Sustainability Report
2019–2020

Bridgestone at a Glance

Bridgestone, founded in 1931, is the leading company in thetire and rubber industry.
MAJOR PRODUCTS AND OPERATIONS

Bridgestone Group’s main businesses include:•Tires and tubes for passenger cars, trucks, buses, aircraft, construction and off-road mining
vehicles, industrial and agricultural machinery, motorcycles, scooters and other vehicles;•

Automotive parts, retreading materials and services, automotive maintenance andrepair services, raw materials for tires and other products;•

Diversified Products including chemical and industrial products, commercial building
products and roofing materials, sporting goods, bicycles and other products; and,•

Solutions Business that is leveraging the potential for more tightly integrated elementsof the Group’s portfolio. The Group is working on new “solutions” service packages bycombining maintenance services, IT/sensing technology, tires and diversified products
to meet the needs of customers in mining, fleets and agriculture.

SUSTAINABILITY RECOGNITIONS

Bridgestone was named to highly
regarded environmental, socialand governance (ESG) indicesthat are designed to measure
the performance of companies
demonstrating strong ESG practices:•

Bridgestone was named to
the Dow Jones Sustainability
Asia Pacific Index for the 10thconsecutive year.

•

Bridgestone was selected as aconstituent of the FTSE4Good
Index Series for the second
consecutive year. The Company
was awarded perfect scoresin the environmental areas ofclimate change, water use,and environmental supply
chains, earning the highest
score in environmental
dimension within the
Automobiles and Parts sector.

•

Bridgestone was named
to the STOXX Global ESG
Leaders Index.

MANUFACTURING LOCATIONS WITH ISO CERTIFICATION

ISO 14001 Certified1,3

ISO 9001 Certified1,2
99.4%

98.1%

2019 CONSOLIDATED NET SALES 1

3,525.6 Billion JPY /32.18 Billion4 USD
16%Diversified Products

84%

Tires

2019 SALES BY MARKET 1,5More than 150 Countries

2019 TIRE PRODUCTION VOLUME(TONNAGE OF RUBBER)1,5

1.84 Million Tonnes

EMPLOYEES

27%

Japan

32%

The Americas

20%

Europe, Russia,
Middle East and Africa

21%

China, Asia Pacific

1,5

143,589 Total

19%

Japan

20%

Japan

47%

The Americas

40%

The Americas

19%

Europe, Russia,
Middle East and Africa

13%

Europe, Russia,
Middle East and Africa

15%

China, Asia Pacific27%

China, Asia Pacific

In addition, Bridgestone selfreported its environmental data
to CDP, the most comprehensive
collection of self-reported
environmental data in the world,and received the following scores:•

CDP Climate Change: A-•

CDP Water Security: B•

CDP Supplier Engagement: A

As of December 31, 2019.
		154 sites are targeted for ISO 9001 certification/153 sites are certified (99.4%). The Bridgestone Group requires all manufacturing locations in which it has 50% or more share ratio to achieve ISO 9001 certification.
		154 sites are targeted for ISO 14001 certification/151 sites are certified (98.1%). The Bridgestone Group requires all manufacturing locations with 50 employees or more to achieve ISO 14001 certification.
4
		Based on the ¥109.56 to USD$1.00, the approximate year-end rate.
5		
Approximate percentage.
1

2
3

1 | Bridgestone at a Glance

Sustainability Report 2019–2020

Contents

Bridgestone at a Glance................................................................................. 1

ABOUT THIS REPORT“The Bridgestone Essence” and “Vision”....................................... 3 – 4This report covers the initiatives of the Bridgestone Group,
which includes subsidiaries and affiliates around the world.

Global CEO Message................................................................................. 5 – 6Throughout this report, Bridgestone or the “Company”
refers to the Bridgestone Corporation, while “the BridgestoneGroup,” or “the Group” refers to all group companies.

Mid-Long Term Business Strategy.................................................... 7 – 18
Corporate Governance...................................................................... 19 – 20
Our Way to Serve.................................................................................... 21 – 22

Bridgestone Corporation is the parent company of theBridgestone Group, which includes the following Strategic
Business Units (SBUs).
•

Bridgestone Americas (BSAM) including the United States,
Canada, Latin America, the Caribbean and Liberia;•

Bridgestone China Asia Pacific (BSCAP);•

Bridgestone Europe, Russia, Middle East, India, and Africa(BSEMIA);•

Bridgestone Japan (BSJP);•Bridgestone Japan, including Japan Tire, Diversified
Products Solutions Business, G-MAA Solutions Business(Mining, Aircraft, Agriculture) and Sports/Cycles Business.

People....................................................................................................... 23 – 28
Environment........................................................................................... 29 – 42
Management Fundamentals........................................................... 43 – 49
Compliance, Fair Competition......................................................................... 44
contents
page
Business Continuity (BCP), Risk Management...........................................45
Human Rights, Labor Practices....................................................................... 46
Safety, Industrial Hygiene.................................................................................. 47
Procurement............................................................................................................ 48
Quality and Customer Value............................................................................. 49
Stakeholder Engagement ......................................................................... 50
Bridgestone Group Awards 2020 ........................................................... 51
ESG Data.......................................................................................................52 – 54

This report primarily covers the 2019 calendar year, withsome additional information from late 2018, early 2020and beyond according to the content of our Mid-Long TermBusiness Strategy. In preparing the report, the BridgestoneGroup referenced the Reporting Principles and Disclosures of
the Global Reporting Initiative (GRI) Standards, as well as theInternational Integrated Reporting Framework of the Integrated
International Reporting Council. The Bridgestone Group’s mostrecent GRI-referenced Sustainability Report was publishedin 2019. The Group intends to continue publishing an annual
Sustainability Report.
Additional information is available on the sustainability
website.

2 | Contents

Sustainability Report 2019–2020

“THE BRIDGESTONE ESSENCE” AND “VISION”

Bridgestone’s Past and Future

MISSION

Serving Society with Superior Quality
Bridgestone, founded in 1931, has grown into a global tireand rubber and solutions company. It has done so throughceaseless efforts and strategic measures, including mergers
and acquisitions.

In 1968, the company motto (Mission), “Serving Society
with Superior Quality,” was created. In 2011, Bridgestone
redefined the Bridgestone Essence so all employees aroundthe world follow common values. Today, the Group's Mission& Foundation Framework (the Bridgestone Essence; Safety,
Quality & Environmental Mission Statements; and its Global
CSR commitment, Our Way to Serve started in 2017), remains
unchanged and continues to guide the business forward.

1931 –

1988 –BRIDGESTONE 1.0

BRIDGESTONE 2.0

Foundation

A Global Company

Tire & Rubber

Tire & Rubber X Tire Centric Solutions

MANAGEMENTMANAGEMENT

Founder’s charismatic management

Global Management teamGlobal Executive Committee (Global EXCO) started (2013)

CORPORATE PHILOSOPHYCORPORATE PHILOSOPHY

Bridgestone's DNA

Evolved with changing times and business expectations

Corporate Motto(1968)

Refined theBridgestone
Essence (2011)

Safety Mission

Quality Mission

Environmental

Statement

Statement

Mission(2012)(2015)

Statement(2017)(2011)

BUSINESSThe Deming Prize(1968)

Globalization
Start solutions business — preparation for Bridgestone 3.0
Firestone Brand Logotype (Width =100mm)
Basic type

PANTONE 186C
M100 / Y100

Merger (1988)

Merger (2007)

Acquisition (2019)

F Shield

3 | “The Bridgestone Essence” and “Vision” | Bridgestone’s Past and Future

Sustainability Report 2019–2020

VISION

Toward 2050, Bridgestone continues toprovide social value and customer value asa sustainable solutions company.

As the Bridgestone Group looks forward to the 100th anniversary of
its founding in 2031 as a milestone for its progress, it will continue
to provide social and customer value through 2050 and beyond. It
is important to note that “Serving Society with Superior Quality”(its Mission within the Bridgestone Essence) is always a crucial
foundation in fulfilling the Group's vision for the future.

2020 –BRIDGESTONE 3.0

A Sustainable Solutions Company
Tire & Rubber X Tire Centric Solutions X Mobility Solutions
NEW CHAPTER

2020 as Bridgestone’s starting point for new value
creation toward 2050 and beyond

SUSTAINABILITY

A core management principle

GLOBAL DEVELOPMENT OF BRIDGESTONE T&DPaaS
The Bridgestone Group will promote “Bridgestone
T&DPaaS,” a unique solutions business platform andprovide solutions to solve issues of society and customers.
The Group will build a sustainably based business modeland promote a new growth strategy, evolving into asolutions business leveraging the strengths of its tireand rubber business.
Toward 2050, the Bridgestone Group will provide
continued social and customer value as a sustainable
solutions company.

4 | “The Bridgestone Essence” and “Vision” | Bridgestone’s Past and Future

Sustainability Report 2019–2020

GLOBAL CEO MESSAGE

Creating Value for Society and Our Customer

As we progress toward
our 2050 vision, we will
become a sustainable
solutions company thatprovides social andcustomer value.

Our Mission, “Serving Society with Superior Quality,” based on thephilosophy of our founder, will remain essential to our foundation.
Today, we live in an era of global change, the magnitude of which
has never been seen. In the past, many industries faced “once in a
century” fundamental shifts. However, through new technologies
and solutions, the effects of rapid urbanization, exploding
populations in certain areas and aging populations in others, it
is likely that the changes in the auto industry in the next 10 years
will exponentially outpace all the industry’s changes during thepast 100 years. Accordingly, we must anticipate these changes
and turn them into opportunities by delivering ever more
ambitious and innovative products, services and solutions.
Although it was introduced more than 50 years ago, our Mission
has never rung truer. Also informing our efforts is the Group’s
corporate social responsibility (CSR) commitment, Our Way toServe. It includes our three Priority Areas of Mobility, People andEnvironment and the six Management Fundamentals1 that outline
how we operate our business. Our Way to Serve is foundational to
our sustainability journey and impacts every aspect of our businessand the overall value we are creating for society and our company.
Examples of how we have embraced these changes can be seenin our 2016 formation of the Global Solutions Division, and again
in 2019 when we acquired Webfleet Solutions and established our
digital solutions business. Our Way to Serve affirms our focus on
innovations that contribute to society’s advancement, as we work
to create new value for our customers, partners and the world.

As I reflect on my more than 40-year Bridgestone career, I’m proudof our rich history and progress toward becoming a sustainable
company. For example, in 2019, we were again named to theprestigious Dow Jones Sustainability Index and FTSE4Good IndexSeries. My vision for the Bridgestone Group's future builds uponthese past successes and puts our social and customer value
proposition front and center.

OUR NEW CHAPTER TO BE A SUSTAINABLE
SOLUTIONS COMPANY

As we look toward 2050 and beyond, we have a vision for theGroup's future that builds upon our rich history and keeps our socialand customer proposition at the forefront. To realize our vision
toward our next chapter, we have established a new Mid-Long
Term Business Strategy. Placing sustainability at the heart of ourmanagement principles, we will evolve into an advanced mobility
and sustainable solutions company. We will take full advantage ofthe strength of our knowledge, experience and expertise in tires
and rubber to accelerate our growth strategy aimed at co-creatingsocial and customer value.
To do so, we developed Bridgestone Tire and Diversified Products
as a Solution — or Bridgestone T&DPaaS — a unique solutions
business platform that supports the society’s rapidly evolving
mobility needs with Dan-Totsu (the clear and absolute leader)
products, services and networks. Our Mid-Long Term Business
Strategy will be executed locally, based on the unique needs ofeach region, to accelerate achievement of our goal to contributeto the advancement of a sustainable society that supports
customers, partners and our company.

		Compliance, Fair Competition; Business Continuity (BCP), Risk Management; Human Rights, Labor Practices; Safety, Industrial Hygiene; Procurement; Quality and Customer Value.

1

5 | Global CEO Message | Creating Value for Society and Our Customer

Sustainability Report 2019–2020

We also have embarked on the next phase of our activities tocontribute to a healthier environment. In 2011, we published ourenhanced Environmental Mission Statement, “To help ensure ahealthy environment for current and future generations...” Withinthat Mission Statement, we established three guiding objectives:(1) exist in harmony with nature, (2) value natural resources and (3)reduce CO2 emissions. In 2012, we established our 2050 long-term
environmental vision, with goals related to operating in balancewith nature, utilizing 100% sustainable materials and contributing
to a globally agreed-upon CO2 reduction target.
To keep us on track toward our 2050 environmental vision, we
also developed mid-term 2020 milestones to reduce our water
withdrawal and CO2 emissions. We are proud to have achieved
these milestones.
Now, we are ready to further our commitments by establishingour 2030 milestones en route to fulfilling our 2050 environmental
vision. By 2030, we will continue to improve our environmental
performance, in alignment with stakeholders’ expectations, by:•Remaining committed to our Environmental Mission Statement
and our three guiding objectives;•

Embracing the concept of decoupling or achieving continued
positive business growth without a corresponding increasein negative environmental impact;•

Accelerating our adoption of circular economy principles
across our business; and,•Reducing CO2 emissions, across the product lifecycle andentire value chain, which includes our customers and partners.

our communities. More than ever, it is essential that we continue
our work toward the United Nations Sustainable Development
Goals (SDGs). We take this responsibility seriously as we create
solutions that make cities and life more inclusive, safe, resilientand sustainable.
One of the results of the pandemic is the postponement of the
Olympic and Paralympic Games Tokyo 2020 to protect the healthof the public and athletes. Our commitment to the Olympic andParalympic Movements does not change. The Tokyo 2020 Gamesare pursuing a sustainable goal of “Being Better, Together for theplanet and people.” We share this vision of a more sustainable
society and look forward to helping the Games unite the world
when they return to Tokyo, our global headquarters city, in 2021.
Thank you for your interest in the Bridgestone Group and Our Way
to Serve. We see tremendous business and social opportunity inco-creating new value with our employees, partners, customers
and others. We’re pleased to share more about our strategy andapproach within this Global Sustainability Report.

Shuichi Ishibashi
Member of the Board
Global CEO and Representative Executive Officer

In 2020, we established the Global Sustainability Committee2 toensure the successful cultural, strategic and operational integrationof Our Way to Serve. For more information, see the Global Chief
Sustainability Officer’s message on page 22.
Our next chapter, with its focus on our expanded commitment
to value creation, formally began in 2020, the same year we arecelebrating the opening of Bridgestone Innovation Park in Tokyo.
This world-class space inspires and guides us into that exciting next
chapter. It will empower co-creation with internal and external
stakeholders and the development of new solutions leveraging
innovations in technology, business models and design.

OUR COMMITMENT TO SUPPORT SOCIETY

As I prepare this message in May 2020, the coronavirus is having asignificant impact on global society. As we have always done, we
are working hard to make sure our employees are safe and helping

		 Formerly the Global CSR Enhancement Committee.

2

6 | Global CEO Message | Creating Value for Society and Our Customer

Sustainability Report 2019–2020

MID-LONG TERM BUSINESS STRATEGYMID-LONG TERM BUSINESS STRATEGY

Sustainability as a Core Business Driver; Evolving theBusiness to Create Social and Customer ValueAs the Bridgestone Group works toward its vision to become asustainable solutions company, it recently introduced its Mid-Long
Term Business Strategy. The Group’s Mission, “Serving Society with
Superior Quality,” based on the philosophy of its founder, remains
foundational to its business and goal to create social and customer
value toward 2050 and beyond. The Group has marked 2020 as thestart of its third foundation — Bridgestone 3.0 (see pages 3-4) —and its Mid-Long Term Business Strategy demonstrates how it isembarking on this new chapter.
The Bridgestone Group intends to drive innovation that provides
solutions, taking full advantage of its strengths and corecompetencies to solve customer issues and contribute to improving
people’s quality of life. The Group will create new value for society
by addressing social issues and positively contributing to theachievement of the SDGs, “a universal call to action to end poverty,
protect the planet and improve the lives and prospects of everyone,
everywhere.” By creating, balancing and expanding its social andcustomer value, the Group will gain its competitive advantage.
It will continue to grow with its partners and further contributeto a sustainable society. This is the Bridgestone Group’s exciting

8 | Mid-Long Term Business Strategy

new growth strategy, where sustainability is embedded as a corebusiness driver.
To achieve these ambitious goals, the Bridgestone Tire andDiversified Products as a Solution (T&DPaaS) is its unique, coresolutions platform to support the evolving world of mobility.
Through Bridgestone T&DPaaS, the Group will expand its solutions
business while also strengthening its core tire and rubber business.
The Group’s new brand message, “Solutions for your journey,”
explains this commitment.

Sustainability Report 2019–2020

X

MID-LONG TERM BUSINESS STRATEGY

Creating and Amplifying Value Through Bridgestone
T&DPaaS
LEADING A GLOBAL REVOLUTION IN MOBILITY

Tires have unique value. As the only part of a vehicle that touches
the road, tires impact the critical functions of driving, turning,braking and transmitting desired vehicle performance to the road.
Tires have evolved significantly from their origin as a way to propelvehicles. Vehicles continue to progress and so do tires. As cars
become smarter and more connected with information by digitaltechnology, tire systems will connect with mobility systems andsupport enhanced performance.

Dan-Totsu Solutions
Dan-Totsu
Services

Dan-Totsu
Products

Dan-Totsu Global Network
Digital Connectivity

Supporting all kinds of mobility systems

Supporting all kinds of mobility
0/XX

Security Classification

0/XX

Security Classification

BRIDGESTONE T&DPaaS

To succeed in its rapidly changing industry and truly transform
With this knowledge, the Group delivers Dan-Totsu (the clear andthe Bridgestone Group for the next generation, its Mid-LongSecurity
Term Classification
absolute leader) products and offerings like innovative tire design,
Business Strategy will accelerate growth by creating new value
predictive maintenance service and strong service channels. Thisfor society and customers. The Bridgestone Tire and Diversified
unique combination of in-person and digital approaches allows
Products as a Solution (Bridgestone T&DPaaS) platform takes
the Bridgestone Group to analyze and utilize large volumes of data
full advantage of the strength of the Group’s knowledge andto co-create new value for society, customers and partners.
experience in tires and rubber to develop solutions that fully linkthe “Real x Digital” worlds.

9 | Mid-Long Term Business Strategy

Sustainability Report 2019–2020

EVOLVING TO A SOLUTIONS BUSINESS BY LEVERAGING THE STRENGTHS OF THE TIRE AND RUBBER BUSINESSThe Bridgestone Group is committed to actively addressing
societal and tire industry issues on its journey to become asustainable solutions company. It sees tremendous opportunity
in the many changes business and society face. To create theseC

Create and sell “value as system”

Mobility
Solution

Business to provide new value through products,
tire related data and mobility related data

B

Create and sell “value”

Tire Centric
Solution

Value amplified(Spiral up)

opportunities, the Group is focused on developing advanced
solutions that contribute social and customer value, while further
strengthening its tires and rubber business.

GrowthBusiness

Business to provide value added to products through products andtire related data

Produce and sell “products”

A
Tire & Rubber

Core
Business

Produce and sell high-value-added products (Dan-Totsu products) at an
optimum cost and price⇒ a base of Bridgestone Business Strategy• CORE BUSINESS: THE TIRE & RUBBER BUSINESS AS A BASE OF THE BRIDGESTONE GROUP’S BUSINESS STRATEGY
Security Classification
1/XX
The Group continues to further strengthen its business of producing
and selling products.
- (Business-A) Tire & Rubber business: Business to produce and sell high-value added products (Dan-Totsu products)• GROWTH BUSINESS: EVOLVING TO SOLUTIONS BUSINESS TO CREATE AND SELL “VALUE” BY LEVERAGING TIRE- AND
MOBILITY-RELATED DATAThe Group is transforming into a solutions business that creates and sells new “value” by utilizing tire- and mobility-related data,
leveraging the strengths of the tire and rubber business.
- (Business-B) Tire Centric Solutions business: Business to provide value-added products through products and tire-related data.
Build our core competencies Bridgestone 3.0- (Business-C) Mobility Solutions business: Business to provide new value through products, tire-related data and mobility-related data

DX / Technology: Bridgestone DXAMPLIFYING THE VALUE OF EACH BUSINESS
Through digital transformation (DX), theBridgestone Group analyzes the data gained
through its solutions business and combines
it with information gained through its“Genbutsu-Genba” decision-making process
based on verified, on-site observations.
By doing so, the Group creates knowledge
it will use to innovate and grow its tire andrubber business by addressing challenges
faced by society and customers. This powerfulcombination amplifies the value of eachbusiness. Together, they lead the businessand growth strategies of the Group.

Engineering Chain

Product Strategy

Material

Manufacturing

Provide Solutions
2nd New value creation
1st Start from visible value

Value Chain
Procurement

2/XX

10 | Mid-Long Term Business Strategy

Product
Development

Contact toSociety & Customer

Realization of “see, analyze, manage“

Supply Plan

Manufacturing

MarketLogistics

Sales
Service

Use

3R

Security Classification

Sustainability Report 2019–2020

MID-LONG TERM BUSINESS STRATEGY

Creating Social and Customer Value
Creating social and customer value through the Business-A “tire and rubber business”
THE HISTORY AND VALUE EVOLUTION

Building on its legacy of tire industry leadership, the BridgestoneGroup continues to innovate to support an evolving mobile society
such as MaaS (Mobility as a Solution) and CASE (Connected,
Autonomous, Shared, Electric). Today, it is developing an entirely
new concept in pneumatic tires and a non-pneumatic resilient
contact wheel to best support mobility in the emerging
sustainable, circular economy.

Over the years, tires have evolved to improve mobility. Fromearly wooden wheels used on horse-drawn wagons, to smootherriding pneumatic tires, to radial tires that support higher speeds
and enhanced performance, the safety and economy of tires has
continued to advance. In recent years, tire production and design
have improved even further to reduce CO2 emissions and better
conserve natural resources as society moves to a more sustainable
and circular economy.

TIRES THAT PROVIDE SOCIAL AND CUSTOMER VALUE

Tires play an essential role in driver, passenger and vehicle safety.
“Tires carry life” — this is a fact that we take extremely seriously
and with great responsibility. The Bridgestone Group is proud of its
brands that conveys safety, peace of mind, trust and innovation.
By maximizing its tire and rubber expertise, along with its DanTotsu products and global maintenance service network, theGroup will continue to innovate in ways that deliver social andcustomer value, including tire safety, improved environmental
performance, economy and productivity.

As tires have continued to evolve, the Bridgestone Group has
continued to strengthen the value it delivers to society andcustomers by improving the safety, environmental performance,
economy and productivity of its tires. These improvements havebeen and continue to be driven by the Group’s commitment to
Dan-Totsu (the clear and absolute leader) products and its longestablished Mission of “Serving Society with Superior Quality.”
For example, run-flat technology allows vehicles to move andstop safely even when tires are punctured. BLIZZAK tires perform
exceptionally well on snowy and frozen roads. And ECOPIA
with ologic and ENLITEN achieve high-level fuel efficiency withlight weight.

EVOLUTION OF MOBILITY AND TIRE

Motorization
Required high-speed drive
Stone Paved

GroundMobility

Carry
Heavy
Stuﬀ

New Urban
Transportation

Expansion of Paved Road

Carry People and Stuﬀ by
Manpower and Horses

Pneumatic Tire

MaaS • CASE

Bias

Carry a lot of People and Things by Vehicle

Diversified Mobility

Contribute to a Sustainable Society

RadialWoodenWheel

Bridgestone Dan-Totsu Product

Wheel Tire

Run-flat
technology
tire

BLIZZAKECOPIA
with
ologicEnlitentechnology
tire

1986~

1988~

2014~

2019~

Innovative Pneumatic Tire
Innovative Non-pneumaticContact Wheel

Carry Heavy Stuﬀ Easily

SAFETY

Carry
Bear

High Speed

DurableLong LifeECONOMICS

Stop • Curve • High Speed

Puncture Solution • Improve Ice/Snow PerformanceLong Life Durable

Fuel Eﬃciency

PRODUCTIVITY
ENVIRONMENT

CO2
Reduction

No Puncture / Maintenance Less
Eﬃciency in Life Cycle Cost

Non-stop Operation

Maintenance FreeEﬃciency in LCA
for Environment

Reuse / Recycle / Circular Economy
Eﬃciency in LCA for Environment

11 | Mid-Long Term Business Strategy

Sustainability Report 2019–2020

ECOPIAECOPIA is one of the Bridgestone Group's Dan-Totsu tire productsthat contribute to a sustainable society. It's high-dimension
performance reduces rolling resistance, which improves fuelefficiency and results in fewer CO2 emissions. It has superior
braking performance in wet and dry conditions. ECOPIA tires
also have a long-life and promote a stable, silent and superb ride.
ECOPIA with ologic technology further improves fuel efficiency
and has been adopted for use in BMW's evolutionary i3 electricvehicle. It also is used in solar cars that won the Bridgestone
World Solar Challenge.

Run-Flat Technology1

Run-flat technology tires can operate at a set speed over a predetermined distance, even after air pressure has been lost due
to a puncture or other cause. Not only do these tires contributeto improved vehicle safety, they also reduce resource use byeliminating the need for spare tires, which are often disposed ofafter having never been used. In addition, eliminating spare tires
makes vehicles lighter and more fuel efficient. The BridgestoneGroup introduced DriveGuard tires, which are equipped with next
generation run-flat technology for mass-produced vehicles andcan be changed from normal tires2, ahead of the market.
		The technology can safely drive on for up to 80km at 80km/h after a puncture (Drivabledistance under conditions based on ISO technical standard or specific vehicle tests).
		DriveGuard tires are designed for vehicles equipped with a Tire Pressure Monitoring
System (TPMS).

1BLIZZAKBLIZZAK studless winter tires use Bridgestone’s acclaimed foamed
rubber technology to deliver safe and sure handling on icy roads.
Combined with various other technologies, these tires provide
peace of mind on slippery winter roads. Because of their longlasting safety performance, BLIZZAK tires are economical to use
and beneficial to the environment.

AirFree Concept

The Bridgestone Group’s AirFree Concept has a unique structureof spokes stretching along the inner sides of the tire that support
the weight of the vehicle. There is no air in the tires, so they requireless maintenance. The worry of punctures is also eliminated,
resulting in improved safety. In addition, some of materials used
this concept are recyclable. The tires set a new standard forenvironmental friendliness, safety and comfort. The BridgestoneGroup continues listening to customers to develop practical uses
for these concept tires.
The Bridgestone Group’s products support mobility by providing
the right solutions for everything from personal mobility to thelunar rover currently in development.

2

12 | Mid-Long Term Business Strategy

Sustainability Report 2019–2020

MID-LONG TERM BUSINESS STRATEGY

Creating Social and Customer Value

Creating social and customer value through the Business-B “tire centric solutions”
Tires are essential for most means of mobility. Without tires,
society has few options for moving from place to place. If a tireis damaged, the driver may be in a dangerous condition, and it
may stop logistics. Fortunately, today’s tires provide unprecedented
performance. However, to achieve this level of performance,
appropriate maintenance is essential. This includes regularly
inspecting tires for routine wear and monitoring inflation pressure
to prevent tire failure. Also, low tire pressure reduces fuel economy
and increases tire wear and tear.
The tire centric solutions business of the Bridgestone Group
provides new, additional value to consumers by utilizing tire-

0/XX

related data to help prevent performance issues, allowing
customers to benefit from maximum use of their tires. Specifically,
the Group will work to further reduce the total cost of tireownership (TCO) by reducing time and labor costs, preventing
downtime and supporting safe vehicle operation. Creating thissafe, effective mobility infrastructure also creates social value by
improving the productivity of tire resources, supporting a circular
economy and reducing CO2 emissions across the value chain.
The Bridgestone Group’s Dan-Totsu products, services andmaintenance network of its tire centric solutions business willcontribute to enhanced mobility and create important socialand customer value.

Security Classification

TECHNOLOGY, PRODUCTS AND SERVICES SUPPORT TIRE CENTRIC SOLUTIONS

Digital Technology
By developing and deploying digital technology, such as theGroup's Tirematics system that measures tire pressure andtemperature and provides remote monitoring in real time, theGroup can monitor and analyze data on the full lifecycle of eachtire. Using its unique algorithm, this information allows the Groupto accurately evaluate the condition of a tire, predict its remaining
durability, determine required preventive maintenance, andprevent downtime from tire damage. Helping drivers operate

13 | Mid-Long Term Business Strategy

vehicles with proper tire pressure also improves fuel efficiency andreduces CO2 emissions.

Retreading Tires
The Bridgestone Group receives tires that customers have properly
maintained and retreads them for reuse. By initially developing
durable tires, leveraging digital data to manage their use, andproviding appropriate maintenance, it is possible to retread tires
several times. This process uses less than one-third of the raw

Sustainability Report 2019–2020

materials needed to make new tires. Retreading reduces CO2
emissions and reuses the entire tire casing, a major contribution
to resource productivity in a circular economy.

Subscription Model
In Europe, the Bridgestone Group isdeveloping solutions for passenger
cars and their owners. The Group's
tire subscription service, mobox,
includes new, premium tires
and regular tire maintenance to keep drivers safe and operating
efficiently. It also includes additional vehicle-related services suchas oil maintenance and summer/winter tire switching. This service
will expand to other regions in the future.

Creating social and customer value through the Business-C “mobility solutions business”
With recent developments like MaaS and CASE, the mobility
industry is facing a once-in-a-century pace of change. As mobility
continues to rapidly evolve, it has the strong potential to solve
many of the challenges affecting society. The Bridgestone Group’s
mobility solutions business creates new value by combining its
wealth of knowledge about tires with tire and mobility data tocontribute to world mobility.
Because the tire is the only part of the vehicle that touches theroad, it plays an important role supporting mobility. As the world of
mobility continues to evolve, what the customer needs from tires
becomes even more sophisticated, complicated and systemized —further increasing the importance and role of the tire.

1/XX

14 | Mid-Long Term Business Strategy

The Bridgestone Group addresses these needs by creating andproviding new value as it connects the real and digital worlds. For
customers, the Group’s solutions that maximize tire performancehelp optimize operations and introduce damage prevention
measures that avoid downtime, improve vehicle performanceand reduce the total cost of ownership (TCO). These benefits areprovided by leveraging Dan-Totsu tires, unique digital tire-wear
prediction technologies, and real-time monitoring of mobility orroad conditions. For society, the value the Group co-creates withcustomers and partners reduces CO2 emissions and helps realize acircular economy.

Security Classification

Sustainability Report 2019–2020

MID-LONG TERM BUSINESS STRATEGY

Creating Social and Customer Value

The Bridgestone Group is creating new value by combining the real and digital worlds.
It is leveraging its tire and rubber expertise, combined with tire- and mobility-relateddata, to solve social and customer issues with Dan-Totsu (the clear and absolute leader)
products, services and service networks.
Mining Solutions

Mining is one of the toughest jobs for a tire. Any tire failure
brings operations to an immediate halt, greatly decreasing
productivity. The Group can provide mines with increased tire
life span, high running speed and heavier load weight with its
BRIDGESTONE MASTERCORE tire. The tire’s enhanced durability
in this environment maximizes performance that eliminates
downtime from tire-related issues. The Group also helps improve
productivity by tailoring comprehensive services for each minesite, offering tire sales, maintenance and repair for mining
vehicles, tire fittings and more. This results in improved mine
productivity, reduced downtime and lessened environmental
impact.
By attaching a sensor to the tire, the Bridgestone Group canmonitor the operation of tire data from each vehicle. With thisdata and its years of expertise, the Group can provide solutions
that optimize each mine’s vehicle operations, addressing
everything from vehicle-operations management to tire-asset
management, replacement and rotation. The data also is
helping the Bridgestone Group develop even better products.
These products increase the life span of tires, improve resource
productivity and further reduce CO2 emissions. This is anotherexample of the Group, together with customers, co-creatingsocial value such as improved resource productivity and reduced
CO2 emissions by maximizing the usage of tires.

Aircraft Solutions
The airline industry is another area where tires experience difficult
operating conditions, supporting the weight and speed of aircraft
while exposed to repeated takeoffs and landings. Creating anaircraft tire demands the utmost technological capabilities.
However, aircraft tires don’t always need to be replaced with newtires — it is safe and common to use retreads where tire treads are
replaced after a few hundred takeoffs and landings. But, because
the rate of tire wear varies based on a variety of conditions, it is
crucial that airlines properly conduct regular tire inspections andmaintenance and have robust tire inventory management plans.
Bridgestone is collaborating with Japan Airlines (JAL) to realize
greater accuracy in aircraft tire management and maintenanceplans by combining JAL’s aircraft insights and flight data with theGroup’s tire insights and digital tire-wear prediction technologies.
In doing so, Bridgestone creates social and customer value.
Customers benefit from optimizing tire assets, safe flight
operations and improved maintenance efficiency. Society benefits
from improved resource productivity and reduced CO2 emissions
from manufacturing.
This solutions business is the Group’s unique model, based on thevarious findings the Group's field engineers identified by working
closely with customers. We will continue to expand this as abusiness that creates social and customer value.

In Australia, with its huge mining industry, the Group has
established two mining solution centers with these solutions
close to customers and plans to expand this approach globally.
In this way, the Group provides solutions that contribute tocustomers’ improved safety, environment, economy andproductivity by combining Dan-Totsu (the clear and absoluteleader) products, maintenance services and service networks.

15 | Mid-Long Term Business Strategy

Sustainability Report 2019–2020

Fleet Solutions

VOICE OF THE CUSTOMERThe Bridgestone Group supports fleet customers by considering
their unique needs and providing high-quality products,
services and a service network that improve safety. The Grouphelps operators manage new tire inventories and monitor tire
maintenance during use. By using the Internet of Things (IoT)
and other digital tools, customers can manage and analyze
information throughout each tire’s lifecycle to operate safely
by preventing tire-related issues. The retreads the Group
provides also reduce customers’ total cost of ownership (TCO)
and environmental footprints.
For example, the WEBFLEET service from the Group's Webfleet
Solutions business supports transportation operation andcontributes to improved safety, efficiency and productivityof drivers and operators by managing various data related tovehicle operations. The Group also contributes to improved
fuel efficiency and reduced CO2 emissions by streamlining
operations. To date, 900,000 vehicles have used WEBFLEET.
By combining vehicle operations data with the BridgestoneGroup’s knowledge of tire wear and durability, it can provide awider range of solutions, including products and services based on
customers’ unique operating conditions and needs. Additionally,
data on vehicle operating and tire usage conditions is being
deployed by R&D teams to more rapidly develop high-quality
tires that meet customers’ evolving needs.

VEHICLEOPERATIONDATAMOBILITY DATAMOBILITY SOLUTIONSTIRE X TIRE DATA X MOBILITY DATATIREMAINTENANCE
DATA

16 | Mid-Long Term Business Strategy

TIRE CENTRIC SOLUTIONSTIRE X TIRE DATA“WEBFLEET has been a total win-win for us, our insurers,
our drivers and the environment. It’s one of the best
investments we’ve ever made. The figures speak forthemselves:•

10% reduction in fuel costs;•

 ,000 tonne reduction in CO2 emissions;2•Approximately ¥171 million/$1.6 million in insurance
claims savings;•

58% reduction in inefficient or unsafe driving; and,•Speeding virtually eliminated.”Peter Kelly

Group Compliance and Fleet Manager, Elis

MaaS Solutions
As mobility continues to evolve, how people move is changing as
more and more MaaS innovations are introduced. Companies like
Bridgestone that offer mobility as a solution are helping to addresstransportation-related social issues and contributing to people
realizing unique, diverse and fulfilling lives.
As society moves to more sophisticated and complicated ondemand, autonomous, high-occupancy rate, multipurposeand electric vehicles, significant improvement is required intire performance. Until now, drivers often detected various
abnormalities, but in the future, unattended operation will
make tires a more important factor than ever. Sensors in tires
will relay information to the vehicle's ecosystem, requiring asystem that supports planned and safe operation. Leveraging
experiences gained from mining solutions and aircraft solutions,
the Bridgestone Group will continue to contribute significant
value to the evolution of mobility systems by maximizing MaaS
operations, integrating high-performance tires, preventive
maintenance and emergency systems based on sophisticated
MaaS detection predication and optimization technologies.

Sustainability Report 2019–2020

MID-LONG TERM BUSINESS STRATEGY

Co-creating New Value for the Future

The Bridgestone Group will contribute to the realization of a sustainable mobile society bypromoting open innovation and working with partners to fuse technologies from various fields.
Advanced MaterialWORLD’S FIRST POLYMER THAT COMBINES THE
FLEXIBILITY OF RUBBER AND TOUGHNESS OF RESIN

The Bridgestone Group created the world’s first, next-generation
polymer that bonds rubbers and resins on the molecularlevel. Named SUSYM — a combination of the words “sustain,”“symphony,” and “symbiosis,” — the polymer is a useful tire
material. It also is expected to have a wide variety of other useful
applications. SUSYM boasts the high levels of durability andresistance found in conventional rubber coupled with substantiallyhigher levels of performance with regard to puncture resistance,
repairability and recyclability, and resistance to low-temperature
impact. The new polymer also requires fewer resources to
produce, contributing to a more sustainable society. The Groupis collaborating with a number of companies and organizations,through its Open Innovation Hub or other platforms, to conduct
research and development on the application of the SUSYM
technology to a wide variety of fields.

Structure
BLAZING A TRAIL FROM EARTH TO SPACE

Together with the Japan Aerospace Exploration Agency (JAXA) andToyota Motor Corporation, Bridgestone is conducting research anddevelopment activities for tires to be mounted on a pressurized
rover required for human exploration activities on the moon. The
Company is contributing to the mission by developing flexible andstrong tires that perform in the harsh environment of the lunar
surface. Like all tires, these must perform four essential roles:
1. Supporting the lunar rover’s load;
2. Transmitting driving force and braking force;
3. Changing and maintaining direction; and,4. Performing on a variety of surface conditions, including slopes
and rocky sand.

InfrastructureThis technology, developed for the harshest conditions
experienced on the surface of the moon, is expected to havewide-ranging applications in the future.

CONTRIBUTING TO A LOW-CARBON SOCIETY BY COCREATING AN INDUSTRY-ACADEMIA-GOVERNMENTCOLLABORATION FOR WIRELESS CHARGING FROMROADS TO IN-WHEEL MOTORS

Bridgestone is participating in a project to develop practical uses
for transferring the in-wheel power generated by in-wheel motors
used in electric vehicles. It is collaborating with Hori and the
Fujimoto Laboratory of the Graduate School of Frontier Sciences at
the University of Tokyo, other companies and research institutes.
The Company's role in the partnership is to develop the tire
technology to transfer this energy during power charging.
Courtesy of Toyota Motor Corporation

17 | Mid-Long Term Business Strategy

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NEW PLACES FOR CREATING VALUE THROUGH INNOVATIONThe Bridgestone Group promotes co-creating new value with
communities, customers and partners to encourage new solutions.
To do so, it is establishing a new base of innovation with a seriesof significant construction projects designed to accelerate theGroup’s transformation into a global leader in advanced mobility
and sustainable solutions for future generations.

Bridgestone Cross Point
Bridgestone Cross Point (BXP) at Museum Tower Kyobashi in Tokyo
is a place where people, ideas, companies and society intersect tocreate new value. BXP, which opened June 2020, was designed tofoster open collaboration among the Group, its customers and its
partners to help drive innovation, design and brand projects thatwill deliver advanced, sustainable solutions for a world in motion.

Overview of Bridgestone Innovation Park

B-Innovation: Next-generation innovation andcollaboration lab empowering joint creation withvarious internal and external stakeholders.

Photography: Tomooki Kengaku

Bridgestone Innovation Park
Bridgestone Innovation Park in Tokyo is a multiyear projectthat involves a major reconstruction of the Company's existing
operations and includes four new facilities set to open over the
next four years. It has been designed to foster the flexibility andcreativity needed to support a more inclusive and connectedsociety. The first facility is scheduled to open in 2020. The four
facilities include B-Innovation, Bridgestone Active Healthy Lifestyle(AHL) Arena, Bridgestone Innovation Gallery, and B-Mobility.

Bridgestone AHL Arena: Barrier-free activity center
providing access to sports for people of all ages andabilities, designed to promote a more diverse andinclusive society.
Bridgestone Innovation Gallery: Museum dedicatedto Bridgestone history and innovation initiatives.
B-Mobility: Demonstration and testing facility topromote agile product development.

18 | Mid-Long Term Business Strategy

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Corporate Governance

The Bridgestone Group is committed becoming “a sustainable
solutions company.” Our strong governance will enable us to keep thiscommitment, which will evolve and be continuously enhanced.
Global CEO Shu Ishibashi and Dr. Scott Davis discuss how theBridgestone's Group's governance will support the achievement

Scott Trevor Davis, Ph. D.
Independent Director

Governance as the means for promoting
mutual understanding and trust
Dr. Scott Davis: On the first sentence of this Sustainability Report,
you state that the Bridgestone Group’s mobility solutions strategy
embodied in the Mid-Long Term Business Strategy is a promise to
create great opportunities by realizing transformative synergies
that leverage the skills and assets of a range of stakeholders. It
is an invitation to join in and take a stake in the future. Making
and keeping such a promise will require an understanding of andcommitment to good governance. As CEO, what is your approachto governance?
Global CEO Shu Ishibashi: Good governance provides us withthe foundation for working constructively with a wide range ofstakeholders. It ensures that we can understand and trust eachother.
Davis: The mobility solutions strategy holds great potential forboth transforming mobility and facilitating the involvement ofa wide range of stakeholders in the process. Is the BridgestoneGroup’s governance up to the task?

19 | Corporate Governanceof its Mid-Long Term Business Strategy and its evolution into asustainable solutions company.

Shuichi Ishibashi
Member of the Board
Global CEO and Representative Executive Officer

Ishibashi: Yes, for two reasons. First, our governance is a workin constant progress. It was initially designed when the company
was established and has constantly evolved since to meet theneeds of changing expectations and demands. The BridgestoneGroup’s governance developed as it transitioned from family toteam management, Japan-centric to global management, andfollowing the introduction of external directors, who now holdthe majority of board seats. Our objective is to ensure that its
governance policy and structure is fully capable of respecting andheeding the opinions and positions representative of the diverse
range of people, communities and organizations with a stake inour business.

BOARD OF DIRECTORS (13)INTERNAL

EXTERNAL

Chairperson
Representative
Executive
Officer

Sustainability Report 2019–2020

The second reason I’m confident in our governance we haveembodied our mission of “Serving Society with Superior Quality”
in the Our Way to Serve approach to corporate social responsibility.
Our diversity, inclusivity and objectivity, combined with thestructures that have been put in place to work toward theachievement of the Our Way to Serve goals, ensure that we areconstantly aware of what we are doing and questioning what
we should be doing to achieve our goals.
Davis: So you are saying that respect is needed to create inclusion
out of diversity.
Ishibashi: Conflict will naturally emerge in management asregional and global needs are prioritized and balanced. If people
do not see the big strategic picture, this conflict cannot beeffectively managed.
Another critically important point is for everyone to be able tounderstand and respect the position of others. Our executives
respect each other. Within this culture of respect, they understandregional differences in priorities and are able to debate anddevelop strategies for moving forward as a whole. This has becomea significant strength for managing the Bridgestone Group as a
global corporation and this is made possible by good governance.

Governance to determine the right way
forward
Davis: The Bridgestone Group is a large global organization
with people engaged in a wide range of functions with their own
specific requirements and concerns. Gaining the understanding
and commitment of the various divisions and members throughout
this organization will be a critical part of ensuring the successof the mobility solutions strategy. Getting everyone on thesame page and facing the same direction will also require good
governance. How do you intend to achieve this?
Ishibashi: From the very earliest stages of my career, I havebelieved that it is important to have an eye on both the details andthe big picture — to be able to see things from, as we say in Japan,
the perspective of “both the bird and the worm.”
To deliver solutions we must understand the problems as wellas the needs of our customers — perhaps even better than they
do — and work together to achieve results. Of course, we havethe Board of Directors and the Global EXCO as the highest bodyof global business execution. We also have processes in eachregion where we can deliberate and decide what must be done
locally. We will continue to value those who make contributions
to the business in the various ways that they have done until now

20 | Corporate Governancebecause everyone’s contribution is a contribution for enabling
mobility. We will also use our communication channels (townhalls, TQM activities, etc.) to come together to discuss what
is possible for us as a global and diverse organization. I have afavorite saying in Japanese: “those that ride in the palanquin,
those that bear the palanquin, all are supported by the one thatmakes the bearer’s sandals — both the least and yet the mostimportant thing of all — the sandals.” I take pride in the factthat our business enables the whole mobility industry. Tires,
which as individual products have added value by facilitating thetransportation of individuals and things, will now create value
by enabling the realization of mobility solutions.

Governance to create mutually beneficial
trust and support value co-creating
partnerships
Davis: Implementing the mobility solutions strategy will allow theBridgestone Group to interact with a wider and different range ofstakeholders. How will this affect the demands and expectationsof governance at the Group and how should it meet these
expectations?
Ishibashi: Up until now, we have worked together primarily
with customers. As we move forward, all our capabilities as anorganization have to be carefully aligned and we must share acommon understanding of how we can continue to support andwork with these partners to strengthen mutual trust. Effective
corporate governance is an essential part of this. We will earn trustby contributing to society’s shared vision of what must be done.
This will require governance for co-creation. I have no illusion thatrealizing such a level of governance will be an easy task.
Davis: What message regarding governance do you wantstakeholders to take away from this Sustainability Report?
Ishibashi: I want everyone to know that we are constantly
investing our time and resources into developing our governanceso that we may achieve our vision of mobility solutions and, in
doing so, continue to be a trustworthy partner. Our mobility
solutions strategy will only be successful if we earn and keep
our partners’ trust and if they in turn see fit to partner with us inco-creating value that leads to a better future. Good governanceis part of our effort to co-create sustainability for the future.
Details of the Bridgestone Group’s Corporate Governance areavailable online.

Sustainability Report 2019–2020

FRAMEWORK TO REALIZE SUSTAINABLE SOCIETY

GUIDED BY OUR WAY TO SERVE

Introduced in 2017, Our Way to Serve is the Bridgestone Group’s
framework to help realize a sustainable society. The Group is
doing so by:Integrating sustainability into its culture, business strategy
and operations;•Co-creating new social and customer value with
communities, customers and partners; and,•

Sustainably providing value by balancing societal andcustomer needs and expectations.

Our Way to Serve focuses on three Priority Areas — Mobility,
People and Environment — to help improve the way people move,
live, work and play. Underpinning these commitments are six
Management Fundamentals that articulate the high standards
the Bridgestone Group has set for itself as a responsible and ethicalbusiness. The Group regularly engages with a wide variety of
stakeholders to better understand worldwide challenges
and social issues.

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•

ea

m

Asp

ir a ti o n s &Eng

21 | Framework to Realize Sustainable Society | Our Way to ServeDr

age ment

Sustainability Report 2019–2020

FRAMEWORK TO REALIZE SUSTAINABLE SOCIETY

Our Way to Serve is Core to Realizing the Mid-Long
Term Business Strategy
CULTURAL INTEGRATIONA Message from Christine Karbowiak
Executive Vice President and Executive Officer
Member of Global EXCO
Responsible for Public Relations, Government Relations
and Sustainability ∙ Global CSTO*
Global Sustainability Committee Chairperson*Chief Sustainability Officer

As you can see by reviewing contents of this Sustainability Report,
the Bridgestone Group is continuing to work vigorously toward
its vision of a sustainable society by providing value to society
and customers. And while managing Environmental, Social andGovernance (ESG) issues in a responsible way has long been acommitment and a hallmark of the Group, today, proactively
addressing these issues is more important than ever.
To meet the expectations we have of ourselves and that others
have of the Group, and to realize our Mid-Long Term Business
Strategy, we see the Our Way to Serve sustainability framework as
fundamental and continue to prioritize it in all that we do. Throughthis framework, we are able to address three key components
necessary to co-create new value for society with communities,
customers, and partners, namely a sustainability business model,
trust and Management Fundamentals. We’re operationalizing
this framework by developing and promoting a sustainability
business model that allows us to co-create social and customer
value and ensure a competitive advantage. Also, as an industry
leader, we're engaging with stakeholders to further understandtheir expectations with respect to our role, and to turn that
understanding into action.
Successful co-creation of social and customer value will require
great levels of trust from our stakeholders. We will be guided bythis framework as we continue to build trust with stakeholders
and society at large.
Essential to this work are the Bridgestone Group’s six Management
Fundamentals that guide how we responsibly and ethicallyapproach the creation of social and customer value. Our
Management Fundamentals address important topics such as
human rights, safety and responsible labor practices all along
the value chain. For example, in 2018 we introduced our Global
Sustainable Procurement Policy, Global Human Rights Policy
and Code of Conduct. We’ll continue to be guided by the values
inherent in our Management Fundamentals as we advance the Our
Way to Serve Priority Areas of Mobility, People and Environment.

As reflected throughout this Sustainability Report, the Group
continues to incorporate Our Way to Serve into our corporate
culture, values and brand in order to ensure that it becomes anintegral part of employees’ lives, in all that they do, every day. And
we are making good progress on that front, as our 2019 employee
survey showed that 97%1 of those who responded to the survey
are aware of the framework. We also continue to raise awarenessof our Priority Areas and Management Fundamentals through theannual Bridgestone Group Awards which recognize outstanding
work that is aligned with the Our Way to Serve framework.

STRATEGIC INTEGRATIONAs the Bridgestone Group continues to implement the Our Way
to Serve framework in order to support the establishment of asustainable business model designed to achieve its Mid-Long TermBusiness Strategy, we will continue to align sustainability initiatives
with our overall business goals and strategy across the value chain.
Doing so delivers value for society and customers as we engage incollaborative projects such as the Global Platform for Sustainable
Natural Rubber and the Tire Industry Project. Bottom line, what’s
good for society is good for business. I am also pleased to reportthat the Bridgestone Board of Directors is fully engaged in thissustainability journey and has requested regular reports from theCompany as to its progress; it was my privilege to provide the mostrecent such report in my role as the Global Chief Sustainability
Officer in November 2019.

OPERATIONAL INTEGRATION

Our Way to Serve is led holistically and globally by the Global
Sustainability Committee (GSC, formerly the Global CSR
Enhancement Committee) with working groups of crossfunctional, cross-regional leaders responsible for operationalizing
the Bridgestone Group’s sustainability framework. The Global
Sustainability Committee reports to the Global EXCO.
The Group also established a Global Sustainability Function withmembers from each region to activate its sustainability journey
to ensure the successful cultural, strategic and operational
integration of Our Way to Serve. My mission as Global CSTO andGlobal Sustainability Committee chairperson is to direct theGroup’s sustainability strategy, advancing its recommendations
to the Global EXCO, the highest level committee overseeing theBridgestone Group’s business strategy and execution.
We at the Bridgestone Group are proud of the progress we’ve
made on our sustainability journey and we are excited about the
progress yet to come.

1

		16,675 employees responded to the online survey. (respondents are those employees who have
email addresses and most are managers and staff).

22 | Framework to Realize Sustainable Society | Our Way to Serve is Core to Realizing the Mid-Long Term Business Strategy

Sustainability Report 2019–2020

PEOPLEPRIORITY AREA

PEOPLEThe Bridgestone Group’s People Priority Area mission is to“employ its strengths to support communities and enhance theway people live, learn and work.” It is doing so by contributing
to a safer society, supporting accessible and inclusive education,and promoting healthier communities.
The Bridgestone Group conducts business in more than 150
countries, employs over 140,000 people and interacts with diverse
cultures and local communities throughout the world.
These local communities face a variety of unique issues, including
income disparity and poverty. To realize the Group’s vision toward
2050, it strives to co-create social and customer value by working
with diverse stakeholders to improve the quality of life for people
in these local communities and its employees. It does so bycontributing to a safer society, supporting accessible and inclusive
education, and promoting healthier communities.
After inventorying existing programs and considering local,
regional and global needs, the Group’s future People Priority Area
efforts will be directed toward contributing to a safer society byfocusing on disaster and emergency relief efforts; supporting
accessible education for next generations; and promoting
healthier communities by introducing initiatives that align withthe agenda of the World Health Organization to meet global andregional challenges. Road safety is a key initiative within thesethree goals and will be a key area of focus moving forward.
As a tire company, road safety is at the core of the BridgestoneGroup. For example, its WEBFLEET fleet management solution
provides all the information fleet managers need to protect drivers
by managing their inventories and optimizing operations. In
addition, monitoring and analyzing driver behavior supports driver
wellbeing and prompts safe driving. Overall, WEBFLEET createsvalue for its customers and societal value by improving the qualityof life for drivers doing physically and mentally demanding work.

SUPPORTING ACTIVE AND HEALTHY LIFESTYLES

The Bridgestone Group aims to become a leading
model of an inclusive society by promoting active andhealthy lifestyles. By addressing a variety of social issues,
including helping the elderly and those with physicalchallenges more fully engage in physical activity,
the Group is co-creating value with communities andpartners. For example, the Bridgestone AHL Arena,scheduled to open in March 2022, will be a barrier-free
activity center leveraging cutting edge-technology andscience to encourage social participation by all. Multiple
stakeholders, including other companies, a research
institute and other partners are collaborating with the
Bridgestone Group to support all people within thecommunity.

BRIDGESTONE RUBBER ACTUATOR

The Bridgestone Group, the University of Tokyo andother companies are partnering on the developmentof a high-powered artificial “muscle,” or actuator thatgenerates motion and power, using the Group’s tire andrubber technology. The actuator is lightweight, durable,
and able to move smoothly with great power, making it
ideal for applications that support walking and playing,training, light labor and robotic arms.

Additional examples of how the Bridgestone Group is creatingsocial and customer value across the People Priority Area of its Our
Way to Serve CSR framework are included on the following pages.

24 | People

Sustainability Report 2019–2020

PEOPLE

Contributing to a Safer Society

History pages

In Vietnam, where 70% of the population resides in coastal
areas and low-lying deltas, communities are extremely
vulnerable to river and coastal flooding. Because of a lack of
key infrastructure, including bridges, children are unable tosafely commute to school without crossing dangerously highrivers using wooden rafts or even ropes made of plastic bags.
Bridgestone Tire Manufacturing Vietnam Limited Liability
Company's Bridge to Knowledge campaign pledges to build
20 bridges across flood-prone Vietnam by 2030 and tomaintain the bridges for 10 years. Already, in 2019, Bridgestonecompleted two bridges in the Dak Lak and Dien Bien provinces,improving conditions for 3,927 community members andhelping 335 children get to school safely. More bridges areunderway in other provinces. The project gives disadvantaged
members of the community access to inclusive education andcreates safer mobility options — which in turn help to build athriving local economy.
To help ensure safe mobility on the road and reduce the numberof traffic accidents, Bridgestone India Private Ltd. focused on
developing truck driving skills and providing a vision correction
program for truckers. The Group implemented both initiatives
with the help of its employee volunteers. To date, 450 youths
have been trained as skilled commercial drivers, 6,250 truckers
have undergone vision check-ups and treatment, with 2,520
spectacles distributed to truckers for vision correction.
Additionally, the program provided counseling sessions focusedon adopting healthier lifestyles.
To help prevent damage from seismic shock due to earthquakes,
the Bridgestone Group supplied its cutting-edge seismic
isolation bearings for two newly-constructed permanent
venues that will host competition during the Olympic andParalympic Games Tokyo 2020 (rescheduled for July 2021).
The bearings were installed beneath the roof instead of under
the foundation to help lower the burden placed on the roof's
structural support elements.

25 | People | Contributing to a Safer Society

Sustainability Report 2019–2020

PEOPLE

Accessible and Inclusive Education

As the Bridgestone Group expands education and training opportunities to help
people develop life and career skills, the greatest impact it can have is with roadsafety education.
In 2019, this work came to life through multiple programs aroundthe world:•

In Vietnam, the Group collaborated with primary school
teachers to educate more than 3,000 students in Hanoi and
Ho Chi Minh City on traffic laws and safety tips.

•

Employees from eight countries and 13 sites in Bridgestone
Europe, Middle East and Africa shared personal stories ofnear-miss situations. Stories were translated, illustrated, someof them put into videos, and all posted online to be seen andshared with anyone to learn from these experiences and avoid
similar situations. About 3,800 people visited the website.

•

In Poland, more than 33,000 children in about 300
kindergartens around Poznan have learned about auto safety
since 2008. Employee volunteers share important information
on using car and booster seats, how to be a safe pedestrianand other safety-related information.

•

The Bridgestone Traffic Education Project debuted in Brazil
in 2018 to raise awareness of road safety with young children
and teenagers. Since then, more than 6,000 students infive schools across the country have learned about creatinga safer driving community. BSAM also gave its Interactive
Road Game to local Departments of Education to further thisimportant training.

In Turkey, Brisa Bridgestone Sabancı Lastik Sanayi ve Ticaret A.Ş.
(Brisa), Bridgestone's affiliated company, is helping disadvantaged
and underprivileged people secure employment as tire service
technicians. Since 2010, Brisa has trained about 5,000 students.
Most recently, two innovative new programs trained 26 women
technicians, the first women in the tire sector to work in local
dealers, and at least 50 people currently in prison are receiving
technician training to help them reintegrate into society.
Additionally, more than 5,000 students have taken free courses
offered in vocational high schools; 65 of these students now
work with Brisa dealers.

26 | People | Accessible and Inclusive Education

Sustainability Report 2019–2020

PEOPLE

Promoting Healthier Communities

The Bridgestone Group works to ensure access to the resources people need to live
healthier lives. One of the primary ways it does so is by encouraging employees andother stakeholders around the world to volunteer to help strengthen communities.
In 2019, BSAM held its first Volunteer Week. From Dec. 2 – 8,
2019, about 475 employees across the region volunteered nearly
1,600 hours. Volunteers cleaned more than 15 public sites andwaterways; prepared, packaged and donated almost 18,000
meals; and provided needed clothing and toys to almost 1,000
individuals and families.

“ At Bridgestone, we have always embraced our
responsibility to improve the ways in whichpeople move, live, work and play. The results ofthe 2019 Bridgestone Americas Volunteer Week
demonstrate the impact an organization can havewhen its employees work together to serve theircommunities.”- Chris Karbowiak, Global CSTO

Halfway around the world, Bridgestone employees volunteer
with children who lost their parents or guardians in the 2011
earthquake and tsunami. Led by the Ochanomizu Academic
Association, volunteers spend quality time building important
relationships with these children. Bridgestone also offers its
recreational facilities for Association camps and other activities.

and foundations related to cancer. For the first time, employees
used the Bridgestone Group's BS-Fit mobile app, which enables
them to track their steps and maintain health. More than 20,000
employees participated, logging more than 15 billion steps andunlocking donations of USD 113,000.
Within its own operations, BSAM works to create a diverse andinclusive workplace by offering five employee resources groups(ERGs). Open to all, ERGs support employees, create opportunities
to engage in community-service volunteerism, and offer learningand development opportunities. ERGs include:•

BRAVO community of veterans and veteran supporters;•

BWIN helping female employees thrive and lead;•

BNEXTGEN supporting the growth and development of young
professionals;•

BProud! encouraging an environment of inclusiveness andcollaboration; and,•BOLD empowering an inclusive community of Black/Africa
American employees and allies.

To encourage healthier communities in the region and join
the fight against cancer, BSCAP collaborated with the Breast
Cancer Foundation (BCF) to develop a first-of-its-kind nursery
rhyme campaign titled “Molly Monkey Sings and Saves.” The
campaign uses the familiar tune of “Wheels on the Bus” toillustrate how to conduct a breast self-check, serving as animportant reminder for women to take charge of their healththrough regular self-examination.
More than 5,000 participants in Singapore’s Pink Ribbon Walk
learned of the campaign that encourages children to remind
their mothers of this important health check.
As a firm believer in the power of sports to excite and unite,
BSCAP also launched a regional step challenge to encourage
employee fitness by unlocking donations to UNICEF and societies

27 | People | Promoting Healthier Communities

Sustainability Report 2019–2020

TOPICS

Our Way to Serve During the Pandemic

The COVID-19 pandemic has resulted in significant loss andcountless challenges for people everywhere. It also has created
opportunities for people to help one another and demonstrate
kindness during dark moments.
Since the onset of the pandemic, a spirit of collaboration has
flowed through every corner of the Bridgestone Group. Employees
moved quickly to support each other, their customers andcommunities. These actions demonstrate the universal conceptof "glocal" that the Bridgestone Group adopted several years ago.
Acting "glocally" allows it to work across the organization
to enhance the wellbeing of employees and communities where
it operates by understanding their local needs. For example:•

Manufacturing facilities donated personal protective
equipment for local medical professionals and first responders.

•

Retail locations remained open to provide critical auto andtire services for frontline workers, while also adapting to create
the safest possible customer experience.

•

Teams donated food and other essentials to underserved
communities.

•

The Group donated tires for emergency equipment andfrontline health care workers.

As of May 1, 2020, the Bridgestone Group has donated or raised
nearly $1.3 million for global COVID-19 relief efforts. Here are justa few of the many examples from each region:

AMERICAS•

The Bridgestone Group volunteers in several locations used
3D printing to produce face shields for health care and otherfront-line workers. As of June 9, they provided more than
5,800 face shields and more than 700 ear savers to local
medical professionals.

•

Bridgestone Retail Operations donated $840,0001 to the Boys
& Girls Clubs COVID-19 Relief Fund.

•

Bridgestone Mexico, Costa Rica, Ecuador, Brazil and Argentina
supported local programs to provide food and hygiene
products for more than 2,300 families in need.

EUROPE, RUSSIA, MIDDLE EAST, INDIA AND AFRICA•

The Group provided health care workers with free emergency
tire repair in Spain, vehicle sanitizing services in Ireland, andprotective vehicle covers in France.

•

In India, the Group prepared and provided food and otheressentials to 9,500 stranded truck drivers trying to reach homeduring the nationwide lockdown.

•

BSEMIA launched its B-Well@Home platform to provide
employees and their families with movement, nutrition,
mindfulness, sleep and effectiveness tips.

JAPAN
•

Bridgestone produced 100,000 non-medical masks per
week for internal use and donated 300,000 masks to local
governments where its facilities are located.

•

The HQ office, together with Bridgestone China, donated$430,000 to the China Charity Federation and other provincial
charity organizations to assist with COVID-19 relief andrecovery efforts in select municipalities throughout China.

ASIA, OCEANIA AND CHINA•

The Bridgestone Group hosted blood donation drives in
Taiwan and Thailand, collecting 130,200 cubic centimeters(ccs) of blood.

•

In Vietnam, the Group produced 20,000 coloring books forpartners and employees to help keep children engaged during
the lockdown. They also donated more than $6,500 to theVietnam government to combat COVID-19.

•

BSCAP locations used social media to provide tips and useful
information to encourage people to stay safe and healthy.

As a responsible industry leader, the Bridgestone Group willcontinue to help the communities where it operates remain strongas everyone around the world fights the global pandemic.
1		Including donations from our customers and partners for Boys and Girls Clubs of America
through the Driving Great Futures program.

28 | Topics | Our Way to Serve During the Pandemic

Sustainability Report 2019–2020

ENVIRONMENTPRIORITY AREAENVIRONMENTWith the social and environmental impacts of climate change,
resource depletion and biodiversity loss becoming more pronounced,
the Bridgestone Group has established a framework to address thesechallenges within its operations and to contribute, throughout the
product lifecycle and entire value chain, to addressing them within
the larger community.
THE MEANING BEHIND THE ENVIRONMENTALMISSION STATEMENT

The Bridgestone Group’s Environmental Mission Statement
includes its unwavering commitment to help ensure a healthy
environment for current and future generations...
It aims to create a sustainable society with integrity and in unity
with customers, partners and communities. The Group seeks
to exist “in harmony with nature” while also developing more
efficient technologies and business models that “value resources”
and “reduce CO2 emissions” to address urgent concerns aboutclimate change and resource depletion.
Based on this Environmental Mission Statement, the BridgestoneGroup engages with these issues throughout its product lifecycle
and value chain.

segap yrotsi

30 | Environment

Sustainability Report 2019–2020

ENVIRONMENT

Working Toward the World of 2050

EXTERNAL
ENVIRONMENTAL
FACTORS•Greater Impact, Wider Diversity, andDeeper Reach of Environmental Issues•

Structural Changes in Societies andEconomies•

Rise in Consumer Environmental
Awareness and Behavioral Changes

MID-LONG
TERM BUSINESSSTRATEGYMILESTONE2030
IN HARMONY
WITH NATURE

IN HARMONY WITH NATURE
IN HARMONY WITH NATURE

Improve environmental impact
Improve environmental impact
Accelerate circular economy
Accelerate ircular Economy
adoption in our businessadoption in our business

ACHIEVEDMILESTONE
2020

VALUE NATURAL RESOURCESVALUE NATURAL RESOURCES

REDUCE CO2 EMISSIONSREDUCE CO2 EMISSIONSReduce emissions across the
Reduce emissions acrossproduct lifecycle and entire
value chain
value chain

VALUE NATURALRESOURCESREDUCE CO2
EMISSIONS• Create both social value and customer value• Strengthen and accelerate contributions to SDGs

A STAKEHOLDER'S COMMENT ON BRIDGESTONEGROUP'S LONG-TERM ENVIRONMENTAL VISION
AND A NEW MILESTONE 2030
“ Global environmental issues — including deforestation,
marine plastic pollution and the climate crisis — are affecting
people’s lives and businesses. WWF believes that it is essential

31 | Environment | Working Toward the World of 2050

to develop concrete solutions and practices to address theseurgent challenges. As the leading company in the industry,
we expect that Bridgestone’s work will be implemented withclear goals and timelines in cooperation with its stakeholders
toward 2030 and beyond.”- Sadayoshi Tobai, Chief Executive Officer, WWF Japan

Sustainability Report 2019–2020

VISION

Toward 2050, Bridgestone continues to provide
social value and customer value as a sustainable
solutions company.

LONG-TERM ENVIRONMENTAL VISION(2050 AND BEYOND)IN HARMONY WITH NATURE

In balance with nature1

SUSTAINABLE SOCIETY(CONTRIBUTION > FOOTPRINT)VALUE NATURAL RESOURCES

Towards 100% sustainable materials

2

REDUCE CO2 EMISSIONS

Contribute to globallyagreed target3

Bridgestone Group’s
Environmental Mission
To help ensure a healthy
environment for current
and future generations...

(TOWARDS CARBON NEUTRAL SOCIETY)

CHALLENGE FOR THE FUTURE: DECOUPLING

The United Nations Environmental Programme (UNEP) defines decoupling
as separating economic growth from the impact on the environment andgrowing resource consumption. The Bridgestone Group simply does not
accept that resource consumption and environmental impact are inevitableoutcomes of population growth and economic development. Rather, it
must engage in a balance between business success and the use of theearth’s resources. Decoupling is a key concept of the Group’s long-term
environmental vision and this is the challenge for the future we will takeon to balance growth and environmental considerations.

Economicdevelopment

Decoupling of
Economic development andResource consumption

Resource
consumption
Decoupling of
Economic development andEnvironmental footprint

Environmental
footprintTime		 “In balance with nature” is the Bridgestone Group’s commitment to contribute to biodiversity through habitat enhancement, environmental education and research.
		The Bridgestone Group defines sustainable materials as those that 1) come from resources with a continual supply, 2) can be used as part of its business over the long term, and 3) have a
low environmental and social impact over their lifecycle from procurement to disposal.
3
The Bridgestone Group recognizes that the international community aims to become carbon neutral society based on the Paris Agreement (holding the increase in the global average temperature to well below 2°C above pre-industrial levels and pursuing efforts to limit the temperature increase to 1.5°C above pre-industrial levels), IPCC reports, and subsequent international debates.
1

2

32 | Environment | Working Toward the World of 2050

Sustainability Report 2019–2020

ENVIRONMENT

Long-term Environmental Vision (2050 and beyond)
The Bridgestone Group is reducing its environmental footprint and creating socialand customer value with various solutions that contribute to addressing environmental
challenges toward its 2050 long-term environmental vision and beyond.

IN HARMONY
WITH NATURE

The Bridgestone Group aims to exist in harmony
with nature by maximizing its contribution tobiodiversity (ecosystems, species and genetic
resources) while minimizing the impact of its
business activities.

VALUE NATURALRESOURCESIn balance with nature(CONTRIBUTION > FOOTPRINT)
Forest/Habitatpreservation &restoration

Water
withdrawal

reduction

Enhancing
Contribution
Water
resource
preservation& restoration
Reuse &
recycle of usedproduct

Waste
generation

Towards 100% sustainable materials
ResourceuseLine ofecologicalcapacity

The Bridgestone Group is working toward its goal
to minimize resource depletion by implementing
sustainable resource use through promoting
technological innovation and business innovation.

A
B

A

action 1

B

action 2

Current status

B
2050 and beyond
BAU(Business as usual)33 | Environment | Long-term Environmental Vision (2050 and beyond)action 3

ACC

The Bridgestone Group is working with customers
and partners to reduce CO2 emissions based on
scientific modeling of climate trends, emission
reduction called for in the Paris Agreement, andother expectations of global society.

Land
alteration(deforestation)

Air, waterandsoil pollution

Educational
activities

Increase the resource
consumption byincreasing demands(Business as usual)

REDUCE CO2
EMISSIONS

emissions

Minimizing
FootprintA

Recycled materials

B

New input of renewable materials

C

Non-renewable materials

100% Sustainable
material

Contribute to globally agreed target(TOWARDS CARBON NEUTRAL SOCIETY)

Contribution by
PS/LT,MaaS Solutions

Contribution
by OR,
MiningSolutions

Minimize CO2EmissionsContribution by
AC, Aircraft
Solutions

Maximize energy
efficiency

Contribution
by TB, Fleet
Solutions
Increase useof renewableenergyEnhance
Contribution to
CO2 Reduction

Promotemanufacturing
andengineering
innovation

Sustainability Report 2019–2020

ACTION 1

Minimizing footprint
EXAMPLESACTION!

ACTION 2

Enhancing
contribution

ACTION 1

Reduce raw material
consumption
ACTION 2

Recycle resources &use effectively

EXAMPLESACTION!

ACTION 3

Expand and diversify
renewable resources

ACTION 1

Minimize CO2
emissions
ACTION 2

Enhance contribution
to CO2 reduction

34 | Environment | Long-term Environmental Vision (2050 and beyond)Reduce CO2 emissions from operations
Reduce water withdrawal impact in water stress areas•

Reduce waste generated and amounts sent to landfills•

Request suppliers’ consideration of biodiversity•

Develop and expand solutions business to contribute to
CO2 reduction•

Preserve and restore ecosystems around BridgestoneGroup facilities•

Contribute to enhancement of circular economy•

Introduce biodiversity educational program•

Weight-savings technologies•

Durability improving technologies•

Reduction of manufacturing process losses•

Retread technologies and solutions•

Recycled rubber, recycled carbon black, etc.

•

Natural rubber productivity improvement technologies•

Diversified natural rubber supply sources (guayule)•

Development of bio-derived raw materials•

Maximize energy efficiency•

Increase use of renewable energy•

Promote manufacturing and engineering innovation•

Provide solutions that contribute to CO2 reduction
via customers’ use of the Bridgestone Group's products
and services•

Reduce CO2 emissions across the value chain of products
including lightening weight, increasing recyclability, etc.

EXAMPLESACTION!

••

Sustainability Report 2019–2020

ENVIRONMENT

Achieving Milestone 2020:
Continuing Our Path Forward
Achievement of Milestone 2020 and Improvement of Environmental Efficiency
The Bridgestone Group conducted initiatives to achieve mid-term
2020 targets (Milestone 2020) on its way to achieving its long-term

environmental vision by 2050. As a result of its global activities,
the Group reached Milestone 2020 goals in 2019, ahead of schedule.

WATER WITHDRAWAL REDUCTION TARGET

CO2 REDUCTION TARGET

Reduce water withdrawal intensity by 35%¹ (vs. 2005)
BASE
YEAR

32%

80
PERCENTAGE

15,000

REDUCTION

36%

REDUCTION

60

40%

REDUCTION

40%

REDUCTION

35%

TARGET

THOUSAND TONNES

100

Contribute to CO2 reduction at usage stage more than allother emissions2 in the product lifecycle

REDUCTION

40

BASE
YEAR

10,00068%

REDUCTION

5,000

87%

20

REDUCTION

0

95%

REDUCTION

100%

2018

2019

0

2005

2016

2017

2018

2019

2005

2020

		Manage water withdrawal according to base units for each business based on production
volumes or sales units. Set targets for weighted average decrease ratio. Water withdrawal
does not include water regeneration by other companies or rainwater.

1

2016

2017

TARGET
0 BELOWREDUCTION

2020

		Calculated based on Tire LCCO 2 Calculation Guidelines Ver. 2.0 (April 2012, The Japan Automobile
Tyre Manufacturers Association, Inc.). “CO 2 emissions from operations and products’ afteruse” means the emissions from product lifecycle stages other than use. (i.e., raw material
procurement, manufacturing, distribution and after-use.)

2

ACHIEVED SIGNIFICANT IMPROVEMENT OF ENVIRONMENTAL EFFICIENCIES THROUGH ACTIVITIES FOR MILESTONE 20203
WATER
WITHDRAWALINTENSITY

CO2 INTENSITY(Scope 1 AND 2)

IMPROVEMENTREDUCTION

33%

40%
REDUCTION
3

RESOURCEPRODUCTIVITY434%

		2019 results compared to 2005.
		Resource productivity means doing more with less, based on sales per raw material use.

4

BRIDGESTONE'S ENVIRONMENTAL PRODUCTS, SERVICES & TECHNOLOGYFUEL EFFICIENT TIRE

RETREADING, FLEET SOLUTIONS

35 | Environment | Achieving Milestone 2020: Continuing Our Path Forward

2020
RECOVERED CARBON BLACK

Sustainability Report 2019–2020

Working Toward 2030 — Setting New Mid-term Environmental Targets
The initiatives of the Bridgestone Group’s Milestone 2020,
introduced in 2012, allowed it to build an internal structure to
reduce its environmental impact on an ongoing basis. As a result,the Group can now engage in activities with greater speed toreflect the frequent changes in societal conditions.
Since setting Milestone 2020, the Bridgestone Group has seen
the adoption of the United Nations Sustainable Development
Goals and the Paris Agreement, as well as momentum behind
other social movements. Today, environmental issues are oneof the greatest global risks, rising in importance in terms ofboth risk and opportunity for corporations. Looking at thesedevelopments, the Group set a new Milestone 2030, which aims toaccelerate its ambition toward “decoupling” to further reduce its
environmental impact. At the same time, the Group will promote
the circular economy and contribute to globally agreed CO2
emissions reduction targets through innovation and leading-edge
technologies. Through these activities, the Bridgestone Groupwill be a solutions provider driving common value creation withcustomers and partners.

Long-term vision

Milestone 2020

Promoteecologicalconservation andrestoration

In harmony
with nature

Milestone 2030

2050 and beyond

Improveenvironmental
impactResource
productivity
improvement

Accelerate
circular economy
adoption in ourbusiness

Value natural
resources
Reduce emissions
across productsʼ
lifecycle

In balancewith nature(contribution > footprint)

Towards 100%
sustainable
materials

Sustainable
society
Bridgestone Group’s
Environmental Mission
To help ensure a healthy
environment
for current and future
generations…

Contribute to
globally-agreed target(towards Carbon Neutral society)

Reduce emissions
across the productlifecycle and entire
value chain

Reduce CO2
emissions

EVOLVING INTO AN ADVANCED MOBILITY AND SUSTAINABLE SOLUTIONS COMPANY

2030

TECHNOLOGIES FOR SOLUTIONS
2

Double network concept rubber1
12
3

Reversible Crosslink Rubber3

Rubber with enhanced strength and durability by adopting specially designed materials.
The world's first polymer that bonds rubbers and resins on the molecular level with high levels of durability and resistance.
Reversible cross-linking technology that enables recycling of rubber materials.

36 | Environment | Achieving Milestone 2020: Continuing Our Path Forward

Sustainability Report 2019–2020

ENVIRONMENTIn Harmony with Nature:
Improve Environmental Impact

The Bridgestone Group intends to be even more ambitious in its activities in response to
the continued importance of social and environmental issues, and the potential impact
on the environment caused by business growth.
Key Actions•

Create and implement water stewardship plans based on
Water Stewardship Policy (policies related to the responsible
use of water)•

Continuous improvement1 of water withdrawal intensity•

Continuous improvement1 of environmental footprint (reduce
hazardous/nonhazardous waste, waste to landfill, VOC fromsolvent use, SOx/NOx)•

Improve supply chain environmental footprint through the
Sustainable Procurement Policy•

Enhance activities that contribute to improved biodiversity

		 Continuous improvement is ongoing efforts to improve environmental performance year
by year (such as 1% improvement) through PDCA cycle.

1

Focused Target

Execute water stewardship plan atmanufacturing facilities in water stressareas2 by 2030
The Bridgestone Group has developed its Water Stewardship Policy
to help ensure water is available on a socially equitable basis andthe water cycle is preserved. It addresses water issues through astakeholder-inclusive process that involves catchment-, site- anddownstream-based actions. It will develop and implement a water
stewardship plan based on the Policy, especially at manufacturing
facilities in water stress areas.
		Manufacturing facilities in water stress area: Manufacturing facilities that have water-relatedrisks due to the locations with the risk of deterioration of fresh water resources in terms ofquantity and quality.

2

OVERVIEW OF BRIDGESTONE GROUP'S MANUFACTURING FACILITIESManufacturing facility
with high water risk
Other manufacturing
facility

37 | Environment | In Harmony with Nature: Improve Environmental Impact

Sustainability Report 2019–2020

Action Examples

Action In Water Stress Area
The Buenos Aires plant located in the water stress area ofArgentina has been working on improvement of efficiency ofwater use continuously and achieved 56% reduction of water
withdrawal by 2019, compared to a 2005 baseline. In April 2019,
the plant partnered with a concrete manufacturing company
and provided its treated water discharge by reverse osmosis
to the company for production usage. This helped reduce net
water withdrawal in the water stress area.

The Bridgestone In Harmony with
Nature – Promoting Biodiversity Program
The Bridgestone Group launched The Bridgestone In Harmony
with Nature – Promoting Biodiversity Program in early 2019.
Through the program, it encourages all manufacturing facilities
across the globe to promote activities to conserve biodiversity.
Many of its facilities already have initiatives in place, such as
educational partnerships, conservation efforts and microhabitats.
This program seeks to highlight those facilities for their efforts
to achieve measurable annual results.

Global Participation

Global Recognition

97%

GOLD CLASSSILVER CLASSBRONZE CLASS

SITES

SITES

SITES

25

126 OF 130 TARGETSITES PARTICIPATED

15

29

Outputs of Global Activity Summarized in 2019380+

14,700+62

54

FOR ENVIRONMENTALCONSERVATION AND
EDUCATIONPARTICIPATEDIN ENVIRONMENTAL
EVENTS

WITH LOCALSCHOOLS, ETC.

WITH ON-SITE
MICROHABITAT/WAYSTATIONEVENTS*PEOPLEPARTNERSHIPSSITES*		 Including 130+ events for children/adolescents.

38 | Environment | In Harmony with Nature: Improve Environmental Impact

Sustainability Report 2019–2020

ENVIRONMENT

Value Natural Resources: Accelerate Circular
Economy Adoption in our Business

The Bridgestone Group contributes to the creation of a circular economy1 by designingand developing products and business models with high resource efficiency, using
recycled and renewable resources (material circularity2) and accelerating comprehensive
initiatives in the effective use of used tires (product circularity3).
Key Actions•

Develop and implement roadmap to expand sustainable
materials•

Continuous improvement of resource productivity•

Continuous improvement in product circularity (beneficial
next use of used tires)•

Develop and implement policy/roadmap to contributeto single-use plastics reduction

Focused Target

Increase ratio of recycled and renewablematerial4 to 40% by 2030
Though it improved its resource productivity under Milestone
2020, the Bridgestone Group has gone beyond that in seeking
to achieve its long-term environmental vision toward 100%
sustainable materials. To do so, we will accelerate innovation andimprove usage ratios of materials from recycled and renewablesources. In its efforts toward this goal, the Group also is advancing
a number of diverse initiatives in other stages of the product life
cycle, including long-lived design, using renewable resources,
retreading, recycling, repairing and sharing.

Economic growth is expected toincrease resource consumption anddemand, thereby restricting resource
supply and deepening issues of natural
resource depletion and soaring resource
prices. Smarter, more sustainable useof resources is important not only foraddressing environmental issues, butalso for society and the BridgestoneGroup’s businesses. For the Group,
realizing a circular economy not only
mitigates environmental issues, it also
generates new business models andleads to sustainable economic growth.
The Group will create common value
with communities, customers andpartners across the product lifecycle andentire value chain by developing unique
technologies and business models.

		An economic system where sustainable products are designed and produced with fewer resources (reduced), where consumption is conducted in a sustainable fashion, and used products and resources are appropriately recovered, recycled, and reused in order to eliminate resource waste and reduce the risk of environmental destruction.
2
		A concept to show circularity of raw materials. The Bridgestone Group uses the ratio of recycled materials and renewable materials to total raw materials as the indicator for Material Circularity.
3		A concept to show circularity of used products. The Bridgestone Group uses the ratio of used tires from its retail shops that go to beneficial next use as the indicator for Product Circularity.
4 		
Within total material weight for tire products including tire casing for retreading.
1

39 | Environment | Value Natural Resources: Accelerate Circular Economy Adoption in our Business

Sustainability Report 2019–2020

BRIDGESTONE GROUP'S APPROACH TO CONTRIBUTING TO THE CIRCULAR ECONOMYLong Life /Resource-Saving
DesignCascade Recycling /Energy Recovery

Product
Development
Minimize disposal

Utilization of
Renewable Resources

Recycled
Material

Recycle / Upcycle

Procurement

Disposal

Material
Circularity

Reproduct

Repair / Reuse
Recovery

Product
Circularity

Manufacturing
Sharing

Use

Sales

Products
as a Service

Contribution Area on Circular Economy

Bridgestone Group's Approach

Activity Example

Enhancement of
Resource Productivity• Further strengthen competitiveness of Dan-Totsu (the clear andabsolute leader) products by Long Life/Resource-Saving Design• Studless tire rental services, etc.

Enhancement ofMaterial Circularity
Enhancement of
Product Circularity• Create business opportunities through transformation fromresource-consumption dependent business by Sharing, Service/
Subscription• Further strengthen competitiveness of Dan-Totsu (the clear andabsolute leader) products by utilization of Recycled Material andRenewable Resources• Create values across the product lifecycle by Recycling/Upcycling,
Repair/Reuse, etc. and build business models• Create new value by Cascade Recycling

40 | Environment | Value Natural Resources: Accelerate Circular Economy Adoption in our Business• New technology for tire weight reduction (Enliten, SUSYM, etc.)• Replacement service for automotive parts, subscription
model for electric bicycles, etc.
• Tire maintenance, optimization of product use (Retreadingbusiness, Tirematics, EcoValue Pack, Webfleet Solutions), etc.
• Expanding use of recycled materials (recycled rubber, recovered
carbon black, etc.)• Improving productivity of natural rubber, development of
bio-derived raw materials (Guayule, etc.)• Retreading business• Aircraft solutions• Tire repair services, etc.

• Power generation by waste tire, development of material
recycling technology, etc.

Sustainability Report 2019–2020

ENVIRONMENT

Reduce CO2 Emissions: Reduce Emissions Acrossthe Product Lifecycle and Entire Value Chain

With decoupling in mind, the Bridgestone Group set a goal to reduce its absolutevolume of CO2 emissions from its own immediate production activities. In addition,
the Group will accelerate its contribution to the reduction of CO2 emissions throughproducts and solutions. In this way, the Bridgestone Group will pursue CO2 reductions
throughout its product lifecycle and entire value chain.
Key Actions

Focused Target•

Develop products and services that contribute to CO2emissions reduction•

Continually improve energy efficiency in operations
to reduce total energy consumption•

Enhance renewable electricity ratio•

Promote manufacturing and engineering innovation

Reduce our absolute CO2 emissions (Scope 1
and 2) by 30% and aspire to reduce by 50%
by 20301
Contribute to global CO2 emissions reduction
across the lifecycle and value chain (Scope3) of our products and services exceeding
five times our operation’s (Scope 1 and 2)
CO2 emissions by 20302

Maximizeenergyeﬃciency
Contribution by
PS/LT, MaaS
SolutionsContribution by
TD, Fleet
SolutionsContribute to global
CO emissions
reductionacross the lifecycle and value chain of
our products and services

Reduce our absolute
CO emissions

RenewableenergyManufacturing
and engineering
innovation

The Bridgestone Group will contribute to the reduction of CO2
emissions during customer use, raw material/procurement,
distribution and reuse/recycle phases of the product life cycle
by providing customer value through Dan-Totsu (the clear

Contribution by
OR, Mining
SolutionsContribution by
AC, Aircraft
Solutionsand absolute leader) products/services. It also will reduce CO2
emissions from manufacturing. This allows the Group to reduce
CO2 emissions across the product lifecycle and entire value chain.
		Base Year: 2011.
Base year: 2020.

1

2

41 | Environment | Reduce CO2 Emissions: Reduce Emissions Across the Product Lifecycle and Entire Value Chain

Sustainability Report 2019–2020

Action Examples

Contribution to reduction of CO2 emitted during
customer use
The Bridgestone Group offers revolutionary solutions that contribute to CO2 reductions
by customers and partners across society. The Group’s fuel-efficient tires contribute to
greater vehicle fuel efficiency and meet a variety of customer needs, including superior
levels of low-rolling resistance, lighter weights and other performance metrics. The Group
achieved a 23% reduction (from a 2005 baseline) in tire rolling resistance, equal to acontribution of approximately 13.4 million tonnes CO2 reduction1, in 2019.

Reducing CO2 emissions at manufacturing facilities

Pune plant, India

Wuxi plant, China

As one of its efforts towards contributing to a carbon neutral society, the BridgestoneGroup is working to minimize its CO2 emissions by maximizing energy efficiency andexpanding its use of renewable energy at manufacturing and other facilities. Three of its
tire manufacturing facilities (Bilbao, Puente San Miguel and Burgos) and one tire cordfacility (Usansolo), all in Spain, sourced 100% of their electricity from renewable sourcesin 2018. Additionally, three facilities in Europe (Tatabanya, Hungary, and Stargard andPoznan, Poland) are powered by 100% renewable electricity in 2020. The Wuxi, China
plant and the Pune, India plant began using electricity generated by large-scale, solar
power generators installed on the facilities’ roofs with electricity suppliers in 2019.

Support of Bridgestone World Solar
Challenge (BWSC)
The BWSC is the world's foremost solar car race, which travels
3,000km (1,860miles) from Darwin to Adelaide in Australia.
It started in 1987 with the purpose of contributing to thedevelopment of solar cars, supporting young engineers,and contributing to the environment through the use ofsolar power. Participants are challenged to design, build anddevelop the world's most efficient vehicles. In addition to
supporting the competition as a title sponsor, Bridgestone
supplies “ECOPIA with ologic” tires to participating teams,
contributing to the mobility of society and reducing
environmental impacts while supporting young engineers.

		Calculated based on Tire LCCO 2 Calculation Guidelines Ver. 2.0 (April 2012, The Japan Automobile Tyre Manufacturers Association, Inc.).

1

42 | Environment | Reduce CO2 Emissions: Reduce Emissions Across the Product Lifecycle and Entire Value Chain

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALSThe Bridgestone Group’s Our Way to Serve global
CSR commitment focuses on three Priority Areas— Mobility, People and Environment — to help
improve the way people move, live, work andplay. Underpinning these commitments are six
Management Fundamentals that articulate thehigh expectations the Group has for operating
as a responsible business. The following pages
detail the Group’s work within each Management
Fundamental.

MANAGEMENT FUNDAMENTALS

Compliance, Fair Competition

MISSION

Ensure excellence through complianceand integrity
We build trust with all stakeholders by
ensuring that ethical decision-making
guides responsible business practices
across our operations.
The Bridgestone Group’s commitment to compliance andintegrity is a competitive advantage that informs all its activities
and helps achieve its overall Mission of “Serving Society with
Superior Quality.” Foundational to this commitment is its
Code of Conduct that gives employees, suppliers and others
worldwide practical guidance for handling a wide range of ethicalissues, including anti-corruption, competition/antitrust, conflictsof interest, and corporate charitable and political donations.
In 2019, the Group continued its global roll-out of the Codeof Conduct, introduced in 2018, to ensure that all employees
understand that ethical behavior and compliance is expectedof everyone. The Group also continued introducing the Codeof Conduct to business partners, sharing its expectation of
integrity in all interactions.
The Bridgestone Group is simultaneously pursuing multiple
channels to ensure compliance with its Code of Conduct,
including:•F ocusing on education and employee engagement.
These efforts start at the top, with business leaders regularly
speaking about the importance of ethics and complianceand playing active roles in the Group's compliance training
and awareness programs. This keeps the Code of Conduct
top of mind and creates the desired culture where people
are comfortable speaking up if they have concerns.

•

 onducting regular global e-learning on the Code of Conduct
Cand the Global Human Rights Policy. The Group reached nearly
49,000 employees, 89.5% of its target audience, in 2019.

44 | Management Fundamentals | Compliance, Fair Competition•E ncouraging employees around the world to use the different
channels and resources outlined in the Code of Conduct for
speaking up, including the BridgeLine web-based reporting
system and phone hotlines available worldwide.

•

Introducing compliance risk assessments to proactively identify
and mitigate risks. To help minimize risks associated withthird parties with which the Group does business, the Group
introduced a third-party screening tool.

As a global company, the Bridgestone Group operates in countries
with a wide range of risk profiles, making anti-bribery a central
focus of its global compliance program, along with regional
compliance education efforts. In mid-2020, the Group will launcha Global Anti-Bribery Policy that builds upon the Code of Conduct.
In addition to the guidance and requirements in the Code of
Conduct, all regions currently have their antitrust policies inplace for their respective regions. In 2020, the Group is working
to consolidate existing regional antitrust policies into a Global
Antitrust Policy, which is planned to be launched in 2021.
The Group also seeks to mitigate third-party risk by conducting
appropriate due diligence, including screenings, based on the risks
posed by each third party and geographic region among otherconsiderations.
More information on the Bridgestone Group’s global ethics andCompliance program is available online.

segap yrotsi

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALSBusiness Continuity (BCP), Risk Management

MISSION

In 2019, Bridgestone refined its processes for identifying global
risks to the Group and highlighted cyberattacks, information leaks
and the theft of data as the global priority risks to the Group thatall strategic business units should address.

Prevent and mitigate operational risks
We anticipate, prevent and mitigate risk,
and when crises arise, we protect ourpeople, property and profits.
The well-being of the Bridgestone Group’s employees and thecontinuity of its business operations are top priorities. To achievethese goals, it anticipates and mitigates potential risks that could
harm people and workplaces and adversely impact businesssuccess. The Group shares and implements best practices andeducates employees on how they can contribute to these efforts.
It also regularly evaluates the risk management and business
continuity controls in place.

The Bridgestone Group’s globally dispersed operations expose it
to a broad range of risks. One of these is the risk of pandemics.
Since 2013, Bridgestone has formulated business continuity plans(BCPs) to address the spread of new types of influenza and othersevere infectious diseases of potentially pandemic proportions.
The Group confirmed that these BCPs are working effectively
during the COVID-19 pandemic. It will continue to drive toward
ever more effective and efficient planning and execution of BCPs.
In 2020, the Group will incorporate a focus on strategic risks inline with its Mid-Long Term Business Strategy, in addition to its
current assessment of operational risks. The Group also will further
harmonize crisis management across the enterprise.
More information on the Bridgestone Group’s approach toBusiness Continuity and Risk Management is available online.

Identify
Risk

Review
Controls

RiskManagement
Process

AssessRisk

Prevent orControl Risk

45 | Management Fundamentals | Business Continuity (BCP), Risk Management

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALSHuman Rights, Labor Practices
PeopleMISSION

Advancing fundamental human rights
and responsible labor practices
We will foster an inclusive culture in which
all Bridgestone entities and locations adopt
and apply ethical labor practices, build trustwith our teammates, and model our respectfor diversity and fundamental human rights.
The Bridgestone Group continues to embed the Global Human
Rights Policy it launched in 2018 across the company. In 2019,
the Group conducted regular global e-learnings on the Policy
and its Code of Conduct, reaching nearly 49,000 employees,
or 89.5% of its target audience.
The Global Human Rights Policy respects international norms
such as those reflected in the United Nations Universal Declarationof Human Rights, the United Nations Guiding Principles on Businessand Human Rights, various International Labor Organization
Conventions and other globally recognized standards.
The Policy addresses the standards and behaviors that all BridgestoneGroup employees around the globe can and should expect from theGroup, their managers and fellow employees. It outlines respect fordiversity and inclusion, prohibits discrimination and harassment,
focus on workplace safety and health, commitment to responsible
labor practices, and protection of free speech and association.
These expectations are closely aligned with the Group’s Codeof Conduct and Global Sustainable Procurement Policy and areembedded into the Group’s day-to-day operations, including its due
diligence assessments of potential new operations and projects.
To help ensure compliance with the Global Human Rights Policy,
the BridgeLine whistle-blowing web-based reporting system andphone hotlines are available worldwide to encourage employees
and its stakeholders, which include contractors, suppliers,
customers and anyone else, to “speak-up” when they haveconcerns.
The Human Rights, Labor Practices Working Group will partnerwith the Global Sustainability Function to develop human rightsspecific due diligence content as part of the Bridgestone Group's
holistic global due diligence process. The Working Group intends
to help build awareness of specific contexts and causes of humanrights concerns, the relationship between business activities
and human rights, and to forge a deeper understanding of theimportance of human rights across the value chain.
In 2019, Bridgestone Japan conducted an initial assessmentthat will serve as its regional approach when the Group addresses
emerging human rights issues globally.
Bridgestone has engaged Lloyd’s Register Quality Assurance,
an independent third-party institution, to provide gap analysis
of its global Human Resource data collection and calculation.
The resulting data is anticipated to be available online beginningin the third quarter of 2020.
To realize it's Mid-Long Term Business Strategy, the BridgestoneGroup will transform to a truly global Human Resources systemwith consistent, global standards. This approach will include a jobtype assignment system and job-matching system. The Group also
will further advance its global leadership development program.
In light of COVID-19, the Group intends to embrace diverse work
styles to accommodate each employee's needs. By doing so,
it will more fully engage employees, resulting in even greater
productivity and added value from each employee.
More information on the Bridgestone Group’s Human Rights
and Labor Practices is available online.

46 | Management Fundamentals | Human Rights, Labor Practices

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALS

Safety, Industrial Hygiene

MISSION

Safety First, Always
At Bridgestone, we make safety a businessvalue. Creating a safe working place for all
is everyone’s responsibility. We promote
safety activities throughout the value chain.
The Group refined the Bridgestone Safety Mission Statementin 2012 which applies to employees, contractors and visitors.
Proving that safety is a priority of ever-increasing importance, all
Bridgestone Group employees received additional safety training
in 2019. The Group also introduced two new safety-related
key performance indicators (KPI): Safety maturity measures its
realization of the Bridgestone Safety Mission Statement and therisk assessment KPI measures the overall safety of new operations,projects and equipment. The Group has begun measuring progressagainst these KPIs, including awareness levels that are difficult tovisualize and will report on its progress in the near future.

The Bridgestone Group’s Safety and Industrial Hygiene Working
Group also established a global safety management systemdeveloped in reference to ISO 45001 and introduced 11 common
global safety standards. These standards address:•

Management commitment•

3S: Seiri, Seiton and Seiso (select and remove, sort andkeep clean)•

KY: Kiken Yochi (identify potential hazards in advance)•

Safety rules•

Fire risk assessment (strengthen business continuity
by assessing the impact of the fire on the communityand customers)•

Contractor management•

Hoist and crane1•

Tire inflation operations•

Permit-required confined space

•

Audit

•

Recurrence prevention

SAFETY PERFORMANCE

In 2019, across the Bridgestone Group, there were 29 serious
injuries2 and one fatality among employees for the full year
at our 4,606 production and logistics sites and retail shops.
In 2019, the Bridgestone Group began to globally collect
lost-time injury frequency rates3. These numbers were 2.96
for employees and 1.99 for contractors4.
The Bridgestone Group's safety-related data is verified by
Lloyd's Register Quality Assurance, a third-party institution,
to ensure the accuracy and transparency of this information.
We will also continue to implement global safety standards.
More information on the Bridgestone Group’s Safety andIndustrial Hygiene initiatives is available online.

A device that consists of a hoisting device and a traversing device, and uses power to lift a load
and transport it horizontally.
2		
The Bridgestone Group defines serious injuries as amputation (except some first joints of finger
or toe), complete loss of vision, fracture (excluding finger, toe, foot, hand or infracture) or
hospitalization of more than one month.
3 		
Lost-time injury frequency rate = (number of lost-time injuries/total working hours) x 1,000,000.
4		This data includes six months, from July to December 2019.
1		

47 | Management Fundamentals | Safety, Industrial Hygiene

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALS

Procurement

MISSION

Create value to society throughsustainable procurement practices
We are committed to creating value andcontinually working toward a sustainable
society to realize long-term environmental,social and economic benefits by incorporating
the following into the supply chain:• Transparency;• Compliance;• Quality, cost, delivery (QCD)
and innovation; and,• Sustainable procurement practices.
In 2018, the Bridgestone Group introduced its Global Sustainable
Procurement Policy that aligns with its goal of using 100%
sustainable materials by 2050 and beyond.

ENSURING COMPLIANCE

To better understand the strengths and vulnerabilities of suppliers,
the Bridgestone Group worked with EcoVadis to conduct enhanced
environmental, social and governance (ESG) risk assessmentsof the Group's new and existing major Tier 1 suppliers to its tirebusiness. As of March 2020, 48% of the Group’s Tier 1 tire material
suppliers completed the third-party assessment with EcoVadis.
Of suppliers who were reviewed, 55% earned an EcoVadis Medal,
which corresponds to confirmed compliance with our sustainableprocurement practices.
The Bridgestone Group conducts sustainable procurement
seminars in all business regions for certain suppliers based on
our sustainable procurement policy and the results of their ESG
risk assessment, to help support their efforts to improve ESG
activities. In 2019, 65 suppliers attended the seminars in Japan.

NATURAL RUBBER SUSTAINABILITY

The Bridgestone Group is focused on continually meeting the rising
global demand for natural rubber. Doing so, while also addressing
key environmental issues and social risks arising from increased
natural rubber production, is vital for the Group's sustainableprocurement strategy.

It is important to realize that smallholder natural rubber farmers
in Southeast Asia produce most of the natural rubber in the world.
The Bridgestone Group hosts workshops to help smallholder
farmers in Thailand and Indonesia improve the quality of theiroperations. It also provides Hevea rubber tree seedlings andconducts technical training in key producing countries using thesame productivity-improvement techniques the Group developedfor its own rubber farms.
In addition to holding an annual conference to deepen
understanding of the Bridgestone Group's procurement policies
among its natural rubber suppliers, representatives from theGroup visited more than 100 approved natural rubber factories
to support quality improvement and enhance traceability andsustainability in 2019, and revisited three suppliers with low scoresin the EcoVadis assessment to support their ESG activities.

COLLABORATING WITH STAKEHOLDERS

While these initiatives are significant, true supply chain
improvement must take place across the industry. Together
with other stakeholders, Bridgestone and other tire companies
launched the Global Platform for Sustainable Natural Rubber(GPSNR) to transform the natural rubber supply chain for the better.
Through the GPSNR, tire companies, including Bridgestone, andother stakeholders are harmonizing standards to improve respectfor human rights, prevent land-grabbing and deforestation,
protect biodiversity and water resources, improve yields andincrease supply chain transparency and traceability. In 2020, theGroup will continue working with the GPSNR, NGOs, suppliers,
customers and others to continue increasing transparency andtraceability in the natural rubber supply chain.
“ Bridgestone has been a key contributor toward our visionof social, economic and environmental sustainability of thenatural rubber value chain. As a Founding Member of GPSNR
and member of our Executive Committee, Bridgestone isactively involved in the conceptualization and design ofcritical GPSNR processes such as our assurance system,
financial model and grievance mechanism. Together withother members of the platform, Bridgestone participates
on several GPSNR Working Groups where, through fruitful
discussions and sharing of insight and data, we are making
progress in defining GPSNR’s objectives and strategies aswell as their implementation.”- Stefano Savi, Director, Global Platform for Sustainable
Natural Rubber (GPSNR)

More information on the Bridgestone Group’s Procurement
practices is available online.

48 | Management Fundamentals | Procurement

Sustainability Report 2019–2020

MANAGEMENT FUNDAMENTALS

Quality and Customer ValueMISSION

Creating customer value and trust
To create a global framework in collaboration
with all related Bridgestone Group entities
and stakeholders to proactively identify,
prioritize and address customer quality issues
in keeping with the intentions of our founderto “Serve Society with Superior Quality.”
Quality is essential for the safety and satisfaction of consumers.
The Bridgestone Group established the Quality Mission Statement
to engage every employee in contributing to building quality
products, services and solutions that exceed customers'
expectations.
The Quality Mission Statement enables the future directionof the Bridgestone Group, based on the spirit of its founder,
Shojiro Ishibashi, by advancing the Bridgestone DNA andproud heritage of quality and continual improvement to
new generations of employees.
Through employee engagement with continuous improvement
and innovation, the Bridgestone Group strives to achieve superior
quality throughout the entire value chain, across all businesses andglobally. To further pursue this aim, in 2017 the Bridgestone Groupestablished the Global Quality Management Committee (GQMC) tostrengthen the global governance with regards to the deploymentof the Quality Mission consistently across all strategic business units.

The Bridgestone Group also annually hosts a Global Total Quality
Management (TQM) Conference for sharing best practices that
support its journey toward quality excellence. The conference
helps promote quality awareness and increases employees’
engagement in TQM. In 2019, more than 270 employees fromaround the world attended the conference sharing 16 projects
from more than 4,500 qualifying entries.
We continue to enhance the TQM Conference by introducing
improvements that encourage all employees to participate,
regardless of their diverse work styles. Our intent is to provide
a resource for best practices that employees can reference as
they co-create new value with stakeholders.

QUALITY ACTIVITIES FOR THE SOLUTIONS BUSINESSThe Bridgestone Group’s global commitment to quality is
instrumental to supporting the journey toward its vision of
becoming a sustainable solutions company that provides social andcustomer value. This commitment is clearly stated in the Group's
Mid-Long Term Business Strategy and demonstrated by its efforts
to co-create value with customers, partners and society overall.
In recent years, the Group's quality activities for its solutions
business have increased in importance. Beginning in 2017 incollaboration with the Pilbara Mining Solution Center in Australia,
the Bridgestone Group structured a quality management system
for the solutions service network. More recently, in 2019, theacquisition of Webfleet Solutions provided a framework to reinforce
the global quality management system to expand and accelerate
our quality activities on the new business domains.
We aim to deliver immediate benefits and continuously enhancethe value to our customers and society in alignment with the
Bridgestone Group's strategy to develop a sustainable solutions
business within the Bridgestone T&DPaaS platform.

NEW QUALITY ASSURANCE SYSTEM UTILIZING BIG DATA

As a part of the Bridgestone Group's quality assurance systemevolution, we are now promoting Prediction Technology basedon big data leading to higher value for our customers and more
efficient Bridgestone internal processes. This information
provides useful insights to activate actions at an early stage,
improve upstream processes by reducing variations, and predictand enhance product and solutions performances. Finally, bygathering market data and customer feedback, the deploymentof prediction technology will allow co-creating higher value forour customers and society.
More information on the Bridgestone Group’s commitment to
Quality and Customer Value is available online.

49 | Management Fundamentals | Quality and Customer Value

Sustainability Report 2019–2020

Stakeholder Engagement
The Bridgestone Group prioritizes engagement with stakeholders
as it strives to understand their perspectives and to share its pointof-view as well. For example, in January 2020, the Group held a

Stakeholder Group

meeting on environmental, social and governance topics withinvestors. Learnings from stakeholders help inform the Group’sbusiness activities as it continues to sustainably grow its business.

The Bridgestone Group Responsibilities

Communication Channels• Developing appealing products/services• Providing timely response and support• Providing appropriate information• Effectively managing customer information• Responses to Customer Communication Center inquiries• Analysis, database compilation and internal utilization of customer input• Bridgestone Innovation Gallery dedicated to Bridgestone history andinnovation initiatives• Websites and social media• Daily sales and service activities(retail stores, dealer channels, online commerce)• Customer satisfaction survey• Auto shows and exhibitions• Providing appropriate and timely information• Maximizing corporate value• Annual Shareholders’ Meeting• Corporate Governance Code Report• Corporate Governance Report• Financial results review meetings• Investor relations website• Reports based on International Integrated Reporting Framework• Individual meetings with investors• ESG meeting with investors: ESG meeting was held on January 2020
at Tokyo. Global CSTO presented the Group's sustainability journey
to investors

Business Partners• Ensuring fair and impartial transactions• Communicating Sustainable
Procurement Policy• Daily procurement activities• Procurement policy explanatory forums/Sustainability seminars• Development of Sustainable Procurement and Global Human
Rights policies• Supplier awards• Discussions with management (distributor meetings)

Employees• Respecting human rights• Promoting diversity and inclusion, including diverse
working styles• Developing and utilizing human resources• Promoting occupational health and safety,
and health and productivity management• Facilitating mutual understanding between
management and labor• Bridgestone Code of Conduct and Global Human Rights Policy• Employee engagement survey• Personnel evaluation systems and career development consultation• In-house open job application systems• Meetings between labor and management• In-house newsletters and intranet• Employee meetings and trainings• Bridgestone Group Awards and other reward systems• Internal events related to the Olympic and Paralympic Games• Contributing to local communities• Preserving local environments• Supporting activities in locations with
the Bridgestone Group operating sites• Donations and social contributions• Facility tours• Environmental and safety education activities• Sponsorship and aid for local events• Olympic and Paralympic sponsorships• Disaster relief support• Dialogue and collaborations with NGOs

• Contributing to the development of a safeand reliable mobile society• Supporting education activities• Participating in industry economic impact
studies and supply chain assessments• Trade association memberships, committees and conferences• Dialogue and collaborations with economic and industry organizations• Engagement with government officials• Participation in the Tire Industry Project and the Global Platform for
Sustainable Natural Rubber operated under the World Business Council for
Sustainable Development• Interaction and exchanges of opinion with municipal government agencies• Communication, coordination and support of industry-governmentacademia partnerships

Customers

Shareholders And
Investors

Local Communities,
NGOs

Government
Agencies, Industry
Organizations
And Education
Institutions

50 | Stakeholder Engagement

Sustainability Report 2019–2020

Bridgestone Group Awards 2020

The Bridgestone Group Awards recognize
innovation and continuous improvement
toward the management goal of being atruly global company and Dan-Totsu (theclear and absolute leader) in all aspectsof its business.
Achievement
Bridgestone Corporation,
Bridgestone Asia Pacific Pte. Ltd.,
Bridgestone Australia Ltd.
Global Activation of Bridgestone World Solar Challenge(see page 42)

All Bridgestone Group organizations and employees are
eligible for the Awards, which represent the highest level ofrecognition within the organization. Based on the Group's
CSR commitment, Our Way to Serve, the awards include
five categories: Achievement, Mobility, People, Environment
and Management Fundamentals. The Bridgestone GroupAwards 2020 winners are listed below and included within
this Sustainability Report.

Mobility
Bridgestone Europe NV/SA
Solution Journey : Development of New Solution Business
Operating Model (see page 14)

PeopleBridgestone Retail Operations, LLC
Automotive Service Educational Program for High School Students
Bridgestone Corporation
Contribution to Local Society with Technology and Teammates

Bridgestone Corporation
Innovative Tough Rubber Development (see page 17)

Environment
Bridgestone Tire Manufacturing (Thailand) Co., Ltd.
Non-Thermal Plasma: A New Technology for Effective Odor
Control with New Technology
Bridgestone Corporation
Development of New Technology for Sustainable Use of
Rare Resources

Management Fundamentals
Brisa Bridgestone Sabancı Lastik Sanayi ve Ticaret A.Ş.
Digital Transformation for Effective Operation
More information on the Bridgestone Group Awards isavailable online.
51 | Bridgestone Group Awards 2020

Bridgestone India Private Ltd.
Acceleration of OE Tire Development in India

Sustainability Report 2019–2020

ESG Data

See the Bridgestone Group’s ESG data online forcomplete information.

LR Independent Assurance Statement

Relating to Bridgestone Group’s Environmental and Social Datafor the calendar year 2019

All of the Bridgestone Group’s environmental data and a portionof its social data in FY2019 are verified by Lloyd’s Register Quality
Assurance (LRQA), a third-party institution, to ensure the accuracy
and transparency of this information. The Group has also received
gap analysis for part of its social data by LRQA to improve data
calculation method and aggregation method.

This Assurance Statement has been prepared for Bridgestone Corporation in accordance with our contract but
is intended for the readers of this Report.

Terms of engagement

Lloyd’s Register Quality Assurance Limited (LR) was commissioned by Bridgestone Corporation (theOrganisation) to provide independent assurance on its environmental and social data (“the report”) for thecalendar year 2019, that is, from 1 January 2019 to 31 December 2019 1, against the assurance criteria below toa level of assurance and materiality using LR’s verification procedure and ISO 14064 - Part 3 for greenhouse gas
emissions data. LR’s verification procedure is based on current best practice, is in accordance with ISAE 3000
and uses the following principles - inclusivity, materiality, responsiveness and reliability of performance data.
Our assurance engagement covered operations and activities of Bridgestone Group 2 and specifically thefollowing requirements:• Verifying conformance with Bridgestone Group’s reporting methodologies for selected datasets• Evaluating the accuracy and reliability of data for only the selected indicators listed below:
Environmental:• Total energy consumption, Energy consumption (fuel) including fuel from renewable sources, Energy
consumption (purchased electricity) including electricity from renewable sources, Energy
consumption (purchased steam), Energy consumption (self-generated renewable electricity fromnon-fuel sources; solar, etc.), Electricity sold, Total energy consumption (renewable), Total energy
consumption (non-renewable),• Total water withdrawal, Water withdrawal (surface water), Water withdrawal (groundwater), Water
withdrawal (water supply, industrial water), Water withdrawal (seawater),• Greenhouse gas emissions 3 4 (Scope 1), Greenhouse gas emissions (Scope 2) Market-based andLocation-based, Greenhouse gas emissions (Scope 3) Categories 5 1, 2, 3, 4, 5, 6, 7, 9, 10, 11, 12 and 14,• NOx emissions, SOx emissions,• Volume of waste generated, Volume of recycled waste, Recycling waste rate, Volume of waste landfill,
Volume of regulated hazardous waste generated, and• Sites with ISO14001 certification

LEGEND

Social:Lost-time injuries frequency rate of employees, Lost-time injuries frequency rate of the contractors,
and, Occupational illness frequency rate (OIFR)

FY2019 data items in bold are those for which assurance isprovided by LRQA. FY2019 data items in italic are those reviewed
through the verification processes by LRQA.

Our assurance engagement excluded the other data and information of the Organisation’s suppliers,
contractors and any third-parties mentioned in the report.
1

The Volume of regulated hazardous waste generated of the sites in Japan uses data from 1 April 2019 to 31 March 2020 and
the Lost-time injuries frequency rate of the contractors uses data from 1 July 2019 to 31 December 2019.
Except non-production sites for environmental data. 161 production sites for energy consumption, greenhouse gas emissions
Scope 1 and Scope 2, NOx emissions and SOx emissions, 157 production sites for water withdrawal and waste data in theworld are covered. Out of social data, Occupational illness frequency rate covers operations and activities of Bridgestone
Corporation in Japan.
Scope 1 and 2 emissions are as defined in The Greenhouse Gas Protocol – A Corporate Accounting and Reporting Standard.
4
GHG quantification is subject to inherent uncertainty.
5
The categories of Scope 3 emissions are as defined in the Greenhouse Gas Protocol – Corporate Value Chain (Scope 3)
Accounting and Reporting Standard, Table 5.3.
2

3

Page 1 of 3

Environment-related Data1
Data item

FY2016FY2017FY2018FY2019GRI

Amount of raw materials used

4,795 thousand tonnes

5,039 thousand tonnes

5,223 thousand tonnes

5,043 thousand tonnes

301-1

Resource productivity 2

JPY 696 thousand/tonnes(USD 5.97 thousand/tonnes)

JPY 723 thousand/tonnes(USD 6.40 thousand/tonnes)

JPY 699 thousand/tonnes(USD 6.30 thousand/tonnes)

JPY 699 thousand/tonnes(USD 6.38 thousand/tonnes)

301-1

Amount of recycled rubber

16,356 tonnes

20,369 tonnes

21,155 tonnes

19,022 tonnes

301-2

44,945 thousand GJ

45,838 thousand GJ

46,441 thousand GJ

44,994 thousand GJ

302-1

26,416 thousand GJ

26,932 thousand GJ

27,308 thousand GJ

26,192 thousand GJ

302-1

Energy consumption(purchased electricity)

4,650 thousand MWh

4,802 thousand MWh

4,929 thousand MWh

4,850 thousand MWh

302-1

Energy consumption(purchased steam)

1,797 thousand GJ

1,630 thousand GJ

1,429 thousand GJ

1,382 thousand GJ

302-1

1,258 GJ/JPY100 million(1,422 GJ/USD million)

1,272 GJ/JPY100 million(1,412 GJ/USD million)

1,276 GJ/JPY100 million(1,398 GJ/USD million)

302-3

Materials

EnergyTotal energy consumption
Energy consumption (fuel)3

Energy consumption per unit of sales

1,347 GJ/JPY 100 million(1,569 GJ/USD million)

Total energy consumption(renewable)--

4,350 thousand GJ

4,485 thousand GJ

302-1

Total energy consumption(non-renewable)--

42,091 thousand GJ

40,509 thousand GJ

302-1

Total water withdrawal4

71,542 thousand m3

68,685 thousand m3

71,303 thousand m3

68,287 thousand m3

303-3

Water withdrawal (surface water)

3,322 thousand m3

3,258 thousand m3

2,926 thousand m3

3,131 thousand m3

303-3

9,719 thousand m

3

303-3

Water and Effluents

Water withdrawal (groundwater)

10,061 thousand m

3

10,209 thousand m

3

10,328 thousand m

Water withdrawal(water supply, industrial water)

19,702 thousand m3

18,793 thousand m3

18,368 thousand m3

17,593 thousand m3

303-3

Water withdrawal (seawater)

38,457 thousand m3

36,426 thousand m3

39,681 thousand m3

37,844 thousand m3

303-3

3

		Data represents all Bridgestone Group facilities for the period of January 1 – December 31 for each year referenced. Part of the data includes estimated figures.
		Sales per raw material used.
Includes fuels used for in-house power generation.
4
		The water withdrawal does not include the recycled water from third party and the rainwater.
1

2

3		

52 | ESG Data

Sustainability Report 2019–2020

ESG Data
Environment-related Data1
Data item

FY2016FY2017FY2018FY2019

GRI

Greenhouse gas emissions(Scope 1)51,828 thousand t-CO2

1,871 thousand t-CO2

1,891 thousand t-CO2

1,807 thousand t-CO2

305-1

Greenhouse gas emissions(Scope 2, market-based)5

2,448 thousand t-CO2

2,327 thousand t-CO2

2,264 thousand t-CO2

2,138 thousand t-CO2

305-2

Greenhouse gas emissions(Scope 3)6122,834 thousand t-CO2

128,884 thousand t-CO2

135,669 thousand t-CO2

121,566 thousand t-CO2

305-3

CO2 emission reduction rate in theoperations and products’ after-use(from a 2005 baseline)

29%

35%

33%

34%

305-5

NOx emissions7

2,009 tonnes

2,055 tonnes

2,068 tonnes

1,969 tonnes

305-7

SOx emissions7

1,126 tonnes

1,141 tonnes

937 tonnes

850 tonnes

305-7

Volume of waste generated8292 thousand tonnes

303 thousand tonnes

352 thousand tonnes

360 thousand tonnes

306-3

Volume of recycled waste

263 thousand tonnes

274 thousand tonnes

311 thousand tonnes

308 thousand tonnes

306-4

Recycling waste rate

90%

90%

88%

86%

306-4

Volume of waste to landfill

30 thousand tonnes

30 thousand tonnes

41 thousand tonnes

52 thousand tonnes

306-5

99.4%

98.7%

98.7%

98.1%

-

Emissions

Waste

Environmental Management
Sites with ISO 14001 certification9

		Data represents all Bridgestone Group facilities for the period of January 1 – December 31 for each year referenced. Part of the data includes estimated figures.
		 Calculated CO 2 emissions as GHG emissions.
		Category 8, 13 and 15 are excluded from the 15 categories in Scope 3 of the GHG protocol.
7
		 Emissions from combustion of fossil fuels estimated based on fuel consumption data and corresponding emission factors.
8
		Total volume of waste including non-hazardous waste and regulated hazardous waste.
9		154 sites are targeted for ISO 14001 certification/151 sites are certified (98.1%). The Bridgestone Group requires all manufacturing locations with 50 employees or more to achieve
ISO 14001 certification.
1

5

6Social- and Governance-related Data
Data item

Number of employees

Global Executive Committee members

Executive Officers, Vice Presidents and Officers

1

Product safety

FY2016FY2017FY2018FY2019

Total

143,616

142,669

143,509

143,589Japan

28,32628,37528,79329,544

Americas60,79859,75058,99857,054

Europe, Russia, Middle East and Africa

17,24017,51017,63718,501China, Asia Pacific

37,252

37,03438,081

38,490

Total

14

16

9

14

Number of foreign members

6

8

5

7

Percentage of foreign members

42.9%

50.0%

55.6%

50.0%

Total

52

52

52

60

Number of foreign members

9

12

10

11

Percentage of foreign members

17.3%

23.1%

19.2%

18.3%

Sites with ISO 9001 certification2

98.7%

99.0%

99.3%

99.4%

GRI

102-7

405-1

405-1

416-1

Data as of December 31 for each year referenced.
1
		 Including officers of Bridgestone subsidiaries.
2
154 sites are targeted for ISO 9001 certification/153 sites are certified (99.4%). Bridgestone requires all manufacturing locations in which it has 50% or more share ratio to achieve ISO 9001
certification.

53 | ESG Data

Sustainability Report 2019–2020

Social- and Governance-related Data
Data item

Region

Total

Japan

Female Ratio

Management
positions5

JuniorManagement
positions 6

Total
management
positionsOtherstaff and
positions

11.5%

0.0%

2.0%

2.1%

2.1%

13.9%

9.0%

0.0%

2.9%

0.0%

2.1%

10.1%

Americas

11.7%

21.6%

20.6%

10.3%

12.9%

11.5%

Europe, Russia, Middle East and Africa

11.7%

12.6%

17.8%

17.1%

17.2%

11.0%

China, Asia Pacific

8.2%

10.0%

10.2%

10.8%

10.6%

7.9%

Bridgestone Corporation
3

Top
Management
positions4

7

GRI

405-1

Data as of December 31, 2019 from 120,612 employers and employees (84 percent of total workforce).
Management positions with a reporting line no more than two levels below the CEO in each company.
5
All managerial position excluding “Top management positions” and “Junior management positions.”
6
First-line managers, junior managers and the lowest level of management within a company’s management hierarchy
7
Excluding Firestone Natural Rubber Company (Liberia).
3

4

Data item

2020
Total

Number of directors in Bridgestone
Corporation (as of March 24, 2020)

GRI

13

Men

11

Women

2

Of which independent external directors

102-22

8

Men

6

Women

2

Data item

2019

GRI

Directors

Total fees

JPY 216 million/ USD 1.982 million

Independent external directors

Total fees

JPY 138 million/ USD 1.266 million

Executive officers

Total fees

JPY 565 million/ USD 5.183 million

102-35•Data on fees for January 1 – December 31, 2019.
•The figures above include remuneration paid to three members of the Board who retired during the current period and one Executive Officer who resigned during the current period.

Data item
Industrial
Safety Data

FY2016FY2017FY2018FY2019GRI

Lost-time injuries frequency
rate of employees

-

-

-

2.96

403-9

Lost-time injuries frequency
rate of contractors

-

-

-

1.991

403-9

Number of fatalities of employees

1

1

0

1

403-9

Number of fatalities of contractors

2

2

1

0

403-9

		Second half of 2019.

1

Management-related Data
Data item

FY2016FY2017FY2018FY2019GRI

Bridgestone Group sales

JPY3,337.0 billion/
USD 28,646 million

JPY3,643.4 billion/
USD 32,242 million

JPY3,650.1 billion/
USD 32,883 million

JPY3,525.6 billion/
USD 32.18 billion

102-7

Rubber production volume1,800,000 tonnes

1,880,000 tonnes

1,860,000 tonnes

1,840,000 tonnes

102-7

Number of manufacturing facilities1

169

164

163

163

102-7

		Number of facilities as of April 1 each year. All other data reported as of December 31 each year.

1

54 | ESG Data

Sustainability Report 2019–2020

Sustainability Report
2019–2020

Bridgestone Corporation

owtsnetnews.hq.bsj@bridgestone.com
Corporate Sustainability Department
1-1, Kyobashi 3-chome, Chuo-ku, Tokyo 104-8340, Japanwww.bridgestone.com

July 2020