Sustainability

Sustainability Management
Basic Policy

Governance
Artner sees sustainability issues, including social andevaluating progress toward these targets, deliberating on

well as their impact on our business management, we haveenvironmental issues such as the recent SDGs and ESG, as key

individual measures, and reporting to the Board of Directors.

based on our management philosophy of being an “Engineer

identified eight materiality topics (material issues) that should bemanagement issues, and has established the Sustainability

The Committee, chaired by the President and CEO, is

Support Company that supports our engineers’ dreams,” while

prioritized and are engaging in effective management practices

Committee to serve as a structure to promote sustainability

composed mainly of Directors who are not members of theseeking to maximize enterprise value, contribute to theand business activities to resolve these issues.

management. Under the direct supervision of the Board ofAudit and Supervisory Committee, Directors who are members

resolution of social issues through our business activities, andTo ensure that our sustainability initiatives are accessible to all

Directors, the Committee is responsible for establishingof the Audit and Supervisory Committee, and division heads

build a foundation for sustainable growth and growth for the

stakeholders, we provide information in our Annual Report, on

sustainability policies, targets, and action plans, managing andand managers, and is held four times a year.

next generation. Based on this approach, we have establishedour sustainability website, and through other means.

the following Basic Sustainability Policy as well as a humanManagement Message

addition, considering stakeholder interests and social issues, as

to support the growth and self-actualization of our engineers

Introduction

Artner’s basic approach to promoting sustainability activities is< Structure for Promoting Sustainability >rights policy, procurement policy, and other policies to clarify
the principles and direction of our corporate activities. In

Board of Directors< Basic Sustainability Policy >To foster engineers to support manufacturing industries.

Employee happiness

To provide a workplace environment that makes the work of all employees meaningful andfulfilling.

Corporate governanceTo sustain and develop positive relationships with all stakeholders, while strictly abiding by all
applicable laws and regulations.

Contributing to society

To make a positive contribution to society through business, to help build a better and more
prosperous world.

Basic policy

Environmental

Related SDGs

ReportCompliance andRisk Management Meeting

Sustainability Committee
ReportReportCorporate
Planning and Management
Strategy
Division
Division

Measures
Providing personnel for technical development of eco cars

InquiryEngineerBusiness
Division

Technology
Engineer Agency
Development
Business Division
Division

Growth Strategy

ESG

Inquiry

Value Creation Story

ReportCultivating people

Providing personnel to support technical development of
medical equipment

Strategy

Indicators and Targets

Helping employees to upgrade their skills through training
and education

Considering stakeholder interests and social issues, as well as

We have categorized the eight materiality topics (material

New employee training to support career development

their impact on our business management, we have identified

issues) into three areas (Environment, Social, and Governance),eight materiality topics (material issues) that should be

and set and monitor KPIs and targets for each issue. Theseprioritized. Based on our understanding of the importance of theindicators and targets are deliberated on and evaluated by themateriality topics we have identified, we will engage in effective

Sustainability Committee, then reported to the Board ofmanagement practices and business activities to resolve these

Directors by the President and CEO, who chairs theissues.

Sustainability Committee. We review these materiality topics

Support system for earning qualifications
Mental health care for employees

SocialEmployeehappiness

Diversity and LGBTQ+ initiatives

Artner Co., Ltd. Annual Report 2024

the business environment and awareness of the issues.

In addition to clarifying the system for the overall managementof various risks, we classify and define each business risk by*For materiality (material issues) KPIs, targets, and results, seetype and have the department in charge of each type of risk

“Non-financial Data (KPIs, Targets, and Results)” on pages 61

Ensuring diversity and equal opportunity in employment

monitor and analyze the risk situation. We also have a system inand 62.

Contributing to society

Initiatives to clean public spaces

Corporate
governance

Elimination of anti-social forces and measures to combat
organized crime groups

place for the overall management of various types of risks
through the Compliance and Risk Management Meeting, where
Data Section

29(material issues), indicators, and targets as necessary, based on

Establishing a diversity promotion office

Active hiring of people with disabilities

GovernanceRisk Management

GovernanceImproving the employment environment to promote active
participation of women

Sustainability

Cultivating
peopleProgramming classes for elementary school students

we clarify and monitor the management and countermeasuresfor each type of risk.

Artner Co., Ltd. Annual Report 2024

30

Sustainability

Climate Change (Information Disclosure Based on TCFD Recommendations)
We disclose information in accordance with the recommendations publishedby the Task Force on Climate-related Financial Disclosures(TCFD) of the Financial Stability Board (FSB).

<Our Response to Risks and Opportunities>

Basic Policy<Timeframe> Short-term: Impact is apparent in less than 3 years; Medium-term: Impact is apparent in 3 years to less than 10 years (up to around 2030); Long-term: Impact isapparent in 10 years or later<Evaluation> Based on financial impact - Large: Impact is clearly large; Medium: Degree of impact is unknown; Small: Impact is clearly small; Gray: Assumed to have no impact

made carbon neutrality a pillar of our business activities in our
new Medium-Term Business Plan (FY2023–FY2025). We will
neutrality, such as electric vehicle (EV), fuel cell vehicle (FCV),
automated driving, and semiconductor-related markets, and will
focus on recruitment, education, and sales for these markets.
Moreover, by having our engineers participate in carbon
neutrality-related technology development projects such asthese, we will advance the development of these technologies
and support their widespread use in the market, thereby
we announced our support for the recommendations from the
TCFD. We will disclose information in a manner consistent withthe recommendations published by the TCFD, with the aim ofachieving a sustainable society.

Governance
As we have rated climate change as a high-priority issue, we

initiatives based on the recommendations from the TCFD, is an
important managerial agenda.

Risk Management

Technology

At the Compliance and Risk Management Meeting, we identify
risks that need to be addressed among various risks such as
climate change, set priorities for responding to such risks, andA low-carbon society may be promoted,
which will lead to an increase in the demandfor products using low-carbon technologies.
In such a case, our sales may increase due toan increased demand for the dispatch ofengineers to our existing clients and newclients.

manage progress on an ongoing basis. The topics discussed in
the Meeting are reported and submitted to the Board of
Directors, which then deliberates and makes decisions on such
topics.

Indicators and Targets
We calculate our greenhouse gas (GHG) emissions as shown
below.

Transition(1.5°C and
2℃
scenarios)

AcuteIntensifying
extremeweather
events(typhoons,
torrential
rains,
landslides,
storm surges,
etc.)

If our clients are adversely affected byincreased natural disasters causing operation
downtime, etc., our sales may decrease due
to reduced demand for engineers as a resultof R&D budget cutbacks.
Also, in the event that our offices and training
facilities are affected by such disasters, costs
for recovery and relocation may be incurred.

Our goal for FY2051 is to achieve net zero GHG emissions.
(Reduce CO2 emissions by 22.6t by FY2025, compared withFY2021 levels)

the Board of Directors, and reports and submits the topics it
discusses to the Board, which then deliberates and makes
decisions on them. The content of such discussions will beGreenhouse gas (GHG) emissions (Scope 1 and Scope 2)
TargetDescription

Unit: tCO2

Result

FY2051 FY2025 FY2021 FY2022 FY2023 FY2024

disclosed externally and reflected in the Company’s management policies and various initiatives.
The main members of the Committee consist of Directors who
are not members of the Audit and Supervisory Committee(including the President and CEO), Directors who are Audit andSupervisory Committee members, as well as division heads andmanagers. The Committee is held four times a year. The Com-

Scope 1

26.1

Use of fuel for
rental cars

Scope 2
Use of electricity at
our locations

Net
zero

86.0

18.0

11.4

7.5

82.5

79.3

79.9

91.2

108.6

97.3

91.3

98.7

mittee promotes and manages the status of sustainability issues
and initiatives, including those related to climate change.

Total

Board of Directors. The Board then deliberates and adopts theresolutions on important risks and opportunities related to31

Artner Co., Ltd. Annual Report 2024

Physical
impact(4℃
scenario)*Scope 3 emissions are currently being calculated.

Chronic

Increasedaveragetemperature

Rising average temperatures will increase theuse of air conditioning, which may increase
costs at all our business and training facilities.

−

If rising outdoor temperatures increase theneed for safer and more comfortable indoor
temperatures, the manufacturers’ demand fordeveloping HVAC equipment will increase,which may result in an increased demand forthe dispatching of our engineers andincreased sales.

Disclosed in
Medium-TermBusiness Plan
Participate in
the automotive
industry,etc., our main
customers

Disclosed in
Medium-TermBusiness Plan

Capture demand
for the development of low-carbon products
such as EVs andother low-carbon
vehicles, as wellas energy-saving
and renewableenergy equipment, etc.

Participate in
the automotive
industry,etc., our main
customers

Disclosed in
Medium-TermBusiness Plan
Participate in
the automotive
industry,etc., our main
customers

DisasterPrevention
ManualDisclosed in
Medium-TermBusiness Plan
Participation in
the automotive
industry, etc.,
for major
customers

Contribute to thedevelopment ofcustomers’
low-carbon
products bydispatchingengineers with
low-carbon skills
Acquire new clientsby strengthening
the low-carbon
skillsets of ourengineers
Formulatea BCP inpreparation for the
potential
occurrence of
naturaldisasters−−

Respondto thegrowingdemandfor thedevelopment of air
conditioning
products

Artner Co., Ltd. Annual Report 2024

Data Section

The topics deliberated in the Committee are reported to the

As the entire supply chain of the automotive
industry is making an effort to reduce
emissions, if we become recognized as aleader in addressing climate change issues,
this could lead to increased sales.

L a rg e

climate change. This Committee is established directly under

S ma l lcommittee for discussing sustainability-related issues including

L a rg e

have established the Sustainability Committee as a special

ExamplesExamples ofof ourour activities to
response toachieverisks
opportunities

Governance

Reputation

Change inreputationfromcustomers

The momentum for decarbonization is
growing throughout the supply chain. Clients
may require their suppliers to reduce
emissions and disclose relevant information.
In particular, the automotive industry, which
accounts for a major part of our customer
base, is making much progress in this area
than other industries. If our efforts are deemed
insufficient, there is a risk that our reputation
will be damaged, leading to a decrease insales. In addition, significant costs may berequired to address these issues.

MarketOngoingefforts

Sustainability

Change indemand forimportantproducts

Our main customers are in the automotive
industry, which requires us to provide
engineers who can develop products related
to low-carbon technologies. If we are slower
than our competitors to respond to thesetechnologies, our engineers’ skills may beconsidered obsolete and the demand for the
dispatch of engineers may shrink, resulting indecreased sales.
If new technologies need to be incorporated,costs for information gathering and training
may increase.

Since the Company’s main customers belong to theautomotive industry, actively attracting engineers
who can deal with the design and development
processes that support the shift to zero-emission
vehicles (ZEVs) may lead to increased demand forthe dispatch of engineers, which could result inhigher sales.
The advancement of low-carbon technologies has
accelerated the speed of development of the
low-carbon business. Enhancing our recruitment andtraining systems as well as our services to meet theincreasing number of requests from clients could
lead to increased sales.
If extreme weather conditions increase, along with arising demand for seasonal products such as air
conditioning products that can deal with higher/lower
outdoor temperatures, this may lead to the
manufacturers’ increased demand for the development of HVAC equipment, resulting in growing
demands for the dispatching of engineers andincreased sales.

Evaluation(opportunities)

Advances in
low-carbon
technologies

Our main customers are in the automotive
industry, which requires us to provide
engineers who can develop products related
to low-carbon technologies. If we are slower
than our competitors to respond to thesetechnologies, our engineers’ skills may beconsidered obsolete and the demand for the
dispatch of engineers may shrink, resulting indecreased sales.
If new technologies need to be incorporated,costs for information gathering and training
may increase.

scale, we believe that dealing with social issues, such as

Consideration: opportunities

Growth Strategy

contributing to the realization of carbon neutrality. In July 2022,

Consideration: risks

Value Creation Story

continue to strategically prioritize markets linked to carbon

Smallcategory

L argeregard addressing climate change as a material issue and have

Mediumcategory

Med i u m

become an important item on the management agenda. We

Large
category

Re s p o n s e

L arg eAs our social environment continues to change on a global

B usiness impact

L arg einitiatives based on the recommendations of the TCFD, has

B usiness impact

Me d i um

Strategy

Evaluation(risks)R isk item

on a global scale, and addressing social issues, such as

Management Message

and supervises the progress of such initiatives.

L argeclimate change, gives instructions on how to deal with them,

Introduction

In recent years, our social environment has continued to change

Artner conducts scenario analysis by identifying key risks and opportunities related to climate change and carrying out qualitative
assessments of their impacts. We included our main business area of engineer dispatching while using two scenarios (4°C scenario andcombined 1.5°C and 2°C scenarios) to examine the impact of climate change in the year 2030. We extracted risks and opportunities, andthe degree of impact on our business activities was evaluated on a three-point scale of large, medium, and small.
Regarding the financial impact of climate change on our business, we consider the risk of climate change to be low, as we are primarily
engaged in engineer dispatching services in Japan and do not need to own production facilities or other equipment.

32

Sustainability

Human Capital

Health and Productivity Management / Occupational Health and Safety

Basic Policy
Artner’s Management Philosophy is “Engineer Support Company:

and Productivity Management Promotion Office to plan, oper-

the promotion of diversity and inclusion, and talent development

Based on Artner’s management philosophy of being an Engi-

We support our engineers’ dreams,” and our Purpose is toate, and promote different initiatives.

and retention.

neer Support Company, we at Artner believe that ensuring the“support the growth and self-actualization of engineers, who are
Japan’s world-class assets.” As they embody, we have promoted
our business as a corporation that exists for the sake of engineers’ growth while always asking ourselves what we can do forthem. We believe that creating value for the engineers themtalent is our greatest business asset, and that talent development and organizational development are key areas essential to
the Company’s growth.

We believe that supporting the growth and self-actualization ofengineers, who are Japan’s world-class assets, and creating
value for the engineers themselves will, in turn, create value for
Artner. We consider our engineers to be not only assets ofArtner, but also shared assets of Japan, and we nurture

mainly of Directors who are not members of the Audit andSupervisory Committee (including the President and CEO),
Directors who are Audit and Supervisory Committee members,
as well as division heads and managers. The Committee is held
four times a year. At each meeting, the members holdand the happiness of all the employees, we declare that we will
employee can work vigorously and in good mental and physicalhealth.

Health and Productivity Management Promotion Office
Management Division(General Affairs and Human Resources Group)

Organization

Amid a rapidly changing work environment and mindset, driven

The Director/Head of the Management Division will serve as thehappiness of working engineers and create a new model for “lifeas an engineer.”
We are also committed to providing a satisfying work
environment and supporting the growth and self-actualization of

employees.”

Health and Safety
Committee

overall supervisor and the Management Division’s General
Affairs and Human Resources Group will function as the Health

KPI

TargetPeriodic health checkup, consultation rate

76.5%

85.2%

85.7%

100.0%

100.0%

100.0%

100.0%

75.0%

−

69.9%

71.1%

100.0%

−

92.3%

92.1%

Average age−

30.2 years old

30.3 years old

30.4 years old

Average years of service−

6.3 years

6.5 years

6.6 years

0.00%

0.68%

1.17%

0.98%

their progress. Risks that may have a significant impact on

health-related initiatives. The Board of Directors oversees

investors’ decisions include the following.

Improving productivity (eliminating presenteeism): Assessment of work-related functionality

Annual paid leave, acquisition rate (engineers)
Improving health literacy (through training), attendance rate
*1

Absenteeism: Absence rate

We hope to resonate with job seekers by highlighting our recruitment method (we hire talent who
meet the requirements of their intended destination, provide them with education and training as
engineers, and only then assign them to projects), as well as the fact that Artner is a job-based
employment company that emphasizes their skills and they will be able to quickly advance theircareers while gaining experience in a variety of projects. By acquiring and training outstanding
talent, we can expect to maintain and strengthen a stable earnings base.

33

according to changes in the external environment and ourPercentage that received health and safety training, attendance rate
Percentage of employees who have received training on diseases unique to womenWork engagement score*2

10

6

0.0%

0.0%

0.0%

0.00 hours

76.00 hours

34.17 hours

52.50 hours

100.0%

100.0%

100.0%

100.0%

100.0%

−

−

87.8%

2.7

−

−

2.6

*1 Measurement method: Wfun (a survey developed by University of Occupational and Environmental Health, Japan to measure the extent of work-related functional impairment
caused by health issues)*2 Measurement method: New Brief Job Stress Questionnaire (work engagement is a state where employees feel vigor, dedication, and absorption toward their work)

Mental Health Care for Employees
To support the mental and physical health of our employees, we
provide them with mental health care from professional counselors, thereby helping in the prevention and early detection ofmental health issues.

the ability of our employees to work in good health and withpeace of mind will result in the well-being of all the employees
and reflection within the company, we promote employee healthmanagement and health promotion initiatives.

Occupational Health and Safety

Risks Related to Potential Hazards
Involved in Labor

By considering the occupational health and safety of our

We strive to prevent accidents and reduce the risk of accidents

The Company has established indicators and targets to evaluate

progress made on human capital measures.

employees, Artner strives to enhance enterprise value andoccurring by providing health and safety education for employ-the effectiveness of human capital initiatives in line with our*For human capital KPIs, targets, and results, see “Non-Finan-create an organization where all the employees can work safely

ees when they join the company and when they are assigned toMedium-Term Business Plan. The targets we set are reviewed

cial Data (KPIs, Targets, and Results)” on pages 61 and 62.

and with peace of mind. In addition, because we believe thatclients.

Artner Co., Ltd. Annual Report 2024

Artner Co., Ltd. Annual Report 2024

Data Section

Indicators and Targets

Downtime due to occupational accidents

3

0.0%

Governance

Securing career
engineers

We consider engineers with work experience to be an
important managerial resource. There is a risk that thecompetition to secure career hires may intensify due to ashortage of engineers who wish to change jobs as aresult of booming design and development activities in
the manufacturing industry, making it significantly moredifficult to hire talented career engineers.

Occupational accident-related fatality rate

None

Sustainability

Number of occupational accidents

Growth Strategy

80.0% or more

Promotion Office to plan, operate, and promote different

We hope to resonate with students by highlighting our recruitment method (we hire talent who
meet the requirements of their intended destination, provide them with education and training as
engineers, and only then assign them to projects), as well as the fact that Artner is a job-based
employment company that emphasizes their skills and they will be able to quickly advance theircareers while gaining experience in a variety of projects. By acquiring and training outstanding
talent, we can expect to maintain and strengthen a stable earnings base.

100.0%
84.9%

identifies human capital risks and Opportunities and monitors

We consider science and engineering graduates to be an
important managerial resource. There is a risk that the
population of science and engineering graduates may
decrease due to the declining birth rate and otherfactors, making it significantly more difficult to hire
talented graduates.

100.0%

82.6%

BMI below 25, ratio

Securing scienceand engineering
graduates

100.0%

85.0%

At Artner, the Compliance and Risk Management Meeting

If engineers’ skills improvement raises client satisfaction and client ratings, the unit price ofengineers may increase and our competitiveness in the industry may elevate, creating
opportunities for corporate growth.

100.0%

78.9%

Group functions as the Health and Productivity Management

Effectiveness ofeducation andtraining

FY202476.5%

Management Division’s General Affairs and Human Resources

There is a risk that the training does not turn out to be aseffective as expected and the unit price of engineers
does not increase due to low client satisfaction, as wellas the risk that we fail to satisfy the requests fromclients, and they start to make complaints.

FY2023

82.8%

Risk Management

Opportunity

FY2022100.0%

Annual paid leave, acquisition rate (overall)Management Division serves as the overall supervisor and the

Risk

Health insurance
societies

80.0% or moreStress check, consultation rate

sustainability matters, including occupational health and safety,

Industrial
physicians

Health Management Results

each and every one of our staff members, as stated in our basic
sustainability policy: “aiming for the happiness of all

Chief Health Officer
Head of the Management Division

work to create a workplace environment where each and every

self-actualization based on our policy on talent development.

discussions to promote and manage the progress of issues andinitiatives related to human capital. The Director/Head of theUnder our mission to promote human resource development

Value Creation Story

the value of our human capital. The Committee is composed

the Sustainability Committee meeting.

reflection within the company.

by talent mobility and diversity, we will strive to promote theArtner has established a Sustainability Committee to maximize

and health insurance societies, and report on the progress at

result in achieving the happiness of all the employees andengineers as a platform to support their growth andGovernancewith the Health and Safety Committee, industrial physicians,

Management Message

selves will, in turn, create value for Artner. We also believe that

In promoting the initiatives, these stakeholders will collaborate

health and peace of mind of employees at work will eventually

Strategy

Introduction

Declaration for Health and Productivity Managementand deliberates on key issues such as respect for human rights,

34

Sustainability

Talent Development

Improving the Employment Environment toPromote Active Participation of Women
active participation of women and permits employees toachieve a better work-life balance, Artner has formulated a
General Employers Action Plan, based on the Act on Promotionof Women’s Participation and Advancement in the Workplace
and the Act on Advancement of Measures to Support Raising

Education and Training Policyby all employees.

Establishing a Diversity Promotion Office
In September 2011, Artner set up a Diversity Promotion Officealso with confidence and practical capabilities.

(now Diversity Team), centered around people with disabilities.

T-shaped Specialist Education System

In addition to promoting the employment of people with disabili-

We are building a “T-shaped specialist education system,” aties, we also aim to create a workplace that enables all employ-

Active Hiring of People with Disabilities

work skills, and the vertical axis represents general education

Artner actively hires people with disabilities. In 2018, Artner was

strive to enable new employees and workers with little or nowhich the horizontal axis represents specialized knowledge andofficially recognized by Osaka Prefecture for its outstanding

giving all employees the opportunity to demonstrate their fullcompany efforts in support of people with disabilities. (Thispotential lead to innovation and value creation. For this purpose,award is part of the prefecture’s initiatives to actively support

we strive to foster an inclusive company culture, throughthe employment of people with disabilities.)

FY2023and communication capabilities. Through this system, we will

Vertical axis
education

Deepen general educationand communication
capabilities

We provide a wide range of training and support programs to help employees improve their skills and develop their careers.

FY2024

Support for Employee Skill Improvement through
Education and Training

3.7%

4.1%

3.7%

Share of female employees (administration)

Increase on an ongoing basis

31.4%

27.6%

33.8%

Share of female employees (engineers) among new employees

Increase on an ongoing basis

3.0%

6.4%

5.2%

ment seminars, career support courses, and manager training.

Share of female employees (administration)
among new employees

Increase on an ongoing basis

66.7%

27.3%

47.1%

New Employee Training to Support Career Development

Appointment of female employees (engineers)
to managerial positions

3 or more

2

2

2

Appointment of female employees to managerial positions

10 or more

6

10

10

Share of female employees in managerial positions

Increase on an ongoing basis

3.7%

3.4%

3.1%

30.0% or more (FY2031)

0.0%

0.0%

0.0%

1

1

1

Additional appointment of females in positions
one rank below managerial positions as executives

1 or more (FY2029)

None

1

3

Wage difference between male and female employees (overall)

Narrow the difference

Male100.0%: Female92.8%

Male100.0%: Female94.5%

Male100.0%: Female89.2%

Wage difference between male and female employees (engineers)

Narrow the difference

Male100.0%: Female99.2%

Male100.0%: Female96.5%

Male100.0%: Female95.8%

Wage difference between male and female employees (administration)

Narrow the difference

Male100.0%: Female71.0%

Male100.0%: Female71.0%

Male100.0%: Female71.9%

Average years of service of male employees (engineers)

Increase on an ongoing basis

5.91 years

6.15 years

6.50 years

Average years of service of male employees (administration)

Increase on an ongoing basis

10.69 years

10.60 years

10.95 years

Average years of service of female employees (engineers)

Increase on an ongoing basis

3.41 years

3.37 years

4.03 years

Average years of service of female employees (administration)

Increase on an ongoing basis

7.56 years

8.34 years

7.12 years

Number of childcare leave days taken by male employees (average)−

44.0 days

79.5 days

42.5 days

30.0% or more (FY2029)

12.5%

30.8%

50.0%

Usage rate of childcare leave (female employees)

80.0% or more (FY2029)

100.0%

100.0%

66.7%

Usage rate of nursing care leave (male and female employees)

15.0% or more (FY2029)

1.2%

7.4%

13.7%

Share of non-Japanese talents

Recruitment on an ongoing basis

1.4%

1.0%

1.4%

Share of elderly employees (60 years of age and older)

Recruitment on an ongoing basis

1.4%

1.4%

1.3%

Employment rate of employees with disabilities

2.30% or more(legally required employment rate)

2.40% (as of June 1, 2021)

2.42% (as of June 1, 2022)

2.67% (as of June 1, 2023)

We help our engineers improve their skills through our qualification acquisition assistance program, under which we pay
employees who possess qualifications we recommend an allow-

Based on the concept of “acquiring practical skills,” we provide

ance in accordance with our rules, and cover all examinationeach engineer with new employee training that enables them tofees for relevant qualifications.

Skill Development Seminars

Career Support Courses

Seminars are held by inviting lecturers fromvarious fields to help engineers acquire a wide
range of knowledge and develop their humanskills, not limited to specific technical areas.

To meet the skill requirements of the manufacturers
to which our engineers are dispatched, courses fordifferent jobs and career levels are offered.

Around 10 times a year, outside lecturers share technical information

Even after being placed into a department, engineers receive bothon various topics for our engineers’ personal growth. The seminars

on-the-job and off-the-job team training concerning technology andespecially help those with practical experience to develop criteria for

products in high demand, conducted by employees actually

making effective use of their experience.

participating in a manufacturer’s project.
Data Section

Usage rate of childcare leave (male employees)

Qualification Acquisition Assistance Program

Governance

1 or more (FY2029)

ing our education and training programs, including skill develop-

practical applications, to support their career development.

Sustainability

Additional appointment of female employees
to managerial or higher positions

To improve our employees’ skills as engineers, we are enhanc-acquire a wide range of technical skills, from the basics toGrowth Strategy

Increase on an ongoing basis

Artner Co., Ltd. Annual Report 2024

Skill

Training and Support Programs

Share of female employees (engineers)

Share of female executive officers

Expertise

Expand expertise andwork skills

Value Creation Story

At Artner, we believe that promoting workplace diversity and

FY2022

Horizontal axis
educationsystem for improving the skills of each and every engineer, innursing leave utilization.

Targetstage and shift their careers to growing industry fields.

provide all employees not only with knowledge and skills but

ees to feel fulfilled by their work.

KPI

experience to participate in cutting-edge projects at an early

The concept of Artner’s education and training programs is tober of female executives and improve the rate of childcare andDiversity and LGBTQ+ Initiatives

35

Policy on Talent Development

Management Message

Next-Generation Children. We also strive to increase the num-

and activities to promote an understanding of gender equality

Introduction

To help establish an employment environment that enables themeasures such as diversity training, LGBTQ+ study meetings,

Communication

Diversity and Inclusion

Personnel Evaluation System
At Artner, we have established grades (ranks) that represent the job level of each engineer and administrative position, and conduct a fairand impartial annual evaluation based on work performance and other factors for each grade, which is reflected in pay raises.

Artner Co., Ltd. Annual Report 2024

36

Sustainability

Human Rights / Social Contribution
Human Rights Policy

2023

Human rights

make appropriate disclosures.

2022

Diversity measures(promoting understanding of
LGBTQ+)(1) Basics of diversity management (diversity and inclusion management)(2) Basics of LGBTQ+(3) Panel discussion (on personal experiences)

If it becomes known that our business activities caused or

2021

Diversity measures(promoting understanding of
LGBTQ+)(1) Basics of diversity management(2) Basics of LGBTQ+ and SOGI(3) What we can do: specific actions by allies

in line with the United Nations’ Guiding Principles on Busi-

Compact, we recognize that respecting human rights is apreventing and mitigating negative impacts on human rights,

social responsibility that a company must fulfill and establish

continuously assess the effectiveness of our efforts, andthis human rights policy.

7. Remediation and relief

appropriate measures to remedy them.

• International Bill of Human Rights (Universal Declaration of

If it becomes known that our clients caused or facilitated

Human Rights)

negative impacts on human rights, we will urge the clients to• International Labour Organization (ILO) Declaration ontake remedial actions.

Fundamental Principles and Rights at WorkWe will establish a helpline to receive any reports on compli-• Guiding Principles on Business and Human Rights Unitedance violations related to human rights and any inquiries, andNations Global Compact’s Ten Principles across four areas

take steps for relief and remediation upon investigation.

• Children’s Rights and Business Principles

We will ensure the confidentiality and the protection ofThis policy applies to all officers and employees of Artner.
Furthermore, we request all clients affiliated with our businesses and services to understand and support this policy.

personal information of whistleblowers, and will not treat
them disadvantageously based on their reports.

8. Education and training

We will continuously provide appropriate education andArtner recognizes that human rights initiatives are required not
only by the Company, but also by our supply chain. We havetherefore established a procurement policy and will comply withlaws and regulations and respect basic human rights as a
responsible member of society. We share our approach tohuman rights with our suppliers and strive to identify humanrights risks in the supply chain as part of our procurement
process.

policy is integrated into all business activities and is imple-

In all of our business activities• As a responsible member of society, we will comply with laws

mented effectively. In addition, we will share this policy with• We will respect basic human rights without discrimination

and regulations and respect social justice and basic human

all clients affiliated with our businesses and services, andbased on gender, age, place of origin, nationality, race,

hold dialogues and discussions with them on a continuous

ethnicity, creed, religion, disease, disability, and/or otherfactors.
• We will create a healthy work environment, and will not
engage in harassment (workplace bullying, sexual harassment, pregnancy discrimination, or any other form of
be recognized as inhumane by global standards.

• We will strictly manage information that should be kept confidential.

We will appropriately disclose the progress of our initiatives

As a member of the local community, we are involved in com-

We donate to various organizations to contribute to the achieve-

for respecting human rights through our website and othermunity outreach activities such as supporting the education ofment of the SDGs.

means.

the next generation of manufacturing professionals and beauti-

10. Dialogue and discussion with stakeholders
We will carry out continuous dialogues and discussions withinitiatives under this policy, and strive to improve and en-commodations.

hance our initiatives for respecting human rights.

• We will not require employees to undergo medical examinations that are not reasonably and objectively necessary inthe hiring process.

Initiatives
Artner has established a human rights policy in line with theUnited Nations Global Compact, which prohibits forced labor,• We will adhere to the Minimum Wage Act and pay wages

slavery or labor trafficking, and child labor. In addition, we haveexceeding the minimum wage.

established a mechanism for human rights due diligence in line

• We will prohibit unreasonable treatment in accordance with

with the United Nations’ Guiding Principles on Business andthe principle of equal pay for equal work.

Human Rights, and will identify negative impacts on humanrights and work toward preventing and mitigating them, contin-

Our initiatives under this policy will be regularly reported to anduously assess the effectiveness of our efforts, and make appro-

managed by the Compliance and Risk Management Meeting

priate disclosures.

and the Sustainability Committee. The Board of Directors will

There have been zero consultations about discrimination during

be informed of its details and provide supervision.

the current fiscal year.

Programming classes forelementary school students
We run computer programmingclasses led by Artner employees
for children in grades four to six
at local elementary schools. Like
this, we provide opportunities forchildren to learn how to think likea programmer.

Initiatives to clean public spaces
As part of its community service activities, Artner organizes a cleanupof Esaka Park, located near our learning centers in West Japan, and of
Shin-Yokohama Ekimae Park, located near our Tokyo headquarters
and learning centers in East Japan, inviting the participation of all ofour directors, managers, and employees.

Support for areas affectedby the 2024 Noto Peninsula Earthquake
We made donations to the 2024 Noto Peninsula Earthquake Disaster
Relief Fund through the Central Community Chest of Japan.
Our deepest sympathies go out to everyone in the affected areas, andwe sincerely hope for the swiftest possible recovery.

Support for Akai Hane Central
Community Chest of Japan (donations)
We support the Central Community Chest of Japan, an organization
engaged in support and assistance for local social welfare issues
around Japan (e.g., child poverty, hikikomori, elderly support, disabled
support).

Support for the United Nations
World Food Programme (WFP) (donations)
Data Section

rights to withhold such participation.
• We will prohibit forced labor and child labor.

fying the environment.

Governance• We will respect the rights of employees to form and join

Artner Co., Ltd. Annual Report 2024

ment.
• We will strive to use environmentally friendly products.

Donations and Support

relevant internal and external stakeholders regarding our

5. Governancevalue in all aspects of price, quality, safety, and the environ-Regional Contribution

religious practices and document the details of such ac-peaceful assembly of their own volition, as well as theirin our customers’ shoes.
• We will meet customer needs by providing products that offer

basis.

9. Information disclosure• We will make reasonable accommodations for employees’labor unions, to bargain collectively, and to participate in• We will conduct fair transactions and act by putting ourselves

Sustainability

harassment by any name) or any other treatment that would

procure the best and most appropriate resources.

Growth Strategy

Procurement Policy

our business activities

rights.
• We will establish equal and fair business relationships and• We will strive to properly manage documents and information.

training to all officers and employees to ensure that this

4. Initiatives to ensure human rights are respected in

37

Supply Chain Management

Value Creation Story

facilitated negative impacts on human rights, we will takerights norms:(4) Human rights risks(5) Human rights fields that companies should respect(6) Main impacts of adequate/inadequate human rights efforts(7) Artner's human rights policy

Management Message

We support and respect the following international human

3. Scope

Description(1) What are human rights?
(2) Increasing attention on how companies are
addressing human rights(3) Subjects (rights holders) whom companies
should respect

ness and Human Rights. We will identify and work toward

complies with

Training theme

We will establish a mechanism for human rights due diligence

As a company that supports the United Nations Global

2. Key international human rights norms that this policy< Human Rights Training >Introduction

1. Basic view on human rights

6. Human rights due diligence

Artner endorses and donates to support the activities of the United
Nations World Food Programme (WFP), which delivers food support in
83 countries and school meal support in more than 30 countries
around the world, to save children in poverty from starvation and tohelp children grow up in good health. The UNWFP also works topromote school attendance and expand educational opportunities forchildren.

Artner Co., Ltd. Annual Report 2024

38

Sustainability

Stakeholder Engagement

Outside Evaluation

Stakeholder Engagement

Participation in Initiatives

To ensure that our company runs sustainably, it is important that we hold dialogues with stakeholders and integrate their expectations andstakeholder perspectives into our corporate management.

United Nations Global Compact
Artner signed the “United Nations Global Compact”(hereinafter UNGC) proposed by the United Nations andClients

was registered as a business participant on January 16,

Partners

2024. In addition, Artner joined the “Global Compact
Network Japan,” which comprises Japanese UNGC

Artnerdate.

Employees

highly motivated engineers that live up to

Clients

the trust of our clients and grow together,building on dialogues with clients indiverse industries as their trusted technicalpartner.

ed Financial Disclosures (TCFD), and has rated climatechange as a high-priority issue. With an aim to achievea more sustainable society, we are committed to taking
necessary actions and initiatives based on the environmental activity policy.

Shareholders

Approach

We will become a group of ambitious andrecommendations from the Task Force on Climate-relat-

Engagement

Frequency

Values provided

Regularly
Any time●Placement ofengineers withhigh added
value●Information provision through our Annual
Report, IR Reports, and official website●Dialogues and hearings with clients●Talent education and training●Job change assistance program

Value Creation Story

Stakeholder

In July 2022, Artner announced its support for theManagement Message

signatory companies and organizations, on the same

The Task Force on Climate-related
Financial Disclosures (TCFD)

Introduction

demands into our business strategy and activities. While creating more opportunities for communication, we will strive to further reflect

External Evaluation
CDP

S&P/JPX Carbon Efficient Index

Artner received a “B-” score, the fourth highest score

Artner has been selected as a constituent of the S&P/

among eight scores (A, A-, B, B-, C, C-, D, D-), based

JPX Carbon Efficient Index.
Growth Strategy

on data reported through CDP’s Climate Change 2023
Questionnaire.
●Information provision through our Annual

CDP is an international environmental NGO established

Report, IR Reports, and official website

Partners

We will aim to build good partnerships●Dialogues using online conferencing tools

based on mutual trust through equitable●Improve energy efficiency and reduceand fair transactions.

energy usage

in 2000 in the United Kingdom. It runs the global discloRegularly
Any time●Co-creation ofvalue

sure system for investors, companies, states, regions,and cities to manage their environmental impacts, andassesses companies’ actions toward making a positive●Contribute to carbon neutrality throughenvironmental impact. Artner received a “B-” score,business activities

environmental management. It exceeds the average “C”
score received by companies in Asia and companies in●Provision of skill development
opportunities through training andWe will aim for the happiness of all
employees and reflection within the

Employees

company, believing that talent is ourgreatest business asset, and that talentdevelopment and organizational
Company's growth.

●Employee Stock Ownership Association●Health and productivity management●Mental health care
●Labor union●Social gatherings

Regularly
Any time●Happiness of
all the employees andreflection within the company●Retention of
employment●A range of salary systems●Limited area system●Internal recruitment program

Artner was recognized for the second consecutive year
as one of the Certified Health and Productivity Management Outstanding Organizations (2024, large enterprise
category) under the Certified Health and Productivity
Management Outstanding Organizations Recognition
Program, operated by the Ministry of Economy, Tradeand Industry and the Nippon Kenko Kaigi.
The recognition program recognizes corporations,

Governancedevelopment are key areas essential to thethe IT and software development sector.

seminars

Sustainability

which indicates that the Company demonstrates

Certified Health and Productivity
Management Outstanding Organizations

including large companies and small- and medium-sized enterprises, that practice particularly excellent
health and productivity management, based on their●Job change assistance program

efforts to address local health issues and cooperatewith the health initiatives conducted by Nippon Kenko

Artner's No.1 business challenge is
steadily improving shareholder value overbusiness and ensuring profitability, we will
aim to build trustful relationships throughfaithful and fair information disclosuresand active communication.

39

Artner Co., Ltd. Annual Report 2024

Kaigi.

●Briefing for analysts and institutional
investors●Briefing for individual investors●Information provision through our Annual
Report, IR Reports, and official website●One-on-one meetings

Regularly
Any time●Sustainablegrowth●Profit
distribution

Artner has been promoting health and productivity
management based on its declaration, and its efforts

Data Section

Shareholders

the long term. In addition to expanding our●General Meeting of Shareholders

have been recognized by external organizations.

●Inquiry form and telephone

Artner Co., Ltd. Annual Report 202440