SUSTAINABILITYREPORT
2016

The Bridgestone Essence
The Bridgestone Group’s mission is based on the words of its founder:“Serving Society with Superior Quality.” To fulﬁll this mission, Bridgestone Group has used theconcept of “foundation” to demonstrate the sustained commitment of employees to provide its
customers with world class products and services and to serve the communities where
Bridgestone does business. “The Bridgestone Essence” is composed of the above words,
integrated corporate culture, and diversity that today’s company has inherited and a sharedsense of values that can be embraced by Bridgestone employees around the world.

MissionServing Society with Superior Quality
We aspire to offer the best for our customers and to society, not only in terms of our products, services and technology,
but in all of our corporate activities.
Our commitment to quality is based on more than the desire for proﬁt, it stems from out of a passion for improving thesafety and lives of people everywhere.
Through our Mission, we strive to be a company trusted by the world - a company in which all of us can take great pride.

Foundation“Seijitsu-Kyocho”“Shinshu-Dokuso”[Integrity and Teamwork][Creative Pioneering]

Seijitsu-Kyocho is about adhering to principles of good faith as
you carry out your work, in the way you treat others, and as you
participate in and engage with society. It is about producing
positive outcomes by respecting a diversity of skills, values,
experiences, genders, and races and fostering teamwork.

Shinshu-Dokuso is about envisioning the future and proactively
challenging ourselves to identify and develop innovations thatwill further beneﬁt society and respond to customer needs -from the customer’s point of view. It is about unleashingcreativity and innovation to develop new business domains andcreating demand for new and beneﬁcial products through ourown unique methods.

“Genbutsu-Genba”“Jukuryo-Danko”[Decision-Making Based on Veriﬁed, On-Site Observations][Decisive Action after Thorough Planning]

Genbutsu-Genba is about taking the time to go on-site andpersonally verify the facts, then using those observations tomake informed decisions. It is about not being satisﬁed withthe current situation, and making informed decisions thatwill lead us ever closer to ideal products and solutions.

Jukuryo-Danko is about investigating all options and the fullrange of possibilities, giving careful thought as to how to
execute the decided course of action. It is about identifying
what is necessary and deciding on a vision. And once a
decision and course of action is determined, it is about
moving forward with a sense of urgency.

The Bridgestone Group

Sustainability Report 2016
Corporate ProﬁleCompany name

Bridgestone Corporation

02

Editorial Policy

04

The Overview of
the Bridgestone Group

Masaaki Tsuya

05

Bridgestone by Numbers

Paid-In capital

05

Financial Highlights

JPY 126.3 billion (As of December 31, 2016)06

Non-Financial Highlights

08

Top Commitment

12

Global CSR Commitment

12

Our Way to Serve

14

Bridgestone’s Priority Areas andManagement Fundamentals

16

Priority Areas

16

Mobility

20

People24

Environment

32

Corporate Governance

35

Management Fundamentals

35

Compliance, Fair Competition

37

Business Continuity (BCP), Risk Management40

Human Rights, Labor Practices

45

Safety, Industrial Hygiene

51

Procurement

55

Quality and Customer Value

59

Stakeholders Communication

61

Corporate Citizenship

62

Bridgestone Group Awards 2017

64

Third-party Assurance ofEnvironment Data

Headquarters

1-1, Kyobashi 3-chome, Chuo-ku,
Tokyo 104-8340, Japan
Member of the Board CEO and Representative Executive
Ofﬁcer Concurrently Chairman of the Board

Sales(consolidated)

JPY 3,337 billion (FY 2016)

Employees(non-consolidated) 13,617 (As of December 31, 2016)(consolidated)
143,616 (As of December 31, 2016)
Summary of Bridgestone’s manufacturing plants

169 plants in 26 nations(Bridgestone Group total as of April 1, 2017)

Major products and operations

Tires
Tires and Tubes for Passenger cars, Trucks
and buses, Construction and mining
vehicles, Industrial machinery, Agricultural
machinery, Aircraft, Motorcycles andscooters and Others
Automotive parts, Retreading materials andservices, Automotive maintenance andRepair services, Raw materials for tires andOthersDiversiﬁed products<Chemical and industrial products>
Antivibration and noise-insulating materials,
Polyurethane foam products,
Electro-materials, Industrial rubber
products, Building materials, Belts, Hoses
and Others<BSAM Diversiﬁed Products>
A Business under Bridgestone Americas, Inc.
supplying Commercial Rooﬁng materials
and Others<Sporting goods>
Golf balls, Golf clubs, Golf wear, Tennis
goods and Others<Bicycles>
Bicycles, Other bicycle goods and Others<Others>
Finance and Others

Solution Business
Leveraging the potential for more tighly integrating elementsof the company’s portfolio, the Bridgestone Group is working
on new “solutions” service package by combining
maintenance services, IT/sensing technology, tires anddiversiﬁed products to meet the needs of customers.

Editorial Policy
To communicate initiatives intended to increase corporate value over the medium to long term,
the Group reports ﬁnancial and non-ﬁnancial information in accordance with the following reporting
framework. In preparing these reports, the Group referenced the International Integrated Reporting
Framework proposed by the International Integrated Reporting Council (IIRC).
In the following report intended for a wide range of stakeholders, the Group describes its fundamental
management policies for achieving sustainable growth, clariﬁes the social and environmental issues
that it seeks to address, and proactively discloses the initiatives that it is taking to address those issues.
This report is a detailed version of the Sustainability Report, which discloses non-ﬁnancial information,
forming a companion to the Annual Report, which conveys mainly ﬁnancial information.

Annual Report
Operational Review

Sustainability Report
Financial Review

Digest Version

This report

CSR Website

http://www.bridgestone.com/responsibilities/index.html

Overview of Corporate Communication Tools
Library

Investor Relations

Our Way to Serve

http://www.bridgestone.com/corporate/library/

http://www.bridgestone.com/ir/index.html

http://www.bridgestone.com/responsibilities/ourwaytoserve/index.html

The Bridgestone Group− 02 −

About This Report
PeriodThis report focuses on data and activities for ﬁscal 2016 (the period from January 1 to
December 31, 2016), although it also includes some information applicable to years
before and after ﬁscal 2016. The contents of the Sustainability Report that are nothistorical facts are forward-looking, aspirational and based on information current as ofthe date of this summary and the Sustainability Report. Actual results may differ materiallyfrom those expressed in any forward-looking statement.

Organizational Coverage
This report covers the initiatives of the Bridgestone Group, including Bridgestone
Corporation and subsidiaries and afﬁliates around the world. Throughout the text,“Bridgestone” or “the Company” refers to Bridgestone Corporation, while “theBridgestone Group” or “the Group” refers to all group companies, including subsidiaries
and afﬁliates around the world. Notes are provided where this distinction does not apply.

Reference Guideline
Sustainability Reporting Guidelines (Version 4.0) (published by the Global Reporting
Initiative)
This report refers Standard Disclosures from the GRI Sustainability Reporting Guidelines.

Major Sustainability Ranking and Rating(As of May 2017)

Ranking/Rating System

Assessment in 2016

DJSI (Dow Jones Sustainability Index) World

selected

RobecoSAM Sustainability Award

Silver Class

CDP (Climate Change)A-

CDP (Water)A-

CDP Supplier Engagement Ranking

A− 03 −

Sustainability Report 2016

The Overview of the Bridgestone Group
The Bridgestone Group is the world’s largest tire and rubber company.
Since the early stage of its establishment, the Group started exporting its products
as well as overseas marketing research a year after the establishment aiming to
globally expand its business. Our history has been formed as we reﬁne ourtechnologies, pursue higher quality and aim to produce better society.
We continue to contribute to solving social issues in an innovative manner respondto the demand of our stakeholders by effectively using our strength and competence,
which we have gained through long history.

Bridgestone History Overview
Chapter 1.

From foundation to Deming Prize award

Chapter 2.

Merger, and Integration of Firestone

The corporate culture – Our DNA

The second foundation

1931

1988
Foundation with far ー Seeing globalization

Founder

Named to be a global company

Shojiro Ishibashi Stone Bridge
Ishi

Bashi

Bridgestone

1968

1988

The company’s motto
written by the founderFirestone Merger
Headquarters of Firestone
at that time

For the society“I am convinced that a simple proﬁtseeking business will never thrive, but abusiness that contributes to its society
and country will be forever proﬁtable.”
For the society with innovation“I have set my sights on contributing to
the advancement and development ofsociety by constantly seeking insight into
the changes of the times, trying to beahead of the times, and manufacturing
products of superior quality.”

Serving Society with Superior Quality

1931

1968

1995

2013

“Bridgestone Tire Company” founded in Kurume, Fukuoka

Earning Deming Prize

Returning to Indy-car race
for the ﬁrst time in 20 years

The 25th anniversary afterFirestone Merger

The Bridgestone Group− 04 −

2016 Bridgestone by Numbers (Financial Highlights)
Net sales(consolidated)

3,337billion yen

150countries
Sales by market

OthersJapan

510,000

470,000

tonnes

17％

83％

19%

49%

Europe,Middle East
& Africa

Others15%
The ﬁrst phase ofmanagement reform

tonnesThe
Americas

Japan

Tires

Chapter 3.

1.8million tonnes

overSales by Business Segment
Diversiﬁed
Products

Tire production volume(Tonnage of Rubber)Businessdevelopment

Production
Volume byGeographicalsegment

The Americas

Europe,Middle East & Africa

570,000

250,000 tonnes

17%

tonnes

The second phase of management reform

Chapter 4.

Reﬁnement of the
Corporate Philosophy“the Bridgestone Essence”

Management Goal - A truly global company /“Dan-totsu” in each and every aspects ofour business

2006

2012

2011

2015

To the future

2017
Practice of Bridgestone Essence－ Unveiled a reﬁned global CSR commitment,“Our Way to Serve”

Reﬁnement of the
Corporate Philosophy“the Bridgestone
Essence”

QualityCompleted theBridgestone
Essence Framework

2006
Introducing SBU (Strategic Business Unit) organization

Environment

MOBILITYPEOPLEENVIRONMENT

Safety2008～ Bridgestone Group Awards

2014

Bridgestone becomes Ofﬁcial
Worldwide Olympic Partner

Group Global TQM
2010～ Bridgestone
Conference

2016

Bridgestone becomes a Tokyo 2020
Paralympic Gold Partner− 05 −

Sustainability Report 2016

2016 Bridgestone by Numbers (Non-Financial Highlights)

Environment
Resource productivity improvement

Reduced amount ofenergy consumption(Base year:2005)31%
Recycled
waste ratio

382

thousand GJ

Amount of reclaimed rubbers

90% 16.4
Amount of raw material used
(Thousand tonnes)

5,000

4,844

4,811

4,831

(Thousand GJ)(Thousand m3)

50,0003,000

30,0002,000

20,0001,000

10,0002015

Sites with
ISO 14001
certiﬁcation*

46,311 45,177 44,795

77,649 77,545

71,581
55,67140,000

2016

2014

99.4%

2015

0

2016

2014

2015

2016

Amount of Greenhouse gas emissions
Scope2
Scope1

1.9%

1.4%

Total amount ofemission in 2016

CO2 emission reduction
ratio in the operations
and products’ after-use

127,110

Scope3*96.6%

thousandt-CO2(compared to the year 2005)

29%
Volume of generated waste

80,000Overall amount of water intake
Overall amount of discharge

63,008 61,744*Sites targeted by Bridgestone for ISO 14001 certiﬁcation.

CO2

million m3

Total water intake/Total water discharge

40,0002014

456

thousandtonnesTotal consumption ofprimary energy

4,000

0

Volume of recycled water

Volume and Ratio of recycled waste* Category 8, 13 and 15 are
excluded of the 15
categories in SCOPE 3 of
the GHG protocol.

Volume of waste sent to landﬁll

Recycling Volume
Recycling Rate
(Thousand tonnes)(Thousand tonnes)

400
300

314

297

298

400

89%

300

280

90%

90%

266

269

（%）

(Thousand tonnes)

100

40

75

30

200

200

50

20

100

100

25

10

0

0

0

The Bridgestone Group

2014

2015

2016

0

2014

2015

− 06 −

2016

34

2014

31

29

2015

2016

Scope of the Report Note about the Numerical Data
Organizations Covered:
Bridgestone Corporation and its consolidated subsidiaries and afﬁliates
The scope of covered may vary depending on the subject.
We have noted each such case individually.

SocialPeriod Covered:Fiscal year ended December 31, 2016

Number of employees(as of December 31, 2016)

143,616Europe13,518peopleJapanpeople28,326

peopleOther areas

41,228

2 11.8%people*Bridgestone Corporation Only

year-old

Number of staff promoting
the Global Manufacturing(masters)

Average years of employment*

13.5

people(including external directors)

people39.3

60,544

Percentage offemale directors(The Middle East, Africa, Russia, China, Asia Paciﬁc)Average age*

The Americas*Bridgestone Corporation Only

200

year

Sites with
ISO 9001
certiﬁcation*

193(people)Number of those participatedin lectures on the preventionof cartel/bribery*Bridgestone Corporation Only
(people)15,00013,00012,000

165
127

98.7%

10,000

100
5,000
0

*Sites targeted by Bridgestone for ISO 9001 certiﬁcation.

2014

2015

2016

0

3,912
2014

2015

2016

Governance
Board of Directors (as of December 31, 2016)

Directors’ Fees (January-December 2016)
Division

Directors

11(

people(outside directors)

Executive Ofﬁcer

7

among them,
the number ofoutside directors is

People)Auditors
corporate( outside)
auditors

Total− 07 −

Total Fees (million yen)people

213
(97)
562
24
(6)
800

13
(8)
10
4
(2)
27
Sustainability Report 2016

Top Commitment

In order to support its goal of becoming a truly
global company – and one truly committed to“Serving Society with Superior Quality” – theBridgestone Group launched “Our Way to Serve,”
its new global corporate social responsibility(CSR) initiative, in March 2017. The following
provides a brief overview of the background andgoals of our new CSR commitment as well as mythoughts about the importance of this initiative.
I invite you read our full Sustainability Report tolearn more about Bridgestone’s commitment tosustainability and the role that “Our Way toServe” plays in support of that commitment.

Member of the Board
CEO and Representative Executive Ofﬁcer.
Concurrently Chairman of the Board

Masaaki Tsuya

The Bridgestone Group− 08 −

Our New CSR commitment“Our Way to Serve”
Shojiro Ishibashi, who founded Bridgestone in 1931, expressed his belief that a company can not
be sustainable unless it also contributes to society. This philosophy continues today through the
Bridgestone Group’s mission, “Serving Society with Superior Quality”. Our new CSR commitment,“Our Way to Serve,” incorporates this philosophy and is intended to guide the Bridgestone Group
as it serves society while achieving the next stage of sustainable growth.
What do we seek to achieve through “Our Way to Serve” ? Simply stated, we commit to put
our ideals into practice by leveraging our strengths and competencies - thousands and dedicatedteammates worldwide, a global network, industry leadership and a history of innovation – as we
improve the way people move, live, work and play with a focus on our three Priority Areas:

Mobility: Delivering easier, safer smoother and seamless mobility through innovative technology
People: Addressing health, safety and education issues in our communities, andEnvironment: Continually working toward a sustainable society.
Along with these Priority Areas, we are committed to continuing to strengthen the basic
governance, compliance and behavioral characteristics expected of any responsible company –those elements we call Management Fundamentals. We have grouped those characteristics into
six categories and we are committed to leadership in each of them:Compliance, Fair Competition

Business Continuity (BCP) , Risk Management

Human Rights, Labor Practices

Safety, Industrial Hygiene

Procurement

Quality and Customer ValueOur CSR commitment is not a slogan. Nor is it a short-term campaign. Rather, it is at the coreof our enterprise, serving as a guide for the way we intend to do business. It serves as our guide as
we innovate and offer products and services of the highest quality and engage in businessactivities with sincerity and transparency, and demonstrate our ethical values in all that we do. It isalso important to know that our Priority Areas and Management Fundamentals build on our
experience with and success of our “22 CSR Focus Points,” our ﬁrst formal CSR program which welaunched in 2007, and that Our Way to Serve is consistent with commitments we have made to
our stakeholders and our communities. For example, in 2012 we articulated a long-term
environmental vision for 2050 and beyond which includes medium-term targets for 2020 toensure that we are on a clear path towards achieving this vision. As a further example, one ofthese goals is focused on reducing water consumption as one way for us to lessen ourenvironmental footprint. Speciﬁcally, Bridgestone’s global mid-term target is to reduce water
intake by 35% (per unit) by 2020 based on 2005 levels. As of 2016, we have already achieved a
28.5% reduction.

− 09 −

Sustainability Report 2016

Global CSR management
structure
In order to ensure the sustainability, and underscore the importance of Our Way to Serve,
Bridgestone is building a global CSR management structure. Consisting of members of ourglobal management team, the Global CSR Enhancement Committee (GCEC) will serve as acentralized resource to prioritize Bridgestone’s approach to global issues, and will plan andpropose global strategies for sustainability, as well as track the progress of our CSR
activities and how well these activities are embedded in our daily operations. The GCEC isalso charged with identifying areas for improvement and then sharing all of thisinformation, as well as recommendations for improvement, with the Global Executive
Committee (Global EXCO), whose members are the senior leadership team of the Company.
In this way, each member of the G-EXCO is actively engaged and participating in“Our Way to Serve”.

Using innovation to become a“Solutions Provider”
Bridgestone is known for using innovation in technology, business model and design toimprove the way people move, live, work and play and we will apply these skills in the areasof Mobility, People and Environment in order to contribute to ensuring a sustainable
society for future generations.
And while Bridgestone has always used innovation to develop a wide range of products
and services, going forward we intend to develop and offer solution businesses that canaddress social issues while fulﬁlling customer expectations. The result is a high quality, highinnovation beneﬁt for our customers, a positive impact on society, and the recognition by
our customers that Bridgestone is a trusted solutions provider. “Our Way to Serve” will help
us achieve this aspirational goal.

The Bridgestone Group− 10 −

Addressing management
issues to become a truly
global company
Sustainable corporate growth is not possible without a sustainable society. To address thequestions around ensuring a sustainable society, in 2015, the United Nations (UN) adopted
the Sustainable Development Goals (SDGs). In addition, in 2016, the COP 21 Paris
Agreement was adopted, calling for substantially zero CO2 emissions in the latter half ofthe 21st century.
As an industry leader, one which aims to be a truly global company and Dan-Totsu in
those businesses in which we participate, we recognize our responsibility to understandthe requirements articulated in these pronouncements and to assess the impact ourbusiness has on our world, all as we serve society by improving access to smart, safe
transportation; building healthy, resilient communities; and balancing business operations
with environmental stewardship. Society expects this from us, and those expectations are
growing each day.

Creating common value for ourcustomers and society
Put another way, by fulﬁlling our social responsibility as a company and securing
sustainable growth, earnings and competitiveness, we are creating value for all of our
stakeholders. And for that reason it is important to instill a commitment to CSR among allof our 140,000 employees across the 150 countries in which we operate. We are proud of
the fact that Bridgestone has been named to the Dow Jones Sustainability World Index(DJSI World), but this recognition only means that now we must work even harder toenhance enterprise value from both ﬁnancial and non-ﬁnancial standpoints.
The year 2017 marks a new start for the Bridgestone Group and its commitment to
CSR. To become a truly global company, we will proactively address social issues, work to
fulﬁll society’s expectations, and contribute to the realization of a sustainable environmentand society. Through active dialogue with a wide range of stakeholders, we aim to createcommon value for our customers and society.

− 11 −

Sustainability Report 2016

Global CSR Commitment

Improving the Way People
Move, Live, Work and Play

Our Heritage and Mission

Serving Society
with Superior Quality

Innovation

Solutions

Enhancing

Mobilityhnology
Tec

Smarter, safer, more accessible

Our Strengths and Competencies

Supporting

People andCommunities

Thousands of Teammates
WorldwideA sp
ir a ti o n s& Drea ms

Global Network

Enga

Industry Leadershipge menBe supportive, approachable,
comfortable

t

s
Worl
d C h a ll e n g e& S o cial I s s u e sAdvancing

Environmental
Stewardship
Be responsible

Based on Management Fundamentals

VISION“Understanding that Serving Society with Superior Quality is our heritage and our mission,and embracing our responsibility to future generations as a global leader in our industries,
Bridgestone and its teammates around the world employ innovation and technology to
improve the way people move, live, work and play.”

The Bridgestone Group− 12 −To Continue “Serving Society with Superior Quality”
From our beginnings in the 1930s, our founder, Shojiro Ishibashi, believed that a business that
contributes to society would do well by doing good. Today, this is more important than ever,with mounting social and environmental challenges threatening the planet and the quality oflife of all people living on it. Now, as a global leader, the Bridgestone Group is committed toserving society by improving access to smart, safe transportation, building healthy, resilient
communities, and minimizing our environmental impact. Looking forward, we remaincommitted to driving innovation around mobility, people, and the environment – so that we cancontinue to serve society with superior quality for generations to come.
“Our Way to Serve”, which is closely linked to the Bridgestone Essence, reﬁnes and builds upon
the recent 10 years of success and learning from the Bridgestone’s 22 CSR Focus Points.

Formulation Process for“Our Way to Serve”“Our Way to Serve” was formulated with

A truly
global company

reference to various international guidelines andinitiatives, including WBCSD Reporting Mattersand other outside opinions, ISO26000, the IIRC
Integrated Reporting Framework, the Corporate
Governance Code, Sustainable Development
Goals (SDGs),
ISO14001:2015,

MOBILITY

and GRI Standards.

PEOPLEENVIRONMENT

The Bridgestone
Essence

CSR
materiality
analysis

Formulation of the“22 CSR Focus Points”

The
Bridgestone
Essence
Framework
completed

Corporate mission reﬁned for thecompany’s 80th anniversary
Reﬁning of the Safety
Mission Statement

Establishment of the
Global Executive Committee(Global EXCO)

Reﬁning of theEnvironment Mission
Statement

Our Mission:

2012

2013

2014

SafetyFormulation of
the Quality
Mission Statement

Start of Global CSR Working Groups
Establishment of the Global CSR
Enhancement Committee (GCEC)“Serve Society with Superior Quality”
2011

Environment

Quality2015− 13 −

2016

2017

Sustainability Report 2016

Global CSR Commitment

Bridgestone’s Priority Areas andManagement Fundamentals
ReduceReducetrafﬁctrafﬁc
accidents
accidents
Rebuild
Rebuildtransportationtransportation
infrastructure
infrastructure

Economic
Economic
and andculturalculturaldevelopment
development

Safe Safe
transportationtransportation

MOBILITY
MOBILITY

Eliminate
Eliminatemobility
mobility
impairment
impairment

Smart
Smart
mobility
mobility

In harmony
In harmony
withwithnaturenatureAccessible
Accessible
mobility
mobility

Priority
Priority
Areas
Areas

Eliminate
Eliminate
wealthwealthdisparity
disparity

Contributing
Contributing
to a tosafer
a safersocietysociety

ProvideProvideeducational
educational
opportunities
opportunities

PEOPLEPEOPLE

Compliance,
Compliance,
Fair Fair
Competition
Competition

Promoting
Promotinghealthierhealthiercommunities
communities

Accessible
Accessible
and andinclusive
inclusiveeducation
education

Business
BusinessContinuity
Continuity(BCP),(BCP),
Risk
RiskManagement
Management
Human
Human
Rights,Rights,Labor
Labor
Practices
Practices

DisasterDisasterand disasterand disastera strong
a strongsocialsocial
risk reduction
risk reduction BuildBuild
infrastructure
infrastructure

Safety,Safety,Management
ManagementIndustrial
Industrial
HygieneHygieneFundamentals
Fundamentals
Procurement
Procurement
Quality
Quality
and and
Customer
Customer
Value
Value
The Bridgestone Group− 14 −

ReduceReduceCO2 CO2emissionsemissionsServing
Serving
SocietySociety
withwithSuperior
Superior
Quality
Quality

Our Way to Serve

Preserve
Preserve
biodiversity
biodiversity

As a company, Bridgestone has redeﬁned its global corporate social responsibility (CSR)
commitment, now called “Our Way to Serve.” “Our Way to Serve” aims to inspire Bridgestone
teammates to continue doing great work, by continuing to do good for the world. “Our Way
to Serve” organizes Bridgestone’s CSR efforts under three Priority Areas: Mobility; People; andEnvironment. “Our Way to Serve” reﬂects the company’s longstanding philosophy of Serving
Society with Superior Quality and a recognition that the best companies not only perform fortheir stakeholders, but also contribute to a better world.
Along with these Priority Areas, Bridgestone continues to strengthen the basic governance,compliance and behavioral characteristics expected of any responsible company through its
Management Fundamentals. These are exempliﬁed in the company’s commitment toleadership in six major areas including Compliance and Fair Competition; Business Continuity
and Risk Management; Human Rights and Labor Practices; Safety and Industrial Hygiene;
Procurement; and Quality and Customer Value.

“Our Way to Serve” System
BuildBuildaa
recycling-oriented
recycling-oriented
societysociety

ValueValue
naturalnaturalresources
resources

ENENVIRONVIRONMENTMENTTo implement “Our Way to Serve” on a global basis, Bridgestone Group has established acollaborative network made up of a global CSR management system, a regional CSR
management system, and working groups (WGs) for speciﬁc areas and functions.
The Global CSR Enhancement Committee (GCEC), which implements the global CSR
management system, evaluates the corporate group’s overall CSR policy based on working
group and regional issues.
The GCEC submits its recommendations to Global Executive Committee (G-EXCO), which
includes CSR as a management priority.

Global EXCO
Global CSR Enhancement Committee (GCEC)
SBUs Management

WGs President

J-Region

BSAM

BSEMEA

BSCAP

SBU
Representative

SBU
Representative

SBU
Representative

SBU
Representative

Regional
activities

Regional
activities

Regional
activities

Regional
activities

Address
Address
climateclimatechangechangeBuildBuilda carbon-freea carbon-freesocietysociety

Area andFunctional
Working
GroupsMOBILITYPEOPLEENVIRONMENT
Compliance, Fair Competition

Regional CSR Management System

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

Bridgestone has established working groups (WGs) for CSR activities by
area and function, comprising strategic business units (SBUs) andregional members. By considering CSR from a perspective that includes
both regional issues and those to be addressed on a global basis,
Bridgestone has established a system to energize its global and regional
CSR activities.

− 15 −

Sustainability Report 2016

Priority Areas

Mobility
Mobility is just as important to human progress as it is to
everyday life. The ability to safely, efﬁciently, and affordably
travel between two points helps drive the economy forward
while enhancing the way we live, work and play.
Through high-performance mobility, we can improve qualityof life in our cities with better public transportation, reduced
congestion, and increased accessibility while at the same time
reducing chances of transportation-related accidents.
By using resources more efﬁciently, we can help deliver asafer and smarter transportation experience while we improvesocial and environmental outcomes across the globe.

The Bridgestone Group− 16 −

Mobility

PeopleEnvironment

To accelerate sustainable mobility innovations
through advanced technologies and solutions
Through innovative technology, the Bridgestone Group is committed to easier,safer, smoother and seamless mobility for our society and customers.

Accessible mobility

Smart mobility

Safe transportation

Making smooth and seamless
mobility available.

Utilizing unique technologies
to improve the way people/goods move.

Utilizing unique technologies
to enhance safe mobility.

The Value Generated by the Bridgestone GroupAs one of the world’s leading tire and rubber companies, the Bridgestone Group supports the movement ofpeople and goods around the world. Mobility is essential to everyday life today, and making it convenient andcomfortable contributes to a better society.
At the same time, the social problems arising from mobility, such as trafﬁc accidents and congestion, andregional inequality due to a lack of means of transportation, have become increasingly serious. The further
aging of societies and forecasted population growth have raised concerns that conventional mobility isunsustainable.
The Bridgestone Group is working to address these issues, utilizing its core competencies to resolve
individual problems through its solutions business and realize safer and more comfortable transportation.
We also seek to play a key role in building new mobilities society that people around the world can enjoy.

− 17 −

Sustainability Report 2016

Soci

al Issues

Case 1
Provide access tosafe, affordable,
accessible andsustainable transportsystems for all

The value provided by Bridgestone

Innovative IT Solutions for safer
and easier transportation
Bridgestone subsidiary Bridgestone do Brasil Industria e Comercio Ltda.
(BSBR), in cooperation with Bus Rapid Transit (BRT) the principal meansof transportation in Rio de Janeiro, conducted a demonstration of a
new transportation solution utilizing a proprietary IT system. By
expanding easily accessible public transportation, this initiative
promotes economic development and contributes to the creation of amore comfortable society for all people.
*BRT is an express bus rapid transit system that utilizes articulated buses and special trafﬁc lanes toprovide regular and rapid service. This eco-friendly, next-generation urban transport system has been
adopted mainly in emerging countries in recent years and is spreading into developed countries as well.

New transportation solution utilizing
a proprietary IT system

Tirematics

The Bridgestone Group

Tirematics is an IT system that uses sensors to measure thepressure and temperature of truck and bus tires, track thelocation of vehicles, and provide remote monitoring in realtime of a network. The system helps to prevent
unexpected transport disruptions due to tire failure, ensure
the safety of passengers, and maintain a regular schedule.
Tire pressure checks by maintenance workers are also
unnecessary, signiﬁcantly increasing the efﬁciency of tire
maintenance. Longer tire life and improved fuel efﬁciency
also help to reduce costs.

− 18 −

Mobility

Soci

PeopleEnvironment

al Issues
The value provided by Bridgestone

Case 2

Unique Safety Technologies

Make cities andhuman settlements
inclusive, safe,resilientand sustainable

Proprietary technologies for a safer
driving experience

Tires with run-ﬂat
technology
Run-ﬂat
Tire

Conventional
Tire

Sidewallreinforced
rubberRun-ﬂat tires have sidewall-reinforced
rubber, allowing the vehicle to be driven acertain distance at speciﬁed speeds, evenwith zero inﬂation pressure. Originallydeveloped for use on vehicles designed forphysically disabled people, this technology
through continual research is now widelyused in standard passenger vehicles, offering
a comfortable ride comparable to normal
tires. Bridgestone continues to expand therange of applicable sizes in an effort tomake this technology useful worldwide.

Bridgestone is helping to reduce trafﬁc accidents with a solutions
business using technology to support safe driving. Our measures
include developing tires that even when ﬂat allow a vehicle to be
driven to a location where the tire can be changed safely and thepractical application of technologies to support safe driving by
utilizing sensing technologies in tires—the only part of a vehicle incontact with the road—to acquire information on road surface
conditions.

Sensing technologies for a safer
driving experience

CAIS®*1 (Contact Area Information Sensing)
CAIS is a general termfor Bridgestone’s
tire-sensing
technologies, which
provide value toconsumers bycollecting andanalyzing tire contact
area data and using this information to classify
road conditions. In 2015, Bridgestone realized
the world’s ﬁrst*2 practical application of this tiresensing technology with classiﬁcation of roadconditions. This technology classiﬁes the roadconditions into seven different states (dry,semi-wet, wet, slush, fresh snow, compacted snow,
and ice) through an onboard system in real time.
Bridgestone promotes technological developmentfor not only tires but also entire systems in support
of a safe and secure mobile society.
*1 Contact Area Information Sensing. CAIS is a registeredtrademark of the Bridgestone Corporation.
*2 Among tires equipped with classiﬁcation of roadcondition technologies (Source: Bridgestone research,
November 2015)− 19 −

Continued pursuit of sure handlingon ice and snow

BLIZZAK studless winter tires

The leading brand of studless winter tire,
BLIZZAK uses Bridgestone’s acclaimed
foamed rubber technology to deliversafe and sure handling on icy roads.
Combined with various other technologies, these tires provide peace of mind
on slippery winter roads.

Sustainability Report 2016

Priority Areas

PeopleAs a global leader, seeking to build a truly global company,
Bridgestone touches a diverse array of communities across theworld. By enhancing how people live, learn and work, thecompany strives to have a positive impact on the communities inwhich it operates at the global and local levels.
Acting on these commitments and working with ourvarious partners, we will help build safer, healthiercommunities and make education more accessible andinclusive. We will build on our strengths and competencies toserve communities today and in future generations.

The Bridgestone Group− 20 −

Mobility

PeopleEnvironment

Employ our strengths to support our communities
and enhance the way people live, learn and workWe, the Bridgestone Group, are committed to utilizing our strengths andcompetencies to address health, safety and education issues in our communities.

Contributing toa safer society

Accessible and inclusive
education

Promoting healthiercommunities

Building safer communities
through services, products,
and company andindividual initiatives.

Expanding education and training
opportunities in order to develop
job and life skills.

Promoting access to the resources
people need to lead healthierlives.

The Value Generated by the Bridgestone Group
The Bridgestone Group conducts business in more 150 countries throughout the world. From the company’s
beginnings in the 1930s, founder, Shojiro Ishibashi, believed that a business which contributes to society would
do well by doing good. Today, this is more important than ever, with mounting social and environmental
challenges threatening the planet and the quality of life of all people living on it.
Now, as a global leader, Bridgestone is committed to serving society by improving access to smart, safe
transportation, building healthy, resilient communities, and balancing business operations with environmental
stewardship.
Looking forward, Bridgestone remains committed to driving innovation around Mobility, People and theEnvironment – so that it can continue to serve society with superior quality for generations to come.

− 21 −

Sustainability Report 2016

Soci

al Issues

Case 1
Build resilient
infrastructure,promote sustainableindustrialization andfoster innovation

The value provided by Bridgestone

Improvement in the prevention for local safetyand disaster prevention
When a natural disaster occurs, it is important that shelters that victims
use are functional to save many lives. We at the Bridgestone Group
contribute to the strengthening of disaster prevention of local areas byproviding Seismic Isolation Bearing that prevent buildings from collapsingin case of earthquake.
Moreover, the Group establishes disaster prevention functions in somelocal areas, which are usually seen only in hub areas in order to improve
the level of natural disaster prevention for the whole local areas.
The Bridgestone Group supports local areas to improve the ability of
responding to safeness and safety of local areas, disaster prevention andthe reduction of the number of local areas by providing its technologies,
products and infrastructure for disaster prevention.

Prevention of local areas from typhoons
and cyclones

Protection for life and assets from earthquakes

Seismic Isolation Bearing

Disaster Control Center

Leveraging technology which is core to our tire
production, Bridgestone has developed high-quality,
highly-functioning seismic isolation bearings. These
bearings help prevent buildings from collapsing andsustaining signiﬁcant damage from earthquakes. This
technology has allowed Bridgestone to contribute to thesafety and reliability in people’s everyday lives, as well as
greater economic certainty in local communities.

Bridgestone Americas, Inc. owns and operates a weather
center in one of its tire manufacturing facilities in thestate of Tennessee, USA. The center includes weather
spotter cameras, a local weather scanner, and current
weather radar, giving the ability to predict weather
patterns. This facility can alert surrounding areas wheninclement weather is imminent or occurring in the area.

The Bridgestone Group− 22 −

Mobility

Soci

al Issues

Case 2
Ensure inclusive
and quality education
for all

PeopleEnvironment

The value provided by Bridgestone

We support education for the next generation
Education can bring solutions for various social issues including theimprovement of income gaps, poverty, health issues, etc. We at theBridgestone Group promote activities that provide educational
opportunities to underdeveloped areas of the world, including free
vocational training relevant to electronics engineering and machineengineering, as well as language lessons and lectures on management skills.
We are committed to using our resources and capabilities to address
health, safety and education issues in our communities. We are focused on
helping to make society safer, making education more accessible andinclusive, and promoting healthier communities.

Staff development by providing educational
opportunities

Provision of educational programs that meetan individual’s demand

Vocational Training Facility

Training programs

Number of graduates(1984-2016)

713

P.T. Bridgestone Tire Indonesia
operates a vocational training
peoplefacility in Indonesia. The
facility offers a fair opportunity 54% joined the Bridgestone Group,
46% other companiesof learning as the facility fees
and living costs are free for two
years. Those, who have
graduated from the facility, now
work for companies in Indonesia
including a local Bridgestone ofﬁce.

In Spain, Bridgestone Hispania S.A. provides a machineengineering training for young people with intellectual
disabilities. The 400-hour program has been designed tocorrelate with the intellectual level of each participant.

− 23 −

Sustainability Report 2016

Priority Areas

Environment
As a global leader, seeking to build a truly global company,
Bridgestone’s business presence spans multiple countries, withhundreds of production, development and corporate locations,employing thousands of teammates worldwide.
With the social and environmental impacts of climatechange, resource scarcity, and nature’s degradation becoming
more clear, our communities and customers are demanding we
act to address these challenges in our everyday operations.
This will contribute to building a sustainable society bybalancing operations with environment, being in harmony withnature, and improving the quality of life for all.

The Bridgestone Group− 24 −

Mobility

PeopleEnvironment

To help ensure a healthy environment for
current and future generations...
We, the Bridgestone Group, are committed to continually working toward asustainable society with integrity and in unity with our customers, partners,
communities and the world around us.

In harmony with nature

Value natural resources

Reduce CO2 emissions

To contribute to biodiversity
through habitat enhancement,
and through environmental
education and research.

To continually improve natural
resource conservation throughoperational improvements andproduct design.

To continually reduce emissionsof Greenhouse Gases, including
CO2 from our products’
complete life cycle.

Sustainable Society through “Decoupling”“Decoupling” is a key concept in our Long-term Environmental Vision. The total number of automobiles
worldwide is expected to increase with the global population and economic development in emerging nations.
As a result, resource consumption will increase and the environmental footprint will become greater. There is apossibility of exceeding the earth’s capacity, through global warming or resource depletion. To work toward asustainable society, we shouldn’t simply accept that resource consumption and environmental footprint comewith population increase and economic development, but work to separate them. The United Nations
Environment Programme (UNEP) calls this separation “decoupling”. The Bridgestone Group established its
Long-term Environmental Vision based on decoupling.

Long-term Environmental Vision

Two aspect of “decoupling”
Human well-being
Economic activity(GDP)

Exceed the earth’s
capacity

Resource consumption and environmental
footprint in case of no action

Economic growth by keeping resource
consumption low (decoupling)
Resource consumption
Economic growth by reducing
environmental footprint (decoupling)
Environmental footprint
Time
Prepared by Bridgestone with reference to the UNEP

− 25 −We have established Mid-term targets andpositioning to meet the Long-term Environmental
Vision toward 2050 while working to build asustainable society. With the increased demand
accompanying population increases and improved
lifestyles, the world could possibly face signiﬁcant
problems related to climate change and resource
consumption. As the world’s leading tire and rubbercompany, the Bridgestone Group aims to contributeto the realization of a sustainable society bybalancing its operations with the earth’s capacity,
maintaining harmony with nature while meeting thevarious needs of the market.

Sustainability Report 2016

Looking ahead to the world in 2050

Working toward a sustainable society
The Bridgestone Group’s Environmental Mission Statement

To help ensure a healthy environment for
current and future generations...

Long-term
Environmental
Vision for 2050
and beyond

Mid-term
Environmental
Targets for 2020
(Base year:2005)

In balancewith nature*1(Contribution > Footprint)

Towards
100% sustainable
materials*3

Promote ecologicalconservation &restoration
Minimizing footprint(Reduce water intake
per unit*2 by 35%)

28.5% reduction in water
intake per unit (compared to
2005)

Reduce CO2 emissions

Resource
productivity
improvement

Signed the Sustainable
Natural Rubber initiative(SNR-i) established by theInternational Rubber Study
Group (IRSG)

31% improvement in
Resource productivity
Announcement of research
results for ImPACT*4

In harmony
with nature*1 “In balance with nature” is thecommitment of Bridgestone Group tocontribute to biodiversity throughhabitat enhancement, environmental
education and research.
*2 Bridgestone manages water intake
per production volume and sales foreach business unit. A weighted
average efﬁciency of the reduction
rate is used as an index.

per sales from operations andproducts’ after-use by 35%

Reduce rolling resistanceof tires by 25% and thereby
achieving CO2 reductions
during use exceeds all otheremissions in the product’s
lifecycle
29% reduction in CO2emissions per net sales fromoperations and products’
after-use (compared to 2005)
13% reduction in tire-rolling
resistance (compared to 2005)
Successful synthesis ofpolyisoprene rubber withadvanced control of themolecular structure

Local ecosystem conservation
activities

The Bridgestone Group

50% reduction of CO )( Overemissions
2

Enhancing contribution
activities

Main
Achievements
in 2016

Contribute to
globally agreed
target*5

Value natural
resources*3 The Bridgestone Group deﬁnes

sustainable materials as materials“1) that come from resources with aguaranteed continual supply, 2) thatcan be used as part of our businessover the long-term, and 3) that have a
low environmental and social impact
over the lifecycle from procurement
to disposal.”*4 The Impulsing Paradigm Change

through Disruptive Technologies
Program (ImPACT) aims to generateinnovative technologies that if
realized would revolutionize industry
and society. It was established topromote high-risk, high-impact,
ambitious research and development.

− 26 −

Reduce CO2
emissions*5 At the G8 Hokkaido Toyako Summit(held in July 2008), G8 leaders agreed
on a reduction of at least 50% ingreenhouse gas emissions worldwide
by 2050. The same year, at the Major
Economies Meeting on Energy
Security and Climate Change, thedeveloped countries plus certain
emerging nations, such as China,
India, etc, adopted this target as ashared global objective.

Mobility

PeopleEnvironment

In harmony with nature

Long-Term
Vision(For 2050 and beyond)

Activity
Concept

In balance with nature(Contribution > Footprint)
Water
resource
preservation &restoration

CO2
reduction

Educational
activities

Air
pollution

CO2
emissionsContribution

Ecosystem
preservation &restoration

Waste
production

Footprint

Research

Forestry
maintenanceWater
and soilpollutionLand
alteration

Water
intakeThe Bridgestone Group is committed to being “in harmony with nature” in accordance with thelong-term vision formulated at the tenth meeting of the Conference of the Parties (COP 10) heldin 2010. To accomplish this, we will maintain a constant understanding of the relationshipbetween our business and biodiversity, based on which we will deﬁne the priority issues that wemust address. “In balance with nature,” the Group’s long-term environmental vision for the thisgoal, is our commitment to contribute to biodiversity through habitat enhancement,
environmental education and research. Our business operations will take into account the impact
on the ecosystem as a whole. The Bridgestone Group is conducting activities targeting “inbalance with nature” throughout all business areas.

Relationship between the Bridgestone Group’s tire operations
and biodiversity
Since 2013, the Bridgestone Group has conducted a materiality analysis on its footprint on and contributions tobiodiversity made by the Group’s operations. This analysis is based on the interrelationship represented in theabove, which is used top prioritize issues. We will improve our activities by taking key actions in relation to theseissues in the future, while reviewing the priority issues to meet the changes in social needs.
Meanwhile, quantiﬁcation methodology for biodiversity have been developed by various organizations,
including the Natural Capital Protocol. Paying attention to these international trends, the Bridgestone Group has
promoted the qualitative and quantitative understanding of the relationships between its business operations andbiodiversity.
Priority Issues and Key Actions

Minimizing footprint

Enhancing contributions

Reduce impact on land utilization

Preservation and restoration of habitat
areas for wild plants and animals

Reduce impact on water intake

Improvement of natural rubber farm
productivity

Reduce air and water emissions

Water resource preservation or
restoration

Reduce CO2 emissions fromlifecycle stages

Reduction of CO2 emissions(customer use)

Reduce waste production− 27 −

Sustainability Report 2016

Minimizing footprint
Reducing the Impact of Water Intake
The Bridgestone Group employs cooling water and steam in
the production process. Continued use of such water
resources is a current production requirement that cannot be
separated from continuation of business for the Group. The
Group has therefore set the target of reducing water intake at
35% per unit*1 by 2020 throughout the Group, based on
2005 levels.
We are reusing/recycling water at many of the Group’s
manufacturing facilities, including operations in areas where
there are serious concerns regarding for water shortage suchas China and Mexico. We are also using water resources more
efﬁciently by enhancing the production process and using
rainwater.
In addition to implementing a risk assessment for water
quality and volume, we take efﬁcient use of water resources
and wastewater into account when building new tire facilities.
We use the WBCSD Global Water Tool*2 and WRI Aqueduct*3
to assess water risk at existing facilities and are studying
corrective measures for each location.

Target and Actual Figures of Water Intake at
Manufacturing Facilities (per Unit)(Index)100

Base 27.7% 28.5% 28.5%
year reduction reduction reduction

35%

90

reduction

80

Target

70
60
50
0

2005

2014

2015

2016

2020 (Year)*1 Bridgestone manages water intake by unit of production
volume and net sales for each business. A weighted average
efﬁciency of the reduction rate is used as an index.
*2 Water risk assessment tool developed by World BusinessCouncil for Sustainable Development (WBCSD)*3 Water risk assessment tool developed by World Resources
Institute (WRI)

Our Approach to Sustainable Natural Rubber
Because natural rubber consumption is expected to increase alongside the demand for tires, it is a business
imperative to foster a sustainable natural rubber supply. The Bridgestone Group recognizes sustainable natural
rubber as a key issue for the tire industry and for the Bridgestone Group’s sustainable growth.
Since 2016, the Bridgestone Group has been an active participant in the Sustainable Natural Rubber
Initiative (SNR-i), established by the International Rubber Study Group (IRSG). SNR-i is aimed at developing
criteria that balance economic, environmental and societal aspects to promote a global sustainable natural
rubber economy beneﬁting all industry stakeholders. Furthermore, we are ﬁnalizing enhanced procurement
guidelines to facilitate our own sustainable natural rubber supply.

Enhancing contribution
Technology Provision to Improve the Productivity of Small-Scale
Natural Rubber Farmers
The majority of natural rubber production in the world is conducted by small-scale rubber farmers in Southeast
Asia. The Bridgestone Group uses large volumes of natural rubber produced by such farmers. However, theproductivity of the rubber trees raised by these farmers is low and the quality and volume of natural rubber
produced vary. To help such small-scale farmers improve the quality of their operations, P.T. Bridgestone Sumatra
Rubber Estate (BSRE), a subsidiary that directly operates rubber farms in Indonesia, provides these farmers withthe productivity-improving technologies Bridgestone hasdeveloped on its own rubber farms.
The company started providing technical assistance to theagricultural training center established in the city of Siantar in
North Sumatra. The company also provided Hevea rubber tree
seedlings to the farmers and implemented a technical training
program for instructor candidates selected from various areas.
Such initiatives are expected to improve the quality of natural
rubber and income per unit area for small-scale farmers and help
control expansion of agricultural land utilization.

The Bridgestone Group− 28 −

Mobility

PeopleEnvironment

Value natural resourcesLong-Term
Vision(For 2050 and beyond)

Activity
Concept
Resource use
Resource
consumption will be
increased due toincreasing demands(Business as usual)Line ofecologicalcapacityA
B
C
Current status

Case 1

Towards 100% sustainable
materials
It is expected that an increase in population and the number of automobiles
will boost tire demand in the future. The Bridgestone Group’s goal is toimplement business operations in balance with the planet’s ecologicalcapacity. The Bridgestone Group has set the goal of using “100% sustainable
materials” in our products
action 1
as the long-term vision for
reduce raw material
consumption
2050 and beyond. As(enhance resource productivity)
Half-weight technology
necessary activities toAlong life technology
achieve this goal, we areaction 2
committed to taking therecycle resources & use
Beffectively
following three actions:retread technology and services
non-pneumatic tire(1) reduce raw material
recycled rubber
consumption (enhanceaction 3
A
resource productivity),
expand and diversify
renewable resourcesC(2) recycle resources andimprovements in rubber productivity
use them efﬁciently, anddiversiﬁcation of natural resources,
such as bio-materials
B(3) expand and diversify
A Recycled materials
renewable resources (i.e.,
2050 and beyond
technology aimed at zero
B New input of renewable materials
BAU
100% Sustainable
use of non-renewable(Business as usual)material
C Non-renewable materials
materials).

Research on resource conservation
tires using tough polymer composite

Thinner tire material reduces the weight of a tire which
contributes to lower vehicle fuel consumption and saves
resources by using fewer raw materials. However, making atire thinner requires ensuring sufﬁcient durability, and thedevelopment of tough materials that exceed existing
technology. Bridgestone participates in the Cabinet Ofﬁce’s
ImPACT*1 initiative, and conducted research aimed atcreating an ultrathin ﬁlm, durable “ﬂexible tough polymer.”
We announced the results in 2016. Through this research
we aim to develop a strong material that exceeds previous
limits and create tires that achieve greater resource
conservation.
Case 2

Activities to reduce environmental
impact of used tires through WBCSD

Concrete road surface travel
Bad

100
80

Wear rate(quotient)

About 60%
reduction

60
40
20

Good

0

Standard
composite

ImPACT researchcomposite

Result of veriﬁcation test using a rubber track
The test showed that the wear rate for running durability of the rubbercomposite developed through this research is 60% lower than that of a standard
composite, conﬁrming the validity of the research principle.
*1 The Impulsing Paradigm Change through Disruptive Technologies Program(ImPACT) aims to generate innovative technologies that if realized would
revolutionize industry and society. It was established to promote high-risk,
high-impact, ambitious research and development.

It is projected* that approximately one billion used tires will emerge worldwide each year. Reducing the environmental
impact of used tires is a common issue within the tire industry.
Bridgestone has been involved in the Tire Industry Project of the World Business Council for Sustainable
Development (WBCSD), which was established in 2006. As the tire and rubber company, the Company has worked
toward building a sustainable society in cooperation with other companies in the industry. This project aims to develop
an effective management system for used tires by encouraging related industries and governments in various countries
to appropriately manage used tires and reduce their environmental impact through the publication of “End-of-Life Tires(ELT): A Framework for Effective ELT Management Systems” and disclosure of survey results.
*WBCSD Tire Industry Project− 29 −

Sustainability Report 2016

Reduce CO2 emissions

Long-Term
Vision(For 2050 and beyond)Contribute to Globally-Agreed
Target(over 50% reduction of CO2 emissions)

Activity
Concept

Greenhouse Gas Emissions by Tire Lifecycle Stage (Converted to CO2 Base)*1
Raw material
procurement

Manufacturing

Distribution

Use (Driving)

After-use*2

Energy used to
produce raw
materials

Energy usedduringproduction

Fuel usage

Fuel usage

CO2 emitted
duringcombustion

86.4 %

9.8%
2.9%

0.6%

0.3%

As a company involved in the automotive industry, the Bridgestone Group is paying close
attention to the impact of CO2 emissions. Based on the projections of IPCC*3 and otherinternationally recognized agencies, the Group has established a goal to reduce CO2 emissions inour business operations.
Our efforts to reduce CO2 emissions go beyond tire manufacturing. The tire lifecycle stage that
accounts for the largest volume of CO2 emissions is “Use (Driving).” Tire contribution toautomobile exhaust emissions can be lowered by reducing rolling resistance, thus improving
vehicle fuel efﬁciency and contributing to the reduction of CO2 emissions from the vehicle.
The Group will continue its efforts to reduce CO2 emissions throughout our products.
Along with striving to mitigate climatechange by reducing the amount of CO2
emissions, the company recognizes the risk of
CO emissions fromclimate change to Group activities and isoperations andproducts’ after-use
Contribution from
implementing adaptation measures such as
avoided emissions
conducting research on sourcing natural rubber
at the usage stage
from areas other than tropical regions.
To reduce the volume of CO2 emissions overthe entire lifecycle of a tire, the BridgestoneGroup has set two CO2 reduction-related
targets so that by 2020 the contribution fromavoided emissions when the customer uses thetire exceeds the amount of its operations andproducts’ after-use.
2*1 Greenhouse gas emissions throughout life cycle of 1 fuel-efﬁcient passenger car tire (195/65R15): 243.9kgCO2e*2 Greenhouse gas emissions from after-use stage: 13.1kgCO2e (emissions reductions: 12.5kgCO2e)(Source: “Tyre LCCO2 Calculation Guidelines Ver. 2.0”, Japan Automobile Tyre Manufacturers Association, Inc.)*3 Intergovernmental Panel on Climate Change

The Bridgestone Group− 30 −

Mobility

PeopleEnvironment

Contribute to CO2 reduction at usage stage more than
all other emissions in the product lifecycle by 2020

Mid-term
Environmental
Targets

Reduce CO2 emissions per sales from operations and products’ after-use by 35%
Reduce rolling resistance of tires by 25% and thereby achieving CO2
reduction during use exceeds all other emissions in the product’s lifecycle(by 2020)

The Bridgestone Group is working to achieve its mid-termtargets to reduce the volume of CO2 emissions over theentire lifecycle of a tire. Considering the value when CO2emissions from operations and products’ after-use are offset
by contribution of CO2 reduction at usage stage*1, thereduction in 2016 was 67% (compared to 2005). We arecontinuing activities with a dual approach aimed atachieving that contribution to CO2 reduction during use
exceeds CO2 emissions from our operations and products’
after-use by 2020.

Difference in CO2 Emissions from Operations and Products’
After-use and Contribution to CO2 reduction at the Usage Stage(Thousand Basetonnes)year*1 Calculated based on “Tyre LCCO2 Calculation Guidelines Ver. 2.0” (The Japan Automobile
Tyre Manufacturers Association, Inc., April 2012)

15,00010,000carbonneutral

5,000

Target0

2005

2014 2015 20162020 (Year)29% reduction in CO2 emissions per net sales from operations and products’
after-use (compared to 2005)

Main
Achievements
in 2016

13% reduction in tire-rolling resistance (compared to 2005)

CO2 Emissions Reduction Rates by Life Cycle Stage (2016)
The Bridgestone Group has set a target of a 35% reduction in
CO2 emissions volume per net sales from operations and
Raw materials
Reduced by around 26%
products’ after-use by 2020. In 2016, total CO2 emissions
Manufacturing
Reduced by around 23%
decreased as a result of efforts to reduce wasted energy at all
facilities, and initiatives to convert to low-CO2 emissions energy
Distribution
Reduced by around 22%
usage. However, because of the decline in revenue from foreignexchange conversion and other factors, the reduction per net
After-use
Reduced by around 44%
sales was lower than in the previous year, at 29% (compared to*Rates of reduction per unit of sales in comparison to 20052005). Excluding the effect from last year’s exchange rate
ﬂuctuations, the Group continued to make steady progress toward achieving the reduction target. We will continue topromote further reductions in CO2 emissions throughout the entire supply chain, aiming to meet the 2020 target.
For the other target of a 25% reduction in tire-rolling resistance by 2020 (compared to 2005), the Group achieved
a 13% reduction in 2016. This CO2 reduction contribution is the equivalent of approximately 8.6 million tonnes*1.
Improving rolling resistance while maintaining safety is a difﬁcult task requiring innovative technologies. Bridgestone
has developed “NanoPro-Tech”*2 technology, and promotes sales of fuel-efﬁcient tires utilizing this technology aroundthe world, helping to reduce the volume of CO2 emitted at the usage stage. We are also considering the establishmentof new reduction targets after 2020.
Bridgestone’s CO2 reductions are veriﬁed by a third-party institution in an effort to ensure the transparency of
information.
*1 Calculated based on “Tyre LCCO2 Calculation Guidelines Ver. 2.0” (The Japan Automobile Tyre Manufacturers Association, Inc., April 2012)*2 NanoPro-Tech is a nanotechnology to analyze and control the molecular structure of rubber at the nanometer level.

CO2 Emissions Per Sales from Operations and products’ after-use
Other Than Use*3
Raw materials(t/100million yen)

600

Base
year

Manufacturing

Distribution

After-use

32% 37% 29%
reduction reduction reduction

(%)

35%

500

reduction

400

Target

300

100

Base
year

12% 12% 13%

reduction reduction reduction

25%

95
90

reduction

85
80

Target

75
70

200

65

100
0

Tire-Rolling Resistance Coefﬁcient

60
2005

2014

2015

2016

2020

(Year)

0

2005

2014

2015

2016

2020

(Year)*3 Includes CO2 emissions reduction activities and exchange rate ﬂuctuations of sales.

For more details of our activities in Environment, please see the website. http://www.bridgestone.com/responsibilities/environment/index.html− 31 −

Sustainability Report 2016

Corporate Governance

Basic Policy on Corporate Governance
The Group considers the enhancement of corporate governance to be one of its mostimportant management focus points. The Group believes that working to increase
management quality and enhance the transparency of decision-making is indispensable, andaccordingly, continually strives to strengthen corporate governance. This ensures that theGroup continues to fulﬁll its founding mission as stated in its corporate philosophy: “Serving
Society with Superior Quality.”
Based on this approach, in accordance with the responsibility and authority delineatedin the Administrative Authority Rules, and in line with the Policy Management Rules, theCompany is committed to developing, communicating, and abiding by fair, transparent
decision-making and management policies.
As one facet of initiatives to strengthen its corporate governance system, to achieve bothfurther strengthening of its internal control system and heightened speed in execution, theCompany transitioned to the “Company with Nominating Committee, etc.” model ofcorporate governance in March 2016. The Group will continue striving to further strengthen
both the efﬁciency and the effectiveness of management and execution.

Corporate Governance Structure
The Company has transitioned to the “Company with Nominating Committee, etc.” model and has a systemthat enhances the separation of management and operational responsibilities and allows the directors and theBoard of Directors to focus more effectively on overseeing the execution of business operations. At the Annual
Shareholders’ Meeting held on March 24, 2017, 11 directors were elected, including seven outside directors.
The Chairman of the Board, who is selected from among the directors in accordance with the Articles ofIncorporation and the Board of Directors’ Rules, serves as the chairperson of both Board of Directors’ meetings
and General Meeting of Shareholders.
In addition, items related to decisions on basic management policies, important business execution
matters, and other matters that must be determined by the Board of Directors are stipulated in the Articles ofIncorporation, the Board of Directors’ Rules, and Administrative Authority Rules. These matters are determined
after careful deliberations by the Board of Directors.
The Company has established and maintains a corporate governance system that functions throughappropriate, active performance of duties by the Nominating Committee, the Audit Committee, and theCompensation Committee, in conjunction with oversight of the executive ofﬁcers and directors by the Boardof Directors. The Nominating Committee has four members, all of whom are outside directors. This committee
deliberates on such matters as standards and policies for the fair, transparent appointment and dismissal of
directors. The Audit Committee has ﬁve members, consisting of three outside directors and two internal
directors. This committee conducts audits regarding the business execution of executive ofﬁcers and directors.
The two internal directors on the Audit Committee are full-time members of the Audit Committee. The
Compensation Committee has four members, all of whom are outside directors. This committee deliberates
on such matters as the details of compensation for directors and executive ofﬁcers.
Regarding the management system, the CEO and representative executive ofﬁcer (CEO) and the COO andrepresentative executive ofﬁcer (COO) are the leaders of the operating divisions. The CEO is principally incharge of overall management and strategy, and the COO is principally in charge of operations. At the sametime, these two ofﬁcers implement a system of mutual checks. The Company is further strengthening its
corporate governance system by separating and clarifying the respective roles and authority of the CEO andthe COO, advancing the sharing of information, and increasing the transparency of decision-making processes.
Further, under the CEO and COO, respective executive ofﬁcers are responsible for decision-making and thebusiness execution in relation to matters delegated to them by the Board of Directors. In addition, following
deliberations by the Ofﬁcer Nomination and Compensation Meeting, which is an advisory body to the CEO and
COO, full-time corporate ofﬁcers, who are elected by the CEO, are responsible for business execution under
the direction of the executive ofﬁcers.

The Bridgestone Group− 32 −

Corporate governance structure (as of March 24, 2017)
General Meeting of Shareholders
Board of Director (11)(include 7 outside directors)

Advisory Committee
to the Board of Directors
Inquiries

Nominating Committee
Audit Committee

Governance Committee
Compliance Committee

Reports

Management oversightOperational execution

Auditing

Executive ofﬁcer
CEO and Representative
Executive Ofﬁcer

Internal Auditing Ofﬁce

COO and Representative
Executive Ofﬁcer
Other policy management
meetings

Global EXCO

Corporate ofﬁcer responsiblefor internal auditing

Independent Auditors

Compensation Committee

Executive Operational
Committee and others

Internal
Audit

Ofﬁcer Nomination andCompensation Meeting
Executive ofﬁcers

Internal Control Systems

Departments in domestic/overseas Group companies

Advisory Committees to the Board of Directors
To further increase transparency of corporate governance, the Governance and Compliance Committees has
been established as advisory bodies to the Board of Directors. These advisory committees provide advice to theBoard of Directors in regard to such matters, the governance system and related issues, and overall complianceactivities. These committees are comprised of a total of seven outside directors and one or more internal
directors, who are members of the Audit Committee participate as observers.

Executive Operational Committee
With regard to the execution of business operations, the Company has established the Global Executive
Committee (Global EXCO) in 2013, which oversees business execution on a Group and Global basis, theExecutive Operational Committee and other policy management meetings. These Committees deliberate andreport on speciﬁc matters set forth in Company policy as well as other important matters. In addition to key
executive ofﬁcers such as the CEO and COO, full-time corporate ofﬁcers also participate in the Global EXCO
and the Executive Operational Committee meetings along with other policy management meetings.

Internal Control Systems: Basic Approach and Implementation
The Company implements audits through cooperation among the Audit Committee, the Internal Auditing
Ofﬁce, and the independent auditors.

− 33 −

Sustainability Report 2016

Auditing Structure
The Company implements audits through cooperation among the Audit Committee, the Internal Auditing
Ofﬁce, and the independent auditors.
In accordance with audit policies determined by the Audit Committee, the Committee works incooperation with the Internal Auditing Ofﬁce and other bodies to audit the execution of business duties byexecutive ofﬁcers and directors. These auditing activities include attendance at important meetings, such as
the Global EXCO and the Executive Operational Committee; interviews to ascertain the status of operations;reviews of important business documents; and on-site audits of business ofﬁces. Moreover, information andopinions are exchanged with the representative executive ofﬁcers, and meetings are held with such persons as
the corporate auditors of major subsidiaries in Japan. In addition, the Company has assigned a corporate ofﬁcerwith full-time responsibility for auditing to assist the operations of the Audit Committee. Under the supervisionof this corporate ofﬁcer, dedicated staff have been assigned to assist with audits by the Committee. Decisions
to select and replace this corporate ofﬁcer require the agreement of the Audit Committee.
The Internal Auditing Ofﬁce and internal auditing departments within the Company’s operating divisions
and major subsidiaries conduct internal accounting and operational audits of the Company and Group
companies. The Internal Auditing Ofﬁce makes annual audit plans and conducts on-site audits of each function,
operating division, and subsidiary.
In cooperation with the Audit Committee, Deloitte Touche Tohmatsu LLC performs the accounting audit of
the Company’s ﬁnancial statements.
The Audit Committee, the Internal Auditing Ofﬁce, and the independent auditors exchange information andopinions as necessary and generally maintain close contact, thereby working to further increase audit efﬁciency
and effectiveness.
Board of Director, Executive Ofﬁcer and Corporate Auditor Remuneration (January-December 2016)
Positions

Members

Amount of Compensation, Etc.

13 People¥213 million(of whom eight are outside directors)(of which ¥97 million is for outside directors)

Executive
Ofﬁcers

10 People¥562 million

Corporate
Auditors

4 People¥24 million(of whom two are outside corporate auditors)(of which ¥6 million is for outside corporate auditors)

Total

27 People¥800 million

Directors

1.Figures include two directors (one an outside director) who retired during the subject ﬁscal year, and one executive ofﬁcer who resigned.
2.Bridgestone transitioned to a “Company with Nominating Committee, etc.” model of corporate governance from a “Company with Board ofCompany Auditors” model through a resolution adopted at the 97th General Meeting of Shareholders held on March 24, 2016. Accordingly, theﬁgures in the above chart for the amount of compensation paid to corporate auditors and the number of auditors reﬂect the total amount for duties
performed and the number of corporate auditors during the period from January 1 to March 24, 2016.
3.The ﬁgure for total number of members is an overlapping total including a director who retired with the transition to the “Company with Nominating
Committee, etc.” model and was appointed an executive ofﬁcer, a corporate auditor who retired and was appointed director, and a person who
serves concurrently as director and executive ofﬁcer.

Report on the Corporate Governance CodeBridgestone Corporation submitted the report on the “Corporate Governance Code” to the Tokyo Stock
Exchange, with veriﬁcation concerning the state of correspondence to all principals. The “Corporate
Governance Code” was added to the listing rules of the Tokyo Stock Exchange in 2015 to contribute to therealization of effective “Corporate Governance” as the KEY principals. The Company publishes “Corporate
Governance Code Report” and published them on its website.
Through the explanation of the Company’s idea of the “Corporate Governance” and introducing efforts
towards it, Bridgestone Corporation is aiming to promote greater understanding of its “Corporate
Governance”.
http://www.bridgestone.com/corporate/library/corporate_governance/pdf/2016_Report_on_the_Corporate_Governance_Code.pdf

The Bridgestone Group− 34 −

Management Fundamentals

Compliance,
Fair Competition
MissionEnsure excellence through compliance and integrity
We build trust with all stakeholders by ensuring that ethical decision-making
guides responsible business practices across our operations.

Management Structure
To promote Group-wide sustainability activities, Bridgestone created a structure comprising a global CSR management
system, a regional CSR management system, and working groups (WGs) for each area of activity.
The global CSR management system prioritizes initiatives in areas pertaining to a variety of global issues, formulates
global sustainability strategies, conﬁrms the progress of activities in each area, reports to the Global EXCO,*1 andconﬁrms the in-house imprementation of CSR activities conducted by the Global CSR Enhancement Committee (GCEC).
Within Bridgestone group, “Global Legal Leadership team” was established by leaders of the legal and compliancedepartments in the Americas, Europe, Middle East and Africa (EMEA), China, Asia and Paciﬁc (CAP) and Japan and theteam is taking a lead to design the overall plans.
The Compliance, Fair Competition WG supervises the progress of the compliance activities on a global scale, which
activities have been signiﬁcantly overlapped by initiatives created by the Global Legal Leadership Team. The WG
regularly reports the activities to the top management of GCEC and each SBU region.
Since the establishment of the WG in 2016, the WG has created a plan for more effective programs to create abest-in-class compliance culture in the organization globally. These programs are designed consistent with the
Bridgestone Essence and the core elements of effective compliance programs recognized by various preeminent
government agencies and compliance experts.
Firstly and most importantly, Bridgestone’s top management has clearly identiﬁed compliance as a top priority for all
members of the organization and has continued to systematically reinforce this message.
Bridgestone Corporation adopted a new corporate governance structure, a “Company with Nominating Committee
etc. system” in 2016. Under the new governance structure, a Compliance Committee, which is comprised ofindependent board members, remains as an advisory committee to the Board of Directors and supervises Bridgestone’s
compliance activities, particularly cartel and bribery prevention.
In 2016, the Compliance Committee convened a total of nine times whereby its members shared opinions based on
their own experiences and specialties.
In addition to the regular report to the Compliance Committee, Bridgestone’s Chief Compliance Ofﬁcer (CCO) presents
an annual update on the company’s compliance activities to the Board of Directors.
*1 Global Executive Committee: The highest-level committee associated with Bridgestone Global Group business execution− 35 −

Sustainability Report 2016

Compliance Activities
The Bridgestone Group takes every aspect of compliance very seriously. Among others, the Group places the highest
priority on cartel and bribery prevention for the fair competition, and continues to strengthen its cartel and bribery
prevention compliance activities by various means, including, but not limited to standards and rules, training andmonitoring activities.

1. Establishment of corporate standards and rules
Some of major The Bridgestone Group companies have their own code of conducts and policies. The
Global Legal Leadership Team considers a possibility of a single common Code of Conduct that applies tothe entire group, and the project team is working.
In order to clearly show the Bridgestone Group’s commitment to cartel and bribery prevention,
Bridgestone established a group-wide policy strictly prohibiting cartel and bribery conduct. Each SBU
adopted and maintains a similar code and guideline.
Bridgestone Corporation issued its Cartel Prevention Code in October 2012, which sets out the basic
rules of cartel prevention. Bridgestone issued Cartel Prevention Guidelines in December 2014 as asupplement to its Cartel Prevention Code. The Guidelines demonstrate the appropriate course of action to
be taken by employees in day-to-day business situations.
Bridgestone also issued its Guidelines on Gifts and Entertainments in October 2012, and renewed theguidelines as “Bribery Prevention Guidelines” in October 2016.

2. Trainings
The Bridgestone Group continues to provide its employees with various types of compliance training.
While themes are selected by legal and compliance departments of each SBU, cartel and bribery
prevention is a common theme globally. Live, online and workshop style trainings are offered dependingon targeted people within the organization.

3. Monitoring
The Bridgestone Group is expanding hotlines throughout the Bridgestone enterprise. In addition to alongstanding general whistleblowing line, Bridgestone established a hotline in 2014 to exclusively receive
report related to cartel and bribery as part of its effort to detect any anticompetitive or unfair businessconduct at an early stage. The compliance hotlines receive anonymous reports and ensure conﬁdentiality
and investigation.
Bridgestone initiated various measures to monitor the status of its internal rules and promptly uncoverpotential misconduct particularly for cartel and bribery prevention. For instance, the Cartel Prevention
Guidelines require its ofﬁcers and employees to record all contacts with competitors and encourage themconsult with legal and compliance department if they have any question or require guidance. In 2016,
Bridgestone established its Bribery Prevention Guideline which requires employees to submit an approval
form in advance before all payments to ofﬁcial governments. Bridgestone periodically reviews emails ofcertain employees who have opportunities to come in contact competitors. Furthermore, since 2014,
Bridgestone’s CCO regularly interviews ofﬁcers and division heads to assess level of risks related to legal
and compliance.

4. Others
Intercompany compliance meetings for overseas small subsidiaries have been set up to promotecompliance activities throughout the organization. In 2016, such meetings were held in Americas, Europe,
Asia and Japan. The Global Legal Leadership Team created a plan to strengthen effective legal andcompliance oversight over the subsidiaries worldwide and started to take actions to the next phase.
In addition, a variety of initiatives to enhance compliance globally have been started by Global
Compliance Practice Team under the guidance of the Global Legal Leadership Team. The Practice Team
exchanges ideas and explores opportunities, for instance, an effective means and tools for senior
management team to recognize compliance risks around the world, a common training theme and tools,
and KPIs for compliance.

The Bridgestone Group− 36 −

Management Fundamentals

Business Continuity (BCP),
Risk Management
MissionPrevent and mitigate operational risks
We anticipate, prevent, and mitigate risks, but when crises arise,
we protect our people, property, and proﬁts.

Management Structure
To promote Group-wide sustainability activities, Bridgestone created a structure comprising a global CSR management
system, a regional CSR management system, and working groups (WGs) for each area of activity.
The global CSR management system prioritizes initiatives in areas pertaining to a variety of global issues, formulates
global sustainability strategies, conﬁrms the progress of activities in each area, reports to the Global EXCO,*1 andconﬁrms the in-house penetration of CSR activities conducted by the Global CSR Enhancement Committee (GCEC).
The Bridgestone Group broadly divides risks into two categories: business strategic risks, which are related to
management decision-making, and operational risks, which are related to daily operations. The former is handled
through business operations, while the latter is handled by the Chief Risk Ofﬁcer (CRO), who has overall responsibility
for managing risks. In this way, the Bridgestone Group promotes risk management activity initiatives.
With respect to risk management activities, the Bridgestone Group promotes identiﬁcation, evaluation, corrective
measures, review/monitoring and audit of risks under normal circumstances, as well as the development andimplementation of business continuity Plan while enables the swift resumption of business in emergency situations.
In 2016, under GCEC, the BCP, Risk Management WG was established, comprising members from each SBU*2.
The WG developed “the Risk Management Principle” including the WG Mission, Role and the responsibilities of
Leadership, Organization and individual. Based on the Principle, the WG has been upgrading the Risk Management
System.
The Bridgestone Group endeavors to fulﬁll the expectation of society in a proactive manner and to apply this same
objective to its activities.
*1 Global Executive Committee: The highest-level committee associated with Bridgestone Global Group business execution*2 Strategic Business Unit

− 37 −

Sustainability Report 2016

Activities under Normal Circumstances
The Bridgestone Group promotes the appropriate management of important risks common for the Group, as well as
carefully crafted activities that consider the scale and unique characteristics of each business ofﬁce and subsidiarythrough Group Global uniﬁed activities and autonomous activities at divisions and SBUs.
In terms of uniﬁed activities, we began identifying risks at the Bridgestone Group (excluding companies in which
Bridgestone has an equity stake of 50% or less) in 2009. From then on, we select important risks common for theGroup from among those identiﬁed and promotes uniﬁed Group-wide countermeasures every year. These activities willcontinue to be conducted in 2017.
At the same time, to promote autonomous activities at divisions and SBUs, the CRO was established in each division
and SBU to promote detailed risk management activities corresponding to the scale and unique characteristics of eachbusiness ofﬁce and subsidiary under each division or SBU.

Emergency Responses
The Bridgestone Group develops Business Continuity Plans (BCPs) to take measure to important risks of the countries
and regions with the aim of ensuring immediate initial responses to emergencies, as well as business continuity andrapid recovery in the event of disaster. When incidents occur, the Bridgestone Group has the immediate reporting
system to CRO. And the crisis management organizations are activated to respond to the incidents systematically.

Earthquake Countermeasures
The Bridgestone Group develops BCPs and conducts drills to prepare
for major earthquakes, which pose a signiﬁcant risk.
In Japan, the Bridgestone Group also has established a BCP in
preparation for a major earthquake in the Tokyo metropolitan areathat would affect our head ofﬁce, technical centers, and many otherfunctions. We created a three-pronged ofﬁce framework approach(consisting of Kyobashi, Kodaira, and Yokohama) for emergencies,
ensuring backup functions. Emergency countermeasure organization
drills are conducted in these three districts annually.
In 2015, evacuation points placing the highest priority on thepreservation of human life and evacuation procedures were put
in place at domestic facilities at risk in the event of a tsunami.

Emergency countermeasure organization drill in KodairaIn addition, since the Great Hanshin-Awaji Earthquake in 1995, the Bridgestone Group has systematically implemented
earthquake-resistance measures in buildings.
This is to protect the lives of each of our employees, but we also believe that protecting production facilities and othercorporate assets from destruction is the basis of good corporate management. In the interest of business continuity,these initiatives also go toward mitigating risk to meet social requirements.
Since the Great East Japan Earthquake in 2011, we have again looked carefully into the vulnerability to disaster ofbuilding components such as ceilings and pipes. We have put in place our own standards in these regards and areproceeding with earthquake-prooﬁng in a well-planned manner.
In overseas SBUs, BCP and Earthquake-resistance measures in buildings/manufacturing equipment based on the risks
assessment are deployed and being implemented, too.

The Bridgestone Group− 38 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Response to New Types of Inﬂuenza and Other Severe Infectious Diseases
The Bridgestone Group has formulated BCPs to address the spread of new types of inﬂuenza and other severe
infectious diseases that are potentially pandemic in scope.
During the 2013 outbreak of type H7N9 avian inﬂuenza in China, we held weekly meetings to ensure theconsistent sharing of information about conditions. We also supported the creation and maintenance of BCPs for all
subsidiaries throughout China.
In 2015, we revised our response standards in light of pandemic phase changes indicated by the World HealthOrganization, which announces epidemic levels, and in response to the China avian inﬂuenza and Ebola hemorrhagic
fever. Going forward, Bridgestone will promote these initiatives throughout the entire Group to create a structure
enabling a uniﬁed response to the spread of infectious diseases in all countries.

Information Security
Personal Information Protection
The Bridgestone Group recognizes that it has been entrusted with the personal information of its customers andbusiness partners, and has an obligation to handle this information carefully under the philosophy of respecting thepersonalities of individuals. In March 2005, we formulated a basic policy for personal information protection and put
into place a structure for information management based on this policy. We created a Compliance Casebook,incorporated into our e-learning program cases involving personal information protection, and conduct ongoingtrainings utilizing speciﬁc examples for all employees at Bridgestone and its group companies in Japan.

IT Security
The Bridgestone Group takes a systematic approach to IT security in order to prevent leaks of customer data and otherconﬁdential information and to ensure stable business continuity. We have formulated key points and standards for IT
security as the regulations and rules regarding IT security activities and make regular revisions in response totechnological advancements and changes in IT risks. Particularly strict standards have been set for the information
systems handling personal information.
For the global group company network, Bridgestone is coordinating with the IT security teams in regions with
Bridgestone Group companies, and working to formulate a new global security framework.
Bridgestone also takes steps to continually strengthen IT security throughout the corporate group, including e-learning
programs for employees regarding email and other aspects of IT security, and regular internal audits to raise IT security
awareness among employees.
Further, to counter targeted attacks and other advanced cyber threats, Bridgestone is strengthening its monitoring of
networks and other systems and has established a structure to provide an immediate response to any IT security
incident.

− 39 −

Sustainability Report 2016

Management Fundamentals

Human Rights,
Labor Practices
Mission

Advancing fundamental human rights andresponsible labor practices
We will foster an inclusive culture in which all Bridgestone entities
and locations adopt and apply ethical labor practices, build trust with
our teammates, and model our respect for diversity and for
fundamental human rights.

PolicyOur Group’s Stance on Human Rights
In addition to respecting human rights in accordance with Our Group’s Stance on Human Rights, we appointed a Chief
Human Rights Ofﬁcer (CHRO) and are taking steps to ensure the Group’s approach to this issue is well understood
throughout the organization.

1. Prohibition of Discrimination
In all corporate activities, Bridgestone prohibits any act that impairs individual dignity or discrimination basedon race, ethnicity, nationality, gender, age, language, religion, creed, social status, disability, or any otherprotected characteristics.

2. No Harassment
No personnel shall speak or act in ways that degrade individual dignity based on protected characteristics suchas gender, authority, or any other type of harassment.

3. No Child Labor/Forced Labor
Bridgestone prohibits child labor/forced labor in any country.

The Bridgestone Group’s Stance on “Respect for Diversity”
The Bridgestone Group provides a work environment in which individuals who have diverse values and personalities canwork comfortably and demonstrate their abilities. To make this possible:
We recognize and respect diversity of culture and customs in each country of the world.
We sympathize with ideas from diverse viewpoints of diverse people and create new value.
We establish a system in which employees can perform their duties with peace of mind and demonstrate
their abilities to the fullest across the various stages of their lives.
And ﬁnally, we focus all of these efforts on “improving employee satisfaction,” “activating and improving the Company,”and “increasing stakeholders’ proﬁts.”

The Bridgestone Group− 40 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Approach to Continued Enhancement of Job Satisfaction and Pride andRelated Initiatives
The Bridgestone Group has adopted the following approach to continued enhancement of job satisfaction and pride.

Empoyees will strive to create a motivating workplace and to growthrough their work as they share the following global and Group values:
Communications:

Encourage mutual communications that build sharedunderstanding and trust

Teamwork:

Operate with a sincere respect for diversity.
promote decisive and planned actions that accommodate whatis the best for both the team and the company

Compliance:

Encourage sincere actions that comply with both the letterand spirit of all applicable laws, regulations and polices.

Customer
Orientation:

Consider the internal and external customer perspective,and encourage actions that put customer satisfaction ﬁrst.

Improvement:

Respectfuly challenge the status quo, and always strive forexcellence without fear of failure.
Foster an enviroment that promotes improvement and innovation,
taking into account the importance of both the process and the results.
Provide a training system that supports proactive learning and

Personnel Training: encourages employees to develop their own abilities.
Evaluation,
Compensation:

Build a human resources system that encourages employees to excel
by fairly evaluating their achievements and compensating them accordingly.

Management Structure
To promote Group-wide sustainability activities, Bridgestone created a structure comprising a global CSR management
system, a regional CSR management system, and working groups (WGs) for each area of activity.
The global CSR management system prioritizes initiatives in areas pertaining to a variety of global issues, formulates
global sustainability strategies, conﬁrms the progress of activities in each area, reports to the Global EXCO,*1 andconﬁrms the internal penetration of CSR activities conducted by the Global CSR Enhancement Committee (GCEC).
In addition to respecting human rights in accordance with the Bridgestone Group’s Stance on Human Rights, we
appointed a Chief Human Rights Ofﬁcer (CHRO) and are working to ensure the Group’s approach to this issue is wellunderstood throughout the organization. In accordance with the Global CSR management system, the Human Rights,
Labor Practices WG veriﬁes the content and progress of overall global efforts in human rights, labor practices anddiversity, and reports to the GCEC and top management in each SBU*2 and region.
*1 Global Executive Committee: The highest-level committee associated with Bridgestone Global Group business execution*2 Strategic Business Unit

Spreading Awareness of Our Group’s Stance on Human Rights Worldwide andInitiatives on Human Rights Due Diligence
In 2011, we translated Our Group’s Stance on Human Rights into 15 languages and distributed it to all ofﬁces,
plantsand group companies. We then provided education and training which concluded in 2012, with the goal of
spreading awareness of this stance among all employees worldwide.
To foster an ongoing awareness and understanding of Our Group’s Stance on Human Rights throughout theBridgestone Group, we have included this topic in New Hire training and Level-wise training since 2013. To further
promote human rights, we have human rights consultation desks in place at each of our ofﬁces in Japan, with which
employees can consult in cases of facing human rights infringement.We regularly conﬁrm the state of compliance andcheck that our perspectives are being followed.
We conduct human rights due diligence within the Group. Based on our ﬁndings, we have formulated a three-yearplan to address each area of human rights, such as discrimination and harassment. In 2016, we continued to deﬁne
human rights topics for assessment and worked to identify potential human rights risks at each of our ofﬁces.

− 41 −

Sustainability Report 2016

Approach to Respecting Diversity and Related Initiatives
In 2008, the Bridgestone Group established a unit responsible for overseeing
the promotion of diversity in Japan and has been applying this approach torespect for diversity throughout the Bridgestone Group since 2009.
Based on the Bridgestone Group’s Stance on Respect for Diversity, foreach Bridgestone Group company we will establish diversity-related
programs speciﬁc to the respective countries or regions and laws.
Bridgestone has held lectures on diversity and work-life balance
conducted by outside experts since 2009, with a total of approximately
3,500 employees attending to date.
Diversity seminar

Initiatives for Female Employees
The Bridgestone Group, based on the Bridgestone Group’s Stance on Respect for Diversity, implements measures forthe active participation and advancement of women in the workplace of each SBU.
In Japan, Bridgestone undertakes a variety of initiatives to help female employees succeed. We provide careerdevelopment training for interested female employees, offer support to help female employees develop networks, andconduct career support training targeting gender diversity awareness for managers. We also have introduced aprogram in Japan to promote female employees to be in management positions with the goal of developing female
managerial candidates over the medium term.
Bridgestone Americas has adopted strategies to increase female representation in management, including support
for the WOMEN Unlimited programs to develop leaders by managerial level, as well as development and mentorshipprograms through the women’s afﬁnity group BWIN. Candidates slates for Leadership level positions, and the top twoof the four Management levels must include at least one diversity candidate.

Initiatives for Diverse Workstyles
Based on the Bridgestone Group’s Stance on Respect for Diversity, we aim to create a workplace environment in which
diverse individuals can succeed.
To support employees raising children, Bridgestone has established nursery facilities close to its ofﬁce, and conducts
seminars on childcare. In Europe, we offer ﬂexible work schedules for families, and provide opportunities for employees
to maintain communication while on childcare leave. Bridgestone also promotes employment for persons withdisabilities, including establishing the special exceptional subsidiary Bridgestone Empowerment Co., Ltd. to provide
disabled persons with employment opportunities.
Bridgestone will further promote such measures with the aim of establishing an inclusive society where employees
can work with an easy mind.

External Assessment
Selected as a “Nadeshiko Brand” for Four Consecutive Years
In March 2017, Bridgestone was selected for the fourth consecutive year as a“Nadeshiko Brand,” by which the Japanese Ministry of Economy, Trade andIndustry (METI) and the Tokyo Stock Exchange (TSE) jointly publicize
enterprises that are exceptional in encouraging women’s success in theworkplace.
In ﬁscal 2016, the “Nadeshiko Brand” introduced companies aggressively
promoting the utilization of women employees, including the creation ofenvironments in which women are able to continue working, in each industry
from among approximately 3,500 companies listed on the Tokyo Stock
Exchange.
Bridgestone was recognized for its efforts to increase the ratio of womenamong new hires and directors (including outside directors), supporting
women’s careers and initiatives supporting a work-life balance.

The Bridgestone Group− 42 −"Nadeshiko Brand" logo

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Continued enhancement of job satisfaction and pride
Initiatives for Continued Enhancement of Job Satisfaction and Pride
Based on the approach to continued enhancement of job satisfaction and pride, in 2013, we conducted voluntary
checks to determine whether the necessary systems for human resources, compensation, education and training werein place. We then moved forward to establish plans for system improvements at each company, based on the results ofthe voluntary checks. In addition, we conducted training for each company's human resource coordinators toencourage system improvements at each Group company. We are following this plan to steadily improve the humanresource and compensation systems, as well as education and training, and make them consistent throughout the Group.

Ongoing Education for the Next Generation of Management
One of the Bridgestone Group’s personnel policies is to optimally utilize human resources throughout the Group. We
conduct selective education over the medium to long term on an ongoing basis for the human resources who will
support Group management in the future.
We have identiﬁed some 250 posts as Global Key Positions (GKPs) that play an important role in Groupmanagement. Since 2004, we have held a Global Development Class (GDC) as a program for training selected
personnel for these GKPs.
Under the GDC program, initially, we conduct 360-degree evaluations of selected members from within the Group(approximately 15 to 20 people per year, and recently once every two years), including evaluations by supervisors,colleagues and subordinates, as well as self-evaluations. We then prepared individual educational plans based on theevaluation results. Group training concentrates on skill development and the honing of leadership skills, focusing on the
behavioral characteristics the members' desire. By assigning people who have completed this program to managementat Group companies in Japan and globally, we cultivate management resources with an international perspective.
In 2014, we introduced the Global Development Network (GDN) to help personnel early in their careers establish
global networks. The GDN program targets selected members from within the Group (approximately 20 people per
year, selected once every two years). Group training is held twice each year to assist in building global networks.

Developing Manufacturing Human Resources Group-wide
The Global Manufacturing Education Centre (G-MEC) was established in 2007 with a mission of developing
manufacturing human resources who can implement the Bridgestone manufacturing way. G-MEC expands global
manufacturing human resources through three pillars: “Establish standard human resource development program,”“Train-the-trainer program,” and “Systemization of manufacturing resources development.”
Overseas facilities currently account for 70% of the Group’s production, and Bridgestone focuses on maintaining andenhancing production at all plants to “make and supply quality products consistent with standards” and ensuring
self-directed, high levels of production. Accordingly, promotion structures were established in each region: C-MEC(China), AP-MEC (Asia), E-MEC (Europe), BRISA-MEC (Middle East), NA-MEC (North America), and SA-MEC (South America).
Promotion leaders (“Masters”) were trained and placed at each SBU/facility as the key person promoting education andpost-education activities and improvement efforts at their facility.
Number of Masters (as of December 2015)
Japan

Americas

EuropeMiddle East

China

Asia

Production Process
Management

23

3

5

13

17

61

Standard Skill Instructor

20

0

15

14

15

64

Equipment MaintenanceManagement

22

3

11

12

20

68

Total

65

6

31

39

52

193

By Category

Region− 43 −

Total

Sustainability Report 2016

Employee Satisfaction Survey
In Japan, Bridgestone conducts a satisfaction survey of all employees annually, covering a broad range of personnel
policies including work, workplace, and compensation. The results of this survey are reported to the executives andprovided as feedback to employees via the intranet and posters.
In 2016, the survey response rate was 96.0%, with “General workplace attractiveness” receiving an average of 3.19
points (compared with 3.22 points in the previous year) out of a possible 5.0 points, while “General attractiveness ofthe company” earned an average of 3.27 points (from 3.35 points). We will take these results into account as we move
forward with efforts to enhance workplace communication.
We will continue to conduct these surveys and to include the results in the formulation and development of new
measures and improvements.

Category

2014

2015

2016

General workplace
attractiveness

3.19

3.22

3.19

General attractivenessof the company

3.33

3.35

3.27

* Full score: 5

The Bridgestone Group− 44 −

Management Fundamentals

Safety, Industrial Hygiene

Mission

Safety First, Always
At Bridgestone, we make safety a business value. Creating a safe
working place for all is everyone’s responsibility.

Reﬁned version of the Bridgestone
Safety Mission Statement

The Bridgestone Group reﬁned the Bridgestone Safety Mission Statement in
2012, changing the wording to “Safety First, Always” and “At Bridgestone, we
make safety a business value. Creating a safe working place is everyone’s
responsibility.”
Along with reﬁning the Group-wide guidelines for Safety, Health and Disaster
Prevention activities, we established Bridgestone Safety Fundamental Activities:(1) 3S:Select and Remove, Sort, Keep Clean(2) KY:Finding hazards beforehand(3) RA:Risk Assessment(4) Safety Rules
Those activities are to be conducted by all employees in all workplaces. We havebeen challenging employees to understand objectives and expectations of theactivities and asking them to proactively conduct these activities.

Management Structure
To promote Group-wide sustainability activities, Bridgestone created a structure comprising a global CSR management
system, a regional CSR management system, and working groups (WGs) for each area of activity.
The global CSR management system prioritizes initiatives in areas pertaining to a variety of global issues, formulates
global sustainability strategies, conﬁrms the progress of activities in each area, reports to the Global EXCO,*1 andconﬁrms the in-house penetration of CSR activities conducted by the Global CSR Enhancement Committee (GCEC).
The Safety, Industrial Hygiene Working Group considers the most effective means to implement the Bridgestone
Fundamental Safety Activities on a global basis. The WG has three task forces (Global Management Systems, Global
Standards, and Benchmarks/KPI), and drafts global standards from each perspective. The GMP*2 collects information on
disasters and prevention related to health and safety and prepares a quarterly report that the WG utilizes for practicalapplication.
During 2016, the Safety, Industrial Hygiene WG reviewed the scope to which the Bridgestone Safety Mission
Statement and general regulations are applied to employees, contractors, and visitors and reported its ﬁndings at the
GCEC.
*1 Global Executive Committee: The highest-level committee associated with Bridgestone Global Group business execution*2 Global Management Platform− 45 −

Sustainability Report 2016

Bridgestone Group Safety Mid-term Management Plan and Policies
The Bridgestone Group developed a Safety and Health Mid-term Management Plan that aimed for ideals to ensure safety
and health and promotes speciﬁc policies in the areas of awareness, engineering and systems (management) to achieve
those ideals.
In 2012, we formulated the Bridgestone Safety Fundamental Activities, which bring together our efforts to date andpromotes Group-wide discussion and activities concerning the speciﬁc content of the mid-term safety and health plan.
Moreover, to facilitate accelerated adoption of strategies throughout the Group, we formulated and executed speciﬁc
Group-wide strategies based on the Group Global Quality Management Activities.

Activities Based on the Bridgestone Safety Fundamental Activities
The Bridgestone Group has been promoting the activities set forth in the Bridgestone Safety Fundamental Activities asstandard safety activities for all of our workplaces. Under this approach, the basic safety activities are 3S (Select &Remove, Sort, Keep Clean), KY (Finding hazards beforehand), RA (Risk Assessment), and Safety Rules. All BridgestoneGroup employees and workplaces are making constant efforts to implement these activities in a consistent manner.
In order to standardize the content of the activities in all of our workplaces, we have issued Activity Guidelines
setting forth the speciﬁc items to implement and activities to promote in accordance with these guidelines. In
addition, we have assigned instructors who are familiar with the Bridgestone Safety Fundamental Activities to each
workplace to establish a structure facilitating the development and implementation of standard activities.
Bridgestone offers safety education in workplaces that is position-speciﬁc, including managers and supervisors, andaimed to heighten awareness for everyone in an effort to protect all employees and colleagues from serious injury.
Bridgestone encourages proactive measures in which all staff members participate. Moving forward, the BridgestoneGroup will continue its efforts to spread and establish these activities in the Group.

Employees engaged in Instructor Training

Training of Bridgestone (China)
Investment Co., Ltd.

Training of Bridgestone Logistics
Europe NV

Safety awarenessTo create safe workplaces, it is essential to foster safety awareness as a means of ensuring every employee adheres toapplicable standards. The Bridgestone Group has been conducting Safety Consciousness Surveys since 2009. Thesesurveys identify safety issues at each workplace through a questionnaire related to the occurrence of accidents, withthe results used to make Group-wide improvements. In 2016, the survey was conducted at group company workplaces
worldwide.
In addition, to enhance safety awareness, Bridgestone managers regularly visit worksites in Japan and overseas todiscuss the importance of prioritizing safety. Going forward, we will continue these initiatives, with management taking
a leading role to actively promote the Bridgestone Safety Fundamental Activities and foster safety consciousness in theworkplace.

The Bridgestone Group− 46 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer ValueEngineering Initiatives
Standard chart for evaluating the risk of equipment use
Unit = Points (Evaluation points)

Possibility of damage=Probability of injury occurring
Hardlyany

Possibility
existsHighpossibility

Deﬁnitely

A

B

C

D

1

1

2

4

7

2

3

6

9

11

3

5

10

13

14

4

8

12

15

16

Extent of injury**Possibility = A < D, 1 < 4
A = Surrounded by safety cover and difﬁcult to enter dangerous zone
B = Safety cover exists, but so do inadequacies such as low rail; may come incontact with dangerous area if ones pushes it
C = No safety cover, but has emergency stop equipment
D = No safety cover plus inadequacies in such areas as warning and display
1 = Minimal injury
2 = Light injury
3 = Serious injury (including inability to work)
4 = Critical injury (including death)

Work procedures and equipment that could lead toserious injury require reliable technical measures toprevent future incidents. Therefore, the BridgestoneGroup is working to lower risk by pursuing safety fromthe equipment design stage and maintaining safety
during equipment use. This includes store andwarehouse equipment, as well as production
equipment. These efforts include conducting risk
assessments to identify risk and establish engineering
controls or work procedures to reduce risk and potential
for serious injury.
During 2016, we continued with efforts to assign andtrain safety engineers (SEs) as experts in equipment
safety and conduct risk assessments. Based on the
results, we are working to identify hazardous equipment
and implement safety measures, giving priority toequipment with major injury risks. This effort includes
both store and warehouse equipment. In addition tothese measures, we have been re-appraising the hazard
level of procedures and implementing the necessary
safety measures through risk assessment (RA) activities
associated with the Bridgestone Safety Fundamental
Activities and constantly promoting the creation of safe
workplaces.

System (Management) Related Initiatives
The majority of the Bridgestone Group’s production work sites use a checklist to assess the status of safety and healthactivities including legal compliance, while working to strengthen areas needing improvement.
Information on industrial accidents and ﬁres that have occurred within the Group is shared along with information on
the same kind of accidents at other companies in our industry and companies at large. Where necessary, we takemeasures to prevent similar accidents from occurring.
We are currently implementing and expanding safety and health management systems across the Bridgestone Group.
These efforts ensure that the Bridgestone Safety Fundamental Activities function appropriately, and support ongoing
improvements.

Safety initiative evaluations
Within the Bridgestone Group (with the exception of some Group companies) checklists are used to conﬁrm thestatus of training, education and drill execution; work rule guide composition and abnormality data uptake andimprovement action; daily and regular ﬁre equipment testing; and other safety activities. By understanding theresults of these evaluations and moving forward steadily with improvements, we can enhance our status.

− 47 −

Sustainability Report 2016

Injuries
The Bridgestone Group has established Global Criteria for Occupational Injury to assess injuries occurring at Group
production, distribution and sales facilities, as well as warehouses. In addition to compiling injury statistics on aquarterly basis, we put the results to use in preventing similar injuries.
During 2016, the number of work-related injuries was below the average Japanese manufacturing industry level interms of frequency*1 and below the average industry level in terms of severity*2. During 2016, for all of BridgestoneGroup's 190 production and logistics sites, there were 24 fatal or serious injuries (+3 instances compared to 2015),
including fractures due to falls (at December 31, 2016).
Bridgestone will continue to promote safety activities centered on the Bridgestone Safety Fundamental Activities
without compromise, deviation or exception, with the aim of reducing the number of serious accidents closer to zero.
*1 Frequency rate indicates the frequency of accidents with casualties. Frequency rate = (number of casualties/total actual working hours) x 1,000,000*2 Severity rate indicates the severity of accidents. Severity rate = (total number of working days lost/total number of working hours) x 1,000

Frequency rate*1

Severity rate*2

Rubber product manufacturing
Manufacturing
Bridgestone

1.50

Rubber product manufacturing
Manufacturing
Bridgestone

0.60

1.18
1.09
1.12

1.00

0.99

0.98
0.93

1.05

1.00

1.06

0.47

1.15

0.40
0.94

0.92
0.81

0.79

1.06

0.81

0.71
0.78

0.70

0.50

0.20
0.44
0.29

0.34

0.31

0.31

0.18

0.0

2007 2008 2009 2010 2011 2012

0.18

2013 2014

0.22
0.10
0.09

0.13

2015

0.00

0.07
0.01 0.01

0.10

0.08 0.09 0.08
0.03
0.02

0.10
0.03

2007 2008 2009 2010 2011 20122016 (year)

0.16

0.15

0.10

0.37

0.25

0.28

0.25

0.76

0.09
0.06
0.06 0.07
0.06
0.03
0.06
0.0037 0.0063
0.01172013 20142015

2016 (year)

Disaster Prevention Management Activities
We have created a Disaster Prevention Global Guideline based on previous incidents with primary focus on Disaster
Prevention preparedness exercises, including incipient ﬁre-ﬁghting drills, and preventative inspections such as electricalwiring. We will strengthen ﬁre prevention activities and strive to create safe and stress-free workplaces.
Additionally, we share information on ﬁres that occur within the Group and the measures taken to prevent similar
accidents.
We have designated September 8 as Bridgestone Group Disaster Prevention Day, and all of our workplaces now
conduct disaster prevention drills every year on that day.

Global Disaster Prevention Center
To instill in all Group employees the Bridgestone Safety
Mission Statement of “Safety First, Always” from adisaster prevention perspective, the Global Disaster
Prevention Center was established in Kodaira, Tokyo,
located inside the Bridgestone in September 2015.
The Global Disaster Prevention Center engages in
education and training to review the causes of
unforgettable disaster prevention failures, such as the ﬁreat the Bridgestone Tochigi Plant on September 8, 2003.
Bridgestone conducts various types of training at the
Global Disaster Prevention Center, including sessions that
resonate with employees by telling stories about the ﬁredisasters in the past, and sessions that demonstrate thedanger of ﬁre by allowing employees to experience thesensations of static electricity and dust explosions.
Bridgestone also conducts training that leads toprevention and early detection of disasters using
wreckage found in ﬁre-devastated areas and model
facilities. By introducing examples of ﬁres that have

The Bridgestone Group

Training session at the Global Disaster Prevention Centeroccurred not only in Japan but also overseas, the centerhas established a hands-on learning environment for
global disaster prevention training.
Bridgestone has continually enhanced the trainings
provided at the Global Disaster Prevention Center.
Sessions related to natural disasters were added on
March 11, 2016, the anniversary of the 2011 Great East
Japan Earthquake, presenting the lessons learned fromthat disaster.

− 48 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Health Management
Health Management Approach in Japan
Our goal at Bridgestone is “To Maintain a Sound Labor Force and Create a Pleasant Workplace,” and we
conduct our health management, including healthcare management, accordingly.

Regular Check-ups
In Japan, Bridgestone conducts regular and special health check-ups, as well as health exams, for employees working
overseas as required under the Industrial Safety and Health Law. Employees facing health issues are given proper
healthcare guidance, typically by resident industrial physicians at our Health Care Center.
In addition to having 12 industrial medicine specialists available at 12 sites nationwide, we hold an annual meetingin which all industrial physicians participate. We also have a full industrial health staff, including public health nurses,
for handling special examinations and health insurance guidance.

Preventing Overwork
Bridgestone recognizes the need to prevent long hours at the ofﬁce and unusual amounts of overtime or late-nightwork to prevent health risks caused by overwork. In Japan, Bridgestone complies with the Labor Standards Act byworking to reduce overtime and encouraging employees to use their annual holiday leave. In 2016, the rate of
employees taking annual paid leave was 75.5%, with an average of 15.1 days.
We also have a program requiring employees working more than a ﬁxed number of hours to consult with industrial
physicians to help maintain good health.

Total annual hours worked* 2,060 hours (FY 2016)
Annual overtime hours worked 259 hours (FY 2016)* Total annual hours worked = (Annual regular hours worked) + (Annual overtime hours worked) - (Annual paid holidays taken) - (Other holidays taken)

Thorough Smoking Area Enforcement
Bridgestone complies with the Health Promotion Act executed in Japan in May 2003 by thoroughly enforcing smoking
in designated areas only. This policy applies to visitors.

Mental Health Efforts
In Japan, Bridgestone is concerned about the psychological and physical health of its employees. Industrial physicians
and industrial medical staff serve as the core of Bridgestone’s mental health efforts, along with an external Employee
Assistance Program (EAP). In line with Ministry of Health, Labour and Welfare guidelines (covering self-care, consultationline care, on-site industrial medical staff care, and off-site care), we have established a mental health plan for each ofﬁce.

Bridgestone’s Efforts in Japan
1. Since 2006: Consultation department member’s care for managers and supervisors and self-care for
new employees and mid-career hires
2. 2006: Introduction of external EAP covering employee families as well
3. Since 2007: Launch of psychological consultation website on the company intranet, providing
information
4. “Return to Work Program” launched in 2010 for return to work assistance and recurrence prevention
through ties with Human Resources, superiors, industrial physicians, main physicians and external EAP.
5. Since 2011: Strengthened secondary prevention and implemented mental health questionnaires (stresstests), mainly during health check-ups. Questionnaire results are provided as feedback to the employee
for early detection of mental health issues.
6. Since 2013: Counseling Ofﬁce staffed by career counselors established at headquarters. This ofﬁce
conducts two-tiered mental health care, primary and secondary, by selecting the company level andproviding counseling for all employees in it.
7. Since 2014: The Company conducted an “organizational diagnosis” of three ofﬁces in the Tokyo
metropolitan area. As primary prevention, initiatives were undertaken to reduce risk of mental healthdisorders occurring as a result of the workplace.
8. Since 2016: Stress tests and organizational assessments conducted at all business locations.

− 49 −

Sustainability Report 2016

Selected as a “Health and Productivity Brand” (Japan)
In February 2016, Bridgestone was named a “Health and Productivity Brand”
through joint selection by the Japan Ministry of Economy, Trade and Industry (METI)
and the Tokyo Stock Exchange (TSE).
Under this program, METI and TSE select and publicize outstanding enterprises
listed on the TSE that focus on employee health from the viewpoint of management
and undertake strategic initiatives. METI and TSE select and introduce investors to
attractive enterprises that prioritize improvement in corporate value from along-term perspective, and aim to make the program an incentive for moreenterprises to undertake health and productivity management.
Bridgestone was selected under this program for the numerous measures it isundertaking to further employee health management, including efforts to prevent
overwork, enhance mental healthcare and counter lifestyle diseases.

“Health and Productivity Brand” logo

Health Program Evaluation
Bridgestone seeks transparency in its approach to evaluating occupational health efforts. We formulated amanagement status checklist based on our original standards concerning ﬁve areas of occupational health: overallmanagement; health education; work environment management; work management; and health management.
Bridgestone introduced this checklist at factories and/or ofﬁces in 2010, extending it to Group companies in Japan
in 2011, and conduct regular checks and make improvements, in an effort to establish and maintain the system.
Going forward, we will further enhance health education, and continue activities to maintain and improve thesystem for compliance with regulations and standards for occupational health in the Bridgestone Group.

The Bridgestone Group− 50 −

Management Fundamentals

Procurement

MissionCreate value to society throughsustainable procurement practices
We are committed to creating value and continually working toward asustainable society to realize long-term environmental, social, and economic
beneﬁts by incorporating the following into our entire supply chain:
1. Transparency

3. QCD & Innovation

2. Compliance

4. Sustainable Procurement Practices

Setting policy & Commitments for Stakeholders
Procurement policy
Bridgestone’s Procurement vision is to create value to society through sustainable procurement practices.
We aim to realize this vision through our Global Sustainable Procurement Policy (Procurement Policy).

Procurement Guideline
The Bridgestone Group pursues CSR procurement through a Supply Chain Partnership Development System framework,
which improves the overall competitiveness of the Bridgestone Group and our business partners.

Management Structure
To promote Group-wide sustainability activities, Bridgestone created a structure comprising a global CSR management
system, a regional CSR management system, and working groups (WGs) for each area of activity.
The global CSR management system prioritizes initiatives in areas pertaining to a variety of global issues, formulates
global sustainability strategies, conﬁrms the progress of activities in each area, reports to the Global EXCO,*1 andconﬁrms the in-house penetration of CSR activities conducted by the Global CSR Enhancement Committee (GCEC).
The Procurement WG, in consideration of the current demands of society, checks the progress of the matters and activities for the whole procurement activity that is embraced on a global scale, and reports outcomes to the top managements of GCEC and each SBU*2 region. We endeavor to fulﬁll the expectations from society in a proactive manner andapply this attitude to our activities.
*1 Global Executive Committee: The highest-level committee associated with Bridgestone Global Group business execution*2 Strategic Business Unit

− 51 −

Sustainability Report 2016

Enhancing CSR procurement
Initiatives Designed to Promote CSR Procurement
The Bridgestone Group pursues CSR procurement through a Supply Chain Partnership Development System framework,
which improves the overall competitiveness of the Bridgestone Group and our business partners.

Holding Supplier Meeting to Extend Procurement Policy
Bridgestone Group holds an annual conference to explain its procurement policy to ensure that business partners
understand Bridgestone procurement policies.
Information pertaining to the business environment surrounding the industry, as well as our strategy for mutual
improvements to overall supply chain competitiveness, was shared with suppliers. The status of Supply Chain
Partnership Development System activities was discussed as one aspect of improving competitiveness. Business
partners were asked to make voluntary CSR improvements.
In Japan, Bridgestone established the “Green Partner Award” to recognize suppliers for their environmental
activities in 2013. Based on the Environmental Mission Statement of the Bridgestone Group, "In harmony with nature,”“Value natural resources,” “Reduce CO2 emissions,” it commends activities that help reduce the environmental
footprint and result in an environmental contribution. The winners of the Green Partner Award in 2016 were
Asahi Kasei Corporation and AOKI CO,. LTD.

Holding CSR Seminars
Bridgestone holds CSR Seminars for business partners selected based on the results of their CSR Self-Check Sheet, in
support of their efforts to improve the level of CSR activities.
Going forward, Bridgestone Group will continue to support activities that enhance the CSR activities of our business
partners through these seminars and other methods.

Overview of CSR Seminars
Basic Course
1. Description of the seminar’s purpose (Theme: conducting CSR procurement activities)
2. Fair trade (Subcontract Act of Japan)
3. Fraud prevention
4. The Environment (promoting environmental activities throughout the entire supply chain)
5. Human rights and labor (issues pertaining to labor and workplace management)
6. Occupational health and safety/disaster prevention
7. Information security

Extended Course
1. Explanation of CSR Workshop goals
2. The Environment
3. Health and Safety/Disaster Prevention
4. Quality

The Bridgestone Group− 52 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Monitoring & Supporting for Improvement
Offering On-Site Environmental Assistance to Business Partners
Bridgestone has begun offering on-site assistance to business partners whose CSR Self-Check Sheet results indicatedenvironmental initiatives that needed improvement since 2009. In 2016, Bridgestone sent employees fromenvironmental-related departments to ﬁve business partners’ worksites to review their environmental initiatives andpropose advice to their improvement.
The business partners who received this assistance made comments such as “This was very worthwhile, and will be
helpful when considering future improvements.” In addition to ensuring business partners are engaged in initiatives
with the usage of the CSR Self-Check Sheet, Bridgestone works with business partners to improve the level of CSR
activities throughout the supply chain. We plan to continue offering this on-site environmental assistance.

Supporting activities for Natural Rubber industry
In 2016, Bridgestone Singapore Pte Ltd, in cooperation with Bridgestone Sumatra Rubber Estate, helped to improve
productivity and quality in rubber production by holding a workshop on tapping in Hatyai, Thailand, the process ofmaking an incision in a Para rubber tree to extract the latex. This workshop was attended by around 30 local rubber
farmers, who gained tapping knowledge and techniques.

Global Rollout of the CSR Self-Check Sheet
In 2016, the Bridgestone Group continued its efforts to promote a better understanding of our CSR activities on thepart of business partners, distributing CSR Self-Check Sheets and the CSR Procurement Guideline to business partners inJapan, in Europe, Southeast Asia and China. These sheets cover the issues of human rights and labor, occupational
health and safety/disaster prevention, the environment, fair trade, information security and contribution to society.
The Check Sheet indicated that 97% of Bridgestone’s business partners had started CSR activities.
To support our business partners’ voluntary improvement activities, Bridgestone visited the production sites of ourbusiness partners to provide proposals on improvements based on the business partner's completed Self-Check Sheetand to offer advice as part of their on-site environmental assistance.
Going forward, we will continue to work closely with our business partners to make improvements to CSR initiatives
being undertaken across the entire supply chain.

− 53 −

Sustainability Report 2016

Increase transparency & ensure compliance
Enhancing Fair Procurement Activities
Bridgestone Group pursues numerous initiatives worldwide in order to enhance our fair procurement activities.
In 2016, Bridgestone held educational programs on the Subcontract Act of Japan, which is related to theAnti-Monopoly Act, at 12 major Group companies in Japan. Bridgestone also conducted an e-learning program throughwhich participants could gain a better understanding of the law. Moreover, Bridgestone has held educational programs
on purchasing compliance at the work site level for members of related administration departments, in addition topurchasing staff, since 2012.
Tangible examples closely connected to the daily work of participants, along with a variety of other techniques
employed to improve understanding, are incorporated into the programs. 333 new employees took part in these
programs in 2016, with participants providing valuable feedback related to improvement in knowledge and better
understanding of acceptable practices. Many stated they found the programs useful to improve their job performance.
In addition, we conduct a survey on supplier satisfaction and conﬁrm that fair procurement activities are being
undertaken at Bridgestone through the 100 supplier companies that take part. Results of the 2016 survey showed thatsome suppliers desired more improvements in communication. We also worked with an external research ﬁrm to
conduct interviews through visits to some suppliers to gain a deeper understanding of supplier opinions and thoughts.
In light of the survey results, we plan to continue training employees in procurement departments to improve ourefforts in this area.

Content of educational program on the Subcontract Act of Japan
Structure of the Subcontract Act of Japan and deﬁnitions of subcontracting transactions
Examples of infringement by other companies
Duties of main subcontracting enterprise
Prohibited actions by main subcontracting enterpriseCompilation of actual Q&A concerning Bridgestone subcontracting

Participants and graduates of the 2016 Subcontract Act of Japan program
Number of times courses were held in 2016: 4
Number of participants: 333
Number of graduates: 319

Bridgestone Group continues to strengthen and encourage employee training and establish internal rules to promote
fair business practices in each workplace.

Enhancing Internal Audits
Bridgestone formed an audit team to improve the level of fair procurement activities of each Bridgestone Group
company and conducted a general audit on procurement and purchasing operations.
In addition, Bridgestone has been working to enhance the audit program and continued to implement a cross-audit
program between work sites in Japan. Fifteen Bridgestone work sites in Japan are engaged in mutual auditing withneighboring work sites, which enhances our auditing capabilities by training internal auditors to adopt the dual
perspectives of the entity undergoing the audit as well as the entity conducting it.
The 2016 audit revealed administrative matters such as errors in documentation requiring improvement at some worksites, which we plan to conduct and follow up on going forward.

The Bridgestone Group− 54 −

Management Fundamentals

Quality andCustomer Value
MissionCreating Customer Value & Trust
To create a global framework in collaboration with all
related Bridgestone entities and stakeholders to proactively
identify, prioritize and address customer quality issues
in keeping with the intentions of our founder to:“Serve Society with Superior Quality”

The purpose of the Quality Mission Statement is to empower our future direction
based on the spirit of our founder, Shojiro Ishibashi, by bringing Bridgestone’s
DNA and the proud heritage of quality and continual improvement to new
generations of Bridgestone employees. Through innovation and employee
engagement, we can achieve unparalleled quality, not only in manufacturing, butalso throughout the value chain and in all products and services delivered to thecustomer.
All Bridgestone Group global business domains, functions and employees createcustomer value and trust through innovation and improvements.
Formulation of the Quality Mission
Statement

Management Structure
The Bridgestone Group, to respond as a corporate group to the rapidly shifting social environment and meet customer
expectations, has established a structure covering all functions from product planning to after-sales service, and works
to ensure quality throughout the entire supply chain.
For its quality assurance structure, the Bridgestone Group has established the Group Global CQO Organization,
comprising the Global CQO*1, together with SBU-CQOs appointed by SBUs*2. The CQOs work to promote the Group’s
quality policy and understand quality aspects, and provide appropriate and prompt responses to quality issues. The
Quality and Customer Value WG has been established as one of the working groups (WGs) for speciﬁc areas andfunctions in the Global CSR management system. It discusses global issues selected by the CQO Organization, andissues reports to the Global CSR Enhancement Committee (GCEC), and top management of the SBUs.
In 2016, the Group Global CQO Organization was revised to clarify the role of each CQO, quality control indices were
established, and monitoring begun. In 2017, we are working to improve the quality improvement PDCA cycle, basedon the new structure.
In 1968 Bridgestone received the Deming Application Prize, an eminent quality award, and in 2018 will mark the50th anniversary of that achievement. Looking ahead to this milestone year, to achieve customer value creation basedon the Quality Mission Statement, we will further strengthen our quality structure throughout the value chain.
*1 Chief Quality Ofﬁcer*2 Strategic business unit (SBU): An operational department or worksite that conducts business activities− 55 −

Sustainability Report 2016

Group Global CQO Organization (2016)

GHO*1/GMP*2

SBUGroup Global CQO
Organization

Japan Tire SBU

CQO

Disseminating quality
policies

Americas SBU

CQODevelop and implement
the quality policy

Visualizing major
improvement
opportunities

Europe SBU

CQO

China, Asia and Paciﬁc
Tire SBUs

SBU self-conducted
quality controls andinspections

CQO

Quality improvement
PDCA activities

Global Solution SBU

CQO

Address signiﬁcant quality
issues

Reviewing market
performance
Monitoring andauditing quality
Developing quality
systems

Speed upand precision
improvementin Group

GlobalCQO

Enhancing quality
functions*1 Global Head Ofﬁce*2 Global Management Platform

Internal Manufacturing
CQO
Business
Chemical andIndustrial Products SBU CQOAmericas SBU(Diversiﬁed Products)

CQO

Cycle Business

CQO

Sports Business

CQO

Strengthen the productquality function
Determine market measures

VOC / VOB Management
In complying with changing the business model from “product out” to “market in” the Bridgestone Group has
promoted utilization and improvement of the VOC (Voice of Customer) / VOB (Voice of Business Partner) management
system and incorporated it into the development step to increase customer value. In each region, systematicmanagement of VOC / VOB has been implemented according to market conditions and used to optimize products andservices offered to customers.
In Japan, the customer summary system collects VOC from the Customer Communication Center and other related
departments. The system has been utilized by related departments for sharing VOC information timely and improving
product and service quality.
Bridgestone Americas and Bridgestone EMEA (Europe, Middle East and Africa) integrated corporate activities such ascommercial market segmentation surveys, understand overall consumer satisfaction with tire patterns using net
promoter score (NPS) method, support future product plans Customer value indicator (CVI) is set and used as animportant indicator.
In Asia and Paciﬁc region, Bridgestone periodically conducts market research including products from othercompanies, and the results are fed in to the development step.
Bridgestone Group will continue to build a solution business model with improving and strengthening the VOC / VOB
management system. Through these activities, we improve product and service quality and create value for ourcustomers.

The Bridgestone Group− 56 −

Compliance,
Fair Competition

Business Continuity (BCP), Human Rights,
Risk Management
Labor Practices

Safety,Industrial Hygiene

Procurement

Quality andCustomer Value

Product Development Initiatives
Development Quality Assurance Activities Flow
Development quality assurance activities process
To avoid quality issues in the development process, theBridgestone Group standardizes the development
Development QA Consulting
process at all development centers and enhances various(Overall Monitoring of Development Quality)
process check systems to improve development quality.
The Development QA*1 Consulting process was
implemented in Japan in 2011 to identify and improve
Promotion of a standard development process and gate checkpotential problems in all development processes. In
order to cope with problems identiﬁed by regular
Mass
Mass
Veriﬁcation
ConceptMass
production
production
consulting, we completed the developmentof designplanning
production
arrangement
decision
inputsstandardization process in all product developmentgroups. In 2016, we expanded development processassessments to standardize the development process for
production technology.
In the Americas, in 2015 we adopted a new product
Further improvement in development processdevelopment process with six gates to consider product(awareness, constitution, framework)
development from the standpoints of varied customer
demands and overall brand risk. In 2017, we plan toInformation
expand this process to the Latin American market.
sharing
In Europe, Bridgestone EMEA began new product
Recurrence
Preventive
preventive activity
activity
development to ensure that development meets variedcustomer demands. In 2016, we expanded developmentof OE tires (tires ﬁtted on new cars).
In Asia Paciﬁc, APTC*2 has standardized development procedures and plans to adopt a high-quality gate system
based on global standards in order to further improve quality at the design and development stage. In 2017, we began
coordination efforts to establish a global development QA consulting system, including the new APTC development QA.
*1 Quality Assurance*2 Bridgestone Asia Paciﬁc Technical Center Co., Ltd.

QA in Raw material Procurement
The Bridgestone Group operates a global business, working with a wide range of suppliers to procure raw materials andoutsourced products. With the cooperation of our many suppliers, we have established Group-wide approval criteria
related to raw materials and outsourced products to ensure high quality.
Even after establishing a relationship with suppliers, we continuously monitor the quality of goods received,
conduct supplier audits, and make other efforts to ensure suppliers are maintaining their quality assurance structures
and that products supplied consistently meet Bridgestone’s quality requirements.
In 2016, based on our Q&A policy we established a receiving inspection system for reinforcing materials for Japanand the Asia-Paciﬁc region. We are working in cooperation with GMP to establish a structure in the Asia-Paciﬁc region
by the end of 2017.
GMP and working teams in the Americas, Europe, and Japan have begun collaborating to build a global raw
material supply management system. We also hold discussions on such issues as the evaluation and assessment
methods for issues raised and audits, and the periodical rating of suppliers.

QA in Outsourcing
GMP and SBUs are strengthening cooperation on outsourced products in an effort to raise the level of global quality
assurance. In 2016, we launched an effort to improve the three core competencies of outsourcing (Detection,
Selection, and Deterrence) with the aim of enhancing outsourcing supplier management.

Detection

We applied compliance procedures for OEM*3 work and made assessments of
their effectiveness. In 2017, we plan to broaden this system to other areas andimprove the audit check sheet.

Selection

We conducted quarterly sampling inspections to prevent undeclared changes intube values. In 2017, we will consider effective ways to reduce market risk anddisseminate information on Key performance indicators (KPIs).

Deterrence

We revised contracts regarding compensation for abnormalities caused byoutsourcing suppliers. The new contract terms will be applied from 2017 ascontracts are renewed.

*3 Original Equipment Manufacturing− 57 −

Sustainability Report 2016

QA in Tire Manufacturing
In response to the diverse and higher-level requirements of vehicle manufacturers and customers in the replacement
market, the Bridgestone Group is driven to improve quality in each manufacturing process to continue providing thesafest and highest-quality products.
Bridgestone promotes the “visualization” of potential quality risks at tire production plants and proactively implements preventive actions using the Failure Mode and Effect Analysis quality assurance method. Based on potential risk
reduction activities in 2015, we have identiﬁed and now promoting the implementation of global quality improvements
utilizing our mid-term planning process. Going forward, we aim to further improve product quality on a global basis.
In 2016 we proceeded with the early detection of potential problems for global and rapid market actions and thecreation of a rapid and accurate risk management system for judgment and market action. And we could enhance themeasure by deep analysis of root cause and prevention by YOKOTEN (sharing) information. In 2017, we will continue to
evolve early warning system (EWS), improve VOC / VOB system, and promote rapid optimization of actions from acustomer perspective.

QA for Diversiﬁed Products
The Bridgestone Group’s Diversiﬁed Products Business handles products other than tires, including automotive
components, industrial materials such as conveyer belts and hoses, urethane-based chemical products,
infrastructure-related products, bicycles, and sports equipment. In 2016, we implemented a quality improvement
project for automobile vibration reduction products. We identiﬁed issues at production facilities, and madeimprovements. We also reviewed customer feedback on sporting goods and bicycles, and made continual efforts toaddress deﬁciencies.
In 2017, we will continue with measures to ensure the quality of all products from a demanding customer’s
perspective, identify points for improvement, and take the lead on quality improvement activities. We will also maintainefforts to improve quality at Japanese factories for automobile anti-vibration rubber. For sporting goods and bicycle
products, we will strengthen quality controls for principal and common parts.

Human Resource Development in Support of Quality Activities
Passing On Manufacturing Technology Traditions
The Bridgestone places great importance of sharing the quality mindset and skills by the baby-boomers, who havesupported our quality efforts up to now, to the younger generations.
The Quality Human Resources Development Unit that was newly established in 2012 reconstructed the Human
Resource training system, and is driving quality training throughout the entire Bridgestone Group. In 2013, we
introduced a QA instructor system in the China and Asia tire SBU. We deﬁned necessary quality capability requirements
and created training materials reﬂecting them. These activities have also begun deployment in Thailand. In 2014, we
certiﬁed Thai national staff members as QA instructors for the ﬁrst time after completion of a year-long training
program. As of 2016, a total of 60 QA instructors were certiﬁed in the China/Asia region. Quality training will be led
by QA instructors (national staff) at each facility in an attempt to continue raising the level of quality activities.
Going forward, we aim to develop human resources who can ensure even higher levels of quality and support
products and services that can be used with safety and peace of mind throughout the Bridgestone Group.

Bridgestone Group Global TQM Conference
Since 2010, the Bridgestone Group has held a Global Total Quality Management (TQM) Conference each year attended
by Bridgestone and Group companies.
The Group Global TQM Conference aims to enhance the level of quality activities and improve quality awarenessthrough sharing examples of excellence in innovation and improvements selected from each region and SBU with theentire Group.
Furthermore, in conjunction with the internal deployment of the Quality Mission Statement in 2016, Bridgestone
aims to create customer value and trust by promoting improvement activities in which all employees participate.
These activities will be conducted not only in manufacturing, sales and service departments but in all Group
departments globally.

The Bridgestone Group− 58 −

Stakeholders Communication
Society & Environment

Bridgestone has always embraced its responsibility to help
advance sustainable development and solve social issues.
Through proactive communication with stakeholders,
we seek to facilitate an accurate understanding of theBridgestone Group and its business activities. We also use
communication as a means of gathering information on
the opinions, evaluations, and anticipations ofstakeholders so that this input can be incorporated intobusiness activities to achieve ongoing improvements witha view toward sustainable growth.
Given the global nature of its business, theBridgestone Group is endeavoring to optimize all aspectsof its communication activities by establishing systems fortransmitting uniform messages with one voice.

Customers

Localcommunities

Shareholders
andinvestors

Business
partners

Employees

CSR Communication

Organizational
CSR activities

CSR activities
by individuals

Bridgestone

The Bridgestone Group has emphasized communication with various stakeholders. We strive
to clarify our responsibilities and the issues we face with regard to each stakeholder groupand to utilize the ideal communication methods and venues accordingly.

The Bridgestone Group’s Communication Activities
Major stakeholder
groupsCustomers

Shareholders
and investors

Business
partners

Employees

Local
communities

Government agencies,
industry organizations,and education
institutions

The Bridgestone Group’s responsibilities
and issues

Main communication methods and opportunities

Development of appealing products
and services
Swift provision of ideal response andsupport measures
Appropriate information provision
Effective management of customer
information

Customer Communication Center
Analysis, database compilation, and internal utilization ofcustomer input
Rubber and tire museum Bridgestone TODAY
Transmission of information via websites and social media
Daily sales and service activities
Customer satisfaction survey conducted in the form of market
surveys, etc.

Maximization of corporate value
Appropriate and timely information
disclosure

Annual Shareholders’ Meeting
Corporate governance report
Reports related to Japan’s Corporate Governance CodeFinancial results review meetings and Mid-Term Management
Plan explanatory forums
Information disclosure through investor relations website
Reports based on International Integrated Reporting Framework
Explanatory forums for investors

Fair and impartial transactions
Promotion of CSR procurement

Daily procurement activities
Procurement policy explanatory forums
Establishment and implementation of procurement guidelines
Supplier awards
Distributor meetings (serving as venues for discussion withmanagement)

Respect for human rights
Promotion of diversity (diverse working
styles)Utilization of ideal human resources anddevelopment of human resources
Promotion of occupational health andsafety and health and productivity
management
Facilitation of mutual understanding
between labor and management

Employee satisfaction surveys
Group and nomination-based trainings
Personnel evaluation systems and career development
consultation
In-house open application systems
Meetings between labor and management
Transmission and sharing of information through in-housenewsletters and intranet
Meetings allowing for direct communication between
employees and management
Bridgestone Group Awards and other reward systems
In-house events conducted in collaboration with Olympians,
Paralympians, and other athletes

Contributions to local communities
Environmental preservation support
through social activities
Activities in regions with Bridgestone
operating sites

Plant tours for community members
Environmental and safety education activities
Sponsorship and aid for local events
Local events leading up to the Olympic and Paralympic GamesTokyo2020
Volunteer activities in regions impacted by Kumamoto
Earthquake
Post-Great East Japan Earthquake reconstruction support activities

Legal compliance
Development of a safe and secure
motoring society

Engagement with economic and industry organizations
Engagement with government ofﬁcials in countries of operation
Participation in the Tire Industry Project operated under theWorld Business Council for Sustainable Development
Interaction and exchanges of opinion with municipal
government agencies
Communication, coordination, and support throughcooperation via industry-government-academia partnerships− 59 −

Sustainability Report 2016

Direct Communication with Customers and the General Public
The Bridgestone Customer Communication Center gathers and analyzes customer impressions from inquiries andcomments as well as assessments from the Internet and disseminates this information internally to corporate ofﬁcers
and other employees. This leads to improved products and services, while Group reports are used in an attempt toincrease employee motivation. Bridgestone is also focusing efforts on communicating Company activities in aneasily understandable way to customers and the general public using the Internet and other digital forms ofcommunication incorporating images and video.

Mid-Term Management Plan Explanatory Forums
Bridgestone holds annual explanatory forums on its Mid-Term
Management Plan (MTP) for institutional investors and securities
analysts. At these forums, Bridgestone’s Global CEO andrepresentative executive ofﬁcer provides in-depth explanations of
the MTP in their own words, and attendees tend to be very
proactive in asking questions. Although Bridgestone’s MTP covers aﬁve-year period, we institute yearly, rolling updates to this plan toreﬂect changes in the operating environment and our outlook forthe future. We thereby aim to utilize this plan as an important tool
for advancing reforms in the Group’s management. MTP explanatory forums are valuable opportunities to inform
investors about our medium-to-long-term efforts to maximize corporate value.

Plant Tours open for Local Communities
Bridgestone offers tire plant tours to the general public every year
as a means of communication to local communities. Visitors cansee how tires are made as well as how Bridgestone contributes tolocal environmental conservation throughout the plant
operations.
In 2016, Bridgestone Corporation held 13 tours andwelcomed more than 300 visitors in Japan. Bridgestone strives forproactive communications to local communities in order tocontribute to the development of healthy communities as one ofcommunities’ member.

Branding Activities Linked to Rio 2016 Olympic GamesIn 2014, Bridgestone became an ofﬁcial worldwide partner to the International Olympic Committee. We have since
proceeded to use the Olympic Games as a venue for communication with our various stakeholders.
The ﬁrst Olympic event Bridgestone participated in as a worldwide partner was the Rio 2016 Olympic Games. In
conjunction with our involvement in this event, we advanced marketing activities at the airport and at various otherlocations within Rio de Janeiro. We were thereby successful in fostering a strong image for the Bridgestone brandamong customers in Brazil. In addition, Bridgestone took advantage of the perfect opportunity for communication
presented by the Olympic Games to deploy programs in which customers and business partners from around theworld were invited to attend the event. We also used the event as a means of cultivating a sense of solidarity among
Group employees. Furthermore, we contributed to the local community through support for Brazilian youths
participating in education and sports assistance programs. These
activities were conducted alongside other activities, including
providing aid to athletes participating in the Olympic Games andhelping support golf competitions in cooperation with theInternational Golf Federation.
The Olympic Games are a globally popular event loved byindividuals of all genders and ages. Through its involvement in
the Olympic Games and the universal platform they provide,
Bridgestone will seek to make its brand known among customers
around the world.

The Bridgestone Group− 60 −

Corporate Citizenship

Bridgestone Children’s Eco-Art Contest
Every year, we at Bridgestone hold the“Bridgestone Children’s Eco-Art Contest”, inwhich participating children are asked to draw apicture of nature as they see and to provide an
opportunity to as many people as possible
including us as an adult to understand“environment / nature.” The 14th Contest thisyear attracted over 52,000 artworks. In order
to contribute to a better society, theBridgestone Group continues participatingsocial contributions as a company citizenship.

Toward Recovery from Disaster
The Bridgestone Group views the support of regional communities affected by natural disasters to be part ofits social mission. Once again, we express our deepest condolences for the deceased and offer our sincerest
sympathies for all those affected by disaster. Going forward, we will continue to provide a variety ofreconstruction assistance based on disaster conditions and needs in the stricken areas. The BridgestoneGroup sincerely hopes for a swift recovery of the people and areas affected by disaster.
Bridgestone Groups Reconstruction Assistances and Relief Efforts for Disasters
Year

DisasterBridestone Group’s supports

2016

Kumamoto Earthquake

20 million yen

2015

Heavy rains in East Japan

10 million yen

2014

Ebola Hemorrhagic Fever

Bridgestone:54 million yen
Bridgestone Americas Inc..:500 thousand dollars

2013

Typhoon in the Philippines

Bridgestone:10 million yen
Bridgestone Asia Paciﬁ c P.T. Ltd.:50 thousand Singapore dollars

2013

Sichuan Earthquake

Bridgestone:15 million yen
Bridgestone (China) Investment Co., Ltd.:300 thousand yuan

Employee Volunteers for the Reconstruction of the Disaster-Stricken Areas
Kumamoto

Volunteers removing dirt and wreckage in a
residential area

East JapanThe Damaged Buildings Repair Project− 61 −

Sustainability Report 2016

Bridgestone Group Awards 2017

The Bridgestone Group Awards are a recognition program open to all organizations and employees of theBridgestone Group. The Awards were created with the purpose of increasing employee awareness ofcorporate activities based on the Bridgestone Corporate Philosophy, fostering a sense of unity among Group
employees and recognizing accomplishments. This program is the highest level of awards within BridgestoneGroup and plays an important role in working toward achieving the Group’s ultimate goal of becoming a truly
global company and “Dan-Totsu” in all aspects of our businesses. This year marks the 10th anniversary of the
program.
Using the framework established in our new CSR commitment “Our Way to Serve”, the awards fall into ﬁve
categories for 2017: “Achievement”, “Mobility”, “People”, “Environment” and “Management Fundamentals”.
Our global board members selected applications from all global business units to determine this year’s
winners. As a result, among all the various activities conducted by organizations and employees of the Group,
seven activities were selected for recognition this year.
The Bridgestone Group considers the Bridgestone Group Awards as an important management tool. Amid
signiﬁcant change in our operating environment, innovation and continuous improvement is essential in order
to secure a competitive advantage and create value for both our customers and society. By recognizing
outstanding activities through the awards and sharing examples of best practices, we believe we can achieve
further improvements across the entire Group.
The activities selected for recognition are as follows.

Achievement: Two Winners

Activating the Bridgestone Worldwide Olympic Partnership at the Olympic Games Rio 2016
Bridgestone Americas, Inc., Bridgestone Corporation and the Group Companies

This activity entails Bridgestone achievements leading up to and during the
Olympic Games Rio 2016. An integrated group of global leaders andcontributors collaborated to create the foundational team, operating structureand governance process for Bridgestone’s activation as a Worldwide Olympic
Partner. Operating against a short timeline, the team also successfully plannedand executed a variety of marketing, promotional, public relations, hospitality
and teammate engagement activities for its debut as a Worldwide TOP Partner at the Olympic Games Rio 2016.
These efforts helped increase global awareness for the Bridgestone brand, cultivate global corporate culture, andprepare the company to fully maximize its Worldwide Olympic Partnership through 2024.

Innovative Strategic Partnerships for Retail Channel Reinforcement
Bridgestone Europe NV/SA

This activity entails BSEMEA’s Strategic Partnerships. The retail channel
reinforcement is one of the key strategies for BSEMEA. BSEMEA developed
a strategic partnership plan and executed various activities including theacquisition of Speedy and the joint-venture with Pneuhage Management.
These activities contributed to the growth of BSEMEA business.

The Bridgestone Group− 62 −

Mobility: One Winner

The New Technology E-bike with Dual-Drive System
Bridgestone Cycle Co., Ltd. (BSC) and the Group Companies

This activity includes the development of E-bike equipped with the newtechnology “Dual-Drive” system. BSC launched three E-bikes with
Dual-Drive system: commuter bike, city cycle and bike with child carrier
to provide experience of “safety”, “reliable” and “lightly” to various
stakeholders. This unique technology also contributed to promoting
Bridgestone's technical capabilities to the public and increasing brandvalue.
People: Two Winners

30-Year Leukaemia Foundation Partnership Celebration
Bridgestone Australia Ltd. (BSAL)

This activity celebrates the continuous support for the Leukaemia
Foundation. BSAL has supported the Leukaemia Foundation for 30 years
since 1986 through various activities including charity events, donation oftransport vehicles and free accommodation for patients and their families.

Bridgestone Corporate University Training Center
Bridgestone Argentina S.A.I.C.

This activity entails the creation of Bridgestone Corporate University (BCU).
BCU was established in 2004 to offer educational and training
opportunities for stakeholders including employees, customers andneighbors. Additionally, a Training Center was opened in 2015 to provide
continuing education and training. Since it was created in 2004, BCU has
had 413 graduates and has trained more than 6800 stakeholders.
Environment: One Winner

Self Adhering Rooﬁng Membranes with “Secure Bond™” Zero Volatile Organic Compound Technology
Firestone Building Products Company, LLC (FSBP)This activity recognizes the development of Secure Bond™ adhesion
technology, a new technology that doesn’t use Volatile Organic
Compounds (VOC) and can be applied to various rooﬁng applications.
FSBP ﬁrst launched products with the technology in 2015. These products
have provided customers with easier and safer rooﬁng solutions comparedto similar existing materials, in addition to contributing to reducing
environmental footprint with zero VOC.
Management Fundamentals: One Winner

The Restoration Activities from Kumamoto Earthquake and Reinforcing Crisis Measures
Bridgestone Corporation,
Bridgestone Tire Japan Co., Ltd. and the Group Companies

This activity entails restoration activities toward Kumamoto Earthquake
occurred in April 2016. Group teammates in Japan cooperated with eachother and supported affected teammates and communities. This prompt
action contributed to the restoration of affected area, prevention ofhealth problem and early restart of production and sales. This crisis
response experience also led to the reinforcement of crisis measures.

− 63 −

Sustainability Report 2016

Third-party Assurance of Environment Data
The Bridgestone Group received the assurance of a third-party institution to ensure transparency, completeness,
and accuracy of water intake results and results of tests concerning 2020 CO2 emission reduction targets.

http://www.bridgestone.com/responsibilities/environment/reduce_co2/operations/pdf/third-party_assurance.pdf

CO2 emission data (Scope 1,2,3) was provided
through evaluation by a third-party institution
based on ISAE3000 and conforming toISO14064-3; water intake data was provided by
testing implemented by a third-party veriﬁcation
based on and conforming to ISAE3000.
Veriﬁcation of primarily production based in 4
countries, 5 bases/facilities was conducted byon-site inspection; issues at the various bases wereidentiﬁed and solutions were proposed andimplemented. Initiatives to further reduce CO2
emission are also being implemented.

On-site inspection at Asahi Carbon
Co., Ltd., Japan

On-site inspection at
Burgos Plant, Spain

Locations where on-site inspection was implemented for third-party veriﬁcation in 2017
Name of country

The Bridgestone Group

Name of facility

Main product(s)Function of CO2 emission and water intake reportJapan

CSR, Environment &Quality Management
Planning Division-

Summar y and repor t concerning amounts of CO 2
emission (SCOPE 1/2/3) and water intake at various
facilities

Japan

Asahi Carbon Co., Ltd.

Carbon black products

Measurement of and report concerning amounts of CO2
emission and water intake from facility

China

Shenyang Plant

Tire

Measurement of and report concerning amounts of CO2
emission and water intake from facility

Brazil

Sao Paulo Plant

Tire

Measurement of and report concerning amounts of CO2
emission and water intake from facility

Spain

Burgos Plant

Tire

Measurement of and report concerning amounts of CO2
emission and water intake from facility− 64 −

*Bridgestone Corporation*
CSR & Environmental Strategy Promotion Department
1-1, Kyobashi 3-chome, Chuo-ku, Tokyo 104-8340, Japanwww.bridgestone.com

June 2017