Sysmex
Sustainability Report

2016
Full Version

Contents
1

Contents/Editorial Policy

2

Corporate Philosophy, Core Behaviors

3

Message from the Chairman and CEO

5

Sysmex at a Glance

7

Highlight 1

49 Involvement with Stakeholders

Accelerating the Advancement of Healthcare
by Gathering Knowledge and Technologies
from Both Inside and Outside the Company

9Highlight 2

11

Sysmex’s CSR Activities

Involvement with Customers

72
75
79

Involvement with Shareholders
Involvement with Business Partners
Involvement with Employees

51
56
63
65
67

80
83
90
101
103

Creating New Value through Global Human
Resource Development and Exchange

12
14
17
20
28

50

Ensuring Quality and Safety
After-Sales Support/Scientific Activities
Stable Supply
Enhancing Customer Satisfaction and Third-Party Evaluations
Contributing to Resolution of Healthcare Issues

Respecting Human Rights
Employee Evaluation, Treatment, andHuman Resource Development
Promoting Diversity
Respecting Workers’ Rights
Considering Safety and Health

108 Corporate Citizenship Activities

109 Policy on Corporate Citizenship Activities and Philanthropy
110 Activities to Promote a Healthy Society
117 Contributing to Local Communities
123 Promoting Employees’ Social Contribution Activities

CSR Management
Mid-Term CSR Plan

124 Environmental Conservation Activities

Results of Dialogue with Stakeholders

125 Environmental Management Initiatives
132 Environment Friendliness in Product and Service Life Cycles
136 Environmentally Conscious Operation
142 Other Environmental Conservation Activities
144 Green Procurement
147 Performance Data

CSR Data
External Evaluation

36 Compliance

157 Corporate Information/Information Available on the Website

47 Risk Management

Editorial Policy
Sysmex publishes the annual “Sysmex Sustainability Report” tocommunicate to stakeholders our approaches and activities concerning
corporate social responsibility (CSR), and to facilitate dialogue withthem. The digest version describes our approach to CSR, highlights
key initiatives during the fiscal year and introduces various topics byregion. For more detailed information in accordance with the core
option of the Global Reporting Initiative (GRI)’s Sustainability Reporting
Guidelines, Edition 4, see the “Sysmex Sustainability Report, Full
Version (PDF)” and our CSR website. We also plan to publish the“Sysmex Report,” including both financial and non-financial information,in 2016.

Period covered
Primarily fiscal 2015 (from April 1, 2015 to March 31, 2016). Some activities
conducted outside this period are also included.

Date of publication
August 2016
Previous version: August 2015

Inquiries about this report
CSR Promotion Department, Sysmex Corporation
1-5-1, Wakinohama-Kaigandori, Chuo-ku, Kobe, Hyogo, 651-0073, Japan
Tel +81-78-265-0500, Fax +81-78-265-0524

Guidelines referenced• The Global Reporting Initiative (GRI)'s Sustainability Reporting
Guidelines, Edition 4• The Japanese Ministry of the Environment's Environmental Reporting
Guidelines (2012 ed.)Cautionary Statements
This report contains both forward-looking statements, plans and facts regarding thepast about Sysmex Corporation and its group companies (the Sysmex Group).
These forward-looking statements and plans are based on the current judgments
and assumptions of the Sysmex Group in light of the information currently available
to it. Uncertainties inherent in such judgments and assumptions, the future courseof our business operations, and future events may cause our actual results,
performance, or achievements to be materially different from any future results,
performance, or achievements either expressed or implied within suchforward-looking statements.

Organizations covered
Sysmex Group (Sysmex Corporation and its subsidiaries both in Japanand abroad). In this report, “Sysmex” refers to the Sysmex Group as a whole.
“Sysmex Corporation” refers to the Company on a stand-alone basis.

-1-

Corporate Philosophy, Core Behaviors

Sysmex Group Corporate Philosophy

Core Behaviors
To our Customers
We deliver reassurance to our customers, through unmatched quality, advanced technologies, superior support, and actions
that consistently reflect the viewpoint of our customers.
We constantly look out for our customers’ true needs, and seek to generate new solutions to satisfy those needs.

To our Employees
We honor diversity, respect the individuality of each employee, and provide them with a workplace where they canrealize their full potential.
We value the spirit of independence and challenge, provide employees with opportunities for self-fulfillment andgrowth, and reward them for their accomplishments.

To our Business Partners
We deliver commitment to our client companies through broad-ranging partnerships.
We strive to be a company that can grow in step with our trade partners, through respect and mutual trust.

To our Shareholders
Our shareholders can rest assured that we will continue to improve the soundness and transparency of our management
policies, while promoting information disclosure and close communications.
We commit ourselves to a consistent yet innovative style of management, in order to achieve sustainable growth andincreased shareholder value.

To Society
We carry out our business in strict compliance with laws and regulations, as well as in adherence to high ethical standards.
As a responsible member of society, we play an active role in resolving environmental issues and other problems that
impact our society today.

-2-Message from the Chairman and CEO-3-

We aim to build trust and confidence among people
around the world. This has remained an important
goal since the time of our founding, as we work tocontribute to the development of healthcare andthe healthy lives of people.
Creating High-Value Testing and Diagnostic Technologies, and Contributing to
the Development of Healthcare
In line with our mission of “shaping the advancement of healthcare,” which is defined in the “Sysmex Way,”
the corporate philosophy of the Sysmex Group, Sysmex works to contribute to the development ofhealthcare and the healthy lives of people.
In recent years, advanced countries have been characterized by rapidly aging populations andincreasingly diverse healthcare needs, while emerging markets have been marked by population increases
and rapid developments in healthcare infrastructure. Meanwhile, in addition to being affected by the threeleading infectious diseases—HIV/AIDS, malaria and tuberculosis—developing countries have been facing
new types of infectious diseases, such as Ebola hemorrhagic fever. In this changing environment, testing is
expected to play an increasingly important role in disease prevention, early detection and determining
courses of treatment.
Since its founding, Sysmex has responded to increasingly sophisticated and diverse testing needs. We
currently provide products and after-sales support in the hematology and other in vitro diagnostics fields inmore than 190 countries around the world. Stepping up our R&D efforts toward the realization of
personalized medicine, we are pursuing collaborative research with research institutions, universities,
hospitals and other companies. We are working toward the creation of advanced, high-value testing anddiagnostic technologies, such as minimizing the physical burden on patients by using blood for the early
detection of cancer and the choice of treatment regimens best suited to individual patients. Furthermore, byleveraging the expertise and networks we have amassed, we have embarked on the collaborative
development of next-generation diagnostic drugs for dementia.
Going forward, we aim to respond swiftly to environmental changes and create new value that willcontribute to the advancement of healthcare. By so doing, we intend to address the shared desire of people
around the world to remain healthy.

Building Trust and Confidence Among Stakeholders
Sysmex holds dear the policy of building trust and confidence among stakeholders by fulfilling its corporate
philosophy and core behaviors. In addition to contributing to the development of healthcare, our core
behaviors indicate specifically how we are to build trust and confidence among our customers, employees,
business partners, shareholders and society, including resolving environmental issues, and we are pursuingbusiness activities in this vein.
Sysmex joined the United Nations Global Compact in February 2011. The mid-term CSR plan for fiscal
2015–2017, which we formulated in fiscal 2015, reflects the 10 principles of the Global Compact in the areasof human rights, labor, the environment and anti-corruption. In September 2015, the United Nations adopted
sustainable development goals. Taking these goals into account, going forward Sysmex will clarify the issues
it considers important and proactively redouble its CSR activities as a global company.
Sysmex will continue working toward the creation of a fulfilling and healthy society through its businessactivities, engaging proactively in environmental and social contribution activities, as it strives to meet the
expectations of its stakeholders by continuing to build trust and confidence among people around the world.
We would like to ask our stakeholders for their continued support and understanding of all our endeavors.

July 2016
Hisashi Ietsugu
Chairman and CEO-4-

Sysmex at a GlanceContributing to a Healthy Society through Testing
Testing during hospital medical examinations and regular health checkups can be broadly divided into two types. One type, called “invivo diagnosis,” includes X-rays and other tests conducted directly on patients’ bodies. Another type, called “in vitro diagnosis” or IVD,
includes tests conducted on patient samples of blood, urine, cells and so on. Sysmex’s business is in the IVD field. We are a comprehensive
manufacturer in this field, conducting R&D, manufacturing, sales and after-sales support on the instruments, reagents and software
needed for IVD. Sysmex provides customers in more than 190 countries around the world with products and after-sales support. We
contribute to rapid diagnosis and the selection of treatment methods and help to reduce the burden on patients.

Sysmex’s Business Process

Sysmex Products

Creating High-Value Testing and
Diagnostic Technologies

Research andDevelopment

XN-Series: XN-2000
Automated Hematology Analyzer
Principal Diseases for Whichthe Instrument Is Used

Anemia, leukemia,
thrombocytopenia, etc.

UF-5000
Fully Automated Analyzer ofFormed Elements in Urine
Principal Diseases for Whichthe Instrument Is Used

Renal disease, urinary
tract disorders, etc.

Ensuring Product Quality and Providing
a Steady Supply of Products

Manufacturing

CS-5100
Automated Blood Coagulation Analyzer

HISCL-5000
Automated Immunoassay System

Principal Diseases for Whichthe Instrument Is Used

Principal Diseases for Whichthe Instrument Is Used

RD-100i
Gene Amplification Detector

ASTRIM FIT
Health Monitoring Analyzer

Thrombosis, thrombotic
disease (myocardial
infarction, cerebral
infarction), hemophilia, etc.

Infectious diseases(hepatitis, AIDS),
cancer, allergies, etc.

Providing Products and Services in Morethan 190 Countries around the World

Sales

What the Instrument
Helps to UnderstandWhat the Instrument
Helps to Understand

Lymph node metastasis ofbreast cancer, colon cancer
and stomach cancer

Oxygen transportcapacity of the blood

Specialized Reagents

pocH-100iV Diff
Automated Hematology Analyzer

Providing a Detailed Response to Inquiries

After-Sales
Support

Reagents for dilution,
staining and other aspectsof the Company’s products

What the Instrument
Helps to UnderstandThe state of health ofanimals (determining theneed for detailed tests)-5-Sysmex products are in use near you.

Hospitals
1 [Laboratories] Patient blood, urine and other samples
are examined using Sysmex’s products to discover reduced
function or abnormalities in physical organs and systems,
allowing for the early detection of disease, decisions on
treatment plans and monitoring the effects of treatment.

2 [Operating rooms] Sysmex’s products are used todetermine lymph node metastasis during breast cancer,
colon cancer and stomach cancer operations, helping tominimize the amount of surgery needed and, therefore,
the burden placed on the patient.

Animal Hospitals, Aquariums

Sports Training Facilities

3 Sysmex’s products are used to check the blood of dogs
and cats, as well as aquarium dolphins and zoo animals,
to manage health and determine whether more detailed
tests are necessary.

4 Sysmex’s products are used by professional sports
teams, high school, university and company track and fieldteams, and in sports gyms to measure athletes’ estimatedhemoglobin levels simply by inserting a finger and withoutsampling blood, thereby managing their physical condition.

2

4
1

3
4

3

1

4

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1

1

Highlight

2

Accelerating the Advancement of Healthcare
by Gathering Knowledge and Technologies
from Both Inside and Outside the Company
3

Overview of the Sysmex Open Innovation Lab (SOLA)

4

Innovation Area:
This area is equipped with state-of-the-art,high-performance analytical instruments to researchand verify the seeds of new technologies. ( 1 2 )Sysmex Area:
This area, which is equipped with Sysmex’s
leading-edge diagnostic instruments, promotes therealization of products by fusing Sysmex’s existingknow-how with new technologies.
Communication Area:
This area fosters the generation of new concepts byencouraging interaction among researchers. ( 3 )ICT Area:This area provides supercomputer access toresearchers. ( 4 )-7-We aim to generate new clinical value by fusing advanced
technologies to support leading-edge healthcare, such as
personalized medicine. To this end, we plan to set up a global
research unit comprising university researchers from Japan andaround the world, as well as making use of corporate working
groups.

Establishing an Open Innovation Lab witha View to Realizing Personalized Medicine
Drug efficacy and side effects differ, even among patients withthe same disease. Progress on gene and protein analysis
technologies in recent years have aided in uncovering disease
origins and mechanisms, and this in turn has raised expectations
for “personalized medicine.” This aims to boost treatment
efficacy and quality of life through the selection of treatment
methods tailored to individual patients.
To step up our R&D initiatives toward the realization of
personalized medicine, in October 2015 we opened the Sysmex
Open Innovation Lab (SOLA) and began collaborating withresearchers from outside the Company.
In one example, we are collaborating with JVC KENWOOD
Corporation to develop diagnostic instruments for themeasurement of exosomes. Exosomes are present in such bodily
fluids as blood, saliva and urine. It is expected that the many
substances they contain might be employed as biomarkers* fordiseases including cancer and central nervous system disorders.
Through this joint development, we are working toward thecreation of groundbreaking testing and diagnostic technologies
that could play a role in the early detection of cancer and themonitoring of treatment outcomes.

* Substances that act as markers for certain diseases

Establishing a Joint Research Lab within
the National Cancer Center JapanIn September 2013, Sysmex entered into a comprehensive
collaboration agreement with the National Cancer Center
Japan to develop diagnostic reagents for cancer. To date wehave conducted joint research on seven topics.
In October 2015 we opened the Sysmex Cancer Innovation
Laboratory (SCI-Lab) within the National Cancer Center Japan
Hospital. This lab will further accelerate R&D in the field of cancer
diagnosis with the aim of realizing genomic medicine*1. This lab
meets ISO 15189*2 international standards for clinical laboratories.
The SCI-Lab employs next-generation sequencers to
conduct clinical research involving comprehensive genetic
testing to measure around 100 gene types related to various
types of cancer. This research is expected to contribute todecisions on appropriate treatment methods and use of drugs.
This lab is operated in alliance with RIKEN GENESIS Co., Ltd.,a Sysmex Group company with extensive experience in gene
analysis.
We will continue to collaborate closely with the National
Cancer Center Japan and RIKEN GENESIS, promoting research in theaim of realizing new cancer diagnosis methods as soon as possible.

Aims of the Sysmex Open Innovation Lab (SOLA)
Universities

Medical institutions
Research institutions

Companies

Technology
Knowledge

Technology
Knowledge

Technology
Knowledge*1 This type of medicine involves analyzing the relationship between genetic
information and disease in order to predict the onset risk of diseases and aid inselecting the most effective course of treatment.
*2 This international standard specifies requirements for quality and competence
in medical laboratories.

Sysmex technologies
Fusion of technologies

New clinical value

Mr. Koji Tsujita
Senior Adviser
Medical Systems
Development Taskforce
JVC KENWOOD
Corporation

Sysmex Cancer Innovation
Laboratory (SCI-Lab)

Stakeholder Comment
SOLA’s Innovation Area provides an excellent
environment, with state-of-the-art analytical
instruments and efficiently arranged facilities.
The spacious Communication Area andconsideration for support staff allow extensive
research to be conducted effectively andcomfortably.
As well as the environment, I find the moststimulating and meaningful aspect of the lab tobe the way we can work with Sysmex
researchers, utilizing each other’s technologies
and knowledge for face-to-face deliberations
and joint experiments. For me, this is one of
SOLA’s main attractions.

Mr. Atsushi Ochiai
Director
Exploratory Oncology
Research and Clinical
Trial Center,
National Cancer
Center Japan-8-

Stakeholder Comment
The SCI-Lab has enabled the configuration andoperation of systems for providing actual medicalcare on cases within the center, including specimen
collection, genome testing, providing information
to patients and selecting treatment methods.
The genome diagnostics performed by the
SCI-Lab is at the forefront of new genomic
medicine in Japan, and should contribute
substantially to the structure of genomic
medicine in this country.
As the SCI-Lab develops, in addition to
genomic medicine I look forward to the introduction
and promotion of next-generation medical
technologies and diagnoses at actual clinics.

1

Highlight

2Creating New Value throughGlobal Human Resource Development
and Exchange

2

3

5

6

4

Training underway at the Global Communication
CenterGlobal Exchange Program(This program aims to strengthen ties between
Japanese and overseas employees by fosteringinteraction and deepening mutual understanding.)(1 2 3 )New employee training ( 4 )Global Apprentice Program
Sysmex Partec ( 5 )Sysmex Shanghai ( 6 )-9-human resources by providing employees with an opportunity toexperience working overseas early in their careers. Upon theirreturn, the employees participate in debriefing meetings. Thisapproach helps to convey information about local issues andconditions to Sysmex in Japan. A total of 38 people had taken
part in this program as of March 31, 2016.

Promoting Human Resource Development
and Exchange Throughout the Group
Sysmex conducts its business on a global basis, and Group
employees number over 7,000, more than 50% of whom areoverseas (as of March 31, 2016).
To put into practice the Group corporate philosophy, theSysmex Way, and to instill trust and confidence in people
throughout the world, we recognize the need to enhance
individual employees’ skills and foster communication among
diverse human resources. We believe it is important to sharevalues and foster insights in order to create new value andencourage deeper cultural understanding.
To this end, in fiscal 2014 Sysmex formulated a global humanresource development system to facilitate human resource
development throughout the Group. Under this system, we arepromoting initiatives to enhance a sense of unity within theGroup, develop next-generation human resources, strengthen
networks within the Group, and foster cultural understanding.
The Global Apprentice Program that we introduced in fiscal
2011, targeting young employees, is one aspect of these initiatives.
Under this program, we solicit participation by employees who
have a clear awareness of issues and wish to be active in the
global environment. The program aims to cultivate future global

Opening the Global Communication Center(GCC) as a New Place for Human Resource
Development and Exchange
In April 2015, we opened the Global Communication Center,equipped with accommodation facilities, as a new place toencourage human resource development and exchange.
The center is designed to encourage free and open discussion
among people whose cultures and values are diverse, and tofoster the expansion of personal networks. The center has a
discussion area with a flexible layout, and an open space where
people can sit in circles for discussions.
At the GCC, we conduct new employee training and training
for employees based on Sysmex’s human resource development
system, as well as cross-divisional study sessions and joint retreats
for global personnel. We also invite people from outside theCompany with a diverse range of values, so the center serves asa place for enhancing communication.
By cultivating and fostering interaction among the global humanresources of the future, Sysmex aims to encourage teamwork
and create new value that puts the Sysmex Way into practice.

Key Outcomes of the Global Apprentice Program (Fiscal 2015)

Sysmex America
Developed an interface program for My Sysmex,
a comprehensive information tool for customers using
the Internet

Global Communication Center
Conversation

Sysmex America/Sysmex Brazil
Provided support for the launch of South American
service locations
Sysmex Reagents America
Conducted surveys of local factory operations anddemand for the construction of next-generation factories

Going
beyondorganizationalboundaries

Sysmex Europe
Strengthened cooperation between the EMEA* region andSysmex Corporation for the global standardization of ICT
Jointly promoted business related to colon cancer in EMEA*
and Japan

Manufacturing
Technology Department
Manufacturing
Management Division

Inspiring
diversity

Discussion

Open
and
flat

Sharing
Sysmex’s
DNA

Sharing of values, new insights* Europe, the Middle East and Africa

Hajime Naruse

Dialogue

Quest for value, creation of value

Comments from an Employee Participant
in the Global Apprentice Program

Comments from an Employee Who Used
the GCC

I applied for the Global Apprentice Program
because I had past experience with a newfactory construction project, which I hoped tomake use of in the new expansion of our U.S.
factory. The experience I gained there helped
me to grow personally; it also strengthened my
network with local employees, which has mademy work easier since returning to Japan.

I underwent new employee training at the GCC.
The facility made it possible for people to gather
naturally, creating an atmosphere that encouraged
communication among the trainees. There wereping pong tables where we could enjoy a refreshingbreak when we weren’t in training. The scenerysurrounding the GCC was nice, and some trainees
took advantage of the location to go jogging in
the mornings.

Liyana Binti
Mohd Yazid
Business Development
Department
UB-Product Engineering
Division- 10 -

CSR Management

Mid-Term CSR Plan

We conduct CSR activities in accordance withWe have formulated a Mid-Term CSR Plan forthe corporate philosophy for the Sysmex Groupthe period from fiscal 2015 through fiscal 2017,

and the 10 Principles of the United Nations

and we conduct our CSR activities accordingly.

Global Compact.

Results of Dialogue with Stakeholders

CSR Data

We consider opportunities to engage directly in

We introduce a host of data related to our

dialogue with our stakeholders important, andstakeholder and corporate citizenship activities,

we reflect their opinions and requests in ouras well as environmental preservation activities.

CSR activities.

External Evaluation
We have been selected as a member ofrepresentative sustainability indices. We havealso received a variety of awards andcommendations from third-party organizations.

- 11 -

Sysmex's CSR Builds Trust and Confidence through Practice of the Sysmex Way
Sysmex's CSR builds trust and confidence among all its stakeholders through the practice of theSysmex Way, the corporate philosophy of the Sysmex Group. The Sysmex Way indicates the way themost basic corporate activities ought to be conducted, consisting of three elements necessary forcontinued growth: Mission, Value and Mind. The mission expresses the expansion of our businessfrom activities centered on the field of diagnostics—a focus since our establishment—to the broader
healthcare domain with its even closer connection to human health. In this manner, the mission asserts
our aim of contributing toward the realization of a society filled with abundance, health and joy.
The Core Behaviors clarify provision of specific value to customers, employees, business partners,
shareholders, society and all our stakeholders. For example, to provide reassurance to all members ofsociety we carry out our business in strict compliance with laws and regulations, as well as inadherence to high ethical standards. We also consider it important to play an active role in resolving
environmental issues and other problems that impact our society today.
Based on this perspective, we have set up various committees, headed by executives, to promote
activities according to key CSR-related themes, including compliance, risk management and theenvironment. We have also established the CSR Promotion Department as the specialized department
for planning, drawing up proposals for and promoting CSR activities and disseminating CSR-related
information both inside and outside the Company.

Participation in the UN Global Compact
To promote CSR initiatives more proactively, since February 2011 Sysmex has participated in the UN
Global Compact, and we uphold its 10 principles.

- 12 -

The UN Global Compact's 10 Principles
Principle 1: Businesses should support and respect
the protection of internationally

Human Rights

proclaimed human rights; andPrinciple 2: make sure that they are not complicit inhuman rights abuses.
Principle 3: Businesses should uphold the freedom of
association and the effective recognitionof the right to collective bargaining;

LabourPrinciple 4: the elimination of all forms of forced andcompulsory labour;
Principle 5: the effective abolition of child labour; andPrinciple 6: the elimination of discrimination in
respect of employment and occupation.
Principle 7: Businesses should support aprecautionary approach to environmental
challenges;

Environment

Principle 8: undertake initiatives to promote greater
environmental responsibility; andPrinciple 9: encourage the development and diffusionof environmentally friendly technologies.
Principle 10: Businesses should work against

Anti-Corruption

corruption in all its forms, including
extortion and bribery.

- 13 -

Formulating a Mid-Term CSR Plan Based on Stakeholder Requirements and Expectations
In May 2015, Sysmex formulated a new mid-term CSR plan (fiscal 2015–2017), taking into account the
globalization of our business and society's diverse and sophisticated requirements and expectations.
The plan clarifies our material issues and solutions considering the 10 principles of the UN Global
Compact, the ISO 26000 international standard on social responsibility, and various requirements andexpectations from stakeholders.
We are currently working on determining the material aspects incorporating significant issues forstakeholders and Sysmex Group, to formulate the next mid-term CSR plan (fiscal 2017–2019).
In addition, we are undertaking initiatives to reduce the environmental impact of our business activities
based on our environmental action plan, the Sysmex Eco-Vision 2020.

Mid-Term CSR Issues
Reinforcement of our global risk management structure
Reinforcement of the compliance system
Cultivation and promotion of diverse human resources
Maintenance or improvement of an attractive and pleasant working environment
Environmental impact reduction of products, services and operational activities(Including achieving the Group target values outlined in Sysmex Eco-Vision 2020)
Promotion of CSR procurement
Improvement of customer satisfaction
Promotion of corporate citizenship activities- 14 -

Our Progress on the Mid-Term CSR Plan (targets and results)

Category

Mid-Term CSR Issues

MeasuresFiscal 2015 Plans

Deploy a global risk management system• Reinforce the risk management
structural baseStrengthen measures to counter significant
Group risks• Step up countermeasures against
information leaks• Promote global fair trade• Roll out global business continuity measures

Ensure thorough compliance and expand
application• Improve a complaints management system
related to fair trade• Expand the scope of our compliance policy

Reinforce the global compliance structure• Draft and implement improvement measures
based on evaluations by external specialists

Promote an active role for women• Increase the ratio of female recruits• Conduct career advancement training
for women

Recruit diverse global human resources• Increase hiring ratio of non-Japanesehuman resources

Promote global talent management• Implement programs to cultivate global
human resources

Increase employee satisfaction• Promote awareness activities with theaim of utilizing various programs

Promote environmentally friendly
products and services• Reduce greenhouse gas emissions of
products and services

Reduce the environmental impact ofbusiness activities• Curtail use of energy, waste and use ofwater resources

Promotion of CSR
procurement

Continue to promote CSR procurement• Select new business partners based on
new procurement policies and promoteawareness among existing business partners

ConsumerIssues

Improvement ofcustomer satisfaction

Create a global customer satisfaction
evaluation system• Conduct a global customer satisfaction survey

Community
Involvement
andDevelopment

Promotion of corporate
citizenship activities

Conduct corporate citizenship activities
based on the Policy on Corporate Citizenship
Activities and Philanthropy• Continue to conduct corporate citizenship activities• Increase the number of employee volunteers bypromoting a social contribution points program

Reinforcement of ourglobal risk management
structure
Organizational
GovernanceReinforcement of thecompliance system

Cultivation and promotionof diverse human resources
Human Rights /Labor
Practices

Maintenance or improvement of
an attractive and pleasantworking environment

Environment

Fair Operating
Practices

Environmental impact reductionof products, services andoperational activities(Including achieving the Grouptarget values outlined in Sysmex
Eco-Vision 2020)

Note : Of the mid-term CSR issues, the target scope for reinforcement of our global risk management structure, reinforcement of the compliance system, environmental impact reduction of products,
services and operational activities, and improvement of customer satisfaction is Sysmex Corporation and its Group companies in Japan and overseas. The target scope of other mid-term CSR issues is
Sysmex Corporation and its Group companies in Japan.

- 15 -

Corresponding Categories
and Aspects of G4*2

Fiscal 2015 Results

Progress*1

Fiscal 2016 Plans• Commenced meetings of risk and compliance officials and regular global
meetings○• Evaluate and revised the global risk
management system• Formulated global regulations for managing corporate secrecy• Conducted drills on countermeasures against information leaks• Implemented responses to sunshine laws and transparency guidelines• Completed seismic reinforcement at facilities in domestic reagent factories• Conducted BCP drill and awareness education○• Continue responding to significant
Group risks (information leaks, fairtrade, business continuity)• Through risk assessments, identify andpromote countermeasures for newimportant risks• Improved a complaints management system related to fair trade• Added compliance provisions to agreements with overseas parties○• Expand scope of contract including
compliance provisions• Based on results of fiscal 2014 evaluations by external specialists, draftedand promoted compliance improvement measures at overseas Group
companies○• Draft and implement improvement
measures based on results of fiscal
2015 evaluations by external
specialists• Ratio of female recruits among new graduates : 37.8% at Sysmex Corporation• Ratio of female managers (Director level or above) : 14.3% for the Group, 8.3%
at Sysmex Corporation• Formulated action plan related to the Act to Advance Women’s Success in
Their Working Life
• Held seminars and events of exchange opinions for women to consider
careers and working styles○• Build working environment wheremore women feel satisfied with theirwork and promote their active
participation (conduct trials ofworking-at-home system, introduce
measures to support forconsideration of career plan, etc.)• Employment ratio of foreign nationals : 13.6%○• Continue to recruit non-Japanesehuman resources (maintain fiscal
2015 hiring ratio)• Commenced systematic measures for management enhancement training
and English-language skills training• Continued to conduct overseas training for young and mid-level employees○• Continue implementing programs tocultivate global human resources• Implemented activities to make male employees aware of childcare leavesystem• Expanded internal portal site that introduces welfare and benefit systems
and their procedures• Conducted Corporate Culture Survey of Group employees○• Draft and implement measures basedon results of Corporate Culture
SurveyLabor Practices and Decent Work :Employment• By increasing transportation efficiency, reduced CO2 emissions fromtransportation by 48% (per unit of sales) against base year
• Continued measures during new product development to make
instruments more energy-saving and compact• Continued to augment capabilities to respond remotely and via telephone
to service requests (to reduce amount of service involving vehicle dispatch)○• Continue promoting reductions ingreenhouse gas emissions of
products and services

Environmental : Energy
Environmental : Emissions
Environmental : Products andServices
Environmental : Transport• Through measures to improve productivity, introduce electricity
management system, purchase electric power generated from renewableenergy sources and utilize solar generation, reduced greenhouse gas
emissions by 28% (per unit of sales) against base year
• By revising waste disposal methods, increased waste recycling ratio to 93%• Owing to increase in reagent shipping volumes, volume of water resource use
was 121% (per unit of production) against base year, falling short of target△• Continue reducing energy, waste andwater resource use

Environmental : Energy
Environmental : Water
Environmental : Emissions
Environmental : Effluents and Waste• Conduct business partner survey on
conflict minerals

Environmental : Supplier Environmental
Assessment
Labor Practices and Decent Work :Supplier Assessment for Labor Practices
Human Rights : Supplier Human Rights
Assessment
Society : Supplier Assessment for Impacts
on Society○• Conduct global integrated customer
satisfaction survey in China• Respond based on the results ofcustomer satisfaction surveys
conducted in fiscal 2015

Product Responsibility : Productand Service Labeling○• Continue to conduct corporate
citizenship activities• Increase the number of employee
volunteers by promoting a Social
Contribution Point Program

Society : Local Communities• Performed CSR surveys and conducted evaluations of new business partnercandidates• Increased awareness of CSR procurement at supplier presentation• Conducted global integrated customer satisfaction survey at Japanese andoverseas regional headquarters (except in China)• Continued to conduct local community contribution activities (Sysmex
Forest, opening the Minato Ijinkan, Kobe Marathon sponsorship, blood
donations, community cleanups, etc.)• Rate of employee participation in Social Contribution Point Program was
31%, and program resulted in ¥1.26 million in donations toward healthcare,food and education○

Economic : Indirect Economic Impacts
Social : Anti-corruption

Social : Anti-corruption
Social : Compliance
Social : Grievance Mechanisms for
Impacts on Society

Labor Practices and Decent Work :Employment
Labor Practices and Decent Work :Training and Education
Labor Practices and Decent Work :Diversity and Equal Opportunity*1 “Progress” indicates the state of progress toward fiscal 2015 plans (○ : according to plan;△ : partially not achieved)*2 Fourth Edition of the Global Reporting Initiative (GRI) Sustainability Reporting Guidelines.

- 16 -

Dialogue with Customers
Directors in charge of regional operations conducted opinion
exchanges with customers (Sysmex Corporation)
Conducted survey on degree of customer satisfaction in eachregion (Sysmex Corporation and overseas Group companies ineach region)
Held scientific seminars in each region (Sysmex Corporation and38th Sysmex Scientific Seminaroverseas Group companies in each region)
Ongoing customer training program incorporating customer
feedback in each region (Sysmex Corporation and overseas
Group companies in each region)
Held user group meetings to communicate accurate productknowledge (Sysmex Vietnam, Sysmex Malaysia)- 17 -

Dialogue with Employees
Investigated desire concerning career design, including interestin working overseas or changing jobs through a voluntary
reporting given to all employees, with results made use of in HR
rotation (Sysmex Corporation)
Utilized the Global Communication Center in the city of Ashiya, inJapan, as a place for people of diverse cultures and values tocongregate, break from everyday operations and roles, andTraining underway at the Global
Communication Centerengage in discussion and the expansion of networks (Sysmex
Corporation)
Held briefings and opinion exchange meetings related to thehuman resource development system at various offices (Sysmex
Corporation)
Conducted collective bargaining with the labor union and held
labor–management meetings on topics such as workplaceenvironment improvement (Sysmex Corporation)
Held dialogues with labor unions (Jinan Sysmex, Sysmex Wuxi,
Sysmex Vietnam, Sysmex Thailand, HYPHEN BioMed)
Gathered opinions through employee questionnaires andinterviews (Sysmex Corporation and overseas Group companies
in each region)

Dialogues with Business Partners
Held supplier briefings for business partners in Japan to enhancetheir understanding of CSR procurement (Sysmex Corporation)
Held briefings with business partners related to quality control onparts (Sysmex Corporation)
At briefing on environmental survey of business partners,
conducted explanations regarding RoHS compliance on in vitro
diagnostic (IVD) instruments (Sysmex Corporation)
Conducted meetings with distributors to explain the Sysmex
business plan, among other matters (Sysmex RUS)
Held a business partner meeting (Sysmex Asia Pacific)- 18 -

Supplier briefingDialogue with Shareholders and Investors
Held Ordinary General Meeting and informal meeting withshareholders (Sysmex Corporation)
Held the Technology Presentation for institutional investors andanalysts (Sysmex Corporation)
Held informational meetings for individual investors (Sysmex
Corporation)
Informal meeting with shareholders

Dialogue with Members of the Local Community
Held event for local community interaction at R&D core
Technopark (Sysmex Corporation)
Conducted a preview of the Global Communication Center(Sysmex Corporation)
Participated in math and science education-focused "Science
Fair in Hyogo" event for high school students (Sysmex
Local community interaction event at
Technopark

Corporation)
Engaged in dialogue with community residents through social
contribution activities around the world (Group companies inoverseas regions)- 19 -

Compliance
Information on Funding Provided to Medical Institutions
Japan

Category

Details

2014

Expenses for trials, reports, and surveillance
studies conducted under public regulations
Research anddevelopment(clinical trials for new devices, post-marketing
83,204clinical studies, nonconformity and infection
case reports, post-marketing surveillance
studies, etc.) in addition to those forindependent investigations.

Academic

Expenses for scholarships, general andresearchacademic conference donations, as well as

supportacademic conference co-sponsoring expenses

AmountExpenses for lectures, manuscript writing, and(1,000JPY)

Manuscript
writing fees, etc.

80,689the consignment of services, including
consulting, to provide information regarding the35,172

appropriate use of medical devices and clinicalreagents.

Expensesrelated to
information
provision
Other expense

Expenses for lectures, workshops, andseminars to provide healthcare professionals
with relevant information regarding appropriate

167,400

and safe use of medical devices and clinicalreagents.
Expenses for receptions and social courtesy

Total amount

30,495396,960- 20 -

US

Category
Relevant payments or transfer of value

Research

2014

2015

Number450

444

AmountUS $186,645

US $195,638

Number8

3

AmountUS $194,150

US $27,065

2014

2015

Number365

226

Amount€ 42,856€ 14,367

Number3

4

FranceCategory
Relevant payments or transfer of value
Contracts

Contract amounts are not required under the French Sunshine Act.

Customers
Category

Fiscal 2013

Fiscal 2014

Fiscal 2015

Related Articles

People undergoing

Employeetraining at the Sysmex

Evaluation,

Corporation Monozukuri

709

942

1,031

Treatment, andTraining Center

Human Resource(cumulative)

Developmen

Inquiries received by theSysmex Corporation

97,08595,767

95,929Customer Support Center

After-Sales Support /Scientific Activities

Customer satisfaction
Enhancing Customer

rating with the Sysmex
Corporation Customer

85.3

91.6

Support Center*(%)

93.7

Satisfaction and
Third-Party
Evaluations* Research by Sysmex
Corporation.

- 21 -Customer satisfaction

Enhancing Customer

rating in the UnitedStates*(out of 10 possible

9.1

9.1

Satisfaction and

9.1

Third-Party

points)

Evaluations* Research by Sysmex America

Customer satisfaction
Enhancing Customer

rating in the UnitedStates*(out of 10 possible

8.95

9.18

Satisfaction and9.09

Third-Party

points)

Evaluations* Research by IMVServiceTrack.

Employees (All figures are results for Sysmex Corporation.)
Category
Total
Of which,New-graduate
recruitsmen
Of which,
women
Of which,
non-Japanese
Total
Of which,Mid-career
recruitsmen
Of which,
women
Of which,
non-JapaneseFiscal 2013

Fiscal 2014

Fiscal 2015

68

61

59

43

40

40

Related
ArticlesPromoting
25

21

19

7

12

12

42

69

70

31

47

50

Diversity

Promoting
11

22

20

1

1

1

- 22 -

Diversity

Turnover** Regular employees

Turnoveronly, excluding(people)

29

42

40
−

people who havereached the
mandatory

Turnover (%)

1.4

1.96

1.97

47

47

50

retirement age

Employment of

Number ofpeople withpeopledisabilities

Percentage

1.94

1.86

1.82

Applicants

16

20

25

16

20

25

Reemploymentof workers after
the mandatory
retirement

Peoplereemployed
Percentage
reemployment

Reemployment

Newof personnel

registrants

leaving for

Numberreasons ofreemployedchildcare orPercentage

nursing carereemployment
Contract

Promotion toemployees

regularTemporaryemployees

employees
Total

PromotingDiversity

PromotingDiversity

100

100

100

3

5

6

0

1

1

0

20

17

6

15

17

PromotingDiversity

Employee
Evaluation,
Treatment,

3

4

2

and Human
Resource

9

19- 23 -

19

Development

Work-related
deathsWork-related
injuries

0

0

0

2

3

7

0.41

0.58

1.27

Frequency ofwork-related
Industrial
accidents

injuries

Considering

Severity of

Safety andwork-related

0.00

0.00

0.07

2

20

386

4,895,594.75

5,129,491.25

5,499,593.25

Days granted

45,34847,00049,534Days taken

22,335.5

22,255.5

27,605.5

49.3

47.4

55.7

Women

29

48

39

Men

0

0

0

People taking

Women

31

41

32

childcare leave

Men

1

3

2

Women

51

50

50

Men

0

0

0

Women

2

1

1

Men

1

0

1

Healthinjuries
Total workdays lost
Total actual
number ofworking hours

Paid leave

Percentage ofdays taken
People taking
pre-andpost-maternity
leave

People taking
shorter work
hours forchildcare
People taking
nursing careleave

- 24 -

PromotingDiversityPercentage of
people returning

Women

100

100

100

Men

100

100

100

62

26

77

1,618

1,678

1,742

33

34

33

28

23

28

122,396

157,789

179,000

after childcare
leave

People taking accumulated paid
leave
People on flex-time arrangement
Total during

Children inyear

in-house
daycare centerAt fiscal
year-end

PromotingDiversity

Training
expenditure
Training results*

per employee* From fiscal 2013,(yen)

Evaluation,

Training time

Treatment,

excludes temporary
employees,

per employee

part-time

Employee

10.9

28.2

22.6

(hours)employees andexecutives

Resource
Development

Number oftrainingand Human

12

22

23

29

124

157

6

3

5

programs
Total

Number ofinterns accepted

Of which,
non-Japanese

PromotingDiversity

Note: Some figures have been revised from ones disclosed before, owing to changes in definition.

Category

FiscalFiscalFiscalRelated

2013

2014

2015

Articles

5.3

6.5

8.3

Femalemanagers

Sysmex Corporation (%)(%)

Promoting(Director

Diversity

level orOverall Group (%)

10.6

above)- 25 -

11.6

14.3

Category

Fiscal 2015
Men (%)

59.7

Japan
40.3

temporary employees）

Men (%)

65.0

Regular employees, employees on loan,

Women (%)

35.0

contract employees and executives

Men (%)

55.5

Regular employees, employees on loan,

Women (%)

44.5

contract employees and executives

Men (%)

68.9

Regular employees, employees on loan,

Women (%)

31.1

contract employees and executives

Asia

Men (%)

61.4

Regular employees, employees on loan,

Pacific

Women (%)

38.6

contract employees and executives

Percentage of men
Groupand contract employees (except
Women (%)

Americasand women in the

EMEA*

China

Category

Fiscal 2015
Men

1,993

Regular employees, employees on loan,
and contract employees (except

Japan
Women

1,346

temporary employees）

Men

669

Regular employees, employees on loan,

Women

360

contract employees and executives

Men

1,114

Regular employees, employees on loan,

Women

892

contract employees and executives

Men

339

Regular employees, employees on loan,

Women

153

contract employees and executives

Asia

Men

356

Regular employees, employees on loan,

Pacific

Women

224

contract employees and executives

Americas
Number of the Group
employees

Regular employees, employees on loan,

EMEA*

China

* Europe, the Middle East and Africa

Corporate Citizenship Activities
Category

Fiscal 2015

Expenditures for corporate citizenship activities

Approximately 430,000,000(Sysmex Corporation, yen)

- 26 -

Category

FY2014 - 2015

Donations to the World Cancer Research Fund (Group
Approximately 241,700

companies in EMEA*, euros)* Europe, the Middle East and Africa

Category
Donations to cancer-relatedorganizations (Sysmex
America, US dollars)

RelatedFiscal 2013

Fiscal 2014

Fiscal 2015

Approximately

Approximately

Approximately

100,000

79,00080,000ArticlesActivities toPromote a
Healthy Society

Environmental Conservation Activities (Related articles indicate the scope of range of
calculation.)
Sysmex Group Environmental Action Plan (Sysmex Eco-Vision 2020) Mid-term
Category

Fiscal 2013

Fiscal 2014

Fiscal 2015

CO2 emissions from

Environment

logistics
per unit ofRelated Articles

5.348

4.170

3.794

non-consolidated sales*

Friendliness in
Product and Service
Life Cycles(t-CO2/¥100 million)
Greenhouse gas
emissions at businessoffices per unit of

7.98

7.28

7.26

88.9

90.3

89.0

22.0

21.4

25.9

consolidated sales

Environmentally
Conscious Operation(t-CO2/¥100 million)
Business office recycling
rate (%)
Water use at reagent
factories Units (1,000
m³/1,000 boxes)

Environmentally
Conscious Operation
Environmentally
Conscious Operation* Owing to revisions in the unit of output, CO2 emissions from logistics per unit of non-consolidated sales have been revised fromfigures reported for the preceding fiscal year.

- 27 -

Selection for Global Sustainability Indexes
A growing number of investors are evaluating companies’ sustainability not only from a financial
perspective, but also from the non-financial, environment, society and governance (ESG) perspective,in the aim of responsible investing from a long-term viewpoint. Around the world, a number ofsustainability indexes are used to benchmark responsible investment. Being a highly sustainable
company, Sysmex Corporation has been selected for numerous sustainability indexes.

Dow Jones Sustainability Asia Pacific Index*1 (from fiscal 2012)
FTSE4Good Index*2 (from fiscal 2008)
MSCI Global Sustainability Index*3 (from fiscal 2011)MSCI Global Socially Responsible Indexes*3 (from fiscal 2013)
Ethibel Excellence*4 (from fiscal 2011)
Ethibel Pioneer*5 (from fiscal 2014)
Ethibel Sustainability Index (ESI)*6 (from fiscal 2015)
Global 100 (100 most sustainable companies in the world)*7 (second time in fiscal 2015)*1 The Asia Pacific Index of the Dow Jones Sustainability Indexes, which were developed through collaboration between the S&P
Dow Jones Indices of the United States and Robeco SAM of Switzerland*2 An index developed by FTSE of the United Kingdom.
*3 An index developed by Morgan Stanley Capital International (MSCI) of the United States*4 An index developed by Forum Ethibel, a Belgian non-profit organization*5 An index of particularly excellent companies, from among those selected for inclusion in Ethibel Excellence*6 An index formed of companies included in Ethibel Excellence*7 The 100 Most Sustainable Companies in the World, selected by Corporate Knights of Canada. The selection was announced
during the World Economic Forum, held in Davos, Switzerland.

- 28 -

2016
May

Received the ACE-Award, sponsored by Confirmit (Voice of Customer and Contact
Center divisions) (Sysmex America)

March

Selected as a Great Place to Work (Sysmex Europe)

March

Selected for the Companies That Care Honor Roll* 2016 (Sysmex America)* Companies That Care Honor Roll: A corporate ranking that designates companies that contribute to thewelfare of employees, their families and local community, based on a survey conducted by the Center for
Companies That Care, an NPO.

2015
DecemberReceived an award as a model for formulating a system for Good Distribution Practice(GDP)* in the in vitro diagnostics (IVD) industry that Taiwan’s FDA is moving into law.
* A model for verifying that the quality (effectiveness, safety) of pharmaceuticals that are produced, distributedand stored by manufacturing companies up to customers, as well as for preventing theft and accidents, andensuring against counterfeit drugs and altered products being mixed into the supply route.

NovemberReceived the Japan Investor Relations Association’s 20th IR Grand Prix Award

October

Named by the Securities Analysts Association of Japan for Excellence in Corporate
Disclosure and selected for excellence in disclosure to individual investors

OctoberAt the Kinki Local Commendation for Inventions, received the Encouragement Prize of
the Commissioner of Japan Patent Office for one invention and the Encouragement
Prize for Invention for three inventions- 29 -

Octoberi-Square received the Landscape Community Planning Award in the Design Divisionfrom the city of Kakogawa

OctoberRanked 24th of 454 Companies in the overall Nikkei ranking of "Companies that
Motivate People"

AugustSysmex Annual Report 2014 won the Gold Award in the healthcare (instruments)
category of the 2014 Vision Awards in the United States

July

Selected for HR Asia Best Companies to Work for in Asia 2015 (Sysmex Asia Pacific)

June

Received Fiscal 2015 Hyogo Prefecture Invention Awards for “Hemostasis Analyzer”
and “Working Procedure Display Method and Working Procedure Display System”

May

Received the ACE-Award, sponsored by Confirmit (Sysmex America)

April

Named a Great Place to Work Brazil (Sysmex Brazil)

MarchReceived the Award for Excellence at the 18th Environmental Communication Awards
for the Sysmex Sustainability Report 2014

March

Ranked first in the Toyo Keizai ranking of the top 300 "Excellent Companies for New
Employees"

March

Selected for the "Companies That Care Honor Roll 2015" (Sysmex America)

2014
DecemberReceived an overall rating of 73rd of 538 companies in the NICES ranking by Nikkei
Inc.

October

Received the "Minister of Education, Culture, Sports, Science and Technology
Encouragement Prize for Invention" for one invention and "The Encouragement Prize
for Invention" for three other inventions

OctoberRanked 30th of 439 Companies in the overall Nikkei ranking of "Companies that
Motivate People"

October

Selected by the Securities Analysts Association of Japan for "Excellence in Disclosure
to Individual Investors"

AugustCC-1001 automated hematology analyzer certified under the "3rd Heritage Program ofLegacy Analytical Instruments/Scientific Instruments"

July

Received an award from the city of Kobe for "efforts to promote citizens’ health andcontribute to an improved awareness of nutrition"

June

Received Fiscal 2014 Hyogo Prefecture Invention Awards for the "Direct Nucleic Acid
Amplification Method" and the "Liquid Suction Supervision Method"May

Received the ACE-Award, sponsored by Confirmit (Sysmex America)- 30 -

AprilReceived the Fiscal 2014 Commendation for Science and Technology (Development
Category) by the Minister of Education, Culture, Sports, Science and Technology for
the Development of a Method for Analyzing Formed Elements in Urine

April

Baddhi Factory wins local environmental award (Sysmex India)

March

Selected for the Companies That Care Honor Roll 2014 (Sysmex America)

March

Named a Great Place to Work, ranking 50th out of 100 companies (Sysmex Europe)

2013
DecemberReceived the German Design Award (sponsored by the German Design Council) for
the XN-2000 automated hematology analyzer and XN reagents

NovemberReceived the "Chairman's Prize from the Hyogo Institute of Invention and Innovation"for one invention and "The Encouragement Prize for Invention" for three otherinventions at the Kinki Local Commendation for Invention

November

Selected in the Top Workplaces survey of regional organizations by the Chicago
Tribune (Sysmex America)

October

Selected for excellence in disclosure to individual investors at the Awards for
Excellence in Corporate Disclosure, sponsored by the Securities Analysts Associationof Japan

October

Received the Good Design Award, sponsored by the Japan Institute of Design
Promotion, for the ASTRIM FIT health monitoring analyzer

July

Our online network support service, Sysmex Network Communication Systems(SNCS), received a Grand Prix at the IT Japan Award 2013, sponsored by Nikkei
Computer (published by Nikkei Business Publications, Inc.)

June

Received the Hyogo Prefecture Invention Award for Specimen Analyzers and White
Blood Cell Classification and Counting Method/White Blood Cell Classification andCounting Kit

May

Received the ACE-Award, sponsored by Confirmit (Sysmex America)

April

Received the Fiscal 2013 Commendation for Science and Technology(Development
Category) by the Minister of Education, Culture, Sports, Science and Technology, fordevelopment of the method of classifying and counting particles by automatedhematology analyzer

March

Selected to the Companies That Care Honor Roll 2013 (Sysmex America)

January

Received Germany’s iF Product Design Award for the XN-2000 automated hematology
analyzer and XN reagents- 31 -

2012
NovemberReceived "The Encouragement Prize of the President of Japan Patent Attorneys
Association" for one invention, and "The Encouragement Prize for Invention" for three
inventions at the Kinki Local Commendation for Invention Awards

October

Received commendation at the Securities Analysts Association of Japan Corporate
Disclosure Study Group Awards

October

Selected one of the 2012 Best Places to Work in Healthcare* in recognition of its highlevel of employee satisfaction （Sysmex America）* Best Places to Work in Healthcare: Ranking of companies selected and recognized by employees from thehealthcare industry as good places to work. Based on research by industry publication Modern Healthcare

AugustSysmex 2011 Annual Report awarded a bronze medal in the Healthcare Technology
category of the 26th Annual International ARC Awards (held by MerComm, Inc., of theUnited States)

AugustReceived Healthcare's Hottest Award* in recognition of rapid sales growth (Sysmex
America)* Healthcare's Hottest Award: Healthcare companies with continuous growth that have generated a minimumof $20 million in annual revenue in most recent fiscal year are selected based on research by industry
publication Modern Healthcare

May

Received the award for contribution to industrial development of Hyogo in recognitionof initiatives to the Kobe Chamber of Commerce and contributions invigorating regional
industry

May

Received Hyogo Prefecture Invention Award for "Hematological analyzer samplingprobe cleaning composition and method of using" and "Automated hematology slide
preparation unit"

March

Selected as a Great Place to Work (Sysmex Europe)

March

Selected for Companies That Care Honor Roll 2012 (Sysmex America)

February

Received 2012 Achievement in Customer Excellence Award* for high-quality service(Sysmex America)* A program recognizes outstanding achievement in customer, employee and partner satisfaction byMarketTools, USA.

January

Selected for inclusion in the Global 100 (100 most sustainable companies in the world)- 32 -

2011
December

Selected one of the 2011 Best Places to Work in Healthcare(Sysmex America)

NovemberReceived the Good Design Gold Award 2011 for its highly rated in vitro diagnostic
system employing the Sysmex’s new Silent Design®

AugustReceived Technology Award from the Japan Society of Clinical Chemistry for 'A Novel
CK-MB Activity Assay Kit "L-System CK-MB" Using Anti-human Mitochondrial CK
Antibodies'May

Received the "Invention Award" in the 2011 National Commendation for Invention,sponsored by the Japan Institute of Invention and Innovation, for technologies related
to its white blood cell classification and counting method and associated reagentsMarch

Won the Hyogo Governor's Award in the 3rd Hyogo Manufacturing Technology Awards

March

Selected for Companies That Care Honor Roll 2011 (Sysmex America)

February

Sysmex Technopark R&D Tower received CASBEE Architectural Award (1st City of
Kobe Design Award, CASBEE Category Architectural Award)

January

Received Nikkei Annual Report Award 2010 (presented by Nikkei Inc.) for theattractive layout, design and overall balance of our annual report

2010
NovemberReceived the Director-General of the Patent Office Encouragement Award (1 award)
and Invention Encouragement Award (3 awards) in the Kansai Region Commendation
for Invention

November

The OSNA method received the "Best Ideas in Healthcare 2010*" award (hosted by
Diario Medico) in Spain* From 2002, Diario Medico, the leading medical newspaper publisher in Spain, has selected the best
initiatives, products or projects leading to significant improvements in healthcare. In 2010, out of 506 ideas,
Sysmex's OSNA method received the "Best Ideas in Healthcare 2010" award in the research andpharmacology field

October

Received the Minister of Economy, Trade and Industry Award in the Intellectual
Property Achievement Award
Received the Kobe Environmental Achievement Award

AugustSysmex Annual Report 2009 won the Gold Award in the healthcare category of the2009 Vision Award

July

Honored with the Invention Award in the National Commendation for Invention

April

Received the Hyogo Prefectural Invention Award

March

Selected for Companies That Care Honor Roll 2010 (Sysmex America)- 33 -

February

Our initiative to "turn food waste into compost" recognized as a "Hyogo Biomass eco
Model*" (organized by the Hyogo Prefectural Government)* Recognizing pioneering initiatives in the efficient utilization of biomass in Hyogo Prefecture

2009
October

Our R&D hub, Technopark, received the Encouragement Award of the Urban GreenSpace Award* (organized by the Urban Green Space Development Foundation)* Commends companies that have achieved outstanding results in improving the environment by using trees,
flowers, and other "greenery," thus contributing to the creation of lush urban neighborhoods

September

Our R&D hub, Technopark, received the Promotion Award of the Best of New Offices
award** Commends offices that incorporate originality and ingenuity, are comfortable and functional, stimulatesensitivity, and enhance creativity

September

Received Honorary Award from the Mongolian Health Minister in recognition of ourinvestigation and support for external quality control

April

Selected as one of Daiwa Investor Relations' "580 companies that maintainoutstanding Internet IR Site" for our IR siteMarch

Our IR site received the Gómez IR Site Ranking Excellent Award

March

Selected for Companies That Care Honor Roll 2009 (Sysmex America)

2008
December

Our R&D hub, Technopark, assessed as the first-ever CASBEE* class S (highest class)facility in Kobe City
* Comprehensive Assessment System for Built Environment Efficiency: Assesses buildings in terms of the
global environment, earthquake performance, barrier-free functions, landscape, etc.

NovemberReceived one "Commissioner of the Japan Patent Office Invention Incentive Award"
and three "Invention Incentive Awards" in the 2008 Kinki Local Commendation forInvention (organized by the Japan Institute of Invention and Innovation)

October

Received the "Fiscal 2008 Kobe Men & Women Iki-iki Business Establishment Award"(organized by the Kobe City Government)

March

Our Sustainability Report 2007 received the Encouragement Award given as a part of
the Environmental Communication Awards (organized by the Ministry of theEnvironment of Japan)- 34 -

2007
December

The Sysmex Annual Report received the Special Award in the Nikkei Annual ReportAwards 2007

NovemberReceived a "Shibucho-award (Award from the Branch Director)" and two "Invention
Incentive Awards" in the 2007 Kinki Local Commendation for Invention (organized by
the Japan Institute of Invention and Innovation)

April

Our "reagent technology for measuring immature cells in the blood" received the 2007
Minister of Education, Culture, Sports, Science and Technology Award (organized by
the Ministry of Education, Culture, Sports, Science and Technology of Japan)- 35 -

Pursuing Open and Aboveboard Business Activities
Based on our Group philosophy, the "Sysmex Way," we define our view of compliance as "conducting
business activities not only in compliance with applicable laws and regulations, but also based on
fairness and high ethical standards." In accordance with this definition, we have established a Global
Compliance Code, in which particularly important conformance rules and behavioral guidelines for all
Group executives and employees to abide by are compiled. We set forth a bylaw for revising this code
once every two years, in principle, to respond to changes in our internal and external environments.
Global Compliance Code section "2. To Promote Fair Dealing and Free Competition" serves as a
global code of ethics for marketing. We have also formulated the Sysmex Promotion Code to spell out
our promotion activities in Japan in greater detail and more specifically.
Compliance System- 36 -

Sysmex Global Compliance Code
1. To Ensure Safety of Our Products and Services to Customers
In all of our corporate activities, we will make it a matter of priority to provide our customers with safety
and security.
2. To Promote Fair Dealing and Free Competition
We will deal with our customers and business partners in a just and fair manner and will conducttransactions under appropriate conditions. As regards our relations with other companies in the same lineof business, we will not illegally, dishonestly or unreasonably restrict their business, nor will we engage inthe public defamation of those companies.
3. Fair and Proper Information Disclosure and Exercise of Complete Information Control
Our corporate information, such as our group's financial conditions and business activities, will be
disclosed in a fair, prompt, correct and clear manner in accordance with applicable laws and regulations
and we will exercise strict control over confidential information collected through our business activities so
as not to cause any infringement to the rights of third parties.
4. Implementation of Appropriate Research and Development Activities
When carrying out our research and development, we will protect the dignity and human rights of the trial
subjects and their privacy in the research of genes and other matters, and will comply with applicablelaws and regulations and carry out our research activities in accordance with high ethical standards.
5. To Respect Intellectual Property
We respect both the rights of our own company's intellectual properties and the intellectual properties ofothers. We will not unlawfully acquire or utilize any confidential business information or the proprietary
assets of others.
6. To Maintain International Peace and Safety
We will comply with export- and import-related laws and regulations, and will not be engaged in anytransaction likely to impede maintenance of international peace and safety.
7. To Conduct Proper Accounting and Appropriate Tax Payments
We will always apply the appropriate accounting treatment and recognize tax obligations set forth inapplicable tax laws and accounting regulations and standards.

- 37 -

8. To Respect Human Rights and to Improve Occupational Health and Safety
We will support the Universal Declaration of Human Rights and Core Labour Standards, and respect thefundamental human rights of each person and will not infringe thereon by such acts as discrimination,harassment, etc. We will also comply with applicable laws and regulations, endeavor to improve
occupational health and safety, and will not force any unfair labor practice on the personnel of thecompany.
9. Distinction between Public and Private Matters and No Conflicts of Interest
We will not attempt to gain any personal profit in performance of our duties, and will not make any
unauthorized use of our group's assets, goods and information, nor will we perform such personal actsthat may cause harm to our group's business activities or reputation.
10. To Maintain Sound Relationships with Society
We will comply with applicable laws and regulations related to anti-bribery statutes and comply strictlywith applicable laws when making political donations, if allowed under local law. We will not be intimidated
by antisocial activities, behavior and groups, and will never maintain any relationship with them.
11. To Preserve the Global Environment
We will comply with environment-related laws and regulations, etc. and pay attention to the environment
throughout our business activities based on international standards, etc. for the environment in an
endeavor to preserve and improve the global environment.
Revised May 2014

Third-Party Evaluations of Group Structure to Promote Compliance and Its Operational
Status
We confirm the appropriateness of our compliance-related initiatives and regulations with respect tosocial conditions and various laws and regulations, revising our content as needed. To reinforce ourcompliance promotion structure, in fiscal 2014 we revised our Global Compliance Regulations, which
form the basis for these activities. We also invited outside institutions to evaluate our Group structure
to promote compliance and its operational status.
Based on the results of the evaluation, principal activities in fiscal 2015 were to improve and enhanceinternal reporting systems at overseas Group companies. We plan to continue having these systems
evaluated by external institutions and making improvements.

- 38 -

Establishment of an Internal Reporting System
In principle, we aim to resolve any compliance-related issues within the organization but haveestablished "Campanula Lines" for resolving issues that are difficult to address internally. In the interestof resolving issues at an early stage, "Campanula Lines" allow our employees to seek consultations
and file reports via telephone, postal mail or e-mail through two lines (in-house and external).
Any information received is handled anonymously to protect those providing the information from any
adverse reactions. Also, such internal reporting systems are in place at overseas Group companies. In
fiscal 2015, we fielded 12 consultations from Group companies in Japan. We conducted factual
inquiries for consultations and dealt with each of them appropriately.
"Campanula Lines" Internal Reporting System

Continuously Providing Education on Compliance
Compliance managers are in place at each Group company, and Sysmex provides complianceeducation for all employees. We have produced a Compliance Handbook and distributed a copy toeach Group company employee in Japan to ensure that all employees are thoroughly complianceaware. At Group companies in Japan, in addition to conducting regular compliance education eachyear we set key themes and conduct education at related departments according to these themes. In
fiscal 2015, we conducted training related to the social security and tax number system and ensuringtransparency in relationships with medical institutions. We also produced new video training materials
to promote understanding of the Global Compliance Code, which we used in internal training sessions.

- 39 -

We also conduct compliance education at Group companies overseas, in accordance with conditionsin individual countries. In 2015, we prepared materials in Japanese and English related toanti-competition laws and conducted training at various companies.
Main Compliance Education in Fiscal 2015 (Japan)
Social security and tax number system: Conducted e-learning
Ensuring transparency in relationships with medical institutions: Conducted e-learning related totransparency guidelines
Promoting fair trade: Conducted e-learning related to the Subcontract Law
Global Compliance Code: Conducted induction training for all employees entering the Company
Business execution by temporary employees: Conducted training for division managers and people
providing instruction to temporary employees
Main Compliance Education in Fiscal 2015 (Overseas)
Anti-competition laws, anti-bribery legislation, sunshine laws, general compliance

Holding a Study Session on European Environmental Legislation
An awareness of the laws and regulations in the countries where
our products are sold is an important part of promoting global
compliance.
In June 2015, Sysmex held a study session on environmental
legislation in Europe. More than 80 people attended, including
members of development and procurement divisions. A lecture

Study session underway

covering legal requirements under the RoHS directive and REACH regulations, as well as theCompany’s initiatives, was followed by a question-and-answer session and exchange of opinions about
activities.

- 40 -

Establishing a Security Export Control Structure
Sysmex formulates internal control regulations in this regard, and registers for approval with theregulatory authorities at the Ministry of Economy, Trade and Industry.
Under the Compliance Committee we have established a Security Export Control Committee. Basedon our internal control regulations, this committee strives to reinforce our security export control systemand thoroughly verify the destinations and purposes of our export of commodity and technology.
We conduct workshops and e-learning to raise awareness of security export controls and export
administration regulations in the United States, as well as performing audits to ensure thoroughcontrols. Furthermore, to strengthen the security export control system for the Group as a whole, we
are introducing management systems that link with enterprise resource planning (ERP) systems atregional headquarters overseas in an effort to ensure management thoroughness and increase
efficiency.

Holding the First Global Security Trade Management (STC) Conference
Recent years have seen an increase in the number of opportunities
for Sysmex to export products between its overseas locations,presenting the need to reconfigure our security export control
structure to respond to increasingly complex logistics. To address
this situation, in October 2015 we held the First Global Security
Trade Management (STC) Conference, calling personnel in chargeof and conducting security trade management at headquarters andConference underway

overseas subsidiaries to Hamburg, Germany.
The conference involved exchanging information and discussing initiatives and issues in individual
regions, and each region drafted a plan for improvements going forward. We plan to continue with thisactivity in an effort to ensure that trade management is thorough and efficient.

- 41 -

Conducting Training for People Involved in Classification"Classification" is a basic security trade management process fordetermining whether exported goods and technologies are subject
to legislation under the Export Trade Control Order or the Foreign
Exchange Order. Each year, Sysmex brings together people incharge of these activities and conducts training related toclassification.
Training underway

In the past, we have conducted this training annually, but sessions were held twice in fiscal 2015, inAugust 2015 and January 2016. The training provided explanations about points of caution when using
the classification system newly introduced in fiscal 2015. We identified points to be aware of whenclassifying instruments, reagents and software, and showed examples of mistaken classifications. The
training also included field-specific Q&A aimed at resolving issues in day-to-day classification
operations.

To Respect Intellectual Property
Sysmex accords third-party intellectual property rights the same level of respect as it does its own.
When applying for patents to protect our own intellectual property and responding to third parties'
intellectual property rights, members of the intellectual property, R&D and business planningdepartments conduct and discuss patent reviews for each new product development project. Throughthese activities, we confirm our ability to secure proprietary rights that need to be protected and checkthat we are responding appropriately with respect to third-party intellectual property rights that need tobe respected.

- 42 -

Conducting Appropriate R&D Activities
Being involved in clinical research and development and human genome and genetic analysis
research, Sysmex has adopted the Ethics Regulations on Clinical Research and Development andHuman Genome and Genetic Analysis Research, whose basic policies include respect for humandignity and thorough protection of personal information. Sysmex has also established a Research
Ethics Examination Committee, which includes outside members such as legal and science experts, inorder to review research content. The list of committee members and examination results are disclosed
on our website, thus ensuring transparency.
In relation to animal testing and recombinant genetic testing, we have also set up the Testing Control
Committee to deliberate on whether testing plans satisfy related legislation.

Promoting Compliance with Applicable Laws in Japan and Overseas
Sysmex is striving to prevent corruption based on the 10th principle of the Global Compact, that"Businesses should work against corruption in all its forms, including extortion and bribery."We have prepared a practical guide that covers applicable laws not only in Japan, but also in the
United States, the United Kingdom, China and other major countries, and use this guide in universal
awareness activities. The momentum of efforts to eradicate corruption is gathering pace throughout theworld. Various countries are enacting laws and stepping up enforcement on the prevention of bribery.
Against this backdrop, Sysmex formulated Global Anti-Bribery Regulations in April 2016. These
regulations serve as basic rules for the Group on bribery prevention and apply to all Group companies
in Japan and overseas.

- 43 -

Appropriate Tax Payments and Disclosure
Item 7 of the Global Compliance Code for Sysmex Corporation provides for "conducting properaccounting and appropriate tax payments." Furthermore, in line with the international consensus we
employ OECD guidelines when pricing internal transactions among Group companies overseas.
We disclose Group payments of corporate and other taxes in financial and other reports, as well as thereasons for differences with effective statutory tax rates.

Sysmex Group Compliance Code (Excerpt)
7. To Conduct Proper Accounting and Appropriate Tax Payments
We will always apply the appropriate accounting treatment and recognize tax obligations set forth inapplicable tax laws and accounting regulations and standards.
7-1 Appropriate tax return procedures
We will adhere to tax laws and regulations applicable to jurisdictions both domestic and foreign, following
appropriate and compliant tax return procedures.
7-2 Proper accounting procedures
We will fully comply with tax laws, external accounting standards and internal accounting procedures,
including global, regional and local, related to accounting entries of transactions such as sales andexpenditures. Also, we will maintain accurate and complete records of all slips invoices, receipts, books,
records and other documents material to financial transactions and will not make false or misleading
entries.
7-3 Preparation of fair and transparent financial statements
We will prepare and distribute financial statements that fairly and accurately reflect the financial
performance of the company and fully comply with applicable laws, regulations and accepted accounting
standards, and will not conduct illegal acts such as deliberate the misstatement of accounts.

- 44 -

Introduction
Sysmex, with its Group corporate mission of "Shaping the advancement of healthcare," conducts
business activities with the aim of providing reassurance to its various stakeholders, including
customers. As part of this objective, at every stage of our operations—from research and development
to manufacturing, sales and after-sales support—we are increasing the number of opportunities forcollaboration with medical institutions and medical professionals. We believe that maintaining a strong
sense of ethics as we go about these activities is important in securing broader society’s understandingof us as a company.

Responses in Japan
In 2012, the Japan Association of Clinical Reagents Industries formulated guidelines for ensuring thetransparency of relationships between corporate activities and medical institutions. Concurring with thespirit of these guidelines, Sysmex Corporation and Sysmex International Reagents disclose information
about funding they provide to medical institutions.
Disclosure Method
We disclose relevant information on our website every fiscal year.
Target of DisclosureThis information is based on the "Guidelines on Transparency of Relationships between Corporate
Activities and Medical Institutions" established by the Japan Association of Clinical ReagentsIndustries.

Responses in the US and France
Sunshine Acts have been enacted in the US and France. We report relevant payments or transfers ofvalue to the US and French governments regularly.
Disclosure Method
We disclose relevant information on the US and French governments’ website every year.
*We also disclose it on our web site.

- 45 -

Target of Disclosure
US
Relevant payments or transfers of value to, or research with, the following recipients:- Registered US physicians- Teaching hospitals in the US

FranceRelevant payments or transfers of value to, or agreements with, the following recipients:- Physicians, medical professionals and medical students in France- Health institutions (educational institutions or medical companies) in France- 46 -

Promoting Risk Management by Establishing a Dedicated Committee
To control groupwide risk management activities, Sysmex established a Risk Management Committee,
which is chaired by a risk management officer, the Group's chief executive in charge of risk
management. The risk management officer is a senior executive officer of Sysmex Corporation who, as
chair of the Risk Management Committee, identifies major risks having the potential to significantly
impact the Group's business and consistently observes the results of risk response and monitoring by
individual divisions and affiliated companies.
For everyday risk management, committees other than the Risk Management Committee, as well as
departments and affiliated companies, respond independently to operational risks. We clarify the
responsibilities and roles of the Risk Management Committee for responding to significant risks to theGroup, and have in place a risk management structure for responding to these risks swiftly anddecisively.

Creation of a Structure for Responding Swiftly in Times of Emergency
Sysmex formulates business continuity plans (BCPs) for its manufacturing, procurement and otherfunctions to ensure it can fulfill its corporate responsibilities and supply products and services in astable manner in the event of a disaster or other crisis. We have also created disaster response
regulations and put in place a system to ensure rapid response in times of emergency.
We have introduced at affiliated companies in Japan the safety confirmation tools Sysmex Corporation
employs as a means of emergency communication. Sysmex has installed wireless digital equipment at
Group business offices in Japan, putting in place a system for communicating in the event of acommunication blackout. In fiscal 2015, in preparation for a large-scale earthquake we held safety
confirmation training that assumed an earthquake in the Nankai Trough. We also held groupwide
simulation training and workshops as business continuity training in an effort to enhance BCP
effectiveness.
- 47 -

The groupwide backbone IT system that Sysmex Corporation operates is located at external, disasterresistant data centers. In addition, we created a backup structure so that we can quickly switch to a
backup system in the event that disaster renders our regular system inoperable.

Conducting Ongoing Training to Increase Awareness and Ensure Rules Are Entrenched
Sysmex handles data about its customers, as well as on the entities with which it collaborates on R&D
and other testing. We recognize the importance of upholding information such as this, as well as ofother important corporate secrets, and view the leak of such corporate secrets as an important risk for
the Group. Accordingly, we have in place structures to prevent this risk from materializing.
For this reason, Sysmex Corporation and its affiliated companies in Japan conducts ongoing training
for all employees at the divisional manager level and below to impress upon them the importance ofand increase awareness of information management and entrench our rules on managing corporate
secrecy. In fiscal 2015, we conducted e-learning on managing corporate secrecy. We also performed
e-learning groupwide in Japan with regard to the social security and tax number system.

- 48 -

Involvement with Customers

Involvement with Shareholders

We deliver reassurance to our customers,

Our shareholders can rest assured that we willthrough unmatched quality, advanced

continue to improve the soundness andtechnologies, superior support, and actions thattransparency of our management policies, whileconsistently reflect the viewpoint of our

promoting information disclosure and close

customers. We constantly look out for ourcommunications. We commit ourselves to acustomers' true needs, and seek to generateconsistent yet innovative style of management,

new solutions to satisfy those needs.

in order to achieve sustainable growth andincreased shareholder value.

Involvement with Business Partners

Involvement with Employees

We deliver commitment to our client companies

We honor diversity, respect the individuality ofthrough broad-ranging partnerships. We strive toeach employee, and provide them with a

be a company that can grow in step with our

workplace where they can realize their fulltrade partners, through respect and mutual trust.

potential. We value the spirit of independence
and challenge, provide employees with
opportunities for self-fulfillment and growth, andreward them for their accomplishments.

- 49 -

Core Behaviors
We deliver reassurance to our customers, throughunmatched quality, advanced technologies, superior
support, and actions that consistently reflect the
viewpoint of our customers. We constantly look out forour customers' true needs, and seek to generate new
solutions to satisfy those needs.

Ensuring Quality and Safety

After-Sales Support / Scientific Activities

We have created a global management structure

We help to improve the efficiency of ourand are working to ensure the quality and safety

customers' operations by providing meticulousof our products and services.

after-sales support and disseminating extensive
scientific information.

Stable Supply

Enhancing Customer Satisfaction and
Third-Party Evaluations

In response to growing global needs for testing,
we are reinforcing our structure for supplying

We conduct customer satisfaction surveys andinstruments and reagents.

take to heart the resulting opinions and requests
as we develop and improve products andservices.

Contributing to Resolution of Healthcare
Issues
We contribute to the resolution of a host ofhealthcare issues by using advanced
technologies to create innovating products andservices.

- 50 -

Quality Policy
By shaping the advancement of healthcare, our global business activities
contribute to the creation of a fulfilling and healthy society.

Core behavior
1. We understand our customer's needs, and provide products and solutions that meet or exceed their
expectations.
2. We act based on our customer's viewpoints by realizing that "Quality is customer satisfaction".
3. We seek to reassure our customers by establishing the highest quality assurance standards and using
them to enhance the quality of all aspects of our business.
4. We continually create innovative value for our stakeholders by developing and applying new and unique
technologies and knowledge.
5. We comply with all relevant national or regional regulations and standards to provide safe products.
6. We maintain and continually improve the effectiveness of our quality management system.
7. We establish quality objectives consistent with this quality policy, and measure our performance againstthem.
Revised in May 2007

- 51 -

Building a Global Quality Management System
Sysmex has constructed a system to ensure compliance with laws
and regulations around the world based on its Quality Policy andthe Sysmex Corporation Quality Compliance Policy, and we act
accordingly.
With regard to our quality management system, nearly all Group
companies handling development or manufacturing functions have

Quality education

constructed management systems in line with and obtained
certification under the ISO 9001 or ISO 13485*1 international
standards. Of our 64 Group companies, 31 have received ISO 9001
certification and 19 have obtained ISO 13485 certification. Sysmex
also conducts management reviews and audits of quality activities
at its principal Group companies to confirm that the management
system is operating properly. In addition to quality policy training for

Session in the Global RAQA Meeting

all employees, we conduct specialized quality education targeting specific departments and job types.
In fiscal 2015, we performed training on quality complaint processing. We also conducted training
related to laws and regulations applied in China.
To share quality-related information throughout the Group and reinforce our systems, once a year wehold the Global RAQA (regulatory affairs/quality assurance) Meeting, at which Quality Assurance
Department managers from Sysmex Corporation, regional headquarters in the Americas, EMEA*2,
China and the Asia Pacific regions, and affiliates gather. In fiscal 2015, this meeting took place inJapan in September and was attended by members of the regulatory affairs and quality assurance
departments of our various regional headquarters and overseas affiliated companies. At the meeting,the president spoke on the importance of quality, boosting participants’ awareness on this topic.

*1 Quality management system for the design and manufacture of medical devices*2 Europe, the Middle East, Africa

Reinforcing Structures to Maintain and Improve Product Quality
Used in laboratory testing, Sysmex’s products play a vital role in protecting people’s lives and good
health. Being fully aware of this responsibility, Sysmex is making constant efforts to maintain andimprove product quality by building various systems, not to mention complying with safety standards
around the world at the design and development stages.

- 52 -

In the product development stage, we verify product quality by setting five "quality gates" in theprocess leading up to market launch. Also, when we market products that are manufactured by others,
we verify their quality by conducting periodic audits of the manufacturers and meticulously inspecting
the products. As well as these efforts, in the unlikely event of a defective product we have systems inplace to quickly identify and respond to the problem.
The Sysmex global quality complaint processing system, which was implemented in April 2011, allows
us to gather quality information in a timely way from markets around the world. When we receive
information about a bug or malfunction, we immediately look into the cause and cease distribution of
the product. We also share information globally about bugs and malfunctions, as well as corrective andpreventive actions.

Focusing on Quality Training in the Development Divisions
Of Sysmex’s three business units, the products handled by theICH*1 Business Unit (ICH-BU) are particularly important toadvanced diagnosis and medical judgments about treatment
methods. To continue supplying highly reliable products, Sysmex
ensures that the employees and specifically the engineers in thisbusiness unit undergo thorough quality training.
Group training

As part of our efforts to reinforce the quality management system, in fiscal 2015 we began employing
external consultants to conduct simulated FDA*2 audits at ICH-BU.

*1 An acronym taken from the initial letters of "immunochemistry testing," "clinical chemistry testing" and "hemostasis testing."*2 Acronym for "Food and Drug Administration"

Sharing Customer Feedback on Product Quality and Safety within the Company
At Sysmex, information on product quality and safety is centrally controlled at the Vigilance Division.
This division investigates and analyzes such information from customers, and feeds their analysis
results to relevant customers while also sharing them with design, manufacturing and other related
functions, so that these findings may be applied to quality improvement and product development.

- 53 -

Product Quality and Vigilance Control System

Collection and Repair Information Posted on Our Website
Sysmex posts information about product collection and repair on its website under "Important ProductNotices."Working Aggressively to Stamp out Counterfeit Reagents
To assure accurate testing results, Sysmex asks its customers at healthcare facilities to use Sysmexbranded instruments and reagents together. In recent years, however, reagents disguised as Sysmex
reagents have been found in circulation in some areas. The use of such counterfeit reagents cannot
guarantee the reliability of testing results and, in some cases, can be harmful to patients' health.
Sysmex continuously monitors markets for counterfeit reagents. When they are discovered, we workwith local government institutions and judicial organs to ensure thorough enforcement. We also caution
medical institutions against the use of counterfeit reagents by placing advertisements in newspapers.

- 54 -

Overseas Example (Taiwan): Sysmex Taiwan Receives Award for GDP* Initiatives
In December 2015, Sysmex Taiwan received a prize from the
Taiwan Food and Drug Administration (TFDA) for its exemplary
GDP initiatives.

* Acronym for "good distribution practice." GDP refers to a manufacturer ensuring thequality (efficacy and safety) of medical products from the time they are produced
throughout the distribution and storage phases and until they are delivered tocustomers. GDP also includes the prevention of theft, accidents, and efforts toprevent the introduction into the supply route of counterfeit medications and falsified
products.

- 55 -

Award ceremony

Responding to Inquiries Rapidly and Responsibly
In Japan, Sysmex Corporation maintains a Customer Support Center, where experienced staff
members with expert knowledge cater to customers 24 hours a day, 365 days a year (separate
agreement required). By creating a database containing maintenance histories and the details of pastinquiries from customers to ensure quick reference, the center responds to inquiries and requests bothquickly and carefully.
Requests and other comments received through the support center and other means is gathered by
the Voice of Customer (VOC) Group. After analyzing this information from various angles, it is provided
as feedback to related divisions so it can be utilized in new product development and operational
improvements. We typically earn high marks for our instruments with new functions and equipment
added from VOC.
In fiscal 2015, we received some 12,500 customer comments in the Japanese market.
Inquiries to Customer Support Center

Responding to inquiries at theCustomer Support Center- 56 -

Supporting Customers' Quality Control on a Daily Basis
At hospitals and other healthcare institutions, instrument and reagent precision is controlled to maintainconsistent testing data reliability. In most cases, the condition of instruments and reagents is checkedby comparing the measurement results of materials known as "control blood" with reference values
and results on a daily basis. Sysmex supports quality control by providing control blood. Customer
instruments are connected to the Customer Support Center via our online Sysmex Network
Communication Systems (SNCS). Measured values of control blood sent via the SNCS from customer
instruments are received by the Customer Support Center, which tallies and compares these values
with its other data results on the same instruments, detects signs of abnormalities and returns theanalysis results to the customer. SNCS employs a remote service that enables communication withcustomers. With this system, we can share data processing screens and use Web cameras to confirm
the status of instruments.
This service also helps to prevent trouble by using information from the sensors placed on various
instruments, the number of operations and maintenance periods.

Holding a Global Meeting on After-Sales Support
In November 2015, we held a Global Meeting on After-Sales
Support to share after-sales support issues and perspectives on a
global basis.
The meeting was attended by 32 people responsible for practicaloperations in nine regions, including regional headquarters
overseas. The meeting was divided into a scientific and atechnology session, which served as venues for specialized andlively discussion. At the scientific session, we shared topics fromvarious regions concerning principal products and exchanged
opinions on how to create clinical value across fields. The theme of
the technology session centered on technological materials andtraining content, which are essential for providing higher-quality

Meeting underway

product support. We used a workshop format to discuss ways to produce high-quality materials
efficiently and utilize them throughout the Group. Going forward, we will continue to enhancegroupwide after-sales support quality through close communications beyond regional boundaries.

- 57 -

Utilizing ISO to Increase the Quality of Clinical Testing
In fiscal 2013, Sysmex Corporation obtained ISO/IEC 17025*1 certification for the calibration service it
provides for hematology analyzers. Sysmex provides SNCS*2 and eQAPi*3 external quality control
programs for general testing, hematology, clinical chemistry, immunology and other testing. In thisregard, we are the first organization in Japan to receive the ISO/IEC 17043*4 certification, not only inthe clinical testing field but also across all industries. Sysmex provides customers with high-value
services as an ISO-compliant Calibration Laboratory and Proficiency Testing Provider. Furthermore, in
fiscal 2014 we received ISO 15195 certification—an international certification on requirements forreference measurement laboratories involved in laboratory medicine. On this basis, we will step up ourefforts to further standardize and raise the quality of laboratory testing. (See the section below for
details.)
In fiscal 2015, we calibrated around 650 hematology analyzers according to ISO/IEC 17025, issuingcalibration certificates bearing the certification symbol to guarantee the instruments traceable*5
according to internationally standard measurement methods. We also expanded our ISO/IEC 17043
certification region to include Japan, Europe, Africa, the Middle East and Taiwan as of March 2016. We
plan to continue expanding this area.

*1 ISO/IEC 17025: International standard on general requirements for the competence of testing and calibration laboratories.
*2 SNCS: Refer to the above section entitled "Supporting Customers’ Quality Control on a Daily Basis."*3 eQAPi: A large-scale real-time external quality assessment program. This service involves analyzing the results of measurement
data in real time, which contributes to improving the accuracy of everyday testing.
*4 ISO/IEC 17043: International standard on conformity assessment—general requirements for proficiency testing.
*5 Traceable: Assuming that measuring instrument calibration is conducted on the basis of higher measurement standards, thecalibration history can be traced back clearly to primary standards, which are national and international standards.

The First in Japan to Receive ISO 15195 Certification in the Hematology Field
In March 2015, Sysmex's Scientific Affairs Division received certification under ISO 15195, theinternational standard for "Laboratory medicine—Requirements for reference measurementlaboratories." We were the first in Japan to receive this certification in the hematology field.
In the hematology field, possessing the technological expertise to accurately implement the reference
measurement procedures* of the International Council for Standardization of Hematology (ICSH) andthe Clinical and Laboratory Standards Institute (CLSI) certify traceability.

- 58 -

Receipt of this accreditation provides international recognition of Sysmex's ability to conduct reference
measurement procedures based on ISO-defined standards. Consequently, the certification further
underscores quality assurance in our calibration service for automated hematology analyzers.

* Reference measurement procedures: These measurement procedures certify the least possible deviation of obtained data ininternational comparisons. In several fields, including hematology, traceability systems are based on reference measurement
procedures.

Overseas Example (Europe): Providing Training for Distributors and Employees
Conducting highly precise testing requires an appropriate level oftechnological and scientific knowledge. To foster this expertise,
Sysmex Europe, the regional headquarters for EMEA*, hasestablished the Sysmex Academy to provide training for key
distributors and employees alike. The company has also set up
training centers in various EMEA regions, providing an education
system that offers instruction supervised by the Sysmex Academy.

Training at the Sysmex Academy* EMEA: Europe, the Middle East and Africa

Holding Scientific Seminars for Clinical Professionals
Sysmex keeps clinical professionals updated on scientificinformation by sponsoring seminars and study sessions for doctors
and medical technologists.
In June 2015, venues in Sendai, Tokyo, Kobe and Fukuoka werelinked by satellite relay to hold the 38th Sysmex Scientific Seminar.
Themed on "The Future of Hematopoietic Tumor Diagnosis:

38th Sysmex Scientific Seminar

Whether Morphology Will Survive in the Age of Genomics—Morphology vs. Genomics," the seminar was attended by 1,320 people. Four leading authorities took
the podium to introduce morphological and genomic perspectives. This was the first time for theseminar to employ a debate-oriented approach to an easy-to-understand lecture on leukemia andmalignant lymphoma.

- 59 -

Publishing Scholarly Magazines
We distribute the Sysmex Journal International (Japanese, English and Chinese editions) to medical
institutions and university libraries in more than 100 countries throughout the world, thus keeping many
clinical professionals updated on current clinical medicine and healthcare testing.

Overseas Example (China): Providing Leading-Edge Scientific Information to Healthcare
Professionals
Since 1998, Sysmex has conducted scientific seminars forhealthcare professionals in China, where economic development
and population growth are leading to rapid growth in demand for
healthcare and testing.
On October 31, 2015, we held the 18th Sysmex Scientific Seminarin China in Shanghai, which was attended by approximately 1,300

18th Sysmex Scientific Seminarpeople from throughout China. At the seminar, 16 leading
authorities in their fields from Japan and China disseminated leading-edge information regarding
clinical applications of the HISCL-Series, Sysmex's fully automated immunoassay system, andannounced new information regarding laboratory testing quality and efficiency.

Overseas Example (China): Cooperating with Hospitals on Research into Early Detectionof Infectious Diseases
Sysmex’s HISCL-Series fully automated immunoassay system isused broadly for diagnosing infectious and other diseases andmonitoring their courses of treatment, playing an important role in
the early detection and treatment of disease. In fiscal 2015, Sysmex
Shanghai began working with local hospitals, using the HISCLSeries in joint research toward the early detection of syphilis.

- 60 -HISCL-5000 being used for joint
research

Overseas Example (Asia): Holding a Scientific Seminar in the Philippines
Sysmex holds scientific seminars in various other Asian countries in
addition to China.
In fiscal 2015, Sysmex held a two-day scientific seminar on
September 2 and 3 in Manila, the Philippines. Themed "Expanding
the Possibilities," the seminar was attended by 900 people, withattendees hailing from Singapore, India, Thailand, Vietnam andother countries, as well as the Philippines. As lecturers, in addition

Scientific seminar in Manila, thePhilippines

to people from the Asia Pacific region we invited physicians from Japan, Canada and the United
Kingdom to provide up-to-date information related to hematology, urinalysis, hemostasis andimmunology.

Overseas Example (Myanmar): Cooperating in Activities Aimed at Improving Hemophilia*1
Treatment
Sysmex Asia Pacific is participating in the Twinning Program*2 of theWorld Federation of Hemophilia in the aim of improving hemophilia
treatment in emerging markets. In September 2015, the company
participated in a workshop held in Yangon, Myanmar, using Sysmex
instruments to provide training.
Workshop underway*1 A disorder occurring in people born with insufficiency of a protein that causes blood to clot
*2 This program aims to improve hemophilia care in emerging markets by forming partnerships between hemophilia-relatedorganizations and healthcare facilities in advanced countries and emerging markets, promoting the ongoing accumulation ofknowledge.

- 61 -

Overseas Example (Taiwan): Holding a Seminar to Promote ISO 15189
In October 2015, Sysmex Taiwan held a seminar to promoteaccreditation under the international standard of ISO 15189(Medical laboratories—Particular requirements for quality andcompetence). Taking place at Sysmex Corporation’s Technopark
facility, the seminar provided an opportunity for interaction amongcertified auditors belonging to medical technologist associations
Seminar underway

and certifying bodies in Taiwan and Japan.

Attended by more than 100 people, including 70 from Taiwan, the seminar invited animated discussion
about the current spread of this certification and issues with promoting its further uptake.

Providing Tools to Raise Awareness of Hemophilia
In fiscal 2015, Sysmex Taiwan and Hemophilia Association of
Taiwan cooperated in producing a scientific handbook in traditional
Chinese related to hemophilia and materials that provided aneasy-to-understand explanation of recent trends on the treatment ofhemophilia. The company donated these materials to theassociation and distributed them at events. The company also
donated these materials to 10 hemophilia centers throughout thecountry, where they are being used in awareness activities.

Hemophilia handbook- 62 -

Establishing New Factories and Expanding Facilities to Meet Growing Global Demand
Sysmex works to respond swiftly to changes in global demand for its instruments and consistently
ensure a stable supply of its products. To achieve these goals, we maintain appropriate inventory
levels of each product at each location, ensure that inventories are located near their markets, andcommunicate with local subsidiaries to accurately determine the demand status. We are also building
new factories and expanding existing facilities in preparation for increased demand.
In fiscal 2015, we redesigned production lines to accommodate rising demand for large instruments in
the immunochemistry and hemostasis fields. We will continue revamping and improving productionlines to supply products that meet global demand.

Response in Times of Disaster (BCP)
We are also working from a variety of angles to ensure a stable supply of reagents, including by
maintaining appropriate inventories. In addition, to ensure our ability to respond in times of disaster, weare reinforcing overseas production and striving to disperse risk by diversifying our suppliers of key raw
materials.
In fiscal 2015, we conducted seismic reinforcement work at the Seishin Factory and Ono Factory. At
the Ono Factory, we installed further backup electric power supplies, explosion-proofing equipment andcombustible gas detection systems, and received certification under the Fire Service Act as a location
for handling small amounts of hazardous materials. This certification enables us to expand production
volume to approximately nine times the fiscal 2015 level of 2.4 million boxes, paving the way for further
increases in production stability. At the same time, we conducted a risk assessment on reagent
material procurement.

- 63 -

Expanding Factories and Installing Equipment in Preparation for a Rise in Global Demand
In response to an anticipated increase in global demand forreagents, we expanded the capacity of our reagent factory in
Singapore in fiscal 2014 and in Germany in fiscal 2015. We also
revised production processes at our Seishin Factory to meet an
expected rise in demand for reagents in China, thereby shortening
production lead times.
Enhanced facilities (tanks)

In fiscal 2015, we installed new equipment at our Wuxi Factory in
China. This upgrade doubled the factory’s capacity to produce hemolysis agents and HISCL cleaning
solutions—its principal products. As Chinese market demand in the immunochemistry field is expected
to continue expanding for the foreseeable future, we have designed the factory layout to accommodate
the introduction of additional equipment. This arrangement will allow us to step up production quickly inresponse to demand.

Overseas Example (Germany): Expanding an Environmentally Conscious Reagent
Factory
To meet growing demand in the EMEA*1 region, in fiscal 2015 we expanded our reagent factory inGermany, increasing production capacity to 1.5 times its former level. To reduce energy use and CO2
emissions at the factory, we installed solar panels and an ice thermal storage system*2, a seasonal
thermal storage climate control system that makes use of natural energy.

*1 Europe, the Middle East, Africa*2 With this type of system, ice produced in the ground in winter is used in the summer for cooling. In winter, geothermal water,which is warmer than the ambient air, is used to supply heat.

Reagent factory in Germany- 64 -

Conducting Customer Satisfaction Surveys in Japan and Overseas
Sysmex Corporation conducts surveys of customers who attend its national seminars and exhibitions,asking them to evaluate Sysmex’s sales and service activities.
We also conduct questionnaire surveys related to the Customer Support Center of people who takepart in customer training held by the Solution Center. In fiscal 2015, 222 people responded to thissurvey. Their satisfaction level was 93.7%, up 2.1 percentage points from the preceding year. We areworking to boost customer satisfaction by upgrading our telephone reception system to improve thesharing information.
The opinions and requests are communicated to each division and used for product improvement andother efforts.

Overseas Example (Americas): Improving Customer Satisfaction by Launching an
Educational Support Site
Sysmex America has striven over many years to provide extensive
support to its customers. Evincing its success, the company ranked
top among manufacturers of hematology analyzers in an IMVServiceTrak survey (sponsored by IMV) of customer satisfaction for
16 consecutive years. In addition, in February 2016 Sysmex
launched a new educational support site for healthcare
professionals, providing recent clinical information to aid in patient
diagnosis and treatment.
Educational support site forhealthcare professionals: Clinical
Education for Clinicians- 65 -

Overseas Example (China): Striving to Boost Customer Satisfaction
Sysmex Shanghai conducted a customer satisfaction survey infiscal 2015. To gather comments from as many customers as
possible, in addition to communicating directly with customers thecompany conducted an online survey, attracting opinions from some
1,500 customers. The survey showed that customers gave Sysmex
Shanghai high marks in a number of categories, including
after-sales service, and that customers had additional expectations
and requests in such areas as periodic maintenance. Based on the
results of this survey, the company will work to increase customer
satisfaction levels further going forward.
Sysmex Shanghai call center- 66 -

Helping to Raise the Quality of Testing in Emerging Markets and Developing Countries
Sysmex is working with governments and academic societies in
Asia’s emerging markets and developing countries to provide
external quality control*1, promote the standardization of testing andhelp raise the quality of local healthcare. In fiscal 2015, we signed a
new agreement with Mongolia’s Ministry of Health and Sports to
support activities aimed at creating external quality controls and astandard laboratory*2 to enhance the quality of testing of infectious
diseases in the immunochemistry testing field. We also signed anagreement with Cambodia’s Ministry of Health related to scientificsupport activities.

Signing ceremony with the Mongolian
Ministry of Health and Sports*1 A method under which the same specimens (such as artificially produced blood)are distributed to multiple clinical laboratories, and the measurement results
obtained are analyzed using statistical methods, thereby allowing the precision ofindividual laboratories’ measurement results to be evaluated. The results areprovided as feedback to these laboratories, helping to increase the quality of
testing.

Hospital laboratory supported by
Sysmex South Africa (Zimbabwe)*2 A model clinical laboratory for a region or country that serves a central laboratory role.

In addition, Sysmex South Africa provides training on how to operate laboratories in accordance with
ISO 15189*3 international standard to help ensure the work quality of laboratories in African countries.
In fiscal 2015, the company provided this support to a laboratory in Zimbabwe.

*3 An international standard that defines requirements for quality and competence by medical laboratories- 67 -

Major Support Activities in Asia in Fiscal 2015
Conducted external quality control twice each in the fields of hematology andclinical chemistry

Mongolia

Concluded a new agreement with Mongolia’s Ministry of Health and Sports to
support activities aimed at creating external quality controls and a referencelaboratory in the immunochemistry testing field

ThailandConducted external quality control four times in the hematology field

Philippines

Conducted external quality control once in the hematology field
Provided operational and maintenance support based on international standards
for the Company’s automated hematology analyzers that have been delivered to

Cambodiaa reference laboratory certified by Cambodia’s Ministry of HealthBegan supporting the configuration and operation of an external quality control
scheme in the hematology field
Reported results of a trial survey targeting related officials

Myanmar

Under the approval of Myanmar’s Ministry of Health, performed preparations
leading toward an agreement with the National Health Laboratory to provide
external quality control support

Strengthening Our Lineup of Urinalysis Products
Throughout the world, demand for urinalysis is increasing, as thistype of testing provides a variety of physical information while
placing a relatively small physical and economic burden on
patients. In September 2015, Sysmex launched its
UF-5000/4000/3000 fully automated analyzers of formed elements
in urine. These instruments offer enhanced performance and an
extended range of testing parameters, compared with conventionalmodels. Furthermore, in January 2016 we introduced the UD-10

UD-10 fully automated imaging unit
for formed elements in urine (left)
UF-5000 fully automated analyzer offormed elements in urine (center)
UC-3500 fully automated urine
chemistry analyzer (right)

fully automated imaging unit for formed elements in urine. Through a business alliance with EIKENCHEMICAL CO., LTD., we also began selling the UC-3500 fully automated urine chemistry analyzer (inoverseas markets), the first under our own brand. These products, which employ the modular concept,
can be combined with other instruments to meet diverse urinalysis needs.

- 68 -

Sysmex IMP Lab Begins Offering Lab Assay Service for Research
Sysmex is working to achieve highly functional and efficient assay
services related to genetic testing by concentrating these activities
at the Sysmex IMP lab, located on Kobe’s Port Island.
In April 2016, this lab began offering the Curebest® 95GC Breast
assay service*1, which provides research data to predict recurrenceby analyzing breast cancer tissue. During fiscal 2016, we also plan
to commence the OncoBEAM lab assay service*2 to detect genetic

The Sysmex IMP lab, our base for lab
assay services related to genetic
testingmutations on specific types of cancer by using BEAMing technology
to test minute amounts of cancer-derived DNA in the blood. Going forward, by providing assay services
for research we aim to contribute to personalized medicine, which provides healthcare optimized toindividual patients.

*1 An analysis service for measuring the expression amounts of 95 genes related to breast cancer prognosis*2 An assay service for detecting mutations in target genes for specific types of cancer

Helping to Resolve Healthcare Issues in Developing Countries
To date, Sysmex has created testing technologies and developed
products for HIV, malaria and other diseases in an effort to help
diagnose infectious diseases in emerging markets and developing
countries. In fiscal 2015, Sysmex decided to participate in the GHIT
Fund, which states its vision as “one in which the crushing burdenof infectious disease no longer prevents billions of people in thedeveloping world from seeking the level of prosperity and longevity
now common in the industrialized world,” becoming the only
manufacturer of diagnostic reagents to do so. Going forward, we
aim to continue working to address healthcare issues throughout
the world through our business activities.

- 69 -

GHIT Fund FrameworkAddressing the World’s Three Leading Infectious Diseases
We welcomed Partec into the Sysmex Group in 2013. Partec has astrong presence in research domains and in the market for
detecting infectious diseases such as HIV and malaria. Partec is apioneer in the flow cytometry (FCM) method, in 1968 becoming thefirst company in the world to commercialize research equipment
employing this method. Products developed for emerging markets
and developing countries using these technologies have

Compact and portable instruments totest for infectious diseases

contributed to the treatment and monitoring of HIV/AIDS, one of theworld’s three leading infectious diseases. The company also
provides a fluorescence microscope system that allows testing fortuberculosis and malaria.
Compact and portable, its instruments can be used in environments
where medical treatment facilities are lacking, and the reagents

Deployment of mobile laboratories inareas lacking infrastructure

they use cost only a fraction of those offered by competitors. To provide easy access to testing, thecompany is rolling out mobile laboratories in various regions. Particularly in Africa, Partec accounts fora major share of the market in testing for HIV/AIDS.
Going forward, Sysmex will leverage its global network to increase recognition and adoption of Partec’s
products in Asia and Central and South America as well as Africa. In this manner, we are working tohelp improve healthcare environments in various emerging markets and developing countries.

Receiving Manufacturing and Marketing Approval for a Reagent to Monitor therapeutic
Gains on Chronic Myelogenous Leukemia (CML)
CML is a disease that occurs as a result of chromosomal
abnormalities in the blood cells. Using molecularly targeteddrugs is an effective method of treatment, and treatment
guidelines in Japan and other countries recommend the useof genetic testing* to monitor therapeutic gains. However, inJapan the reagent that has received manufacturing andsales approval from the Ministry of Health, Labour andipsogen BCR-ABL1 Mbcr IS-MMR DX reagent

Welfare for use in genetic testing based on Japan’s guidelines has not been sold.

- 70 -

Sysmex Corporation therefore began working toward the manufacture and sale of a reagent that was
effective for monitoring based on the guidelines. In August 2014, Sysmex became the first organizationin Japan to receive approval to manufacture and market the ipsogen BCR ABL1 Mbcr IS-MMR DX
reagent, and insurance coverage was approved in April 2014. Hereafter we plan to introduce theproduct into the Japanese market.

* The practice guideline on hematopoietic malignancies (2013 edition) created by the Japanese Society of Hematology
recommends using the BC R-ABL1 mRNA test for monitoring accuracy and reporting results according to international standards.

Other New Products and Services (Fiscal 2015)
Launch of three platelet aggregation agonist reagent kits used in testing for thrombotic disease, suchas myocardial and cerebral infarction
Following on from Spain, commencement of liquid biopsy RAS testing (for research) in Germany,
contributing to the selection of optimal methods for treating metastatic colorectal patients
Expansion in the scope of application for LYNOAMP BC, a diagnostic reagent used to detect lymph
node metastasis more quickly than with conventional methods, to non-small cell lung cancer lymph
node metastasis testing- 71 -

Core Behaviors
Our shareholders can rest assured that we will continue
to improve the soundness and transparency of ourmanagement policies, while promoting information
disclosure and close communications. We commit
ourselves to a consistent yet innovative style ofmanagement, in order to achieve sustainable growth andincreased shareholder value.

General Meeting and Informal Meetings for Shareholders
Valuing opportunities for direct dialogue with our shareholders, we
make an effort to encourage the participation of as many
shareholders as possible at the General Meeting of Shareholders.
After the general meeting, we hold informal meetings to promoteinteraction with shareholders. We use panels and images to explain
our R&D topics, equipment supply structure, social contribution

Informal meeting for shareholders

initiatives, sports activities and third-party evaluations of theCompany, and then invite attendees to share their opinions and ask questions.
We accommodate shareholders who are unable to attend on the day by enabling them to exercise theirvoting rights in writing or over the Internet. Furthermore, we contribute to the readability of convocation
and resolution notices. We also prepare English-language versions for overseas shareholders, printcolor convocation notices and post the same information on our corporate website.

- 72 -

Further Enhancing Information Disclosure
We make it a rule to disclose any information that we believe will affect investment decisions in light ofour own standards, as well as to observe applicable laws and regulations concerning securities trading
and the Rules on Timely Disclosure of Corporate Information by the Issuer of Listed Security and theLike established by stock exchanges.
In addition to biannual briefings on financial results (after year-end and after the second quarter),Sysmex holds conference calls following the announcement of business results in the first and third
quarters in an effort to further enhance information disclosure.

Sysmex Wins "IR Grand Prix Award" for the First TimeIn November 2015, for the first time Sysmex won the "IR Grand Prix
Award," the top award in the Annual IR Grand Prix, sponsored by
the Japan Investor Relations Association (JIRA).
JIRA's Annual IR Grand Prix is aimed at furthering theunderstanding of investor relations and selecting for awards thosecompanies that are proactive in their activities and have earnedAward ceremonystrong support from market participants. Companies become
eligible for the IR Grand Prix Award after they have won the Best IRAward twice in the past. In the past, Sysmex has won the IR Award
for Small to Medium Capitalization Companies (fiscal 2004) and theBest IR Award (fiscal 2006 and fiscal 2011). Sysmex was selected
for the current award in recognition of having maintained a highIR Grand Prix Award marklevel of IR over a long period.

We scored particularly well for our high level of management transparency and easy-to-understandexplanations on the status of R&D. Other comments included that top management explains
management strategies and medium-term management plans from an investor perspective andcreates opportunities for dialogue, and that the IR Department strives to disclose easy-to-understandinformation and takes investor feedback into account. The Company also earned high marks for its- 73 -

briefings for individual investors, factory tours, meetings, and the extensiveness of content in briefing
materials and on the website.

Chosen for Excellence in Disclosure to Individual Shareholders for Fourth Consecutive
Year
In fiscal 2015, Sysmex was selected for its excellence in disclosure at the 2015 Awards for Excellencein Corporate Disclosure, sponsored by the Securities Analysts Association of Japan. We were chosen
as the top among the 19 companies in the pharmaceuticals category. We were evaluated highly basedon the management team’s proactive involvement in IR, as well as the meaningful discussions thattake place during briefings and at analyst meetings. We also scored highly in terms of theextensiveness of content for results presentations and supplementary materials, and the useful content
of technology presentations and facility tours.
This also marked the fourth consecutive year the Company has received the distinction for excellencein disclosure to individual investors, ranking first among the 213 companies in all industries evaluatedin this category. With regard to briefings for individual investors, we earned high marks for our video
distribution of the content of presentations and for explanations that are easy to understand andprovided from an individual investor’s perspective. Concerning our website, we were evaluated highlyon having easy-to-understand descriptions of information that individual investors wish to know, as wellas the inclusion of graphs and other materials that show operating performance trends in an easily
understandable manner. Our shareholder newsletter received a strong evaluation for its easy-tounderstand explanations of our mid-term management plan vision and initiatives.

- 74 -

Core Behaviors
We deliver commitment to our client companies throughbroad-ranging partnerships. We strive to be a company
that can grow in step with our trade partners, throughrespect and mutual trust.

Putting in Place a Procurement Policy that Takes CSR into AccountSysmex Corporation has formulated a procurement policy that expresses its basic considerations on
selecting suppliers and conducting procurement transactions, and is promoting its deployment acrossthe value chain. In fiscal 2013, we revised the policy to promote CSR through procurement. We also
added a clause about formulating business continuity plans (BCP) as befits a company that isdeveloping its business globally in the healthcare field, and another on promoting business activities
and CSR in compliance with the laws, regulations and social conventions of host countries.
When confirming our business partners’ CSR activities, we conduct CSR surveys containing such
topics as providing a safe and healthy workplace; prohibiting forced and child labor; eliminating
discrimination due to gender, disability, race or other factors; and preventing bribery of officials in Japanand overseas. At present, we have conducted surveys of approximately 80% of business partners. We
also conducted CSR surveys of 15 new potential business partners and interviewed their managers tocheck the status of their CSR activities. Our people in charge of procurement visited these overseas
business partners to confirm the status of their initiatives in this regard, including the prevention of childlabor and maintaining a safe and clean workplace.
At the same time, in response to the U.K. Modern Slavery Act, Sysmex has publicized its statement on
the Sysmex UK website.

- 75 -

Procurement Policy
In "shaping the advancement of healthcare," the Mission set forth in the Sysmex Way corporate philosophy,
we deliver commitment to our business partners through equitable and fair procurement activities. We also
strive to be a company that can grow in step with our trading partners in a spirit of mutual trust andencouragement. Operating in strict compliance with laws, regulations, and contracts, and adhering to highethical standards, we carry out consistent procurement of components and raw materials that meet the levelsof quality required by healthcare providers. We closely follow these policies in our endeavors to supply
products that customers worldwide can use with confidence. Similarly, we hope that our business partners will
cooperate with us in the following seven areas as we continue to create and enhance unique and creativevalues.

We ask our valued business partners to:
1. Assure quality to the requisite degree for healthcare products
2. Build a system for reliable supply
3. Refine technological capabilities that contribute to the development of healthcare
4. Create stable business foundations and formulate business continuity plans (BCP)
5. Promote business activities and CSR in compliance with the laws, regulations and social conventions ofhost countries
6. Carry out environmental management to help conserve the global natural environment
7. Supply products at reasonable prices and engage in aggressive cost-reduction programs
Revised in March 2014

Reinforcing Relations with Business Partners
We strive to enhance relations with our business partners so we
can conduct business together based on their understanding of ourbusiness directions and procurement policy. In February and March
2016, we conducted supplier briefings for business partners inJapan who supply parts processed to Sysmex specifications for use
in testing instruments. Members of Sysmex's quality control
departments also participated in the briefings, explaining theProcurement policy briefing

standards for provision inherent in the Sysmex Procurement Policy item calling to "assure quality to therequisite degree for healthcare products."
Affiliated companies overseas also created opportunities for communication with their distributors.
Sysmex Russia held a meeting with distributors in November 2015, during which it provided
explanations of Sysmex's Quality Policy and most recent service offerings.
- 76 -Aiming to Improve the Quality of Supplied Parts and Raw Materials
Our ability to provide high-quality products to customers in a stable manner depends on maintaining or
improving the quality of the raw materials and parts we procure. We prepared a Quality Assurance
Agreement that defines the quality requirements in 2009, and after also preparing a handbook to
improve understanding of the content we have since been concluding this agreement with suppliers.
We conduct quality audits without fail on new procurement partners to ensure that quality management
systems are operating appropriately. For existing procurement partners, we inspect products for quality
when they are delivered, conducting quality audits if deemed necessary as a corrective or
precautionary measure.

Business Partner Briefings on Environmental Studies
As the RoHS directive will go into effect for in vitro diagnostic (IVD)
instruments in July 2016, in January 2016 we held three business
partner briefings on environmental studies—once in Tokyo andtwice in Kobe. People from 245 business partners attended thesesessions, where we explained the importance Sysmex places onregulatory initiatives and environmental response, and asked fortheir cooperation in complying with the RoHS directive.

Business partner briefings onenvironmental studies

Conducting Internal Awareness Activities to Ensure Compliance with ProcurementRelated Legislation
We have in place an electronic procurement system (Sysmex Trade Mission, or STM). In addition topreventing the reduction of payments to inappropriate levels, as well as avoiding product returns, eachyear we conduct training on this system.
In fiscal 2015, all members of the Procurement Department underwent training on the Subcontract
Law. For people newly assigned to this department, we also provided training on our procurement
policy, CSR, green procurement and procurement risk. New members of the R&D Department, which isin the position to order R&D materials, also participated in training on points of caution from the time anorder is placed through to acceptance inspection, as well as in relation to the Subcontract Law.
- 77 -

Explaining Policies on Compliance to Distributors
Sysmex rigorously ensures compliance to build sustainable and fruitful partnerships with its
distributors. We prohibit employees from abusing any dominant bargaining position, offering excessive
entertainment, presents or the like when dealing with distributors.
We assign personnel to full-time duty with key distributors, and hold regular meetings to foster mutual
understanding.

- 78 -

Core Behaviors
We honor diversity, respect the individuality of each
employee, and provide them with a workplace where
they can realize their full potential. We value the spirit ofindependence and challenge, provide employees with
opportunities for self-fulfillment and growth, and reward
them for their accomplishments.

Respecting Human Rights

Employee Evaluation, Treatment, andHuman Resource Development

We support the Universal Declaration on Human
Rights and ILO's Core Labour Standards, work

We endeavor to treat employees fairly. Also, weto prevent human rights abuses.

have in place a host of human resource
development programs, providing opportunities
for self-fulfillment and growth.

Promoting Diversity

Respecting Workers' Rights

We strive to ensure and utilize diverse human

Based on the principles of Global Compact andresources. We have child-rearing support and a

ILO's Core Labour Standards, we uphold thevariety of other systems in place to support a

freedom of labor association and recognize thework-life balance for employees.

right to collective bargaining.

Considering Safety and Health
To foster a safe and good working environment,
we have established a Safety and HealthCommittee at each of our offices, conducted by
the employee representatives and the head ofthat office.

- 79 -

Adhering to the Universal Declaration of Human Rights and ILO’s Core Labour Standards
As indicated in "8. To Respect Human Rights and to Improve Occupational Health and Safety" of its
Global Compliance Code, Sysmex has set forth clearly its adherence to the Universal Declaration of
Human Rights and ILO's Core Labour Standards. In addition, we have formulated guidelines describing
particularly important rules and behaviors for compliance with basic respect for human rights.
Specifically, the code clarifies a variety of discriminatory actions that are not tolerated; prohibits sexual
harassment, workplace bullying and other acts that ignore human rights; underscores prohibitions onchild labor and forced or compulsory labor; and seeks to ensure a safe and comfortable workplaceenvironment. We conduct training programs as needed to ensure the code is put into practice.
We have also established regulations and committees aimed at ensuring the human rights of subjects
when engaging in human genome and genetic analysis research and clinical research anddevelopment.

- 80 -

Sysmex Group Compliance Code (Excerpt)
8. To Respect Human Rights and to Improve Occupational Health and Safety
We will support the Universal Declaration of Human Rights and Core Labour Standards, and respect thefundamental human rights of each person and will not infringe thereon by such acts as discrimination,harassment, etc. We will also comply with applicable laws and regulations, endeavor to improve
occupational health and safety, and will not force any unfair labor practice on the personnel of thecompany.
8-1 Prohibition of discrimination and harassments
We must not discriminate with regard to a person's sex, age, nationality, race, origin, belief, religion,social status, lineage, illness or physical disability, nor must we behave in a manner that ignores the
dignity of other people, including such acts as sexual harassment, power harassment, etc.
8-2 Privacy protection
We must acknowledge the diverse values of people as individuals, and must respect privacy of each andevery person. We must not unnecessarily disclose private information we acquire in the course of work
to any other third person and must not seek to obtain private information unnecessarily.
8-3 Elimination of forced labor and child labor
We must not engage in unjust labor practices by detaining someone against his or her will. We must nothire children below the minimum age of employment set forth by applicable laws or regulations.
8-4 Assurance of safety and health at workplaces
We must adhere to laws and regulations related to safety and health practices so that every employee
may work with peace of mind, and must maintain and enhance the mental as well as physical health of
every employee so that a safe and comfortable working environment can be established.

Consultation and Reporting Systems Related to Human Rights
Sysmex has set up "Campanula Lines" as an internal reporting system for Group companies in Japanto enable consultation related to sexual harassment and workplace bullying, among other topics. We
also have internal reporting systems in place at Group companies overseas.
In addition, once each year Sysmex Corporation undertakes an employee survey to check on any
behavior or attitudes that might be construed as workplace bullying or sexual harassment. Survey
results are reported to executive vice presidents and vice presidents, and management training is
conducted on the basis of these results.

- 81 -

Conducting Training to Prevent Human Rights Abuses
Sysmex Corporation strives to prevent human rights abuses by conducting training to prevent
harassment and impart a proper understanding of working. We also strive to prevent human rights
abuses.
In fiscal 2015, we conducted training for newly appointed 110 managers on such topics as harassment,
personnel administration and the Workers Dispatch Act. We also held training for 53 vice presidents
that included previous examples of harassment at the Company.

- 82 -

Equitably Evaluating Personnel Based on Abilities and Accomplishments
Sysmex Corporation values the spirit of independence and challenge, provides employees with
opportunities for self-fulfillment and growth, and rewards them for their accomplishments.
Based on the principle of fair treatment, Sysmex's basic approach toward evaluation is to "reward
employees for capabilities that contribute to the enhancement of corporate value as well as for
producing accomplishments." In addition to evaluating employees for their successes, we evaluate theprocesses leading to employee growth (competency evaluations). To achieve fairness and ensure that
employees understand their evaluations, we show employees their evaluation results and theirsuperiors' comments.

Basic Principles of the Personnel Management System
1. Ensuring long-term employment
Establishing a double-linear-type competence-based rating frame that enables a diversity of
employees to maximize their skills, and providing opportunities for self-realization and growth
2. Promoting the development and cultivation of diverse human resources
Establishing competence-based rating standards and promoting cultivation of human resources andnormalization of career advancement through clarification of promotion criteria
Evaluating not only accomplishments but also the processes of producing achievements (realization
capability) in order to promote human resource development and the reform of corporate culture
3. Rewarding employees for capabilities that contribute to the enhancement of corporate value aswell as for producing accomplishments
Simplifying the relationship between evaluation and reward.
Creating a remuneration structure that is easy for everyone to understand and that rewards employees
in accordance with their contribution, role, competency and accomplishments- 83 -

Supporting Employee Career Design
Sysmex Corporation employs a voluntary reporting system for all employees. Under this system, eachyear we hold hearings for each employee to learn about their medium- to long-term career, overseas
work and job category aspirations. The system affords each employee with the opportunity to consider
their own career directions and life plan, as well as to affect their own skills development andplacement according to the content of their reports.
The fiscal 2015 hearing included reporting by 88.9% of employees.

Promoting and Improving the Treatment of Contract and Temporary Employees
Sysmex Corporation actively hires contract employees and temporary employees as regular personnel.
We have clarified our internal regulations for hiring people working on limited, fixed-term contracts,
offering them fair opportunities for promotion. We put this information on our intranet to encouragethorough understanding of these rules. When renewing temporary employees’ contracts, foremployees that meet certain conditions we notify temporary placement agencies of the possibility of
employing such personnel directly. In addition to these initiatives, we have set up a specialized
helpdesk to make it easy for contract and part-time employees to consult about improvements inbusiness administration, and this information is noted in their contracts. By continuing with such efforts,
in fiscal 2015 19 contract and temporary employees were promoted to full-time positions.
In December 2015, we conducted training for people in charge of divisions and people who give orders
and instructions to temporary employees. This training was aimed at ensuring thorough awareness of
the rules on business execution by temporary employees and matters that are prohibited under theircontracts.
As production volumes have increased, Sysmex’s demand for part-time and contract employees hasgrown. In fiscal 2015, we hired around 150 new part-time employees. Going forward, we will revise oursystems as appropriate to enhance our treatment of employees.

Introducing Internal Awards Systems to Motivate Employees
In fiscal 2011, Sysmex introduced the Group CEO Award system for recognizing individuals,organizations or groups that contribute most significantly to the realization of the Sysmex Way, ourGroup corporate philosophy, sharing these achievements throughout the Company each year. We
provide awards for one individual and one group.

- 84 -

To motivate R&D engineers and heighten awareness of intellectual property, Sysmex Corporation has
also introduced three patent award systems: the Patent Grand Prize/Patent Prize of Distinction, thePatent Meister and the Filing Commemoration Prize. We also present a Quality Award for success inquality improvements.

Overseas Example: Personnel Systems at Regional Headquarters
Our regional headquarters for the Americas, EMEA*, China and Asia Pacific have in place personnel
systems in line with the legal frameworks and cultures of these regions.
In general, we use management by objectives approaches to evaluate personnel. To some degree, we
also employ competency evaluations in the Americas, EMEA* and Asia Pacific. We use talentmanagement education for cultivating personnel and conduct level-based training. In addition, theseheadquarters have in place an employee exchange program with Sysmex Corporation in Japan topromote global personnel intercourse and training.

* EMEA: Europe, the Middle East and Africa

Human Resource Development Based on Four Concepts
Based on its four concepts for human resource development,
Sysmex Corporation operates a training system offering selective,
rank-based and elective training that seeks to nurture personnel ina planned and gradual manner. In fiscal 2015, on average each
employee underwent 22.6 hours of training, and average
per-employee expenditure amounted to ￥179,000*. Furthermore, in
April 2015 Sysmex opened the Global Communication Center in

New employee training

Okuike, Ashiya, Hyogo Prefecture. This new facility aims to serve as a gathering place for people ofdiverse cultures and values, encouraging communication in surroundings that provide a break fromeveryday routines and foster broader networks.

* This figure indicates training provided by the Human Resources Department and excludes certain types of training, such as
self-development and training related to specialized work for divisions.

- 85 -

Four Concepts of Human Resource Development
1. Link training, evaluation and work (show results)
2. Promote globalization of the Sysmex Group
3. Invest in ongoing human resource development
4. Be a company that cultivates human resources and personal growthThree Core Training Systems

Training Type

Objective
Cultivate global leaders

Selective training

Cultivate future management personnel
Acquire the minimum level of understanding and expertise in

Rank-based training

management and issue resolution required at each level
Promote communication between departments

Elective training

Obtain practical expertise, knowledge and skills on business execution(Sysmex College)

Gain various types of business management expertise

Outline of the Global Communication Center

Location :Ashiya, Hyogo Prefecture

Site area :33,399m²

Floor space :2,914m²
Training room, conference room, collaboration

Facilities :space, theater room, lodging facilities,
Global Communication Center(theater room)

cafeteria, etc.

- 86 -

Promoting Global Human Resource Development and Exchange
Sysmex introduced the Global Personnel Exchange Program in
fiscal 2012 to promote mutual exchange between employees inJapan and at Group companies overseas. The program aims tostrengthen ties through deeper mutual understanding.
In fiscal 2015, a total of 22 employees from 13 countries in theAmericas, EMEA*, Asia Pacific, China and Japan regions

Cross-cultural experience training

underwent training under this program in November. Theyexperienced operations at headquarters in Kobe and deepened
relations by participating in operational experiences, seminars anddiscussions, as well as customer visits. In June and December
2015, Japanese employees visited Sysmex America, Sysmex
Canada and Sysmex Europe, fostering mutual understanding
through facility tours, experiencing operations there andInteracting with employees in otherregions through operational
experiences

participating in opinion exchanges.
Through the Global Apprentice Program, we also send young employees to overseas subsidiaries togain on-the-ground experience there.

* EMEA: Europe, the Middle East and Africa

Enhancing the Skills of Employees in Manufacturing Workplaces
Augmenting the technological skills of employees who engage inmanufacturing processes is an important issue. The Monozukuri
Training Center provides hands-on training throughout the year in
the knowledge and skills needed to manufacture Sysmex
instruments.
In fiscal 2015, we revised the center's educational content andincreased the number of hours of education. Also, by sharing

Training at the Monozukuri Training
Centertechnology training content with instrument production groups Sysmex RA and Sysmex Medica, weendeavored to increase the impact of human resource development for employees who perform
manufacturing processes.

- 87 -

Number of Monozukuri Training Center Trainees (Cumulative)

R&D Innovation Activity to Promote the Growth of Researchers
Sysmex Corporation inaugurated the R&D Innovation Activity in
September 2013 to strengthen researchers’ teambuilding andproposal-making capabilities. Started at the Central ResearchLaboratories, since April 2014 the activity has expanded into theTechnology Development Division and other areas.
In March 2016, a results presentation was held as an overall

Presentation of results

review. In addition to activities to enhance teambuilding and proposal-making capabilities, members
reported on their individual changes and development, leading to a spirited exchange of opinions. At
the presentation, members who had made the biggest changes received awards to increase theirmotivation for such activities.

Overseas Example (Germany): Actively Supporting Employees’ Personal Growth
In addition to specialized skill development and personal
development courses for employees, Sysmex Europe has in placelanguage training programs (English and Japanese), and all
employees undergo training on a regular basis.
For example, Sysmex Europe conducts "Sysmex Academy"providing product-related training and "HR Academy" to enhanceTraining underway"soft skills" like team-building, leadership and language proficiency
through face-to-face lectures or e-learning. It also has "On-Boarding Training*" to support employee
growth.
* On-Boarding Training: An internal training method used to help newly hired employees to fit in organization’s environment quickly- 88 -

Overseas Example (France): Conducting Language Training to Enhance Communications
within the GroupAs numerous languages are used throughout Europe, communicating with other regions is an
important task. In addition to English, employees need to be proficient in many countries’ official
languages.
HYPHEN BioMed, a Sysmex Group company in France, brought in English- and French-language
instructors in fiscal 2014 and set up a new language training program. This program divides students
into groups, providing instruction depending on their proficiencies and needs. The courses work toraise language skills through coursework using DVDs and other materials, as well as role plays anddiscussions, and tests are conducted to evaluate progress. A number of students of this programcommented on how it has improved their communications within the Group.

Overseas Example (Asia Pacific): Concentrating on Boosting Employees’ Skills
Sysmex Asia Pacific collaborates with outside institutions to give all employees access to online
training via Sysmex University and has set up a monthly e-learning program. By introducing employee
skill development programs and cross-training to encourage mutual skill-building, the company works
to help its employees develop their capabilities.
Alongside systems such as these, each employee’s plan for individual growth is set and the progress ischecked every year.

- 89 -

Embracing Diverse Personnel through Diversity and Inclusion
Sysmex Corporation has evolved from the practice of "diversity," which simply welcomes diverse
human resources, to the more extensive practice of "diversity and inclusion." This approach involves
creating a working environment that is amenable to a wide variety of human resources, recruiting andstationing them without regard for nationality, race, gender or physical disability.

Aiming to Equalize Employment Opportunities
Sysmex Corporation recruits new employees based the evaluation of individuals, without regard forgender, nationality, race, age, employment history or disability status. Specifically, we instituted
year-round hiring to offer equal opportunities to people who had already graduated or had studied
overseas and therefore might be at a disadvantage.
To ensure our ability to recruit personnel around the world, we conduct Company briefings andinterviews overseas, as well as conducting Web-based briefings and interviews. In fiscal 2015, we
expanded the number of regions from which we accept interns. In autumn 2015, we provided
internship opportunities for approximately 30 students of Zhejiang University in China. (See the section
below for details.) This is an example of our heightened initiatives to increase awareness of theCompany among human resources overseas. Due to such efforts, foreign nationals accounted for
19.7%* of new graduates hired in fiscal 2015.

* Excluding members of the Sysmex Women’s Track & Field Team- 90 -

Overseas Example (China): Accepting Interns from China’s Zhejiang University
In September 2015, we provided internship opportunities for some
30 students from China’s Zhejiang University, who took part in a
program to visit Japanese companies. On the day of acceptance,
we provided the new interns with opportunities to communicate withyoung Sysmex employees and sought to deepen theirunderstanding of the Company’s business and technologies,
encouraging them to think about the future of healthcare as they go

Discussion underway

about their work.
The event was well received by participants and university personnel alike, with more than 90% ofparticipants indicating that they hoped to work with Sysmex after graduation. We plan to continue withactivities like this to promote the employment of diverse human resources.

Promoting Employment of People with Disabilities
Sysmex Corporation encourages the employment of people with disabilities. Targeting long-term
employment, we design working conditions to maximize individuals’ aptitudes and skills. In fiscal 2015,
employment of people with disabilities amounted to 1.82%.
In addition, we are introducing Ostomates (toilets for people who have had colostomies or urostomies)
and other barrier-free facilities, each month a Safety and Health Committee member visits workplaces
to confirm that facilities are easily navigable by wheelchair. These are examples of our ongoing efforts
to create a working environment that is amenable to people with disabilities.

Employing Seniors—System for Reemploying Post- Mandatory Retirement Age Workers
Sysmex Corporation’s mandatory retirement age is 60, but we have in place a system for rehiring untilage 65 people who have retired at the mandatory retirement age and still wish to work. In fiscal 2015,25 people who had reached the mandatory retirement age were rehired according to internal rules, up
from the previous year.

- 91 -

Promoting Women’s Career Activities
One aspect of our efforts to support the success of women is an initiative to cultivate female leaders.
To date, we have put in place a number of leave systems and established an in-house daycare centerto provide support for employees balancing work and child-rearing. As a result of these efforts, thepercentage of female employees at Sysmex Corporation has risen from 18.4% in fiscal 2005 to 32.4%
in fiscal 2015. The percentage of female managers* has also increased over that period, from 2.4% to8.3%. Also, the percentage of female managers for the Sysmex Group as a whole was 14.3% in fiscal
2015.
In line with the April 2016 enforcement of the Act on the Promotion of Women’s Participation andAdvancement in the Workplace, we plan to step up our promotion of women’s career activities,
providing an environment in which diverse human resources can work with a feeling of satisfaction andrealizing a workplace that exemplifies diversity and inclusion.

* "Managers" indicate people who have subordinates or who are of a rank equivalent to those with subordinates.

Sysmex Corporation Action Plan under the Act on the Promotion of Women’s Active Participation
1. Effective Period
April 1, 2016–March 31, 2021
2. Purpose
To achieve the diversity necessary to enable all employees to work with satisfaction and realize
new added value through the establishment of a working environment as illustrated in the Sysmex
Way.
3. Goals
Raise the percentage of women in line management to:
10% or above by the end of FY2017
15% or above by the end of FY2020
4. Specific Measures- Support the development of a career-oriented mindset- Provide education for female leader candidates- Promote diverse and flexible working styles- Offer education on diversity management- Consider the adoption of a working from home system- 92 -

Percentage of Female Managers (Sysmex Corporation)

Percentage of Female Employees (Sysmex Corporation)

Overseas Example (United States): Formulation and Enactment of an Affirmative Action
Program
Sysmex America has designed and put in place an affirmative action program aimed at encouraging
diversity.

- 93 -

Providing a Host of Leave Systems and Supporting Child-Rearing with an In-House
Daycare Center
Sysmex Corporation has created diverse programs to provide
support, from pre-natal to child-rearing. In addition to leave systems
for fertility treatments and morning sickness, we offer child nursing
leave until a child reaches two years of age, a system for shorter
working hours until a child reaches junior high school age and aflex-time system that differs by type of work. When an employee
needs to take time off work to nurse a child, they can do so under aprogram that allows them to use accumulated paid leave in addition

In-house daycare center, Sysmex
Kids Parkto statutory leave.
In line with the growing demand for male employees to participate
in childcare, we are considering a system that would allow men to
take special leave prior to their spouse giving birth, offering two
additional days to be taken within one month of the birth to makeany necessary preparations. Employees are also eligible for

Next-generation support certification
logo (nicknamed "Kurumin")"nurturing leave," under which they can take special leave of threeconsecutive days to care for children up to one year of age.
We have set up Sysmex Kids Park, an in-house daycare center that accepts babies and toddlers, at
Technopark, our core R&D base. The center offers short-term as well as full-time daycare, so that
employees whose spouses work on a part-time basis or who find it difficult to take care of their children
due to caretakers’ illness, bereavement or other circumstances may also temporarily utilize the service.
Furthermore, we provide a reemployment system to enable employees who were forced to suspend
their career paths due to child-raising with opportunities to resume their work. In recognition of its
planned implementation of such systems, Sysmex Corporation received the next-generation support
certification logo (nicknamed "Kurumin") from the Ministry of Health, Labour and Welfare.

- 94 -

Systems Related to Children- 95 -

Use of Principal Support Systems (Fiscal 2015)

SystemDescription

Users

Until a child completes the sixth year of
Shorter work hour system forelementary school

child rearing(Statutory requirement: Until the child

50*1

reaches three years of age)
Leave of absence system(childcare leave, childbearing leave)

Childcare leave: until the child turns two(Statutory requirement: In principle, until the

73*1

child reaches one year of age)
Accumulated paid leave for up to 10 days ofannual paid vacation from previous years
can be taken for child nursing or short-term

Accumulated paid leave system

nursing purposes

77*2(Statutory requirement: Five days per fiscal
year, 10 if two or more children or subject
family members)
System to reemploy people who previously
Reemployment system

left the Company for childcare or nursingrelated reasons

6
enrollment*2

Daycare center provides care for infants andIn-house daycare systemchildren up to entry into elementary school,
which is available for full-time or temporary

28 children*1

childcare.
*1 Regular employees, conrtact employees, senior contract employees and part-time employees at Sysmex Corporation*2 Regular employees at Sysmex Corporation- 96 -

Supporting Nursing Care, Corporate Citizenship Activities and Others
One of Sysmex Corporation’s systems to realize a work-life balance among its employees offers
short-term nursing care leave if seven or more consecutive days are required for the recovery of afamily member undergoing medical consultations or to accompany family during hospital stays. This
time can be deducted from accumulated paid leave. In April 2014, we introduced a unique "income
indemnity system" to provide a nursing care leave stipend, aiming to help offset the loss of income
from taking leave, as well as unexpected expenses, for people taking one month or more of nursing
care leave. Furthermore, we have a system for rehiring employees whose careers have beeninterrupted due to nursing care.
In addition to these, we have introduced a volunteer leave system. This program enables employees
participating in social contribution activities to take up to 10 days of leave in a year, two of which areaccounted for as paid leave. Other programs include donor leave, whereby bone marrow and other
donors receive up to five days of paid leave each time. Through diverse systems of this nature,
Sysmex works to support a work-life balance.

- 97 -

Systems Related to Nursing Care

- 98 -

Supporting a Return to the Workplace Following Leave
In February 2013, Sysmex Corporation introduced a new support system to facilitate the smooth return
to work of employees who have taken childrearing or nursing care leave, and the employee is loaned atablet or notebook PC that he or she can use to connect to the Sysmex email system and intranet.
Three months prior to returning to work the employee on leave can begin viewing "in-house only"
company information. We require employees to consult with their superiors before commencing use ofthis system. This provides an opportunity to communicate about working styles after returning to work
before that time is actually reached.
Being cut off from the workplace can be an obstacle to a later smooth return. However, this set-up
allows the employee to access Company information at home in real-time, and enables better
communications with colleagues through email. This IT-based system helps the employee get throughthe leave period without experiencing the torment of feelings of alienation and loneliness, and also
allows the employee to play an active role at the workplace upon his or her return.

Promoting the Use of Systems that Support a Work-Life Balance
Sysmex Corporation provides a dedicated site on the Internet to provide easy-to-understandexplanations of its programs for supporting a work-life balance. We also hold briefings to promoteawareness. Employees receive individual e-mail notifications about programs that we particularly wish
to encourage.

Efforts to Enhance Employee Satisfaction
We conduct "corporate culture surveys" once every two years targeting all employees of the Sysmex
Group. Employee satisfaction is one aspect of the surveys. Survey results are fed back to individual
departments, where they serve as a basis for enhancing satisfaction levels further. Departments whosesurvey scores are flat receive visits from human resources department members, who offer advice on
improvements. Members of human resources departments conduct interviews at the individual as wellas the departmental level when considering reforms related to corporate culture and specificimprovement measures.
We are also striving to improve the working environment by providing opportunities to hear requests
from foreign employees, whose sensibilities and cultural backgrounds may differ from those ofJapanese employees. Such requests have led to the introduction of vegetarian menu options in thecorporate cafeteria and the translation of in-house bulletins into English. Raising employee satisfaction
is a priority target Sysmex has identified in its Mid-Term CSR Plan. We plan to accelerate suchinitiatives going forward.
- 99 -

Overseas Group companies are also conducting employee satisfaction surveys and undertaking
initiatives to raise satisfaction levels.

Overseas Example (United States): Operating Numerous Systems to Help Manage
Work-Life Balance
Sysmex America caters to diverse working styles by allowing
employees to work at home and provide them with equipment
necessary to do so. Employees who wish to may also opt for
part-time or flex-time working arrangements.
To make everyday work more comfortable, Sysmex America has acasual dress code. The company also has in place a number ofleave programs in addition to paid leave, such as congratulatory

Employees of Sysmex Brazil

and condolence leave, family leave and healthcare leave. If a family member should suddenly fall ill,
employees can receive support from third party making contracts with Sysmex America in order tofacilitate a balance between childcare, nursing care and work.
In recognition of the company’s efforts to provide a comfortable workplace, in fiscal 2015 Sysmex
America was selected for the Companies that Care Honor Roll 2016. Also in the Americas, subsidiary
Sysmex Brazil was named under Great Place to Work Brazil, establishing its reputation as goodcompany to work for.

Overseas Example (Europe): Promoting a Comfortable Working Environment
Sysmex Europe supports various employee working styles, such as flextime
and systems of shortened working hours. The company also provides child-careallowances for working parents with children aged three or younger. It also
concentrates on employee health management by providing a training room andother facilities, and invites sports professionals and dieticians to provide advice.
The company is working to enhance its health management program.

Selected as a "Great
Place to Work" forthree consecutive
years- 100 -

Participating in the Global Compact and Supporting Core Labour Standards
Sysmex is a member of the Global Compact and provides clear notice that it respects the ILO’s Core
Labour Standards of the Global Compliance Code. In addition, we uphold the freedom of association
and recognize the right to collective bargaining.
All full-time employees of Sysmex Corporation, except those holding managerial posts and some inback-office operations, are members of the Sysmex Union, the in-house labor union. In fiscal 2015,
membership accounted for 58.3% of employees. Jinan Sysmex and Sysmex Wuxi in China, Sysmex
Thailand, Sysmex Vietnam and HYPHEN BioMed have also formed labor unions that regularly conduct
collective bargaining and other activities.

Engaging in Dialogue with Labor Unions at Group Companies
Sysmex Corporation engaged in collective bargaining with the Sysmex Union in May 2015, agreeing toraise base salaries through weighted allocations based on evaluations and job grades, as well as toreview job qualifications.
We held eight council meetings between labor and management in fiscal 2015, discussing such topics
as wage optimization, management of working hours, revision of the employees’ pension fund and theenhancement of work satisfaction. Group companies overseas also take part in labor–management
dialogue according to conditions in each region.

- 101 -

Employee Opinions Reflected in Management
Sysmex conducts a Corporate Culture Survey of all Group employees every two years, and weanalyze replies to questions on over 100 categories to gain an understanding of unspoken rules andvalues within the organization, as well as of the degree of effectiveness of various measures. This isuseful in discovering and resolving the issues surrounding the Group.

- 102 -

Explicitly Ensuring Occupational Health and Safety in the Global Compliance Code
Sysmex's Global Compliance Code clearly states the Company's goal of "ensuring occupational healthand safety," and we are conducting a number of activities in this vein.

Sysmex Group Compliance Code (Excerpt)
8-4 Assurance of safety and health at workplaces
We must adhere to laws and regulations related to safety and health practices so that every employee
may work with peace of mind, and must maintain and enhance the mental as well as physical health of
every employee so that a safe and comfortable working environment can be established.

Promoting Cooperation between Executives and Employees on Occupational Safety and
HealthTo ensure the health and safety of its workers, Sysmex Corporation has formulated Safety and HealthRegulations. At each business site, we hold regular meetings of the Safety and Health Committee,
which is chaired by the head of that office, and are attended by employee representatives. Thesemeetings are held in the interest of creating a safe working environment. In addition to examples ofnear misses and occupational accidents, the committee tours workplaces to identify risks and, from arisk management perspective, determine causes and deliberate short- and long-term
countermeasures. Health and safety topics are also discussed at council meetings between labor andmanagement. Also, a system is in place for reporting to the executive officer in charge of humanresources on the number of consultations with industrial physicians and the number of people taking
leave or reporting overwork, thereby ensuring management awareness regarding health and safety
risks and dealing with those risks.

- 103 -

As preparation for an accident or sudden illness, employees are given training on emergency
measures, how to evacuate when an accident occurs and how to handle machinery and raw materials
that are potentially dangerous. We conduct AED training and regular courses to train citizen
emergency response personnel. We also conduct disaster-preparedness training. In fiscal 2015, we
conducted disaster drills at each location, including the newly established Global Communication
Center, and held drills in response to a simulated solvent leak at factories handling organic solvents.
In fiscal 2015, the frequency of work-related injuries was 1.27 (7 injuries, 0 deaths) and the severity
rate was 0.07.
Frequency and Severity of Work-Related Injuries (Sysmex Corporation)

Preventing Overwork
Sysmex Corporation focuses on reducing long working hours, which can impair physical and mental
health. In addition to complying with related legislation, we have in place internal standards for working
outside regular hours or on holidays that are stricter than the guidelines set by the Ministry of Health,Labour and Welfare. Employees who exceed these standards are required to communicate this fact totheir superiors, improve their operations, submit a voluntary check form and, if necessary, meet with anindustrial physician.

- 104 -

Overseas Example (Brazil): Obtaining Certification under OHSAS 18001*
Sysmex Brazil has acquired OHSAS 18001 certification, an international standard for occupational
health and safety management systems.

* OHSAS 18001: This standard, issued in 1999 based on BS 8800, which was, developed by the British Standards Institute (BSI) in
1996, consists of some 30 certification bodies and standardization organizations in various countries.

Overseas Example (China): Making Factory Workplaces Safe and Comfortable
At Sysmex Wuxi, one of two reagent factories in China, we have introduced personnel management
based on OHSAS 18001. We have established a Safety and Health Committee, work to determine thestatus of any work-related injuries and are promoting numerous initiatives, such as operational
improvement and disaster training.
At our other Chinese regent factory, Jinan Sysmex, we have sought to create an environment where
employees can work in safety and comfort by ensuring that the workplace is both safe and clean. For
example, we have mechanized the conveyance of heavy products in the aim of reducing workplace
accidents. We also use natural lighting in workplaces, which has a refreshing effect, to create brightand healthy-feeling spaces. We have expanded our employee welfare facilities, such as the dining halland recreation areas, and made a biotope and walkways that impart a refreshing natural feeling.

Maintaining and Improving Employees' Health
Sysmex Corporation encourages employees to undergo thorough physical examinations and cancer
tests for women, in addition to regular health checkups, for the early detection of illness. As a company
in the business of handling medical instruments, our employees could come into contact withpathogens in the course of their duties. For this reason, in addition to statutory special healthexaminations we conduct our own medical checkups twice each year that include testing for hepatitis B
and C. In December 2015, we registered as a partner company in the Cancer Screening Corporate
Action*1 and Know about Hepatitis*2 projects.
Ahead of amendments to the Industrial Safety and Health Law requiring stress tests, since fiscal 2009
Sysmex employees have undergone annual Kokoro no Health Checks to confirm mental health and to
uncover any harassment-related situations. Results are reported to executives via the Human
Resources Committee and provided as feedback to vice presidents and executive vice presidents.

- 105 -

Through repeated training and other opportunities, such information helps to improve the workplaceenvironment. In fiscal 2015, we expanded the scope of these initiatives to include all Group companies
in Japan. Furthermore, we provide channels for health consultations throughout the Company, andhave in place systems where employees can meet with industrial physicians and public health nurses.
We also have established an employee assistance program (EAP), enabling employees to seek help
easily.
To enhance measures related to mental health care throughout the Group, in fiscal 2015 we formulated
the Kokoro no Health Plan. Based on this plan, we provide support for people in charge of promoting
mental health to obtain related certifications and hold Mental Health Training Workshops for industrial
counselors as necessary.
Should long-term leave become necessary, we provide economic compensation and have introduced asystem to ease employees back into the workplace when they recover, providing an environment
where they can work with confidence. As welfare facilities to encourage health maintenance, on the
grounds of the Solution Center, Sysmex Corporation provides sports grounds and tennis courts, as well
as a gymnasium with training equipment. We hold events and seminars to raise employee awarenessof physical health maintenance, and employee cafeterias offer healthy menu options.

*1 Cancer Screening Corporate Action: This project is undertaken on behalf of the Ministry of Health, Labour and Welfare. The
ministry aims to raise Japan’s cancer screening rate to 50% through workplace initiatives.
*2 Know about Hepatitis: The Ministry of Health, Labour and Welfare campaign aims to encourage early detection and treatment bydisseminating easy-to-understand information about hepatitis and the importance of testing for the hepatitis virus.

Holding Health Events
Sysmex promotes campaigns aimed at heightening employee
awareness of health. In fiscal 2015, we held “wellness fairs” inDecember and February, erecting panel displays and offering
consultations with managerial dieticians. Through these fairs, westrove to provide information about osteoporosis and high bloodpressure.
Wellness fair

In addition to these initiatives, as required we provide employeeswith information on health management, such as making themaware of ways to prevent influenza.

- 106 -

Overseas Example (United States): Placing a Fitness Room That Is Free to Employees
To encourage health awareness, Sysmex America provides afitness room that employees are free to use.
Each year, the company pays health and fitness allowances to help
employees purchase any equipment they may need. Furthermore,
Sysmex America subsidizes health checks and influenza vaccines.
Fitness room

Overseas Example (Europe): Improving Health through Sports
In fiscal 2014, Sysmex Europe opened the Sysmex Gym, fitted out
with various types of sports equipment. The gym offers training invarious sports, including kick-boxing and pilates. To foster aninterest in sports among numerous employees, the gym offers
entry-level training by professional coaches, and specialists provide
massages, creating an environment where gym-goers can enjoy
Sysmex Gym

maintaining their health.

- 107 -

Core Behaviors
As a responsible member of society, we play an activerole in resolving environmental issues and otherproblems that impact our society today.

Policy on Corporate Citizenship Activities

Activities to Promote a Healthy Society

and Philanthropy

Through activities such as participation in a

Sysmex contributes actively to society's healthmedical industry development project, we takeand local communities. We also support thepart in a variety of activities to contribute to thevoluntary efforts of our employees.

advancement of healthcare and the creation of ahealthy society.

Contributing to Local Communities

Promoting Employees' Social
Contribution Activities

Having operations in locations around the world,
Sysmex takes part in numerous activities aimed

We have formulated a Social Contribution Point

to help resolve the issues local communities

Program to encourage employees' active

face.

participation in volunteer activities.

- 108 -

Formulation of a Policy Indicating Our Directions on Corporate Citizenship Activities

Policy on Corporate Citizenship Activities and Philanthropy
Sysmex actively carries out corporate philanthropic activities to promote a healthy society and vibrantcommunity, and also facilitates our employees' personal participation in volunteer efforts.
Contribution to a healthy society
Sysmex actively utilizes its resources in the healthcare field to carry out philanthropic activities andpromote the building of a healthy society.
Cooperation toward a vibrant local community
Sysmex acts as a responsible and socially-conscious corporate citizen by cooperating with the local
community through donations, sponsorships and involvement in philanthropic programs.
Facilitation of employees' volunteer efforts
Sysmex will facilitate employees' participation in volunteer efforts as citizens of the world, members of
Sysmex group that contribute to healthcare in the world, and emphasize community involvement anddevelopment.
Established May 2012

- 109 -

Participation in the Kobe Medical Industry Development Project
The Kobe Medical Industry Development Project aims to create a focal point among healthcare
industries in Kobe through industry–government–academia cooperation.
In March 2014, Sysmex Corporation opened Sysmex IBRI within the Translational ResearchInformatics Center, one of the project’s core facilities. Sysmex IBRI is an open lab that promotes
collaborative research between various medical institutions and companies and aims to further expand
our scope of research.

Contributing to Healthcare by Funding University Courses
Since fiscal 2004, Sysmex has contributed funds to a course of
assessment of clinical testing at the Kobe University Graduate
School of Medicine and promoted joint research on new clinicaltesting technologies. This course is currently collaborating with
Sysmex’s Central Research Laboratories on the development ofhighly precise yet simple diagnosis technologies for determining therisk of cardiovascular disease by evaluating the function of

Activity reporthigh-density lipoproteins. We will continue researching laboratory medicine based on scientificevidence, thereby continuing R&D initiatives aimed at the establishment of new testing technologies
and the commercialization of technologies. At the same time, we will continue with our support for local
universities and other community contributions.

- 110 -

Contributing to Healthcare through Foundations
The Nakatani Foundation of Electronic Measuring Technology Advancement, established to promote
the development of electronic measuring instruments, became a public interest incorporated
foundation in 2012 and changed its name to the Nakatani Foundation for Advancement of Measuring
Technologies in Biomedical Engineering. This foundation provides grants for research and the
Nakatani Award for research in the field of biomedical engineering measurement and related
technologies.
Marking the foundation’s 30th anniversary of establishment, in fiscal 2014 it began offering grants foroverseas study and to promote science education at the junior and senior high school level.
Furthermore, in fiscal 2015 the foundation founded an international exchange program for university
students in the sciences in order to extend its grants to promote science education globally. This
program is scheduled to begin with a Japan–U.S. exchange in summer 2016. From the time of its
launch through fiscal 2015, the foundation has provided 377 grants amounting to a cumulative* ¥950
million.

* The cumulative amount of grant money includes Special Research Grants, which are for two-year.

Participating in the Global Health Innovative Technology FundAt Sysmex, which provides the testing instruments used for blood
donations, employees are also active participants in blood
donations. In fiscal 2015, some 250 employees took part in blood
donations held at 14 offices.
To increase our support for the Japanese Red Cross Society as ahealthcare company, since fiscal 2014 we have been registered asa “blood donation supporting company.”- 111 -

Blood donations (headquarters)

Registering as a Partner to Promote “Cancer Screening Corporate Action”
Sysmex Corporation launched the LC-1000 exfoliative cell analyzer in fiscal
2014, aiming for it to be used in cervical cancer examinations in the future. We
also plan to promote awareness activities aimed at increasing the percentage of
people undergoing cervical cancer examinations.
As part of this effort, we registered with the Cancer Screening Corporate Action
project in fiscal 2015. Overseen and operated by the Ministry of Health, Labourand Welfare, this national project aims to elicit the cooperation of companies
and organizations to raise to 50% the percentage of people in Japan
participating in cancer screening. Registered companies work to increase theCertificate ofregistration for Cancer
Screening Corporate
Actioncancer screening percentage through internal awareness activities and thedissemination of information, and by creating value through their businesses.
Sysmex plans to actively promote education within the Company about cervical cancer examinations.
We will also participate proactively in related events outside the Company. In April 2016, weparticipated in the LOVE49 in KOBE project designating Uterus Day in fiscal 2016. We interacted withhealthcare professionals, local university students and other participants, gaining valuable informationthat would be helpful for our future initiatives.

Conducting a Training Course for Citizen Emergency Life-Saving Technicians
Each year, Sysmex Corporation holds a training course for citizen
emergency life-saving technicians and AED training at Technoparkor the Solution Center. Certified by the fire department and the cityof Kobe First Aid Support Team (FAST), this course is designed totrain people in appropriate responses in the event of illness or
injury.
By encouraging as many people as possible to gain life-saving
knowledge and skills, we contribute to a confident society.

- 112 -

Training course for citizen emergency
life-saving techniciansParticipating in International Cooperation Efforts
Sysmex takes part in international cooperation efforts by Japan’s
Ministry of Foreign Affairs and the Japan International Cooperation
Agency (JICA) by providing materials and instruments (either byextending yen credit or through outright donation) aimed at raising
the level of healthcare in emerging and developing countries.
Every year, Sysmex hosts trainees visiting Japan through JICA

JICA trainees

programs at its research facilities.
In fiscal 2015, we conducted training three times at i-Square and other facilities for participants fromAfrica, Asia Pacific and Central Asia.

Holding an Open Lecture on Atopic Dermatitis
To promote broad awareness among the general public of theimportance of TARC testing, a blood testing method that is effective
in determining the severity of atopic dermatitis, Sysmex Corporation
supported an open public lecture held in Hiroshima in February
2016 entitled “Accurate Knowledge of Atopic Dermatitis: From
Causes to Recent Treatments.” The lecture was sponsored by alocal newspaper and co-hosted by the Hiroshima chapter of theOpen lecture

Japan Organization of Clinical Dermatologists and the Hiroshima Prefectural Medical Association.
A lecturer from the Hiroshima University Graduate School provided a lecture themed “the relationshipbetween atopic dermatitis and sweat,” communicating in an easy-to-understand manner the mostrecent research results related to atopic dermatitis. In addition, a physician at the Osaka Prefectural
Medical Center for Respiratory and Allergic Diseases gave a special lecture entitled “Don’t Be
Confused Any Longer! Accurate Knowledge and Treatment of Atopic Dermatitis.” The lecture attracted
the participation of some 480 patients and family members.
Going forward, in addition to providing highly precise and easy-to-use medical instruments, we willcontribute to society through our business by fostering an understanding of the importance of thetesting.

- 113 -

Producing Illustrated Books to Promote Education and AwarenessWe produce an illustrated book to promote education andawareness of illness and testing. We distribute this book tohospitals and clinics, which place it in waiting rooms and otherlocations. Because the book features easy-to-understandexplanations in narrative form of the characteristics of illnesses, aswell as their testing and treatment, it draws the interest of children
and others who have little knowledge about medicine.

Illustrated books

Making Ongoing Contributions to Organizations That Support Cancer Prevention andResearch (United States and Canada)
To achieve its goal of contributing to a healthy society, Sysmex
America regularly donates to organizations that support cancer
prevention and research. In fiscal 2015, the company donated morethan US$80,000 (approximately ¥9 million)* to the American andCanadian Cancer Societies, the American Heart Association andthe Leukemia & Lymphoma Society. The company’s employees
also actively participated as volunteers in events held by these

Employees participating in a charity
walksocieties.

* Including donations received through fund-raising campaigns. Calculated at the March 31, 2016, exchange rate of US$1 = ¥113.

- 114 -

“Sysmex Against Cancer” Campaign (Europe and Other Regions)
From fiscal 2015 to fiscal 2016, EMEA* employee volunteers have been central to the “Sysmex Against
Cancer” campaign to stamp out the disease. Employees in each region planned and held their own
fundraising events to raise awareness of cancer prevention and raise approximately €241,733 indonations to the World Cancer Research Fund, a non-profit organization that conducts initiatives tosupport research. The donated funds were used for various research projects related to cancer
prevention, the publication of research reports and awareness-building activities.

* Europe, the Middle East and Africa

Collaborating with a College to Cultivate Engineers (China)
China, where testing demand is growing at a rapid pace, faces anurgent need to provide laboratory testing instrument engineers withthe requisite specialized knowledge and technological skills. To
address this need, Sysmex Shanghai and the Shanghai Medical
Instrumentation College (SMIC) together operate a training centerfor engineers. In fiscal 2015, more than 30 people who underwent
training in testing instrument repair and maintenance at this center

Engineers in training

were able to find employment in the healthcare field following graduation.

Providing Free Urinalysis Testing (Philippines)
In the Philippines, the television program Salamat Dok (“Thank you,doctor”) is being broadcast to raise public health awareness.
In cooperation with “The Day of Urine,” an event the program heldin September 2015, Sysmex Philippines provided urinalysis testing
free of charge to some 100 people in collaboration with thePhilippine Association of Medical Technologists.

Employees at Sysmex Philippines,
which provided the testing- 115 -

Blood Donations Overseas (Each Region)
To help resolve medical issues close to home, Sysmex Group companies participate actively in blood
donations. In fiscal 2015, they engaged in the following activities.
Conducting blood donation campaigns (In August 2015, at Sysmex America, Sysmex Reagents
America and Sysmex Inostics)
Holding blood donations to coincide with World Blood Donor Day 2015 (In June 2015, at Sysmex
New Zealand)

Providing Support for Children with Heart Disease (New Zealand)
Each year, Sysmex New Zealand holds an in-house fund-raising campaign to support children withcongenital heart disease.

Participating in Activities to Support Multiple Sclerosis Patients (New Zealand)
Sysmex New Zealand supports fundraising activities by organizations that support multiple sclerosis*
patients and events aimed at raising awareness.

* A disease characterized by diverse symptoms stemming from simultaneous attacks on nerve cells, including in the brain, spinal
cord, optic nerve and nerve cells

Support for Non-profit Organization Building Medical Infrastructure (Kenya)
In fiscal 2010, Sysmex donated hematology analyzers in support ofILFAR, a non-profit organization dedicated to building an HIV/AIDS
treatment infrastructure in Kenya, and Sysmex has continued toprovide support since then. ILFAR provides education about
HIV/AIDS and conducts regular free screening in the area. In
September 2015, the organization provided free screening for morethan 2,700 residents of the village of Pumwani and other area in
Kenya. In fiscal 2015, Sysmex made a donation to ILFAR
corresponding to the screening costs for 1,190 people.

- 116 -

Hematology analyzer donated by
SysmexSponsorship of the Kobe Marathon 2015
Sysmex Corporation has been a special sponsor of this event since
its inception. With a theme of “Thanks and Friendship,” the Kobe
Marathon is meant to express the gratitude of the people of theKobe area to everyone who assisted in the reconstruction of theregion following the Great Hanshin-Awaji Earthquake. For the fifth
marathon, held in November 2015, Sysmex supplied bib numbers
to runners and fielded volunteers who provided operational support.

Employee volunteers handing out
water

Sysmex also exhibited at the Kobe Marathon EXPO.
The economic impact of this event is calculated to be approximately ¥7.5 billion in Hyogo Prefecturealone.

Holding events for communication with local community
Every year, Sysmex Corporation invites community residents to its
offices to strengthen its relationship with the local community. In
May 2015, we opened the gardens at Technopark for an event inwhich some 500 members of the local community joined andstrolled about the grounds. On the day of the event, lectures were
held on such topics as “Easy-to-understand diabetes and testing
information.” Participants also took part in a health check using
ASTRIM FIT, our product for checking estimated blood hemoglobin
levels without sampling. Through activities such as these, wesought to spark interest in healthcare and testing.

- 117 -

Open gardens at Technopark

Coinciding with a regional joint disaster drill in July, at the newly
opened Global Communication Center we held a private preview
showing in which we gave a presentation introducing the Company,
exhibited scientific materials and enabled participants to have
health check by the ASTRIM FIT. Some 70 people attended. At the
Solution Center, as well, in October we held a public exhibition of

Minato Ijinkan

our collection of around 60 paintings by local artist Isao Nishimura,drawing some 140 people.
As in the previous year, in October we opened the Minato Ijinkan to the general public. A historicaledifice constructed in 1906, the structure had become decrepit and was closed to the public in 2008. In
September 2012, Sysmex rented the building, performed renovations and now uses it as a guest
house. In addition to making the building open to the public, we held a photo exhibit introducing thehistory of Kobe and arranged a jazz concert and other enjoyable events. Some 350 people visited. We
plan to open Minato Ijinkan to the public on a regular basis going forward.

Supporting Various Events and Organizations to Stimulate the Local Community andContribute to Cultural Development
Sysmex Corporation supports local development through donations and sponsorship.
For example, Sysmex is a regular sponsor of Kobe Luminarie, an annual illumination event thatoriginated as a memorial for the victims of the 1995 Great Hanshin−Awaji Earthquake and which isheld in the hopes of reconstructing/restoring Kobe and all of Hyogo Prefecture. We also cooperate with
the Kobe Oji Zoo’s Animal Sponsor Program. In addition, we support the following organizations andevents.
Stimulating the Local Community
45th Kobe Festival
Kobe Seaside Bon Odori
88th Hyogo Prefectural Elementary, Junior High and High School Art Show
Fourth Hyogo Concert by the Japan Virtuoso Symphony Orchestra
OthersSupporting Culture-Related Programs
Hyogo Prefectural Museum of Art
Others- 118 -

Others
Global Health Innovative Technology Fund (GHIT Fund)"Global Human Resource Development Community" Japan Public–Private Partnership Student
Study Abroad Program
Japan Association for the United Nations World Food ProgrammeFoundation for Computational Science
Save the Children
Nakatani Foundation for Advancement of Measuring Technologies in Biomedical Engineering
Kobe Biomedical Innovation Cluster
Hiroshige Kagawa Project for Connection with Huge Paintings Tohoku and Kobe 2015
OthersSponsoring Local Sports TeamTo energize local Kobe sports teams, Sysmex Corporation sponsors Vissel Kobe, a Japanese
professional J. League soccer club.
In addition to promoting the local community, through such initiatives Sysmex aims to contribute to ahealthy community through sports.

Overseas Example (Asia Pacific): Conducting Various Activities to Address Problems in
Local Communities
Sysmex Group companies in the Asia Pacific region take part invarious projects to resolve issues faced by the local community. In
fiscal 2015, they engaged in the following efforts in various regions.

The CEO and employees visited a local nursing care home forthe elderly. They enjoyed singing with residents, making photoframes, folding origami and other activities together. (Sysmex
Asia Pacific)- 119 -

Visiting a nursing care home for theelderly (Sysmex Asia Pacific)

Gatherings were held for children with disabilities from nearby
areas. They had evening meals following Ramadan, andprovided music and other performances. (Sysmex Malaysia)

Gathering with children withdisabilities (Sysmex Malaysia)

Overseas Example (United States): Selected for the Companies That Care Honor Roll for
the Eighth Consecutive Year
Sysmex America was selected for the Companies That Care Honor
Roll 2016, sponsored by Companies That Care, a U.S. nonprofit
organization. Every year since 2009, Sysmex America has been
selected for this honor roll, which identifies companies of excellencein a variety of areas, such as cultivating leaders, employeecompensation, extensive welfare, work–life balance, a pleasantworking environment and volunteer activities in the region.

Overseas Example (Germany): Contracting out Some Work to Organizations Supporting
People with Disabilities
Sysmex Europe supports initiatives to promote the autonomy of people with disabilities by outsourcing
activities such as sorting materials at its reagent factory to supporting organizations and welcoming
people with disabilities to work on its production lines.

- 120 -

Providing Support for the Region Affected by the Kumamoto Earthquake
In April 2016, a magnitude 7.3 earthquake hit Kumamoto Prefecture. Since then, large-scale quakes
have continued to affect Kumamoto and Oita prefectures. Through the Japanese Red Cross Society,
Sysmex Corporation has donated ¥10 million to provide relief to people in the stricken area and to aid
in reconstruction of the affected region. Sysmex Group employees also conducted fundraising
activities, donating approximately ¥1.3 million.

Supporting the Education of Youth
Sysmex Corporation cooperates in the Try-yaru Week workplace experience program held for Hyogo
Prefecture junior high school students. We also take part in the Science Fair in Hyogo, an event
participated in by companies, universities and research institutions, at which math and science highschool students in Hyogo Prefecture annually present their research results.
At the 8th Science Fair in Hyogo, held in January 2016, we provided a health check experience thatinvolved ASTRIM FIT, our product that measures estimated hemoglobin levels without the need forblood sampling. We also put up posters explaining our business. The ASTRIM FIT proved popular,
being tried by nearly 200 people.

Hosting Internships and Company Tours
Sysmex Corporation takes a proactive stance toward hosting overseas students. In fiscal 2015, theCompany provided internships for four students from the Indian Institute of Technology and one fromUC Berkeley, in the United States, providing them an opportunity to learn about Sysmex’s unique
technologies.
In April 2015, we decided to take part in the “Global Human Resource Development Community,” apublic–private partnership student study abroad program. Established by the Japan Student Services
Organization, this program elicits cooperation from companies, the Japanese government anduniversities to provide opportunities for motivated and capable young people to study abroad. The
program aims to build momentum for studying abroad and support the formation of networks among
students who have studied abroad.
- 121 -

HYPHEN BioMed, a Sysmex Group company in France, also hosted a company tour for 20 local
students.

Forest Conservation Activities, Clean-up Activities
Sysmex promotes forest conservation in an aim to contribute to local watershed and biodiversity
protection. We also take part in clean-up activities in various regions.

- 122 -

Encourage Employee Volunteer Activities
Sysmex encourages employee volunteer activities by a
Social Contribution Point Program. Under this program,
employees can register points after participating involunteer efforts in private or social contribution activities
held by the Company. The Company then makes(c) UNICEF/NYHQ2014-0987/Campeanu

contributions according to the total number of points
registered by employees every year. In fiscal 2015,
employees participated in cleanup activities, donation of
second-hand books and other activities. As a result, theCompany donated about ¥1.26 million to children indeveloping countries, exceeding the ¥0.97 million
donated in fiscal 2014.
Cleanup activities- 123 -

Core Behaviors
We carry out our business in strict compliance with laws
and regulations, as well as in adherence to high ethicalstandards. As a responsible member of society, we play
an active role in resolving environmental issues andother problems that impact our society today.

Environmental Management Initiatives

Environment Friendliness in Product andService Life Cycles

We have established mid- and long-term targets
based on our environmental policy. We are

We respond to environment-related laws andengaging in initiatives to reduce the Group’s

regulations from the standpoint of product andenvironmental impact as we work to meet these

service life cycles and are pursuing efforts totargets.

reduce environmental impact.

Environmentally Conscious Operation

Other Environmental Conservation
Activities

We work to identify and reduce theenvironmental impact of business offices andWe recognize global environmental issues as afactories, including direct and indirect

serious problem. Accordingly, we conduct

greenhouse gas emissions, waste emissions

environmental preservation activities involving

and water use.

employee volunteers in various regions.

Green Procurement

Performance Data

We have formulated the Green Procurement

We quantitatively identify environmental

Standards and elicit the cooperation of ourperformance data, confirm the effects ofsuppliers in efforts to decrease theactivities linked to reducing environmental

environmental impact of our products.

impact and use this information to set targets.

- 124 -

Environmental Policy
By shaping the advancement of healthcare, our global environmental conservation activities contribute to thecreation of a fulfilling and healthy society.

Core behavior
1. We deliver reassurance to all people by carrying out business activities in an environmentally conscious
manner.
2. We strive to provide eco-friendly products and services while giving careful thought of environmental
issues throughout their life cycles.
3. We strive to conserve energy and resources, reduce wastes, promote recycle and properly control
chemical substances in all business activities.
4. We comply with all applicable national or regional environmental regulations, standards and agreements.
5. We continually improve our environmental conservation activities and work diligently prevent pollution andminimize the impact our products have on the environment.
6. We contribute to society through environmental conservation activities as a member of the community,
while educating and raising the environmental consciousness.
7. We establish environmental objectives and targets consistent with this environmental policy, and measure
our performance against them.
Revised May 2009

- 125 -

Group Environmental Management Initiatives
Sysmex has formulated Global Environmental Management Regulations to clarify the responsibilities
and roles of each Group company. We have assigned a senior managing director of Sysmex
Corporation as an environmental management officer to oversee and control Group environmental
management. The Environmental Management Committee, which is chaired by the environmental
management officer, conducts management reviews and deliberates important matters, including
policies and Group environmental objectives.

Setting Long-Term and Medium-Term Environmental Objectives
To guide the Group’s environmental management over the long term, Sysmex has set long-term
environmental targets to be achieved by fiscal 2020 under the Sysmex Group Environmental Action
Plan (Sysmex Eco-Vision 2020). To achieve these goals, we are working to improve the Group’s
environmental impact on an ongoing basis.
In our environmental action plan, we looked at the social situation, needs and expectations with regard
to climate change, resource circulation and other environmental problems, identified issues to addressby taking into consideration the Company’s environmental impact and scope, and set targets in fiscal
2010 through deliberation by the Environmental Management Committee. Given environmental
changes that have taken place in Japan and overseas, we revised certain of these targets in fiscal
2015. We revised the units for our target on reducing CO2 emissions from Japan-domestic and interregional transportation from “per unit of freight ton-km” to “per unit of non-consolidated sales” to reflect
the effects of improved loading efficiency.
In line with the Group’s updated management strategies, we formulated mid-term environmental
objectives, setting environmental action plan targets to achieve every three years. We are currently
undertaking efforts to achieve the targets of the Mid-Term Environmental Action Plan (Fiscal
2015–2017), concluding in fiscal 2017.

- 126 -

Sysmex Group Environmental Action Plan (Sysmex Eco-Vision 2020)/ Mid-term
Environmental Objectives and Results
SysmexEco-Vision 2020
Long-term

Mid-term
Environmental

Environmental

Objectives

Objectives(FY2015 –2017)

Activities/Achievements in FY2015(Revised Edition)
Completed a declaration of conformance with
the RoHS Directive on target productsContinued working to reduce electricity use
and achieve better compactness in thedevelopment of new immunoassay andhemostasis analyzers
Continued efforts to develop alternatives foranimal-derived substances in reagents for
immunoassay and hemostasis measurement

Promoteeco-friendly

Promoteeco-friendly

products andproducts andservice models

service models

Decreased reagent switching time andachieved reduction in waste
To reduce waste, increased the number of
instrument varieties employing reusable
packaging materials
Increased the percentage of customer

Environmental
consciousness

inquiries and service requests resolved via
telephone and network services (compatibility

in product life
cycle processwith remote connection) (thereby reducing
CO2 emissions by decreasing the number ofvisits made using vehicles)

Reduce carbon
dioxide emissions
for logistics by
50% (per unit of
non-consolidated
sales)*1

Base year: FY2010

Reduce carbon
dioxide emissions
for logistics by
45% (per unit of
non-consolidated
sales)*1

Base year: FY2010

For exports, promoted shift from air to oceantransport
Result (per unit of sales ):Fiscal 2015: 3.794 (t-CO2/¥100 million)
Base year: 7.252 (t-CO2/¥100 million)
Against base year: Down 48%(The rise in emissions was suppressed to a
1% increase, to 5,435 t-CO2, against baseyear amount of 5,400 t-CO2.)- 127 -

Reduced consumption of electricity by
improving production efficiency and installing
an electricity monitoring system (Sysmex
International Reagents)
Reduced consumption of electricity by
ReduceReducegreenhouse gas
emissions atgreenhouse gas
emissions atbusiness offices

business offices

by 50%(per unit of

by 40% (per unit

consolidated
sales)*2of consolidated
sales)*2

Base year: FY2008

Base year: FY2008

installing LED lighting for approximately
one-half of factory lighting. (Sysmex RA)
Reduced CO2 emissions by using solar power(Reagent factory in Germany, i-Square)
Introduced an ice thermal storage system*5, athermal-storage air conditioning system thatuses natural energy, taking advantage ofseasonal differences (Reagent factory inGermany)
Result (per unit of sales ):Fiscal 2015: 7.26 (t-CO2/¥100 million)

Environmental
consciousness

Base year: 10.07 (t-CO2/¥100 million)
Against base year: Down 28%

at businessofficesAchieved 100% recycling by reusing as a roadpaving material the glass waste formerly
Achieve a recycle
rate of 93% or

Achieve a recycle
rate of 92% orhigher at all
business offices*3

higher at all
business offices*3

Reduce water
usage at reagent
factories by 10%(per unit ofamount ofproduction)*4

Reduce water
usage at reagent
factories by 7%(per unit ofBase year: FY2008

Base year: FY2008

amount ofproduction)*4

processed at landfills (Technopark)
Reused packaging material on purchased
items (Sysmex Wuxi)
Result:Fiscal 2015 result: 89.0%
Installed water purifying equipment (Jinan
Sysmex)
Reused industrial waste water after treatment(Sysmex India)
Result (per unit of amount of production)：
Fiscal 2015: 25.9 (m³/thousand boxes)
Base year: 21.5 (m³/thousand boxes)
Against base year: Up 20%*1 Scope of data: Sysmex Corporation*2 Scope of data: All factories and major business offices (13 factories, 7 business offices)[Factories]
Sysmex Corporation (Kakogawa Factory, i-Square), Sysmex International Reagents (Ono Factory, Seishin Factory), Sysmex
Medica, Sysmex RA, Reagent factory in Germany, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia
Pacific, Jinan Sysmex, Sysmex Wuxi
[Major Business Offices]
Sysmex Corporation (head office, Technopark, Solution Center), Sysmex Europe, Sysmex America, Sysmex Shanghai, Sysmex
Asia Pacific- 128 -

*3 Scope of data: All factories and major business offices where products and/or chemical substances are handled (13 factories, 3business offices)[Factories]
Sysmex Corporation (Kakogawa Factory, i-Square), Sysmex International Reagents (Ono Factory, Seishin Factory), Sysmex
Medica, Sysmex RA, Reagent factory in Germany, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia
Pacific, Jinan Sysmex, Sysmex Wuxi
[Major Business Offices]
Sysmex Corporation (head office, Technopark, Solution Center)*4 Scope of data: Reagent factories (nine factories)
Sysmex International Reagents (Ono Factory, Seishin Factory), Reagent factory in Germany, Sysmex Brazil, Sysmex Reagents
America, Sysmex India, Sysmex Asia Pacific, Jinan Sysmex, Sysmex Wuxi
*5 In this system, underground water is frozen using cold ambient winter air. In summer, this ice is used for cooling. In winter,geothermal water that is warmer than ambient temperatures is used for heating.

Conducting Environmental Education and Training
To increase awareness of Group environmental activities and the environmental impact of individual
operations, once each year Sysmex conducts general education for all employees, including methods
such as e-learning.

Promoting the Acquisition of ISO 14001 Certification
Sysmex is working toward the acquisition of ISO 14001, the international standard for environmental
management, for the Group’s principal affiliated companies. As of April 30, 2016, we had acquired 14
certifications (23 locations), and the percentage of employees at locations that had received
certifications amounted to 67% of the total number of Group employees.
In fiscal 2013, we integrated our certifications for ISO 14001 in Japan, adding Sysmex RA and Sysmex
Medica certifications to those for nine locations at Sysmex Corporation and Sysmex International
Reagents. In fiscal 2014, we also added i-Square, our newly operational factory. By centralizing theenvironmental activities of Group companies in Japan and seeing the state of progress and issues as aGroup, we aim to enhance our management.

- 129 -

Status of ISO 14001 Certification

Company Name
Sysmex Europe

Site
Reagent factory in Germany

November 1999

Head office

October 2011

Kakogawa Factory

Sysmex Corporation

Sysmex International Reagents

Acquired in

April 2000

Technopark

February 2002

Head officeFebruary 2002

Solution Center

November 2005

i-SquareFebruary 2015

Ono Factory

March 2001

Seishin Factory

June 2007

Sysmex Medica-

March 2001

Sysmex RA-

June 2008

Sysmex Brazil-

May 2006

Sysmex America-

December 2009

Sysmex Reagents America-

December 2009

Sysmex New Zealand-

May 2011

Sysmex Deutschland-

October 2011

Sysmex France-

February 2012

Sysmex India-

March 2012

Sysmex Asia PacificHead office, reagent factory

April 2012

Sysmex Spain-

April 2012

Sysmex Middle East-

March 2013

Sysmex Wuxi-

June 2013

Performing Environmental Risk Assessments
Within its risk management structure, Sysmex conducts risks assessments once every two years. As
part of these efforts, we evaluate the impact of business activities on environmental problems, which
are growing more severe on a global scale. We also endeavor to reduce risks and create business
opportunities.

- 130 -

Conducting Environmental Auditing
In fiscal 2015, nine locations of the four Group companies for which certification in Japan has been
integrated conducted evaluation of compliance, internal audits and external audits by a third-party
auditing organization.
The internal audit found two nonconformities, and corrective actions for these nonconformities werecompleted. External audits found no nonconformities.

- 131 -

Response to Laws and Regulations on Harmful Substances
Application of the revised RoHS Directive* (which was amended in July 2011) to Sysmex's diagnostic
instruments and diagnostic instruments for animals begins from July 2016.
To conform with the revised RoHS Directive, we have completed the process of conducting parts
surveys and shifting to alternatives on products shipped to Europe. Accordingly, we have declared ourconformance with the revised RoHS directive from fiscal 2015.

* RoHS Directive: A directive prohibiting the use of hazardous substances in electrical and electronic devices sold in the European
Union. This directive calls for the cessation of use of heavy metals (lead, cadmium, mercury and hexavalent chromium) andspecified bromine containing flame retardants (PBB and PBDE).

Environment-Friendliness in Product Design
To help reduce energy consumption and waste for its customers, Sysmex undertakes technologicaldevelopments aimed at reducing electricity used by its IVD instruments and lowering the amount ofreagents used.
For example, our XN-Series multiparameter automated hematology analyzer was designed to use
concentrated reagents. This concentration makes reagents more compact and reduces the volume ofcontainers and packaging materials, which helps save resources and greatly decreases the amount ofwaste generated by laboratories. Also, this series is more lightweight and compact than conventional
products, which improves transport efficiency, contributing to a reduction in CO2 emissions over the
product’s life cycle. We have changed the material used in reagent packaging from polyethylene topaper packs, helping to preserve fossil fuels.

- 132 -

In addition, for our UF-5000/4000/3000 fully automated analyzers of formed elements in urine,
launched in September 2015, we switched to more environment-friendly and safer reagents thateliminate the need for processing waste liquid with neutralizing agents.
XN-Series Reagents Concentrated 25 Times Compared with Conventional Reagents

Environmental Consideration in the Production of Raw Materials
Sysmex has established a production method using recombinantsilkworms as an alternative to the use of animal-derived proteins in
its reagents. Our protein production contracting service businessusing this technology has also been fully operational since fiscal
2012, and we are already taking orders from a number ofpharmaceutical companies.
In the past, to maintain sterile condition these substances were
cultivated with equipment such as tanks to control for

Silkworms to produce proteinsenvironmental factors, including temperature and oxygen concentrations, using cells from mammals
and other animals—an approach that consumed substantial energy. However, as recombinantsilkworms can be cultivated at room temperature, simply by using shelves and breeding containers andproviding them with food, we anticipate energy savings and waste reduction.

- 133 -

Reducing Environmental Impact Associated with Human Transport through Better Service
Efficiency
Sysmex is lowering environmental impact by making service more efficient. For example, in addition to
expanding the functions of the Customer Support Center, we are minimizing downtime for diagnostic
instruments in use by constructing the SNCS (Sysmex Network Communication Systems) to maintaininteractive communication with customers.
We are using network and telephone services to offer advice and resolve issues in response toinquiries and service requests. Providing pre-diagnoses of instrument conditions enables Sysmex
representatives to make customer visits that are regular and effective, reduce rates of automobile use
for service and curtail CO2 emissions.

Efforts to Lower CO2 Emissions in Japan-Domestic and Inter-Regional Transportation of
Products
As Sysmex’s global business continues to expand, it is reviewing its
logistics processes and systems as distribution grows increasingly
diverse and moving forward with packaging reforms. Such measures
include shifting the overseas shipment of products from air to sea
transport, optimizing product package sizes, conducting thoroughloading simulations to increase container loading efficiency andworking to reduce CO2 emissions. In fiscal 2015, we shifted ourmode of shipping immunochemistry reagents to China from aircraft
to ship, using reefer containers*1.

Reefer container

We have also introduced reusable packaging that can be reused repeatedly and enhanced loading
simulations. These moves have succeeded in improving our container loading ratio to 71%, from 52%
in fiscal 2013, thereby reducing transportation frequency.
Through initiatives such as these, we have reduced CO2 emissions (per unit of sales)*2 by 48%
compared with fiscal 2010, moving toward the figure targeted in Eco-Vision 2020.

*1 A container with equipment to maintain its internal temperature at a specified level*2 In line with a revision in our base unit for CO2 emissions (per unit of sales) for logistics, some of the figures reported for last
fiscal year have been adjusted.

- 134 -

CO2 emissions from logistics

Notes: Range of calculation is CO2 from warehouse in Japan to customers within
Japan and that to overseas seaport or airport.

Saving Resources by Revising Packaging Materials
Sysmex is revising its packaging materials in an effort to save resources. For
example, we have introduced reusable packaging for shipments within Japan,
reducing cardboard waste by 20 tons per year. In fiscal 2015, we began using
reusable packaging for six new instrument categories.
In addition, for the steel materials introduced for shipping products overseas, wehave increased transport strength and encouraged recycling at delivery locations,
helping to reduce environmental impact.

Cooperating with Business Partners to Promote Environmentally Conscious Procurement
Sysmex has formulated green procurement standards, and works with business partners to promote
environmentally conscious procurement. Furthermore, we aim to procure environmentally conscious
parts and materials, and publish on our website the chemical substances we are reducing or
eliminating the use of in our products.

- 135 -

Efforts to Reduce Greenhouse Gas Emissions at Business Offices
We are undertaking a variety of efforts to reduce direct and indirect
greenhouse gas emissions by business offices during theiroperations.
At our business offices including factories, we are implementing
energy-saving measures to meet each office's characteristics, suchas thoroughly monitoring room temperatures in summer and winter,

LED lighting (Ono Factory)

installing moving detectors to activate staircase lighting, upgrading to energy-saving air conditioning
equipment and introducing LED lighting. We have installed demand monitoring functions*1 to control
overall electricity use in some business offices. In fiscal 2015, Sysmex International Reagents’ Ono
Factory revised its method of operating prefabricated refrigerators, reducing the number in regular use
from four to two and lowering annual CO2 emissions by 39 tons as a result. Also, Group company
Sysmex RA has decreased electricity consumption by converting approximately half its factory
illumination to LED lighting, lowering CO2 emissions by 7 tons per year.
At our reagent factory in Germany, which we expanded in fiscal 2015 in line with rising demand, we
have installed solar panels and an ice thermal storage system*2. This thermal-storage air conditioning
system uses natural energy, taking advantage of seasonal differences. Through these moves, we areworking to lower energy use and reduce CO2 emissions.
As a result of these initiatives, unit greenhouse gas emissions in fiscal 2015 were down 0.2% year on
year. Regarding our target under Eco-Vision 2020, emissions (unit per consolidated sales) were downby 28% compared with the base year (fiscal 2008).

*1 Functions for continuously measuring maximum electrical demand (demand value) for 24-hour periods and sounding an alarm if
the level exceeds target values, as well as reporting on electricity use on a daily and monthly basis.
*2 In this system, underground water is frozen using cold ambient winter air. In summer, this ice is used for cooling. In winter,geothermal water that is warmer than ambient temperatures is used for heating.

- 136 -

Greenhouse gas emissions at business offices

Notes: Scope of the data: Factories and major business offices[Factories]
Sysmex Corporation (Kakogawa Factory, i-Square), Sysmex International Reagents(Ono Factory, Seishin Factory), Sysmex Medica, Sysmex RA, Reagent factory inGermany, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia
Pacific, Jinan Sysmex, Sysmex Wuxi
[Major Business Offices]
Sysmex Corporation (head office, Technopark, Solution Center), Sysmex Europe,
Sysmex America, Sysmex Shanghai, Sysmex Asia Pacific

Decreasing CO2 Emissions from Domestic Company's Cars
To reduce CO2 emissions from some 400 company cars in Japan, we are working to visualize travel
distances and fuel used by each Company car and heighten driver awareness. We are also introducing
fuel-efficient vehicles and hybrid cars.
At branches and sales offices in Japan, we are improving fuel efficiency by conducting eco-driving
courses and introducing fuel-efficient vehicles. Such measures have helped to reduce gasoline
consumption by 3% year on year, but the number of truck deliveries handled by Sysmex Medica
increased substantially in line with an increase in the number of parts assembled, leading to a 68% risein diesel fuel consumption. As a result, fiscal 2015 CO2 emissions by Company cars in Japan were up
approximately 1% from their level one year earlier.

- 137 -

Complying with Related Laws and Regulations
Sysmex endeavors to comply with environment-related laws and regulations, both from a compliance
perspective and from the standpoint of environmental preservation.
As one aspect of these efforts, based on the Energy Conservation Act, Sysmex Corporation has
submitted to the Ministry of Economy, Trade and Industry a medium- to long-term plan thatsummarizes its regular reports aggregating annual energy usage amounts and its energy reduction
plan. Going forward, we will continue promoting energy conservation activities throughout theCompany to achieve these non-binding targets. In response to the Fluorocarbons Emission Control
Law, a revised version of which went into effect on April 1, 2015, based on the response procedures
manuals of Group companies in Japan we clarified instruments covered by the law, conducted
inspections and worked to determine calculated leakages.

Determining the Status of Storage and Use and Managing Harmful Substances
To reduce the risk of accidents stemming from the management of chemical substances as ourbusiness domain expands and organization changes, in fiscal 2013 we established the Chemical
Substance Management Committee at Technopark, our R&D hub, reinforcing our structure formanaging chemical substances. We are conducting thorough training at related divisions under thiscommittee’s management.
Meanwhile, the Solution Center’s Scientific Laboratory is conducting thorough chemical substancemanagement based on the Scientific Affairs Division Standards for Laboratory Management.

Promoting Digital Data
Sysmex Corporation has introduced tablet computers to promote paperless meetings. This approach
reduces paper use and waste volumes, as well as eliminating such processes as printing anddistributing documents prior to meetings. Meeting efficiency is also improved, as data can be
distributed digitally to meeting participants beforehand. We have also reduced paper use by using
digital data rather than paper when presenting drawings of product parts to suppliers.
- 138 -

Reducing Waste and Promoting a Stable Recycling Rate
Sysmex engages in ongoing efforts to reduce waste and increase the recycling rate. For instance,
Sysmex Wuxi is using the polyethylene bags from packaging purchased products at its manufacturing
and development locations, reusing them as bags for household trash and taking other measures toreduce waste. Jinan Sysmex, meanwhile, is making inroads on lowering waste emissions through theautomation of its production lines. In Japan, we are using garbage disposal units at locations thatgenerate substantial amounts of garbage, such as company cafeterias, converting the garbage tofertilizer. In fiscal 2015, we began recycling glass waste—previously disposed of in landfills—in roadpaving materials.
These initiatives have boosted the Group’s recycling rate to 89%. We will continue stepping up ourefforts as we work toward achieving the goals outlined in Eco-Vision 2020.
Business office recycling rate

Scope of data: All factories and major business offices where products and/or
chemical substances are handled[Factories]
Sysmex Corporation (Kakogawa Factory, i-Square), Sysmex International Reagents(Ono Factory, Seishin Factory), Sysmex Medica, Sysmex RA, Reagent factory inGermany, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia
Pacific, Jinan Sysmex, Sysmex Wuxi
[Major Business Offices]
Sysmex Corporation (head office, Technopark, Solution Center)- 139 -

Managing and Processing Harmful Substances
Sysmex International Reagents uses biological substances as raw materials of products, andTechnopark uses them as experimental materials for research and development. As these substances
have infection potential, as a measure of precaution, they are managed strictly such as limit of location
to storage and use them according to the manual, and furthermore, these substances are carefully
segregated from general waste for proper disposal.
For other harmful substances, we work to prevent aerial drift, dispersion and groundwater permeation
through countermeasures addressing both facilities and management methods. In these ways, we
endeavor to keep emissions below statutory standard values. In fiscal 2014, we refurbished waste
drop-off sites at the Seishin Factory and introduced new biochemical oxygen demand (BOD) alarm
equipment at the Ono Factory. These systems aim to prevent the emissions of liquids containing
organic matter.

Reducing Water Use and Appropriately Processing Wastewater
Sysmex is promoting initiatives at various locations to increase the efficiency of water use and reduce
the amount of water used. At its reagent factories in Japan, Sysmex is improving production efficiency,
working to reduce man-hours and lowering water usage. At Sysmex India, factory wastewater ispurified and used to water the green spaces within the facility. In fiscal 2015, we expanded the reagent
factory in response to rising production volumes. This expansion, plus an increase in the number of
personnel, resulted in a 20% increase against our Eco-Vision 2020 targets for water usage (per unit ofproduction volume).

- 140 -

Water Use at Reagent Factories

Scope of data: Reagent factories (nine locations)Sysmex International Reagents (Ono Factory, Seishin Factory), Reagent factory inGermany, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia
Pacific, Jinan Sysmex, Sysmex Wuxi

- 141 -

Contributing to the Preservation of Biodiversity through Afforestation and Other Activities
in Various Locations
Sysmex, which uses water in its core reagent production activities, recognizes that contributing to local
watershed protection is an important social responsibility. The Company also aims to contribute to thepreservation of biodiversity.
For these reasons, in fiscal 2013 we began taking part in forest maintenance activities based on the"Enlist the Participation of All Citizens in Creating Woodland" project being promoted by the Hyogo
Prefectural Government. To this end, we took responsibility for a two-hectare portion of the 17-hectare
Kawai Kaiteki Forest near our reagent factory in the city of Ono, Hyogo Prefecture. We dubbed thisportion the "Sysmex Forest" and set about making the Satoyama (a human-influenced naturalenvironment) a place of tranquility for people and wildlife. In fiscal 2015, a total of 239 people
participated in these activities, which took place nine times.
We encourage employees and their families to participate in these maintenance activities. We offer
special programs for children, giving them the opportunity to come into contact with nature. For
example, by hand-painting houses for small birds, cultivating plant cuttings, vegetables and shiitake
mushrooms, and taking part in other activities, we provide the children who will shoulder the
responsibilities of the future with opportunities to learn about the relationship between people andnature.
From a biodiversity perspective, these activities focus on protecting species that are threatened withextinction and rare wild plants. For example, having discovered a clouded salamander* in fiscal 2013,
we protected its habitat and confirmed that it had produced egg sacs for two consecutive years. We
are also cultivating the Japanese lily, which is being found increasingly infrequently in many regions,
helping it to stage a comeback.

- 142 -

Overseas, as well, various companies affiliated with Sysmex are taking part in forest preservation
activities in nearby regions. In fiscal 2015, for example, volunteers from Sysmex New Zealand planted
902 seedlings of a species native to Motutapu Island. Located in the north of the country, this island is
known for the natural abundance that remains there. Last year, the company also conducted aclean-up activity on Motutapu Island as part of its ongoing efforts to protect the nature there.

* These small Cryptobranchoidea (primitive salamanders) are designated as Vulnerable II in the Ministry of the Environment’s Red
Data Book.

Sysmex Forest (participants in forest
maintenance activities)

Sysmex Forest (kids’ program)Participants in forest preservation
activities in New Zealand

Clean-up Activities Near Business Offices
Employee volunteers from Sysmex’s business offices around Japan take part in efforts to clean areas
around their business offices. In fiscal 2015, 778 employees at 29 locations took part in these activities.

Employees participating in clean-up
activities (head office)Employees participating in clean-up
activities (i-Square)- 143 -

Employees participating in clean-up
activities (Sysmex Medica)Formulating Green Procurement Standards
We have formulated green procurement standards, which describe our fundamental stance on
environmental considerations in our procurement activities.

Green Procurement Standards
Through our global corporate activities in the healthcare field, we are contributing to the creation of a fulfillingand healthy society.

1. Objectives
In accordance with its environmental policy, the Sysmex Group strives to fulfill its corporate social
responsibility by promoting global environment conservation. Accordingly, we endeavor to promote the
manufacture of environmentally friendly products by encouraging the procurement of raw materials andparts that have low impact on the global environment. Sysmex aims to cultivate motivated environmental
conservation activities among our suppliers and enable us to work together toward the development of asustainable society.
2. Green Procurement Initiatives
The Sysmex Group practices "green procurement" to ensure that its procurement activities promote a
reduction in the environmental impact of the Company's products and reduce the environmental impact ofall production activities, including those of our suppliers. We promote the two items below as specificgreen procurement initiatives.
1) Promote the procurement of raw materials and parts that have lower environmental impact.
2) Expand business with suppliers that take a proactive approach toward environmental conservation.
3. Scope of Application
These standards apply to the procurement of raw materials, parts and products by Sysmex Group
companies.

- 144 -

4. Control of Chemical Substances in Products
The Sysmex Group requires the selection of materials and parts for the products it develops andproduces to be based not only on the requisite quality, performance and economic feasibility, but also on
the minimization of environmental impact. Therefore, raw materials and parts that do not employ thechemical substances described below shall be adopted:
1) Substances prohibited according to restrictions on chemical substances contained in products shall not
be contained.
2) Those in which the chemical substance amounts defined under restrictions on chemical substances
contained in products shall be monitored.
3) Those for which the environmental impact of the chemical substance in terms of atmospheric pollution,water contamination, soil pollution, etc. shall be low.
4) Environmental impact data for materials shall be disclosed.
5) In relation to packaging materials, when all of the aforementioned factors are identical, that with thelowest volume of contained chemical substances shall be selected.
Revised November 2014

According High Evaluations to Procurement Partners Undertaking MotivatedEnvironmental Conservation Activities
Sysmex is working proactively to address the important societal issue of environmental protection. We
ask our business partners to fully understand the importance of our activities and cooperate with green
procurement. Based on its green procurement standards, in addition to quality, price, delivery
schedules and technological development capabilities, Sysmex accords high evaluations to suppliers
that undertake motivated environmental conservation activities. We ask our suppliers for theircooperation on the following points.

- 145 -

1. Configuration and Operation of Environmental Management Systems
When commencing transactions with business partners, the Sysmex Group indicates clearly
the importance it places on motivated environmental conservation activities. To this end, we
confirm whether potential suppliers have in place environmental management systems certified
by third parties.
1) ISO 14001 certification
2) Simplified environmental management system certification
2. Provision of Environmental Information on Raw Materials and Parts
The Sysmex Group asks suppliers to provide the following environmental reports incooperation with Sysmex's environmental conservation activities.
1) Data on harmful chemical substances contained in raw materials and parts
2) Certification against the use of substances targeted by European RoHS regulations
3) Information on raw materials and parts compliant with European RoHS regulations
3. Environmental Measures by Suppliers to Their Outsourcing Partners
The Sysmex Group also asks suppliers to request that their outsourcing partners configure
environmental management systems and cooperate in providing environmental information.
We ask suppliers to take responsibility for managing their outsourcing partners in this respect.
Revised November 2014

Specifying Prohibited Substances, Substances to Be Reduced and Target Countries
Based on its green procurement standards, Sysmex publishes on our website the dealing withchemical substances (substances with environmental impact) contained in the products it
manufactures and sells, as well as their constituent parts, devices and materials.

- 146 -INPUT
Fiscal 2014

Fiscal 2015

35,98837,476City gas (thousands m³)

852

1,544

LPG (t)

15.1

19.4

LNG (m³)00

Heavy oil (kL)00Kerosene (kL)70

35

Diesel oil (kL)19

19

Gasoline for domestic fleet (kL)

778

750

Diesel for domestic fleet (kL)

19.7

23.5

Water use (thousands m³)

368

391

Office paper (t)

49

44

0.15

0.13

Fiscal 2014

Fiscal 2015

21,431

24,035

1,856

1,802

Total waste emissions (t)

1,557

1,701

Recycling rate (%)

90.4

91.9

Wastewater volume (thousands m³)

164

192

0

0

Electricity use (thousands kWh)

PRTR（t）

OUTPUT
Greenhouse gas emissions from businessoffices (t-CO2)
CO2 emissions from domestic company
cars (t-CO2)

PRTR (t)- 147 -

Main business offices in Japan, Instrument factories in Japan, Reagent factories in Japan, Sales
offices in Japan, Other offices in Japan, Main overseas locations, Overseas reagent factories[Main business offices in Japan] Sysmex Corporation (head office, Technopark, Solution Center)[Instrument factories in Japan] Sysmex Corporation (Kakogawa Factory, i-Square, Sysmex Medica,
Sysmex RA)[Reagent factories in Japan] Sysmex International Reagents (Ono Factory, Seishin Factory)[Sales offices in Japan] Sysmex Corporation
1 office (Tokyo), 6 branches (Sendai, Kita Kanto, Nagoya, Osaka, Hiroshima, Fukuoka), 13 sales
offices (Sapporo, Morioka, Nagano, Niigata, Chiba, Yokohama (included in scope from fiscal 2015),
Shizuoka, Kanazawa, Kyoto, Kobe, Takamatsu, Okayama, Kagoshima), 1 service center (Metropolitan
Area Service Center), Sysmex CNA[Other offices in Japan] Sysmex Corporation (R&D Center, Protein Development Center, BMA
Laboratory, Global Communication Center (included in scope from fiscal 2015), Soushin dormitory(included in scope from fiscal 2015))[Main overseas locations] Sysmex Europe, Sysmex Deutschland, Sysmex America, Sysmex
Shanghai, Sysmex Asia Pacific[Overseas reagent factories] Sysmex Europe, Sysmex Brazil, Sysmex Reagents America, Sysmex
India, Sysmex Asia Pacific, Jinan Sysmex, Sysmex Wuxi
Main business offices in Japan, Instrument factories in Japan, Reagent factories in Japan, Other
offices in Japan, Overseas reagent factories(Refer to 1)
Main business offices in Japan (excluding head office), Instrument factories in Japan, Reagent
factories in Japan, Other offices in Japan, Overseas reagent factories(Refer to 1)
Main business offices in Japan, Instrument factories in Japan, Reagent factories in Japan, Sales
offices in Japan, Other offices in Japan(Refer to 1)
Main business offices in Japan, Instrument factories in Japan, Reagent factories in Japan(Refer to 1)
Main business offices in Japan, Instrument factories in Japan, Reagent factories in Japan, Sales
offices in Japan, Other offices in Japan, Overseas reagent factories(Refer to 1)- 148 -

Main Indicators and Results Related to Environmental Impact (*1)
Data Related to the Sysmex Group Environmental Action Plan, Eco-Vision 2020
AspectUnit

Content

Scope (*3)

Product logistics withinJapan
CO2 emissions fromlogistics
Environment
consciousness
in product life
cycle process

Sysmex Corporation

t-CO2/¥100
million

2010

7.252

Unit denominator

Sysmex Corporation,
non-consolidated
net sales¥100
million2010

744.60Main business offices,
instrument factories
and reagent factories
in Japan

2008

7,080.93

Main overseas
locations and reagent
factories

2008

4,191.63

2008

10.0792008

1,118.42

2008

872.28

2008

670.78

2008

76.90

Reagent factories in Japan

2008

–

Overseas reagent factories

2008

–

Reagent factories in Japan

2008

–

Overseas reagent factories

2008

–

2008

228.35City gas, LPG, LNG,
heavy oil, kerosene,diesel oil and electricity

t-CO2

Total unit emissions

City gas, LPG, LNG,
heavy oil, kerosene,diesel oil and electricity

t-CO2/¥100
million

Unit denominator

Consolidated net sales¥100
millionTotal emissionst

Waste recycling (including energy recovery)
Recycling rate for waste(including energy recovery)%

Groundwater
thousandsm3

Municipal supply water
Water use

2010

Product logistics within
Japan and to overseas
locationsGreenhouse gas
emissions
GHG Scope 1 +Scope 2 (*2)

Waste emissions

5,399.84

t-CO2

Unit CO2 emissions inlogistics

Total emissions

Environment
consciousness
at businessoffices

Data

2010

Product logistics tooverseas locations

Greenhouse gas
emissions
GHG Scope 3 (*2)

Base Year
Fiscal Year

Total water usage
Total amount used per unit
Unit denominator

Boxes manufactured- 149 -

m3/thousandboxes
thousandboxes

Main business offices,
instrument factories
and reagent factories
in Japan, as well as
main overseas
locations and reagent
factories
Main business offices,
instrument factories
and reagent factories
in Japan, as well as
overseas reagent
factories

Reagent factories inJapan and overseas

2008

21.4902008

10,625.87

2012

2013

2014

Data

Data

Data

1,145.00

1,237.00

1,112.00

Data

Population of
Coverage
Ratio(*5)

2015
Coverage
Ratio(*4)

1,213.00

Calculation Method–

CO2 emissions from logistics from factories to warehouses in Japanand from warehouses to customers in Japan (including branches andsales offices). Calculated as ton-kilometers traveled (amount– transported times distance traveled) times CO2 conversion factor.
Conversion factor (source): In accordance with “Common Guidelines
for the Method of Calculating CO2 Emissions in the Logistics Field”

4,528.00

4,251.00

3,971.00

4,222.00–

CO2 emissions from logistics (including to overseas customers) fromwarehouses to ports (airports) in Japan and CO2 emissions fromlogistics from Japanese ports (airports) to ports (airports) in overseas– regions. Calculated as ton-kilometers traveled (amount transported
times distance traveled) times CO2 conversion factor.
Conversion factor (source): In accordance with “Common Guidelines
for the Method of Calculating CO2 Emissions in the Logistics Field”

6.508

5.348

4.170

3.794

–

–

871.71

1,026.17

1,218.94

1,432.43––

7,450.00

7,532.00

8,138.00

8,240.00

35.85%

The amount of each type of energy is multiplied by the emission factor
and the sum of the amounts is calculated.
Conversion factors (sources): (Fossil fuels) CO2 emission factors forfiscal 2008 are based on the Act on Promotion of Global WarmingCountermeasures. The conversion factor for city gas (13A) assumes gas
7,909 provided by Osaka Gas. (The same factor is used for overseas businessoffices.)(Electricity) CO2 emission factors for fiscal 2008 (before adjustments
for credits) are based on the Act on Promotion of Global WarmingCountermeasures, using information announced by the powercompanies that supply individual factories and business offices.

5,106.00

7,199.00

7,980.00

10,130.00

28.08%

The amount of each type of energy is multiplied by the emission
factor and the sum of the amounts is calculated.
Conversion factors (sources): (Fossil fuels) CO2 emission factors forfiscal 2008 are based on the Act on Promotion of Global Warming
7,909 Countermeasures. The conversion factor for city gas (13A) assumes
gas provided by Osaka Gas. (The same factor is used for overseas
business offices.)(Electricity) Country-specific emission factors (2005) are listed in the
GHG Protocol (WBCSD/WRI).

8.625

7.983

7.281

7.256

63.93%

7,909

1,455.77

1,845.38

2,213.76

2,531.57––

962.601,056.90

1,341.20

1,502.80

863.50941.601,212.60

1,338.00

89.70

89.09

90.41

89.03

0.00

0.00

0.00

0.00

28.77%

949

9.37

8.46

9.25

9.70

42.68%

949

67.89

66.72

66.00

63.00

28.77%

949

161.88174.02188.56216.9042.68%

949

239.14249.20263.81

289.6020.81422.04421.40125.91071.44%

949

11,489.00

11,305.00

12,327.00

11,177.00

40.97%

Of waste, the amount reused or used for material recycling or heat

7,909 recovery (thermal recycling).

G4 Indicator
No.

G4-EN17
G4-EN18

G4-EN15
G4-EN18

G4-EN23

Recycling rate (%) = (amount of waste reused + amount of valuable
substances sold) ÷ (industrial waste + general waste + amount ofvaluable substances sold) x 100(%)–

The amount of groundwater used.

The amount of clean water and industrial water used.

– Boxes of the Company’s reagents manufactured per year at reagent factories.

- 150 -

G4-EN8

Data Related to Environmental Performance
AspectUnit

Content

Consumption of
non-renewable energy

Consumption ofrenewable energy

Electricity (non-renewable)

thousands
kWh

City gas

thousands m3

LPG

t

LNG

t

Heavy oilkL

KerosenekL

Diesel oil

kLElectricity (renewable)

kwh

Total consumption

Energy consumption

Consumption of othernon-renewable energy

Scope (*3)

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan, as well as main overseas locations andreagent factories

GJ

Gasoline (Company cars)kL

Diesel oil (Company cars)

Main business offices, instrument factories,
reagent factories, sales offices and otheroffices in Japan

kWh/
Electricity (non-renewable) thousands¥100 million

Unit consumption of
non-renewable energy

INPUT
Unit consumption ofrenewable energy

City gas

thousands m3/¥100 million

LPGt/¥100 million

LNG

t/¥100 million

Heavy oilkL/¥100 million

KerosenekL/¥100 million

Diesel oil

kL/¥100 million

Electricity (renewable)

kwh/¥100 million

Total unit consumption

Main business offices, instrument factories,
reagent factories, sales offices and otheroffices in Japan, as well as major overseas
locations and reagent factories

GJ/¥100 million

Unit denominator

Consolidated net sales

Non-renewable energy
consumption

City gas, LPG, LNG,
heavy oil, kerosene,diesel oil and electricity

Renewable energy
consumption

Electricity¥100 million

GJ

Main business offices, instrument factories,
reagent factories, sales offices and otheroffices in Japan, as well as major overseas
locations and reagent factories

Reduction in energy
consumption
Total consumption

Unit consumption of
non-renewable energy

City gas, LPG, LNG,
heavy oil, kerosene,diesel oil and electricity

Unit consumption ofrenewable energy

Electricity

Total unit consumption- 151 -

GJ/¥100
million

2012

2013

2014

Data

Data

Data

Data

27,573.43

31,525.65

35,779.00

37,233.00

1,043.92

1,185.34

851.981,543.97

Population of
Coverage
Ratio(*5)

2015
Coverage
Ratio(*4)

11.65

12.38

15.11

19.39

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

62.44

67.60

70.17

35.02

19.04

18.72

18.91

18.84

81.88

100.46209.42243.00322,405.78

368,227.36

395,042.86

439,653.70

748.47794.69777.51749.8674.41%

11.72

19.68

23.53

18.94117.08416.16214.707

0.717

0.642

0.385

0.610

0.008

0.007

0.007

0.008

0.000

0.000

0.000

0.000

0.000

0.000

0.000

0.000

0.043

0.037

0.032

0.014

0.013

0.010

0.009

0.007

0.056

0.054

0.095

0.096

221.468

199.540

178.449

173.668

1,455.77

1,845.38

2,213.76

2,531.57

–

–

–

7,909

G4-EN3Gasoline consumed by Company cars in Japan.

7,909
Diesel oil consumed by Company cars in Japan.

74.41%

7,909
G4-EN5––▲ 45,821.58 ▲ 26,815.50 ▲ 44,610.84(Energy consumed in the current fiscal year) – (energy consumed in
the previous fiscal year)▲ indicates an increase from the previous fiscal year.
Conversion factor (source): According to the Calculation and Reporting
Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)▲ 0.12(Energy consumed in the current fiscal year) – (energy consumed in
the previous fiscal year)▲ indicates an increase from the previous fiscal year.
7,909 Conversion factor (source): According to the Calculation and Reporting
Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)▲ 0.07▲ 0.3974.41%(Energy consumed in the current fiscal year) – (energy consumed in
the previous fiscal year)▲ indicates an increase from the previous fiscal year.
Conversion factor (source): According to the Calculation and Reporting
Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)▲ 45,821.58 ▲ 26,815.50 ▲ 44,610.84

–

1.942

1.185

1.248

–

0.002

▲ 0.040▲ 0.001–

21.92721.091

4.780

G4 IndicatorNo.

The amount of each type of energy is multiplied by the emission
factor and the sum of the amounts is calculated.
Conversion factor (source): According to the Calculation and Reporting
Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)

43.66%
3.34

Calculation Method

74.41%

7,909▲ indicates an increase from the previous fiscal year.

- 152 -

G4-EN6

Aspect

Unit

Content

Scope (*3)

Groundwater
Municipal supply water
Water use
INPUT

thousands m3

Total amount used per unit

Main business offices in Japan (excluding head
office) and instrument factories, reagent
factories and other offices in Japan, as well as
m3/¥100 million overseas reagent factories

Unit denominator¥100 million

Total amount used
Consolidated net sales

OA paper use
Handling volume

PRTR inputt

Main business offices, instrument factories andreagent factories in Japant

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan
Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan

Japan

Greenhouse gas
emissions
GHG Scope 1 (*2)

Overseas

City gas, LPG, LNG,
heavy oil, kerosene,diesel oil

Total emissions
Total unit emissions
Unit denominator

t-CO2

Main overseas locations and reagent factories

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan, as well as major overseas locations¥100 million and reagent factories

t-CO2/¥100 million

Consolidated net sales

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in JapanJapan

OUTPUT

Greenhouse gas
emissions
GHG Scope 2 (*2)

Electricity

t-CO2

Main overseas locations and reagent factories

Overseas
Total emissions
Total unit emissions
Unit denominator

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan, as well as major overseas locations¥100 million and reagent factories

t-CO2/¥100 million

Consolidated net sales

Product logistics within
Japan

t-CO2

Product logistics tooverseas locations

t-CO2

CO2 emissions fromlogistics
Greenhouse gas
emissions
GHG Scope 3 (*2)

Unit CO2 emissions
from logistics

Product logistics within
Japan and to overseas
locationst-CO2/¥100 million

Unit denominator

Sysmex Corporation,
non-consolidated
net sales¥100 million- 153 -

Sysmex Corporation

2012

2013

2014

Data

Data

Data

48.86

44.47

51.24

2015
Coverage
Ratio(*4)
50.29

Population of
Coverage
Ratio(*5)

Data281.68299.94316.97340.80330.54344.40368.21391.09Calculation Method
The amount of groundwater used.

37.96%

7,909

The amount of clean water and industrial water used.

227.054186.630

166.329154.486

1,455.77

1,845.38

2,213.76

2,531.57

–

–

53.14

50.46

48.79

44.48

35.85%

7,909

7.16

7.88

0.15

0.13

46.33%

7,909 substances.

46.33%

The amount of each type of energy is multiplied by the emission factor
and the sum of the amounts is calculated.
Conversion factor (source): According to the Calculation and Reporting
7,909 Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)

28.08%

The amount of each type of energy is multiplied by the emission factor
and the sum of the amounts is calculated.
Conversion factor (source): According to the Calculation and Reporting
7,909 Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)

74.41%

7,909

–

–

917.401,096.70

806.50865.001,613.90

2,147.70

1,430.20

2,892.10

2,531.30

3,244.40

2,236.70

3,757.10

1.739

1.758

1.010

1.484

1,455.77

1,845.38

2,213.76

2,531.57

G4 Indicator
No.

G4-EN8PRTR handling volume at business offices in Japan that handle chemical

9,915.80

11,869.90

12,635.30

13,040.60

46.33%

The amount of each business office electricity is multiplied by theemission factor and the sum of the amounts is calculated.
Conversion factor (source): According to the Calculation and Reporting
7,909 Manual for Greenhouse Gas Emissions (using the most recent factors
for each fiscal year, Ministry of the Environment, Ministry of Economy,
Trade and Industry)

3,540.40

5,099.30

6,559.20

7,237.50

28.08%

7,909 Conversion factor (source): Country-specific emission factors (2005)

The amount of each business office electricity is multiplied by theemission factor and the sum of the amounts is calculated.

G4-EN15
G4-EN18

G4-EN16
G4-EN18

are listed in the GHG Protocol (WBCSD/WRI).

13,456.20

16,969.20

19,194.50

20,278.10

9.243

9.196

8.671

8.010

1,455.77

1,845.38

2,213.76

2,531.57

1,145.00

1,237.00

1,112.00

1,213.00

74.41%

7,909

–

–

–

CO2 emissions from logistics from factories to warehouses in Japan andfrom warehouses to customers in Japan (including branches and sales
offices). Calculated as ton-kilometers traveled (amount transported– times distance traveled) times CO2 conversion factor.
Conversion factor (source): In accordance with “Common Guidelines
for the Method of Calculating CO2 Emissions in the Logistics Field”

4,528.00

4,251.00

3,971.00

4,222.00–

CO2 emissions from logistics (including to overseas customers) fromwarehouses to ports (airports) in Japan and CO2 emissions fromlogistics from Japanese ports (airports) to ports (airports) in overseas– regions. Calculated as ton-kilometers traveled (amount transported
times distance traveled) times CO2 conversion factor.
Conversion factor (source): In accordance with “Common Guidelines
for the Method of Calculating CO2 Emissions in the Logistics Field”

6.508

5.348

4.170

3.794

–

–

871.71

1,026.17

1,218.94

1,432.43––- 154 -

G4-EN17
G4-EN18

Aspect

Content

Unit

Total CO2 emissions from Company cars
Greenhouse gas
emissions
GHG Scope 3 (*2)

Total unit CO2 emissions from Company cars
Unit denominator

Sysmex Corporation,
non-consolidated
net sales

Total emissions

t-CO2

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japant-CO2/¥100 million¥100 milliontSysmex Corporation
Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan, as well as overseas reagent factories

Total emissions (excluding sales offices in Japan)

OUTPUT
Waste emissions

Material recycling wastet

Recycling waste (including energy recovery)
Material recycling rate
Recycling rate (including energy recovery)
Wastewater volume

PRTR Output

Total emissions

Emissions

Main business offices, instrument factories,
reagent factories and other offices in Japan,
as well as overseas reagent factories%

thousands m3

Main business offices in Japan (except head
office) and instrument factories, reagent
factories and other offices in Japan, as well as
overseas reagent factoriest

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in JapanTravelCompliance

Scope (*3)

Violations ofenvironmental
regulations

Total amount of large fines
Number of sanctions other than fines

cases

Significant spills andlosses of chemical
substances

Total number of cases

cases

Total leakage volume

t¥100 million

Main business offices, instrument factories,
reagent factories, sales offices and other offices
in Japan, as well as major overseas locations
and reagent factories(*1) Some disparities exist from data disclosed in the previous fiscal year, due to the revision of performance figures for some offices.
[Location of revisions] Input > Energy consumption > Consumption of non-renewable energy > LPG
Output > Greenhouse gas emissions, GHG Scope 1 > Total emissions; Greenhouse gas emissions, GHG Scope 2 > Total Emissions
Output> Waste emissions > Total emissions, recycling rate for waste (including energy recovery)(*2) GHG Scope 1: Standard for calculating and reporting GHGs emitted directly by Company facilities and factories. (Excluding from use of Company cars.)
GHG Scope 2: Standard for calculating and reporting GHGs emitted indirectly by the Company due to energy use.
GHG Scope 3: Standard for calculating and reporting GHGs emitted throughout the corporate group (supply chain) in relation to products and services. (Including from use of Company cars.)- 155 -

2012

2013

2014

Data

Data

Data

1,746.58

1,830.26

Data1,856.25

Population of
Coverage
Ratio(*5)

2015
Coverage
Ratio(*4)

1,802.01
46.33%

Calculation Method

The amount of gasoline and diesel oil for each Company car is multipliedby the emission factor and the sum of the amounts is calculated.
Conversion factor (source): According to the Calculation and Reporting
Manual for Greenhouse Gas Emissions (using the most recent factors for
7,909 each fiscal year, Ministry of the Environment, Ministry of Economy, Tradeand Industry)

2.004

1.784

1.523

1.258

871.71

1,026.17

1,218.94

1,432.43––

1,163.91

1274.16

1,556.76

1,701.35

48.78%

7,909

1,018.74

1,109.82

1,419.19

1,534.63

44.70%

7,909

536.02600.51

788.13986.44907.96988.45

1,282.60

1,410.97

52.62

54.11

55.53

64.28

89.13

89.06

90.38

91.94

145.11144.36163.83

191.66

0.00

0.00

0.00

0.00

0.70

4.84

0.00

0.00

0.00

0.00

0.00

0.00

0

0

0

0

0

1

0

0

0.00

0.00

0.00

0.00

Of waste, the amount of valuable substances resulting from third-party
processing. Includes substances converted to fuel (such as RPF).

G4 Indicator
No.

G4-EN17
G4-EN18

G4-EN23

Of waste, the amount reused or used for material recycling or heat

42.03%

7,909 recovery (thermal recycling).

39.02%

7,909

46.33%

7,909

G4-EN22

PRTR emissions for business offices in Japan that handle chemical
substances.
PRTR travel at business offices in Japan that handle chemical substances.
G4-EN2974.41%

7,909
G4-EN24(*3) Main business offices in Japan: Sysmex Corporation (head office, Technopark, Solution Center)
Instrument factories in Japan: Sysmex Corporation (Kakogawa Factory, i-Square), Sysmex Medica, Sysmex RA
Reagent factories in Japan: Sysmex International Reagents (Ono Factory, Seishin Factory)
Sales offices in Japan: Sysmex Corporation (1 office (Tokyo), 6 branches (Sendai, Kita Kanto, Nagoya, Osaka, Hiroshima, Fukuoka), 13 sales offices (Sapporo, Morioka, Nagano, Niigata, Chiba,
Yokohama (included in scope from fiscal 2015), Shizuoka, Kanazawa, Kyoto, Kobe, Takamatsu, Okayama, Kagoshima), 1 service center (Metropolitan Area Service Center)),
Sysmex CNA
Other offices in Japan: Sysmex Corporation (R&D Center, Protein Development Center, BMA Laboratory, Global Communication Center (included in scope from fiscal 2015), Soushin dormitory(included in scope from fiscal 2015)
Main overseas locations: Sysmex Europe, Sysmex Deutschland, Sysmex America, Sysmex Shanghai, Sysmex Asia PacificOverseas reagent factories: Sysmex Europe, Sysmex Brazil, Sysmex Reagents America, Sysmex India, Sysmex Asia Pacific, Jinan Sysmex, Sysmex Wuxi(*4) The coverage ratio calculation is based on the number of employees.
(*5) The coverage ratio population is Group employees. However, for Sysmex Group Environmental Action Plan (Sysmex Eco-Vision 2020) > Environment consciousness at business offices > Water
usage, the population is the number of employees at Group reagent factories.

- 156 -

Corporate Information

Corporate Overview(As of March 31, 2016)

Company name

Sysmex Corporation

EstablishedFebruary 20, 1968

Paid-in capital¥11,016 million

Representative

Hisashi Ietsugu, Chairman and CEO¥253.1

Net sales(¥ billion)
300.0
250.0

1-5-1, Wakinohama-Kaigandori, Chuo-ku,
Kobe 651-0073, Japan

Line of business

Development, manufacture, sales, and export/importof laboratory testing instruments, reagents, andrelated software(¥ billion)

billion

60.0
50.0

145.5

44.4
32.8

30.0

100.0

20.0

50.0

10.0

19.2

21.8

0

0

2011

2012

2013

2014

2015

2011

(FY)

Net income

¥36.2

50.0
40.0
30.0

2013

2014

2015

(FY)

billion

8,000
6,000

20.5

20.0

7,446

10,000

26.6

12.0

2012

Number of employees(¥ billion)

10.0

billion

40.0

184.5
134.7

¥56.9

Operating income

221.3

200.0
150.0

Head Office

5,314

5,594

2011

2012

6,211

6,739

4,000

14.1
2,000
0

0

2011

2012

2013

2014

2015

(FY)

2013

2014

2015

(FY)

Note: Including contract workers and part-time employees

Information Available
on the Website
Comprehensive Information Provided
on the CSR Site
Sysmex CSR

SearchMessage from the Chairman and CEO
Sysmex’s CSR Activities
CSR Management
Mid-Term CSR Plan
Results of Dialogue with Stakeholders
CSR Data
External Evaluation

Corporate GovernanceCompliance
Risk Management
2016 CSR Activity Highlights
Highlight 1 Accelerating the Advancement of

Healthcare by Gathering Knowledge
and Technologies from Both Inside andOutside the Company
Highlight 2 Creating New Value through Global
Human Resource Development andExchange- 157 -

Involvement with Stakeholders
Involvement with Customers
Ensuring Quality and Safety
After-Sales Support/Scientific Activities
Stable Supply
Enhancing Customer Satisfaction and
Third-Party Evaluations
Contributing to Resolution of Healthcare Issues

Involvement with Shareholders
Involvement with Business Partners
Involvement with Employees
Respecting Human Rights
Employee Evaluation, Treatment,
and Human Resource Development
Promoting Diversity
Respecting Workers’ Rights
Considering Safety and HealthCorporate Citizenship Activities
Policy on Corporate Citizenship Activities
and Philanthropy
Activities to Promote a Healthy Society
Contributing to Local Communities
Promoting Employees’ Social Contribution
Activities

Net Sales by Destination/
Regional Subsidiaries and Affiliates

Japan

¥39.8

billion10 companies

Americas

EMEA**Europe,the Middle East
and Africa

China

¥59.8

billion9 companies¥68.2

billion27 companies¥65.1

billion4 companies

Asia Pacific¥20.1

billion13 companies

Environmental Conservation Activities
Environmental Management Initiatives
Environment Friendliness in Product andService Life Cycles
Environmentally Conscious Operation
Other Environmental Conservation Activities
Green Procurement
Performance Data

Sysmex Sustainability Report
Guideline Comparative Table- 158 -

Employees by Region

3,339
1,029
2,006
492
580

1-5-1, Wakinohama-Kaigandori, Chuo-ku, Kobe 651-0073, Japan
Tel +81-78-265-0500 Fax +81-78-265-0524