth strategy, business continuity, creation of corporate culture)
Skill development
Individual employees voluntarily develop their skills and increase their market value.

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→The company supports this and thereby enhances the quality of its human resources.
Career development
Support medium- to long-term career development and promote growth toward employees’
ideals. (Provide opportunities to recognize the importance of and pursue career development.)

Training System Model

Education programs
Area

Training

Planned human resource development

Nissha Academy (selective training for nextgeneration management candidates), rank-specifictraining, manager training, overseas appointee
training, etc.

Skill development

Theme-specific training (leadership, problemsolving skills), foreign language training,accounting education, in-house TOEIC testing,correspondence course, etc.

Career development

Education for young employees (first, second, andthird years of joining Nissha), career developmenttraining, etc.

Enhancement of Selective Human Resource Development
In fiscal year 2014, we established Nissha Academy, an in-house institute for fortifying advanced,
specialized development of human resources. While we continue to expand on our rank-specific,
theme-specific, and career design training programs, Nissha Academy employs a selective system
to provide advanced, specialized education.
Nissha Academy has opened a Business School, which provides knowledge and skills in the
proposal and execution of management strategies including accounting, finance, marketing, andhuman resources; and a Management of Technology (MOT) School, which aims to foster leaderscapable of linking technology with management to create new businesses. Graduates of eachschool are given opportunities to practice what they have learned through involvement in projects
and the drafting of medium-term business plans, for a consistent human resource development

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program that integrates all three areas of planned human resource development, skill development,
and career development. Nissha Academy plans to establish a variety of courses in future, such as
for learning the scientific processes of “monozukuri” (manufacturing).

Company-wide Basic Education
While providing advanced, specialized selective education at Nissha Academy, we are also
focusing on basic education in business skills for all employees. From fiscal year 2013 onward, inparticular, we conduct company-wide training in accounting and cost on a continuous basis. The
aim of the program is to have employees gain an understanding of the numerical figures associatedwith our business activities, and perform their job always with an awareness of how their work
reflects in these figures. Starting in fiscal year 2015, we also offer basic education in quality control
and improvement not only to relevant employees, as in the past, but also to young and mid-career
employees throughout the company.
Training Programs in Fiscal Year 2015
In fiscal year 2015, corporate divisions organized a total of 24 training programs undertaken by
1,057 employees (822 men and 235 women). By area, skill development, centering on programs
that call for voluntary participation, and career development, targeting primarily young employees,
had a significant percentage of female participants. Planned human resource development,
consisting of Nissha academy, manager training, and rank-specific training, had a high percentage
of male participants. We expect the number of female participants to grow further, however, due toan anticipated increase in high-ranking females as a result of efforts to promote expanding
women’s participation in business, as well as through career development training programs in theplanning for women employees.
Training program participants (full-times employees by gender)* Numbers for skill development exclude participants in in-house TOEIC testing andcorrespondence courses

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Training hours per participant (full-time employees by gender, unit: hour)* Numbers for each area are calculated by dividing total training hours by gender by the number offull-time male and female employees* Hours for skill development exclude participants in in-house TOEIC testing and correspondence
courses

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Respect for Diversity
The Nissha Group has a set of Shared Values that serve as a code of behavior for Nissha People
seeking to realize our corporate mission. One of those values, Diverse Capabilities, declares, “We
respect diversity that enhances our organizational capabilities and drives growth.” To grow as a
global company, we respect diverse work styles by diverse human resources, and aim to create
workplaces in which all employees can perform to their full potential.

Composition of "Nissha People"
The diversity of the Nissha Group shows in our employee composition in terms of gender, age, andemployment status. More than one-fourth of our employees work at Nissha Group companies
outside Japan. Locally hired employees are appointed to upper management positions at overseas
bases. The CEOs of three companies in North America are served by local hires (as of the end of
March, 2015).
Composition of Nissha People*Directors include outside directors.

Composition by age (Nissha Printing Co., Ltd., as of the end of March, 2015)

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Number of Nissha Group Employees*Figures exclude temporary employees.

Composition by region (Nissha Group, as of the end of March, 2015)

Gender ratio by region

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Composition by employment status (Nissha Group, as of the end of March, 2015)

Gender ratio by employment status

Percentage of People with Disabilities Employed at Major Group Companies
The Nissha Group periodically interviews employees with disabilities and promotes their long-term
employment. We work to create jobs by preparing workplace environments for and spreading
understanding about the employment of people with disabilities. In fiscal year 2015, Nissha Printing
Co., Ltd., with the largest number of employees, employed more people with disabilities than thestatutory rate of 2.0%.

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*The statutory employment rate of people with disabilities for private companies in Japan changed
from 1.8% to 2.0% on April 1, 2013.

Expansion of Women’s Participation in Business
In July 2014, we launched a project team led by
Human Resources for expanding women’s
participation in business. As a first step, we sought
to understand how women employees felt about
working in the Nissha Group. We interviewed 134
women—about 30% of all women employees—atour headquarters and bases in Japan.
Many were of the view that they “got along wellwith their co-workers thanks to a comfortable
Interview women employees
workplace” and that Nissha provided a “broad
range of systems for child-rearing support that are easy to use.” As much as 80% of our women
employees felt “the Nissha Group is a good place to work” or that they “wish to continue working
at Nissha.”In response to questions concerning the will to take on managerial roles, however, many women
were under the impression that “management seems like too large a responsibility” and theywould “rather be a player than a manager.” Only 13% of our women employees “want to be a
manager,” bringing to light the need to foster recognition and understanding of the role and workof management, and the challenge of a lack of role models.
The interviews also drew out requests unique to women for improving the workplaceenvironment. Some views have led to actual changes at production facilities. We feel that
expanding women’s participation in different types of workplace requires a mechanism fortranslating the voices of women into practice in real life.
To expand women’s participation in business, it is important to realize work-life balance for both
women and men. Acting on this belief, in October 2014 we created a Work-Life Balance Support
Guidebook and distributed it to all employees of the Nissha Group in Japan. In April 2015 we
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added to our intranet a NISSHINE (Nissha +shine) section for communicating information on
work-life balance support and expansion of
women’s participation in business. Along with an
introduction to systems for supporting child-rearing
and family care, the section publishes the voicesof employees who have used each system, withthe hope that this will acquaint other employeeswith and encourage them to take advantage of thesystems.
The Labor and Human Rights Subcommittee,
NISSHINE on intranet
launched within the CSR Committee in April 2015,
has set key performance indicators (KPI) for the key topic of expansion of women’s participationin business. We hope to continue in our efforts toward realizing the Diverse Capabilities cited in
our Shared Values.

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Support for Diverse Work Styles
The Nissha Group has many initiatives to support diverse work styles and achieve work-lifebalance for employees.
Introduction of Flexible Work Hours
We have in place flexible work hours as a mechanism in which employees can voluntarily
determine their own start and finish times of the working day. The aims of the system include
responding flexibly to the time difference between Japan and overseas, to deadlines, and to thebusy and slow hours of the working day, and enabling employees to maintain harmony between
work and life. Initially introduced in sales departments, the system was expanded gradually to otherdivisions and today benefits employees also in development and administration.
Promotion of the Use of Paid Leave
To promote the use of paid leave, we encourage employees to take two days each under oursummer and winter vacation planning systems, and offer a further two days in which employees
may request to take paid leave on their birthday, that of a family member, or their wedding
anniversary. As a result of ongoing efforts, the average paid leave taken in fiscal year 2015
exceeded 10 days. We plan to continue aiming for improvements in the percentage of paid leave
used.
Average days and percentage of annual paid leave used

Reduction of Overtime WorkWe are promoting a reduction of overtime work with the aim of encouraging employees to improvetheir work process and the way they manage their time, and thereby achieve work-life balance.
Each month, departments that had a large amount of overtime work are questioned as to thecauses, future outlook, and physical condition of employees. The findings are reported to
management and the labor union, and furthermore reflected in personnel assignment decisions. In
fiscal year 2015, the amount of overtime work decreased by 5.9% compared to the previous year,
for a continuous year-on-year reduction of overtime work.
In an aim to comply with the global template provided by the Electronic Industry Citizenship
Coalition (EICC), Nitec Precision and Technologies, Inc. (NPT) operates a unique alert system tomeet the requirement “Total hours worked should never exceed local or national standards, or 60

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hours per week, whichever is stricter.” The system takes a count of work hours in midweek, alerts
the superior of any employee at risk of exceeding the standards, and prompts rigorous
management of work hours during the remainder of the week.
Child-rearing and Family Care Support
We are working to expand our support systems and enable employees to have flexible work styles
in the various stages of life. Major support systems offered by Nissha are given below. By drafting
an action plan and executing a range of measures based on the Act on Advancement of Measures
to Support Raising Next-generation Children, some of our efforts in child-rearing support exceed
statutory guidelines.
Major child-rearing support systems
Support system

Nissha Group in Japan

Statutory coverage

Shorter hours during pregnancy

During pregnancy (up tomaternity leave before childbirth)
Up to 3 hours per day

Child-rearing leave

Up to 2 years old

Days off for spouse’s childbirth

4 days at the time of spouse’schildbirth(Special paid leave)

Shorter hours for child-rearing*

Up to completion of elementary
schoolUp to 3 hours per day

Up to 3 years old
By effort: Start of elementary
schoolDays off for child nursing

1 child: 5 days
2 or more children: 10 daysPaid

1 child: 5 days
2 or more children: 10 days
Either paid or unpaid

Child-rearing support fundAmount: 150,000 yen (for eachoccasion below)
Period• Birth• Start of elementary school• Start of junior high school• Start of senior high school• Start of technical college−
As a rule, up to 1 year old (1year 6 months old when certain
conditions are met)−−

Major family care support systems
Support system

Nissha Group in Japan

Statutory coverage

Family care leave

Total 240 working days

Total 93 days

Shorter hours for family care*

Total 480 working days
3 hours per day

Total 93 days

Days off for family care

1 family member: 5 days
2 or more family members: 10
days
Paid

1 family member: 5 days
2 or more family members: 10
days
Either paid or unpaid*We allow employees to shorten their work time by three hours. For example, employees who
normally work eight-hour days may shorten their work time by three hours to five-hour days.
We also have in place a system in which employees may save up to 30 days of expired leave to be
used in the event of illness, either of the employee or of a family member, and for child-rearing,family care, school events, and days on which a child’s kindergarten or school is closed.
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Distribution of Work-Life Balance Support Guidebook
To support our employees in achieving work-life balance, we created a Work-Life Balance Support
Guidebook containing information on both in-house and outside systems for child-rearing andfamily care, and distributed it to all employees in October 2014. The contents are also published on
the Nissha intranet since April 2015.

Kurumin Certification
In 2013, we received “Kurumin” certification for the second consecutive
term, following 2009.
* Use of the Kurumin Mark is permitted for companies certified as being nextgeneration supportive by the Minister of Health, Labour and Welfare. Certification is
granted to companies that draw up and implement a medium-term action plan, andsubmit it to their prefectural labor bureau.
Kurumin Logo

Status of Major Long-term Leave and Time Taken Off from Work (Nissha Group in Japan)
The number of employees who used child-rearing leave, worked shorter hours for child-rearing,and took days off for child nursing are given in the graphs below. All numbers are on the rise, andmale employees are using the systems on an ongoing basis.
Number of employees who used child-rearing leave

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Number of employees who worked shorter hours for child-rearing

Number of employees who took days off for child nursing

Reinstatement rate after child-rearing leave: Male 100%, Female 100%
Reinstatement rate = Number of employees reinstated after child-rearing leave in the current fiscal year ÷
Number of employees expected to be reinstated after child-rearing leave in the current fiscal year x 100

Retention rate after child-rearing leave (1 year): Male 100%, Female 71%
Retention rate = Number of employees remaining on March 31 the current fiscal year after being reinstatedafter child-rearing leave in the previous fiscal year ÷ Number of employees reinstated after child-rearing
leave in the previous fiscal year

Number of employees who used family care leave (Nissha Group in Japan)
The number of employees who used family care leave, worked shorter hours for family care, andtook days off for family care are given in the table below. We are making efforts to raise employee
awareness of our efforts to support diverse work styles in an aging society by distributing the WorkLife Balance Support Guidebook containing information on both in-house and outside systems forfamily care, and publishing the contents on the Nissha intranet.

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Support for Reinstatement after Long-term Leave
For employees reinstated at work after long-term leave due to illness or injury, we have
Reinstatement Support Bylaws that stipulate the consideration to be taken by workplaces according
to the condition of the employee’s health in an aim to prevent recurrence of the illness or injury andachieve a smooth return to work. To offer support also in terms of work style, we arrange periodic
consultations with an industrial physician to confirm the considerations necessary in the workplace,and have a system in which reinstated employees may shorten their work time by up to two hours
per day for a period of six months.
Work at Home System
In fiscal year 2015, we introduced a work-at-home system with the aims of promoting harmony
between employees’ work and life, and improving their work efficiency. The system enables
employees living with a child before completion of elementary school and employees providing
family care to work at home either on two days a week or for a number of hours a day. In fiscal year
2015, a total of four employees used the system (one during pregnancy, two for child-rearing, andone for family care).
Outpatient Sick Leave System
In fiscal year 2016, we will introduce an outpatient sick leave system with the aim of supporting
employees who require long-term outpatient treatment to continue working. The system will enable
employees with specified disorders to take 10 days off per year for treatment.
Internal Job Posting System
The Nissha Group introduced an internal job posting system in fiscal year 2012 with the aim ofproviding employees with the opportunity to choose their own career path as well as appoint
employees to positions that reflect their aptitude and thereby enhance our organizational strength.
The company posts specific job openings internally, employees who meet the criteria apply for thejob of their own will, and those who pass the screening are transferred to the relevant post.
Employees who have transferred through the system are playing an active role in their new
division.

Awarding system
The Nissha Group has in place various awarding systems that aim to reward praiseworthy
endeavors and create a setting in which the employees responsible for the endeavors influenceand motivate the company and organizations as a whole. In fiscal year 2013, we reviewed thecontents of our awarding systems.
From fiscal year 2013 to fiscal year 2015, as many as 416 employees received the mostprestigious President’s Award, 124 employees the Top-Line Award recognizing contributors to sales
expansion, and 338 employees the Nissha People Award celebrating workplace stars who
epitomize our Shared Values and Code of Conduct. The awards are presented globally across the
Nissha Group, with recipients including employees at overseas bases.
Every two years, we also organize Technology Presentation Meetings with an eye to discoveringand recognizing excellent technologies with great potential, and ultimately inspiring our engineers.

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Safety and HealthOccupational Safety and Health Policy / Safety and Health Objectives
The Nissha Group has in place a Occupational Safety and Health Policy declaring that we position
the safety and health of all involved in our business activities as a top management priority. We
promote thorough awareness of this policy through postings on the Nissha intranet and at eachbase, and draw on it as a guide for various activities. The results of our efforts are reviewed,
reflected in safety and health objectives set each year, and used as a base for further initiatives.

Occupational Safety and Health Policy
Nissha recognizes that ensuring the safety and health of all people engaged in our businessactivities is a top management priority for the continuity and development of our operations, andto this end, commits to the following practices.
1. We promote the participation of all in creating comfortable workplace environments anddeveloping sound physical and mental health.
2. We pursue Co-existence with society in compliance with relevant laws and regulations, andwith the requirements agreed upon by Nissha of local communities, public institutions, andour customers.
3. We strive for continuous improvement in occupational safety and health standards throughthe operation of management system.
This policy will be distributed widely to all people in the Nissha Group as well as released to thegeneral public.

Safety and Health Subcommittee / Safety and Health Management System
Toward further enhancing our safety and health management level, we drew up a Safety and
Health Management Manual in January 2015. Each base is conducting activities, applying the plando-check-act (PDCA) cycle.
The former Safety and Health Section of the Management System Committee, responsible for thesafety and health activities of the Nissha Group, was reorganized in fiscal year 2016 as the Safety
and Health Subcommittee of the CSR Committee. The new organization reviews whether ourmanagement system is functioning effectively, oversees the Safety and Health Committees
operated by each base, and works to standardize and upgrade initiatives throughout the Nissha
Group.
The Safety and Health Committees of each base consist of base representatives including a safety
manager and health manager, and employee representatives selected from the labor union andfrom each workplace. The members meet to exchange views and propose measures for
improvement toward realizing a safe and comfortable workplace.

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Safety and Health Management Structure

Reduction of Workplace Risks—Risk Assessment
We continue in our efforts to conduct point-based evaluations of the dangers and harms that
production equipment and chemical substances used in the workplace may have on workers, andto take measures starting with the highest risks. Based on the results of risk assessment, we work
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to identify the remaining risks and reflect them in our management efforts. We have also organized
a set of standards and launched an initiative to assess the risks of chemical exposure ahead ofmandatory requirements being introduced in 2016.
Safety Patrols
Members of the Safety and Health Committees of each base take the lead in conducting safety
patrols of workplaces. In addition to regular monthly patrols, heads of the Subcommittees carry out
special safety patrols during national safety week in July toward enhancing workplace awarenessabout safety. Starting in fiscal year 2016, we provide safety patrol training for workplace promotersof safety and health. Employees who have acquired a certain level of knowledge are registered as
certificate holders and participate in the patrols, identifying problems with fresh pairs of eyes andstriving to create safe and comfortable workplaces.
Occurrence of Work-related Accidents
In fiscal year 2015, both the frequency and the severity of work-related accidents increased due toa rise over the previous year in injuries or casualties resulting in four or more days of leave.
Starting with this CSR Report 2015, we present a breakdown by region (Japan and Asia) and bygender for the number of work-related accidents only.
Occurrence of Work-related Accidents (Nissha Group in Japan)*1. Frequency of work-related accidents: Refers to the number of injuries and casualties resulting from workrelated accidents (four or more days of leave) per one million working hours*2. Severity of work-related accidents: Refers to the severity of work-related accidents in terms of thenumber of working days lost per one thousand working hours.

Number of Work-related Accidents (Nissha Group in Japan and Asia, by region and by gender)*Work-related accidents at production bases in North America are measured by different standards,
and therefore statistical data are incomplete at the time of this publishing. We plan to include thedata in CSR Report 2016 and beyond.
Safety and Health Education and Training
We provide education and training required in workplaces based on our Safety and Health
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Education and Management Regulations. In fiscal
year 2015, to respond to the concentration of workrelated accidents in employees with limited on-siteexperience, we conducted training for supervisors inthe basics of worker guidance as well as practicaltraining in procedures for assessing the dangers andrisks of chemical substances.

Safety and health training

Prevention of Lifestyle Diseases
We are carrying on with our efforts in exercise, diet,and smoking cessation as countermeasures formetabolic syndrome with the aim of preventing
lifestyle diseases. In fiscal year 2015, we promoted
exercise, and provided opportunities to learn about
the benefits of exercise and specific exercise
routines. In addition to health courses by industrial
physicians and health lectures by outside instructors,
we organized an original event for gauging health.
Employees measured their grip strength, abdominal
Event for gauging healthmuscle strength, flexibility, sense of balance, reflex,
body fat, and girth, and received individual consultations using a fitness support leaflet. Learning
the age of their physical strength through the measurement results proved to be a good opportunity
to develop awareness about exercising on a regular basis. For promoting smoking cessation, we
continue to organize Smokerlyzer events to measure the level of carbon monoxide in smokers’
breath.
As a high-risk approach, we further undertook measures to maintain health by recommending visits
to a medical institution to employees who required either detailed examination or re-examination asa result of their health checkup, and provided specific health guidance with support from adesignated medical institution to employees who required it as a result of their health checkup.
Mental Health Support
We launched efforts to provide mental healtheducation in fiscal year 2010, and as part of ourmental health checkup offering, introduced surveys
on coping with work-related stress in fiscal year 2013.
The survey results have been useful in self-care byhelping employees identify and cope with their own
stress. In future, we plan to use the survey results
also in our organizational approach to improving
workplace environments and promoting comfortableworkplaces. As a first step in this initiative, in fiscal
Line care education
year 2015, we provided line care education about
supporting the process of improving workplace environments for mental health.
• Line care education in improving workplace environments
As for support on a personal level, we have an outside web counseling service through which a
specialized counselor offers mental health advice online. In fiscal year 2015, the service was used
nine times.
For employees who work long hours, our healthcare staff and industrial physicians offer
consultation to understand their health condition and work with their supervisor and the humanresources division to provide required follow-up guidance.
For employees who require special attention in terms of mental health, we follow our Long-term
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Leave Regulations and offer time to recover from their condition as well as consideration in theworkplace upon reinstatement, in an aim to prevent recurrence and achieve a smooth return towork.

Mental health support structure

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The Environment
Environmental Policy and Management
Structures

Environmental Objectives and Status of
Achievement

Our Environmental Policy aims for bothbusiness development and the realization ofa sustainable society. We are working to
make continuous improvements in ourenvironmental management system.

Our factories and relevant units set their own
respective targets and work as one towardachieving the Nissha environmental
objectives that serve as medium-term
objectives.

Environmental Impact as a Result ofBusiness Operations

Prevention of Further Global WarmingThis section sums up resource and energy
usage (input) and gas, water, and waste
emissions (output) by the Nissha Group in
fiscal year 2015.

This section reports on year-on-year changes
in CO2 emissions and energy consumption,and on our efforts in management by basic
unit.

Waste Management
This section reports on efforts in reducing
waste, recycling, and converting waste into
valuable resources at production bases inand outside Japan, and on risk management
related to waste and the conversion of waste
into valuable resources.

Monitoring and Prevention of Pollution
We have in place strict voluntary standards,
and periodically undertake monitoring andmeasuring activities to prevent pollution.

Status of Waste Generation at BasesThis section uses graphs to introduce thestatus of waste generated at Nissha’s major
production bases in Japan in March 2015.

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Environmental Policy and Management
Structures
Environmental Policy and Management Structures
In April 2015, we established a new Environmental Subcommittee of the CSR Committee, which
promotes environmental risk management in the Nissha Group through initiatives both in strategic
CSR, aimed at enhancing our corporate value from a medium- to long-term perspective, and inbasic CSR, seeking to build and maintain a structure for conforming to global standards such asthat provided by the Electronic Industry Citizenship Coalition (EICC) toward strengthening ourcorporate foundation.
Activities in basic CSR include building an environmental management system (EMS) based on
ISO14001 at all bases of the Nissha Group in Japan. The Environmental Subcommittee comprises
management covering general supervision, the director of Corporate General Affairs in Corporate
Administration in charge of EMS management, and Environmental Subcommittee members
selected from each department and factory. The Corporate Environmental and Safety Managementof Corporate General Affairs functions as a secretariat and operates the Environmental
Subcommittee. It conducts internal environmental audits and management reviews toward thecontinuous improvement of our EMS, and receives ISO14001 certification inspections to assess
and improve EMS effectiveness.
Our Environmental Policy aims for both business development and the realization of a sustainable
society. We are working to familiarize the policy widely throughout the company via the Nissha
intranet as well as promoting the policy among all employees by posting it at each base of the
Nissha Group. Toward achieving our environmental objectives, which serve as group-wide mediumterm objectives, each factory and organization sets its own environmental targets, and creates andimplements an action plan. These environmental targets are linked to quality targets and the more
important key performance indicators (KPI) so that they relate directly to everyday tasks.
Overseas offices of the Nissha Group obtain ISO14001 certification individually. With support fromthe Corporate Environmental and Safety Management of Corporate General Affairs, they also
undertake initiatives to build and maintain a structure in conformance with global standards such as
the template provided by the Electronic Industry Citizenship Coalition (EICC).

Environmental Policy
Nissha and its subsidiaries, as members of the global society, aim for business development
and the realization of a sustainable society through environmentally conscious corporate
activities.
1. Prevention of Pollution
We comply with legal requirements and agreements with society, and strive to prevent
environmental pollution in all aspects of our corporate activities such as product development,
design, materials, production, sales, and facilities.
2. Product Safety
We fulfill promises with our customers and deliver safe and environmentally conscious products.
3. Prevention of Global Warming
We make a contribution to prevention of the global warming by efficient using of resources andEnvironmental Policy and Management Structures

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energy.
4. Continuous Improvement
We strive for continuous improvement by establishing an environmental management system
and reviewing it in response to changes in the business environment.
5. Co-Existence with Society
We promote open dialogue with our customers, shareholders, suppliers, employees, and society
through our efforts to preserve the global environment.
Establishment April 1, 2012

Continuous Improvements in the Environmental Management System (EMS)
We build an EMS not only at our major production bases but also at small production bases andsales bases. Each site focuses on its key management items and operates an effective EMS. Withan eye toward improvement, in fiscal year 2015, we organized our sites into the four categories
below.
1. ISO14001 certification sites
2. ISO14001 non-certified operation control and inspection sites
3. Compliance inspection sites
4. Chemical substance control and inspection sites
ISO14001 certification sites, which are also our major production bases, carried on implementing aunique environmental risk assessment process based on environmental hazards, taking into
account the risks of a suspension in factory operations. This risk assessment process involves twopillars of activity: managing negative risks, and managing positive risks including the improvementof environmental performance in sync with business targets and quality targets.
ISO14001 non-certified operation control and inspection sites are small production bases that areincluded in the scope of EMS application, although they have not obtained certification. As
operation control and inspection sites, we checked whether their maintenance and control
processes are operated appropriately in compliance with laws and regulations.
Compliance inspection sites are sales bases that do not cover production functions. They operated
an EMS to check whether waste management is conducted in compliance with laws andregulations.
In fiscal year 2015, Nissha Business Service Co., Ltd. obtained ISO14001 certification.
In fiscal year 2016, we are set to promote ISO14001 certification for the product development
divisions of the Industrial Materials and Devices business units.
Amid the move to strengthen adherence to global standards including the requirements ofcustomers and the EICC template, in fiscal year 2016, we plan to organize sites in the scope of
EMS application into the three categories below, and promote efforts in EMS that also live up to
global standards based on the ISO14001 management system.
1. Customer and EICC requirement compliance sites
2. ISO14001 certification sites
3. Compliance inspection sites
Many overseas offices of the Nissha Group build and operate an EMS individually.

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Nissha Environmental Management Structure

Energy Management and Environmental Communication Structures

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Environmental Objectives and Status of
Achievement
The Nissha Group environmental objectives set in May 2012 serve as medium-term objectives
covering the three-year period from fiscal year 2013 to fiscal year 2015 for the Nissha Group in
Japan. In fiscal year 2015, the final year of this period, each factory and relevant division aimed toachieve its individual environmental targets toward achieving the objectives of the Nissha Group in
Japan as a whole.
ISO14001 certification sites undertook environmental risk mangement and measures to reduce
environmental risks, and all sites attained one risk level lower. As a result, we maintained zeroenvironmental accidents and achieved our environmental objective.
In energy saving measures, Nitec Precision and Technologies, Inc. (NPT) Himeji Factory achieved
its reduction target for CO2 emissions but did not achieve its target CO2 emissions rate, whichindicates efficiency against production volume. In recognition of energy saving efforts implemented
since its inception, NPT Kaga Factory received an Excellent Energy Management Promoter Japan
Electric Association Hokuriku Branch Director’s Award. Nitec Printing Co., Ltd. (NPC) Yachiyo
Factory upgraded its air-conditioning system from a gas absorber to an electric chiller. Each factory
worked toward improvement, and some, as mentioned above, won external recognition. However,
the Nissha Group in Japan recorded a CO2 emissions rate of 1.32 in fiscal year 2015 (compared tofiscal year 2012 results as 1.00), and we did not achieve our target.
In waste reduction measures, we recorded a waste generation rate of 0.79 in fiscal year 2015
(compared to fiscal year 2012 results as 1.00) and achieved our target, primarily due to asignificant reduction in the volume of waste generated at NPT Kaga Factory.
In addition to items designated in the environmental objectives, each factory sets its own targets
and works to achieve them. Having reviewed its wastewater treatment process, NPT Kaga Factory
aimed to reduce the usage rate of chemical agents and achieved its target. Nitec Industries, Inc.
(NII) sought to reduce the usage rate of organic solvents, but did not achieve its target due to a
decline in production volume and conversion to small lot production. It did, however, produce
results in resource reuse and cost reduction through efforts to sell organic solvents for recycling.
We have officially begun to conduct CSR audits of our suppliers based on the template provided by
the Electronic Industry Citizenship Coalition (EICC), and plan to approach major suppliers during
the three-year period of the Fifth Medium-term Business Plan starting in fiscal year 2016. We also
continue to conduct environmental workshops in which employees visit local elementary schools
and nurseries neighboring production bases. Participants number more than 4,000 children at a
total of 78 schools since we started the initiative in 2007.
Nissha Environmental Objectives
Scope: Nissha ISO14001 certification sites in Japan (hereinafter “certification sites”)

1. Prevention of pollution
Zero environmental accidents (accidents that affect areas outside the factory)
Reduce the possibility of environmental risks (by one risk level) by the end of fiscal year 2015
Certification sites implement measures to reduce environmental risks* classified as H2 or moreon the hazard assessment list (make efforts to attain one risk level lower)* The degree of severity may not change after measures are implemented in some cases

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* H2 or more refers to hazards on the hazard assessment list that affect areas outside thefactory* H2 is equivalent to “maintain” in the conventional classification, and should be addressed inaccordance with the designated procedure* The risk of environmental hazards by degree of severity and possibility, assessed in nine levels in amatrix (Risk levels from highest to lowest: VH, H1, H2, H3, H4, L1, L2, L3, VL)

2. Prevention of global warming
Reduce CO2 emissions rate (basic unit) by 3% or more by fiscal year 2015 (Base: Average offiscal year 2012 results)
Certification sites reduce annual CO2 emissions rate by 1% or more compared to the previous
year by basic unit, derived from factors such as production volume, through improvements inwork processes (efficiency) and quality* Each organization may set KPI or quality targets as environmental targets* Companies classified as “specific business operator” in the Act on the Rational Use of Energy
use the basic unit reported under the act* A default emission factor (0.555 kg-CO2 / kwh) is used to monitor fluctuations resulting frominitiatives
3. Reduction of waste
Reduce waste generation rate (basic unit) by 3% or more by fiscal year 2015 (Base: Average offiscal year 2012 results)(1) Control waste generation
Certification sites reduce annual waste generation rate by 1% or more compared to the previous
year by basic unit, derived from factors such as production volume, through improvements inwork processes (efficiency) and quality* Each organization may set KPI or quality targets (nonconforming product rate, go-through rate,etc.) as environmental targets* Indexes need not be the same as the CO2 emissions rate basic unit (production volume may
be substituted with number of items produced)(2) Promote the selling of waste for recycling
Certification sites set individual target rates and work to sell waste for recycling* Maintain zero emissions
4. Reduction of hazardous chemical substances
Certification sites reduce usage rate of hazardous chemical substancesWork to reduce {(usage or purchase volume) / (production volume, treatment volume, or numberof units)}(Certification sites set individual targets)

Results and Assessment in Fiscal Year 2015 and Fiscal Year 2014–2015
1. Prevention of pollution
Target: Certification sites implement measures to reduce environmental risks classified as H2 or
more on the hazard assessment list (make efforts to attain one risk level lower)

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Results in Fiscal Year 2015
Certification sites Nitec Industries, Inc. (NII) Koka Factory and Tsu Factory, Nitec Precision andTechnologies, Inc. (NPT) Himeji Factory and Kaga Factory, Nitec Printing Co., Ltd. (NPC) Yachiyo
Factory, and Nissha Business Service Co., Ltd. (NBS) created a hazard assessment list and tookmeasures to reduce risks. These sites primarily organized training in substance leakage. NPT Kaga
Factory worked to prevent pipe leakage in its wastewater treatment process.
Assessment: Satisfactory

Results in Fiscal Year 2014–2015
All certification sites took measures to reduce risks and attained one risk level lower. As a result, we
maintained zero environmental accidents and achieved our environmental objective. From fiscal year
2016 onward, we plan to conduct environmental hazard assessment taking into account risk assessmentof steady-state chemical substances.
Assessment: Satisfactory

2. Prevention of global warming
Target: Certification sites reduce annual CO2 emissions rate by 1% or more compared to theprevious year by basic unit, derived from factors such as production volume, through improvements
in work processes (efficiency) and quality
Results in Fiscal Year 2015
The Nissha Group in Japan recorded a CO2 emissions rate of 1.14 in fiscal year 2015 (compared tofiscal year 2014 results as 1.00), and we did not achieve our target. Although some factories produced
results in measures linked with quality-related activities, such as improvement of yield rate, NPT Himeji
factory, which accounts for 30% of CO2 emissions in the Nissha Group in Japan, did not achieve its
target by basic unit.
Assessment: Unsatisfactory

Results in Fiscal Year 2014-2015
The Nissha Group in Japan recorded a CO2 emissions rate of 1.32 in fiscal year 2015 (compared tofiscal year 2012 results as 1.00), and we did not achieve our target. However, in recognition of energy
saving efforts implemented since its inception, NPT Kaga Factory received an Excellent Energy
Management Promoter Japan Electric Association Hokuriku Branch Director’s Award.
Assessment: Poor

Issues: The environmental objectives of the Nissha Group in Japan serve as medium-term
objectives covering a three-year period. Although each factory promotes various energy saving
measures to achieve its targets, we have had difficulty maintaining a steady basic unit due to a
succession of mass production launches and factory reorganizations. Appropriate management of
the basic unit will be required from fiscal year 2016 onward with the addition of new bases to thegroup through M&A.
3-1. Control waste generation
Target: Certification sites reduce annual waste generation rate by 1% or more compared to theprevious year by basic unit, derived from factors such as production volume, through improvements
in work processes (efficiency) and quality

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Results in Fiscal Year 2015
We recorded a waste generation rate of 0.65 in fiscal year 2015 (compared to fiscal year 2014 results as1.00), primarily due to a significant reduction in the volume of waste generated at NPT Kaga Factory. NII
did not achieve its target by basic unit due to unstable production volumes stemming from a conversion
to small lot production and factory reorganization. NPT Kaga Factory worked to reduce the amount ofsludge generated by improving its wastewater treatment process.
Assessment: Satisfactory

Results in Fiscal Year 2014-2015
The Nissha Group in Japan recorded a waste generation rate of 0.79 in three years (compared to fiscal
year 2012 results as 1.00), and we achieved our target, primarily due to a significant reduction in thevolume of waste generated at NPT Kaga Factory.
Assessment: Satisfactory

Issues: The environmental objectives of the Nissha Group in Japan serve as medium-term
objectives covering a three-year period. Although each factory promotes various waste reduction
measures to achieve its targets, we have had difficulty maintaining a steady basic unit due to a
succession of mass production launches and factory reorganizations. Appropriate management of
the basic unit will be required from fiscal year 2016 onward with the addition of new bases to thegroup through M&A.
3-2. Promote the selling of waste for recycling
Target: Certification sites set individual target rates and work to sell waste for recycling* Maintain zero emissions
Results in Fiscal Year 2014-2015
Through efforts to sell organic solvents for recycling, NII Koka Factory dramatically improved its target
rate from 8.51% in fiscal year 2014 to 36.8% in fiscal year 2015. Through an initiative to separate andsell waste, NBS is a contributor to efforts made by the Nissha Group in Japan for selling waste forrecycling.
Assessment: Satisfactory

4. Reduction of hazardous chemical substances
Target: Certification sites reduce usage rate of hazardous chemical substances
Results in Fiscal Year 2014-2015
NPT Kaga Factory improved its wastewater treatment process and worked to reduce the usage rate ofchemical agents. NPT Himeji factory aimed to reduce the rate of chemical agents used in the production
process and achieved its target.
Assessment: Satisfactory

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Environmental Impact as a Result ofBusiness Operations
In order to grasp the impact of our business operations on the environment, we conduct surveys ofresource and energy usage (input) and gas, water, and waste emissions (output). The results for
the Nissha Group in fiscal year 2015 are given in the table below.
Input and Output at Nissha Group Production Bases
Input for the Nissha Group in Japan decreased slightly, by about 4%, compared to fiscal year 2014.
By business, Devices saw an increase of around 6% primarily due to an increase in materials usedin product manufacturing accompanying full-scale production using a new process at Nitec
Precision and Technologies, Inc. (NPT) Kaga Factory. Industrial Materials saw the effects of areorganized product portfolio. At Nitec Industries, Inc. (NII) Koka Factory, the usage of film
increased by approximately 70%, solvents by 20%, and ink by 40%. At NII Tsu Factory, the usageof film decreased significantly due to a shift to new film production. Information and Communication
saw a decrease in the usage of paper by roughly 6% due to a decline in production volume.
We welcomed FIS Inc. (FIS) into the Nissha Group in fiscal year 2015, and plan to disclose
information about its various activities under Life Innovation starting in fiscal year 2016.
In terms of output for the Nissha Group as a whole, CO2 emissions remained nearly level andwaste emissions decreased by about 5% compared to fiscal year 2014. At 2,594,000 m3, water
emissions increased by roughly 4% from the previous year.
At overseas bases, input increased by around 21% compared to the previous year due to a rise inproduction volume. Input increased particularly at Guangzhou Nissha High Precision Plastics Co.,
Ltd. by a significant 60%, at Nissha (Kunshan) Precision IMD Mold Co., Ltd. by 20%, at Eimo
Technologies, Inc. by 13%, and at Southern Nissha Sdn. Bhd. by 4%. Molded resin accounts formore than 90% of materials used at overseas production bases.

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Prevention of Further Global Warming
Status of CO2 Emissions at Nissha
In fiscal year 2015, CO2 emissions from Nissha bases in Japan totaled 106,087 t-CO2, for a
reduction of about 1% compared to 107,101 t-CO2 in the previous year. CO2 emissions fromoverseas production bases amounted to 8,748 t-CO2 for an increase of 2% compared to 8,601 tCO2 in the previous year.
The reduction at bases in Japan resulted primarily from the significant decrease in emissions from
Nitec Industries, Inc. (NII) Tsu Factory stemming from a reorganization of product portfolio. CO2
emissions from NII Tsu Factory amounted to 6,566 t-CO2 in fiscal year 2015, for a roughly 37%
decrease compared to 10,431 t-CO2 in the previous year. On the other hand, emissions from NII
Koka Factory were 19,768 t-CO2, for a 10% increase compared to 17,979 t-CO2 in the previous
year. Due to the full-scale start of mass production, those from Nitec Precision and Technologies,
Inc. (NPT) Kaga Factory were 31,438 t-CO2, also for a 10% increase compared to 28,693 t-CO2 in
the previous year.
CO2 emissions from overseas production bases increased at Southern Nissha Sdn. Bhd.,
Guangzhou Nissha High Precision Plastics Co., Ltd., and Nissha (Kunshan) Precision IMD Mold
Co., Ltd., but decreased by around 4% compared to the previous year at Eimo Technologies, Inc., asubsidiary of Nissha USA. At 4,645 t-CO2, emissions from Eimo Technologies account for morethan half of the volume of all overseas production bases combined.
The Nissha Group emits virtually no energy-related greenhouse gases other than CO2, and theireffects are minimal.
Trends in CO2 Emissions Volumes and Basic Unit

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Trends in Energy Consumption and Basic Unit

Trends in Electricity Consumption

Trends in Gas Consumption

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Trends in Gasoline, Diesel, and Heavy
Oil Consumption

Basic Unit Management by Production Volume and Its Issues
The enactment of the revised Act on the Rational Use of Energy demands the comprehension andmanagement of energy use per company. To comply with the legal requirements in line with thisshift, in fiscal year 2014 we started managing emissions under a basic unit based on factors suchas production volume per company. With 1.00 indicating the benchmark fiscal year 2014 results ofNissha Printing Co., Ltd. and each affiliated company that constitutes a production base, we set
fiscal year 2015 targets at 0.99 or less. The results are given in the table below. Nissha in Japan
did not achieve the company-wide target by basic unit, as the results of NPT Himeji Factory
dropped significantly below its basic unit.
We have had difficulty managing basic units appropriately due to cases of imbalance between
production and emissions volumes, stemming from new product releases, new mass production
launches, and factory reorganizations accompanying a shift in product portfolio during the threeyear period covered by our environmental objectives serving as group-wide medium-term
objectives. More appropriate management of the basic units of CO2 and waste emissions will be
required from fiscal year 2016 onward with the addition of new bases to the group through M&A.

* CSR Report 2014, issued in June 2014, contained the following errors. CO2 emissions volumes for fiscal
year 2013 and fiscal year 2014 were incorrectly given due to a miscalculation of emissions accompanying
gas consumption at NPT Himeji Factory. The correct figures are given in this report.

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Waste Management
Waste Management and Zero Emissions
In fiscal year 2015, the Nissha Group generated a total 16,929 tons of waste for a 5% reduction
compared to fiscal year 2014. The primary reason is the decrease in production volume at Nitec
Precision and Technologies, Inc. (NPT). The volume of simple incineration and landfill waste
similarly decreased, amounting to 2,020 tons for a 12% reduction.
Our recycling and resource reuse rate was 88.1%, for an improvement of 1 percentage pointcompared to the previous year. We fell short of achieving our zero emissions target (a recycling
and resource reuse rate of 99.5% or more), however, as sludge generated at NPT Kaga Factory
cannot be recycled.
NPT Kaga Factory is working to reduce the volume of sludge generated through improvements in
its wastewater treatment process. Its recycling and resource reuse rate improved from 64.5% in thesecond half of fiscal year 2014 to 71.5% in the second half of fiscal year 2015. Further reductions in
the amount of sludge generated from NPT Kaga Factory are expected to contribute to a significant
improvement in the recycling and resource reuse rate of the Nissha Group in Japan in fiscal year
2016.
Status of Recycling and Converting Waste into Valuable Resources
We continued to make efforts to convert waste into valuable resources. In fiscal year 2015, we sold
38.2% of all waste generated for an increase of 6 percentage points compared to the previous year.
Similarly, the material recycling rate was 56.3% for an increase of 2 percentage points compared tofiscal year 2014. Nitec Industries, Inc. (NII) is making active efforts to sell waste solvents forrecycling, as it offers the benefits of a lighter burden on the environment as well as cost reductions.
Trends in Recycling and Resouse Reuse (Nissha Group in Japan)

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Status of Initiatives at Overseas Production Bases
Asian production bases Guangzhou Nissha High Precision Plastics Co., Ltd., Nissha (Kunshan)
Precision IMD Mold Co., Ltd., and Southern Nissha Sdn. Bhd. generated a total 256 tons of waste
in fiscal year 2015 for a 32% increase compared to fiscal year 2014. In a breakdown by company,
the year-on-year increase was 41% at Southern Nissha, 14% at Guangzhou Nissha, and 89% at
Nissha Kunshan due to increases in production volume and other factors. On the other hand,recycling and resource reuse rates remained level, with all Asian production bases achieving theirtarget again this year. Southern Nissha achieved a rate of 99.0% against a target of 90.0% or more,
Nissha Kunshan achieved a rate of 89.1% against a target of 86.3% or more, and Guangzhou
Nissha achieved a rate of 72.0% against a target of 71.0% or more.
All waste generated in Asian production bases (Guangzhou Nissha, Nissha Kunshan,
Southern Nissha)
FY2013

All waste generated (tons)

FY201499

FY2015194

256

Recycling and resource reuse rates in Asian production bases (FY2015)
Targets

Results

Evaluation

Guangzhou Nissha

71.0% or more

72.0%

Satisfactory

Nissha Kunshan

86.3% or more

89.1%

SatisfactorySouthern Nissha

90.0% or more

99.0%

Satisfactory

Risk Management Related to Waste and Waste Converted in Valuable Resources
We recognize largely three types of waste-related risk:
Accidents and disasters caused by waste and waste converted into valuable resources(including at treatment contractors)
Environmental pollution and violation of laws caused by inappropriate waste treatment
Leakage of confidential information from waste and waste converted into valuable resources
Based on laws and customer demand, we have created a set of Nissha Waste Management
Regulations that enables all bases to manage waste safely under the same set of standards. In linewith these regulations, each base has drawn up its own Waste Management Manual and makes
efforts toward thorough waste separation and management. Whether small amounts of substances
or a spray can, the properties of waste are checked meticulously and monitored so as to prevent
spillage during transportation and accidents at treatment facilities. The regulations also stipulate thecriteria for selecting waste treatment contractors and for regularly inspecting treatment facilities thatuse a checklist original to Nissha.
In addition, we have in place standards for managing waste and waste converted into valuable
resources that contain confidential information, and promote management in association with our
information security management system (ISMS).

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Monitoring and Prevention of Pollution
Measures to Help Prevent Pollution
We undertake monitoring and measuring activities to prevent pollution. Based on strict voluntarystandards, we conduct periodic testing the level of atmospheric pollutants, wastewater quality,
noise, and foul odor.
Nitec Precision and Technologies, Inc. (NPT) Himeji Factory
Measurements of Wastewater Quality
Unit: m3 for discharged water, mg/l for others (except PH)*In FY2014, COD value momentarily exceeded the agreement value. We have submitted necessary reports
to the government and took corrective actions appropriately.

Nitec Precision and Technologies, Inc. (NPT) Kaga Factory
Measurements of Wastewater Quality
Unit: mg/l

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Nitec Printing Co., Ltd. (NPC) Yachiyo Factory
Measurements of Soot and Smoke
Unit: g/m3N
The Yachiyo Factory upgraded its air-conditioning system from a gas absorber to an electric chiller
in fiscal year 2015, discontinuing use of soot and smoke generating facilities.

Nitec Industries, Inc. (NII) Tsu Factory
Measurements of Site Outer Boundaries
To the best of our ability we voluntarily measure and monitor odor concentrations.

*Measurements were not taken in the second half of fiscal year 2015 due to discontinued use of gravure
printing presses.

Management of Chemical Substances
In fiscal year 2015, we reported the use of nine PRTR-designated chemical substances.
Nitec Industries, Inc. (NII) Koka Factory
Unit: kg

Nitec Industries, Inc. (NII) Tsu Factory
Unit: kg

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Nitec Precision and Technologies, Inc. (NPT) Himeji Factory
Unit: kg

*The volumes of ferric chloride transferred from NPT Himeji Factory in FY2013 and FY2014 were given
incorrectly in CSR Report 2014, issued in June 2014. The data have been corrected based on guidancefrom the Ministry of Economy, Trade and Industry, and are given correctly in this report.

Nitec Precision and Technologies, Inc. (NPT) Kaga Factory
Unit: kg

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Status of Waste Generation at Bases
Status of Waste Generation at Major Production Bases (March 2015 Results)
Nitec Industries, Inc. (NII) Koka Factory
Location: Koka City, Shiga Prefecture
Acquisition of ISO14001 Certification: June 2007
Production items: Transfer foils (the Industrial Materials business)
Recycling and resource reuse rate: 100.0%

Nitec Industries, Inc. (NII) Tsu Factory
Location: Tsu City, Mie Prefecture
Acquisition of ISO14001 Certification: March 2012
Production items: Transfer foils (the Industrial Materials business)
Recycling and resource reuse rate: 100.0%

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Nitec Precision and Technologies, Inc. (NPT) Himeji Factory
Location: Himeji City, Hyogo Prefecture
Acquisition of ISO14001 Certification: March 2014
Production items: Touch panels (the Devices business), dye-sensitized solar
cell
Recycling and resource reuse rate: 99.9%

Nitec Precision and Technologies, Inc. (NPT) Kaga Factory
Location: Kaga City, Ishikawa Prefecture
Acquisition of ISO14001 Certification: March 2014
Production items: Touch panels (the Devices business)
Recycling and resource reuse rate: 68.5%

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Nitec Printing Co., Ltd. (NPC) Yachiyo Factory
Location: Yachiyo City, Chiba Prefecture
Acquisition of ISO14001 Certification: December 2004
Production items: Printing and binding of books, catalogs, leaflets, etc., using
sheet offset press and rotary press (the Information and Communicatino
business)
Recycling and resource reuse rate: 99.6%

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Fair Operating Practices
Initiatives Related to Information
Security
We are working to maintain and improve ahighly reliable and safe information security
management system in line with ourInformation Security Policy.

Trade Management
Efforts in trade management are essential forbusiness continuation. We obtained approval
as an AEO Exporter in June 2014, and as an
AEO Importer in June 2015.

Initiatives Related to Intellectual
Property
Under a basic policy of protecting intellectual
property, we are making efforts to respect the
intellectual property of third parties and toobtain rights for and use that of our own.

Partnership with Our Suppliers
We promote CSR procurement based on our
Basic Purchasing Policy in an aim to realize
co-existence with our suppliers and enhancemutual corporate value.

Initiatives Related to Conflict Minerals
We established Underlying Philosophy
Concerning Corporate Responsibility for
Minerals Procurement in March 2014, where
we declared to make sincere response
engaging in minerals procurement.

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Initiatives Related to Information Security
The spread of the Internet and the broad use of smartphones and other devices have ushered in aconvenient era in which anyone can connect with the online community easily at all times. On theother hand, the risks are increasing of everyone becoming either a victim or perpetrator of
information leakage.
We at the Nissha Group recognize the paramount importance of not leaking outside the company
or beyond related parties information about our employees, personal information, and information
entrusted to us by our customers and suppliers, particularly highly confidential information assets
such as information on new products and state-of-the-art technologies.
All our employees adhere to our Information Security Policy, which we drew up in and implement
since 2005 with the aim of building a highly reliable and safe information security management
system (ISMS).

Information Security Policy
Nissha and its subsidiaries committed to establish, maintain, and improve highly reliable andsecure an information security management system to protect our own business information andthe information assets, which we acquire from customers, suppliers and employees, etc.,
through our business activities performed, from any kinds of threat. And we take internal andexternal information security requirements into consideration and reduce all risks below theacceptable levels.
1. We continually improve an Information security management system by establishing,implementing, and reviewing the information security objectives, so that the confidentiality,
integrity, and availability of information can be maintained and improved.
2. We comply with legal and regulatory requirements for information security and with
contractual security obligation.
3. We establish and improve the criteria for reasonably evaluating risks concerning
information security as well as the risk assessment methods, to mitigate risks and tomaintain the information security levels which contributes to the corporate developments.
4. We make Information Security Policy known to all employees working in the premises ofNissha and its subsidiaries to raise their awareness of the issues related to information
security.

Information Security Management Structure
We have in place an Information Security Subcommittee of the CSR Committee to serve as acenter for the promotion of information security. The subcommittee is run by an ISMS management
representative (the Chief Information Officer, or CIO) and comprises information security managers
and promoters selected from each department. An ISMS secretariat set up within the IT
Department functions as the subcommittee secretariat.
The subcommittee plays an important role in the promotion of our ISMS by addressing issues thathave become evident as well as reporting and sharing the results and challenges of initiatives
related to information security.

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Management Structure

Initiatives in Information Security Management
In September 2005, we obtained ISO27001 certification, a global standard for ISMS. Since then,we have built and continuously maintained and improved an ISMS unique to the Nissha Group.
Through the operation of our ISMS, we have performed risk assessment and analyses related to
information assets, determined and strived for information security targets, complied with related
laws and regulations, conducted internal audits, and appropriately followed processes such as
management reviews, thereby reducing the risks of information security incidents and accidents.
In fiscal year 2015, the Nissha Group focused particularly on the following initiatives.
1. Complete revision of information security-related regulations
We carried on with our initiative from the previous year in expanding company-wide our revised
information security-related regulations addressing changes in the IT environment. In addition toorganizing our information security structure and dealing with smart devices, social networking
services, and bring-your-own-device (BYOD), we reinforced the content of our information security
education materials.
2. Strengthening of information security education
We implemented training and education to deepen the understanding of all employees, including
through group sessions at affiliated companies new to the Nissha Group.
3. Expansion of ISO27001 examination and certification
Nitec Precision and Technologies, Inc. (NPT) Himeji Factory obtained ISO 27001 certification withan eye to more advanced, continuous operation of its unique ISMS.
4. Survey toward expanding ISMS to overseas bases
We conducted a survey of overseas bases toward ISMS operation, such as through questionnaires
and on-site interviews.

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5. Response to new ISO 27001 (2013 version)
We made preparations for certification in the following year by updating related documents andconducting internal audits.
In fiscal year 2016, we plan to obtain certification in the new version of ISO27001 and start
operation of ISMS at overseas bases. The Nissha Group will actively continue in our efforts to keep
up with the rapid changes in the IT environment, and reduce risks and strengthen management of
information security.

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Trade Management
Enhancement of Trade Management Structure
Our Initiatives related to trade management date back to April 2010 with the launch of the Trade
Management Improvement Project Team. With the purpose of building an appropriate internal
structure for import and export control, the following year, in 2011, we established the Trade
Administration and Control Committee and started full-scale trade management. At its first general
meeting organized in May 2012, the committee confirmed that activities would aim to strengthen
security trade control incompliance with the Foreign Exchange and Foreign Trade Act, and toobtain authorized exporter status under the Authorized Economic Operator (AEO) program, which
would recognize that we implement appropriate trade management based on the Customs Act. We
obtained this AEO approval in June 2014.
We earn an increasing proportion of our sales overseas, with the percentage reaching 75.7% in
fiscal year 2015. For a company like us, efforts in trade management are essential for business
continuation.
Net sales and percentage of overseas sales

Trade Management Structure
The Trade Administration and Control Committee works to strengthen trade management under thechairperson served by a director appointed by the president. Thorough management in daily
operations is assigned to committee members and division managers at business divisions,
corporate divisions, and affiliated companies in Japan. In fiscal year 2016, the committee
secretariat plans visit our overseas bases for employee education toward expanding trade
management efforts to overseas affiliated companies.

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Trade Administration and Control Committee

AEO Approval Status
Following approval as an AEO Exporter in June 2014, we
obtained approval as an AEO Importer on June 15, 2015.
Presentation of the certification was held on June 26, 2015 at the
Osaka Customs Headquarters.
Southern Nissha Sdn. Bhd., in Malaysia, obtained approval asboth an AEO Exporter and an AEO Importer in October 2014.

Certificate of AEO Importer

Fiscal Year 2015 Initiatives and Future Challenges
In fiscal year 2015, we carried on with our initiatives from the previous year in fortifying security
export control and furthering export management not only of cargo but also of services(technological information). Meanwhile, we also worked toward obtaining approval as an AEO
Importer. Members of the Trade Administration and Control Committee from each business unitorganized secretariat meetings every month, and as part of its efforts to fortify company-wide trade
management initiatives, implemented rank-specific training for select groups of participants:
sessions for all employees to acquire basic knowledge, sessions for managers and trade-related
workers aiming to acquire more specialized knowledge in trade-related duties, and sessions for
executives. It also invited an instructor from Osaka Customs to conduct a special session on
imports, kicking off efforts to obtain approval as an AEO Importer. Through these efforts,
awareness has improved about prohibited articles and restricted articles based on import control,
and the number of submissions for export and import application continued to increase significantly.
We are also carrying on with our efforts toward thorough compliance with rules for completing andsubmitting customs documents required with actual exports and imports.
The strict control of export and import cargo is not only a demand from society but also, for acompany like Nissha that operates a global business, an important initiative toward enhanced
service to our customers. While we draw on the reciprocal advantages of approval as both an AEO
Exporter and an AEO Importer, we believe it is crucial to step up our efforts continuously on a

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company-wide level toward appropriate cargo control and improved employee awareness of
security.
We will continue to promote efforts to ensure safety, improve work quality, and fortify our initiatives
in compliance so that we may provide safe, secure, and speedy international logistics services tomeet our customers’ demands.

Authorized Economic Operator (AEO) Program
Reinforced security measures are a major requirement in international logistics in recent years.
Amid the increase in international logistics, ensuring both trade security and smooth logistics isa great challenge. The AEO program seeks to address this challenge by fostering partnerships
between customs and private businesses. AEO operators, approved for their security
management and compliance structures, are given benefits such as simplified customs
procedures in accordance with international standards.

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Initiatives Related to Intellectual Property
Approach to Intellectual Property
The protection of intellectual property is our basic policy as well as a key item of our Guideline of
the Corporate Ethics and Compliance. We make active efforts to respect the intellectual property ofthird parties and to obtain rights for and use that of our own.
Intellectual Property Management acts as the central body for protecting intellectual property. With
the aim of expanding the performance of business units and ensuring a competitive advantage fornew businesses, it works to establish intellectual property strategies for the entire Nissha Groupand meet internal needs to secure intellectual property rights.

Basic policy for protection of intellectual property (from the Guideline of the Corporate
Ethics and Compliance)
1. We will acknowledge the importance of our technologies and brands as intellectual property
and will undertake their appropriate management.
2. We will report any invention arising through our business operations in accordance with ourCompany regulations.
3. We will strive to avoid the breach of third-party intellectual property rights.

Promotion of Patent Application
We aim to file for patent application and obtain rights for new technologies developed in ourdevelopment divisions. To respond to the increasing globalization of our business activities, thisrequires us to file for application not only in Japan but also abroad. The promotion of technology
development and the obtaining of patent rights help to differentiate Nissha products, made with ourown distinctive technologies, from other companies’ products. This in turn puts a check on the
inappropriate use of other companies’ technologies, helping also to reduce intellectual propertyrelated risks in connection with Nissha products for our customers.
Monitoring of Other Companies’ Patents
We periodically research and continuously monitor other companies’ patents so that Nissha
products do not infringe others’ patent rights. For monitoring, we input subjects as research criteria
in a patent database and obtain results on a regular basis using a selective dissemination of
information (SDI) system.
Intellectual Property Training Programs
We organize internal training programs so that employees may deepen their understanding of andproperly protect intellectual property. In fiscal year 2015, we invited an outside specialist to conduct
sessions divided into four levels—introductory, basic, advanced, and practical research—in which
participants learned in detail about intellectual property law, how to research other companies’
patents, and promoting technology development and filing for patent application. We also holdsessions in which a member of Intellectual Property Management serves as instructor.

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Photo:Intellectual property training program
Instructor: Mr. Tatsushi Gocho, Representative Director,
TechnoProducer Corporation
Commissioned organizer: CKS Corporation

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Partnership with Our Suppliers
We at Nissha procure the raw materials, components, equipment, and services necessary to makeour products from the global market. We work with our suppliers that constitute this supply chain topromote CSR procurement based on our Basic Purchasing Policy toward realizing co-existence,sharing awareness of social responsibility, and enhancing mutual corporate value.

Procurement and purchasing as a truly global company→Fair evaluation / CSR procurement

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Expansion of Our Supply Chain
We collaborate with various suppliers in conducting our business activities.
Supply Chain of the Industrial Materials and Divices Businesses

Supply Chain of the Information and Communication BusinessStart of CSR Supplier Audits
We started CSR supplier audits covering four areas—labor and human rights, safety and health,environmental protection, and ethics—drawing on the global template provided by the Electronic
Industry Citizenship Coalition (EICC) and on our customers’ own code of conduct based on this
EICC template. In fiscal year 2015, we carried out audits at a total of five major materials suppliersof the Devices business and companies that dispatch workers to our factories. Although we haveconducted audits related to quality and the environment in the past, the inclusion of the EICC
template has led to a reduction in CSR risks and further enhanced the content of the audits.
Auditors are selected from Nissha employees who have undertaken and passed EICC auditor
training. The audit process consists of an inspection of the supplier’s employment regulations andtime cards, tours of the site premises including the clean room, and interviews of employees. In theevent the audit uncovers any instances of noncompliance, the supplier is required to establish
corrective action (CA) and preventive action (PA) on the findings. Roughly three months later, theauditors check that CA and PA have been taken and the noncompliance has been remedied,bringing the CSR audit to completion. From fiscal year 2016 onward, we will expand the CSR
audits to particularly important suppliers of all business units.

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In moving forward with this initiative, we revised our Basic Purchasing Policy and, based on thisrevision, further implemented an extensive review of our CSR Procurement Guidelines as well as
the Supplier ESG Check Sheet, a self-assessment questionnaire (SAQ). Our plan is to hold CSR
procurement briefing sessions and distribute the ESG Check Sheet for our suppliers to complete
prior to auditing. Before the end of fiscal year 2018, we hope to remedy all instances ofnoncompliance uncovered by the audits and build a structure in conformance with the EICC
template.
Fields of the supplier self-check sheet
1. Certification
2. Labor and human rights
3. Health and safety
4. Environmental management
5. Information security management
6. Corporate ethics and compliance
7. Management system
Development of Procurement Personnel
We make continuous efforts to educate procurement personnel and promote transactions with our
suppliers based on fairness, impartiality, and integrity in line with our Basic Purchasing Policy. In
fiscal year 2015, we conducted training in relevant laws such as the Act against Delay in Payment
of Subcontract Proceeds, as well as a procurement test created in-house, which attracted 117
participants from a total of seven offices and production bases in Japan. The test included
questions on relevant laws, on our basic approach to procurement, and on communication skills. In
preparation for the test, we also invited an outside lecturer to provide training in topics selectedfrom the questions. The test results are analyzed and used to plan the contents of the next training
session toward enhancing our employees’ skills.

Training by an outside lecturer

Procurement test

In-house Exhibitions
In an ongoing effort to strengthen partnerships, wehost in-house exhibitions in which we invite our
suppliers to introduce their products and newtechnologies to the employees of various Nissha
departments. In fiscal year 2015, we soughtcooperation from two suppliers associated with theDevices business and the Information andCommunication business.

In-house exhibitions

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Basic Purchasing Policy
For the achievement of the Corporate Mission, "We are committed to pursuing a mutually trustful
Co-Existence with society through our business activities utilizing a unique technology
development, based on PRINTING as a core.", we at Nissha are always committed to creating
enterprise value by establishing the partnership for co-existence and co-prosperity with suppliersand carrying out mutually fair procurement.
We at Nissha evaluate suppliers impartially, fairly and comprehensively, based on the following
points.
1. Stable business foundation and reliable business attitude
2. Excellent technology development and supply abilities
3. Flexibility to adapt to changes in the business environment
4. Safety of products and services, stable quality and lead time and competitive prices
5. Supply chain management aimed for business continuation
We at Nissha promote CSR procurement by working with suppliers on the following points.
1. Labor
2. Health and Safety
3. Environment
4. Ethics
5. Information security
Establishment April 2, 2009
Amendment June 30, 2015
Nissha Printing Co., Ltd.

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Initiatives Related to Conflict Minerals
Since the adoption in August 2012 of the final provision of the Dodd-Frank Act*1 (Section 1052)
requiring companies to report whether conflict minerals are contained in their products, we at
Nissha have responded to many inquiries from our customers. The major conflict minerals used in
Nissha products include tin used in some decoration films and in ITO film*2 for touch panels, andgold used in FPC*3 plating.
We procure all of the materials that make up our products, identify those that contain conflictminerals, and then ask our suppliers of the relevant materials not to source minerals produced in
the Democratic Republic of Congo or adjoining countries.
In fiscal year 2015, we completed our investigation of smelters and countries of origin concerning
all of the conflict minerals we use. Further, in response to customer demand, we have embarked on
an initiative to switch suppliers of all conflict minerals to Conflict-Free Smelters, or designatedsmelters that do not source minerals produced in the Democratic Republic of Congo or adjoining
countries.
In future, we will continue our efforts to engage in minerals procurement with integrity in line with
our Underlying Philosophy Concerning Corporate Responsibility for Minerals Procurement drawn
up in March 2014.

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Underlying Philosophy Concerning Corporate Responsibility for Minerals Procurement
The Nissha group is deeply concerned that a portion of the conflict minerals extracted by the
Democratic Republic of the Congo and its neighboring countries are being used as a source offunding for militia that through acts of looting, violence and forced labor are infringing on
fundamental human rights.
In April 2012, Nissha became a signatory to the “Global Compact” as advocated by the United
Nations. We at Nissha have fully embraced the Ten Principles stated in the Global Compact as acornerstone of our Corporate Mission. Based upon our recognition of the importance of theseprinciples and aiming for co-existence with our stakeholders, we are committed to non-use of
these conflict minerals, as raw materials in our products as they result in an infringement ofbasic human rights. Accordingly where our company becomes aware of the use of any conflictminerals, we will immediately implement all measures required regarding that use.
1. Nissha is presently implementing ongoing control systems for conflict minerals which we
maintain continuously.
2. Nissha will promptly provide to its customers conflict minerals information including its
smelters, etc.
3. Nissha in respect of this issue will publish the relevant information in its CSR reports.
We will continue to make sincere efforts for the responsible procurement of related minerals inorder to fulfill our corporate social responsibilities.
March 12, 2014
Junya Suzuki
President and CEO
Chairman of the Board
Nissha Printing Co., Ltd.

*1. Dodd-Frank Act: The Dodd-Frank Wall Street Reform and Consumer Protection Act (USA) requires
companies to report whether any conflict minerals they use were produced in the Democratic Republic ofCongo or adjoining countries.
*2. ITO film: Film with a transparent conducting coating of indium tin oxide (ITO).
*3. FPC: Flexible printed circuits (FPC) that maintain their electrical properties when flexed.

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Consumer Issues
Responsibility to Our Customers / Quality-related Initiatives
We at Nissha strive daily to improve quality, based on our Quality Policy, so that we may provide
products and services that satisfy and meet the needs of our customers.

Quality Policy
Nissha and its subsidiaries are committed to contributing widely to society through customer’s
trust and satisfaction of quality, cost, delivery, services and speed.
1. We aim for quality that stands up to the customer’s expectations.
2. We pursue Zero Defects in our products.
3. We provide products which satisfy customer requirements and conform to relevant
legislation and regulations.
4. We establish and maintain a quality management system, and continually improve its
effectiveness.
April 1, 2011
Junya Suzuki
President and CEO
Chairman of the Board

Quality Management System (QMS)
We operate a quality management system that meets the requirements of international standard
ISO 9001:2008. Led by the president and a Chief Quality Officer (CQO) in charge of the system,
we promote improvements in quality under our comprehensive quality assurance initiative Nissha
Total Quality Management (NTQM). We also implement for various forms of improvement based on
instructions from top management in periodic management reviews.

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Quality Assurance Structure

Nissha Total Quality Management (NTQM)
Our NTQM initiative seeks to build and improve a mechanism for keeping promises with ourcustomers as well as complying with laws and regulations. NTQM clarifies the procedures followed
at each business unit, such as design reviews (DR), reliability tests, and supplier management. We
believe that improving the accuracy of these procedures will enable us to provide products andservices with even higher levels of quality and safety. In fiscal year 2016, we will embark to create amechanism for supporting new businesses.
Five Musts for the Systematization of WorkIn fiscal year 2012, we set forth Five Musts for the Systemization of Work, a concept we areworking to communicate company-wide through training and our internal newsletter.

Five Musts for the Systematization of Work
1. Standardize work.
Standardization clarifies the required input, as well as the work you have to perform.
2. First of all, check the input.
Begin your work by checking for any fault in input.
3. Incorporate the customer viewpoint into the output.
Not only customers for the Company, but your immediate customers, internal and external. In
your work, you must aim at an output that meets QCDS from all your customers.
4. Reinforce the system using human factors.
Human factors should be used to cover those areas of work which cannot be covered by thesystem alone. Your communication and teamwork will reinforce the system.

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5. Make continuous efforts to improve the system.
The system must be established and implemented continuously. Continuous implementation
results in further improvement of the system, as well as that of the quality of our work and theCompany.

Small-group Activities
The accumulation of bits of wisdom and creativity from all employees is the source of great
improvements in work processes. The small-group activities we restarted in July 2011 are an
important mechanism for mustering our knowledge and strengths. And the Company-wide
Presentation Meeting of Small-group Activities we have held every six months since October 2011
unveils various results of improvement. The presentation meetings are designed to reward not only
the results but also the thought process and creativity that produced the results, as well as the skills
for explaining these in an easy-to-understand manner.
Through the small-group activities, a positive attitude has taken root in our employees’ minds: 1)
always incorporate creativity in work processes, 2) base judgments on data (facts), and 3) utilize
the plan-do-check-act (PDCA) cycle to make improvements on a continuous basis.
Improvement Proposal System
Besides taking time to analyze workplace problems and search for optimal solutions, it is also
important to say “just do it” and act on inspired ideas. In fiscal year 2012, we reintroduced theimprovement proposal system as a company-wide mechanism. The number of proposals isincreasing year after year, and the concept of giving shape to ideas and reporting them is taking
root. At present, various departments submit many proposals, which are helping to streamline
management and make it more efficient as well as to invigorate workplaces.
Education and Training Activities
We at Nissha believe that the quality of people plus the quality of work equals the quality of thecompany. We plan and provide various educational programs in efforts to develop our employees—
our most important management resources.

Training

1) General quality training (for first-, second-, and third-year employees, newmanagerial staff, managers, and overseas transferees)
2) Management system training (ISO 9001:2008, ISO/TS 16949:2009, and core
tools)
3) Quality control training (QC Exam levels 3 and 4)4) Quality methodology training (statistical methods, experimental design, TS
core tools, etc.)
5) Improvement tool training (industrial engineering, human error prevention, “5Whys” cause-and-effect analysis, etc.)
6) Other training (corporate ethics and compliance, finance and export
management, CPL*)

Practical
education
Information
sharing /reciprocal
learning

1) Support for small-group activities
2) Support for project launches
3) Support for key project themes

Company-wide Presentation Meeting of Small-group Activities* CPL: Combination of contractual liability (CL) with product liability (PL)Consumer Issues

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Customer Satisfaction Improvement Subcommittee
We established a Customer Satisfaction Improvement Subcommittee under the CSR Committee.
With the Chief Quality Officer (CQO) Planning Office, which oversees all matters related to quality,
functioning as a secretariat, the subcommittee conducts investigations and analyses to improvecustomer satisfaction, provides education to raise employee awareness, and promotes
improvements in systems.
From Department-based Optimization to Company-wide Optimization
The next process is the customer—this is a Japanese maxim related to quality improvement. Itmeans that all workers in every process must have in mind the customer, who might be workers in
the production process following theirs. We at Nissha promote the recognition of ties between one’s
own department and others’, and even ties between work processes across the whole company, interms of “input” and “output.” Hence we stress the importance of links between internal processes
and the orderly division of roles. By having all employees stand in the customers’ shoes, we aim tobreak free of department-based optimization and strive for company-wide optimization. We believethat basic concepts like this and the sorting out of functions will build Nissha’s foundation as amanufacturing company.
Quality and Safety of Products
We at Nissha provide our customers with explicit information on product usage and safety indocuments such as delivery specifications. In the event a serious accident occurs as a result offlaws in our products and services, which may violate laws or regulations, we establish a CPL
committee and strive for a quick resolution. We are also prepared to report the incident togovernment agencies in accordance with laws and to notify our customers as soon as possible. We
communicate to our employees the importance of ensuring the quality and safety of products
through corporate ethics and compliance training.
Up to fiscal year 2015, the number of instances in which we organized a CPL committee or violated
laws was zero, resulting in a fine of 0 yen. We will strive to maintain our zero violation record in the
future.
Initiatives Related to Chemical Substances in Products
We at Nissha have in place two sets of criteria for managing chemical substances: the Nissha
Control Criteria for Chemical Substances, covering Nissha products and packaging materials, andthe Nissha Control Criteria for Chemical Substances in Purchased Products, covering procured
items such as primary and secondary raw materials. Both reflect the laws and regulations of
relevant countries and regions, including the Restriction of Hazardous Substances (RoHS) directive
and the Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) regulation,
as well as the substance-related criteria of our customers. Whenever our customers’ criteriachange, we identify the differences from our criteria and work to conform to our customers’ request.
Apart from this, we review our criteria once a year, making revisions as necessary, and organize
briefing sessions for related divisions and our suppliers.
When selecting new materials in the design and development stages, we conduct design reviews
related to materials and assess compliance with our criteria. Our factories are building amechanism for accepting materials that meet our criteria, ensuring traceability, identifying andseparating noncompliant substances, and responding to issues swiftly such as through reporting inefforts to prevent misuse and contamination.
Corporate Environmental and Safety Management of Corporate General Affairs functions as asecretariat and works with the product development, quality assurance, and procurement divisionsof each business unit to promote management of chemical substances in products. It also carries
out internal environmental audits on a regular basis to inspect the management status. This internal
structure implements strict control of chemical substances from the design stage to the final
product, and responds to changes in the needs of society and the demands of our customers.

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Community Involvement and Development
Promoting Communication with Local Communities
As a member of the global society, Nissha aims not only to fulfill its responsibilities as a corporation
but also to win the trust of local communities and be a company that is needed by society. We
promote active communication so as to deepen mutual understanding with local communities.

Basic Social Contribution Policy
We at Nissha set forth our approach to social contribution in the Basic Social Contribution Policy.
We devote our management resources to four fields we recognize as important: environmental
protection, next generation support, promotion and support of arts and culture, and human support
activities.

Basic Social Contribution Policy
Nissha and Nissha People contribute to society under the spirit of global citizenship by using
their management resources effectively toward the achievement of the Corporate Mission.
Main fields of contribution: "environmental protection", "next generation support", "promotion andsupport of arts and culture", and "human support activities".

Initiatives for Next Generation Support and Humanitarian Support
Environmental Workshops at Local Elementary Schools and Nursery Schools
Our employees mainly at production sites in Japan visit local elementary schools and nurseryschools and conduct environmental workshops. This initiative, which started in fiscal year 2008,
has reached some 4,000 children in a total of 78 schools as of the end of March 2015.
In fiscal year 2015, workshops were held at two elementary schools in Kyoto, two elementary
schools in Kaga, Ishikawa Prefecture, and four nursery schools in Koka, Shiga Prefecture. At theelementary schools, children learned about preventing global warming, how to separate waste, andCommunity Involvement and Development

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other environmental initiatives that are close to their daily lives. In
addition, we introduced the “Secrets of Printing” and the “Secretsof Touch Panels” as part of a uniquely Nissha program, aiming toencourage an interest in creating items (monozukuri) as well as
fostering their concepts of occupations.

Workshops Held in Collaboration with an NPO
With the aim of developing in children an interest in theenvironment and unleashing their creativity and imagination, weare holding “Machikusa Mikke!” workshops in collaboration with
the NPO Kids Meet Artists (Director: Haruka Idegami). In thisprogram, the children observe the weeds (Machikusa) thatgenerally go unnoticed in daily life, guided by the artist Shinpei
Shigemoto, who coined the term Machikusa, give them original
names of their choice, and make presentations about them. Following this, they create their own
original Machikusa cards, or make Machikusa maps which record where they were discovered.
In fiscal year 2015, the workshop was held at two shrines in the Rakuhoku area of Kyoto wherechildren from the Jidokan (local children’s hall) of each location participated, in addition to anelementary school near the Kyoto Headquarters. Since its start in 2010, this workshop has been
run a total of 13 times, with around 600 children participating.
Support for Kyoto City Inquiry Learning Center for Career Education
We are sponsors of the Children's Monodzukuri Project in Kyoto
run by the Kyoto City Board of Education. In addition to exhibiting
in a corporate booth at the Kyoto City Inquiry Learning Center for
Career Education, Kyoto Monodzukuri-no-Dendo (Monodzukuri
Hall of Fame), we provide teaching materials and programs for theworkshops held at the Monozukuri Workshop. In this program, thechildren themselves used staplers and tape to create simple touch
panels, which were lit up using LED lights.
In fiscal year 2015, 22 elementary schools and about 1,300 children participated in our program.
We hope that this will provide an opportunity for them to gain an interest in creating things throughfamiliar items in their daily lives.
Human Support Activities in Partnership with TABLE FOR TWO
Since April 2013, the corporate cafeteria at Nissha’s Kyoto Headquarters
implements a program in partnership with TABLE FOR TWO International(Director: Masahisa Kogure), where with each purchase of a meal, 20 yen
is donated to provide one school lunch for children in developing countries.
The cafeteria designates every Friday as TABLE FOR TWO (TFT) day andserves a healthy TFT menu. While enjoying lunch as usual, employees
have the opportunity to deliver a meal to children in Africa. The program
has taken root thanks in part to its simplicity. In October 2014, the cafeteria
also staged an in-house campaign in conjunction with World Food Day,
where employees filled a blank map of Africa with stickers, and thecompany donated 20 yen for every sticker to TFT. Over seven TFT Fridays, the campaign collected
a total of 2,002 stickers worth 2,002 meals. In June 2015, we presented the contents of thisinitiative at an activity report meeting organized by TABLE FOR TWO International.
In October 2014, we further hosted a Stand Up Take Action event, offering employees theopportunity to participate in a global campaign to end poverty and achieve one of the Millennium
Development Goals (MDGs). Representative members of Nissha divisions running the TFT
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program gathered with the suppliers of our daily meals.
Together they read their declaration—“We will stand up toeradicate poverty across the world”—and took a group
photograph. Although our activities in the cafeteria by nomeans represent tremendous action, we believe they will help
to build a global perspective and lead the individual
participants to take action, starting with what they can dotoday.
Membership in Community Organizations
We participate in various community activities with the aim of being a company that is needed bysociety.

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Company Outline
For the company outline and further information on Nissha, please follow the links below.

Company Outline
View our company outline and a list of major group companies.
Company Outline

http://www.nissha.com/english/company/outline.html

Nissha's Business Fields
View our business fields and an outline of our global operations.
Nissha's Business Fields

http://www.nissha.com/english/company/about/business/index.html

Global Network
View the bases of our global network.
Global Network

Company Outline

http://www.nissha.com/company/office.html

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Company Outline
Name
Headquarters

Nissha Printing Co., Ltd.
3 Mibu Hanai-cho, Nakagyo-ku, Kyoto 604-8551, Japan

President and CEO,
Chairman of the
Board

Junya Suzuki

Founded

October 6, 1929

Established

December 28, 1946

Capital¥5,684,790 thousand

Employees

955 (Consolidated number of employees: 3,596)*As of End of March 2015
Nissha is mainly developing the 4 business areas of Industrial

Business outline

Materials, Devices, Life Innovation and Information & Communication.
At the same time, Nissha is accelerating the creation of Research &Development for advance.

Consolidated
Subsidiaries

31

Equity Method
Affiliates

3*

Bases

Japan: 14 (including affiliated companies)
Overseas: 28(including locally incorporated companies and equity method affiliates)【Japan】
Nitec Industries, Inc.
Nitec Precision and Technologies, Inc.
SiMICS Co., Ltd.
FIS Inc.
Nissha Printing Communications, Inc.
Nitec Printing Co., Ltd.
Nissha F8, Inc.
M crossing Co., Ltd.
Nissha Business Service Co., Ltd.

Major Group
Companies

Company Outline【Overseas】
Nissha USA, Inc.
Eimo Technologies, Inc.
Si-Cal Technologies, Inc.
PMX Technologies, S.A. de C.V.
Nissha Europe GmbH
H.I.G. Luxembourg Holdings 28 S.a.r.l.
AR Metallizing N.V.
AR Metallizing S.r.l.
AR Metallizing Ltd.
ARM Embalagens Ltda.

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Nissha Korea Inc.
Nissha Industrial and Trading (Shenzhen) Co., Ltd.
Nissha (Kunshan) Precision IMD Mold Co., Ltd.
Guangzhou Nissha High Precision Plastics Co., Ltd.
Hong Kong Nissha Co., Ltd.
Taiwan Nissha Co., Ltd.
Nissha Industrial and Trading Malaysia Sdn. Bhd.
Southern Nissha Sdn. Bhd.
*NS Tech Co., Ltd.
*TPK Film Solutions Limited

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CSR Report 2015

Nissha's Business Fields
What's Nissha?

Industrial Materials

Devices

The company’s name, Nissha Printing, may
conjure up an image of a company thatprints publications such as books. Of
course, Nissha’s technologies are highly
rated in that area; but its business is not
only confined to that. The specifictechnologies that the company has
developed based on printing are used in avariety of fields and help make people’s
lives richer.

Life Innovation

Information &Communication

Headquarters

Nissha is developing the 4 business areas of "Industrial
Materials" ,"Devices" ,"Life Innovation"and "Information& Communication". We handle decorative films andprinting related materials field comprising "IMD" as themain product in our Industrial Materials business, andthe touch input device "FineTouch" series in our
Devices business. In our Life innovation business, we
handle gas sensors and DDS(Drug Derivery System)and the Information & Communication business, we
provide printing media and a wide range of services
that support general communication strategies, on a
one-stop basis.

Sales breakdown by business field for
FY2015 (ended March 31, 2015)* Nissha Printing Communications, Inc. operates the Information and Communication business of
Nissha Printing Co., Ltd.

Globally trusted Technology
Nissha's technology is highly regarded not only bycustomers in Japan, but throughout the world.
Overseas sales have vastly surpassed domestic sales.

Sales breakdown by overseas vs.
domestic for FY2015

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Nissha products are customized for each and every product provided to our customers. Our
business would not be viable without the trust of our customers.
Nissha's way of carrying out business is to work near to our customers throughout the world
in a way that answers our customers' needs. The number of our global bases has now
reached 28.

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CSR Report 2015

Editorial Policy
The Nissha CSR Report is published annually to serve as a communication tool for building a“mutually trustful Co-existence with society,” as set forth in our corporate mission. CSR Report2015 is compiled with the objective of disclosing widely to our stakeholders information regarding
Nissha’s initiatives and performance in fiscal year 2015 (April 2014–March 2015), following theeditorial policy given below.
Guidelines Used as Reference
・G4 Sustainability Reporting Guidelines, developed by the Global Reporting Initiative
・ISO26000
・Environmental Reporting Guidelines 2012, issued by the Japanese Ministry of the Environment
Period Covered
The information contained in this report, in principle, covers the period from April 2014 to March2015. Some reporting is also done regarding activities carried out after April 2015.
Publication Dates
Current issue: June 2015
Next issue: June 2016 (planned)
Last issue: June 2014
Selection of Items for Reporting
The contents of this report reflect the guidelines given above as well as questionnaires regarding
corporate evaluation, the global template provided by the Electronic Industry Citizenship Coalition(EICC), and demand from our customers. Editing is conducted in line with the core sections of
ISO26000 while taking into consideration significance for both society and Nissha’s stakeholders,and for Nissha itself, drawing on the views of our various stakeholders, including customers.
The process of selecting items for reporting is given in the table below. In identifying relevant topics
and prioritizing items, the CSR Department, responsible for editing, organizes meetings andinterviews with various Nissha divisions and makes a selection with approval from the president
and CEO.

Step 1 Identify relevant
topicsStep 2 Prioritize items

Topics with an impact on the Nissha Group and our supply
chain are extracted, consulting the G4 guidelines and the coresections of ISO26000.
Individual items are prioritized taking into account significancefor the Nissha Group and the degree of impact on society.

Step 3 Validation

The relevance of the items is confirmed from the standpoint of
our stakeholders, based on evaluation by external experts.

Step 4 Review

The contents are reviewed against those of the previous report,other initiatives undertaken during the period covered, andtrends in the global society before being finalized.

Editorial Policy

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CSR Report 2015

Scope of Reporting
The information and data contained in this report focus mainly on activities conducted by the
Nissha Group. Where information for the entire group is not available, the scope of reporting is
indicated separately. “Nissha Printing Co., Ltd.” refers to the parent company alone. “Nissha” and“Nissha Group” refer to Nissha Printing Co., Ltd. and its group companies. “Headquarters” refers to
the headquarters and associated companies located within the headquarters premises. The majoraffiliated companies of each Nissha business are given below.
Significant activities conducted by companies in our supply chain are also included in this report.
Nissha Businesses and Major Affiliated Companies
Industrial Materials
Nitec Industries, Inc. (NII)
Eimo Technologies, Inc.
Si-Cal Technologies, Inc.
PMX Technologies, S.A. de C.V.
Guangzhou Nissha High Precision Plastics Co., Ltd.
Nissha (Kunshan) Precision IMD Mold Co., Ltd.
Southern Nissha Sdn. Bhd.
Devices
Nitec Precision and Technologies, Inc. (NPT)SiMICS Co., Ltd.
* Nissha Printing Co., Ltd. acquired SiMICS Co., Ltd. as a subsidiary as of April 1, 2015.
Life InnovationFIS Inc. (FIS)Information and Communication
Nissha Printing Communications, Inc. (NCI)
Nitec Printing Co., Ltd. (NPC)
Nissha F8, Inc.
* The planning and production function of NCP Co., Ltd. was integrated into Nissha Printing Co.,
Ltd., and its creative photography function into Nissha F8, Inc., as of April 1, 2015.
Variations in Scope of Reporting
Changes in Nissha Group companies in fiscal year 2015, as well as the impact on the scope ofreporting, are given in the table below.
Date

Contents

Impact on scope of reporting

Apr. 2014

F8 Photo Studio Inc. was
acquired as a subsidiary throughthe acquisition of all shares* The company was renamed
Nissha F8, Inc. as of April 1,
2015

Minor

June 2014

FIS Inc. was acquired as a
subsidiary through a simple
share exchange

New information, primarily
related to the environment, is
included starting with this report

Nissha Industrial and Trading
Malaysia Sdn. Bhd. wasestablished as a sales
subsidiary in Malaysia, with

Minor

Aug. 2014

Editorial Policy

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CSR Report 2015

operations commencing inNovember
Oct. 2014

Nissha Sales Promotion &Products Co., Ltd. was dissolved
and liquidated

Minor

Nov. 2014

The production facility of Nitec
Industries, Inc. Tsu Factory wastransferred to the Inhon Group,in Taiwan, in an agreement toestablish a strategic
collaborative relationship

The transfer of the production
facility had an impact on some
reporting under The
Environment (Monitoring andPrevention of Pollution /Management of Chemical
Substances)Jan. 2015

Polymer Tech Mexico S.A. de
C.V. was acquired through
Nissha USA, Inc. and Eimo
Technologies, Inc.
* The company was renamed
PMX Technologies, S.A. de C.V.
in March 2015

Minor

With the launch of a new Life Innovation business division on April 1, 2015, Nissha Printing Co.,
Ltd. now operates four businesses including Industrial Materials, Devices, and Information andCommunication. The Information and Communication business was spun off as a wholly owned
subsidiary named Nissha Printing Communications, Inc., effective from July 1, 2015.

Publishing Division and Contact for Inquiries
Nissha Printing Co., Ltd.
CSR, Corporate Communications
Tel: +81-(0)75-811-8111
Fax: +81-(0)75-823-5344
Inquiries: Nissha website “Contact us” page

Editorial Policy

http://www.nissha.com/english/inquiry/index.html

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GRI Content Index
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General  Standard  Disclosures

Location  in  CSR  report

Pages  onPDF

Strategy  and  Analysis  a.  Provide  a  statement  from  the  most  senior  decision-‐‑‒maker  of  the  organization
G4-‐‑‒1(such  as  CEO,  chair,  or  equivalent  senior  position)  about  the  relevance  ofsustainability  to  the  organization  and  the  organizationʼ’s  strategy  for  addressing

CEO  Message

2-‐‑‒3

CEO  Message

2-‐‑‒3sustainability.
G4-‐‑‒2

a.  Provide  a  description  of  key  impacts,  risks,  and  opportunities.

Organizational  Profile  G4-‐‑‒3

a.  Report  the  name  of  the  organization.

Company  Outline

92-‐‑‒93

G4-‐‑‒4

a.  Report  the  primary  brands,  products,  and  services.

Nissha's  Business  Fields

94-‐‑‒95

G4-‐‑‒5

a.  Report  the  location  of  the  organizationʼ’s  headquarters.

Company  Outline

92-‐‑‒93

Global  Network

91

a.  Report  the  number  of  countries  where  the  organization  operates,  and  names  of
G4-‐‑‒6

countries  where  either  the  organization  has  significant  operations  or  that  arespecifically  relevant  to  the  sustainability  topics  covered  in  the  report.

G4-‐‑‒7
G4-‐‑‒8

a.  Report  the  nature  of  ownership  and  legal  form.
a.  Report  the  markets  served  (including  geographic  breakdown,  sectors  served,  andtypes  of  customers  and  beneficiaries).

Company  Outline

92-‐‑‒93

Nissha's  Business  Fields

94-‐‑‒95

Company  Outline

92-‐‑‒93

Nissha's  Business  Fields

94-‐‑‒95

a.  Report  the  scale  of  the  organization,  including:  G4-‐‑‒9・Total  number  of  employees

  ・Total  number  of  operations

  ・Net  sales  (for  private  sector  organizations)  or  net  revenues  (for  public  sector

organizations)  ・  Total  capitalization  broken  down  in  terms  of  debt  and  equity  (for  private

sector  organizations)
  ・Quantity  of  products  or  services  provided

a.  Report  the  total  number  of  employees  by  employment  contract  and  gender.
b.  Report  the  total  number  of  permanent  employees  by  employment  type  andgender.
c.  Report  the  total  workforce  by  employees  and  supervised  workers  and  by  gender.
d.  Report  the  total  workforce  by  region  and  gender.
G4-‐‑‒10

e.  Report  whether  a  substantial  portion  of  the  organizationʼ’s  work  is  performed  byworkers  who  are  legally  recognized  as  self-‐‑‒employed,  or  by  individuals  other  than

Respect  for  Diversity＞Compositionof  Nissha  People33-‐‑‒36

employees  or  supervised  workers,  including  employees  and  supervised  employees  ofcontractors.
f.  Report  any  significant  variations  in  employment  numbers  (such  as  seasonalvariations  in  employment  in  the  tourism  or  agricultural  industries).
G4-‐‑‒11
G4-‐‑‒12

a.  Report  the  percentage  of  total  employees  covered  by  collective  bargaining

Human  Rights＞Relationship  withagreements.

Labor  Union
Partnership  with  Our  Suppliers＞

a.  Describe  the  organizationʼ’s  supply  chain.

Expansion  of  Our  Supply  Chain

26-‐‑‒27
79

a.  Report  any  significant  changes  during  the  reporting  period  regarding  theorganizationʼ’s  size,  structure,  ownership,  or  its  supply  chain,  including:・Changes  in  the  location  of,  or  changes  in,  operations,  including  facility
G4-‐‑‒13

openings,  closings,  and  expansions

Editorial  Policy＞Variations  in  Scope・of  Reporting

Changes  in  the  share  capital  structure  and  other  capital  formation,97-‐‑‒98

maintenance,  and  alteration  operations  (for  private  sector  organizations)
・Changes  in  the  location  of  suppliers,  the  structure  of  the  supply  chain,  or  in
relationships  with  suppliers,including  selection  and  termination
Commitments  to  External  Initiatives  Corporate  Governance＞Risk
G4-‐‑‒14

a.  Report  whether  and  how  the  precautionary  approach  or  principle  is  addressed  bythe  organization.

20

Management
Environmental  Policy  and49-‐‑‒51

Management  Structures
G4-‐‑‒15

a.  List  externally  developed  economic,  environmental  and  social  charters,  principles,or  other  initiatives  to  which  the  organization  subscribes  or  which  it  endorses.

CEO  Message

2-‐‑‒3

United  Nations  Global  Compact

13

a.  List  memberships  of  associations  (such  as  industry  associations)  and  national  orinternational  advocacy  organizations  in  which  the  organization:G4-‐‑‒16

・Holds  a  position  on  the  governance  body・Community  Involvement  andDevelopment＞Membership  inParticipates  in  projects  or  committees

・Provides  substantive  funding  beyond  routine  membership  dues

90

Community  Organizations

・Views  membership  as  strategic

GRI Content Index

99

CSR Report 2015

Identified  Material  Aspects  and  Boundaries  a.  List  all  entities  included  in  the  organizationʼ’s  consolidated  financial  statements  or
G4-‐‑‒17

equivalent  documents.
b.  Report  whether  any  entity  included  in  the  organizationʼ’s  consolidated  financial
statements  or  equivalent  documents  is  not  covered  by  the  report.
a.  Explain  the  process  for  defining  the  report  content  and  the  Aspect  Boundaries.

G4-‐‑‒18

b.  Explain  how  the  organization  has  implemented  the  Reporting  Principles  forDefining  Report  Content.

G4-‐‑‒19

Editorial  Policy＞Scope  of  Reporting
Global  Network

97

91

Editorial  Policy＞Selection  of  Items
for  Reporting96

a.  List  all  the  material  Aspects  identified  in  the  process  for  defining  report  content.
a.  For  each  material  Aspect,  report  the  Aspect  Boundary  within  the  organization,  asfollows:  ・Report  whether  the  Aspect  is  material  within  the  organization
・If  the  Aspect  is  not  material  for  all  entities  within  the  organization  (as  described  in
G4-‐‑‒17),  select  one  of  the  following  two  approaches  and  report  either:

G4-‐‑‒20 　–The  list  of  entities  or  groups  of  entities  included  in  G4-‐‑‒17  for  which  the  Aspect  is

Editorial  Policy＞Scope  of  Reporting

97

Editorial  Policy＞Scope  of  Reporting

97

not  material  or 　–The  list  of  entities  or  groups  of  entities  included  in  G4-‐‑‒17  for  which  the  Aspects  ismaterial・Report  any  specific  limitation  regarding  the  Aspect  Boundary  within  theorganization
a.  For  each  material  Aspect,  report  the  Aspect  Boundary  outside  the  organization,  asfollows:  ・Report  whether  the  Aspect  is  material  outside  of  the  organization  G4-‐‑‒21

・If  the  Aspect  is  material  outside  of  the  organization,  identify  the  entities,  groups  ofentities  or  elements  for  which  the  Aspect  is  material.  In  addition,  describe  thegeographical  location  where  the  Aspect  is  material  for  the  entities  identified  ・Report  any  specific  limitation  regarding  the  Aspect  Boundary  outside  theorganization

G4-‐‑‒22

G4-‐‑‒23

a.  Report  the  effect  of  any  restatements  of  information  provided  in  previous  reports,
and  the  reasons  for  such  restatements.

Prevention  of  Further  Global
Warming＞Basic  Unit  Management60

by  Production  Volume  and  Its  Issues

a.  Report  significant  changes  from  previous  reporting  periods  in  the  Scope  and

Editorial  Policy＞Variations  in  Scope

Aspect  Boundaries.

of  Reporting97-‐‑‒98

Stakeholder  Engagement  G4-‐‑‒24
G4-‐‑‒25

a.  Provide  a  list  of  stakeholder  groups  engaged  by  the  organization.

Nisshaʼ’s  Stakeholders

9-‐‑‒11

Nisshaʼ’s  Stakeholders

9-‐‑‒11

Nisshaʼ’s  Stakeholders

9-‐‑‒11

Nisshaʼ’s  Stakeholders

9-‐‑‒11concerns,  including  through  its  reporting.  Report  the  stakeholder  groups  that  raised

Partnership  with  Our  Suppliers＞

79-‐‑‒80

each  of  the  key  topics  and  concerns.

Start  of  CSR  Supplier  Audits

a.  Report  the  basis  for  identification  and  selection  of  stakeholders  with  whom  toengage.
a.  Report  the  organizationʼ’s  approach  to  stakeholder  engagement,  includingG4-‐‑‒26

frequency  of  engagement  by  type  and  by  stakeholder  group,  and  an  indication  ofwhether  any  of  the  engagement  was  undertaken  specifically  as  part  of  the  report
preparation  process.
a.  Report  key  topics  and  concerns  that  have  been  raised  through  stakeholder

G4-‐‑‒27

engagement,  and  how  the  organization  has  responded  to  those  key  topics  andReport  ProfileG4-‐‑‒28

a.  Reporting  period  (such  as  fiscal  or  calendar  year)  for  information  provided.

Editorial  Policy＞Period  Covered

96

G4-‐‑‒29

a.  Date  of  most  recent  previous  report  (if  any).

Editorial  Policy＞Period  Covered

96

G4-‐‑‒30

a.  Reporting  cycle  (such  as  annual,  biennial).

Editorial  Policy＞Period  Covered

96

G4-‐‑‒31

a.  Provide  the  contact  point  for  questions  regarding  the  report  or  its  contents.

Editorial  Policy＞Publishing  Divisionand  Contact  for  Inquiries

98

GRI  Content  Index  a.  Report  the  ʻ‘in  accordanceʼ’  option  the  organization  has  chosen.
b.  Report  the  GRI  Content  Index  for  the  chosen  option  (see  tables  below).
G4-‐‑‒32

c.  Report  the  reference  to  the  External  Assurance  Report,  if  the  report  has  been

GRI  Content  Index

99

externally  assured.  GRI  recommends  the  use  of  external  assurance  but  it  is  not  arequirement  to  be  ʻ‘in  accordanceʼ’  with  the  Guidelines.
Assurance
a.  Report  the  organizationʼ’s  policy  and  current  practice  with  regard  to  seeking
external  assurance  for  the  report.
b.  If  not  included  in  the  assurance  report  accompanying  the  sustainability  report,
G4-‐‑‒33

report  the  scope  and  basis  of  any  external  assurance  provided.
c.  Report  the  relationship  between  the  organization  and  the  assurance  providers.

Assurance  has  not  been  sought  for－the  sustainability  report.

d.  Report  whether  the  highest  governance  body  or  senior  executives  are  involved  inseeking  assurance  for  the  organizationʼ’s  sustainability  report.
Governance  Governance  Structure  and  Composition  a.  Report  the  governance  structure  of  the  organization,  including  committees  of  theG4-‐‑‒34

Corporate  Governance15-‐‑‒21

Approach  to  CSR

5-‐‑‒6

Approach  to  CSR

5-‐‑‒6highest  governance  body.  Identify  any  committees  responsible  for  decision-‐‑‒making
on  economic,  environmental  and  social  impacts.
a.  Report  the  process  for  delegating  authority  for  economic,  environmental  andG4-‐‑‒35

social  topics  from  the  highest  governance  body  to  senior  executives  and  other
employees.

GRI Content Index

100

CSR Report 2015

a.  Report  whether  the  organization  has  appointed  an  executive-‐‑‒level  position  or
G4-‐‑‒36

positions  with  responsibility  for  economic,  environmental  and  social  topics,  andApproach  to  CSR

5-‐‑‒6

whether  post  holders  report  directly  to  the  highest  governance  body.
Corporate  Governance＞Nissha's

17Management  and  Business  Execution
a.  Report  processes  for  consultation  between  stakeholders  and  the  highest
G4-‐‑‒37

Systemgovernance  body  on  economic,  environmental  and  social  topics.  If  consultation  isdelegated,  describe  to  whom  and  any  feedback  processes  to  the  highest  governance Approach  to  CSR＞CSR  Management

5-‐‑‒6body.
Human  Rights＞Relationship  with
Labor  Union

26-‐‑‒27

a.  Report  the  composition  of  the  highest  governance  body  and  its  committees  by:    ・Executive  or  non-‐‑‒executive
    ・Independence
    ・Tenure  on  the  governance  bodyG4-‐‑‒38

Corporate  Governance15-‐‑‒21and  the  nature  of  the  commitments

Respect  for  Diversity＞Composition33-‐‑‒36

    ・Genderof  Nissha  People

    ・Number  of  each  individualʼ’s  other  significant  positions  and  commitments,

    ・Membership  of  under-‐‑‒represented  social  groups
    ・Competences  relating  to  economic,  environmental  and  social  impacts
    ・Stakeholder  representation
G4-‐‑‒39

a.  Report  whether  the  Chair  of  the  highest  governance  body  is  also  an  executive

Corporate  Governance＞

officer  (and,  if  so,  his  or  her  function  within  the  organizationʼ’s  management  and  theAppointment  of  Outside  Directors  for 15-‐‑‒16

reasons  for  this  arrangement).

Increased  Transparency

a.  Report  the  nomination  and  selection  processes  for  the  highest  governance  bodyand  its  committees,  and  the  criteria  used  for  nominating  and  selecting  highest
governance  body  members,  including:G4-‐‑‒40

  ・Whether  and  how  diversity  is  considered  ・Whether  and  how  independence  is  considered  ・Whether  and  how  expertise  and  experience  relating  to  economic,
environmental  and  social  topics  are  considered  ・Whether  and  how  stakeholders  (including  shareholders)  are  involved
a.  Report  processes  for  the  highest  governance  body  to  ensure  conflicts  of  interest
are  avoided  and  managed.
Report  whether  conflicts  of  interest  are  disclosed  to  stakeholders,  including,  as  aG4-‐‑‒41

minimum:
  ・Cross-‐‑‒board  membership  ・Cross-‐‑‒shareholding  with  suppliers  and  other  stakeholders
  ・Existence  of  controlling  shareholder
  ・  Related  party  disclosures

Highest  Governance  Bodyʼ’s  Role  in  Setting  Purpose,  Values,  and  Strategy  a.  Report  the  highest  governance  bodyʼ’s  and  senior  executivesʼ’  roles  in  theG4-‐‑‒42

development,  approval,  and  updating  of  the  organizationʼ’s  purpose,  value  or  mission
statements,  strategies,  policies,  and  goals  related  to  economic,  environmental  andApproach  to  CSR

5-‐‑‒6social  impacts.
Highest  Governance  Bodyʼ’s  Competencies  and  Performance  Evaluation  G4-‐‑‒43

a.  Report  the  measures  taken  to  develop  and  enhance  the  highest  governance  bodyʼ’s  collective  knowledge  of  economic,  environmental  and  social  topics.

Corporate  Governance＞ESG  Study
Session  by  Outside  Lecturer  for21

Executives

a.  Report  the  processes  for  evaluation  of  the  highest  governance  bodyʼ’s
performance  with  respect  to  governance  of  economic,  environmental  and  social
topics.  Report  whether  such  evaluation  is  independent  or  not,  and  its  frequency.
G4-‐‑‒44

Report  whether  such  evaluation  is  a  self-‐‑‒assessment.
b.  Report  actions  taken  in  response  to  evaluation  of  the  highest  governance  bodyʼ’s
performance  with  respect  to  governance  of  economic,  environmental  and  social
topics,  including,  as  a  minimum,  changes  in  membership  and  organizational
practice.

Highest  Governance  Bodyʼ’s  Role  In  Risk  Managementa.  Report  the  highest  governance  bodyʼ’s  role  in  the  identification  and  managementof  economic,  environmental  and  social  impacts,  risks,  and  opportunities.  Include  the Approach  to  CSRG4-‐‑‒45

5-‐‑‒6highest  governance  bodyʼ’s  role  in  the  implementation  of  due  diligence  processes.
b.  Report  whether  stakeholder  consultation  is  used  to  support  the  highest

Corporate  Governance＞Internal

governance  bodyʼ’s  identification  and  management  of  economic,  environmental  andControl  System

17-‐‑‒21social  impacts,  risks,  and  opportunities.

GRI Content Index

101

CSR Report 2015

a.  Report  the  highest  governance  bodyʼ’s  role  in  reviewing  the  effectiveness  of  theG4-‐‑‒46

organizationʼ’s  risk  management  processes  for  economic,  environmental  and  social
topics.

G4-‐‑‒47

Approach  to  CSR

5-‐‑‒6

Corporate  Governance＞Internal

17-‐‑‒21

Control  System
Approach  to  CSR

5-‐‑‒6

Corporate  Governance＞Internal

17-‐‑‒21

a.  Report  the  frequency  of  the  highest  governance  bodyʼ’s  review  of  economic,
environmental  and  social  impacts,  risks,  and  opportunities.

Control  System
Highest  Governance  Bodyʼ’s  Role  In  Sustainability  Reportinga.  Report  the  highest  committee  or  position  that  formally  reviews  and  approves  theG4-‐‑‒48

organizationʼ’s  sustainability  report  and  ensures  that  all  material  Aspects  arecovered.

Editorial  Policy＞Selection  of  Items
for  Reporting

96

Highest  Governance  Bodyʼ’s  Role  in  Evaluating  Economic,  Environmental  and  Social  Performance  G4-‐‑‒49

Approach  to  CSR

5-‐‑‒6

Corporate  Governance＞Internal

17-‐‑‒21

a.  Report  the  process  for  communicating  critical  concerns  to  the  highest  governancebody.

Control  Systema.  Report  the  nature  and  total  number  of  critical  concerns  that  were  communicatedG4-‐‑‒50

to  the  highest  governance  body  and  the  mechanism(s)  used  to  address  and  resolvethem.

Remuneration  and  Incentives  a.  Report  the  remuneration  policies  for  the  highest  governance  body  and  senior
executives  for  the  below  types  of  remuneration:
  ・Fixed  pay  and  variable  pay: 　  –Performance-‐‑‒based  pay
 　  –Equity-‐‑‒based  pay
 　  –Bonuses 　  –Deferred  or  vested  sharesG4-‐‑‒51

  ・Sign-‐‑‒on  bonuses  or  recruitment  incentive  payments  
  ・Termination  payments

Corporate  Governance＞
Remuneration  for  Directors  and17

Corporate  Auditors

  ・Clawbacks  
  ・Retirement  benefits,  including  the  difference  between  benefit  schemes  andcontribution  rates  for  the  highest  governance  body,  senior  executives,  and  all  other
employees
b.  Report  how  performance  criteria  in  the  remuneration  policy  relate  to  the  highest
governance  bodyʼ’s  and  senior  executivesʼ’  economic,  environmental  and  social
objectives.
a.  Report  the  process  for  determining  remuneration.  Report  whether  remuneration
G4-‐‑‒52

consultants  are  involved  in  determining  remuneration  and  whether  they  areindependent  of  management.  Report  any  other  relationships  which  theremuneration  consultants  have  with  the  organization.
a.  Report  how  stakeholdersʼ’  views  are  sought  and  taken  into  account  regardingG4-‐‑‒53

remuneration,  including  the  results  of  votes  on  remuneration  policies  and  proposals,
if  applicable.
a.  Report  the  ratio  of  the  annual  total  compensation  for  the  organizationʼ’s  highest-‐‑‒G4-‐‑‒54

paid  individual  in  each  country  of  significant  operations  to  the  median  annual  totalcompensation  for  all  employees  (excluding  the  highest-‐‑‒paid  individual)  in  the  same
country.
a.  Report  the  ratio  of  percentage  increase  in  annual  total  compensation  for  theG4-‐‑‒55

organizationʼ’s  highest-‐‑‒paid  individual  in  each  country  of  significant  operations  to  themedian  percentage  increase  in  annual  total  compensation  for  all  employees(excluding  the  highest-‐‑‒paid  individual)  in  the  same  country.

Ethics  and  Integrity  G4-‐‑‒56

a.  Describe  the  organizationʼ’s  values,  principles,  standards  and  norms  of  behavior

Corporate  Philosophy  and  Nissha

such  as  codes  of  conduct  and  codes  of  ethics.

Brand7-‐‑‒8a.  Report  the  internal  and  external  mechanisms  for  seeking  advice  on  ethical  andG4-‐‑‒57

lawful  behavior,  and  matters  related  to  organizational  integrity,  such  as  helplines  or

Human  Rights＞Hotline

26

Human  Rights＞Hotline

26

advice  lines.
a.  Report  the  internal  and  external  mechanisms  for  reporting  concerns  about
G4-‐‑‒58

unethical  or  unlawful  behavior,  and  matters  related  to  organizational  integrity,  suchas  escalation  through  line  management,  whistleblowing  mechanisms  or  hotlines.

Indicators  by  Aspects

項⽬目

PDF⾴頁

Category:  Economic
Aspect:  Economic  Performance  G4-‐‑‒DMA
G4-‐‑‒EC1

Distribution  of  Added  Value  to

Direct  economic  value  generated  and  distributed

GRI Content Index

Stakeholders

102

24

CSR Report 2015

G4-‐‑‒EC2

Financial  implications  and  other  risks  and  opportunities  for  the  organizationʼ’s
activities  due  to  climate  changeG4-‐‑‒EC3

Coverage  of  the  organizationʼ’s  defined  benefit  plan  obligations

G4-‐‑‒EC4

Financial  assistance  received  from  government

Aspect:  Market  Presence  G4-‐‑‒DMA
G4-‐‑‒EC5
G4-‐‑‒EC6

Ratios  of  standard  entry  level  wage  by  gender  compared  to  local  minimum  wage  atsignificant  locations  of  operation
Proportion  of  senior  management  hired  from  the  local  community  at  significant

Respect  for  Diversity＞Composition

locations  of  operationof  Nissha  People33-‐‑‒36

Aspect:  Indirect  Economic  Impacts  G4-‐‑‒DMA
G4-‐‑‒EC7

Development  and  impact  of  infrastructure  investments  and  services  supported

G4-‐‑‒EC8

Significant  indirect  economic  impacts,  including  the  extent  of  impacts

Aspect:  Procurement  Practices  G4-‐‑‒DMA
G4-‐‑‒EC9

Proportion  of  spending  on  local  suppliers  at  significant  locations  of  operation

Category:  Environmental  Aspect:  Materials  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Environmental  Policy  and49-‐‑‒51

Management  Structures
Environmental  Objectives  and  Status 52-‐‑‒55
of  Achievement
Environmental  Impact  as  a  Result  of

G4-‐‑‒EN1

Materials  used  by  weight  or  volume

G4-‐‑‒EN2

Percentage  of  materials  used  that  are  recycled  input  materials

Business  Operations

56-‐‑‒57

Aspect:  Energy  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Environmental  Policy  and49-‐‑‒51

Management  Structures
Environmental  Objectives  and  Status 52-‐‑‒55
of  Achievement
Environmental  Impact  as  a  Result  of56-‐‑‒57

Business  Operations
G4-‐‑‒EN3

Energy  consumption  within  the  organization
Prevention  of  Further  Global58-‐‑‒60

WarmingG4-‐‑‒EN4

Energy  consumption  outside  of  the  organization

G4-‐‑‒EN5

Energy  intensityG4-‐‑‒EN6

Reduction  of  energy  consumption

G4-‐‑‒EN7

Reductions  in  energy  requirements  of  products  and  services

Prevention  of  Further  Global
Warming58-‐‑‒60

Aspect:  Water

G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Environmental  Policy  and49-‐‑‒51

Management  Structures
Environmental  Impact  as  a  Result  of

G4-‐‑‒EN8

Total  water  withdrawal  by  source

G4-‐‑‒EN9

Water  sources  significantly  affected  by  withdrawal  of  waterG4-‐‑‒EN10

Percentage  and  total  volume  of  water  recycled  and  reused

Business  Operations

56-‐‑‒57

Aspect:  Biodiversity  G4-‐‑‒DMA
G4-‐‑‒EN11
G4-‐‑‒EN12
G4-‐‑‒EN13
G4-‐‑‒EN14

Operational  sites  owned,  leased,  managed  in,  or  adjacent  to,  protected  areas  andareas  of  high  biodiversity  value  outside  protected  areas
Description  of  significant  impacts  of  activities,  products,  and  services  on  biodiversity
in  protected  areas  and  areas  of  high  biodiversity  value  outside  protected  areas
Habitats  protected  or  restored
Total  number  of  iucn  red  list  species  and  national  conservation  list  species  with
habitats  in  areas  affected  by  operations,  by  level  of  extinction  risk

Aspect:  Emissions  GRI Content Index103

CSR Report 2015

G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Environmental  Policy  and49-‐‑‒51

Management  Structures
Environmental  Objectives  and  Status 52-‐‑‒55
of  Achievement

G4-‐‑‒EN15

Environmental  Impact  as  a  Result  of

Direct  greenhouse  gas  (GHG)  emissions  (scope  1)56-‐‑‒57

Business  Operations
Prevention  of  Further  Global58-‐‑‒60

WarmingG4-‐‑‒EN16

Energy  indirect  greenhouse  gas  (GHG)  emissions  (scope  2)G4-‐‑‒EN17

Other  indirect  greenhouse  gas  (GHG)  emissions  (scope  3)G4-‐‑‒EN18

Greenhouse  gas  (GHG)  emissions  intensityG4-‐‑‒EN19

Reduction  of  greenhouse  gas  (GHG)  emissions

G4-‐‑‒EN20

Emissions  of  ozone-‐‑‒depleting  substances  (ODS)

G4-‐‑‒EN21

NOx,  SOx,  and  other  significant  air  emissions

Prevention  of  Further  Global
Warming58-‐‑‒60

Aspect:  Effluents  and  Waste  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Environmental  Policy  and49-‐‑‒51

Management  Structures
  Environmental  Objectives  and  Status 52-‐‑‒55
of  Achievement

G4-‐‑‒EN22

Environmental  Impact  as  a  Result  of

Total  water  discharge  by  quality  and  destination

Business  Operations
Environmental  Impact  as  a  Result  of

G4-‐‑‒EN23

56-‐‑‒57
56-‐‑‒57

Business  Operations

Total  weight  of  waste  by  type  and  disposal  method

Status  of  Waste  Generation  at  Bases
G4-‐‑‒EN24

Total  number  and  volume  of  significant  spills

G4-‐‑‒EN25

under  the  terms  of  the  Basel  Convention  Annex  I,  II,  III,  and  VIII,  and  percentage

66-‐‑‒68

Weight  of  transported,  imported,  exported,  or  treated  waste  deemed  hazardousof  transported  waste  shipped  internationallyG4-‐‑‒EN26

Identity,  size,  protected  status,  and  biodiversity  value  of  water  bodies  and  related
habitats  significantly  affected  by  the  organizationʼ’s  discharges  of  water  and  runoff

Aspect:  Products  and  Services
G4-‐‑‒DMA
G4-‐‑‒EN27
G4-‐‑‒EN28

Extent  of  impact  mitigation  of  environmental  impacts  of  products  and  services
Percentage  of  products  sold  and  their  packaging  materials  that  are  reclaimed  by
category

Aspect:  Compliance  5-‐‑‒6

Approach  to  CSRCorporate  Ethics  and  ComplianceG4-‐‑‒DMA

Environmental  Policy  andManagement  Structures
G4-‐‑‒EN29

22-‐‑‒2349-‐‑‒51

Monetary  value  of  significant  fines  and  total  number  of  non-‐‑‒monetary  sanctions  fornon-‐‑‒compliance  with  environmental  laws  and  regulations

Aspect:  Transport  G4-‐‑‒DMA
Significant  environmental  impacts  of  transporting  products  and  other  goods  andG4-‐‑‒EN30

materials  for  the  organizationʼ’s  operations,  and  transporting  members  of  theworkforce

Aspect:  Overall  G4-‐‑‒DMA
G4-‐‑‒EN31

Total  environmental  protection  expenditures  and  investments  by  type

Aspect:  Supplier  Environmental  Assessment  GRI Content Index104

CSR Report 2015

Partnership  with  Our  Suppliers＞
G4-‐‑‒DMA

Start  of  CSR  Supplier  Audits、Basic79-‐‑‒81

Purchasing  PolicyG4-‐‑‒EN32
G4-‐‑‒EN33

Percentage  of  new  suppliers  that  were  screened  using  environmental  criteria
Significant  actual  and  potential  negative  environmental  impacts  in  the  supply  chain
and  actions  taken

Aspect:  Environmental  Grievance  Mechanisms  G4-‐‑‒DMA
G4-‐‑‒EN34

Number  of  grievances  about  environmental  impacts  filed,  addressed,  and  resolved
through  formal  grievance  mechanisms

Category:  Social  Sub-‐‑‒Category:  Labor  Practices  and  Decent  Work  Aspect:  Employment  G4-‐‑‒DMA
G4-‐‑‒LA1
G4-‐‑‒LA2

Total  number  and  rates  of  new  employee  hires  and  employee  turnover  by  agegroup,  gender  and  region
Benefits  provided  to  full-‐‑‒time  employees  that  are  not  provided  to  temporary  orparttime  employees,  by  significant  locations  of  operation
Support  for  Diverse  Work  Styles＞

G4-‐‑‒LA3

Return  to  work  and  retention  rates  after  parental  leave,  by  gender

Status  of  Major  Long-‐‑‒term  Leave
and  Time  Taken  Off  from  Work40-‐‑‒41(Nissha  Group  in  Japan)
Aspect:  Labor/Management  Relations  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Relationship  with

26-27

Labor  Union
G4-‐‑‒LA4

Minimum  notice  periods  regarding  operational  changes,  including  whether  these  areHuman  Rights＞Relationship  withspecified  in  collective  agreements

Labor  Union

26-‐‑‒27

Aspect:  Occupational  Health  and  Safety  5-‐‑‒6

Approach  to  CSRSafety  and  Health＞Occupational
G4-‐‑‒DMA

43-‐‑‒44

Safety  and  Health  Policy  /  Safety  andHealth  Objectives,  Safety  and  HealthCommittee  /  Safety  and  HealthManagement  System
Percentage  of  total  workforce  represented  in  formal  joint  management–worker

G4-‐‑‒LA5

health  and  safety  committees  that  help  monitor  and  advise  on  occupational  healthand  safety  programsG4-‐‑‒LA6

Type  of  injury  and  rates  of  injury,  occupational  diseases,  lost  days,  and  absenteeism, Safety  and  Health＞Occurrence  ofand  total  number  of  work-‐‑‒related  fatalities,  by  region  and  by  gender

G4-‐‑‒LA7

Workers  with  high  incidence  or  high  risk  of  diseases  related  to  their  occupation

G4-‐‑‒LA8

Health  and  safety  topics  covered  in  formal  agreements  with  trade  unions

Work-‐‑‒related  Accidents

45

Aspect:  Training  and  Education  Human  Resources  Development＞
G4-‐‑‒DMA

Human  Resources  Development

29

PolicyG4-‐‑‒LA9
G4-‐‑‒LA10
G4-‐‑‒LA11

Average  hours  of  training  per  year  per  employee  by  gender,  and  by  employee
category

Human  Resources  Development

29-‐‑‒32

Programs  for  skills  management  and  lifelong  learning  that  support  the  continued
employability  of  employees  and  assist  them  in  managing  career  endings
Percentage  of  employees  receiving  regular  performance  and  career  development

Human  Rights＞Fair  Evaluation  andreviews,  by  gender  and  by  employee  category

Treatment

27

Aspect:  Diversity  and  Equal  Opportunity  Approach  to  CSR

5-‐‑‒6

Respect  for  Diversity30-‐‑‒37

G4-‐‑‒DMA
Composition  of  governance  bodies  and  breakdown  of  employees  per  employee
G4-‐‑‒LA12

category  according  to  gender,  age  group,  minority  group  membership,  and  otherindicators  of  diversity

Respect  for  Diversity＞Compositionof  Nissha  People33-‐‑‒36

Aspect:  Equal  Remuneration  for  Women  and  Men  G4-‐‑‒DMAGRI Content Index

105

CSR Report 2015

Employees  are  treated  appropriatelyG4-‐‑‒LA13

Ratio  of  basic  salary  and  remuneration  of  women  to  men  by  employee  category,  byregardless  of  gender;  no  imbalancesignificant  locations  of  operation

exists  in  basic  salary  between  men－and  women.
Aspect:  Supplier  Assessment  for  Labor  Practices  Partnership  with  Our  Suppliers＞
G4-‐‑‒DMA

Start  of  CSR  Supplier  Audits、Basic79-‐‑‒81

Purchasing  PolicyG4-‐‑‒LA14
G4-‐‑‒LA15

Percentage  of  new  suppliers  that  were  screened  using  labor  practices  criteria
Significant  actual  and  potential  negative  impacts  for  labor  practices  in  the  supply
chain  and  actions  taken

Aspect:  Labor  Practices  Grievance  Mechanisms  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Relationship  with

26-‐‑‒27

Labor  Union
G4-‐‑‒LA16

Number  of  grievances  about  labor  practices  filed,  addressed,  and  resolved  throughformal  grievance  mechanisms

Human  Rights＞Hotline

26

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Basic  Policy  on

25Sub-‐‑‒Category:  Human  Rights  Aspect:  Investment  G4-‐‑‒DMA
G4-‐‑‒HR1

Total  number  and  percentage  of  significant  investment  agreements  and  contracts
that  include  human  rights  clauses  or  that  underwent  human  rights  screening
Total  hours  of  employee  training  on  human  rights  policies  or  procedures  concerningG4-‐‑‒HR2

aspects  of  human  rights  that  are  relevant  to  operations,  including  the  percentage  of
employees  trained

Aspect:  Non-‐‑‒discrimination  G4-‐‑‒DMA

Labor  and  Human  Rights
G4-‐‑‒HR3

Total  number  of  incidents  of  discrimination  and  corrective  actions  taken

Aspect:  Freedom  of  Association  and  Collective  Bargaining  G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Basic  Policy  on

25

Labor  and  Human  Rights
Operations  and  suppliers  identified  in  which  the  right  to  exercise  freedom  of
G4-‐‑‒HR4

association  and  collective  bargaining  may  be  violated  or  at  significant  risk,  andmeasures  taken  to  support  these  rights

Human  Rights＞Relationship  with
Labor  Union

26-‐‑‒27

Aspect:  Child  Labor

G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Basic  Policy  on

25

Labor  and  Human  Rights
G4-‐‑‒HR5

Operations  and  suppliers  identified  as  having  significant  risk  for  incidents  of  childlabor,  and  measures  taken  to  contribute  to  the  effective  abolition  of  child  labor

Aspect:  Forced  or  Compulsory  Labor

G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Human  Rights＞Basic  Policy  on

25

Labor  and  Human  Rights
Operations  and  suppliers  identified  as  having  significant  risk  for  incidents  of  forced
G4-‐‑‒HR6

or  compulsory  labor,  and  measures  to  contribute  to  the  elimination  of  all  forms  offorced  or  compulsory  labor

Aspect:  Security  Practices
G4-‐‑‒DMA
G4-‐‑‒HR7

Percentage  of  security  personnel  trained  in  the  organizationʼ’s  human  rights  policiesor  procedures  that  are  relevant  to  operations

Aspect:  Indigenous  Rights
G4-‐‑‒DMA
G4-‐‑‒HR8

Total  number  of  incidents  of  violations  involving  rights  of  indigenous  peoples  andactions  taken

Aspect:  Assessment
G4-‐‑‒DMA
G4-‐‑‒HR9

Total  number  and  percentage  of  operations  that  have  been  subject  to  human  rights
reviews  or  impact  assessments

Aspect:  Supplier  Human  Rights  Assessment

GRI Content Index106

CSR Report 2015

Partnership  with  Our  Suppliers＞
G4-‐‑‒DMA

Start  of  CSR  Supplier  Audits、Basic79-‐‑‒81

Purchasing  PolicyG4-‐‑‒HR10
G4-‐‑‒HR11

Percentage  of  new  suppliers  that  were  screened  using  human  rights  criteria
Significant  actual  and  potential  negative  human  rights  impacts  in  the  supply  chain
and  actions  taken

Aspect:  Human  Rights  Grievance  Mechanisms
G4-‐‑‒DMA
G4-‐‑‒HR12

Number  of  grievances  about  human  rights  impacts  filed,  addressed,  and  resolved
through  formal  grievance  mechanisms

Sub-‐‑‒Category:  Society
Aspect:  Local  Communities
G4-‐‑‒DMA
G4-‐‑‒SO1
G4-‐‑‒SO2

Percentage  of  operations  with  implemented  local  community  engagement,  impact
assessments,  and  development  programs
Operations  with  significant  actual  and  potential  negative  impacts  on  local
communities

Aspect:  Anti-‐‑‒corruption
5-‐‑‒6

Approach  to  CSRG4-‐‑‒DMA
Corporate  Ethics  and  ComplianceG4-‐‑‒SO322-‐‑‒23

Total  number  and  percentage  of  operations  assessed  for  risks  related  to  corruption
and  the  significant  risks  identified
Corporate  Ethics  and  Compliance＞

22-‐‑‒23

Promotion  Structure  and  Initiatives
G4-‐‑‒SO4

Communication  and  training  on  anti-‐‑‒corruption  policies  and  procedures
Partnership  with  Our  Suppliers＞
Start  of  CSR  Supplier  AuditsG4-‐‑‒SO579-‐‑‒80

Confirmed  incidents  of  corruption  and  actions  taken

Aspect:  Public  PolicyG4-‐‑‒DMA
G4-‐‑‒SO6

Total  value  of  political  contributions  by  country  and  recipient/beneficiary

Aspect:  Anti-‐‑‒competitive  Behavior
5-‐‑‒6

Approach  to  CSRG4-‐‑‒DMA
Corporate  Ethics  and  ComplianceG4-‐‑‒SO722-‐‑‒23

Total  number  of  legal  actions  for  anti-‐‑‒competitive  behavior,  anti-‐‑‒trust,  and  monopoly
practices  and  their  outcomes

Aspect:  Compliance5-‐‑‒6

Approach  to  CSRG4-‐‑‒DMA
Corporate  Ethics  and  ComplianceG4-‐‑‒SO822-‐‑‒23

Monetary  value  of  significant  fines  and  total  number  of  non-‐‑‒monetary  sanctions  fornon-‐‑‒compliance  with  laws  and  regulations

Aspect:  Supplier  Assessment  for  Impacts  on  Society
Partnership  with  Our  Suppliers＞
G4-‐‑‒DMA

Start  of  CSR  Supplier  Audits、Basic79-‐‑‒81

Purchasing  PolicyG4-‐‑‒SO9
G4-‐‑‒SO10

Percentage  of  new  suppliers  that  were  screened  using  criteria  for  impacts  on  society
Significant  actual  and  potential  negative  impacts  on  society  in  the  supply  chain  andactions  taken

Aspect:  Grievance  Mechanisms  for  Impacts  on  Society
G4-‐‑‒DMA
G4-‐‑‒SO11

Number  of  grievances  about  impacts  on  society  filed,  addressed,  and  resolved
through  formal  grievance  mechanisms

Sub-‐‑‒Category:  Product  Responsibility
Aspect:  Customer  Health  and  Safety

G4-‐‑‒DMA

Approach  to  CSR

5-‐‑‒6

Consumer  Issues＞Quality  and87

Safety  of  Products
G4-‐‑‒PR1

Percentage  of  significant  product  and  service  categories  for  which  health  and  safety
impacts  are  assessed  for  improvement

GRI Content Index107

CSR Report 2015

Total  number  of  incidents  of  non-‐‑‒compliance  with  regulations  and  voluntary  codes
G4-‐‑‒PR2

concerning  the  health  and  safety  impacts  of  products  and  services  during  their  life
cycle,  by  type  of  outcomes

Consumer  Issues＞Quality  andSafety  of  Products

87

Aspect:  Product  and  Service  Labeling5-‐‑‒6

Approach  to  CSRConsumer  Issues＞Quality  Policy、G4-‐‑‒DMA

84-‐‑‒87

Quality  Management  System(QMS)、Customer  Satisfaction
Improvement  Committee
Type  of  product  and  service  information  required  by  the  organizationʼ’s  proceduresG4-‐‑‒PR3

for  product  and  service  information  and  labeling,  and  percentage  of  significant
product  and  service  categories  subject  to  such  information  requirements

G4-‐‑‒PR4
G4-‐‑‒PR5

Total  number  of  incidents  of  non-‐‑‒compliance  with  regulations  and  voluntary  codes
concerning  product  and  service  information  and  labeling,  by  type  of  outcomes
Results  of  surveys  measuring  customer  satisfaction

Aspect:  Marketing  Communications
5-‐‑‒6

Approach  to  CSRG4-‐‑‒DMA
Corporate  Ethics  and  ComplianceG4-‐‑‒PR6

Sale  of  banned  or  disputed  products

G4-‐‑‒PR7

concerning  marketing  communications,  including  advertising,  promotion,  and22-‐‑‒23

Total  number  of  incidents  of  non-‐‑‒compliance  with  regulations  and  voluntary  codes
sponsorship,  by  type  of  outcomes
Aspect:  Customer  Privacy
5-‐‑‒6

Approach  to  CSRInitiatives  Related  to  Information

G4-‐‑‒DMA

70-‐‑‒71

Security＞Information  Security
Policy・Information  Security
Management  StructureG4-‐‑‒PR8

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

Aspect:  Compliance5-‐‑‒6

Approach  to  CSRG4-‐‑‒DMA
Corporate  Ethics  and  ComplianceG4-‐‑‒PR922-‐‑‒23

Monetary  value  of  significant  fines  for  non-‐‑‒compliance  with  laws  and  regulations
concerning  the  provision  and  use  of  products  and  services

GRI Content Index108

CSR Report 2015