CSR Report 2009

Medium-term Vision

Become a truly global company
Nissha (Nissha Printing Co., Ltd. and its group companies) drafted the Corporate Mission, Management Policy,
and Code of Conduct based on the company’s medium-term business plan, first implemented in 2003.
Implementation of the Third Medium-term Business Plan began in April 2009. “Become a truly global company”
was established as the company’s medium-term vision, and the Management Policy and Code of Conduct wererevised. As stated in the Corporate Mission, Nissha is working to realize “a mutually trustful Co-Existence withsociety” through business activities that utilize proprietary printing technologies, and will continue to be a company
that is trusted by all stakeholders.

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.

Management Policy• Technology Oriented
Maximizing our business value by continued
technology development and engineering excellence• QCDS and Speed for Customer Satisfaction
Customer satisfaction through quality, cost, delivery,
services and speed• Maximize Enterprise Value
Capital efficiency and optimization• Environmental Management
Global environmentally oriented solutions, products
and activities• Learning and Growth
Continuous improvement by supporting humancapability and training

Code of Conduct• Passion
Passion for quality resulting in customer satisfaction• Proactive
Action driven by a proactive culture• Can-do Spirit
Succeeding by believing and executing excellence• Global CitizenshipTo practice ethical and fair spirited behavior• Communication and Teamwork
Effective communication and efficient teamwork

CSR Report 2009

Milestone 80— a junction on the road to further growth
Nissha will celebrate its 80th birthday on October 6, 2009. To commemorate this important milestone
in our history and looking forward to continued growth in the future, the ﬁscal year 2010 (April 1, 2009 March 31, 2010), which is the ﬁrst year of implementation of the Third Medium-term Business Plan, hasbeen designated the Milestone 80 year. Rather than reﬂ ecting on our history, this milestone year will
mark the start of initiatives necessary for survival and continued growth in the future of both Nissha andNissha People with a focus on our future direction and the required course of action.

Editorial Policy
The CSR Report 2009 has been compiled with the objective of disclosing to ournumerous stakeholders, including customers, information regarding Nissha’s
initiatives and business performance in the ﬁscal year 2009 (April 1, 2008-March
31, 2009).
The information contained in this report is in accordance with the guidelines listed
below, and is also based on several corporate evaluation questionnaire topics.
Period Covered and Scope of Reporting
Period covered: Information and numerical data contained in this report, inprinciple, covers the period from April, 2008 to March, 2009. Some reporting has
also been done regarding activities carried out after April 2009. Numerical data
has been compared with corresponding data for the three-year period between
April, 2006 and March, 2009.
Scope of reporting: The information and numerical data contained in this reportmainly focus on activities conducted by Nissha Group. Where information for theentire group is not available, the scope of reporting has been indicated separately
in footnotes on each relevant page.
• Nissha refers to Nissha Printing Co., Ltd. and its group companies. The Headquarters

the Environment— Sustainability Reporting Guidelines 2006 (Global Reporting Initiative)
Contents
2
Executive Message
4
Company Outline and Business Operations
6
The Third Medium-term Business Plan
8
Initiatives to Ensure Observance of Corporate Ethics and Compliance9Corporate Governance Structure
10 Nissha’s CSR
11 Report on Social Aspects
Customer/Shareholders and Investors/Suppliers/Society/Employees
20 Environmental Aspects
Environmental Policy and Environmental Management Structures/
Environmental Objectives and Status of Achievement/Environmental Impact
as a Result of Nissha Business Operations/Energy Conservation andMeasures to Help Prevent Further Global Warming/Management andReduction of Waste/Monitoring and Prevention of Pollution andManagement of Chemical Substances
28 List of Nissha Group that Have Acquired ISO Certiﬁcation
29 Independent Reportand affiliated companies, such as Nissha Intersystems Co., Ltd., located within theheadquarter premises are collectively referred to as the “Headquarters”.
• Eastern Nissha Printing Co., Ltd. changed its company name to Nitec Printing
Co., Ltd. on July 1, 2009.
• Technical terms and other terminology unique to Nissha have been explained
within the text or in separate footnotes throughout the report.
• The Nissha CSR Report is published every year, and is also posted on thecompany website.
Guidelines used as reference— Environmental Reporting Guidelines 2007, issued by the Japanese Ministry of

Publication dateJune 2009
Next publication (planned)
June 2010
Division in charge of publication and contact details
Nissha Printing Co., Ltd.
Corporate Communications, CSR
Tel:+81-(0)75-823-5143

Executive Message

Nissha has established “Become a truly global company” as its
medium-term vision, and is currently implementing the Third
Medium-term Business Plan.
The Third Medium-term Business Plan
Activities implemented under the Second Medium-term
Business Plan were completed in the fiscal year 2009.
Formulated mainly as a strategy for future growth, the mediumterm business plans focus on six priority strategies. In the fiscal
year 2009, emphasis was placed on strengthening “Leadershipand implementation skills” in order to effectively implement
strategies on the worksites, and make realization of the company
strategy each employee’s goal at work. The Nissha Group worked
in concert toward achieving these goals.
The global economic crisis that began in the autumn of 2008
greatly affected Nissha’s business performance as well. Despite
radical efforts to strengthen sales and increase the number oforders received as well as to reduce internal costs, ﬁnancial results
for the 4Q of the ﬁscal year 2009 were grim.
“Become a truly global company,” was established as thecompany’s medium-term vision and initiatives under the Third
Medium-term Business Plan (April 2009 - March 2012) arecurrently underway. There are many overseas markets where
Nissha technologies can be used extensively and we arecommitted to raising our capabilities from a global perspective toseize those opportunities. The Third Medium-term Business Plan
is an action plan that details strategies, implementation items,
and the course of action to be taken, and sets evaluation
indicators, focusing on the goals Nissha aims to achieve in three
years from now.
Under the Third Medium-term Business Plan, fulfillment ofcorporate social responsibility (CSR) continues to be a strategic
implementation item of the Corporate Mission. Based on thethinking that all implementation items specified in the strategy
are linked to the Corporate Mission, Nissha clarified its future

direction by redefining the Management Policy, and Code of
Conduct.
Communication with Stakeholders
With the aim of further promoting communication withstakeholders, Nissha established the Corporate Communications
Division in the fiscal year 2010. The new division will work topromote awareness of the company through PR activities,
enhance internal communication, implement strategic IR, carryout socially responsible purchasing jointly with suppliers, and takeaction to improve communication with local communities. In
addition to its business activities, Nissha is committed toenhancing enterprise value in the long term by building evenbetter relationships with all stakeholders through initiatives toactively promote communication on a global scale and gain trust.
We will continue to aim for growth together with our
stakeholders.
New Personnel Systems
In order to create systems that are fair and gain theunderstanding of all employees, Nissha has for some time been
engaged in restructuring its personnel system. In April 2009, a
new personnel system was initiated for managerial staff. Plans callfor a new system to be put in place for general employees in April
2010, following continued discussions by the Human Resource
Management System Review Committee.
Consideration for the Environment
Consideration for the environment is undoubtedly a priority
management issue for Nissha, a production company. The revised
Management Policy clarifies the positioning of environmental

Junya Suzuki
President and CEO
Representative Director of the Board

2

CSR Report 2009

management within the Third Medium-term Business Plan, andrecognizes the increasing importance of initiatives to reduce CO2
emissions, in particular. In the fiscal year 2010, the Operation
Administration was established, and environmental management
system control functions and environmental management
functions were consolidated to enable more efficient response toenvironmental issues. By expanding the functions and activities of
the Environmental Conservation Committee Nissha will step up
future initiatives to promote environmental management,
including responses to the Act on the Rational Use of Energy thatwent into effect in April 2009; participation in the printing
industry’s Voluntary Action Plan; setting new environmental goals
for the company (April 2009 - March 2012); and strengthening
company-wide action.

current proﬁle can be attributed to the dramatic globalization thathas taken place in recent years. These new aspects alone,
however, do not represent the true Nissha. Nissha was built on astrong business foundation that was developed over the years anda rich technology base.
The fiscal year 2010 does not merely mark the 80th
anniversary of Nissha’s founding. As a forward-looking company
that continues to show steady growth, we have designated theyear as “Milestone 80” - an important milestone year during
which to present and implement in a strategic manner action thatwill determine the future direction of the company - so that ten or
twenty years later we can look back on this period as an important
turning point in our history. Towards this goal, we plan to develop
and implement wide-ranging programs including new businessstrategies, technology development, and internal restructuring.

Environmental Initiatives at Overseas Bases
In the fiscal year 2009, we engaged in environmental
preservation activities at our overseas production bases in otherparts of Asia, focusing on initiatives to quantitatively determine
environmental performance with regard to energy consumption
and discharge of waste. As a result, we were able to raise theenvironmental awareness of local employees and considerably
improve the recycling and resource reuse rates at production
bases in Malaysia and China. Nissha will continue its efforts toenhance environmental performance at all overseas bases.

In Conclusion
Nissha views the current economic crisis, brought about by
global ﬁnancial instability, as an opportunity for further growth. To
realize this we must clarify our internal and external corporatesocial responsibilities and carry out activities to fulfill them. By
implementing activities that reﬂect the true spirit of CSR we will
fulfill our responsibilities as a truly global company and strive toachieve Co-Existence with society at large.
We look forward to your continued understanding and support.

Milestone 80
As Nissha prepares to celebrate the 80th anniversary of its
establishment on October 6, 2009, we re-acknowledge theefforts of our founder Naoki Suzuki and many others who built up
the company as we know it today. Many aspects of the company’s

Corporate
MissionManagement
PolicyMedium-term
VisionCode of
Conduct3

Brand
Statement

Corporate Mission Dynamics
We are rolling out the Corporate Mission basedon the Medium-term Vision.

Company Outline

Nissha is providing valuable products and services to its customers andsociety at large through proprietary technologies developed based on
printing as its core area of business.
Nissha was founded by Naoki Suzuki in Kyoto, Japan, in 1929 with theaim of "creating a company that specializes, at an unparalleled level, in
sophisticated photographic printing rather than the more commonplace
typesetting." Based on this founding principle, Nissha gradually
expanded business activities by applying the technical expertise it
acquired in the ﬁeld of artistic printing to various other ﬁelds.
Currently, Nissha conducts operations in three business fields-Industrial Materials, Input Devices, Information and Communication.
The Industrial Materials business accounts for 52.6% of total income,while the Input Devices business and the Information andCommunication business contribute 28.0% and 19.4% respectively(ﬁscal year 2009 ﬁnancial results).
Nissha has also stepped up global expansion of business operations. In
the ﬁscal year 2009, 62.7% of total sales were from overseas businessactivities. Nissha’s current overseas network comprises 25 sales andproduction bases in different parts of the world.
Nissha will continue to develop innovative technologies that will evolvewith the times to provide ever greater value and satisfaction.

Net Sales
120,000(million yen)
100,000

127,767
101,649
88,73580,00060,00040,00020,000
0

2007

2008

2009 (FY)

16,77016,302

20082009 (FY)15,58015,49420082009 (FY)Operating Income
15,28915,000(million yen)
10,0005,000

Company Name: Nissha Printing Co., Ltd.
Headquarters:
3 Mibu Hanai-cho, Nakagyo-ku, Kyoto 604-8551, Japan
President and CEO: Junya Suzuki
President and CEO, Representative Director of the Board
Founded on:
October 6, 1929
Established:
December 28, 1946
Number of Permanent Employees (as of the End of March 2009):
3,631 (on a consolidated basis);907 (on an unconsolidated basis)
Capitalization:
5,684,790 thousand yen

0

2007

Ordinary Income
16,31315,000(million yen)
10,000

5,000

0

2007

Map of Nissha’s Worldwide Bases
Breakdown of Consolidated Sales in Fiscal Year 2009
Copenhagen
LondonKristianstad
Oulu
Helsinki
Seoul
Dusseldorf
CheonanUlm
Beijing
KunshanShenzhen
ChennaiHong Kong
Kuala Lumpur

1) Breakdown of sales by businessInformation andCommunications

Kyoto
Gumi
ShanghaiTaipei
Guangzhou

Vicksburg
Chicago Detroit
San Jose
Austin19.4%

HoustonInput Devices

Tokyo
Osaka
NagoyaKobe
Chiba
Kameoka
Koka
Kaga
Kumihama

Industrial Materials
Consolidated sales
in ﬁscal year 2009

52.6%

127,767(million yen)

28.0%2) Breakdown of sales by region

Production bases
Sales bases
Overseas62.7%

42009(F Y)

In Japan

37.3%

CSR Report 2009

Business Operations

To provide customers value-added products and enhance customer satisfaction through worldwide application oftechnologies that were developed in Kyoto based on the expertise gained from the printing business, Nissha iscurrently expanding its expressive, creative, and technological skills on a global scale.

Industrial Materials Business - Expression of Beauty
Nissha has gained international repute as a leading
company for the development of decoration technologies
that allows a rich variety of beautiful designs to be createdwith great precision and freedom of expression on thesurface of various products. These technologies have been
adopted in a wide range of applications including in the
Nissha IMD system that simultaneously performs plastic
molding and design transfer; the Nissha IML system thatcan be used to decorate more complex 3-D surfaces; andderivative technologies that can be used to decorate bothsides of objects. In the future, as consumer needs become
increasingly sophisticated, Nissha will take measures to
respond with regard to both design and functionality.

Major Products• Nissha IMD (Simultaneous Molding and
Decorative Film Transfer System)• Nissha IML (Simultaneous Molding and
Decorative Film Insert System)• Heat Transfer foil
Major Applications• Personal computers, mobile phones,
home appliances, electronics, vehicle
exteriors and interiors, cosmetic packages,
and stationery.

Input Devices Business – Facilitating Easy Communication
Nissha utilized its original photomechanicaltechnology in electronic parts to develop the
Nissha FineTouch, a touch input device thatboasts a high degree of precision and excellent
functionality. The touch screen panel is widelyused on mobile game machines and mobile
phones, and enjoys the world leading market
share. The touch window that uses highly
expressive decoration technologies toincorporate decoration on the touch screen
panel has also won acclaim as a nextgeneration input device that seeks to expand
the degree of freedom in product design.

Major Products• Resistive-type: FineTouch “Touch
Window”, FineTouch “Classic”• Capacitive-type: FineTouch “Capacitive”
Major Applications• Mobile phones, personal computers,
mobile game machines, car navigation
systems and digital cameras, electronic
dictionaries, home appliances, and otherequipment

Information and Communication Business - Rich and Varied Creations
In addition to publication printing, characterized
by a high degree of expressiveness, Nissha
offers a wide variety of products and services
including the sales promotion and marketing
solutions that use the Internet. Nissha boasts acomprehensive line-up of products and services
to support all aspects of a customer’scommunication strategy.
Nissha also contributes to the field of culture
and arts through the restoration and replicationof cultural assets and other art objects using
high-precision technological skills, creation ofdigital archives, and other services.

Development of New Businesses - Nissha Interactive Corporation
t

nt
er
ne
nu
si n
gt
he
I

ting

bsite
a we

ar
ucting m-Condket surveys NET

REAL Printed material

Buzz polls(word of mouth)

NIC

Formulatea strategy

displ
ay to

ols

-Dr

aft
ing

ap
lan

-U
se

of

MarketingN

Plan

Develop the contents

Production

Advertising to promote website
search to promote the website

Medium(Targeted advertising)Advertising on
SEO
the Internet
Promotion

SystemProduction of
printed material
POP displays, catalogs
DM

SolutionpalPromotion using
printed material
Advertising using
print media(magazines and other)

EC
CRM

5

-StoreFormulatea strategy

ia
ed

-Prom
otio

n
Co

tin
uc
str

a
per

tm
rin

In December 2008, Nissha established its ﬁrst joint venturecompany, Nissha Interactive Corporation, together with eLife
Inc. The new company provides comprehensive sales
promotion solutions utilizing both the Net & Real (solution
using the Internet and printed material). To support all aspectsof a customer’s communication strategy, activities range fromformulating strategies based on analyses of consumer insightsurveys to setting up store displays and implementing sales
promotional campaigns.

o
nd
ga

Major Products• Print media
Publishing printing, commercial printing• Sales promotion
Campaigns, events, and POP displays• Net & Real (solution using the Internet andprinted material)
Promotion using the Internet• Art solutions
Restoration and replication, digital archives

Assembling sets
Clientmanagement

Promotional
eventsMedium-term Business Plan

The Third Medium-term Business Plan Goals

Nissha began implementation of the new mediumterm (three-year) business plan on April 1, 2009. The
ﬁrst such plan was introduced in the ﬁscal year 2004,
making this the third. The medium-term business plan
envisages the type of company, Nissha should be or
should aim to be in the medium term, and draws up an
action plan with strategies and items that must be
implemented towards realizing that goal. It is a growthfocused business plan that seeks to ensure survival andfurther growth of the company in the future.

business expansion in line with our core competence.

The Second Medium-term Business Plan that wascompleted in the ﬁscal year 2009 emphasized enhancing
customer satisfaction as the primary requisite of a
growth plan. A Balanced Score Card (BSC) was created
and activities were implemented in a well-balancedmanner from the four perspectives. The global economiccrisis resulting from a ﬁnancial meltdown in America andthe appreciation of the yen against the US dollar
significantly affected our business performance in thefiscal year 2009, the last year of the Second Mediumterm Business Plan. Global expansion of business
operations, however, contributed to sales and overall
growth for the three-year period surpassed initial plans.

2) Geographic expansion of businessWe will aim to expand our business operations sothat Nissha technologies and products are directly or
indirectly used in high-growth markets around theworld.

1) Enhance our product line-up through further
development of derivative technologies
Printing technologies, core competence, havediverse applications. For over 40 years, thefundamental concept underlying Nissha’s growthstrategies has been to develop printing technologies
that “enable printing on all surfaces other than waterand air.”

3) Increase the number of target markets
Nissha’s technologies and products have diverse andwide-ranging applications in a number of markets.
We will continue to expand operations to include thegrowth industry of the particular period.
4) Evolution of our business model
Developing technologies or manufacturing products
alone does not constitute a business. Nissha isconstantly working to develop business models thatare adapted to meet changing market environments.

Under the Third Medium-term Business Plan, Nissha
has established the goal of “becoming a truly global
company” as its medium-term vision. We will continue
to provide unique value in global markets and strive to
become a company that earns further commendationfrom its stakeholders, including customers. To realize
this future image of the company, we must further
raise the capabilities and technical skills of ouremployees and strengthen internal structures; takemeasures to increase understanding and acceptance ofdifferent cultures, ways of thinking and working; andenhance communication skills to reach agreements
through discussion and dialogue. To emphasize Nissha’s
position and activities as a global citizen, the Code of
Conduct, that all Nissha employees are expected toobserve, incorporates “to practice ethical and fairspirited behavior”.

Derivative
Technologies

Business Model
Development

Enhance our product line-up
through further developmentof derivative technologies

Evolution of ourbusiness modelCore
Competence
Printing technology

The Corporate Mission deﬁnes the scope of Nissha’s
business as “business activities utilizing a unique
technology development, based on PRINTING as acore.” Through business expansion in the area of ourcore competence, namely printing technologies, we willseek continued growth. The Third Medium-term
Business Plan establishes four vectors for future

Geographical
Penetration

Application
Development

Expansion of business todifferent geographicalregions

Increase the number oftarget markets

Vectors for Expansion of Sales

6

CSR Report 2009

In order to realize the medium-term vision, andcontinuing from the Second Medium-term Business
Plan, Nissha has divided the Third Medium-term
Business Plan into four individual implementation
items based on the four perspectives of the BSC(Balanced Score Card).
Financial perspective: Nissha will aim to maximize
enterprise value by expanding operations in terms ofincreased sales, profits, and cash flow, as well as
focusing on improving ROE and ROA.
Customer (stakeholder) perspective: Nissha will strive
to further raise QCDS (quality, cost, delivery, andsupport) standards and implement speedier responses,
while providing high value-added products that suitconsumer needs. We are also making efforts to improve
interactive communication with stakeholders.
Internal process perspective: Nissha will implement
initiatives such as reducing costs through improved
production efficiency, accelerating technology
development, and reinforcing environmental responses.
Finally, learning and growth perspective: To
implement all of the above strategies, Nissha willfurther concentrate its efforts on employee training,enhanced utilization of information systems, andstrengthening of the internal structures.

structure focused on paper as a print media to providing
comprehensive services that support communicationrelated needs of customer companies. In conjunction
with this shift, the division will assess the resources andcapabilities that will be required under the new
struc tur e, and aim t o r e viv e pr o f it abilit y b y
implementing the Third Medium-term Business Plan.
The start of the fiscal year 2010 was marked byturmoil due to the global economic crisis. However, weare conﬁdent that the markets we are targeting for our
technologies still hold potential. We will respond tochanges in social and business environments in atimely manner and invest our management resources
primarily in areas where we have a competitive edge, topursue further growth and become a “strong company”
that is undeterred by external factors such as economic
downturns or currency ﬂuctuations.

Growth inEnterprise Value(Strategy to enhance Productivity)

Financial
Perspective

The direction for each business division’s strategy isoutline below.

Customer (Stakeholder) Perspective
Internal Perspective• Industrial Materials Business
The Industrial Materials Business will develop newtechnologies and production methods that meet
consumer needs, while expanding the current
product line-up and increasing the number of target
markets. Reform of internal processes will also be
implemented with an eye to raising proﬁtability.
• Input Devices Business
The Input Devices Business will seek to provide newvalue to customers by expanding its production
capabilities and implementing a verticalreorganization of the value chain focusing on
production structures. The division will also promotecollaboration with other companies for thedevelopment of peripheral technologies and materials
required to provide consumers value-added products.

Improve
Cost Structure(Growth Strategy)

Increase
Asset Utilization

Expand Revenue
Opportunities

Enhance QCDS
and Implement

Provide ValueAdded Products

Stable Supply

Offer developed productthat suits customer needs

Speed and Flexibility

Increase Profit

Enhanced
Communication
with Stakeholders
CSR
Investor Relations
Employee Relations(Operations Management Processes)(CRM Processes)(Innovation Processes)(Regulatory & Social Processes)

Cost Reduction

Marketing Strategy

Encourage Technological Development

Environment-friendly

Improve Productivity

Collaborate with other Companies
regarding Promising Technologies

Supplier Strategy
Inventory Control
Credit Control

Learning & Growth Perspective• Information and Communications Business
The Information and Communications Business will
redeﬁne its area of operations to shift from a business(Human Capital)(Information Capital)(Organization Capital)

Enhance Employee Capabilities

Activate ERP

Enhance the Organization's
Strategic capabilities

Training in eachCategory & Function
Communication Skills

Strategy Map

7

Elaborated Estimation
Proper Distribution of Resources

HR
Management

Leadership of
Headquarter

Enhance Purchasing
functionsOperational Control
Internal
Control

Information
Security

Environment
Responses

Initiatives to Ensure Observance of Corporate Ethics and ComplianceCorporate Ethics and Code of Conduct
Nissha considers it important that all employees (hereafterreferred to as Nissha People) follow the corporate ethics andobserve regulatory compliance. In July
2008, Nissha consolidated the
Employee’s Manual of Conduct, which
consisted of separate booklets indifferent languages, into the
Corporate Ethics and Code of
Conduct. In the fiscal year 2009,
study meetings were held at alloverseas bases. Plans call for further
strengthening compliance promotion
related structures throughout the Corporate Ethics and Codeof Conduct
Nissha Group in the future.

Basic Policy and Preparations Towards the Eliminationof Antisocial Forces
1. Basic Policy
Based on the Policy for Internal Control, Nissha drafted the
Corporate Ethics and Compliance Declaration. Nissha’s basic
policy is to have no relationship with antisocial forces thatpose a threat to the safe and orderly functioning of society
and to take a ﬁrm stand against such forces and groups.
2. Status of Preparations
In order to put into practice the company’s basic thinking
regarding antisocial forces, Nissha is distributing manuals
and other information regarding observance of corporate
ethics and regulatory compliance at various internal training
programs, as well as conducting dedicated training programs
on a systematic and ongoing basis.
The General Affairs, Headquarters oversees theimplementation of initiatives to deal with antisocial forces.
Through information exchange and cooperation with law
enforcement authorities, corporate lawyers, and relevant
committees the department works to reduce risks andprevent potential damage to the company caused byantisocial forces.

Corporate Ethics and Compliance Declaration
In order to respond in an appropriate manner to increasingsocietal awareness regarding observance of corporate ethics
and to emphasize a shared understanding of the issue within
the group, the Corporate Ethics and Compliance Declaration
comprised of ten compliance requirements was drafted in2008 based on the Policy for Internal Control

System for Internal Reporting
To minimize risks and promote ethical conduct andcompliance, as well as to enable the company to immediately
verify facts, Nissha has established a system for internalreporting in the event of fraud, illegal activity or unethicalconduct by either the organization or an individual employee.
The Nissha Hotline, a dedicated telephone line enables
reporting from within the company and from outside.
Since its establishment in 2006, the Nissha Hotline has
been used five times. Most of the reports were regardingharassment. Although employees can also report such
instances to their immediate supervisors or to the person in
charge in the Corporate Human Resources, themanagement is aware of the need to establish a hotline thatcan sufficiently cope with the current number of employees
and business sites. Action must also be taken to enhance
employee awareness regarding the system and improve thelevel of response.

Corporate Ethics and Compliance Declaration
We hereby declare that we fully understand the importance of the words “wideranging coexistence with society based on trust” that are raised in the corporatemotto of the Nissha Group, and that all directors and employees will work on themaintenance and improvement of corporate ethics and the practice of compliance inorder to put that motto into practice.
1. Observance of laws and regulations
We respect not only laws and regulations but also social norms, and pursue
sound and sensible corporate activities.
2. Respect of human rights
We respect human rights and do not discriminate against, bully or harass others.
Furthermore, we act in accordance with laws and regulations related to thehandling of private information and do not disclose information relating topersonal privacy without due cause.
3. Environmental protection
In the research, development, manufacture, sale and disposal of products, wealways comply with treaties, laws and regulations concerning environmental
preservation, and strive to protect the environment.
4. Free and fair competition
We observe laws and regulations relating to the securement and promotion offree and fair competition in business activities, conduct business transactions
based on the motto of coexistence and fulﬁll our social responsibilities.
5. Product safety
We always keep safety in mind when manufacturing, developing, importing,storing, selling, transporting and exporting products. We fully understand andobserve laws and regulations relating to the safety of products as well as safety
standards.
6. Control of insider trading
We observe related laws and regulations in regard to the corporate informationof the Nissha Group and along with disclosing information promptly andappropriately, we also pay attention to its accuracy, fairness and continuity.
Also, in regard to the control of important information related to Nissha andother listed companies, we strive for the prevention of insider trading and neverpursue unfair transactions.
7. Workplace health and safety
We strive for the maintenance of a safe and hygienic workplace environment. In
the event of an industrial accident, we will make efforts to minimize the damage
and prevent reoccurrence.
8. Appropriate information management
We take extremely good care in the management of conﬁdential information sothat such information is not disclosed to others without permission nor used forany purpose other than that intended.
9. Intellectual property protection
We take extremely good care so that other people’s intellectual property is not
used without permission and if acquiring intellectual property for the company,
do so through the proper channels.
10. Severing relations with antisocial forces
We take a ﬁrm stand against antisocial activities and forces and never enter into
any relations with them.

Person Making the Report
Identity disclosed

Identity disclosed
Investigation, response
Unidentiﬁed caller

Hotline (External)

Hotline (Internal)

Corporate lawyer

Corporate Ethics and Compliance Committee Secretariat

Unidentiﬁed caller

Unidentiﬁed reporter

Corporate Ethics andCompliance Committee

Corporate Auditor

Board of Directors

System Diagram of the Hotline

8

CSR Report 2009

Corporate Governance Structure

Shareholders’ Meeting
Appointment
Termination

Appointment
Termination

Appointment
Termination

Management Supervision / Creation of Strategies
Board of Directors
9 Directors (including 2 Outside
Directors)

Audit

Board of Corporate
Auditors
4 Auditors (including 2 Outside
Corporate Auditors)

Auditors’ Office

Audit

Internal Audit Office

President and CEO
Representative Director of the Board

Investment Committee

Disclosure Control Committee
Corporate Ethics and Compliance Committee
Quality System Committee
Environmental System Committee
Information Security Committee
Safety and Health Committee
Risk management Committee

Management Meetings

Corporate Officers

Customer Satisfaction
Enhancement Committee

Audit

Accounting Auditor

Business
Execution

Business Units / Corporate Strategy / Administration / Subsidiaries

Corporate Mission / Management Policy / Code of Conduct / Brand Statement
Corporate Governance Structure

Basic Approach Regarding Corporate Governance
Structures
Nissha believes that it is important to enhance its
corporate governance structures according to legal and social
ethics, based on the Corporate Mission.
As the code of conduct to help employees observe rules
and regulations, the articles of incorporation, and societal
norms, Nissha has established different rules regarding
compliance, such as the Corporate Ethics and ComplianceDeclaration,. We have also drafted policies to realize CoExistence with all stakeholders of the Nissha Group, including
the Management Policy, the Code of Conduct, theEnvironmental Policy, and the Information Security Policy.
Further, in order to incorporate a third party perspective to
our corporate governance, the Board of Directors includes
two outside directors and two outside corporate auditors.
Nissha has also created several management committees,
including the Disclosure Control Committee that ensures theappropriateness of financial reporting, the Corporate Ethics
and Compliance Committee, and the Risk Management
Committee. Through these measures, Nissha is aiming tostrengthen its corporate governance structures.

Internal Audit Office that functions as an individual entity,then audited and certiﬁed by an external accounting auditor.
Next, the contents are approved by the Disclosure Control
Committee and then the board of directors, before
disclosure. The marketable securities reports and reports on
internal control for the ﬁscal year 2010 will be veriﬁed andapproved by the Disclosure Control Committee then audited
and certiﬁed by an accounting auditor, and submitted to the
Kanto Local Finance Bureau via the Electronic Disclosure forInvestors' Network (EDINET), an electronic disclosure systemestablished by the Japanese Financial Services Agency.
Risk Management
Nissha has drafted a Basic Policy for Risk Management andis clarifying its approach towards risk management initiatives.
The Risk Management Committee established in accordancewith the risk management regulations monitors risks
throughout the company and implements company-wide
responses. Risks associated with compliance, information
security, accidents and disasters, environmental and qualityrelated issues are managed by individual subcommittees andother relevant structures. Results of activities are reported
periodically at board of directors and corporate auditors.

Basic Approach to the Internal Control System
Nissha’s Policy for Internal Control comprises of eightarticles, one of which requires the establishment of“structures to ensure that directors and employees execute
their duties in compliance with laws and regulations and thearticles of incorporation”. Based on this policy and inaccordance with the Company Law and the Ordinance for
Enforcement of the Companies Law, we are creating
structures to ensure proper conduct of business.
The Internal Control Department in particular, has beenstrengthened to ensure the appropriateness of importantbusiness functions, such as financial reporting. The
department works jointly with the Disclosure Control
Committee to promote internal control. Documents related
to term end financial statements are first verified by the

Remuneration for Directors
The 90th marketable securities reports for the ﬁscal year
2009 contain the following information:
Remuneration paid to directors: 279 million yen
The above figure includes 91 million yen paid as annual
bonuses to directors.
In addition to the above, 62 million yen was also paid assalaries towards execution of their duties as employees of thecompany, and as bonuses.

9Nissha’s CSR

Co-Existence with Stakeholders
In April 2006, we classiﬁed the stakeholders who support
Nissha’s operations into Customer, Shareholder, Supplier,Society, and Employee. The relationship of trust between
Nissha and its stakeholders was named Nissha’s Circle ofTrust. As specified in the Corporate Mission, we arecommitted to the realization of Co-Existence with society
based on mutual trust through activities utilizing proprietary
printing-based technologies. This commitment is anindication of our loyalty to our stakeholders.
Further, Nissha is implementing CSR activities to help
preserve the environment, and support future generations.
Approach to CSR (Corporate Social Responsibility)
Nissha has divided its corporate social responsibilities in to“internal CSR” activities and “external CSR” activities.
“Internal CSR” activities refer to the fundamental
responsibilities of a company towards society, for which
corporate ethics and compliance constitute the base. They
include activities that we have been diligently implementing
over time—environmental preservation activities, promotionof safety and health, development of human resources,
establishment of appropriate personnel systems, employee
beneﬁts, information security, quality assurance, and supply
chain management.
“External CSR” encompasses social contribution activities

and initiatives to enhance societal value. Social contribution
activities are carried out in line with our Basic Social
Contribution Policy, focusing on communication with local
communities. Initiatives to enhance societal value include
measures to enhance environmental value and societal value
through business activities. By implementing strategic
initiatives to tackle issues in the areas of both internal andexternal CSR, Nissha will promote the fulfillment of its CSR
and maximize enterprise value.

Co-Existence

External CSR
Internal CSR

CSR Activities
through ourBusiness Operation,
Social Contribution Activities
Personnel Systems,
Development of Human Resources,
Employee Welfare and Beneﬁts, Safety and Health
Quality Assurance, Environmental
Preservation, Information Security
Corporate Ethics, Compliance10Report on Social Aspects

CSR Report 2009

Customer-oriented Initiatives

As a manufacturing company, Nissha considers its most important mission to be the provision of high quality
products that are safe and reliable to use. We are implementing several initiatives to ensure overall product quality,
taking into consideration not only functions and a beautiful ﬁnish, but also safety features.

Nissha Quality Assurance Structure
Nissha is promoting company-wide quality assurance
measures to provide customers with products they can safely
use.
Quality assurance structures (see ﬁgure below) have been
put in place in the Industrial Materials and Input Devices
Business Unit to enable appropriate and speedy responses tocustomer enquiries. The sales division, that is the contact
point for customers, immediately reports any enquiries it
receives from customers to the Quality Management. Under
the guidance of the Quality Assurance, response measures
are investigated jointly with relevant departments. The
Quality Control then sends out instructions to all production
bases and the Quality Control group established within eachproduction base takes immediate action. Nissha ensuresthat initial response is made within 24 hours of receiving theenquiry. All information regarding customer enquiries isstored in a digital database. Relevant employees within thecompany can quickly access this information and confirm
the status of investigations and response via the Intranet
using the Nissha Quality Report (NQR) system.
We also hold regular meetings with our customers to
discuss quality-related issues and are implementing optimal
quality assurance activities. Quality managers from Japan are

assigned to our bases in China (Shanghai, Beijing, andShenzhen) and India (Chennai) to enable speedy responses
to customers in the respective countries. Further, onsite
internal meetings are held with representatives from ourbases in Europe and North America. Nissha is thus constantly
in tune with customer needs.
The Information and Communication Business Unit
regularly holds Quality Control Committee meetingsorganized by the Quality Assurance to discuss in detailcustomer enquiries regarding quality, and future responses.
At the same time, Nissha is implementing various training
programs within the company to enhance employee
capabilities and skills in the area of product quality. These
include fundamental process-related training programs for
newly recruited employees, training on Nissha’s unique
technologies such as in the replication and reprinting
business, and visits to paper processing plants and tours ofother worksites to study new equipment, as well ascomprehensive training programs on website creation andrelated trends. Nissha also holds joint training programs for
its employees and suppliers, covering a wide range of topics
including monitoring and prevention of quality-related
problems, documentation methods, traceability,
environmental issues, and information security.

Marketing and Sales

Customers
Enquiries

Onsite Meetings
Quality Assurance

Overseas Assignment
Shanghai, Beijing, Shenzhen, Chennai

Quality Management
Quality Control

Technical Support

Quality Control Group
within each Plant

Production Engineering

Quality assurance structures of the Industrial Materials and Input Devices Business Unit

Control Criteria for Environmental Management SubstanceIn the fiscal year 2007, Nissha formulated its Control
Criteria for Environmental Management Substance thatclearly specifies substances prohibited from use and those
whose usage must be regulated. By implementing thesestandards, Nissha aims to ensure thorough compliance with
relevant rules and regulations, reduce environmental impact,
and lessen the harmful effects on living organisms, including
human beings. The management standards have been set at
a level that meets customer expectations, and are revised ina timely manner to respond to changes in those
expectations. The standards currently in operation comply
with the EU RoHS Directive (formulated in 2006) and
REACH regulations (issued in June 2007).

Conﬁrming Product Safety
Nissha has introduced theusage of various analytical
tools to verify and enhance
the safety features of
products it delivers tocustomers. The number of
product safety verifications
conducted is increasing eachyear, and Nissha is making
timely and accurate reportsof the analysis results.

Number
160
140

131

120
100
80

80

60
40
20
0
2008

2009
FY

Number of product safety veriﬁcations
conducted using internal analyticaldevices11

Customer-oriented Initiatives

Quality Policy
As a manufacturing company, consistently raising thequality of products manufactured at its plants is of utmost
importance to Nissha. It is our mission to constantly live up
to the trust that consumers, the end users of our products,
place in us by responding to their needs and expectations.
Based on the awareness that enhancing and maintaining
quality is an important aspect of the company’s social
responsibility, we formulated the Quality Policy in 1997 thatput forth to the whole company Nissha’s basic stance on
quality as a priority management issue.

programs held periodically at all bases.
In the future, Nissha will continue to provide productquality that fulfills customer expectations by working tostandardize quality management methods and share
information across the group.
Customer Satisfaction
Nissha has positioned customer satisfaction as a toppriority management item, and is implementing acomprehensive and balanced management strategy. The
Management Policy reaffirms Nissha’s commitment toensuring “customer satisfaction through quality, cost,delivery, services and speed”. Speciﬁc implementation itemsin this area are continually monitored using internal Key
Performance Indicator (KPI). We established the Customer
Satisfaction Enhancement Committee in October 2006,
and as a tool to determine customer evaluation of our
products, conducted Customer Satisfaction Surveys at eachBusiness Unit through to January 2008.
In order to further raise customer satisfaction, Nissha
believes that it must consistently focus attention on receiving
customer feedback, accurately grasp and analyze customer
evaluation of Nissha products, and reflect them in
improvement activities.

Quality Policy
Nissha and its subsidiaries are committed to widely contribute to
global society by providing products and services economically thatgain customer reliance and satisfaction.
1. We establish and maintain a quality management system, andcontinually improve its effectiveness.
2. We provide products which satisfy customer requirements andconform to relevant legislation and regulations.
3. We achieve our quality objectives economically, and fulfill
customer satisfaction.

Commendations from Customers
In appreciation of the high quality of business transactions
and support services provided by Nissha to its customers, we
received the 2008 Best Supplier Award from LG Electronics
Inc., and the Best Partner Award 2008 from QuantaComputer Inc.

Acquisition of ISO9001 Certiﬁcation
Almost all Nissha production bases in Japan and overseas
have completed the acquisition of ISO9001 certiﬁcation, theinternational standard for quality assurance.
In line with ISO9001 standards, we are operating an
objective quality management system based on facts andﬁgures and are working to make continual improvements toquality.
Internal Auditing
Nissha conducts internal quality audits to verify whether
its quality management system is functioning efficiently andeffectively. Qualiﬁed internal auditors conduct quality audits
twice every year. The audit results, status of related activities
and other information is passed on to the Quality
Management System Committee and then to senior
management for a management review. Irregularities ininternal quality audits call for corrective measures to betaken. Where necessary, the internal auditors help therelevant department resolve the issue by conducting followup audits and proposing a course of action. Nissha is also
striving to achieve quality goals set by individual departments
through activities centered on internal ISO9001 training

2008 Best Supplier Award from LG
Electronics Inc.

12

Best Partner Award 2008 from QuantaComputer Inc.

CSR Report 2009

Information Security Policy
The creation of security structures for the safe handling ofvital information assets, such as personal and otherinformation provided us by customers, is an issue of foremost
importance at Nissha. We have established a highly reliable
and secure information security management system andare committed to maintaining and further improving its
effectiveness. The Information Security Policy (first
formulated in 2005) expresses our fundamental approach
to information security. We are working to enhancecompany-wide awareness of this policy through the Intranet,
workplace displays, and other measures.

manager sets information security goals and drafts a
response action plan for potential risks. He/She works to
reduce risk through measures aimed at achieving the goalsof this action plan. Employee training programs, regularinternal audits, and a review by the company president
himself at meetings of the Information Security System
Committee are held twice a year to ascertain the continued
appropriateness, validity and efficiency of the information
security management system.
Detailed methods of implementing information security
measures have been summarized into the Information
Security Manual Attachment. The manual specifies
measures that must be taken regarding, for example, proper
management of employee entry and exit into office areas
depending on the level of security required in the particulararea; installation and maintenance of network devices,servers and computers; regular backup of information stored;
and the usage of CD-ROMs, USB flash drives and otherelectronic media.

Information Security Policy
Nissha and its subsidiaries are committed to establish, maintain,
and improve a highly reliable and secure information security
management system to protect our own business information andthe information assets, which we acquire from customers, suppliersand employees, etc., through our business activities performed inJapan, from any kinds of threat. And we take internal and external
information security requirements into consideration and reduce allrisks below the acceptable levels.

Publication of “Information Security-related Incidents”
Newsletter
High levels of information security cannot be maintainedby just restricting access to information or operating amanagement system. Nissha believes that it is crucial toenhance the awareness of all employees regarding theimportance of information security.
Towards this end, Nissha is publishing the “Information
Security-related Incidents” newsletter that contains
summarized versions of various information security-related
incidents that occurred in Japan. The newsletter is being
utilized by individual departments for employee education
and as a tool to focus
attention on the issue, withthe aim of further enhancing
and maintaining highinformation security levels.

1. We continually improve the Information security management
system by establishing, implementing, and reviewing theinformation security objectives, so that the confidentiality,
integrity, and availability of information can be maintained andimproved.
2. We comply with legal and regulatory requirements for
information security and with contractual security obligations.
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 to maintain theinformation security levels that contribute to corporate
development.
4. We make the Information Security Policy known to all employees
working in the premises of Nissha and its subsidiaries to raise
their awareness of the issues related to information security.

Initiatives Related to Information Security
Almost all affiliated companies of the Nissha Group in
Japan have obtained ISO27001 certification (theinternational standard for information security management
systems), and we are now working towards maintaining andfurther improving security levels on a continual basis.
Information security managers, supervisors and promotion
personnel have been appointed in each department toanalyze and evaluate potential and existing risks to
information assets, conduct risk assessments, and identify
necessary management measures. The department

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ㄗ㏦௜䞉ㄗ㏦ಙ➼䠄㻝㻠௳䠅ఱ䜢ㄗ䛳䛯䠛

㻤
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So as to enhance understanding of the company and ensure a high evaluation of its enterprise value fromstakeholders and investors, Nissha discloses information in a prompt and timely manner. We also use numerous
information processing tools and take proactive steps to improve communication.

Information Disclosure Policy
Nissha discloses corporate information in a prompt andtimely manner, with due consideration to the accuracy,
fairness and continuity of information disclosed, so as topromote understanding of the company among shareholders
and investors, and garner an appropriate evaluation of thecompany’s enterprise value. The Disclosure Control
Committee is charged with ensuring the appropriateness offinancial statements issued by the company. Further, by
providing feedback to senior management regarding
evaluation by shareholders and investors of the information
disclosed, Nissha is working to raise enterprise value.

and try out Nissha products to gain a better understanding of
the company’s business activities.
– Participation in IR Fairs: August 2008 - Tokyo, February 2009
- Osaka– Company brieﬁng: November 2008 - Kyoto

Nissha is also focusing on enhancing the contents of its
website as one means of disclosing information in a fair andspeedy manner. The design of the “Investors” page waschanged in October 2008 to
make it easier to use. The
contents of the page were also
improved by adding a page that
includes, in an easy-tounderstand style, information
about Nissha’s businessactivities.
“Investors” page
http://www.nissha.co.jp/ir
http://www.nissha.co.jp/english/ir/index.html

Communication with Investors
Nissha has positioned Investor Relations (IR) activities as
an important initiative that serves to enhance mutual
understanding between the company and its investors.
We hold meetings with institutional investors andsecurities analysts approximately 400 times a year in aneffort to maintain smooth communication. Meetings held
several times a year to explain thecompany’s results briefings andindividual meetings with shareholders
provide opportunities for investors toengage in discussion directly withmembers of the senior management.
In October 2008, investors weretaken on a factory tour of the NII Koka
Factory tour
Factory in Shiga Prefecture, Japan.

Questionnaire to Shareholders
Nissha conducts questionnaire-based surveys of all its
shareholders twice a year. In the fiscal year 2009, we
received a variety of opinions from a total of approximately
700 shareholders. The results of the questionnaire-based
surveys are disclosed in the booklet “Business Report” sent toshareholders, and used as feedback to improve IR activities.
Dividend Policy
Based on the fundamental policy of continuing to pay
stable dividends to its shareholders, Nissha will determine therate for the current and future fiscal terms taking wideranging factors such as business performance, payout ratio,
and the ﬁnancial state of the company into consideration.
Regarding effective utilization of internal cash reserves, thecurrent focus is on investments in facilities and R&D in areasof high growth, with a view to enhancing enterprise value inthe medium- to long-term.

Since the ﬁscal year 2009, with the objective of increasing
the amount of information made available to overseas
investors, we began expanding our English language
information tools and are taking proactive
steps to enhance communication.
– Creation of other English language
information tools, in addition to theAnnual Report– Speedy provision of information, such as
financial results, to overseas investors
using telephone conference and othermeans– Overseas road shows (July 2008: UK andSingapore; December 2008: US)

Nissha is also working toenhance communication
with individual investors byincreasing opportunities tomeet with them at various
events. At these events,
investors can actually see

Partnering for Growth Annual Report 2008
For the Year Ended March 31, 2008

Shareholder Composition
Total number of shares issued: 45,029,493
Number of shareholders: 6,985(as of the end of March 2009)

Annual Report

Treasury stock

4.0%

Individual
investors, other

14.2%
Overseascompanies, other

Financial
institutions andinvestmentcompanies

38.2%

17.6%
Status of Breakdown by
Shareholder Holding Size
(Ration of shares owned)

The Nissha Booth at an IR Fair

14

Other Japanesecompanies

26.0%

CSR Report 2009

Initiatives in Collaboration with Suppliers

Nissha drafted the Basic Purchasing Policy with the objective of creating and maintaining a partnership with suppliers
through “Co-Existence and mutual beneﬁt”. We aim to realize Co-Existence based on mutual trust, while promoting
initiatives from the perspective of CSR purchasing, such as concluding the Basic Supplier Agreement with business
partners.

• Basic Purchasing Policy
For the achievement of the Corporate Mission, "We are committed to pursuing a mutually trustful CoExistence 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 thepartnership for Co-Existence and co-prosperity with suppliers and carrying out mutually fair procurement.
We at Nissha evaluate suppliers impartially, fairly and comprehensively, based on the following points.
• Stable business foundation and reliable business attitude• Excellent technology development and supply abilities• Flexibility to adapt to changes in the business environment• Safety of products and services, stable quality and lead time and competitive prices• Supply chain management aimed for business continuation
We at Nissha promote CSR procurement by working with suppliers on the following points.
• Full consideration to the global environment• Observance of laws and regulations and raising corporate ethics• Respect of fundamental human rights• Promotion of labor safety and health• Maintenance and improvement of information security level• Information disclosure• Fair trade• Social contribution

Drafting of the Basic Purchasing Policy
Nissha drafted the Basic Purchasing Policy in April 2009.
The policy seeks to realize the Corporate Mission, andestablishes Nissha’s commitment to constantly creating newenterprise value for both companies through materialpurchasing based on good faith. It also states that Nissha will
always evaluate its suppliers in a fair, equitable andcomprehensive manner, and strive to achieve CSR purchasing.
Firstly, Nissha will discipline ourselves and aim to build amutually beneficial relationship (a “win-win” relationship)with suppliers. Beginning in the ﬁscal year 2010, the Basic
Purchasing Policy has been put into operation for suppliers,and plans call for measures to promote CSR purchasing at allcontracted companies in the future.

similar training programs in the future to develop a mindset
regarding purchasing that beﬁts a global company.
In the fiscal 2010, the initial year of the Third Mediumterm Management Strategy, Procurement and Procurement
Management were created within the Procurement andSourcing. The Procurement will work to reﬁne all aspects of
QCDS, an area of growing importance, while theProcurement Management will focus on measures to reduce
potential supply risks and collection of relevant information.
Concentrating on the activities of these two groups, Nissha
will implement initiatives jointly with suppliers to achieve CSR
purchasing.
Conclusion of Basic Supplier Agreements
To further strengthen relationships with its business
partners, in September of 2008 the Procurement andSourcing began promoting the signing of Basic Supplier
Agreements with Tier 1 suppliers. The contents of the Basic
Supplier Agreements are not merely restricted to selling andbuying, but cover items such as quality assurance, safety andhealth, environmental preservation, protection of personaland conﬁdential information - underlying all of which is theshared awareness of striving to realize CSR purchasing. It also
marks the start of activities geared toward realizing amutually beneficial relationship (a “win-win” relationship)that ensures business continuity for both companies.

Training for the Procurement and Sourcing
Even before the Basic Purchasing Policy was formulated, atraining program was held in August 2008 for theProcurement and Sourcing to promote awareness ofcorporate ethics and compliance and the importance of CSR
purchasing. Materials used for the training included the
Corporate Ethics and Code of Conduct, as well as acompilation of customer expectations, and information on
the status at other companies. It provided participants anopportunity to reﬂect on their positions as employees of the
Procurement and Sourcing. Nissha plans to continue holding

15

Initiatives in Collaboration with Society
Nissha established the Basic Social Contribution Policy as part of its efforts to realize “a mutually trustful Co-Existencewith Society”, as stated in the Corporate Mission. Centered on this policy, we will continue to actively implement
more effective social contribution activities.

Establishment of the Basic Social Contribution Policy
Nissha’s approach to social contribution has been deﬁned
in the Basic Social Contribution Policy. Nissha is committed
to efficiently utilizing the management resources it
possesses, and carrying out appropriate social contribution
activities as a global citizen. The four major areas that Nissha
aims to contribute to are: environmental protection, next
generational support, promotion and support of the arts andculture, and human support activities.
In the fiscal year 2010, the Corporate Communications
was created to promote enhanced communication withlocal communities under the Third Medium-term Business
Plan and centered on the Basic Social Contribution Policy.

processes looks like. Feedback from other participants
concerning difficult to understand contents is reflected in
improvements made to the program. Nissha received a letterof appreciation for its efforts from the Kyoto City government
in the fiscal year 2008, and again in the fiscal year 2009
from the Kaga City government, Ishikawa Prefecture.
Amuse Art Jam
Amuse ArtJam, a large-scale art exhibition organized by
Amuse Inc., was held on October 4 and 5 at the Museum of
Kyoto.
This event, held six times in the past, had more than
5,000 applicants and was visited by over 70,000 people. It is
gaining popularity as an event that acts as a stepping stone
to success for budding artists. In 2008, 82 pieces of art
created by young, extremely
talented artists that passed
the first screening were
exhibited, attracting large
crowds.
Nissha has been supporting
this cause since the fiscal
year 2005, and is one of thesponsors of this event. The
Nissha Award (Sponsor’sAward) for 2008 was won by Takao Nakagawa who won the Nissha
Award
Takao Nakagawa.

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

Environmental Learning Classes at Elementary Schools
I n De c e mbe r 2007, N issha sta rt e d co n d u ct i n genvironmental learning classes at elementary schools, andactivities are being continued in the ﬁscal year 2010 as well.
Nissha employees visit schools to convey to students themessage that each and every individual plays an importantrole in helping to preserve the environment, and that it isimportant to implement environmental initiatives at home
as well.
In the fiscal year 2009, under the themes of“Environmental 3R and Printing Technology,” “The Secret
Behind Printing (Color and Ecology) and Eco-Friendlinesswhile Shopping,” approximately 1,000 elementary school
students participated in environmental learning classes held
27 times at 13 schools, mainly in the regions surrounding
Nissha’s production bases. We request all homeroom
teachers and students who participate in these classes tosend us their opinions andimpressions. One of theparticipants commented
that his/her awareness ofenvironmental issues washeightened after attending
the classes, while anotherwas surprised to see whatenvironmental learning class being“ d o t s ” u s e d i n p r i n t i n g An
conducted at an elementary school

Lights Down Event at Nissha Group Offices
Since April 2008, all Nissha Group offices in Japan havebeen participating in Lights Down event, in principle on thesecond Friday of every month, as part of an initiative to
reduce CO 2 emissions and raise the environmental
awareness of all employees. This environmentally-friendly
initiative expresses Nissha’s cooperation and support for the“Do You Kyoto ?” project being promoted by Kyoto City inwhich the 16th of each month is designated the “Do You
Kyoto ?” day (a day to do something good for theenvironment) to mark the signing of the Kyoto Protocol on
February 16. Nissha plans to continue this initiative in the
future.

Before lights down

16

After lights down

CSR Report 2009

Initiatives in Collaboration with Employees

Nissha believes that its employees are its most important management resources, and is devoting its energies
towards human resource development. Based on the newly established Human Resources Development Policy, we
are aiming to achieve growth for both the company and our employees.

New HRM Systems
In order to create systems that are fair and gain theunderstanding of all employees, Nissha has created the
Human Resource Management System Review Committee
and is currently engaged in restructuring its human resource
management (HRM) systems. In April 2009, a new
personnel system was initiated for managerial staff based on
the newly formulated Basic HRM Policy. Plans call for a new
system to be put in place for general employees in April
2010, following continued discussions with the labor union.

Nissha People, Nissha also respects diversity among Nissha
People and in their working styles. We are promoting theimplementation of various initiatives to enable all Nissha
People to realize their full potential at the workplace.
72.7%

27.3%

Ratio of female employees(as a percentage ofpermanent employees)

75.3%

24.7%

Ratio of temporary employees(as a percentage of the total
number of employees)

18.8%

81.2%

• Basic HRM Policy

Ratio of overseas employees(as a percentage of the total
number of employees)

Example of initiatives in the ﬁscal year 2009 to promote
diversity
1) Appointment of a locally recruited person as thepresident of an overseas subsidiary (January 2009)2) Enhanced recruitment of women in managerial posts
3) Change of employment status from temporary topermanent employee (80 employees)

Image of requested human resources
Considering “Good Faith” the foundation of everything we do,
1. “The autonomous human resources”: The human resources who
think and act independently in line with the Corporate Mission
and management vision (From Reactive to Proactive)
2. “The human resources who will take on a challenge”: The humanresources who will grasp hold of change rapidly and take onchallenges boldly.
3. “The global human resources”: The human resources who canconceive and execute business from a global perspective.

Re-employment of Retired Employees
Nissha has introduced the re-employment system for
retired employees (retirement age of 60), in order toefficiently utilize their extensive knowledge, capabilities andtechnical skills. This system allows employees who meetcertain requirements to continue working with the Nissha
Group until the age of 65. To date, all applicants have beenre-employed.
Further, in April 2009 Nissha introduced a system tosupport retired employees seek re-employment outside the
Nissha Group utilizing an agency that offers dedicatedservices. In the future, Nissha plans to further improve its
systems designed to motivate retired employees and help
them live meaningful lives.

Fundamental Concept of HRM
1. Providing chances to “Growing” human resources: Providing
chances to employees who fulfill their responsibility and havestrong drive to grow
2. Fair evaluation and treatment: Fairly evaluating performance for
one’s role and responsibility and reﬂecting to treatment
3. Support for growth: Promoting human resource development andcareer development
4. Respect for diversity: Respecting diverse human resources andworking styles as a global company
5. Stability of employment and livelihood: Trying to stabilize
employment and livelihood of employees as our social
responsibility

Support for Achieving a Balance between Work andFamily Life
Based on the Next Generation Nurturing Support
Measures Promotion Law, Nissha has drawn up and is
implementing an action plan that promotes the creation ofwork environments that facilitate abalance between work and child rearing.
As a result, in April 2009 we received
certiﬁcation from the Ministry of Health,Labour and Welfare as a company that isstandards-compliant.
“KURUMIN mark” certifying that Nissha’s• New HRM System for Managerial Staff
Focus: Clear deﬁnition of roles– Streamlining of grades from six to three (broad banding)– Classifying job families into “Management” and “Expert”

Diversity of “Nissha People”
In conjunction with the expansion of business operations,
Nissha employees have also become increasingly diverse. Asof the end of March 2009, female employees constituted
27.3%, temporary employees 24.7%, and overseas
employees 18.8% of the workforce.
Nissha collectively refers to all its directors and employees,
regardless of their employment status, location of work, or
nationality, as “Nissha People”. While emphasizing the needfor a shared set of values and working to foster unity among

action plan and its implementation meetthe requirements of the law

Rate of paid
leave taken

Numberof female
employees who
took maternity
leave

Number of
employees who
took time offfrom work forchild-rearing

40.3%

11

16

Number of
Number of
employees who employees who
worked shorter
took time off
hours for childfrom work forrearingfamily-care leave
140

Status of long-term leave and time taken off from work during the ﬁscal year 2009
(scope of data: Nissha group in Japan)

17Initiatives in Collaboration with Employees

Human Resources Development Policy
Nissha believes that its employees are its most importantmanagement resources. We are aiming to achieve growthfor both the company and our employees by actively
supporting the growth of each individual employee anddeveloping human resources who are equipped with the skills
and experience required to work at Nissha.

in these training programs. 14,680 hours were spent on
training programs and the cumulative number of participants
reached 613.
Regarding promotion of the self development support
system that has been in operation for some time at Nissha,
guidebooks for distance learning on the subject have been
prepared and distributed to employees to actively encourage
employees to engage in self-study.

Basic Approach to Human Resources Development
Nissha is promoting the development of human resources
through collaboration between business divisions andworksites, centered on the activities of the Human Resource
Development (initially called the Personnel and Training),that was established in the fiscal year 2008 within the
Corporate Strategy.
In line with its basic thinking on human resources
development, Nissha is implementing comprehensive
activities, including training programs, on-the-job training(OJT), medium- to long-term career development, and thecreation of personnel systems to support these programs, inthe three areas of “Planned human resource development”,“Skill development”, and “Career development”.

Strategy
promotion
The human
resource system

Plannedhuman
resource
development

Towards Further Enhancement of Human Resource
Development Programs
The topics covered by human resource development
programs at Nissha are constantly reviewed and revised tosuit the needs of the company as a whole as well as ofindividual employees, and the contents of each program arestudied and improved to enhance effectiveness.
In the fiscal year 2009, the Global LeadershipWorkshop
was held with the objective of developing leaders with a
global perspective. The program, conducted in English,
mainly targeted young leaders at overseas bases. Seminars
on Nissha Corporate Mission and policies, and workshops onleadership skills were held at the Nissha Headquarters, andtours of production sites were organized.
Further, the contents of education for new graduates andnew employees with work experience were radically revised
to enable newly-recruited employees to contribute to thecompany as quickly as possible.
As part of these activities, a handbook created to enhance
understanding among newly-recruited Nissha People, of the
Corporate Mission, company outline and details of initiatives
being implemented was also revised, as was the content ofrelated seminars.
Plans for training of new graduates by relevant
departments were newly introduced to promote smooth onthe-job training. With regard to new employees with work
experience, plans were drawn up to ensure smooth
acceptance by all departments, and a new training programfor new employees with work experience was organized.
Nissha is currently examining several methods of enhancing
its human resource development programs, and willcontinue to do so in the future with the aim of achieving
growth for both the company and employees.

Nissha cultivates and secures the necessary
human resources in planned fashion in orderto realize the company's management vision(including long-term strategy, business
continuity, creating an atmosphere, etc.)

Career path
Individual people develop their skills in order
to increase their market value.

Forming the foundations

By supporting such activities on thecompany side, we increase the humanresource power of the company.

Skill development

Guidance(OJT)

Training system

Career development

Nissha supports the mid- to long-term
career formation of employees, andpromotes growth into the ﬁgure an
employee wants to become (Nissha provides
awareness of the importance of careerformation and a place for it to happen),

Human Resource Development Model

CONFIDENTIAL
社外厳秘

SpiritNisshaグループの基本思想

5. 当社のあゆみ・よき伝統■ よき伝統■ 当社のあゆみ

NISSHAのよき伝統とは 〜大切にしていくべきこと、守っていくべきこと

Ⅰ）
創立期
1929
1932

〜理想を高く掲げて開業

鈴木直樹 自宅で印刷事業開始

グ
ル
ー
プ
の
基
本
思
想

し、3年後に「鈴木尚美社」を立ちあげました。入札やせりで売買される古美術品の美術品目録（カタログ）の印刷が大きな仕事でした。

◆ 品質に対するこだわり「活字印刷であればだれでもできる。他社の手がけない高級印刷をやろう」◆ 仕事に対する真剣な態度◆ 社員を大切にする経営風土

当社の創業は、鈴木直樹が自宅で印刷所を開業したことに始まります。わずか3人でのスタートでしたが、理想を高く掲げ、「美術印刷をやろう」と決意

鈴木尚美社設立◆ 技術志向のメーカーであること◆ 何事も最後まであきらめない姿勢

Nissha◆ 堅実な経営◆ 誠実な企業文化と道徳観

SpiritImplementation of Internal Training Programs
Nissha implements a variety of training programs, including
rank-specific training programs such as for newly recruitedemployees or for managerial staff; specialized education fortechnical personnel; language training suited to meet speciﬁc
job requirements; and theme-speciﬁc training programs.
Employees can choose to apply for any theme-specifictraining program they wish to attend. The contents of these
programs are reviewed and revised, and the type andfrequency are also increased once every six months, after
which information is posted on the Intranet and on company
notice boards. In the ﬁscal year 2009, numerous employeesof Nissha Group, including from overseas bases, participated─この創業者の思いがNISSHAの原点となりました。

1942

日本写真印刷有限会社設立

1946

日本写真印刷株式会社設立
鈴木直樹社長の就任

1947

第二次世界大戦中の1942年に15社の企業合同によって「日本写真印刷有限会社」と名を変えました。戦後、京都の代表的な活版印刷業者である似玉堂を吸収合併して今日の「日本写真印刷株式会社」が誕生し、鈴木直樹が社長に就任しました。

四条工場（現本社地区）で営業を開始現在の本社の敷地は、島津製作所から借用、のちに購入したもので、もともとは明治39年に創立された京都綿ネルの紡績工場です。現在も当社が使用している「のこぎり屋根」の工場は、紡績の発祥地イギリス・マンチェスターの建築を彷彿させるモダンなものでした。

「NEW JAPAN」完成
1949 「言林」「高級美術印刷の日写」の評価確立「言林」は戦後初めての新かなづかいによる本格的な国語辞典で、出版社と当社とが一体となって仕上げた一大文化事業として賞賛されました。また戦（毎日新聞社）は品質に後の日本を海外に紹介する年鑑PR誌「NEW JAPAN」

最大級の評価を得て、「高級美術印刷の日写」の礎を築きました。

Handbook for Entry-levels 2009

日本写真印刷株式会社

創業者

鈴木直樹

株式会社に改組した鈴木尚美社当時の自宅

024

七条工場正門

1946

1929

1946
025

Handbook for Entry-levels

18CSR Report 2009

Basic Policy on Safety and Health
Nissha believes that ensuring the safety and mental andphysical health of all employees of the Nissha Group is abasic management requisite. We have formulated a basic
policy on safety and health that emphasizes the creation ofsafe and comfortable work environments as well as soundmental and physical health of employees based on mutual
trust and interaction. Through effective communication,
soliciting ideas from employees, and other initiatives that callfor full employee participation, Nissha aims to eliminate
workplace casualties. The company will, in particular, focus
on the creation of structures to ensure sound mental andphysical health of employees, setting of voluntary targets,
reduction and elimination of risks, and the creation of safe
and comfortable work environments.

Precautions against the New Inﬂuenza Virus
In August 2008, Nissha drafted an action plan andformulated preventive measures against infection by the new
influenza virus. As part of efforts to share information with
employees, we held explanatory meetings for managers andposted relevant web sites for general employees on the
Nissha Portal.
While the company is proceeding with stocking up on
goods designed to help prevent an infection it has madeavailable to all staff, via the Nissha Portal, materials such as
the action plan, and documents prepared for the explanatory
meetings with managers.
The Second Hachi Hachi Kids Day Held
Continuing from 2007, the second Hachi Hachi Kids Day
for employees’ children was held on August 8, 2008.
Children of Nissha Group employees in the Kansai region(from fourth to sixth grade of elementary school) were invited
to visit the Nissha worksites their mothers or fathers work in.
Twenty children participatedin a tour of the Nissha
Headquarters factory andlearnt more about printing
processes through simple
quizzes, making formeaningful day.
Children listen to explanations on printing processes

Safety and Health Management Structures
Safety and Health Committee have been established at all
business units of the Nissha Group in Japan. Each committee
is chaired by the head of the respective unit, and comprisesof the General Safety and Health Manager, Safety Officer,
H e a l t h O f f i c e r, u n i o n r e p r e s e n t a t i v e s , e m p l o y e e
representatives, and other members who meet once or morea month to report on Safety and Health action plans andresults, proposals, and improvement items; make proposals;
and discuss and examine enquiries.
The Nissha Headquarters acts as the secretariat and the
Safety and Health Secretariat Committee meets once every
three months. Individual Safety and Health Secretariat
Committee report on the status of initiatives being implemented
and share information and examples of best practices toenhance collaboration and the level of standardization.

Employee Healthcare Initiatives
The Employee’s Healthcare within the Headquarters works
mainly with occupational health professionals and healthofficers at each business site towards promoting andmaintaining good mental and physical health of all Nissha
Group employees. Initiatives taken in the fiscal year 2009
include the introduction of online mental health counselingand holding of mental health seminars conducted byexternal specialists in the ﬁeld.

Establishment of a Safety and Health/Fire Prevention/
Traffic Safety Website
Nissha has established a Safety and Health/Fire
Prevention/Traffic Safety website on Nissha Portal, thecompany’s portal site, with the objective of posting reports
regarding initiatives in these areas and providing and sharing
relevant information. The site is divided into sections titled
Safety and Health, Fire Prevention, Traffic Safety, Employee’s
Healthcare, and Precautions against the New Inﬂuenza Virus(H1N1). Reports regarding
activities implemented by all
business sites of the Nissha
Group are posted on the site
to enable all employees toshare information regarding
related education andtraining programs.
The top page of the site

Frequency of Work-related Accidents*
Until the ﬁscal year 2008, the frequency of work-related
accidents was calculated only at the Headquarters, but
beginning in the fiscal year 2009, collection of data was
expanded to group companies in Japan. In the future, Nisshaplans to continue emphasizing improvements in safety andhealth for the entire group.
Headquarters

Tokyo Division
Headquarters

Osaka Division
HeadquartersNII Kameoka

NII Kyoto

NII Koka

NPI Kaga

0.0

0.0

0.0

1.4

1.8

2.2

2.3

NBS

Average

0.0

1.3

NPI Kyoto

NME Yodo

0.0

0.0

Eastern Nissha
NME Kameoka NME Kumihama(now NPC)

0.0

0.0

13.6

* Frequency of work-related accidents: Refers to the number of injuries and casualties
resulting from work-related accidents per one million actual working hours

19

Environmental Aspects Environmental Policy and Environmental Management Structures

In formulating the Third Medium-term Business Plan, Nissha reviewed and revised its Management Policy. Under the
new plan, environmental management has been positioned as a top priority management item, defined as the“environmentally Oriented solutions, products and activities”. Nissha is committed to fulﬁlling its corporate social
responsibilities by promoting environmental management through strategies and implementation items that embody
the Management Policy.
Environmental Objectives and Environmental
Management Structures
Nissha has renewed the company-wide environmental
objectives for the three-year period between the fiscal year
2010 and the ﬁscal year 2012. With regard to measures tohelp reduce global warming, in particular, we have set the goalof reducing the CO2 emissions rate (total emissions volume/
net sales) by 5% compared to the ﬁrst half of the ﬁscal year
2009, the base year. This means that even a 5% increase insales will not result in increased total CO2 emissions.
In order to achieve these company-wide environmental
objectives, each department has set individual goals and istaking action to realize them. Environmental management
systems based on ISO14001 certiﬁcation have been establishedat group companies in Japan and overseas, and eachdepartment is working to achieve its environmental objectives
through an action plan. Nissha conducts internal environmental
audits twice a year as well as management reviews to realize
ongoing improvements through the PDCA (Plan, Do, Check,Act) cycle. Further, Environmental Conservation Committee
participated mainly by Environmental Conservation Committee
members of individual business bases are held on a monthly
basis to monitor and take action pertaining to the company’senvironmental impact and performance, trends in customer
requirements and environmental laws and regulations, andabove all complaints and other indications from people in thecommunities surrounding Nissha production sites.

Responses to the Act on the Rational Use of Energy andParticipation in the Voluntary Action Plan
As part of initiatives to respond to the Act on the Rational
Use of Energy (that went into effect in April 2009), Nissha iscreating structures to gauge and report on the status ofenergy consumption at business bases and sales offices that
hitherto required no reporting. The status of group-wide
energy consumption is determined based on reports frompersonnel in charge of Energy Management Control Officer,
Energy Management Planning Promoter, Energy Manager
and Energy Reporting Staff at each individual business base.
Furthermore, Nissha participated in the voluntary action
plan to implement measures to help reduce global warming
and create a recycling-based society that was submitted to
the Ministry of Economy, Trade and Industry by the Japan
Federation of Printing Industries. By participating in thisvoluntary action plan, Nissha fully expresses its everexpanding sense of social responsibility in regard to dealing
with the environment in which enterprises operate. The stateof achievement of environment objectives and the content
of the activities by each department are a pivotal
continuation of environmental measures, specifically as
responses to the Act on the Rational Use of Energy and to
the issue of voluntary activities.

President

Environmental Policy
Nissha and its subsidiaries consider that the global environmental
protection is the most important issue in our activities of
production, development, sales and administration in Japan, andalso on our products and services. And we make effort to preserve
the global environment by environmentally conscious activities.
1. We actively promote environmental conservation by establishingand continually improving a environmental management system.
2. We comply with applicable legal requirements and agreements
and customer requirements related to environmental aspects. And
we make efforts in environmental conservation by establishingstandards on autonomous environmental management, as longas such efforts are feasible in technological and economic terms.
3. We strive to prevent environmental pollution, with a focus on thefollowing measures for environmental management:(1) We promote zero emission by recycling waste.
(2) We promote the appropriate management of specified
chemicals (Target chemical for PRTR etc.), as well as reductionin percentage of these chemicals used in our operations.
(3) We make efforts to reduce carbon dioxide emissions bydecreasing the usage rate of electrical and gas energy.
(4) We devise and implement manufacturing methods that
impose fewer burdens on the environment.
(5) We develop environmentally friendly products.
(6) We propose products with low environmental loads tocustomers.
4. We endeavor to continually improve our environmental activities
and prevent pollution by setting environmental objectives andtargets, by executing it, and by reviewing it.
5. We make Environmental Policy known to all employees working
in the premises of Nissha and its subsidiaries to raise theirawareness of the issues related to environmental conservation.
6. We make Environmental Policy available to the general public.

Environmental Management
System Committee(held twice a year)

Environmental Conservation
Committee(held monthly)

Environmental Conservation
Committee Members

Environmental Conservation
Committee Members

Environmental Conservation
Committee Members

Nissha Environmental Management Structure

Energy Management
Control Officer

Energy Management
Planning Promoter

Type 1 Designated Energy
Management Factories,
Type 1 Energy Managers

Type 2 Designated Energy
Management Factories,
Type 2 Energy Managers

Responses to the Act on the Rational Use of Energy

20

Business Bases and Sales
Offices not Included in theRegulatory Scope,
Energy Reporting Staff

CSR Report 2009

Environmental Objectives and Status of Achievement

The fiscal year 2009 was the final year for the implementation of activities to achieve the Nissha environmental
objectives established in April 2007. The results of those activities and the new Nissha environmental objectives forthe ﬁscal year 2010 are listed below.
Subject

Fiscal year 2008-2009 objectives

Fiscal year 2009 results

Evaluation

Waste
reduction,
recycling andreuse– Waste zero emission (recycle/reuse ratio: – Achieved a waste recycling and resource reuse rate of
99.5%)
99.4%– 5-point or more reduction in ratio of waste – Reduce the ratio of waste (including items sold for(including valuable resources) to net sales
recycling)/total production by 15.6 percentage points(Base year: the ﬁscal year 2007)– Production departments to prevent waste Some of the departments did not achieve their goals.
generation by reducing the ratio ofThis is attributed to the change in production methods
nonconforming products (Numericalto adapt to ever-stricter product appearance standards
targets to be established for eachand the shift in demand to highly complex products.
production unit)– Headquarters: Electricity consumption-ﬁscal year
Prevention of (1) 6-point reduction in usage ratio of
2009 average 12.8
global warming
electrical/gas energy and water (ratio ofusage to net sales or production output) – Reduction of 6.4 percentage points (ﬁscal year 2007
average 19.2)(2) 6-point reduction in CO2 generation ratio(ratio of CO2 generation to net sales or– Headquarters: Gas consumption-ﬁscal year 2009
production output)
average 13.1
(3) 2-point reduction of CO2 generation– Reduction of 6.7 percentage points (ﬁscal year 2007
average 19.8)– Headquarters: CO2 emissions rate- ﬁscal year 2009average 9.9– Reduction of 5 percentage points (ﬁscal year 2008
average 14.9)
Prevention of – 5% or more reduction in usage ratio of– Headquarters: 4 substances subject to the PRTR law– The NII Kameoka and Koka factories surpassed target
environmentalorganic solvents (e.g. toluene, xylene,
methanol, MEK, acetic ethyl; Base year:
ﬁgures in the ﬁrst half of the ﬁscal year, but lagged
pollution
the ﬁscal year 2007)
behind in the second half. The NII Kyoto factory did
not achieve its annual target.
Burden– Adoption of environment-friendly– Improved preparation efficiency through digital
reduction by
manufacturing processes, raw andmanagement of color sample ﬁles at NII Kyoto
manufacturing
processed materials, sub materials,– Introduced equipment to reuse cleansing solvents at
andpackaging, and logistics
Eastern Nissha Printing Co., Ltd.
development– Switched to returnable boxes and reused packaging
material at NME Kumihama– Development of environment-conscious Used environmentally considerate design to develop
products
products– Offering manufacturing processes and– Made presentations to customers on production
products that reduce the environmental
methods with reduced environmental impact
load of customers– Revised the Nissha Control Criteria for Environmental
Management Substance
Other– Promotion of environmental conservation – Conduct Lights Down Event at Nissha group offices
activities in the course of carrying out
once a monthwork– Distributed reusable shopping bags (Mottainai bags)
to reduce the usage of plastic bags
– Held environmental learning classes at environmental
schools*For the calculation of usage and occurrence ratios, we use production output.

Environmental Initiatives and Results
Nissha’s efforts to help reduce global warming saw a
reduction in the electricity consumption rate (electricity
consumption/net production) at the Headquarters by 6.4
percentage points; gas consumption rate (gas consumption/net
production) by 6.7 percentage points; tap water consumption
rate (tap water consumption/net production) by approximately
28 percentage points; and CO2 emissions rate by 5 percentage
points. All the ﬁscal year 2009 environmental targets with theﬁscal year 2007 as the base year were achieved.
Calculations for waste recycling and resource reuse rates
resulted in an average rate of 99.4% for Nissha’s operationsin Japan in the fiscal year 2009. It is due to revised
calculations for waste recycling and resource reuse rates at
the NII Kameoka and NME Kumihama factories.
With regard to prevention of pollution, targets for some of
the implementation items related to the reduction of organic
solvent usage were achieved in the ﬁrst half of the ﬁscal year
2009, thanks to higher production volumes. Some of thetargets were revised at the start of the second half of the
fiscal year. The unstable production conditions at factories
that began in the autumn, however, greatly impacted usage
and targets were not achieved.
In order to respond to trends in national and regional laws
and regulations and customer expectations, the Quality
Assurance of each Business Unit takes the initiative to revise in

Fair

Fair

Good

Poor

Good

Good

Good

Fiscal year 2010-2012 Nissha environmental
objectives– Waste zero emission (recycle/reuse ratio:
99.8%)– 5% or more reduction in ratio of waste(including items sold for recycling) to net
sales (Base year: the average for the period
between April and September 2008)– Production departments to prevent waste
generation by reducing the ratio of
nonconforming products (Numerical targets
to be established for each production unit)
New objectives
Reduce the CO2 emissions rate (total emissions
volume/net sales) by 5% (even a 5% increase insales will not result in increased total CO2
emissions)*Administrative offices to set goals per square
meter

Reduction in usage ratio of organic solvents(Base: the average for the period between April
and September 2008)– Adoption of environment-friendly
manufacturing processes, raw and processedmaterials, sub materials, packaging, andlogistics– Development of environment-conscious
products– Offering manufacturing processes andproducts that reduce the environmental loadof customers– Promotion of environmental conservation
activities in the course of carrying out workGooda timely manner the Nissha Control Criteria for Environmental
Management Substance that specifies the management
standards of such chemical substances in Nissha products.
The Environmental Conservation Committee that meets
every month also focuses its attention on complaints received
from residents in the area around Nissha’s production bases.
In the fiscal year 2009, 7 complaints were received at the
Headquarters. Action taken includes changing the rotarypress catalyst in response to a complaint regarding foul odor,
and moving the container for waste that was determined tobe the cause of a complaint regarding noise. Nissha willcontinue to treat complaints from members of the local
community seriously and make necessary improvements.
Setting of the Next Nissha Environmental Objectives
In the next set of Nissha Environmental Objectives established
for the period between the fiscal year 2010 and the fiscal year
2012, as part of efforts to help prevent further global warming
Nissha has taken up the challenge of further reducing the CO2
emissions rate (total emissions volume/net sales) by 5% (even a
5% increase in sales will not result in increased total CO2
emissions). With regard to the elimination of waste generated(zero-emission target promotion), the new target aims to achieve
recycle/reuse ratio of 98% or more. Company-wide initiatives arebeing implemented to achieve the zero-emission target (recycle /reuse ratio : 99.8%) in Japan by March 2011.

21

Environmental Impact as a Result of Nissha Business Operations

Nissha business operations—purchasing a variety of raw materials and utilizing resources and energy to provide
products to consumers—all impact the environment in many ways. A ﬂowchart showing the environmental impact
caused by Nissha’s business operations in the ﬁscal year 2009 has been included in this report as well. Although datacollection was limited to Nissha’s operations in Japan, in the future, we plan to extend the scope to the entire group,
including overseas affiliates.

Environmental Impact Caused by Nissha’s Business
Operations in Japan
In Japan, Nissha’s business operations, including
production and processing, usage of printing paper and PET
film, energy and water consumption, and treatment ofwaste, all adversely affect the environment in diverse ways.
The ﬁgure below shows the total amount of resources input
into and the total volume of substances discharged fromNissha operations in the ﬁscal year 2009. Until the ﬁscal year
2008, information was available only for the Headquarters.
Since the fiscal year 2009, however, Nissha expanded thescope of data collection to all group in Japan. In the future,
Nissha will ﬁgure out these data including overseas affiliates.

5,007 tons and combustible and landﬁll waste to 7 tons. The
Headquarters Factory thus maintained the recycling andresource reuse rate at 99.9%. CO 2 emissions reduced by
1,091 tons, from 20,324 tons in the fiscal year 2008 to
19,233 tons in the fiscal year 2009, while VOC emissions
were down by 137 tons to 964 tons. The wastewater
discharge volume in the fiscal year 2009 was 253,000 m3,
an increase of 7,000 m3 compared to the previous ﬁscal year.
Nissha Operations in JapanA breakdown of the total volume of resources input shows
the Information and Communication Business Base accounting
for the largest share of approximately 64%, comprised mainlyof paper used for printing. PET film, solvents, ink and othersubstances utilized by the Industrial Materials Business Baseamounted to approximately 32% of the total. The volume ofresources input by the Input Devices Business Base was about
3% of the whole and it is mainly used in productmanufacturing processes. Of the total volume of substancesdischarged, recyclable resources (including items sold forrecycling and other industrial waste) constituted 12,496 tons,
and combustible and landﬁll waste 73 tons, for a recycling andresource reuse rate of 99.4%. CO 2 emissions wereapproximately 62,500 tons, VOC emissions 3,386 tons, andwastewater discharge volume approximately 600,000 m3.

Headquarters Factory
The total volume of resources input into business
operations at the Headquarters Factory in the ﬁscal year 2009
was about 14,700 tons, approximately 20% lower than theroughly 18,400 tons in the ﬁscal year 2008. This was madepossible by an across-the-board reduction in all business ﬁelds(Industrial Materials, Input Devices, and Information andCommunication). The total volume of substances discharged
was 5,014 tons, a 300 ton reduction from the fiscal year
2008. With regard to the recyclable resources (including items
sold for recycling and other industrial waste) amounted to

INPUT

OUTPUT

Primary raw materials, production parts and materials

Recyclable
resources(including items
sold for recycling)

Industrial Materials
PET ﬁlm
Solvents
Gravure Ink
Other

5,500t4,300t3,400t
900t

Recyclable
resources(Industrial materials)

Input Devices
Materials used in product 1,000t
manufacturing processes
Other

Paper scrap
Scrap containing gold,
silver, copper, aluminum
Resin waste

4,948tIron scrap, waste cans
Wood waste
Waste solvents, waste ink,
waste cloth
Waste acid
Waste plastic

7,548t500t

Combustible andlandfill waste(Industrial materials)

Information and Communication
Paper
Ink
Other

27,000t
400t
500t

Waste plastic

73t

Total:

12,569t
CO2

Total:

Emissions43,500t

62,534t
VOC

3,386tEnergyWater

Electricity
Gas
Tap water

80,503MWh
6,908,000m3

Wastewater

435,000m3

Underground water 236,000m3
Scope of data collection: Nissha production bases in Japan

22

Wastewater
volume600,000m3

CSR Report 2009

Energy Conservation and Measures to Help Prevent Further Global Warming

In the ﬁscal year 2009, CO2 emissions from Nissha operations increased both in Japan and overseas mainly due toincreased emissions at new production sites. CO2 emissions from existing bases, on the other hand, are either
reducing or leveling out. Since the increase in production volume exceeded the proportionate increase in CO2emissions, actual beneﬁts were seen.

Status of CO2 Emissions at Nissha
In the fiscal year 2009, CO 2 emissions from Nissha
operations in Japan totaled 62,534 tons, significantly
exceeding 50,965 tons in the fiscal year 2008 for an
increase of about 23% (or approximately 11,600 tons). CO2
emissions mainly increased due to start of operations at newly
established factories in two production bases, Nitec Industries,
Inc. Koka Factory (an increase of approximately 9,500t-CO2)
launching Factory No. 2, and Nitec Precision, Inc. Kaga
Factory (an increase of approximately 6,900t-CO2) launching
Factory No. 3. CO2 emissions from other production bases
decreased by approximately 12% (about 4,800t-CO2).
Looking at CO2 emissions by production base, emissions
from the Kameoka Factory of Nitec Industries, Inc. stayed
the same despite a signiﬁcant increase in net production by
about 24%. At the Headquarters, CO2 emissions reduced byapproximately 5% regardless of a roughly 4% increase in net
production. Total CO2 emissions from all Nissha operationsin Japan rose by only about 30% against an increase in net
production by about 58%.
Nissha’s overseas production bases are also engaged ininitiatives to reduce CO2 emissions. In the ﬁscal year 2009,
however, CO2 emissions unfortunately increased by 68% to
8,076t-CO 2 , mainly due to the addition of emissions
volumes from Eimo Technologies that became a subsidiaryof Nissha USA in December 2007. CO 2 emissions fromproduction bases in other parts of Asia remained roughly
constant. Having determined CO2 emissions volumes in theﬁscal year 2009, in accordance with initial plans, Nissha has
set reduction targets per basic unit in the fiscal year 2010
and is actively working to achieve them.

unit efficiency at major factories got worse as production
conditions at factories began to show signs of instability. On
the other hand, CO2 emissions decreased at some production
bases compared to the same period of the previous year.
Nissha will strengthen structures to determine energy
consumption as required by Act on the Rational Use ofEnergy that went into effect in April 2009, while aiming torealize the goal of helping to prevent further global warming
specified in the Nissha Environmental Objectives to becompleted by the end of March 2011.
Trends in CO2 Emissions Volumes and Basic Unit
Basic Unit ((t-CO2)
0.50

0.50

0.49

80,000)0.50
Total for overseas production bases

70,610NII Koka Factory

0.40

60,000Total CO2 emissions volume
Net sales

55,781NPI Kaga Factory (includes NME Kaga Factory)
Other (Tokyo Division Headquarters, Osaka
Division Headquarters, Nitec Printing Co., Ltd.)

0.30

44,33440,000NME (Yodo Factory, Kameoka Factory, Kumihama Factory)

0.20
20,000

NII (Kameoka Factory)
Headquarters

0.10

Changes in CO 2 emissions per unit of sales

0.00

0

2007

2008

2009 (ﬁscal year)* Calculated based on the Manual for Calculating and Reporting Greenhouse Gas Emissions Volumes.
* All decimals have been rounded off to the next whole number, so the total may not tally in some cases.
* Figures for overseas production bases have been included since the fiscal year 2008.
* The CO2 emissions volume used for the calculation of the basic unit is the total for Nissha production basesin Japan.

Trends in Gas Consumption
3(Thousand m )
7,500

7,027

6,000

Trends in Gasoline, Diesel,and Heavy Oil Consumption
(kI)

5,134
4,500

Initiatives to Reduce CO2 Emissions
Nissha’s initiatives to reduce CO2 emissions in the fiscal
year 2009 included replacing old lighting fixtures atfactories, switching from outdated gas-fueled airconditioning to electrical air-conditioners, and reducing
defects and time loss during production processes todecrease energy consumption by equipment. We also
implemented activities to enhance the “mieruka”(visualization) of reduction targets by determining inquantitative terms energy consumption in different areas
such as equipment, air-conditioning, lighting fixtures, andelectrical sockets.
Nissha also participated in the printing industry’s voluntaryaction plan to implement measures to help reduce global
warming and create a recycling-based society thus
reaffirming its commitment as an environmentallyconsiderate company.
The global economic crisis that began in the autumn of2008 badly affected Nissha’s operations as well. The basic

197

200

182
159

150

3,895

3,000

100

1,500

50

0

0

2007

2008

2007

2009 (ﬁscal year)

Trends in Energy Consumption

2008

2009 (ﬁscal year)

Trends in Electricity Consumption(MWh)(Thousand GJ)
1,285

100,000

1,200

1,007
900

94,39780,00068,278795
60,00050,813600
40,000300

20,000

0

0

2007

23

2008

2009 (ﬁscal year)

2007

2008

2009 (ﬁscal year)

Management and Reduction of Waste

With regard to the management of waste at Nissha’s business sites in Japan in the ﬁscal year 2009, the total volume
of waste (including items sold for recycling) and other industrial waste amounted to 12,569 tons, approximately 15%
more than in the ﬁscal year 2008; combustible and landﬁll waste also increased by roughly 20% to 73 tons. The
recycling and resource reuse rate was 99.4%. The Headquarters continues to maintain a high “zero–emission target*”rate with a recycling and resource reuse rate of 99.9 %.
* Zero-emission target: Refers to a recycling and resource reuse rate of 99.5% or more

Drop in the Recycling and Resource Reuse Rate for
Nissha Operations in Japan to 99.4%
In the ﬁscal year 2009, the waste recycling and resource
reuse rate for Nissha operations in Japan dropped to 99.4%
due to adjustments made to calculations for the Kameoka
Factory of Nitec Industries, Inc. and the Kumihama Factoryof Nitec Mold Engineering, Inc. The Nissha Group will work inconcert to raise the rate and achieve “zero emissions”.
The Osaka Division Headquarters, which is a sales base,achieved “zero emissions” with a recycling and resource
reuse rate of 99.9% in March 2008. This was ﬁnally madepossible after several years by recycling waste that until now
had been incinerated or sent to landﬁlls, thus overcoming an
issue commonly faced in a multi-tenant office building. Thishigh rate of recycling and resource reuse is being maintainedin the ﬁscal year 2010 as well.

environmental awareness of all its employees. New goals forthe fiscal year 2010 have been set for Southern Nissha,
Guangzhou Nissha, Nissha (Kunshan) and Nissha Korea High
Precision Plastics, and initiatives are currently underway.
Trends in Waste Discharge Volume and Recycling andResource Reuse Rate
[Headquarters]
Waste discharge volume (tons)

99.9%

99.8%

Recycling and resource
reuse rate (%)

99.9%

100
4,000

3,000

Zero emissions refers
to a rate of 99.5% or
more

2,854

2,350

Establishment of the Waste Management Standards for
Nissha Business Sites in Japan
The Waste Management Standards for Nissha BusinessSites in Japan was created in August 2008 based on the
Waste Disposal and Public Cleansing Law and other related
regulations, in order to standardize the level of waste
management.
Beginning in September 2008, Nissha, under the initiativeof the Environmental Management, conducted inspectionsof the waste management status at all its bases in Japan,
including branch offices located in urban multi-tenant officebuildings, based on the Waste Management Standards.
No instances of regulatory non-compliance were found,and guidance was provided to each business site regarding
waste management from the perspectives of safety, accident
prevention and information management with a view tofurther enhancing the level of risk management. In the
future, Nissha will continue to strengthen waste
management across the group based on the Waste
Management Standards.

Waste sold forrecycling

3,066

2,946

2,241

Waste that is reusedas resources
Combustible/
landﬁll waste
Recycling andresource reuse rate

2,153

2,000

1,000

11

7

7

0
2007

2008

2009 (Fiscal year)[Nissha Operations in Japan]
Waste discharge volume (tons)

99.2%

99.4%

99.4%

Recycling and resource
reuse rate (%)
100

7,548
Zero emissions refers
to a rate of 99.5% or
more

6,339
6,000

Waste sold forrecycling

5,201
4,948

Waste that is reusedas resources
Combustible/
landﬁll waste
Recycling andresource reuse rate

4,520
4,085
4,000

Initiatives at Overseas Production Bases
Nissha is also engaged in activities to sort and reduce
waste at its overseas production bases with consideration to
conditions in each country and region. Southern Nissha,
Malaysia, achieved a recycling and resource reuse rate ofmore than 90% between February and March 2009, while
Nissha (Kunshan), China, averaged 88% in the second halfof the ﬁscal year 2009. Nissha attributes this to enhanced

2,000

79

61

73

0
2007

2008

2009 (Fiscal year)* Numerical data has been included for Nitec Mold Engineering, Inc. and Nitec Industries,
Inc. (Koka Factory) since the ﬁscal year 2007, and for Osaka and Tokyo Division
Headquarters from the ﬁscal year 2008.

24

CSR Report 2009

Status of Waste Generated in the Fiscal Year 2009
Items sold for recycling

Waste containing metals

Recovery of metals and reﬁning

398,485kg

3.17%

Metals, iron waste

Reuse of metals

257,698kg

2.05%

Resin (plastic) waste

Reuse of resin chips

Paper waste (recyclable used paper)

Paper material (recycled paper)

Subtotal (V)945,907kg

7.53%

3,345,491kg

26.62%

4,947,581kg

39.36%

Recycling and reuse of resources

Iron scrap

Reuse of iron (*when an expense is incurred)

360,625kg

2.87%

Waste plastics

Used to make artiﬁcial plants, Refuse Paper &Plastic Fuel (RPF), and as combustion heat source

4,523,887kg

35.99%

Paper waste

Used to make Refuse Paper & Plastic Fuel (RPF),
and as combustion heat source

122,750kg

0.98%

Wood waste (discarded pallets)

Used to make wooden chips, etc.

51,513kg

0.41%

Timber waste(after pruning trees)

Used to make fertilizers, etc

34,316kg

0.27%

Glass and ceramic waste

Made into cullets, civil engineering andconstruction materials, etc.

16,576kg

0.13%

Waste oils and solvents

Reused as thinners, combustion improvers, andas combustion heat source

1,883,435kg

14.99%

Waste cloth (used to wipe solvents)

Used as combustion improvers, and as
combustion heat source

168,460kg

1.34%

Waste acids

Used as neutralizing agents and cooling liquids inincineration ovens (spray combustion)

140,536kg

1.12%

Waste alkaline liquids

Used as neutralizing agents and cooling liquids inincineration ovens (spray combustion)

140,096kg

1.11%

SludgeReﬁned after recovery of metals; used as civilengineering and construction materials

95,483kg

0.76%* General waste* When used as a combustion heat source

10,352kg

0.08%

7,548,029kg

60.05%

General waste

12,747kg

0.10%

Sludge50,200kg

0.40%

Other

10,071kg

0.08%

Subtotal (D)73,018kg

0.58%

12,568,628kg

100.00%Subtotal (R)Combustible andlandﬁll waste

Total (V + R+ D)
Recycling and resource reuse rate (V + R) /(V + R + D)

99.4%
Scope of data collection: Nissha production bases in Japan

Recalculation of the Recycling and Resource Reuse Rate for Kameoka Factory, Nitec Industries, Inc. andKumihama Factory, Nitec Mold Engineering, Inc.
The recycling and resource reuse rates for
Kameoka Factory, Nitec Industries, Inc. andKumihama Factory, Nitec Mold Engineering,Inc., both Nissha group companies, wererecalculated.
It was assumed that the sludge discharged fromthe Kameoka Factory was being recycled as civilengineering materials and it was calculated
under resource reuse. Further investigations
however showed that it was being processed as
landﬁll waste.
Also, at the Kumihama Factory, a small quantityof waste was found to be improperly sorted.

Both the miscalculations were discovered
through direct inspections of the final waste
processing site or on-site checks. They were
mistakes made during final waste processing
checks based on contracts or manuals and there
was no regulatory non-compliance.
Nissha took this opportunity to check the statusof waste management at all Nissha bases inJapan, including at subcontracted companies,
and implement training to related personnel.
The recycling and resource reuse rates at bothfactories has been recalculated as shown on theright.

25

Recycling and resource reuse rate
Nissha bases in Japan
2007 (FY) 99.4% → 99.2%
2008 (FY) 99.8% → 99.4%
As of September 2008
Nitec Industries, Inc. Kameoka Factory
99.9% → 97.3%
Nitec Mold Engineering, Inc.
99.6% → 99.0%

Monitoring and Prevention of Pollution and Management of Chemical Substances

Nissha has established voluntary standards for measures to help prevent further pollution, that are stricter thanregulatory values, and each department is taking meticulous action to achieve them. With regard to substances
subject to the PRTR law, Nissha is taking steps to determine discharge volumes and volumes that are transferred toother locations, as well as to improve management precision, reduce usage and switch to alternative substances.

Measures to Help Prevent Further Pollution
Nissha undertakes monitoring and measuring activities to prevent pollution. Based on strict voluntary standards, Nissha
monitors and conducts periodic testing to voluntarily determine the level of atmospheric pollutants, wastewater quality, noise,
vibration, foul odor, and VOC’s (Volatile Organic Compounds).
Results of Measurements to Check Wastewater Quality
NII Koka Factory
Items measured

Regulatory value

Voluntary standard

Unit

Minimum value

Maximum value

Factory final measurements

Water inlet
Wastewater temperature<45.00<40.00Hydrogen ion concentration (PH)5.0< >9.0

5.2< >8.5

—

7.00

8.90

Amount of suspended matter (SS)<600.00<500.00

mg/l

Less than 5

430.00Chemical oxygen demand (COD)

°C

18.40

29.80

—

30

mg/l

3.90

29.00

Biochemical oxygen demand (BOD)<600.00<35.00

mg/l

1.60

34.00

Iodine consumption<220.00<16.00mg/l

Less than 10

15.00

Nitrogen<60.00<18.00

mg/l

1.70

17.00

Total phosphorus<10.00

<2.00

mg/l

0.07

1.20

Regulatory value

Voluntary standard

Unit

NPI Kaga Factory
Items measured

Minimum value

Maximum value

Water outlet No.2, 3 and 5

Water inlet
Hydrogen ion concentration (PH)5.8< >8.6

6.7< >8.0

—

6.90

7.90

Amount of suspended matter (SS)<120.00<60.00

mg/l

1.00

42.00

Biochemical oxygen demand (BOD)<80.00<40.00

mg/l

0.50

15.00

n-hexane<30.00<15.00

mg/l

0.50

0.50

Fe

<10.00

<5.00

mg/l

0.14

0.78

Cu

<3.00

<1.50

mg/l

0.17

0.50

Regulatory value

Voluntary standard

Unit

Headquarters
Items measured

Minimum value

Maximum value

Water outlet No.1-6

Water inlet
Hydrogen ion concentration (PH)5.0< >9.0

6.5< >7.9

—

6.70

7.80

Biochemical oxygen demand (BOD)<600.00<200.00

mg/l

1.00

160.00

Cu

<3.00

<0.87

mg/l

0.01

0.38

Total Cr

<2.00

<0.15

mg/l

0.02

0.08

Cr+6

<0.40

<0.02

mg/l

0.02

0.02

Fe

<10.00

<1.60

mg/l

0.01

1.20

B

<10.00

<0.32

mg/l

0.007

0.40

Pb

<0.10

<0.02

mg/l

0.00

0.00

Total P

<32.00

<7.20

mg/l

0.05

6.90

Total N

<240.00<80.00

mg/l

0.50

59.00

List of Measurements of Gases Discharged from Boilers and Water Cooling Equipment (Measured in Accordance with the Air Pollution Control Law)
Headquarters
FY2008FY2007

Name of chemical
substance

Regulatory unit

Dust

g/m3N

NOx

ppm

FY2009Regulatory value
AugustFebruary

AugustFebruary

AugustFebruary

0.10

—

0.003

—

0.003

—

0.003

150

68

76

43

50

40

54

Note: The maximum value of readings taken on several boilers has been recorded here.

26

CSR Report 2009

List of Measurements Taken in Accordance with the Air Pollution Control Law and the Offensive Odor Control Law
Along the border of the Headquarters site
FY2008FY2007

FY2009Name of chemical
substance

Regulatory unit

Regulatory value (Note 1)
June

December

June

December

June

Methanolcm3/m37

0.4 or less

0.4 or less

0.4 or less

0.4 or less

0.4 or less

0.4 or less

Methyl ethyl ketone

cm3/m3

3

0.2

0.2

0.2 or less

0.2 or less

0.2 or less

0.2 or less

December

Xylenecm3/m33

0.5 or less

0.5 or less

0.5 or less

0.5 or less

0.5 or less

0.5 or lessToulenecm3/m32

0.2 or less

0.2 or less

0.2 or less

0.2 or less

0.2 or less

0.2 or lessHydrogen chloride

cm3/m30.2

0.05 or less0.05 or less0.05 or less0.05 or less0.05 or less0.05 or less

Ethyl acetate

cm3/m33 (Note 2)

0.1 or less

0.1 or less

0.1 or less

0.1 or less

0.1 or less

0.1 or lessSulfuric acid

mg/m3

0.03

0.01 or less

0.023

0.01 or less0.01 or less

0.01

0.01

Chromium and its compounds

mg/m3

0.002

0.001 or less0.001 or less0.001 or less0.001 or less0.001 or less0.001 or less

*The maximum of several readings taken along the site border have been recorded here
*Figures with three decimal places denote minimum or below minimum readings on the analytical equipment
Note 1: In accordance with Kyoto Prefectural ordinances to protect and create the environment and regulatory standards related to hazardous substances, under the
Air Pollution Control Law
Note 2: Regional speciﬁcations and setting of standards under the Offensive Odor Control Law (Kyoto Prefectural notice).

Management of Chemical Substances
In the fiscal year 2009, Nissha Headquarters reported the use of four substances subject to the PRTR law—toulene,
chromium and trivalent chromium compounds, hexavalent chromium compounds, and water-soluble copper salts.
The NII Kameoka Factory reported the use of toluene and vinyl acetate.
Usage of xylene and toluene increased at the NII Koka Factory due to proliferation and expansion of factory facilities.

Substances Subject to the PRTR Law

Unit: kg

FY2008PRTR
No.
Nissha Printing Co., Ltd.

Name of chemical
substance

Discharge
Volume transferred tovolume into theindustrial waste
atmosphereprocessing companies

FY2009
Reportingrequired/
not required

Discharge
Volume transferred tovolume into
industrial waste
the atmosphere processing companies

68

Chromium and trivalentchromium compounds

0

250

0

260

69

Hexavalent chromium
compounds

0

170

0

20

207 Water-soluble copper salts(excluding complex salts)

0

4,900

0

2,700

227 Toulene

180,000

110,000

180,000

120,000

Nissha Intersystems Co., Ltd.

227 Toulene

46,00027,00046,00028,000Kameoka Factory(Nitec Industries, Inc.)

102 Vinyl acetate

200

420

210,000

Koka Factory(Nitec Industries, Inc.)

63

Xylene227 Toulene

227 Toulene

—

260

360

120,000

210,000

110,000

4,500

850

10,0002,300

74,00029,000210,000

72,000*Substances subject to reporting from the Kameoka printing plate factory are not included.
Note: Individual ﬁgures have been rounded off to the nearest whole number

Nissha Headquarters Factory Receives the Japan Federation of Printing
Industries Chairman’s Award as an Environmentally Excellent Factory
The Nissha Headquarters Factory (and all
factories within the Headquarters site) wasawarded the Japan Federation of Printing
Industries Chairman’s Award at the 7th Printing
Industry Environmentally Excellent FactoryAwards (organized by the Japan Federation of
Printing Industries),
Nissha applied for the award in May 2008,
following which audits of documents and onsite
surveys were conducted by the federation in July,and the final selection was made in August.
Representatives from Nissha attended thecommemorative ceremony and awards function
held in September.
Nissha sincerely appreciates this high evaluationof the Headquarters’ ongoing environmental
initiatives by an external organization. It was
new motivation and made Nissha promote theimplementation of more advanced environmental
measures.

27

Reportingrequired/
not required

List of Nissha Group that Have Acquired ISO9001 (Quality), ISO14001 (Environmental Performance), and ISO27001 (Information Security) Certiﬁcation

Nissha considers the provision of high-quality products to customers to be its primary responsibility as amanufacturer. In addition to superior product functions and an excellent ﬁnish, Nissha seeks to consistently improveoverall quality. We will strive to maintain ISO certiﬁcation in the areas of quality, environmental performance andinformation security.

Relevant areaISO
standard

Relevant
product

ISO9001

Touch-screen
related products(TS products)

Headquarters

Tokyo
Division
Headquarters

Osaka
Division
Headquarters

Eastern
NisshaPrinting
Co., Ltd.

NII(Kameoka)

NII(Koka)NPI(Kaga)

Date ofacquisition
NME(Kameoka)

NME(Kumihama)NisshaSouthern Guangzhou
Nissha High(Kunshan)Nissha Precision
Plastics Precision IMD
Sdn.Bhd.
Co., Ltd.
Mold Co., Ltd.

(initial
registration)

1998.7
2002.4
2000.3

Simultaneous
molding andtransfer foil
(IMD transfer foil)

2001.82007.2
2000.3

Simultaneous
molding andtransfer products(IMD transfer
products)

2002.4
2004.2
2004.9IML film
IML products

2005.32005.11

Molds
2007.3

Foil transfer
devices2008.3

TOUCH PANEL

2009.2Printing andmulti-media
related products

2000.92002.4

ISO14001

2001.6
2003.7
2003.122004.122006.6
2006.32006.82007.2
2007.6

ISO27001
Plans arecurrently being
drawn up for
acquisition by
overseas affiliates.
Certifying organization

2005.92006.82007.10

Bureau Veritas JapanThe mark indicates companies that have already acquired certification.
*1: Sales division of Information and Communication Business Unit, NCP*2: Production division of Information and Communication Business Unit, Corporate Strategy, Administration*3: Industrial Materials and Input Devices Business Unit

28

BVQI

Independent Report

On the Nissha Printing Co., Ltd. CSR Report

1. Clear Stance on CSR
Nissha Printing Co., Ltd. has positioned CSR activities within the Third
Medium-term Business Plan, formulated in 2009 with the objective of“becoming a truly global company”. President and CEO, Junya Suzuki states in
his message that Nissha views the current economic crisis as an opportunity
for further growth and will implement activities that reflect the true spirit of
CSR. Further, the company has also put forth the thinking of “Internal CSR”
and “External CSR” and is committed to fulﬁll its internal CSR while enhancing
the areas of external CSR.

Katsuhiko Kokubu
Professor, Graduate School ofBusiness Administration
Kobe University, Japan

2. Creation of a Management System that Emphasizes CSR
Having clearly expressed its intentions toward the fulﬁllment of its CSR, as
the next step, Nissha must now establish a system that focuses on
management from the perspective of CSR. The company is currently
implementing its management plan using a “Balanced Score Card”. One
possible future direction may be to systematically incorporate CSR elements
into the Balanced Score Card to develop a “Sustainability Balanced Score
Card”. In order to achieve this, Nissha must specify goals for its CSR activities
and manage their implementation using the PDCA cycle.
3. Incorporation of the Concept of Materiality
Since CSR activities are responsibilities towards society, Nissha must
constantly study trends related to its stakeholders who are a part of thatsociety. This must be done by collecting a wide range of opinions such as
holding dialogues with stakeholders, and conducting questionnaire surveys.
Analyzing the wide range of opinions from the perspective of materiality(focusing on what is most material) is effective in determining the direction acompany’s CSR activities should take as part of the corporate business plan.
The CSR report is a vital tool toward that end and I anticipate that Nissha’sreport will serve that purpose.
4. Sincere Efforts for the Environment
Nissha is earnestly carrying out environmental initiatives, and the detailed
information on those initiatives provided in this report conveys the company’s
sincerity in this area. Construction of new facilities in Japan and overseas due toexpansion of sales tends to result in an overall increase in environmental
impact. But the company’s commitment to reduce CO2 emissions is evident in
the next environmental objectives it has set—to ensure that even a 5%
increase in sales will not result in increased total CO2 emissions. Managementof both CO2 emissions per unit of sales and total CO2 emissions are extremely
important for companies in the future, and I highly commend Nissha on its
efforts to do so. The major portion of Nissha’s income is from its overseas
operations. Nissha is implementing environmental activities at overseas
production bases on par with those in Japan, but increased environmental
impact is expected in conjunction with worldwide expansion of business
operations. Enhanced levels of environmental activities are required in the
future. I believe that creating indices for environmental efficiency and resource
productivity that all companies should aim to achieve, will be effective towards
this end.

29

Nissha Printing Co., Ltd.
CSR Report 2009
For enquiries regarding this report:
Nissha Printing Co., Ltd.
Corporate Communications, CSR
3, Mibu Hanaicho, Nakagyo-ku, Kyoto
604-8551, Japan
Tel: +81-(0)75-823-5143
Fax: +81-(0)75-823-5344
http://www.nissha.co.jp/english/index.html

About the front cover of the CSR report
The front cover for this report was designed
by Takao Nakagawa who won the Nissha
Award in the AMUSE ARTJAM 2008 in
Kyoto, an art exhibition that is held withthe objective of discovering and supporting
budding artists. The event is co-sponsoredby Nissha.
A trendy design with vivid colors that createa lasting impression
Profile of Takao Nakagawa
Nakagawa was born in 1979 in Wakayama
Prefecture, Japan.
He graduated from the Illustration Department of
Osaka Designers’ College in March 2004, andcompleted graduate studies from the Graduate
Course of Visual Design in the same college inMarch 2005.
Major awards won include:
10th Liquitex Biennale Schools Category - Best
School Award
Pater's Gallery Competition 2007 – Akira Hirakawa
Award
3rd I l l ustra ti o n Co m pe t i t i on “N ot e -Te n ” –Accepted
164th The Choice – Accepted
9th Illustration Competition “Note-Ten” –Accepted
A number of other awards

1. Soyseal: Indicates that the printing was done using
environmentally-friendly soybean oil as an ink solvent
instead of a petroleum-based solvent.
2. Butterﬂy mark: Indicates that the printing was done using awaterless offset printing method with no discharge ofharmful liquid waste.
3. This report has been printed on paper certiﬁed by the
Forest Stewardship Council (FSC certiﬁed paper).
4. Nissha is promoting green procurement.
5. Only green electricity was used in the production of thisreport.
This report sets environmental standards. When discarding thereport, please do so in accordance with the recycling rules
speciﬁed by your local town or municipality.