CSR Report 2012

MEIKO CSR Report20125-14-15 Ogami, Ayase City, Kanagawa Prefecture, Japan 252-1104
Tel: 0467-76-6001 (switchboard)
URL: http://www.meiko-elec.com/

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R e s p o nMeikoʼs ethical businessthroughout the world.

practices are known
Fiscal 2011 Annual Report

The global economy was sluggish overall during Fiscal

performance was sluggish for televisions and other2011 due to the downturn in the United States anddigital household appliances due to intensifying

increasing uncertainty toward the monetary and fiscal

international competition. Within this operatingcrisis in Europe. Although the Japanese economy wasenvironment, the Group has addressed sales by actively

faced with challenges including the impact of the Greattaking steps to increase business with overseas

East Japan Earthquake and record-high yen

corporations and develop new customers. In terms ofappreciation, the economy did show signs of hopeproduction, the Group has continued to aggressively

toward the end of the fiscal year as the yen began toinvest in ﬁelds where growth is expected. Nonetheless,depreciate. The automobile industry, one of the Group s

due to factors including the impact of the earthquake,main business partners, was put to the test by impact of

the temporary suspension of a plant at Meiko Electronics

the Great East Japan Earthquake and the massive ﬂoods(Wuhan) Co., Ltd., and poor performance in thein Thailand on its operating environment. However,electronics industry, both net sales and income were

production showed signs of recovery following thedown compared to the previous year.

Meiko ʼ s CSR Declaration

prompt restoration of supply chains. Meanwhile,

Meikoʼs Business Principles and activities align with the global social responsibilities

although smartphones and other mobile devices

society.
p e r f o r m eandd s int r oturnn g l ysupport
i n t h e an
el environmentallye c t r o n i c s i n d u ssustainable
try,(Millions of yen)
Fiscal 2007

Fiscal 2008

Fiscal 2009

Fiscal 2010

Fiscal 2011

Net sales

78,51675,806

69,82374,72462,972

Operating income

7,307

1,760

3,793

3,297

812

9.3

2.3

5.4

4.4

1.3

5,640

522

1,828

(3,094)

1,158

7.2

0.7

2.6

̶

1.8

Operating margin(%)

Net income (loss)
Net margin(%)

Net income (loss) per share

328.5730.71

107.39(166.32)

61.73

ROE

(%)

16.7

1.5

5.0

(8.7)

3.4

ROA

(%)

7.0

0.6

2.1

(3.5)

1.3

Changes in consolidated net sales

Changes in consolidated ordinary income(Millions of yen)

(Millions of yen)

100,000

80,0008,000

78,516 75,806

69,82374,72460,000

(%)

20

6,836

ROE

ROA

16.7

15

6,000

10

7.0

5.0

3.4 and
Meiko recognizes
that CSR is central to every aspectof our business activity
4,000
5
1.5

2,695

40,0001.3

2,127level with the0(3.5)
carries out
its duties at the local
aim of establishingtrust in the
2.1
2,000

20,000062,972

Changes in ROE/ROA

953

0.6

-5

222
company. Through our CSR activities, wewill continue to fulﬁll our responsibilities
as(8.7)
Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 20110

Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 2011a member of society.

-10

Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 2011

We strive to establish a sustainable society throughenvironmental and social contribution initiatives.

Sales composition by printed wiring board (PCB) type

Sales composition by region

Digitalhouseholdappliances 6%

Europe 5%

Leisure 4%
Others 2%

Officeequipment 7%
Computerrelated 10%

North America 7%
ASEAN 9%Automotive 46%

Sales composition by productJapan 43%

Others 3%
Double-sided
PCB 15%Four-layer
PCB 44%Six-layer PCB 19%

Communicationequipment 11%
Flat-screen TVs 14%

1

Asia 36%

HDI PCB 19%

CSRReport
Report2012
2012 238
CSR

Conducting CSR Activities throughout

Our Value Chain

Meiko fulﬁlls its corporate social responsibility in the full range of its business activities as it delivers products tocustomers through materials procurement and manufacturing, and achieves further improvements through research

INDEX

23

Basic Environmental Policy
and Promotion Framework

03

Meiko s CSR

05

Message from the President

07

Special Focus

Prevention of Global Warming
Cyclical Use of Resources
Reducing Environmental
Burdens

1 CSR Activities at theVietnam Plant

and development.

Manufacturing and quality assurance
Recycle and reuse

By conducting consistent CSR activities throughout our value chain, Meiko strives to conduct its business activities ina manner worthy of the trust of all relevant stakeholders.

2 Improvement Activities atthe plants in China

13

Sociality ReportManagement of Chemical
Substances Contained in
Products

31

Compliance

For Business Partners

Information Security

For Shareholders and Investors

Materials procurement

Management Report
Corporate Governance

For Customers

Meiko's value chain

Environmental Report

For Employees
For Local Communities

Risk Management37

Corporate ProﬁleEditorial policy
In publishing the CSR Report 2012 (English version)
We published our ﬁfth CSR Report 2012 (Japanese version) inlate July. This report has been organized to be comprised of
the Message from the President, Special Feature, Sociality
Report, Environmental Report and Management Report. We
hope that many people will read this report, and will ﬁnd in the

Research and development

Report that we are united in a constant commitment to earn
your trust by acting responsibly as a good corporate citizen.
Intended audienceSales

All stakeholders with an interest in Meiko Electronics Co., Ltd.
Coverage
Meiko Electronics Co., Ltd. and aﬃliated companies*Please see page 37 for a list of organizations
Reporting periodMarketingThis report refers to CSR activities undertaken during Fiscal
2011 (April 1, 2011 to March 31, 2012) as a rule.
Sections outlining past activities however may include details
relating to before that period. Similarly, in order to provide thevery latest information, this report may also contain details
relating to April 2012 onwards.

Meiko s product lineup

Reference guidelines
Environmental Reporting Guideline (Fiscal Year 2007
Version) (Ministry of the Environment)
Aluminum Base Heat
Dissipation PCB

Rigid-Flex PCB

Sustainability Reporting Guidelines 2006
Date of publication
Previous report: July 2011

AnyLayer PCBThis report: July 2012
* For the purposes of this report, "Meiko" refers to the Meiko Group as awhole, consisting of Meiko Electronics Co., Ltd. and its affiliatedcompanies.

HDI PCBHigh Electric Current PCB

3

Double-sided/Multi Layer PCB

CSR Report 20124

Message f r o m t h e P r e s i d e n t
Meiko Group Business Principles

Meiko will continue to earn the public’s
trust though our environmentally
focused efforts and practices that areconsistent with achieving a safe andsecure society.

Provide the best quality and service to customers
and contribute to betterment of society.
Strive to create “the best”.
Elevate our corporate value to improve
the well-being of our employees and society.
In addition to trying to make reasonable profit
through fair competition, our aim is to establish the
Meiko Group as a useful presence to as manymembers of society as possible. Acting inaccordance with the following nine principles, weare therefore committed to the respect of humanrights and compliance with the law and otherapplicable rules, in letter and in spirit, both at homeand overseas.
By upholding these lofty ideals, our aim is to act asa global company contributing to the creation of asustainable society.

The Meiko Group faced a series of unprecedented
challenges during the previous fiscal year, as it was forced
to suspend operations at two domestic factories due tothe Great East Japan Earthquake and the accident at thenuclear power plant. The Group was then confronted
with supply chain interruptions, power shortages, recordhigh yen appreciation, increasing raw materials prices,
the floods in Thailand, and a reduction in orders due tointensified global completion in the electronics industry.
Then, during the fall, we were forced to suspend
operations at the 2nd Factory of Wuhan Plant in China
for three months due to an issue concerning
environmental assessment licensing procedures. We are
deeply sorry for any inconveniences or problems this may
have caused our customers.

5

Following the accident at the nuclear power plant causedby the Great East Japan Earthquake last year, there havebeen significant changes in the level of awareness toward
the environment and safety around the world. As people
begin to lose their confidence in the safeness of nuclear
power generation, movements in global society towardachieving a safe and secure society, rather than justactivities aimed at countering global warming and savingenergy, have begun to accelerate. There has been nowavering in our belief that if we are to continue to thriveon this planet, coexisting with the environment has to be
our top priority. However, more focus is being put on thefact that the need for safety and security is an issue that isvery much related to our daily lives. Through the safenessof products and services and the management andreduction of harmful substances, making a contribution
to this process is one of our top priorities as a company
here at Meiko.
In this manner, the Earth’s environment and issues suchas energy, global warming, safety, and security are always
changing, and we are forced to respond to new issues
accordingly. Here at Meiko, we believe that adapting tothese changes as quickly as possible and responding
sincerely as we remain aware of the new roles that weneed to fulfill will contribute to the development ofsociety and enable us to grow independently to be acompany worthy of the public’s trust.

We are making efforts to reduce environmental burdens
and risks produced from our production process andenhancing resource efficiency in order to contribute to
reduction of the environmental impact on our society as awhole and to promote the construction of a sustainable
society. For the achievement of an environmental societythat would provide safety and security, attention has been
focused on photovoltaic power generation, and products
such as hybrid cars, electric vehicles, LED TVs, LED
lighting, as well as the potential for a smart grid society.
For our part, we have quickly established productionlines for the likes of high-power and Heat Dissipation
PCBs (Printed Circuit Boards), without which suchproducts couldn’t function, at the 2nd Factory of Wuhan
Plant in China.
In addition to incorporating environmentally friendly
production technology and expertise into the
manufacturing process for PCBs, we intend to actively
produce PCBs that are capable of making a difference tothe environment on the product front as well.
In addition to focusing on the environment, it is crucial
that we also gain trust from all of our stakeholders,
including our customers, investors, employees andmembers of the local community, in order to sustain our
corporate activities within our modern day society. Eachand every one of our employees here at Meiko is aware ofthis fact and promotes CSR initiatives. In terms ofCorporate Charter1

We will develop and supply products and services that are both useful tosociety and highly reliable in order to guarantee customer satisfaction and earn
their trust, paying full attention to quality, safety and customer data protection.

2
3
4

We will strive to develop creative technology and pave the way for new
business in order to help create a brighter future.
We will engage in fair, free and transparent competition and fair trade and will
maintain sound, healthy relationships with political and administrative bodies.
We will communicate with our shareholders, customers, investors, business
partners, employees and other stakeholders and actively disclose corporate
information in a fair and timely manner to ensure that our corporate activities
are as transparent as possible.

5
6

We will respect diversity and individual employees personalities and ensurethat all working environments are safe, motivating and comfortable.

7

We will actively engage in social contribution activities as a good corporate
citizen, including research, education, environmental preservation andcommunity services, and will resolutely oppose antisocial individuals andorganizations.

8

We will comply with all applicable rules, laws and regulations, at both thelocal and global levels, as part of our international business activities and will
respect local cultures and customs and contribute to the development.

9Management will enforce this charter within the company, leading by example
in recognition that it is their responsibility to put the spirit of this charter into
practice, and raise awareness amongst group companies and suppliers.
Management will continually monitor internal and external feedback, exercise
eﬀective governance and rigorously implement corporate ethics.

We will reduce environmental impact and contribute to the creation of asustainable society, in recognition of the fact that we all need to do our partto tackle environmental issues.

compliance, the bare minimum that we can do to earn
the public’s trust is to ensure that we comply with thelaw and adhere to rules, regulations, and ethical standards
in different societies around the world. With that inmind, we have formulated a set of Compliance
Regulations and a Compliance Manual to ensure our all
employees are well aware of these requirements.
As a manufacturer, once you start to have issues interms of quality, not only do you lose all of the trust thatyou worked so hard to earn, but you also create problems
for customers using your products and all of the otherstakeholders with an interest in the company. For Meiko,the quality of our products is one of the key priorities. As
we appreciate just how important quality is here at
Meiko and reflect the awareness in our Business
Principles, we are committed to achieving levels of
quality and reliability that guarantee the highest possiblelevels of customer satisfaction.
Meiko will advance initiatives to protect the Earth’s
environment through activities such as these tocontribute to the achievement of a safe and secure society
as we strive to earn the public’s trust. I hope we cancontinue to rely on your support and cooperation in the
future.
President and CEO
Yuichiro NayaCSR Report 20126

Special Focus

Meiko Electronics Vietnam initiatives
Overview of Meiko Electronics Vietnam
Meiko Electronics Vietnam (Hanoi, Socialist Republic of Vietnam) was established as

the third large-scale overseas production base within the Meiko Group that develops,
manufactures, and sells PCBs, following Meiko Electronics (Guangzhou Nansha) Co.,

Ltd. and Meiko Electronics (Wuhan) Co., Ltd. in China. Operations at the EMS plant
were launched in November 2008 and the PCB plant in November 2011. With a landarea of approximately 170,000 square meters and a current building area of

Meiko Electronics (Wuhan) Co., Ltd.

approximately 70,000 square meters, there are plans to make this the Meiko Group slargest and most cutting-edge production base. Production will focus on mainly HDI
PCBs for mobile phones and Multi Layer PCBs for automobiles and audiovisualSpecial Focus

Our Green Society Initiatives

equipment. Vietnam s geographical advantages will be leveraged to ship products tothe other ASEAN countries in addition to customers around the world in locations

such as Japan and Europe.

Noi Bai International Airport

Thach That-Quoc
Oai Industrial Zone

Meiko recognizes that protecting the global environment and committing to clean air and water
are critical responsibilities that we have for the generations that come after us.
We use resources eﬀectively and operate in a way that is compatible with our living environment.
Under this Basic Environmental Policy, we aspire to create an environmentally friendly society

Central area ofHanoi City

Japan

China

Wuhan

Meiko Electronics Vietnam Co., Ltd

Meiko Electronics(Guangzhou Nansha) Co., Ltd.

Guangzhou

through our business activities.

Hanoi

In this edition, we will introduce the initiatives that are underway at Meiko Group s newest
overseas production base, Meiko Electronics Vietnam, and our plants in China.

Vietnam

Plant Manager s VOICE
Meiko Electronics Vietnam General Director/Plant Manager

Junya Wada

Meiko Electronics Vietnam was established in 2007 as the third large-scale overseas production base for the MeikoGroup. Although construction was commenced in April 2007, we had to revise our plans following the global
downturn stemming from the bankruptcy of Lehman Brothers. After overcoming a series of complications, we were
ﬁnally able to have the opening ceremony for the PCB factory in November 2011.
One of Meiko Group s Business Principles is to strive to create the best. Basedon this principle, we always deliver the best products and services to ourcustomers through the best technology, quality, and production. In doing this, wehope to contribute to the happiness of the employees that work at our plants
and the development of the local community. In our business activities at Meiko
Electronics Vietnam, we plan to develop our production base so the plant iscapable of supplying top-quality electronic PCBs that can contribute to propelling
progress in the world, while making important contributions to the developmentof the local community and the rest of the world.

Vietnam opening ribbon cutting ceremony inNovember 2011

7

CSR Report 20128

Special Focus: Our Green Society Initiatives

Special Focus

Environmental initiatives

Recycling copper chloride etching waste liquid

In accordance with the Meiko Group s Environmental Action Guidelines, at Meiko Electronics Vietnam, we believethat minimizing the environmental burdens of our business activities is our mission and our responsibility as ausing copper chloride solution to dissolve copper foil (etching).
At Meiko Electronics Vietnam, we have acted as a pioneer in
our industry by installing a dedicated plant to recycle thecompany helping to achieve a sustainable society.

3copper chloride etching waste liquid that is generated in thecircuit forming process into a valuable resource that can be

Maximizing energy eﬃciency within the company campus

collected. At this plant copper chloride etching waste liquid is

At Meiko Electronics Vietnam, which has the largest

With this awareness, by proceeding with innovations

building area within the Group, it is expected thatbased on the combined wisdom of the Environment

enormous quantities of energy will be consumed. For

Preservation Department and all our employees, we

this reason, it will be important to maximize energy

have been achieving top-level energy efficiency in theefficiency within the campus to minimize theGroup production bases.

recycled into two valuable resources ((1) copper oxide and (2)Innovative management of energy

Processing of copper chloride etching waste liquid
Copper chloride etchingwaste liquid
Reaction tankSlurry tanksodium hypochlorite) after ﬁltration through ﬁltering equipment

and electrolysis equipment. The facility does not generate any

hazardous substance as a by-product, with the only residual

Etching waste liquid processing
plant

Filtering equipment

Electrolysis equipment

Copper oxide

Sodium hypochlorite

product being common salt, making it a very safety-conscious
system.

environmental burdens of our business activities here.

1

In the circuit forming process for PCBs, circuits are formed by

By implementing many of the innovation proposals that were submitted by employees, such as

keeping the settings at half of the standard values by optimizing installation of air conditioning and

Employee initiatives

cooling equipment at the manufacturing site, having lighting outside the plant automatically switch
depending on the surrounding brightness, and improving thermal efficiency by applying heat

preventing ﬁlm to the glass surfaces within the plant, costs were reduced by approximately USD

150,000 from 2009 to 2010. Due to this series of improvement activities, Meiko Electronics

Based on the Meiko Group s Business Principle of striving to create the best, at Meiko Electronics Vietnam we always

Vietnam was awarded with the second place prize in the Energy Innovative Management divisiondeliver the best products and services to our customers through the best technology, quality, and production. In orderin a contest sponsored by the Vietnamese Ministry of Industry and Trade honoring buildings thatto achieve this, we conduct various initiatives aimed at providing the highest level of support for the employees thatuse energy efficiently and energy management at buildings and factories for the purpose ofpromoting a greener economy through more efficient use of energy at factories and officebuildings throughout Vietnam.

Energy Innovative
Management Award trophy

work at our plant.

Working toward zero emissions
In the production of PCBs, the three most important

production. Based on the successes that have beenfactors from the perspective of environmental

achieved Japan and China, Meiko Electronics Vietnam

preservation are reducing the large amounts of electricity

has been striving toward zero emissions as a cutting-

and water used in the production process; trying toedge environmentally-friendly plant that prioritizes

reduce as much as possible the inclusion of acids, alkali,

environmental preservation.

and metals; and trying to reduce as much as possible thewastes that are discharged in large quantities during

Use of reverse osmosis water

2

Reverse osmosis water is water that has been puriﬁed using reverse osmosis to ﬁlter
out impurities, making it close to pure water. Since Meiko installed reﬁning equipment
at the Yamagata Meiko Electronics in 2004 to convert groundwater to reverse
osmosis water, by adopting a system in which industrial drainage water would be
purified at plants for later use as reverse osmosis water, the Group has actively
worked to conserve water resources. Meiko Electronics Vietnam has carried on thehigh-level ﬁltering technologies that have been developed up until now and installed
the latest reverse osmosis water reﬁning equipment.

9

Reverse osmosis water reﬁning equipment

We support the day-to-day life of our employees byoﬀering company housing adjacent to the factory thatprovides our employees from all regions of Vietnam
the reassurance of a living environment and theopportunity to capitalize on their individual skills. We
provide residents with three meals a day, a programthat is extremely popular with our employees. As of
March 2012, approximately 35% of all employees
were residents of these facilities. Construction of newcompany housing facilities is underway in line with ourplans to expand the plant in the future.

Company housing

4

5

Green commuting with our commuter bus

Provision of company housing withthree meals a day

Commuter bus

There are concerns that individuals using means oftransportation such as cars and motorized bicycle intheir commute could contribute to various problems,

including traffic congestion in the surrounding region

and global warming. In response, Meiko Electronics
Vietnam has provided six commuter buses per day

between the company campus and central Hanoi.
Commuting in groups reduces commuting-related

c o s t s all o w s us t o pr o ac tiv el y achie v e gr e encommuting that is environmentally-friendly.
Approximately 20% of all employees used this green

commuting service in their commute to and from thecompany as of March 2012.

CSR Report 2012 10

Special Focus

Deepening friendships among employees
To help our employees feel refreshed andencourage more communication, Meiko
Electronics Vietnam conducts various events todeepening friendships among its employees,
including company trips and sports meets.
Many employees participate in these events
whenever they are held, events which help our
employees to feel released from the stress of their
daily work. These events allow employees to build
friendships with employees from otherdepartments that don t have a direct relation totheir everyday work, providing a good opportunity
for international exchange between the
Vietnamese and Japanese employees at thecompany.

6

Special Focus: Our Green Society Initiatives

Improvement Activities at the plants in China
Meiko has two production bases in China, and their production quantity accounts for over 80% of theGroup s total output. For this reason ensuring quality at our Chinese plants and improving customer
satisfaction levels is essential for our business. We would like to introduce here the overall improvement
activities that are being conducted at Meiko Electronics (Guangzhou Nansha) Co., Ltd. and Meiko
Electronics (Wuhan) Co., Ltd.

Promoting total productive maintenance (TPM)
Company trip in 2012

Local community initiatives
In establishing a production base at a new location, the most important thing is working and prospering in partnership

We started conducting TPM at Meiko Electronics (Guangzhou
Nansha) Co., Ltd. and Meiko Electronics (Wuhan) Co., Ltd. from 2010.
At Meiko Electronics (Guangzhou Nansha) Co., Ltd., in an aim toprevent in advance the occurrence of losses or waste that would
impede production eﬃciency through the entire life cycle of facilities,
all employees work together through TPM as they strive toward theinternal reform of employees, facilities, and the company. At Meiko
Electronics (Wuhan) Co., Ltd., all employees participate in TPM,
starting from the stage of initial cleaning, based on the slogan thatcleaning is subject to inspection, and in this manner, we aim forzero breakdowns. As of March 2012, we have mostly completed
step 1 of TPM Autonomous Maintenance (Jishu Hozen) analysis, andwe now plan to proceed with initiatives to complete steps 2 and 3.

Meiko Electronics (Guangzhou Nansha) Co., Ltd.

Meiko Electronics (Wuhan) Co., Ltd.

with the local community. It would not be possible for businesses to prosper in the local community without theunderstanding of that community. Meiko Electronics Vietnam focuses on community-based activities to ensure it willcontinue to be a company that is trusted by the local community.

Playing soccer with locals for constructive
exchange with the community!
As part of eﬀorts to contribute to the local community, we provided
financial support for refurbishment of a soccer stadium located inPhung Xa village, Hanoi where Meiko Electronics Vietnam is located.
The opening ceremony was held on April 11, 2011, and a friendly
soccer match was held between a team representing the local
community and the Meiko team. We plan to use the stadium in the
future as a location for local exchange and community events.

7

Friendly match at the soccer stadium
opening ceremony

11

Few countries are as enthusiastic
toward soccer as Vietnam
Soccer is so popular in Vietnam that it
could be considered the national sport,
where things often both start and end
with soccer. When Vietnam won in the
ASEAN Football Championship in 2008,
parades were held across the country.

What is total productive maintenance (TPM)?
Total productive maintenance (TPM) is a form of productive maintenance that has mostly been adopted in the manufacturingindustry. It is deﬁned by Japan Institute of Plant Maintenance as follows: TPM is aimed at creating a corporate culture that seeks to
improve the eﬃciency of production systems to the fullest extent (total eﬃciency improvement) by constructing a framework basedon actual place, actual thing principles that prevents all types of losses through zero accidents, zero product defects, and zeroequipment unplanned failures throughout the entire production system life cycle. All divisions are to participate, including the
production, development, sales, and management divisions, and all employees are to participate as well, from top management tofront-line employees, working in multiple small groups to achieve zero losses.

Implementing New 5S Activity
At Meiko Electronics (Guangzhou Nansha) Co., Ltd., the New 5S Activity Committee wasestablished and commenced operations in November 2011 based on the instructions of the
Factory Manager. By renewing activities that had become stagnant as no set name had been
decided for them as 5S Activities, we continue to enthusiastically conduct activities such asgetting rid of all unneeded items, painting walls, instilling proper greeting etiquette, drawing lines
on ﬂoors, wiping work surfaces with dust cloths, cleaning sources of dust, based on the slogan ofprotecting your plant by yourself. Through these eﬀorts the plant has become visibly cleaner Getting rid of all unneeded items
and these activities have also made a direct contribution to quality improvement. Note that 5S refers to activities that begin withthe letter S in Japanese, consisting of the most basic activities for plants. The concept consists of more than keeping the plantclean. The 5S are (1) seiri (arrangement; throwing away things that are not needed) (2) seiton (proper arrangement;
standardization), (3) seiso (cleaning; subject to inspection), (4) seiketsu (clean and hygienic; maintain this condition), and (5)shitsuke (discipline; obeying the rules).

Implementing local community beautiﬁcation activities
Since November 2011, all employees at Meiko Electronics (Wuhan) Co., Ltd. have been
conducting cleaning following their lunch break in the neighborhood surrounding the plant. These
activities not only beatify the local community, but also improve awareness toward taking theinitiative and setting a good example for others as our employees make their surrounding moreclean with their own hands. These activities serve to encourage the 5S Activities and quality
improvement activities that are being conducted at the plant and also ensure that anyone can feel
free to visit the plant at any time and be assured of a clean environment.

Local community beautification
activities

CSR Report 2012 12

Sociality
ReportSociality Report

Environmental ReportManagement Report

At Meiko, we manufacture and sell PCBs, devices that are essential
for industrial development, by interacting with diverse people invarious countries, regions, and communities.
We recognize that we are social entity, and we fulfill our
responsibilities accordingly. At the same time, we give consideration
to our stakeholders as we engage in our business activities.

Acquisition of ISO9001 and
ISO/TS16949 certiﬁcations

Examples of our activities
Design Review (DR) meeting using a video

At Meiko, we have obtained ISO9001 and ISO/TS16949
certiﬁcations, which are global standards, and have been

conference call system

Based on design data, specifications, and drawings
from customers, we review the design of the product(DR meeting) by linking our plant, sales office, andworking on continuous improvements.

Headquarters via a video conference call system. The

aim of the meeting is to prevent problems with mass

The ISO9001 and ISO/TS16949 certiﬁcations we have obtained

For Customers

Initiatives for Quality Assurance

production through initial production control.
Use of four-terminal electric checkers

It is diﬃcult to ensure the connection reliability of HDI

May 13, 1997

Meiko Electronics Co., Ltd. obtained
certiﬁcation for its PCBs.

PCBs with the two terminal electric checkers we used

May 1, 2002

Guangzhou Plant in China obtained
certiﬁcation.

electric checkers, we now utilize a method that detects

Jan. 27, 2003

ISO9001:2000 became the uniﬁed standard
in Japan.

Jan. 27, 2003

Extended certiﬁcation obtained by MD
SYSTEMS Co., Ltd. (Design of PCBs)

Jan. 27, 2006

Extended certiﬁcation obtained by the
Miyagi Plant

Nov. 29, 2006

Wuhan Plant in China obtained certiﬁcation

Feb. 20, 2008

Extended certiﬁcation obtained by Metal
Mask Dept.

Jan. 27, 2010

Extended certiﬁcation obtained by Tool
Department.

Jun. 18, 2010

Vietnam Plant obtained certiﬁcation.

previously. Through introduction of four terminalchanges in conductor resistance to supply highly-

reliable products.

Pursue cause of defects by introducing FT-IR and
identifying foreign matter

ISO9001 (Japan)

The cause of defects is investigated by introducing FT-

IR and analyzing foreign matter. Through in-house

analysis, the cause can be determined and measures todeal with the problem can be devised more quickly.

* Fourier Transform Infrared Spectroscopy (FT-IR) is a methodof acquiring information about molecular structure by

At Meiko, we have defined a Quality Policy aimed atachieving one of our Business Principles: We will provide
our customers with outstanding value and services andOur approach to quality assurance andorganizational eﬀorts to ensure high quality

make a contribution to society. We improve the reliabilityof our products to guarantee the highest possible levelsof customer satisfaction and contribute to society.

Quality Policy
Ensuring quality that meets customer expectations and instills
conﬁdence

Quality demanded by customers
Expectations andconﬁdence

Ensuring quality thatmeets customer needs

In the Quality Policy, we have stipulated that we need tocontinuously improve the quality of our operations aswell as our products by ensuring that the management
cycle operates in every process of our operations. The
management cycle targets continuous innovations intechnologies and operations.
In terms of quality assurance, we assure the quality ofall products within the plant where they are
manufactured. In the middle of globalization, we intend
to assure quality as promptly as possible bystrengthening our cooperation with our plants and sales
oﬃces.

Meiko Technology and Control
Standard
Meiko Operation Standard andSpeciﬁcations
Operating instructions,drawings, and instructions for
Quality record

Improvement of customer
satisfaction

Guangzhou Plant in China obtained
certiﬁcation.

March 22, 2011

Wuhan Plant in China obtained
certiﬁcation.

* The plants in Japan obtained certiﬁcation fromJapan Electrical Safety & Environment
Technology Laboratories (JET). The plants in
China obtained certiﬁcation from TÜV Rheinland.
The Vietnam Plant obtained certification from
Bureau Veritas Certiﬁcation (BVC).

molecules of a compound.

On-the-spot inspection quality meetings at the
Chinese plants

TS16949 (Guangzhou
Plant, China)

Every day at a specified time production supervisors

voluntarily gather around quality management boards
that have been installed in passages and manufacturing

areas at our Chinese plants to have on-the-spot

inspection quality meetings while they remain standing.

Receiving awards from our customers
Received an award from Automotive

Systems Company of Panasonic Corporation.

These steady and vigorous activities play a part in our
quality activities, as currently pressing quality issues are

discussed in an aim to eliminate defects by coming up
with on-the-spot solutions.

Our Guangzhou Plant placed ﬁrst
and was awarded The Best
Quality Award 2011 in the Board
Q u a l i t y

E m e r g e n c yCountermeasures Project held

Quality assurance by the Meiko Group

Meiko Quality Manual

Apr. 19, 2004

measuring infrared ray absorption through vibration of

Aiming to eliminate progressive defects andmarket complaints
Based on the Fiscal 2012 management policy of
eliminating progressive defects, we will conduct initiatives
at both overseas and domestic plants aiming for zero
market complaints as we work to eliminate major defects
and spreading defects, and cut complaints from users in
half. In addition, we aim to further increase customer
satisfaction levels by conducting improvements through4M changes, materials accreditation, and improving
response for process and customer accreditation systems.

among board makers by
Automotive Systems Company of Panasonic Corporation.

Received an award from Mitsubishi

Electric Corporation Nagoya Works
In the Quality Face Activity

DR meeting (video conferencecall)Four-terminal electric checker

FT-IR

On-the-spot inspection quality
meeting at the Guangzhou Plant

conducted by Mitsubishi
Electric Corporation Nagoya
Works with 200 of its suppliers,
Meiko was nominated as oneof the five top companies
according to a quality evaluation and a report within theanalysis period.

* 4M changes: Improving quality based on four business resources: man,13

machine, material, and method.

CSR Report 2012 14

Sociality Report

For Customers

Research and Development

PCBs. In line with the needs of the PCB (Printed Circuit
Board) market, at Meiko we have created a number ofstate-of-the-art technologies, including the AnyLayer
PCB, Flexible PCB, Rigid-Flex PCB, Package Module PCB,
and Embedded Devices PCB.

passive devices (chip capacitors or chip resisters, etc.)
embedded in them. We developed these PCBs in responseto the increasing density and higher performance of PCBs.

The use of these PCBs has contributed to three-dimensional

Supervisor

We took place in the JPCA Show in June 2011 and thePrinted Wiring Board Expo in January 2012. In addition

to attracting a lot of attention with energy-saving, eco-friendly products such as our Aluminum Base Heat

Dissipation PCBs and High Electric Current PCBs, theMeiko booths at both exhibitions also showcased

mounting and consequently, smaller equipment dimensions.

Embedded Devices PCBs using state-of-the-art

between the surface-mount IC and Embedded Passive

booths and shared their honest opinions and requests,

It has also enabled the shortest possible wiring distance
Devices PCB, thereby improving the electric properties.

Activities in Fiscal 2011

MEIKO Research and Development Center

Development of Embedded Devices PCBs
Embedded Devices PCBs have active devices (IC chips) and

Since starting mass production in 2009 for camera modules,

technology. A great many customers came to see ourmaking both events a great success.

we have striven to achieve thinner circuit boards capable of

In Fiscal 2011, our research and development activities

were conducted by the following: the Meiko Researchand Development Center, which is responsible for thedevelopment of elements for state-of-the-art

technologies; the Product Development Dept., which is

responsible for developing products and manufacturing

processes two or three years in advance, including any-

Management Report

Developer s VOICE

Participating in exhibitions
The evolution of electronics means the evolution ofEnvironmental Reporthigher density. In 2010, we developed a basic connection

process using laser via and plating for the layer-to-layer
connection of embedded devices, in addition to connection

by solder. Then since 2011, we are advancing the basic
development of Embedded Active Devices PCBs. Theseeﬀorts contribute to enhanced heat resistance and higher

mounting density for a wide variety of applications.

Kohei Shibata

Based on a basic policy of aiming tobecome the global de facto standard for
PCBs by producing low-costenvironmentally-friendly PCBs at half the cost, Meikoconducts unique technological development with thecooperation of various research institutions and companies
here at the Meiko Research and Development Center.
Of the many development themes, I am mostly involved
with the development of new PCB technologies for HighElectric Current PCB, focusing on automotive PCBs.
Because the copper circuits for High Electric Current PCB
are particularly thick, a large quantity of copper must be
disposed if traditional etching methods are used, causing
both a large environmental and financial burden. In
response to this issue we are developing a crafting
technique for circuit forming in a short period of time that
does not waste copper.
Although high-level development themes give us muchto think about every day, we feel an important sense of
purpose as we aim to develop innovative technologies
that overthrow current ones. We will continue to face
new challenges every day in the future so that Meiko stechnologies are adopted as the de facto standard.

layer PCBs and embedded PCBs; and engineers fromindividual plants who commercialize those products

A scene from the JPCA Show 2011 in June 2011using the developed technologies.

The following sections introduce our research anddevelopment eﬀorts with regard to advanced PCBs.

Development of AnyLayer PCBs
Smartphones, the market for which is expected to expand
the most among mobile devices, have strict requirements[Mass production of product] [Development product] Plate
Solder connection embedded PCBs connection embedded PCBs
2009

Mass production commenced at plants in Japan

2010

Plating connection process development promotion

2011

Advanced development of Embedded Active Devices PCB

2012

Advanced development of Active Devices and Passive Devices mixed
embedded PCB

density wiring. AnyLayer PCBs permit unlimited

connections between layers. They c ombine laser

Plans and objectives of activities for Fiscal 2012
Next model CSP support motherboard development

technologies and ﬁlled plating technology, which permit

Embedded Devices PCB process development (module PCB,
motherboard)

all layers by via filling. We produce AnyLayer PCBs andCarrying out new development projects

ultra-ﬁne processing and allow free connection between
provide them to many users in Japan and overseas.

We are currently working on higher density by finer

wiring and smaller diameter of laser via.

Level we aim to reach within three to ﬁve years
Mass production of products under development (thin,embedded HDIs, PCBs for 0.3mm-pitch CSP Wiring, etc.) (within one
to two years)
Furthering the development projects of the Research andDevelopment Center
Studying, selecting, and undertaking new development
projects in line with the road map

10-layer Any-Layer PCBs
Φ50μm

L/S=75/75μm

6-layer Any-Layer PCBs
L/S=50/0μm

L/S=40/40μm

Supply Chain

Supply Chain
Currently, a company is required to have, as its basicfor PCBs in terms of thinner proﬁle and higher function,

use AnyLayer PCBs that realize the most advanced high-For Business Partners

framework, a consistent supply chain covering the entire
process from material procurement from business

Basic Procurement Policy
At Meiko, we encourage the continuation of procurement

activities based on the Basic Procurement Policy below.

partners through to production, distribution, and sales of
products. In line with this trend, we at Meiko believethat the most important aspect of our procurement

Basic Procurement Policy

activities is to establish win-win relationships andProcurement activities best suited to our global
production

production and sales bases in Japan but also with

We ensure cooperation not only between the

Smooth, fair, appropriate procurement activities based on
closer communication and strengthened cooperation withour business partners

comprehensive assessment of quality, delivery

Strengthened environmental measures (chemical
substances / green procurement)

relationships of mutual trust with our business partners.

overseas bases, and select business partners through apunctuality, price, and management, as well as business
continuity in case of an accident and a disaster underthe basic principles of (1) understanding our Basic

Procurem ent Policy, (2) compliance with laws,
ordinances, and social norms, (3) environmental

protection and (4) exclusion of antisocial forces. In thisL/S=30/30μm

L/S=25/25μm

L/S=20/20μm

way, we are strongly emphasizing CSR practices within

our supply chain.

Smaller diameter of Ultra ﬁne wiring
laser via

15

CSR Report 2012 16

Sociality Report

Request for our business partners
In accordance with the measures for the environment
included in our Basic Procurement Policy, we are callingfor more than 300 business partners to understand andpractice matters concerning the four points below. In

addition to control of greenhouse gas emissions, waste
reduction, and management of specified chemical

substances, which we naturally undertake in our internal
production activities, we also implement a variety ofmeasures to ensure environmentally-friendly

procurement. We ask our business partners to
implement and recommend green procurement, andalso request that distribution and sales activities be

undertaken in an environmentally friendly manner.

Focus on green procurement, compliance with thegreen procurement standard, provision of information
concerning eco products
No idling
Waste reduction
Cooperation with contact in case of an emergency

Measures concerning purchasing andprocurement
Internal control and compliance
At Meiko, we undertake smooth operations with ourbusiness partners by complying with the following rules
on purchasing and procurement.
We carry out appropriate transactions with our business
partners by undertaking internal training and confirming
compliance in relation to adherence to laws, ordinances,and social codes, including the Act against Delays in the
Payment of Subcontract Proceeds to Subcontracts inJapan, as well as compliance with customs regulations
and the relevant regional and national laws, ordinances,and social codes in our global procurement activities.
Fair, appropriate operations with business partners shall be
undertaken through compliance with laws and ordinances
concerning purchasing and procurement activities.
Business partners information that we obtain throughpurchasing and procurement activities shall be kept
confidential, and the information security system forpreventing the leakage of confidential and personal
information shall be strengthened.
Entertainment and gifts for business partners shall bepermitted to the extent that would normally be consideredreasonable, but shall be prohibited if such acts result inpersonal proﬁts.
Exclusion of antisocial forces shall be exercised.

Business Partner s VOICETAIYO INK MFG. CO., LTD. Sales and Marketing Division
Mr.

Eiji Takehara, General Manager

Meiko is constantly going one step beyond in thebusiness they do with us. For example, their switching ofsolder mask containers from plastic containers toaluminum containers resulted in a large reduction ofwastes produced. In addition, Meiko has actively
conducted improvements that have led to improvements
in our work eﬃciency and allowed us to reduce wastes,for example increasing in the quantity per package for
products. In this manner, Meiko always takes into
consideration cooperative relationships with its suppliers.
Based on a philosophy of fulﬁlling our corporate social
responsibility through compliance, environmental
preservation, thorough quality management, and social
contribution, our company aims to achieve harmony withthe local community and the Earth s environment andactively conducts various corporate social responsibility
activities to this end.
In accordance with Meiko s Basic Procurement Policy
and while keeping aware of our impact on the Earth senvironment andhuman health, ourcompany will continue
in its aim to conduct
manufacturing that
achieves both highperformance and areduced environmental
burden.

17

Environmental measures (green procurement)
In accordance with theenvironment,

For Shareholders and Investors

Environmental ReportManagement Report

Improvement and Expansion of IR Activities

One of the pledges made in our Code of Conduct is:
We will ensure that our corporate activities andmanagement practices are sound and transparent, andwe will continue to be a trustworthy company to ourshareholders and investors to generate corporate
value. Based on this pledge, we are striving to maximize
our corporate value by engaging in sound, fair corporate
activities while complying with laws and ordinances.

Timely and adequate disclosure of
information
In accordance with the timely disclosure regulations, we

adequately disclose key information considered toinfluence the investment decisions of our shareholders

and investors. We also disclose other key information via
prompt, adequate, and fair means to ensure thetransparency of our management practices.

Communication with shareholders
We hold a

Discussion Session with Shareholders

after theshareholder meeting every year. In this session, our president

reports on our business activities during the past year andexplains our business strategies for the future. This is followed

by informal discussions and exchanges of opinions between our
executives and shareholders.

In addition, we publish, send, and post on our website the

MEIKO REPORT for our shareholders at the halfway point and at
the end of each ﬁscal year to improve their understanding of the

Meiko Group as a whole.

Discussion session with shareholders

standards concerning the

we encourage environmentally-friendly

purchasing and procurement activities together with ourbusiness partners.

We confirm laws and regulations (RoHS Directive, ELV
Directive, and REACH Regulations) and the content ofenvironmentally hazardous substances to encourage theprocurement of compliant products and maintain andimprove the environmental quality of our products.
(1) RoHS Directive : EU restriction on the use of certain
hazardous substances in electrical and electronicequipment

Communication with investors
For institutional investors and securities analysts, we hold not
only biannual results briefings but also individual explanatory

meetings to communicate better with them. We provide thematerials used for the results brieﬁngs to general investors on

our website so that they can obtain the information of Meikofairly.

(2) ELV Directive : A directive adopted by the EU to reduce
the environmental burdens of end-of-life vehicles(3) REACH Regulations : EU law for protecting people s
health and the environment(4) JIG (1-R) : Legally controlled substances specified in
the guidelines concerning the disclosure of information
regarding chemical substances contained in electricaland electronic equipment(5) Customers standards
We encourage the signing of the Memorandum on
Environmental Protection and Guarantee of Non-Use ofEnvironmentally Hazardous Substances to ensure
environmental protection together with our business
partners. We are pursuing the signing this Memorandum
and Guarantee with our major business partners, including
manufacturers to whom we outsource processing.
We strive to reduce the discharge of industrial waste andencourage the use of this waste as a valuable resource by recycling
it or using it in other ways together with our business partners.

Results brieﬁngs

Enhancing IR tools
To provide a better understanding of Meiko, we have enhanced

the IR page of our website by providing a message from the
President and other content for private investors, as well as an

IR library that includes past and present ﬁnancial statements andannual reports. For Fiscal 2011, the Meiko website was award-

ed with a Good Corporate Website Award in the emerging mar-

MEIKO REPORT

kets division of the Fiscal 2011 Website Completeness Ranking

Good Corporate

Co., Ltd.

2011
Nikko IR Emerging
Markets Ranking

for All Listed Companies released by Nikko Investor Relations

WebsiteCSR Report 2012 18

Sociality Report

For Employees

Creation of a Comfortable Working Environment

At Meiko, we have accelerated the progress of ourGuangzhou and Wuhan in China, and we have also
newly set up a plant in Vietnam. We have also opened
sales oﬃces in Europe and the United States in addition
to Asia.
A large number of local people work at these overseas
plants and oﬃces.
In addition, numerous Japanese employees aredispatched overseas, while dozens of workers fromoverseas, including China, work at our Headquarters andplants in Japan.
This means that employees of different nationalities
and from diverse cultural backgrounds are involved in
the business activities of Meiko.
the greatest asset of a

GlobalOJT

Selfdevelopment
Correspondence course program

On-the-job
training

TOEIC registration/examination program

Japanese language training for overseas employees

Foreign language training (English, Chinese, and Vietnamese)

Specialized training

Follow-up training
New recruit training

Program to support qualiﬁcation acquisition

Assistant manager training
Mid-career employee training

Clerical work

Safety and health training

Generalemployee

Training for new managerial workers

Manufacturing

Program to support qualiﬁcation acquisition

Managerial
employee

Program to support qualiﬁcation acquisition

Department head training
Follow-up training for managerial workers

Sales

Sales skill training

19

We will endeavor to actively support the maintenanceand improvement of the mental and physical health of
our employees.

Executive training

Department head

Supervisory employee

Engineering

Safety and health training

We conduct safety and health initiatives at Meiko based on
our Industrial Safety and Health Guidelines for the purposeof eliminating work accidents and improving the working
environment in all workplaces, and encouraging the good
health of all employees.
We have established a PDCA cycle, in which problems
found during safety and health audits by Safety and HealthCommittee members are deliberated by the Committee,
corrective measures are introduced to workplaces, and theresults of the measures are validated. These efforts are
aimed at creating better working environments, not tomention preventing work accidents.
To ensure that problems are found efficiently, we havearranged for our workplaces to be audited by industrial
physicians, industrial health consultants, and other experts.
In addition, our Safety and Health Committee members
undertake audits of the plants. What is more, we estimate
risks through risk assessments, based upon which we
implement measures to prevent work accidents andimprove the level of our safety and health management.
We also strive to raise each employee s awareness ofsafety and health. Our
measures to this end
include accident-freerecord activities,
training in predicting
d a n g e r s , a n dcontinued safety andhealth training for eachjob class.
In recent years,
d a m a g e t o h e a l t h Safety and health audit by Safety andc a u s e d b y l o n g Health Committee members

We will ensure that each and every employee is awareof industrial safety and health initiatives as we
endeavor to improve awareness of safety and health.

Executive

Departmental training

Job-class-speciﬁc training

Program to support qualiﬁcation acquisition

Employee safety and health initiatives

We will conduct risk assessments for our workplaces,
set goals for work environment improvements andcontinually work toward reducing work accident risks.

Rank

Employeeevaluation
training

safe, secure, hygienic for all our employees, respects theirdiversity, and allows them to develop.

We will comply with the regulations and in-house rules
related to industrial health and safety as we endeavor
to eliminate dangers in all workplaces.

Training session for new recruits (manufacturing simulation training)

Educational and training programs for Fiscal 2011

Training for mid-career employees

creation of a comfortable working environment that is

In line with the concept that the greatest asset of acompany is its human resources, at Meiko Group we
focus on the creation of a working environment that issafe and secure for the mental and physical health of all
our employees, and allows them to fully demonstrate
their individual capabilities .

FMEA and quality/statistics training

we focus on the

Meiko Electronics Co., Ltd. Industrial Safety and
Health Guidelines

At Meiko, we provide job-class-speciﬁc training to newrecruits, midcareer employees, and executives. We also
hold departmental training speciﬁc to functions and job
categories. These training programs are aimed at
extracting the potential ability of individual employees,
strengthening their ability to work in teams, andimproving their overall abilities that are universal to allorganizations. In addition, we oﬀer qualiﬁcation programs
and provide ﬁnancial assistance withcorrespondence courses to help our employees with
their selfdevelopment and encourage them to obtain
technical qualiﬁcations.

Plant manager and supervisor training

In line with the concept thatcompany is its human resources,

working hours and mental health problems have beensocial issues. At Meiko, we encourage the good health of
all employees by providing training on mental healthproblems to managerial workers, having those in charge ofoccupational health conduct interviews with workers,
offering counseling provided by mental healthcare
professionals, and implementing a variety of other measuresthrough cooperation between employers and workers.

Management Report

We are also developing employees who can work
globally by improving and expanding foreign language
training programs for domestic workers and the trainingof overseas workers in Japan.

Educational programs
globalization in recent years. We already have plants in

Environmental Report

Meiko Electronics Co., Ltd.
President & CEO

Yuichiro Naya

Respect for diversity
Staff s VOICE
General Aﬀairs Dept.
Supervisor

Shigeki Kuzumoto

As the pace of globalization here at
Meiko picks up, we now have many
production and sales bases both overseas and in Japan,
and as well as approximately 10,000 employees in theGroup. For that reason it is extremely important to createa working environment that is safe and secure for themental and physical health of all our employees.

At Meiko, we respect human rights and strive to recruit,evaluate, and treat our employees without discriminationon the basis of race, creed, religion, nationality, age,gender, disability, and other attributes, so that diverse

employees are able to exercise their abilities. We alsotransfer personnel and exchange employees between

Meiko Group companies, both in Japan and overseas, todevelop global human resources and stimulate theimprovements to the working environment by adding
items to the working environment measurement list forour manufacturing sites.
We will continue improving safety and healthmanagement in the future as we aim for zero work
accidents at all of our workplaces.

750

877

16

869

15

15

894

15

16
15

926

Employees (Persons)

16

824

15

20

15
14

15

500

10

250

5

0

2008

2009

2010

2011

2012

0

(Note) Legally required number of employees with disabilities = Numberof permanent employees × Legal rate of employment (rounded down
to the nearest whole number)further revitalization of our human resources.

During Fiscal 2012, we are conducting a risk

Kanagawa Factory. We are also focusing on making

Legal requirement

Total Employees (Persons)
1,000

assessment that focused on chemical substances andtook steps to reduce risks at our Meiko Headquarters andChanges in the number of our employees with disabilities and thenumber required by law (Fiscal 2008 ‒ 2012)

Employment of persons with disabilities
Since Fiscal 1991, Meiko Electronics Co., Ltd. (excluding

Employment and exchanges of global
human resources
Currently, approximately 40 employees from overseas

its Group companies) has continued to achieve thecountries, including China, are working at Meiko s

accordance with the Act on Encouraging the

100 Japanese employees are working overseas. These

legally required number of employees with disabilities inbusiness establishments in Japan, while approximately

Employment of Persons with Disabilities up until Fiscal

numbers have been increasing every year. In addition, as

not able to meet the legal requirement, partly because

the language and skill training in Japan intended for2009. In Fiscal 2010 and Fiscal 2011, however, we were

the overall number of employees increased. We

achieved the legally required number of employees withdisabilities in Fiscal 2012.

of Fiscal 2011, a total of 152 persons had completed

future executives of our overseas subsidiaries, which has
been oﬀered every year since Fiscal 2003.

CSR Report 2012 20

Sociality Report

For Local Communities

Management ReportSocial Contribution

At Meiko, we encourage social contributions by ouring the Headquarters and local communities, and under-

Headquarters and group companies to build close rela-take activities for mutual development.

tionships with local communities. We will continue toensure harmony between all our business bases, includWuhan

Huanggang City, Hubei Province Donation to
subsidy for students from poor families
Local clean-up activities

Headquarters and Kanagawa

Assistance with the Ayase Commerce and Industry
Fair organized by the Ayase City Commerce andIndustry Association
Assistance with the Ayase Iki Iki Matsuri Festivalorganized by the Youth Group of Ayase City
Commerce and Industry Association
Assistance with the Spring Tournament (Meiko Cup)of the Ayase City Children s Baseball Federation
organized by the Ayase City Children s BaseballFederation

Guangzhou

Participation in blood donation activities (Yashan,
Guangzhou)
Continued relief activities for victims of the Sichuan
Earthquake in China
Fengmasan Village, Nansha District Donation to
subsidy for poor families
Fengmasan Village, Nansha District Donation to
subsidy for improvements to village oﬃce
VietnamDonation of educational equipment and supplies tolocal elementary, middle, and high schools
Sponsorship of traditional wrestling meet held at
Phung Xa village

Activities in local communities

Local clean-up activities/Participation in a local
event to clean-up around Koza District rivers

Yamagata

Acceptance of local junior high school
students to help them learn through work
experience
Provision of internships and factory visits for
local high school students

For the purpose of raising vocational awarenessof students through hand-on experience in
actual society and increasing awareness of local
companies, we conduct hands-on work experience
events and factory visits every year for local middle
school and high school students at Yamagata Meiko.
During Fiscal 2011 we invited students from four middle
Hands-on work experience event for Factory visit with local high school
local middle school students
students
school and high schools. Having experiences in the
manufacturing process for Meiko s PCBs, they could
understand ﬁrst-hand the diﬃculty, importance, as well as the enjoyment of manufacturing. We received valuable feedback fromstudents after they completed the workplace experience. Students commented how I was very impressed and on edge as I
watched how one small mistake could lead to a critical large mistake and I felt that I really grew as I was able to do things on
day two that I couldn t do on day one.

Planting activities
We assisted with the planting activities organized by Ayase City, Kanagawa
Prefecture, where our Headquarters is located. In addition, our employees from the
Headquarters and the Kanagawa Plant planted ﬂowers in the green belt on the walkway infront of our main gate as part of our own activities for beautifying the local area. We planted
salvias, begonias, and marigolds in the spring and pansies, violas, and tulips in the autumn.
The pedestrians enjoyed the beautiful ﬂowers as they passed down the walkway. We willcontinue to plant ﬂowers twice every year to help beautify the local area.

Kanagawa area planting activities

Participation in blood donation activities
Provision of factory visits for an externalorganization and chamber of commerce
Local clean-up activities / Yachi Industrial Park

Activities to beautify the local areas
areas. We will continue to fulfill our responsibility as agood corporate citizen by encouraging social contribution

At Meiko, we deepen exchanges with communities

Providing programs for local middle school and high school students

Provision of manufacturing practical training for an
external organization

events organized by the local governments in the various

activities in each local community.

where our business bases are located by actively participating in environmental beautiﬁcation activities and other

Rebuilding of elementary school that was damaged in the Sichuan Earthquake
As part of Meiko s relief eﬀorts in response to the Sichuan Earthquake (magnitude 8.0)
that occurred in Sichuan province in China on May 12, 2008, we have provided support
since immediately following the earthquake for the reconstruction of an elementary school sothat the local children can quickly return to school. The reconstruction work was completed
over this past ﬁscal year, with the opening ceremony being held on September 16, 2011. The
reconstructed new school building is equipped with a computer room, laboratory, art room,
library, and other class rooms. Currently, approximately 200 students are studying at the school

21

Environmental Report

Each Meiko plant undertakes activities to beautify the local area and participates in theenvironment beautiﬁcation activities organized by the local government. We clean up the areasurrounding the Headquarters and the Kanagawa Plant every year. In Fiscal 2011, a large number ofworkers participated voluntarily in the activities and picked up garbage in a nearby park and the areaaround our premises. In addition, employees of our other plants in Japan have also actively participated inbeautiﬁcation activities organized by the industrial parks.
Kanagawa Prefecture has recognized these beautification activities by awarding us with an
Environmental Protection Achievement Award on June 24, 2011.

Kanagawa Prefecture
Environmental Protection
Achievement Award

Blood donation activities
Meiko is actively involved in blood donation activities at bases in Japan andoverseas. The blood donation activity was conducted at Yamagata Meiko
Electronics Co., Ltd. on February 2, 2012 in keeping with the annual tradition that hascontinued for more than 10 years now. There have been comments from the staff about
wanting to do what they can as part of their contribution to society.
New school during the completion ceremony

Yamagata Plant blood donation activity

CSR Report 2012 22

Environmental
ReportSociality Report

Environmental ReportManagement Report

At Meiko, we believe that minimizing the environmental burdensof our business activities is our mission and our responsibility as acompany helping to achieve a sustainable society.

System for complying with environmental laws and ordinances
To implement our Basic Environmental Policy, we have established an ISO environmental management system, and haveappointed a person responsible for controlling the environmental management system (EMS) at each plant in Japan andoverseas. We also strive to protect the environment through CO2 reduction and zero emissions activities, etc. conductedby the cross-company Energy Saving Committee.
System for furthering Environmental Management

Board of Directors
President & CEO

General Manager Responsible for EMS (Japan)

General Manager Responsible for EMS (Guangzhou)

General Manager Responsible for EMS (Wuhan)

General Manager Responsible for EMS (Vietnam)

Internal environmental auditor from the ISO Promotion Secretariat

Internal environmental auditor from the ISO Promotion Oﬃce

Internal environmental auditor from the ISO Promotion Oﬃce

Internal environmental auditor from the ISO Promotion Oﬃce

Person responsible for EMS at Headquarters District

Guangzhou Plant in China

Wuhan Plant in China

Vietnam Plant

Person responsible for EMS at Kanagawa Factory
Person responsible for EMS at Fukushima Factory
Person responsible for EMS at Yamagata Factory

Basic Environmental Policy“Meiko recognizes that protecting the global
environment and committing to clean air and water are
critical responsibilities that we have for the generations
that come after us.
We use resources effectively and operate in a way that iscompatible with our living environment.”

23

Management concerning ISO14001

Preventing
globalwarmingReusing
naturalresources

Preventing
pollution of theecosystem

Environmental Action Guideline
Meiko s businesses include the patterndesign and manufacture of printed
wiring boards and the manufacture ofmetal masks, as well as thede v el opment and manuf ac ture o felectronic devices. We consider the
implications of these activities for theenvironment, and emphasize theimportance of reducing their impact interms of prevention of global warming,
cyclical use of resources and preventionof contaminating the ecosystem.
In accordance with our basic
environmental policy, we fullycomprehend the impact our businessactivities have on the environment. We
make every effort to prevent
environmental pollution and reduce ourenvironmental footprint through thefollowing measures:

ISO14001 Promotion Secretariat at Headquarters

We have established a structure for strengthening our environmental conservation
activities, and we develop and revise our environmental management system, operate thesystem appropriately to reduce our impact on the environment, and work continuously to
improve both.
We contribute to environmental conservation by making eﬀorts to conserve resources andenergy, reduce waste, and encourage recycling.
We will properly manage chemical substances in products so that the product does notcontain harmful chemicals.
We properly manage chemical substances contained in our products and make sure our
products do not contain toxic chemical substances
We properly manage chemical substances in the production process to limit their usage
and reduce their environmental impact.
We observe all laws, regulations, ordinances, and other requirements concerning theenvironment.
We set environmental goals and objectives, conduct environmental conservation activities,
and strive to improve these activities.
We provide training and instruction to all our employees with the aim of instilling a strong
awareness of environmental conservation activities in them.
We are documenting this environmental policy and distributing it to all our employees, andare also making it available to the public
Revised (No. 6) on December 1, 2010
Established on March 6, 2000

President & CEO Yuichiro Naya

General Manager Responsible for EMS
Director, Managing Executive Oﬃcer Haruyuki

Naya

Our two factories in
Miyagi Prefecture andFukushima Prefecture wereheavily impacted by theGreat East Japan
Earthquake last year.
Although the Fukushima
Factory was forced tosuspend operations after an evacuation order
was issued following the nuclear power plant
disaster, operations were resumed in July 2011.
However, the Miyagi Factory suffered intense
tsunami damage, and as a result operations havebeen still suspended. In response to the tsunami
damage, Meiko has conducted decontamination
work for hazardous materials, worked to saveenergy, and made adjustments for peak-hour cutsin response to the shortages in power supply. As
we reﬂect on the possible suspension of nuclear
power plant operations in the future, we will
work to improve production efficiency while
giving consideration to promoting measures suchas smart grids, strive to reduce further
environmental risks, and contribute to society as
we aim to conduct environmentally-friendly
manufacturing.

Furthering environmental improvement
Energy conservation

Waste reduction

Acquisition of ISO14001 certification
We view ISO14001 as an important standard forenvironmental management, began to take action towardobtaining certiﬁcation in Fiscal 2000, and have since continued
these initiatives at our plants in Japan and overseas.
Our acquisition of ISO14001 certiﬁcation
Mar. 27, 2001 Headquarters and Kanagawa Factory
Sept. 25, 2001 Yamagata Factory
Apr. 17, 2003 Extended certiﬁcation obtained by the Fukushima Factory
Apr. 30, 2003 Guangzhou Plant in China obtained certiﬁcation
Apr. 22, 2005 Integrated certiﬁcation obtained by thethree Factories in Japan
Apr. 22, 2005 Extended certiﬁcation obtained by M. D. Systems Co., Ltd.
Apr. 28, 2006 Extended certiﬁcation obtained by Miyagi Factory
Apr. 28, 2006 Extended certiﬁcation obtained by Solder Stencil Dept.
Feb. 20, 2007 Wuhan Plant in China obtained certiﬁcation
Mar. 26, 2009 Extended certification obtained by MeikoResearch and Development Center, Yamato
Technology Center, and Tool Department
June 18, 2010 Extended certiﬁcation obtained by Vietnam Plant* The factories in Japanobtained certiﬁcation fromJapan Electrical Safety &Environment Technology
Laboratories (JET). The
plants in China obtained
certification from TÜV
Rheinland. The Vietnam
Plant obtained certiﬁcationfrom Bureau Veritas
Certiﬁcation (BVC).
* Because operations weresuspended at the Miyagi
Factory due to the Great
East Japan Earthquake,
this factory is temporarily
outside the scope.

(From the left), ISO14001 Certiﬁcate for factories in Japan, Guangzhou Plant
in China, Wuhan Plant in China, and Vietnam Plant

CSR Report 2012 24

Sociality ReportComplying with environmental laws andordinance

Environmental laws and ordinances
Basic acts

Environmental laws and ordinances have been amended

due to increasing awareness of environmental impact.
We believe that ensuring our compliance with all the

Basic Act on Establishing a Sound
Material-Cycle Society
Act on Improvement of Pollution
Prevention Systems in Speciﬁed Factories

Pollution control

Air Pollution Control Act
Sewerage Act

amended laws and ordinances of individual regions will

Vibration Regulation Act

lead to our contributing to environmental protection in

Industrial Water Act

each local community. In accordance with ISO14001,

Puriﬁcation Tank Act

we identify the laws and ordinances of individual regions

Water Pollution Control Act

that are related to our business activities, and watch for

Noise Regulation Act

any amendments to ensure full compliance.

Oﬀensive Odor Control Act
Soil Contamination Countermeasures Act

Although operations were temporarily suspended at the 2nd
Factory at Meiko Electronics (Wuhan) Co., Ltd. on October 18,

Prevention of
global warming

Act on Promotion of Global WarmingCountermeasures

Waste regulation

Waste Management and Public CleansingAct
Act on the Promotion of Effective
Utilization of Resources (Recycling Law)2011 due to an issue concerning environmental assessment
licensing procedures, corrective measures were taken immediately

Meiko views the issue of greenhouse gas as a signiﬁcantthreat to our precious earth. We have focused on the
reduction of CO 2 emissions, and to this end we haveheld a regular Energy Saving Committee since Fiscal
2009 throughout the company via television conferencesin which we share information on energy saving
improvement plans and improvement examples for eachfactory/plant. Accompanying the decrease in production
quantity stemming from the economic downturn, total
CO2 emissions were down year on year for Fiscal 2011,
however, the rate of CO 2 emission per production
volume increased. We will continue reducing CO 2
emissions with further
initiatives, particularly
those involving
efficient operation offacilities.

Promotion of environmental targets plan

Act on Conﬁrmation, of Release Amountsof Specific Chemical Substances in theEnvironment and Promotion of
Improvements to the Management
Thereof (PRTR Act)

500

10

Changes in the amount of our CO2 emissions(based on the figure for Fiscal 2009 set to 1.0)

Changes in our electricity consumption

250

5Total amount of emissions(1,000 tons of CO2)

Rate of emissions per
production volume

Rate of consumption per
production volume0

Total consumption(Million kWh)

1.0

200

1.0

Poisonous and Deleterious Substances
Control Act

100

0.5

100

0.5

0

0

and waste alkali. Given these results, we have been

Industrial Safety and Health Act
Ozone layer
protection

taking actions under a new medium and long-term plan

During Fiscal 2011 production efficiency deteriorated

due to production adjustments caused by the Great East

Japan Earthquake and the economic downturn. A
particular result of this is that the quantity of energy

consumed per reduction volume increased compared to
Fiscal 2008. We established a new medium and long-term plan in Fiscal 2012, through which we aim to

improve production efficiency, conduct further energy
saving initiatives, and make steady reductions in per

production volume metrics.

400

300

1.5

300

1.5

0
09

Act on the Protection of the Ozone Layer
through the Control of Specified
Substances and Other Measures

10

Changes in our heavy oil consumption

Energyconservation

Act on the Rational Use of Energy (Energy
Saving Act)

10,000Ordinances andrelatedregulations

Kanagawa Prefecture Basic Environmental
Ordinance
Kanagawa Prefecture Basic Environmental
Plan
Kanagawa Prefectural Ordinance on
Conservation of Living Environment
Ayase City Ordinance on Sewerage(based on the figure for Fiscal 2009 set to 1.0)

Rate of consumption per
production volume

Total consumption(1,000ℓ)

2.0

0
09

11

Act on Ensuring the Implementation of
Recovery and Destruction of Fluorocarbons
concerning Designated Products

for Fiscal 2009 to 2011, with Fiscal 2008 being thebenchmark year.

2.0

400

10

11

Changes in our natural gas consumption(based on the figure for Fiscal 2009 set to 1.0)

Rate of consumption per
production volume

Total consumption(1,000m3)

2.0

10,000

7,500

1.5

7,500

1.5

5,000

1.0

5,000

1.0

2,500

0.5

2,500

0.5

0

0
09

10

11

2.0

0

0
09

10

11

Fukushima Prefecture Basic Environmental
Ordinance
Fukushima Prefecture Basic Environmental
Plan
Fukushima Prefectural Ordinance on
Conservation of Living Environment
Yamagata Prefecture Basic Environmental
Ordinance
Yamagata Prefectural Ordinance on
Conservation of Living Environment

New air conditioning(based on the figure for Fiscal 2009 set to 1.0)

200

and waste, including plastic waste, sludge, waste acid,0
Old facilities

New facilities

Wuhan Plant in China: Reduction in quantity of natural
gas consumed through adoption of solar heating (solar
panels)Up until now, natural gas has been used as the energy
source for the housing hot-water supply boiler.
However, a solar panel was installed in March 2011 toincrease the water temperature, to be operated parallelto the hot-water supply
boiler using natural gas.
As a result, we reduced
the quantity of natural
gas used in the housing
hot-water supply boiler
by approximately 43%
year on year.
Solar panel
Hot-water supply cycle chart[Before improvement]
Hot-water supply boiler

Changes in our gasoline consumption(based on the figure for Fiscal 2009 set to 1.0)

Rate of consumption per
production volume

Total consumption

200

2.0

150

1.5

100

1.0

50

0.5

0

0
09

25

15

Fire Service Act (Hazardous Materials
Regulations)are resources such as raw materials, water, and paper,

Heavy oil (1,000ℓ)

750

Energy Saving Committeethat the types of energy that have a signiﬁcant impact on

the environment including electricity, heavy oil, gas, andBefore/after improvement
20

Meiko conducted an assessment of the environmental

gasoline. Also closely related to environmental impact

Fukushima Factory: Renewal of air conditioning to save energy
Facilities deteriorate and become less eﬃcient due toage. In response we replaced the air conditioning inclean rooms to high-performance equipment. Thanks tothis renewal, we have managed to save 153,300kWhof power per year. In addition, as a result of changing
the humidification method from boiler vapor to anelectric method, we reduced the amount of heavy oilthat was used in clean room air conditioning from19,500 liters to zero, which in turn reduced the amountof heavy oil used at the entire factory by approximately
15%. We are making further energy savings by reducing
the amount of clean room engine displacement andusing the energy saving mode settings for businessholidays.

1,000

Act on the Evaluation of Chemical
Substances and Regulation of Th e i r
Manufacture, etc. (Chemical SubstanceControl Law)

impact of our corporate activities. As a result, we found

Examples of energy saving improvements

Power (Million kWh)

Act on Special Measures concerning
Promotion of Proper Treatment of
Polychlorinated biphenyls Wastes
Toxic substancecontrolManagement Report

Prevention of Global Warming

Act on Recycling of Speciﬁed Kinds of Home
Appliances (Home Appliance Recycling Act)and operations were resumed from January 19, 2012.

Environmental Report10* Guangzhou Plant switched from

Hot-water tank

Tap water tank
Pump

Supply to housing

heavy oil to natural gas from
Fiscal 2010.
* Although the Miyagi Plant results
are included in the data up until
Fiscal 2010, operations at the
Miyagi Plant were suspended in[After improvement]
Hot-water supply boiler
Hot-water tank

Tap water tank
Pump

Supply to housing

Fiscal 2011 due to the Great
East Japan Earthquake.

Solar panel tank

11

CSR Report 2012 26

Sociality Report

Environmental ReportManagement Report

Measures for Reducing Environmental Burdens

Article 27 of the Electricity Business Act
In order to achieve a 15% year-on-year reduction in power consumed during peak hours in accordance with theElectricity Business Act, we conducted measures such as reducing lighting, setting the air conditioning temperature to28 °C, and shifting the operation time of production facilities at our Meiko Headquarters and Kanagawa Factory.

Meiko is aware of the signiﬁcance of the impact of its plant operations on the local environment and believe it has aduty to reduce these burdens.
Speciﬁcally, we comply strictly with laws and ordinances for preventing pollution and the standards agreed on withlocal communities. We are also striving to reduce the total emissions, water consumption, and paper consumption

Examples of initiatives

conﬁrmed in accordance with the PRTR Act.

Meiko Headquarters

When the demand monitoring system
detects that a set level of energy isconsumed, an announcement is made ineach department and automatic
controls are simultaneously conducted,
including a temporary increase in the air
conditioning temperature setting.

Kanagawa FactorySpecial air-conditioned
clothing that lowers the(From the left) Demand controller, air-conditioned clothing, fans for air-conditioned clothingsensible temperature by
2 to 3°
C is utilized, an* Theory behind air-conditioned clothing: Two air
innovation that enables the air conditioning
circulation fans are installed in the area aroundthe lower back to pull in air inside the workers
temperature setting to be raised without aclothing and the sensible temperature is loweredchange in the work environment or an
to a comfortable level using the principal of heat
impact on production.
vaporization to cause evaporation of sweat.

Activities for reducing environmentally hazardous emissions
We control the quality of the water we discharge and the state of the gases we emit into the atmosphere by measuring
them on a regular basis to help maintain the local environment. The table below shows the levels of the substances wehave emitted from our plants, all of which are below the standard.
Measured values for discharged water quality and atmospheric measurements
Water quality
Plant name

Cyclical Use of Resources

Kanagawa
Plant

A large amount of water is Changes in our water consumption(based on the figure for Fiscal 2009 set to 1.0)
used in the manufacture of
Total consumption
Rate of consumption per
production volume(1,000m )PCBs for cleaning. We
2.0
have reduced the amount 10,000
of water used by managing
1.5
7,500
the amount used at eachfacility and using reverse
1.0
5,000
osmosis (RO) water.
0.5
2,500
Continuing on from Fiscal
2010, in Fiscal 2011, we
00
carried out our efforts to
09
10
11
use the minimum amountof water required tomaintain product quality ineach process and to use discharged water through theintroduction of a reverse osmosis system. These eﬀorts
have proven eﬀective in achieving reductions.

Reduction and recycling of waste

We have been reducing waste based on the 3R strategy(reuse, reduce, and recycle). Continuing on from Fiscal 2010,

Fukushima
Plant

media for all company

Changes in our photocopying paper consumption(based on the figure for Fiscal 2009 set to 1.0)

Total consumption(1,000 sheets)

2.0

9,000

1.5

unnecessary copying, etc.,

6,000

1.0

to help protect forest

3,000

0.5

0

0

data,

eliminating

resources.

0927

Rate of consumption per
production volume

12,0001011Standard
value

Actual valueStandard
value

percentage of waste that was used for purposes other than

Measurement
unit

into valuable resources. The recycling rate of waste̶thelandﬁll̶exceeded 99% at our plants in Japan in Fiscal 2011.

Yamagata
Plant* Recycling above includes thermal recycling.
* The recycling rates at our plants in China (Guangzhou and Wuhan) and

SS

mg/L

mg/L

mg/L

12.0

24.0

River: 25
Publicsewerage: 300

River: 25
Publicsewerage: -River: 70
Publicsewerage: 300

mg/L

mg/L

mg/L

24.0

10.3

5.4

Guangzhou
Plant

5.7

8.6

Actual valueStandard
value

7.7
5.8

8.6

8.0
5.8

8.6

Actual valueStandard
value

7.3
6

9

Measurement
unit
Wuhan Plant

Kanagawa Factory
Introduction of internal
treatment for waste acidliquidFollowing the introductionof internal treatment device
for waste alkali liquid lasty e a r ,w e
m a d eimprovements overoutsourced treatment for
waste acid liquid treatment
as well through theintroduction of internal
treatment device.

8.2

Measurement
unit

Vietnam are excluded.

Improvement cases
Paper consumption

Actual value

in Fiscal 2011, eﬀorts were actively made to recycle wastes*RO water refers to water purified using reverse osmosis. It is used forcleaning the PCBs.

comprehensive efforts by

COD

Measurement
unit

3

employing electronic

BOD

Measurement
unit

Water consumption

We have been making

pH

Actual valueStandardvalue

9

Equipment

Steam boiler

Steam boiler

Substance

Soot and dust
concentration

Nitrogen oxide
concentration(NOx)

Measurement
unit

g/m N

v / v ppm

Actual value

0.005273

Standard
value

0.3
Air Pollution
Control Act

180
Air Pollution
Control Act

Measurement
unit

g/m N

v / v ppm

Actual value

0.083

66
180
Air Pollution
Control Actv / v ppm

3

3

25(20)

25(20)

70(50)

Standard
value

0.3
Air Pollution
Control Act

mg/L

mg/L

mg/L

Measurement
unit

g/m N

19.0

26.0

5.0

Actual value

0.004

71
180
Air Pollution
Control Act

Steam boiler

3

25(20)

160(120)60(50)

Standard
value

0.3
Air Pollution
Control Act

mg/L

mg/L

mg/L

Measurement
unit

mg/m Nv / v ppm

45.5

113

10.0

Actual value

15.8

64.3
400

boiler320(300)*

90(500)*

60(400)*

Standard
value

National std:
100
Local std: 80

mg/L

mg/L

mg/L

Measurement
unit

mg/m Nv / v ppm

80.0

8.0

Actual value

42

357

Standard
value

50

400

8.4
6

Atmosphere

20

80

50

Steam boiler

3

The value in each "Standard value" column represents the upper limit per product, and the value in parentheses in the column represents
the upper limit of the daily average.
The water quality measurement items are partial disclosures of the living environment items of the Water Pollution Control Act.

* The value in the parentheses applies as a result of the connection of the pipes of the Guangzhou Plant to the sewage treatment center of Guangzhou
City.

Waste acid liquid treatment
deviceCSR Report 2012 28

Sociality Report

Environmental ReportManagement ReportManagement of Chemical Substances Contained in Products

Table showing environmental burdens
At Meiko, we take measures to gain an understanding of the full scope of our environmental burdens. The table below
shows our environmental burdens for Fiscal 2011. We will aim to achieve greater by accurately classifying the inputs
into energy, water, materials, and chemical agents, and the outputs into atmospheric release, water discharge, waste
and resources, and recycling.

In accordance with our Environmental Action Guidelines, we strictly manage our production process in accordance withour chemical substance control rules that stipulate prohibited substances to ensure that our products do not containhazardous substances prohibited by the RoHS Directive and other laws and regulations. We request that our business
partners submit environmental data such as guarantees of non-use and analysis reports, so that we can properly
communicate this information in response to our customers requests for research.

Environmental burdens of our business activities
Management system for chemical substances contained in products

Scope: Headquarters and the 6 major plants
Period: Fiscal 2011 (April 1, 2011 - March 31, 2012)
Outline of business: Manufacture of PCBs

Environmental contract

Electricity(MWh)333,430

CO2 emissions

(kt)

316

Heavy oil

(kℓ)

1,409

NOX emissions

(t)

29

Natural gas

(km )

9,262

Soot and dust

(t)

3.3

Gasoline

(kℓ)

177

PRTR substances

(t)

4.3

Kerosene

(kℓ)

9.5

3

(km )
3

Photocopying paper(thousand sheets)(t)Environmental data management
Product environmental survey

Analysis reports

Rules for chemical substances contained in products* RoHS Directive: An EU regulation on hazardous substances used in electrical and electronic equipment* ELV Directive: An EU directive aimed at reducing the burden of end of life vehicles (ELV) on the environment

(t)

0.26

8,188
8,775

(t)

Amount of chemical
substances discharged (t)At Meiko, our initiatives for ensuring the superior environmental quality of our products have been highly rated by ourcustomers. As a result, we have obtained Green Certiﬁcates from many of our customers.

Chemical substances
Amount of waste
generated

Acquisition of Green Certiﬁcate from customer

3,406
17

Prohibited chemical substances(substances the manufacturing and use of which is prohibited by the laws of Japan and other countries)

329
Asbestos

Radioactive materials

Azo dyes and pigments that form speciﬁc amines

Ozone depleting substances (CFCs, halons, carbon

Cadmium and its compounds

tetrachloride, 1.1.1-trichloroethane)

Hexavalent chromium and its compounds

Fluorinated greenhouse gases (PFC, SF6, HFC)

Lead and its compounds

Phthalic acid/phthalate compounds, di-isobutyl (DEHP,

Mercury and its compounds
Speciﬁc bromine series ﬂame retardant (PBB/PBDEs)
Cobalt chloride

Employee s VOICE
Wuhan Plant Environment Preservation Department Section Manager

Polychlorinated terphenyls (PCTs)

CHENG, Yuanwen

Six years have passed since we started operations at the Wuhan Plant in Fiscal 2006. During that time, theEnvironmental Preservation Department has contributed to the preservation of the environment by promoting
preservation activities through environmental equipment that has reduced the amount of electricity, natural gas, andwater used by more than 3% a year, in addition to conducting waste water management, air pollution prevention, andwaste emissions management in accordance with rules and regulations. Although we did experience a problem concerning
environmental assessment licensing procedures in Fiscal 2011, corrective measures were taken immediately and the problem has been
resolved. We will continue to comply with laws and regulations on environmental protection activities in the future for the sake of thelocal community and our customers.

29

Communication of information* REACH Regulations: An EU regulation aimed at protecting people s health and the environment

PRTR substances

Chemical substances
PRTR substances

Guarantee of non-use
Tables of ingredients

Environmental assessment of business partners

Discharge into water table

Resources
Water

Environmental data

Environmental demands

Chemical substance control for purchased goods

Customers

Atmospheric release

Business partners

Energy input

Environmental audit

Meiko

Polychlorinated biphenyls (PCBs)
Polychlorinated naphthalene (with three or more

DBP, BBP, DINP, DIDP, DNOP, DIBP)
Perﬂuorooctane sulfonate and its salts (PFOSs)
Chlorinated ﬂame retardant (TCEP etc.)
Dimethyl fumarate
Speciﬁc benzotriazole
Tetrabromo-bisphenol A

chlorine atoms)

Inorganic phosphorus ﬂame retardant

Polyvinyl chloride (PVC)

Dioxins (including dibenzofurans) Environmental Report

Short-chain chlorinated paraﬃns (C10 - C13)

CSR

Speciﬁc organotin compounds (TBT, TPT, trisubstitutedorganotin compound)

CSR Report 2012 30

Management
ReportSociality Report

Environmental ReportManagement Report

To ensure that operations are efficient andappropriate, Meiko has improved its transparency
and established a management framework thatwill earn the trust of its stakeholders, establishinga system that allows audits and internal control toInternal Control System

function appropriately.
Our Board of Directors passes resolutions and seeks to
reﬁne the following aspects of our system (Basic policy
on Internal Control System) for ensuring proper
operations in accordance with the Companies Act andrdinance for Enforcement of the Companies Act.

Basic Policy on Internal Control System
A system for ensuring that the duties of our Directors andemployees comply with laws and regulations and ourArticles of Incorporation
A system for ensuring that the duties of our Directors are
executed eﬃciently
A system for storage and management of information
concerning the execution of duties by our Directors
A system regarding rules, etc. on the management of therisk of loss
Improvement of the auditing environment for our Auditors

Corporate GovernanceA system for ensuring proper operations by Meiko
Electronics Co., Ltd. and its Group companies

by each Director in accordance with the policies of our

Our organization

Board of Auditors. The Internal Audit Department improves and expands our internal check system and en-

At the Meiko Group, the Board of Directors is the princi-sures that corporate governance and compliance func-

pal decision-making body.

tion effectively based on the policy for our internal

Our auditors audit and check the execution of duties

control system.

Corporate Governance Framework at Meiko
Shareholders Meeting
Appointment/Dismissal

Accounting Auditor

Appointment/Dismissal

Board of Directors

Supervision

Appointment/Dismissal

Board of Auditors

SelectSupervision

Cooperation

President & CEO

Risk Management Committee

Associated Business Headquarters

31

Research and Development Group

Production Headquarters

2nd Sales Headquarters

1st Sales Headquarters

Administrative Headquarters

Internal auditing

Internal Control Committee

Internal Audit Department

Compliance Committee

Internal control concerning financial
reporting

Under the Basic Policy on Internal Control System
shown above, we developed policies and plansconcerning the policy, procedures, and methods ofevaluating our internal control, the framework ofevaluations, scope of evaluations, schedules of
evaluations, and recording and storage of evaluation
outcomes. We have established a framework forevaluations to be led by management. In this process,we followed the Practice Standards for Management
Assessment and Audit concerning Internal Control overFinancial Reporting set by the Financial Services Agency.
Based on these policies and plans, we again evaluatedin Fiscal 2010 the effectiveness of our Companywide
internal control (including account settlement andfinancial reporting processes) which would have asubstantial influence on our overall consolidated
ﬁnancial reporting. Based on the outcome, we evaluatedthe eﬀectiveness of our IT control and internal control,
which is incorporated in our business process andexecuted in an integrated manner (internal control
concerning business processes including accountsettlement, financial reporting, sales and inventory
management, and purchases).
All issues with our internal control identiﬁed throughthe evaluation processes were rectiﬁed during the term.
As a result of these processes, we stated that Ourinternal control over financial reporting has been
eﬀective in our internal control report for Fiscal 2010,
and received appropriate opinions from our auditors.
We have submitted our internal control report andfinancial reports for Fiscal 2010 to the Kanto Finance
Bureau following a resolution by the Board of Directors.

With the full enforcement of the Financial Instruments
and Exchange Act, it became mandatory in Fiscal 2008
for listed companies to evaluate their internal control
over financial reporting and create and submit internal
control reports based on the outcomes of the evaluations
to ensure that their ﬁnancial reporting was reliable.
Internal Control of the Meiko Group in Fiscal 2011
Internal Control Committee

Board of Directors

Board of Auditors

Assistance in improving internal control,

Passing resolutions on internal control policies

Audits and validates of the

preparations for evaluations, andPassing resolutions on the improvement/promotion

eﬀectiveness of internal control

creation of reports

of internal control

President
Operations and directions concerning internal control
Conﬁrmation of the eﬀectiveness and coordination ofinternal control

Group companies departments responsible for implementing internal control

CSR Report 2012 32

Sociality Report

Environmental ReportManagement Report

Measures for Ensuring Compliance
Compliance Manual
Meiko positions compliance as a critical aspect ofsystem that spans across our business locations in both
Japan and overseas.

management. Each of our employees complies with laws

The Compliance Manual provides speciﬁc explanations

At Meiko, we provide compliance education because weand ordinances, social ethics, and morals in their work.

of Meiko s approach to compliance, the compliancebelieve that the idea of compliance will be eﬀective only

We have codified our standards in the Corporate

structure, and areas requiring compliance by executives

when it is adopted by all executives and employees

Charter of the Meiko Group and the Code of Conduct.

and employees. These are listed below.

across the entire organization. We issue warnings on
insider trading to all employees at the time of quarterly

We also explain the framework of our activities in our

settlement. In addition, efforts are made to raise

Compliance Regulations, while the Compliance ManualCompliance Manual (Areas Requiring Compliance)shows more speciﬁc compliance rules to be observed byCompliance for our customers(1) Conﬁdentiality obligation(2) Sincere attitudes(3) Product liability(4) Eliminating inappropriate relationships with customers(5) Prohibiting transactions based on personal considerations

the Company and its employees.

Compliance Handbook

The initiatives we have taken to ensure compliance

Compliance Organizations

include setting up a Compliance Committee, developing

Compliance Regulations and a Compliance Manual. We

have also introduced a whistleblowing system and set

The Compliance Committee has been established as anup the Help Line as a direct point of contact withorganization that ensures compliance is being faithfully

employees. Matters reported under this system are

conducted throughout the Meiko Group. The Committee

discussed by the Compliance Committee as necessary

is convened regularly every year or as otherwise

and responses are considered by the Committee.

required by the Compliance Officer and Administrative

In order to have everyone in the Company striving for

Section (General Affairs Department), with activities

compliance, we believe it is essential not only to prepare

focusing on the General Affairs Officer, the Businessa system, but to foster an atmosphere and sense ofManagement Oﬃcer, the Auditors, and other responsible

compliance awareness. The Company s own unique

executives from the relevant departments.

Compliance Handbook is distributed to all executives

and employees in order to raise awareness, and can beaccessed on our in-house website.

We will continue to fulfill our social responsibility inCompliance for our community(1) Compliance with related laws and ordinances, etc.
(2) Compliance with the Antimonopoly Act(3) Compliance with the Act against Delay in Payment of
Subcontract Proceeds, Etc. to Subcontractors(4) Compliance with laws and ordinances on insider trading(5) Respect for intellectual property rights(6) Confrontation with antisocial forces
Compliance for our employees(1) Respect for human rights(2) Prohibition of sexual harassment(3) Prohibition of power harassment(4) Protection of personal information(5) Compliance with labor laws

In-house newsletter

Antisocial forces
Meiko refuses to have anything to do with any
individuals and organizations perceived as antisocial
forces that threaten the social order and safety, not only
its attributes, but pursuit of economic gain using
violence, force or fraudulent techniques or its use, and isresolutely determined to work in close cooperation withexternal dedicated institutions such as the police in

Organizational Chart on Complianceaccordance with Regulations for dealing with antisocial

Board of Directors

Board of Auditors

Instructions

Reports

Introduction of the Help Line

forces and various Manuals .

Instructions

Corporate lawyer

We have introduced a whistleblowing system (HelpCompliance CommitteeLine), which permits our employees to report violations

Administrative Section

Cooperation

website.

Compliance for our investors(1) Disclosure of appropriate corporate information(2) Correct recording(3) Comprehensive internal auditing

Compliance for the proﬁts and assets of the Company(1) Compliance with internal rules(2) Prohibition of conﬂicts of interest(3) Respect for the Company s assets(4) Fair reporting of expenses

the future through the upkeep of our global compliance

Reports

awareness by providing examples of complianceviolations, in our newsletters and on our in-house

Compliance for our suppliers(1) Fair selection of business partners(2) Prohibition of requests for kickbacks(3) Prohibition of excessive gifts and entertainment(4) Prohibition of the reception of other conveniences and facilities

Past and Future Initiatives

or possible violations of laws, ordinances, or otherregulations without hesitations. We protect information

Reports

Instructions

Help Line

Departments and employees at Headquarters and aﬃliates

33

Provision of compliance education

Whistleblowing

and conduct fact-finding with particular care so as toprotect whistleblowers from any disadvantages.
Whistleblowers can choose to remain anonymous.

CSR Report 2012 34

Sociality Report

Measures for Information Security
Our business is the manufacture and sales of electronic

Protecting customer information

Meiko has created a set of Crisis Management

Protecting the conﬁdential information of our customers isRegulations and also Emergency Manual, which assume

essential that our customers have faith that our

the most fundamental requirement. We take comprehensivea variety of risks associated with environments, disasters,

information security is sufficiently reliable that we willmeasures to protect customer information in accordance

quality and information security. We have also created anever leak important information.

with Section 1 of our Information Security Policy.

Business Continuity Plan (BCP) to minimize impact on

As a company-wide initiative on information security,

the customer's production plan in preparation for

we have obtained ISO27001 certiﬁcation in Information* The following is an excerpt from the

Security Management System (ISMS), with which we willsection of the Compliance Manual.

customers.

Information Security Policy

Confidentiality Obligations

We will never disclose to third parties any confidential
information obtained through transactions with our customers,
except when required to do so by laws or ordinances or when
our customers have approved the disclosure for compellingbusiness reasons.

information assets from threats are vital.

Past information security initiatives

To this end, Meiko Electronics Co., Ltd. hasinstituted the following policy on information
security.

emergencies. As a measure to prevent informationrelated crises, we have set up a server at the Yamagata
Factory as well as at Headquarters and we constantly
back up our data to the additional server.
In the event of a disaster or accident, we will

Risk factors

immediately set up an Emergency Headquarters led byorganization to determine the cause, assess the situationand take comprehensive future measures, to quickly

1. Management(1) Downturn in proﬁtability(2) Competitive advantage(3) Market disruption(4) Decline/ﬂuctuation in stock price(5) Shareholder lawsuit(6) Overstepping of authority(7) Unstable labor-management relations(8) Labor shortages(9) Violations of laws or ordinances

2. Information(1) Leakage of important or conﬁdential information(2) False information(3) Data falsiﬁcation(4) Loss of information concerning customer, supplier, etc,
(5) Internet harassment

3. Plants andfacilities(1) Damage to major plants and facilities(2) Damage to the supply route of major raw materials(3) Closure of major plants or facilities(4) Disruption to major plants

4. Human
resources(1) Estrangement of core management personnel or staﬀ
(2) Increase in absence without permission(3) Illegal acts
(4) Increases in accidents(5) Violence and blackmail in the workplace(6) Discrimination and sexual harassment

5. Trust(1) Slander(2) Gossip(3) Falsiﬁcation of corporate logo
(4) Problems related to intellectual property right(5) Collapse of credit(6) Pollution/environmental problems

6. Antisocial acts

(1) Product tampering(2) Kidnapping(3) Threats to business or intimidation(4) Terrorism(5) Connections with antisocial forces(6) Wars

7. Natural
disasters(1) Earthquakes and tsunamis(2) Fires(3) Floods(4) Typhoons(5) Lightning strikes, blackouts

8. Organization(1) Organizational culture(2) Insuﬃcient systems for internal checks(3) Deviations from standards and regulations(4) Dishonest acts
(5) Overseas risks

cope with risk and prevent reoccurrence.
At Meiko, we receive important information frominformation security, and the Information System Divisionof our Headquarters obtained ISO27001 certiﬁcation inbuild trust with our customers in accordance with one

2006. Since then, we have been taking steps so that ourof our Business

entire company can obtain the certiﬁcation.

We will provide our customers

with outstanding value and services and make acontribution to society.
We maintain and improve our corporate ethics andfulfill our corporate social responsibility by adopting
information security measures and complying with
relevant laws and ordinances.
We secure the resources needed to sustain ourJanuary 2006

To facilitate information security action, we ensure
and continuously improve our Information Security
Management System (ISMS).

The Information System Division obtained BS7799-2

When the Great East Japan Earthquake occurred on

January 2007

Transfer to ISO27001 certiﬁcation was completed.

March 11, 2011, we established the Emergency

October 2009

Four applicable departments at Wuhan Plant in China

Headquarters immediately following the earthquake toMarch 2010

obtained ISO27001 certiﬁcation.

conﬁrm the safety of employees and visitors, conducted

We obtained ISO27001 certiﬁcation after expanding thealternate production within the Group, and restoration

applicable range to 20 departments at the Headquarters

December 2010

and four sales branches.

of the damaged factories. The Fukushima Factory

Six applicable departments at the Guangzhou Plant in(Futaba-gun, Fukushima Prefecture) was designated as

China obtained ISO27001 certiﬁcation
March 2011

We obtained ISO27001 certiﬁcation after expanding theapplicable range to all four PCB plants in Japan and fourProtection of personal information

November 2011

appropriately, Meiko has adopted the "Personal

earthquake due to the nuclear power plant disaster andan emergency evacuation of employees was conducted.

Renewal of ISO27001 certiﬁcation has been completed for

However, operations were resumed in July 2011 whenbusiness locations in Japan.

the evacuation area status was lifted. Operations at the
Miyagi Factory (Ishinomaki City, Miyagi Prefecture) are

Future information security initiatives

Information Protection Regulations." Based on theseregulations, we handle information with particular care.

an evacuation area immediately following t hesales and research bases.

To comply withs laws concerning the protection of
personal information and to handle personal information

Impact caused by Great East Japan
Earthquake

certiﬁcation.

corporate activities.

currently suspended due to tsunami damage, andrestoration eﬀorts are currently underway.

We will continue to strive to expand the scope of ourcertiﬁcation. ISMS has been introduced for all domestic
production, sales and R&D bases, and overseas
Guangzhou, Wuhan and Vietnam production
departments.

35

Many risks could potentially aﬀect the Meiko s operating
environment, including risks of natural disasters such as
earthquakes and tsunamis, changes in the management
environment such as currency ﬂuctuations and changes
in macroeconomic conditions, and country risk atoverseas bases relating to politics, economics, andinfrastructure. Meiko has created Business Continuity
Plan (BCP) for each factory/plant in preparation to eachof these risks, and will continue to make improvementsin the future in reflection of the lessons learned in the
Great East Japan Earthquake.

customers. We therefore recognize the importance ofWe protect customer information and in doing so

Principles, namely,

Type of crises and risks

the President & CEO, and we have prepared an

To protect customer information and maintain stablecorporate activities, security measures to protect ourManagement Report

Measures for Risk Management

PCBs. To continue our business, we believe that it isstrengthen information management systems with ourEnvironmental Report

CSR Report 2012 36

Cor p or a t e Pr ofi l e (As of July 1, 2012)

Meikoʼs ethical business
Headquarters
Plants

5-14-15, Ogami, Ayase City, Kanagawa
Prefecture, Japan 252-1104

Kanagawa Factory
5-14-15, Ogami, Ayase City, Kanagawa
Prefecture, Japan 252-1104

Established

November 25, 1975

Capital10,545.63 million yen

Executives

Yuichiro Naya,

President & CEO

Seiichi Naya,

Fukushima Factory
1-2, Aza-Iwasawa, Kamikitaba, Hironomachi,
Futaba-gun, Fukushima Prefecture, Japan
979-0401

Director and Senior

Managing Executive Oﬃcer

throughout the world.
Takahide Hirayama,

Masakuni Shinozaki,

Miyagi Factory
8-5, Shigeyoshi-cho, Ishinomaki City, Miyagi
Prefecture, Japan 986-0844

international competition. Within this operating
environment, the Group has addressed sales by actively

Director and Senior

faced with challenges including the impact of the Greattaking steps to increase business with overseas

East Japan Earthquake and record-high yen

corporations and develop new customers. In terms ofManaging Executive Oﬃcer
Director and Managing
Executive Oﬃcer

Director and Managing
Executive Oﬃcer

Yamato Technology Center
1-2-1, Shibuya, Yamato City, Kanagawa
Prefecture, Japan 242-0023

appreciation, the economy did show signs of hopeproduction, the Group has continued to aggressively

toward the end of the fiscal year as the yen began toinvest in ﬁelds where growth is expected. Nonetheless,depreciate. The automobile industry, one of the Group s

due to factors including the impact of the earthquake,main business partners, was put to the test by impact of

the temporary suspension of a plant at Meiko Electronics

Director

the Great East Japan Earthquake and the massive ﬂoods(Wuhan) Co., Ltd., and poor performance in the

Senior Corporate Auditor

in Thailand on its operating environment. However,electronics industry, both net sales and income wereHiroshi Tsukii,

Auditorproduction showed signs of recovery following thedown compared to the previous year.

Yasunobu Koshimura,

AuditorHitoshi Iyomoto,No. ofdigital household appliances due to intensifying

increasing uncertainty toward the monetary and fiscal

Kunihiko Sato,

MEIKO Research and Development Center
3-35-6, Sugikubo-minami, Ebina City,
Kanagawa Prefecture, Japan 243-0414

performance was sluggish for televisions and other2011 due to the downturn in the United States andcrisis in Europe. Although the Japanese economy was

Director and Senior

Tetsuro Suzuki,

Ebina Oﬃce
1012, Kamigo, Ebina City, Kanagawa
Prefecture, Japan 243-0434

The global economy was sluggish overall during Fiscal

Managing Executive Oﬃcer

Haruyuki Naya,

Yamagata Factory (Yamagata Meiko
Electronics Co., Ltd.)
250, Aza-Maki, Yachi, Kahoku-cho,Nishimurayama-gun, Yamagata Prefecture,
Japan 999-3511

practices are known
Fiscal 2011 Annual Report

9,948 (Japan: 822; Overseas: 9,126)

prompt restoration of supply chains. Meanwhile,
although smartphones and other mobile devices
p e r f o r m e d s t r o n g l y i n t h e el e c t r o n i c s i n d u s t r y ,Employees*As of March 31, 2012

Business

Design, manufacturing, and sales of PCBs

(Millions of yen)

Design:Pattern design

Guangzhou Plant (Meiko Electronics(Guangzhou Nansha) Co., Ltd.)
No.2 Guangsheng Road, Western Industrial District,Nansha Economic and Technological Development
Zone, Guangzhou, Guangdong Province, P. R. China

Manufacturing:

Double-sided through-hole PCBs, multi-

layer through-hole PCBs, HDI PCBs, ﬂexible
PCBs, Flex-rigid PCBs, high current copper
thickness PCBs, Heat Dissipation PCBs,

Wuhan Plant (Meiko Electronics (Wuhan) Co., Ltd.)
No.9 Shenlong Road, Wuhan Economic andTechnological Development Zone, Hubei
Province, P. R. China

Fiscal 2008

Fiscal 2009

Fiscal 2010

Fiscal 2011

Net sales

78,51675,806

69,82374,72462,972

Operating income

7,307

1,760

3,793

3,297

812

9.3

2.3

5.4

4.4

1.3

5,640

522

1,828

(3,094)

1,158

7.2

0.7

2.6

̶

1.8

Operating margin(%)

Net income (loss)
Net marginembedded PCBs, etc.

(%)

Net income (loss) per share

EMS, Solder Stencil

Development, manufacturing, and sales ofelectronic equipment

Vietnam Plant (Meiko Electronics Vietnam
Co., Ltd.)
Lot LD4, Thach That -Quoc Oai Industrial
Zone., Hanoi

Fiscal 2007

PCB testers

Simultaneous multi-image display systems

328.5730.71

107.39(166.32)

61.73

ROE

(%)

16.7

1.5

5.0

(8.7)

3.4

ROA

(%)

7.0

0.6

2.1

(3.5)

1.3

Changes in consolidated net sales

Changes in consolidated ordinary income(Millions of yen)

(Millions of yen)

100,000

80,000Organizational Chart (As of August 1, 2012)
Board of Directors

62,9720Internal Audit Oﬃce
2nd Sales Headquarters 1st Sales Headquarters

Administrative Headquarters

Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 2011

0

10

2,695
953

General Aﬀairs Dept.

Human Resources Dept.

Finance Dept.

Information System Dept.

Purchasing Dept.

Operations Management Dept.

Legal Dept.

1st PCB Sales Dept.

2nd PCB Sales Dept.

3rd PCB Sales Dept.

Nagoya Sales Oﬃce

Osaka Sales Oﬃce

Omiya Sales Oﬃce

International Sales Dept.

Asia Sales Dept.

Quality Assurance Dept.

Product Design Dept.

PI Dept. (Production Innovation Dept.)

Kanagawa Factory

Fukushima Factory

Yamagata Factory

Guangzhou Plant in China

Wuhan Plant in China

Vietnam Plant

Product Development Dept.

Plant & Equipment Engineering Dept.

Engineering Dept.

MEIKO Research and Development Center

Technology Marketing Dept.

Solder Stencil Dept.

EMS Dept.

Yamato Technology Center

Meiko Tech

M.D. Systems

Sales composition by region

Digitalhouseholdappliances 6%

Europe 5%

Others 2%

Officeequipment 7%
Computerrelated 10%

North America 7%
ASEAN 9%Automotive 46%

ROA

16.7

7.0

5

2,127

1.5

0

222

Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 2011

Sales composition by printed wiring board (PCB) typeLeisure 4%

ROE

15

6,000

2,000

20,000Management Innovation Oﬃce

1 37

74,7244,000

Corporate Planning Oﬃce

Production Headquarters

69,823

(%)

20

6,836

40,000Business Management Oﬃce

Research and Development Group

78,516 75,806

60,000Board of Auditors

President

Associated Business Headquarters

8,000

Changes in ROE/ROA

0.6

-5
-10

5.0
2.1

3.4
(3.5)

1.3

(8.7)
Fiscal 2007 Fiscal 2008 Fiscal 2009 Fiscal 2010 Fiscal 2011

Sales composition by productJapan 43%

Others 3%
Double-sided
PCB 15%Four-layer
PCB 44%Six-layer PCB 19%

Communicationequipment 11%
Flat-screen TVs 14%

Asia 36%

HDI PCB 19%

CSR Report 2012 38