CORPORATE REPORT2020

MEIKO CORPORATE SOCIAL RESPONSIBILITY

MEIKO CORPORATE SOCIAL RESPONSIBILITY

Business Principles

We provide the best-ever products and services
for our customers through Meiko’s manufacturing,
thus contributing to the creation of happinessin employees and society.
Corporate Charter
The Meiko Group aims to become a useful presence to as many members of society as possible, while pursuingreasonable profit through fair competition.
Acting in accordance with the following nine principles, whether in or outside Japan, we respect human rights, observelaws, regulations, global rules and their spirits, and with high ideal aim, act as a global company contributing to thecreation of a sustainable society.
will develop and supply products and services that are both useful
1 We
to society and highly reliable in order to guarantee customer

will reduce environmental impact and contribute to the creation of
6 We
a sustainable society, in recognition of the fact that we all need to dowill strive to develop creative technology and pave the way for
2 We
new business in order to help create a brighter future.

will actively engage in social contribution activities as a good
7 We
corporate citizen, including research, education, environmental

will engage in fair, free and transparent competition and fair trade
3 We
and will maintain sound, healthy relationships with political andwill comply with all applicable rules, laws and regulations, at both
8 We
the local and global levels, as part of our international businesswill communicate with our shareholders, customers, investors,
4 Webusiness partners, employees and other stakeholders and actively

will enforce this charter within the company, leading by
9 Management
example in recognition that it is their responsibility to put the spirit ofsatisfaction and earn their trust, paying full attention to quality, safety
and customer data protection.

administrative bodies.

disclose corporate information in a fair and timely manner to ensurethat our corporate activities are as transparent as possible.

will respect diversity and individual employee’s personalities and
5 We
ensure that all working environments are safe, motivating andour part to tackle environmental issues.

preservation and community services, and will resolutely oppose
antisocial individuals and organizations.

activities and will respect local cultures and customs and contribute to
the development.

this charter into practice, and raise awareness amongst groupcompanies and business partners. Management will continuallymonitor internal and external feedback, exercise effective governanceand rigorously implement corporate ethics.

comfortable.

Meiko s CSR Declaration
Meikos Business Principles and activities alignwith the global social responsibilities and in turn support
an environmentally sustainable society

CSR promotion framework■CSR promotion framework
Our CSR promotion framework is madeup of site-speciﬁc committee members
representing individual plants, sales

Environmental Management Subcommittee

Board of Directors

Quality Assurance Subcommittee
President & CEOCSR Oﬃcer

Information Security Subcommittee

area-speciﬁc committee members

Area-speciﬁc committee members

Risk Management Subcommittee

makes it possible to organize activities

Site-speciﬁc committee members

oﬃces and other premises andoperating on a group wide basis. This
covering all areas of the groupʼsCompliance Subcommittee

Human Rights and Safety Management Subcommittee
Social Contribution Subcommittee
Corporate Governance Subcommittee

operations in line with our CSR

Supply Chain Subcommittee

to input from our stakeholders.

News Reports

Declaration and respond in good faith1

Secretariat

Technology and Development Subcommittee

■Conducting CSR activities throughout our value chain
Meiko fulﬁlls its corporate social
responsibility in the full range of its
business activities, through materials
procurement and manufacturing, as it
delivers products to customers, andachieves further improvements throughresearch and development. By
conducting consistent CSR activities
throughout our value chain, Meikostrives to conduct its business activities
in a manner worthy of the trust of all
relevant stakeholders.

Manufacturing and quality assurance
Recycle and reuse
Materials procurement

Research and development
Sales

Marketing

Editorial policy
We have published this report for all our stakeholders to deepen understanding in the way of thinking, goals and efforts
for corporate social responsibility (CSR) of the Meiko Group (Meiko Electronics Co., Ltd. and group companies).

●Coverage●Reference guidelines

・ Environmental Reporting Guideline(Fiscal Year 2018 Version) (Ministry of the Environment)
・GRI Sustainability Reporting Standards 2016

Meiko Electronics Co., Ltd. and aﬃliated companies●Applicable period
Fiscal 2019 (April 1, 2019 to March 31, 2020)*This report also contains some information from before theapplicable period and some latest information since theapplicable period.

●Date of publication
March 2021
*For the purposes of this report, “Meiko” refers to
Meiko Electronics Co., Ltd. and all group companies.

■ISO26000 Comparison
Consumer Issues

Human Rights

Labor Practices

Fair Operating Practices● For Customers →P5● For Employees →P13

● For Employees →P13

● For Business Partners →P9● For Shareholders and Investors → P16

Community Involvement
and Development● For Local Communities →P17

The Environment● Basic Environmental Plan

→P19

Laws and Ordinances →P20

● Corporate Governance →P27

For Customers
For Business Partners
For Employees
For Shareholders and Investors
For Local Communities● Information Security →P31
● Risk Management →P32

19 Environmental Report■ EICC Framework
Labor

Environmental protection

Protection of dignity of,
and respect for, employees

Consideration for the
global environment

Uniform standards by the industry

1. Simple
2. Efficient
3. Widely applicablein the industry

Management System

Health and Safety
Evaluation andmanagement of risks

03 Message from the President
05 Social Report● Compliance →P29

→P21
● Cyclical Use of Resources →P23
● Prevention of Contaminating the
Ecosystem → P24● Management of Chemical Substances
Contained in Products →P25
● Prevention of Global Warming

01 Meiko’s CSR

Organizational Governance● Internal Controls →P28

● System for Complying with Environmental

INDEX

Four aspects＋
Aiming for a sustainable working
environment through the
management system

Ethics
Maintenance of a high levelof ethical standards

Basic Environmental Plan
System for Complying with Environmental Laws and Ordinances
Prevention of Global Warming
Cyclical Use of Resources
Prevention of Contaminating the Ecosystem
Management of Chemical Substances Contained in Products

27 Management Report
Corporate GovernanceInternal Controls
Compliance
Information Security
Risk Management

33 Corporate Profile
CSR Report 20202

Top Message
Meiko is responding appropriately to the change invalue amid the changing times and is contributing
to the world by providing the best-ever products
and services through its manufacturing.

Yuichiro Naya, President & CEO

Message from the President
Each enterprise is deeply connected to local communities, society and the earth, and exists as one
part of them. We, at Meiko, are conscious at all times of the role we must fulfill towards these elements, aiming to become a company that is accepted and trusted by society.
Globalization is resulting in an expansion in global human networking, creating new demand in various fields and stimulating the economy. On the other hand, global warming, marine pollution causedby plastics in the ocean, natural disasters, food shortages, human rights issues, etc. are plaguing
various parts of the world, and as is apparent by the adoption of Sustainable Development Goals(SDGs) by the United Nations, the expectations to companies to fulfill their part towards solving theseissues are continuously increasing. Our company was massively impacted by the global spread of
COVID-19 around at the start of this year. City-wide lockdowns were implemented to prevent the
spread of the infection, along with the halting of plant operations, shutting-down of stores and restriction on admission as part of restrictions on general business operation, resulting in a rapid decline indemand and wages and employment being impacted, forcing us to re-examine social life itself till thispoint.
Within this changing social environment, we need to further strengthen initiatives towards management which emphasizes not just the “Environment” aspect of ESG that was our focus till now as partof our business domain, but one which also emphasizes the “Social” and “Governance” aspects. By
fulfilling our Business Principles, which are “We provide the best-ever products and services for ourcustomers through Meiko’s manufacturing, thus contributing to the creation of happiness in employees and society.” we are contributing to the creation of an affluent society by supporting the advancement of the latest technology along with finding solutions to employee workstyle, employment
maintenance and social issues.
We would appreciate your continued support and guidance.

3

Q

Please tell us about your initiatives on
cutting-edge domains, including smartphones,
in-vehicle devices, and self-driving vehicles.

Q

In recent years, the purpose of electronic devices

A reform the organizational culture by changing the way

A has changed greatly. In addition to realizing a lifestyleof abundance and comfort, their contribution to energy
conservation and global environment, along with their role inbringing safety and peace of mind in people’s lives, has also
become important factors. A variety of concepts are also
being pursued in PCBs. High density, high performance PCBs
are required in devices with a multitude of features packed
into a small casing like a smartphone. PCBs with highreliability are required to actualize self-driving and safe steeringin vehicles. High-current PCBs are required in products withan environment-friendly focus, like electric vehicles and solar
energy, and underlying technology to facilitate energy andresource conservation is required.
At Meiko, we are constantly taking initiatives to accurately
meet the diversifying needs of our customers, through thedevelopment and provision of leading-edge products of allvarieties.

Q

Please tell us about your new initiatives inVietnam regarding the development ofventilators, which continues to be a present
topic.

In the middle of the coronavirus crisis, theA Vietnamese
government is searching for companies

which can develop and manufacture ventilators in aneffort to promote their domestic production. By manufacturing
ventilators domestically at 1/2 or 1/3 of the price of imported
products without needing to bring in expensive foreign
medical equipment, this will not only benefit our business, butalso contribute to Vietnam as well. By coordinating withJapanese medical equipment manufacturers, there are plans
to manufacture various products other than ventilators as well.
In addition, efforts are being made towards various new
businesses such as automation for plants and drones. These
will not only increase employment, but also facilitate themodernization of Vietnam. Further, we are planning on
creating the No. 1 engineer group in Vietnam for electronics
and related technology. This new business is based on
Meiko’s concept, born out of initiatives taken to respect theautonomy of our Vietnamese employees. Our staff are proudly
partaking in this project, as this is a business with thepotential to significantly change the future of the country. As aresu lt of s u ch in iti a t i v e s , o u r c o m p a n y h a s b ec ome
increasingly popular in Hanoi and its surrounding areas. We
intend to continue taking such initiatives in the future,including brand development.
In addition, in the approximately 3 month-period from
December to February, a tree called the “Wild Himalayan
Cherry” blossoms in Vietnam, with a pink-coloured flower
similar to the cherry blossoms of Japan. We have started
attempts to spread this tree to other areas within Vietnam. By
marketing them as roadside trees, these efforts will improve
the scenic beauty of Vietnam. We are also planning to carry
the saplings of the tree down from the mountains using
drones. If implemented, just the saplings themselves canbecome a massive business. We are given a lot of freedom
even though we are a Japanese company attempting to startsomething in Vietnam, because of which we could partake ina variety of activities.

What are your opinions on the role of womenand the proactive promotion of foreign
personnel?
Our company is proactively taking initiatives toof thinking for management staff and our maleworkers, as well as reforming the workstyle of the workplacein general in order to create a work environment where our
employees can perform their tasks irrespective of gender. The
number of women who make up the rank of supervisor isincreasing every year. There are companies where womenfind it difficult to continue their work after getting married andhaving children, but that is not the case in our company. Evenif a female employee takes a 1 or 2 years break from
employment after childbirth, we have built an in-housechildcare center called “Nobikko” to support their return, as
well as offering childcare support.
As for foreign personnel, our company’s major production
bases are located in China and Vietnam, with job
opportunities being provided on an equal basis. It is mypersonal belief that the recruitment of talented personnel
should not be dependent on their nationality, as our personnel
are an asset to the company. Our company respects diversity
and we are making an effort to make sure our personnel candisplay their talents without facing discrimination on the basisof their race, faith, religion, nationality, age, sex or disabilities.

Q

After recovering from the Great East Japan
Earthquake, you are now trying to recover fromthe present coronavirus crisis. Please tell us
about the steps being taken by your company incrisis management.

Business risks like natural disasters are a perpetualA presence.
Our company is prepared for such risks

from our past experiences. Looking back, we haveindeed faced a number of different natural disasters. During
the Great East Japan Earthquake, our Ishinomaki Plant was
hit by the tsunami and our Fukushima Plant was shut down
for about 2 months due to the effects of the Fukushima
Daiichi Nuclear Power Station incident. COVID-19 originatedin Wuhan and our Wuhan Plant had to stop all operations for
2 months due to the city-wide lockdown. I wonder if there has
been another company that has been directly hit by natural
disasters this many times. Following these experiences, it isimperative that we think about ways to avoid such risks. Thereis a Chinese saying: “Do not put all your eggs in one basket.”
It is a philosophy of diversifying your business to the maximum
extent because of the risks of overinvesting in one business.
However, even though that is a way to avoid such risks, wehave to consider the fall in productivity that might result fromsuch diversification. As we consider the various aspects ofthese measures, we must always be on the lookout for ways
to be prepared for such risks to ensure the survival of ourcompany. We need to be further scrupulous in incorporatingsuch countermeasures in the future.

Q

Finally, please tell us about your plans for further
sustainable growth in the future.

Our company has precisely grasped the changes in
A demandfor PCBs for electronic equipment, conducted

R&D, and developed a manufacturing system that canmeet those changes along with a sales network that can allow
a global supply. We will continue to respond appropriately tothe change in value amid the changing times and will continue
to provide the best-ever products and services through ourmanufacturing.
CSR Report 2020

4

SOCIAL REPORTSOCIAL REPORTAt Meiko, we manufacture and sell PCBs, devices thatare essential for industrial development, by interactingwith diverse people in various countries, regions, andcommunities.
We recognize that we are a social entity, and we fulfill
our responsibilities accordingly. At the same time, wegive consideration to our stakeholders as we engage inour business activities.

For Customers

Initiatives for Quality Assurance

Major Activities in 2019
Aiming at zero market defects, ﬁnd out the truecause of serious defects, share and set measuresacross the company. Also continue to take measures to avoid recurrence and reduce chronic
defects.
Aiming to prevent the occurrence of defective
products, conduct quality improvement activities
from the designing stage (design review).
To reduce the unevenness among plants, spot andimprove the weak points through internal audit.
To maintain and improve the quality management
system, issue quality management standard documents for business partners.
Promoted across-the-company standardization throughStandardization Committee activities.

Future Plans
Aiming at zero market defects, ﬁnd out the truecause of existing serious defects, share and set
measures across the company.
In order to improve design quality, participate indesign review to conﬁrm specs, measures againstproblems, and reliability of materials and structures.
In order to prevent the occurrence of defective
products and reduce the unevenness among
plants, monitor quality indicators and analyze
data to check tendencies.
In order to prevent quality and delivery problems
due to changes in 4Ms (men, machines, materials,
and methods) and abnormal processing, learn
from past problems and improve our systems.
Redevelop a global quality assurance system.

At Meiko, we have de¬fined a Quality Policy aimed at achieving one of our Business Principles. We thereby
improve the reliability of our products to guarantee the highest possible levels of customer satisfaction andcontribute to society.

Our approach to quality assurance andorganizational efforts to ensure high quality

Assurance of quality that meets customer needs
Horizontal deployment in the group’s four overseas plants

Recently, market recalls due to defective automobile

Based on the Fiscal 2020 Group management policy,

components have attracted media attention, which is

we are proceeding with a product quality assurance

becoming an increasingly serious risk that could threaten

system for both overseas and Japanese plants that

corporate management.
Because Meiko products are chiefly incorporated into
automobiles and enjoy many other applications as well,high quality has been increasingly becoming a critical● Quality Assurance Efforts at Meiko Manufacturing /Flow of Receipt of Orders /Design Quality

To achieve “zero” defects, organized efforts at each step are necessary
ReceiptofOrdersissue.
To address quality-related risk, we must totally change
our conventional attitude and set our goal at achieving“zero” defects. To enhance the quality of design and manufacturing, we are working to optimize our quality management systems at all stages to eliminate the occurrence of
defective products.

5

Manufacturing Quality

Shipment

DR

Trial
Production

DR1① DRBFM② Conﬁrm the conditions
and environment where
PCBs are used
③ Share past problems

Final
Pre-Production
Check① Reliability evaluation② Final quality check③ Process capacity

Mass Production

Shipment

Quality Improvement:
Quality targets, Past problems,
Shipping
Rollout of information, QC efforts, inspection
FTA analysis, FMEA
① Lot assurance
Quality Management:
inspection
Addressing abnormality, 5M1E,
Initial production control chart, ② Traceability
Check sheets, etc.
Quality Awareness:
5S (Sorting, Setting-in-order, Shining, Standardizing,
Sustaining the discipline) and 3F (Fixed-position, Fixed-item,
Fixed-quantity), Education, Target management

Ability todeal withcustomers

Internal
audit ofmanufacturing
process

Social Reportensures our products meet our customers’ needs.
Aiming at enhanced quality assurance and managementthat includes plants around the globe, we will implement
manufacturing practice to fulfill our customers’ demands.

Receiving awards from our customers● Toyota Motor Corporation Hirose Plant(April 19, 2019)“Excellent Supply Quality Award” as aresult of achieving “zero defect of supply
parts.”● DENSO TEN TRADING (TIANJIN) Limited(May 14, 2019)“Excellent Quality Award.” Guangzhou
Plant received this award for the second
straight year.
● Continental Corporation (July 25, 2019)
Continental Corporation announced“Supplier of the Year 2018,” and ourcompany received “Supplier Quality Awardfor 2018” among about 900 strategic
partners.
● Fuji Xerox Co., Ltd. (January 10, 2020)
Recognized as “Premiere Partner” in Fiscal
2020 for the tenth consecutive year.
● DENSO TEN Limited (July 15, 2020)
Received “Excellent Quality Award” for thequality of our delivery.

Customer Satisfaction Survey
Meiko performs a survey every year to measurecustomer satisfaction with its products and services inorder to improve its product and service quality.
In Fiscal 2019, 70 companies answered the survey,
responding to questions about (1) product quality, (2)product prices, (3) product delivery times, (4) service, and(5) technological response.
In their comments, many customers indicatedsatisfaction; some, however, expressed complaints, which
we will take as a guide for the improvement of products
and services as we strive to achieve even greater
customer satisfaction in the future.

Acquisition of ISO9001 andIATF16949 certifications
At Meiko, we have obtained ISO9001 and IATF16949
certifications, which are global standards, and are working
on continuous improvements in quality management● The ISO9001 and IATF16949 certifications we have obtained
ISO9001
May 13, 1997 Meiko Electronics Co., Ltd.
obtained certiﬁcation for its PCBs.
May 1, 2002 Guangzhou Plant in China obtained
certiﬁcation.
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).
Nov. 29, 2006 Wuhan Plant in China obtained
certiﬁcation.
Feb. 20, 2008 Extended certiﬁcation obtainedby Metal Mask Dept.
Jun. 18, 2010 Vietnam Plant obtained certiﬁcation.
Jan. 15, 2014 Ishinomaki Factory obtained
certiﬁcation again.
Apr. 24, 2015 Thang Long Plant obtained
certiﬁcation.
IATF16949
Aug. 9, 2017 Guangzhou Plant in China obtained
certiﬁcation.
Feb. 14, 2018 Wuhan Plant in China obtained
certiﬁcation.
Sept. 14, 2018 Vietnam Plant obtained certiﬁcation.

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

Employee

ISO9001 (Japan)

IATF16949(Guangzhou Plant in China)

s

VOICE
Quality Assurance Section 1,
Quality Assurance Department

Motohisa Miiri
I’m Miiri of the Quality Assurance Division. I
engage in reliability evaluation.
PCBs produced by our company are used for abroad range of purposes in commercially available
products for our daily lives, such as electronic control components mounted on automobiles, smartphones, and digital home appliances. We recognizethat they take important roles as major components.
Assuming how our products are used for commercially available products and their environments, we
conduct multifaceted reliability evaluation to objectively check whether our products can satisfy
required specifications, and estimate quality characteristics for design verification and inspection offinished products, as product assurance.
Not only for product assurance, we conduct reliability evaluation also for inspecting the quality ofeach plant regularly and for proposing materials at
the design stage for products whose reliability
requirements are rigorous, such as in-vehicle products, which have been computerized rapidly inrecent years, to improve design quality.
In addition to in-vehicle products, an increasing
number of products need to achieve high-level reliability. I keenly feel this trend through business operations. We will keep pursuing better quality by utilizing reliability data, so as to provide customers with
useful, safe products.

system.
CSR Report 20206Social Report

PCB Development Activities
Major Activities in 2019

Future Plans

High-speed & High-frequency PCBHigh heat dissipation and Large current PCB

High-density PCB

Package and module PCBs

A new structure, materials and manufacturing
process for heat dissipation PCB

Multifunctional HDI PCB for Automotive
5G application PCB＜PCB technologies for 5G market＞

Communications
infrastructure

Storage device◆High Speed◆High Frequency

For high speed application, HDI technologies PCBs, which are madeof high speed materials, are adopted. In addition, for larger memory
capacity, embedded passive technology are adopted that increase
the number of embedded components inside the PCB.

For communications infrastructure, High layer count HDI
PCBs, that combines Microvias and IVH are adopted. In
addition, these PCBs are consisted of the combination ofhigh speed materials and standard FR-4 materials.

X-section of high-frequency HDI PCB

X-section of embedded passive devices PCB

Package and module

X-section of high speed material PCB

Smartphone◆Package and module PCBs

◆High Density

For communications modules, HDI PCBs produced by finepatterns and small-diameter microvia pads are adopted. We
develop thinner thickness HDI PCBs while miniaturizing patterns
and smaller via lands, so that our products can be adopted formore small and more lightweight devices.

For smartphones, AnyLayer PCBs, which areproduced by combining the fine processing laser
technology and the plating technology, are adopted.

Fine patterns

7

X-section of High Layer Count HDI PCBSmall-diameter microvia pads

X-section of AnyLayer PCB

Social Report＜PCB technologies for the evolution of automobiles＞◆Power Train◆Information and Communication

For junction boxes and battery chargers, heavy copper
PCBs that can release heat effectively and endure large
current are adopted. In addition, we develop heavy
copper through-hole PCBs in which the copperthickness of specific through-holes can be increased

For navigation systems and communication modules, High layer count
HDI technologies and AnyLayer PCBs are adopted, to be capable of aflexible wiring design.

X-section of High layercount PCB

X-section of heavy copper PCB

X-section of AnyLayer PCB◆Safety & Running
For sensors for ADAS (Advanced
Driver Assistance System), hybrid
PCBs, which are made ofhigh-speed material and standard
FR-4, are adopted. Furthermore, wedevelop high-frequency PCBs fornext-generation devices.

X-section of heavy copper
through-hole PCB

X-section of hybrid PCB◆Body Electronics
For LED headlamps, metal base
PCBs, which include heat dissipation insulating resin, are adopted.
For braking and power steeringsystems, copper inlay PCBs, which
secure the heat dissipation routesof heat-generating components,
and bendable FR4-Flex PCBs,
which are for down- sizing, areadopted.

Metal base PCB

Copper inlay PCB

FR4-Flex PCB◆Proposal for downsizing and integration
In preparation for further electrification, we are developing multifunctional integrated power PCBs by
combining the functions for downsizing, enduring large current, releasing
heat, and 3D mounting.
Multi-functional integrated power PCB(Downsizing, Large current, Heat dissipation, and 3D-Assembly)

CSR Report 20208

Social Report

For Business Partners Supply Chain
Major Activities in 2019

Future Plans

Enhanced emergency measures for minimizing procurement
risks induced by natural disaster, COVID-19, etc.

Continue performing BCP/CSR survey and purchasing
audits based on purchasing crisis management
standards

Deepened communication through Suppliers Meeting held in
July 2019

Perform continued investigation for manufacturers forwhom sourcing locations are unknown

Performed an environmental measure survey based on thelatest version of regulations such as REACH regulations<SVHC209 substances>

Promote green-house gas reduction through supply
chain

At Meiko, we have formulated the “Basic Procurement Policy” as a guideline for each of our business partners
to understand our CSR policies and environmental policies. At the same time, we are promoting CSR activities
through cooperation among companies by bolstering initiatives on environmental protection and action.

Basic Procurement Policy
At Meiko, we encourage the continuation of procurement activities based on the “Basic Procurement Policy” and “Action
Guidelines for Purchasing Deals” below. As a basic concept, we at Meiko believe that the most important aspect of our procurement activities is to establish win-win relationships and relationships of mutual trust with our business partners for further
growth as we live in an era in which an integrated supply chain ranging from procurement of materials from business partners to production, distribution and sales is required. We ensure cooperation not only between the production and sales
bases in Japan but also with overseas bases, and select business partners through a comprehensive assessment of quality,
delivery punctuality, price, and management, as well as business continuity in case of an accident and a disaster under thebasic principles of (1) understanding our Basic Procurement Policy, (2) compliance with laws, ordinances, and social norms,(3) environmental protection, (4) exclusion of antisocial forces and (5) RBA (the former EICC) Code of Conduct. In this way,
we are strongly emphasizing CSR practices within our supply chain.

● Basic Procurement Policy

1. Procurement activities optimized for our global production in accordance with the
Action Guidelines for Purchasing Deals

2. Smooth, fair, appropriate procurement activities based on closer communication andstrengthened cooperation with our business partners

3. Strengthened environmental measures (chemical substances/green procurement)
4. Promotion of elimination of conflict minerals based on RBA and surveys on the employmentof young workers

9Social Report

Request to our business partners
In accordance with the measures for the environment included in our Basic Procurement Policy, we are calling for morethan 800 business partners to understand and practice matters concerning the following points in order to protect the global
environment. 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 of measures toensure environmentally friendly procurement. We ask our business partners to implement and recommend green procurement, and also request that distribution and sales activities be undertaken in an environmentally friendly manner. Specificresults of activities for 2019 include enhanced measures for minimizing procurement risks caused by natural disaster, epidemics, etc., surveys on conflict minerals and employment of young workers based on the RBA standard format and environmental measure surveys based on the latest version of regulations such as REACH regulations.

● Request to our business partners

1. Focus on green procurement, compliance with the green procurement standard, provision of
information concerning “eco products”

2. No idling
3. Waste reduction
4. Cooperation with contact in case of an emergency● Action Guidelines for Purchasing Deals (excerpts)

1. To recognize that purchase would produce profits, and always contribute to business administration proactively

2. To always respect decency, keep moderation in good faith, and make efforts to be respected
and trusted by business partners as a member of society

3. To follow related laws and regulations, and operate business fair and square
4. To understand well the purposes of green procurement when selecting materials, etc. andactively carry out environmental protection activities

5. To avoid having a personal stake in business partners and prospective business partners

CSR Report 202010

Social Report●Holding of Suppliers Meeting
At Meiko, we hold a Suppliers Meeting regularly for enriching our supply chain, so that suppliers will understand our management and purchase policies and CSR activities and we will be able to interact and communicate with one another. In Fiscal 2019, we held the meeting in Guangzhou, China in May, and commended business partners who are excellent in QCD (quality, cost, and delivery). In July, we held the completion ceremony of
the third plant in Vietnam and a session for outlining our business, inviting 63 companies and 123 people fromaround the world.

Measures concerning purchasing and procurement
Internal control and compliance
At Meiko, we undertake smooth operations with our business partners by complying with the following rules
on purchasing and procurement activities. We carry out enhanced appropriate, perpetual transactions with ourbusiness partners by undertaking internal training and confirming compliance in relation to adherence to customs regulations, laws, ordinances, and social norms of the relevant regions and nations in our global procurement activities as well as the Act against Delay in Payment of Subcontract Proceeds, Etc. to Subcontractors inJapan.

Procurement policy based on ESG management
Under the Business Principles of Meiko, we put together social issues in the mid/long-term business fields,
which are specified in our mid/long-term vision, with the ESG (environment, society, and governance) framework, and will engage in business activities for the purpose of attaining the SDGs that are considered importantfor Meiko and stakeholders by utilizing our strengths.

11

Social Report

1. Fair, appropriate operations with business partners shall be undertaken through compliance withlaws and ordinances concerning purchasing and procurement activities.

2. Business partners’ information that we obtain through purchasing and procurement activities

shall be kept confidential and the information security system for preventing the leakage of confidential andpersonal information shall be strengthened.

3. Entertainment and gifts from business partners shall be permitted to the extent that would

normally be considered reasonable, and shall be prohibited if such acts result in personal profits.

4. Efforts shall be geared toward eliminating antisocial forces, procurement of conflict minerals and young labor.

Environmental measures (green procurement)
In accordance with the “standards concerning theenvironment,” we encourage environmentally-friendly
purchasing and procurement activities together with

Business

Partner sVOICE

our business partners.
Head of the PCB
Material Business Division,
Asahi Kasei Corporation

Hiroaki Tomita

1. 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 electronic equipment(2) ELV Directive:
A directive adopted by the EU to reduce theenvironmental burdens of end-of-life vehicles(3) REACH Regulations:
EU law for protecting people’s health and theenvironment(4) JIG (1-R):
Legally controlled substances speciﬁed in theguidelines concerning the disclosure of information
regarding chemical substances contained in electricaland electronic equipment(5) Customers’ standards

2. 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.
3. We strive to reduce the discharge of industrial waste andencourage the use of this waste as a valuable resourceby recycling it or using it in other ways together with ourbusiness partners.

Thank you very much for continuously using ourdry film resist.
Recently, people around the world have become
more interested in a sustainable society and sustainable growth of people and the earth, and ourcompany actively engages in CSR activities, underthe ethos: “Contribute to life and living for people
around the world.” Especially, we recognize that the
reduction of GHG emissions is a very important
issue like your company, and strive to reduce wastefrom the production of dry film resist, save energy,
and utilize recyclable packing materials. Also for
performance and quality, we concentrate on thedevelopment of products that would contribute to
the yield of clients and whose environmental burden
is low.
Social issues, including environmental ones, areunavoidable, when enterprises grow. Our company
will sincerely address these issues in cooperation
with your company, while mutually improving corporate value and growing business.

CSR Report 202012

Social Report

For Employees Creation of a Comfortable Working Environment
Major Activities in 2019

Future Plans

Promoted the revitalization of senior workers

Adapt to the changing labor environment

Allocation and exchanges of global human resources

Promote the development of a safe, comfortableworking environment and health improvement

Support for medical treatment and work
Promoted the creation of a comfortable working
environment and system for women

In line with the concept that “the greatest asset of a company is its human resources,” we focus on thecreation of a comfortable working environment that is safe, secure, hygienic for all our employees, respects
their diversity, and allows them to develop.

Respect for diversity
At Meiko, we respect human rights and strive to recruit, evaluate, and treat our employees without discrimination on the basis of race, creed, religion, nationality, age, gender, disability, and other attributes, so that diverse
employees are able to exercise their abilities.

Promoted the revitalization of senior workers

Allocation and exchanges of global human resources

In order to revitalize part-time employees
reemployed after retirement, we adopted the system
for reemployment “based on tasks” in Fiscal 2019.
This system is intended for positioning reemployed
part-time employees as important workforce, maintaining and enhancing their motivation. By narrowing
the gap in wages, which are determined according
to age only, and specifying treatment standards according to tasks after retirement, we pay fine-tuned
wages.

Currently, 22 employees from overseas countries(excluding naturalized employees), including China
and Vietnam, are working at Meiko’s businessestablishments in Japan, while 57 Japanese employees are working overseas. Since Fiscal 2003, wehave been training candidate executives of overseas
subsidiaries by utilizing the programs for training foreign workers and improving their skill. At present, 47
Vietnamese workers are undergoing training at
Fukushima Plant and Yamagata Plant. In addition, 5
employees of Guangzhou Plant and Wuhan Plant in
China are working at the Headquarters, by utilizing
the intra-company transfer system. We transfer personnel and exchange employees between MeikoGroup companies, both in Japan and overseas, todevelop global human resources and stimulate thefurther revitalization of our human resources. (As of
August 1, 2020)

Support for medical treatment and work
In order to support employees working while
receiving treatment for their diseases, we haveestablished flexible work systems, which allow staggered work shifts and flexible work time, while enriching medical leaves.

e s

mployeGlobal E

VOICE

I joined the company as a mid-career worker in 2018.
After joining the company, I was assigned to the domestic sales department, and I’m now incharge of marketing targeted at customers related to in-vehicle devices.
According to the needs of customers, I deal with various tasks, including element technology
development, marketing from the early stage of development, quality monitoring, and scheduling of delivery of mass-produced products. Since customers handle in-vehicle devices, theirrequirements for quality, specs, and turnaround time are rigorous, but I learn a lot every day
while proposing new technologies, ideas, etc. in cooperation with related sections to satisfy
their requirements.
As I was born in Taiwan, I hope to bridge the differences in language and culture between
Japan and Greater China, to contribute to our company.

13

Sales Department 2

Chen Yu Jun

Social Report

Promotion of women’s participation and advancement
The ratio of female employees to total at Meiko has shifted around 17 to 20% level in the past 5 years. As ofthe end of Fiscal 2019, it was approximately 19.5%. The number of female managers is growing year by year.
We will work on changing the mindset of the managers and male employees, as well as reforming the organizational culture including the work style reform as a whole.
●The number of female employees■Persons
160
140

40

149
131

120

117

120

●The number of female managers■Persons

130

31
24

100

40

33

26

20

80
60
40
20
0

2015

2016

2017

2018

2019

・App. 19.5% as of end of Fiscal 2019
(Excluding Group companies)

Parental leave and reduced work hour system
For female employees, a reduced work hoursystem is promoted for those returning from maternity or parental leave. In Fiscal 2019, 6 employees
took parental leave, 1 employee returned to workand 15 used the reduced work hour system (excluding Group companies).

0

2015

2016

2017

2018

2019

・The number of managers including chiefs andabove is increasing yearly(Excluding Group companies)

Promoted the creation of a comfortableworking environment and system for women
As part of the efforts for enriching the welfare of
employees and achieving ESG management, we
completed an in-house childcare center, which has
been promoted since Fiscal 2019, and it was opened
as “Meiko Childcare Center Nobikko” in April 2020.

ndl Leave a r
ParentauoWork H
ReducedE
ser s VOIC
U
m
e
t
s
y
S
Product Technology Section,
Advanced PCB Center

Sei Tagawa

I gave birth to a daughter in May 2017, took a parental leave, and returned to work in April 2018. However,there was not enough time to look after the baby alone
after returning home at the fixed time. Accordingly, I
consulted with my boss, and I was allowed to takestaggered work shifts.
The company has adopted reduced work hoursystem, but I was allowed to take staggered work
shifts, without decreasing my working hours. At home,chores are shared, and my husband drives our child toa nursery school in the morning.
After resuming work, my way of thinking about workchanged considerably. I now always consider whichtasks should be prioritized in a limited period of time
without overlooking anything. I still cannot say that I am
working efficiently, and I often take days off in an
abrupt manner, but my colleagues and people aroundme care for me and warmly watch over me in all
aspects of business operations.

CSR Report 202014

Social Report

Educational Programs●Job-class-speciﬁc training

At Meiko, we provide job-class-specific training to
new recruits, mid-career 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 and cultivating human resources who willachieve our Business Principles in a mid/long-term
vision. In particular, we position training for next generation leaders as a primary task, and promote a oneof a-kind research to extract the shared distinctive
values that must be passed on from the leaders oftoday to those of next generation, and to reflect theseto the training program.
In addition, we offer qualification programs and provide financial assistance with correspondence courses to help our employees with their self-development
and encourage them to obtain technical qualifications,as well as operate PCB schools by external instructors and provide full financial assistance of examination fees for TOEIC Institutional Test.
Moreover, from Fiscal 2019, we are also developing
employees who are able to work globally at the forefront of overseas establishments which are increasing
its importance, by holding a “training in Vietnam for
new employees.”
The number of employees who completed the programs for training foreign workers and improving theirskill, which are intended to cultivate overseas plantstaff, exceeds 300, and they are now flourishing as
plant executives, such as foremen, in their respective
countries.

New Recruits
・ Business simulation training
・Manufacturing and sales hands-on training and problem-solving
Mid-career employees
・ MBA (Meiko Board Academy)・ Cultivation of next-generation management
Managerial employees
・Problem solving capability improvement
・MAPS (Management Academy for Problem Solving)
Department heads
・ President school・Cultivation of an implementer of Meiko’s corporate DNA in orderto produce even greater results●Departmental training
Technical personnel training
・ Meiko PCB school
・ Improve technical abilities of new recruits, mid-career employees,
and core technical personnel
Global training
・ Regular TOEIC Institutional Tests and incentive system
・ English training for selected employees
・ Chinese and Vietnamese language trainings
・ Training in Vietnam for new employees
・ Training foreign workers at overseas establishments andimproving their skill●Self-development
Correspondence courses
・ Subsidize 80% of fees when language courses are completed

Employee safety and health initiatives
We conduct safety and health initiatives at Meikobased on our Industrial Safety and Health Guidelines
for the purpose of eliminating work accidents andimproving the working environment in all workplaces,and encouraging the good health of all employees. To
ensure that problems are found efficiently, not tomention the prevention of work accidents, we havearranged for our workplaces to be audited by industri-

TOPICS
Marriage

Work style, holiday, leave system
15

Marriage holiday

al physicians, industrial health consultants, and otherexperts. In addition, our Safety and Health Committee
members undertake audits of the plants. What ismore, we estimate risks through risk assessments,
based upon which we implement measures to prevent work accidents and improve the level of oursafety and health management.

Lifetime events

Meiko promotes to create environments for employees to work ﬂexibly according to various values and lifetime events.

Pregnancy, ChildbirthMaternity leave
Special holiday forpartner’s childbirthSpecial holiday for
medical check(while pregnant or up
to 1 year afterchildbirth)Childcare〈 Up to 1-year-old 〉
Childcare hour
〈 Up to 1 (in somecase 2)-year-old 〉
Childcare leave〈 Up to 3rd grade 〉

Limit extra-time labor
Limit night work
Reduced working
hour system

Child sick care holiday(5 days/year/child)Nursing care
〈 Up to 93 days 〉

Limit extra-time labor
Limit night work
Exempt from
irregular work
Nursing care leave(93 days max)
Nursing care holiday(5days/year/person)

Retirement
Reemployment
systemSocial Report

For Shareholders and Investors Improvement and Expansion of IR
Major Activities in 2019
Held meetings including results briefings for institutional
investors, analyst meetings, and small meetings, also
made several investor calls
Produced English versions of IR tools for foreign
investors

Future Plans
Continue holding explanatory meetings
Continue globalization and deliver valuable information
for investors

One of the pledges made in our Code of Conduct is:“We will ensure that our corporate activities and management practices are sound and transparent, and wewill continue to be a trustworthy company to our shareholders and investors to generate corporate value.”
Based on this pledge, we are striving to maximize our corporate value by actively engaging in sound, faircorporate 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 the transparency of our management practices.

For foreign investors
In order for foreign investors to have a better understanding of our business activities, we have been promoting the globalization of IR activities, including the production of IR tools in English, such as convocation notice ofthe shareholders’ meeting, presentation documents, shareholders’ newsletter and documents for results
briefing.

Shareholders’ newsletterTo ensure a better understanding of Meiko, we publish the MEIKOREPORT twice a year to provide shareholders with information on Meiko.

MEIKO REPORTCSR Report 202016

Social Report

For Local Communities Social Contribution
Major Activities in 2019

Future Plans

Supported the measures against COVID-19

Create a framework that enables more employees to participate autonomously

Implemented CSR activities addressing local
issues at each site

At Meiko, we encourage social contributions by our Headquarters and group companies to build close relationships with local communities. We will continue to actively participate in environmental beauti¬fication activities and other events organized by the local governments in the various areas. At the same time, we will
ful¬fill our responsibility as a good corporate citizen by encouraging social contribution activities in each local
community.
Wuhan Plant, China

Yamagata Plant● 100,000 face masks sent to the Red Cross in Hannan District, Wuhan● Sponsorship of Yachi Donga Festival● Local clean-up activities● Sponsorship of Kahoku Hokuhoku Festival

Guangzhou Plant, China● Donation of educational goods to 2 local elementary schools● Provision of plant visits and internships for students of local high schools● Participation in blood donation activities (11 participants in February)● Donation of photo news board to neighboring elementary school● Participation in the local activities for the elderly● Participation in the local blood donation activities

Vietnam Plant● Pictures painted for a shrine in Bung Village and sponsorship of a wall repair project● Donation of mid-spring presents to the children of Phung Xa Village● Donation of cakes for the New Year to families in need of financial support in Phung Xa Village● Donation of cakes to the association for supporting visually disabled people in Sơn Tây Village and Thạch Thất District● Donation of cakes to the center for assisting disabled children in Sơn Tây Town
● 10,000 face masks sent to Son Loi Village, Vĩnh Phúc Province

Thang Long Plant, Vietnam

Fukushima Plant● Sponsorship of the Hirono-cho Summer Festival● Participation in the summer festival inside the industrial park
● Participation in blood donation activities● Internships for students of local high schools

Ishinomaki Plant● Participation in Ishinomaki Eco Forum, and local clean-up activities

Headquarters● Donation of 100,000 face masks to Ayase City

● Participation as a member of the social responsibility committee of Thang Long

● Sponsorship of the Ayase Environmental Network

Industrial Park Corporation (TLIP) in Fiscal 2019, and local contribution activities● Sponsorship of Ayase Industrial Festival (commercial and industrial fairs and harvest festivals)● Gifts sent to the impoverished areas of 4 neighboring villages● Operation of the “Fureai-no-ie” managed by the Ayase Council of Social Welfare● Gifts sent to impoverished local households● Sponsorship of fireworks display by the Ayase City Societies of Commerce and Industry● Donation of teaching materials to elementary schools in Bon Ra Village● Sponsorship of the spring game of the Ayase City Children’s Baseball Foundation and the Meiko Cup● Support of the project for setting pipes for supplying municipal water to elementary schools in Dai Mack Village● Sponsorship of the Kanagawa Prefecture’s Skills Competition for People with Disabilities, Abilympics 2019

● Provision of scholarships for 120 excellent students in the industrial park and nearby 4 villages● Donation of “Prevention of car accident campaign” leaflets to neighboring elementary and middle schools

Action Activities for assisting disaster victims: To support measures against COVID-19
1
We donated face masks at each site to support measures against COVID-19. Wuhan Plant sent 100,000
face masks to the Red Cross in Hannan District, Wuhan, the headquarters donated 100,000 face masks produced at Guangzhou Plant to Ayase City, and Thạch Thất Plant in Vietnam distributed 10,000 face masks to nearby villagers.

17

Social Report

Action Activities for supporting the education of young people
2
At Thang Long Plant in Vietnam, we provide 120 students in 4 neighboring villages with scholarships.
Thạch Thất Plant in Vietnam and Guangzhou Plant donate teaching materials to local elementary schools.

Action Social welfare activity
3
At Thang Long Plant in Vietnam, we donate New Year cakes, etc. to underprivileged households, the association for supporting visually disabled people, the association for assisting disabled children,etc. Guangzhou Plant supports activities for supporting elderly people in local areas.

Action Local contribution and environmental protection
4
At Thang Long Plant in Vietnam, we support the project for installing pipes for supplying municipal
water to elementary schools. At Thạch Thất Plant, we support the project for repairing the walls of a shrine. 50 employees of our corporate group donated blood.

CSR Report 2020

18

ENVIRONMENT REPORTENVIRONMENT REPORTAt Meiko, we believe that minimizing the environmental
burdens of our business activities is our mission andour responsibility as a company helping to achieve asustainable society.

Major Activities in 2019

Future Plans

CO 2 emissions increased slightly comparedwith the previous year

Reduce energy per production volume by 1%
or moreAdded eco-friendly cars to the company-owned
vehicle fleet

Promote the replacement of fluorescent lamps
with LED lamps

Maintained a 99% or higher waste recycling
rate (Plants in Japan only)

Strive for 100% waste recycling rate
Follow the RoHS II Directive, and conduct thorough supplier surveys

Employed systems such as our waste
exchange system to utilize disused items
Stayed abreast of the added SVHCs and performed supplier surveys

Basic Environmental Plan
“Meiko recognizes that protecting the global environment andcommitting to maintaining clean air/water and greenery are criticalresponsibilities 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.”

Preventionof Global
Warming

CyclicalUse ofResources

Prevention ofContaminating
the Ecosystem●Environmental Action Guideline
Meiko’s businesses include the patterndesign and manufacturing of printed wiringboards and the manufacturing of metal masks,
as well as the development and manufacturingof electronic devices. We consider the
implications of these activities for theenvironment, and emphasize the importanceof reducing their impact in terms of preventionof global warming, cyclical use of resources
and prevention of contaminating theecosystem.
In accordance with the Basic Environmental
Plan, we fully comprehend the impact ourbusiness activities have on the environment.
We make every effort to prevent environmental
pollution and reduce the environmental
burdens through the following measures:

1. We have established a structure for strengthening our environmental conser-

vation activities, and we develop and revise our environmental management
system, operate the system appropriately to reduce our impact on the environment, and work continuously to improve both.
２．We contribute to environmental conservation by making efforts to conserve
resources, save energy, reduce waste, and encourage recycling.

３．We will properly manage chemical substances contained in products so thatthe products do not contain harmful chemicals.

４．We properly manage chemical substances in the production process to limit
their usage and reduce their environmental impact.

５．We fully comprehend the impact of environmental pollutants work to prevent
environmental pollution.

６．We observe all laws, regulations, ordinances, and other requirements concerning the environment.

７．We set environmental goals and objectives, conduct environmental protection
activities, and strive to improve these activities.

８．We provide training and instruction to all our employees with the aim of instilling a strong awareness of environmental protection activities in them.

９．We are documenting this environmental policy and distributing it to all our
employees, and are also making it available to the public.

October 19, 2017 President & CEO

19

Yuichiro Naya

Environmental Report

System for complying with environmental laws and ordinances
To implement our Basic Environmental Plan, we have established an ISO environmental management system,and have appointed a person responsible for controlling the environmental management system (EMS) at
each plant in Japan and overseas. We also strive to protect the environment through CO2 reduction, zero
emissions activities, etc. conducted by 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 Secretary

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
Thang Long Plant

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

ISO14001 Promotion Secretariat at Headquarters● Management concerning ISO14001● Promotion of environmental improvement•Energy conservation•Waste reduction

Acquisition of ISO14001 certification

General Manager Responsible for
EMS and Head of the
Quality Assurance Division

Shinji Ueki

Under our Environmental Plan, we promote the saving ofresources and energy, the reduction of waste, and recycling,
and appropriately manage chemical substances contained in
products and used in production processes, to reduce theconsumption of them and reduce environmental burdens on adaily basis. Recent climate change and environmental destruction may affect corporate activities. As ESG investment has
grown globally and Sustainable Development Goals (SDGs)
have been diffused rapidly, enterprises’ stances are now strictly
tested.
Our company, too, upholds “the promotion of ESG management” as our group policy, and tries to conduct investment forproceeding with such activities, reducing waste, and recycling
materials. In addition, in order to keep complying with environmental laws and regulations, we produced the understandable
versions of environmental laws and regulations, so that thestaff of domestic plants and related offices can supervise theiractivities.
In order to protect the earth environment, we will strive to
reduce environmental risks, create environmentally friendly
products, and contribute to society.

We view ISO14001 as an important standard forenvironmental management, began to take action
toward obtaining certification in Fiscal 2000, andhave since continued these initiatives at our plants inJapan and overseas.
●Our acquisition of ISO14001 certiﬁcation
Mar. 27, 2001 Headquarters and Advanced PCB Center
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 the three Factories in Japan
Apr. 22, 2005 Extended certiﬁcation obtained by M. D. Systems Co., Ltd.
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 Meiko Research andDevelopment Center, Yamato Technology Center
Jun. 18, 2010 Extended certiﬁcation obtained by Thach That Plant in Vietnam
Jan. 15, 2014 Ishinomaki Factory obtained certiﬁcation again
Apr. 24, 2015 Thang Long Plant in Vietnam obtained certiﬁcation
Jan. 27, 2017 All plants completed transition to 2015 version of ISO14001* The factories in Japan obtained certiﬁcation from Japan Electrical Safety &Environment Technology Laboratories (JET). The plants in China obtained
certiﬁcation from TUV Rheinland. The Vietnam Plant obtained certiﬁcation from
Bureau Veritas Certiﬁcation (BVC).

CSR Report 202020

Environmental ReportComplying with environmental laws and ordinances
Environmental laws and ordinances have been amended due to increasing awareness of environmental impact.
We believe that ensuring our compliance with all the amended laws and ordinances of individual regions will leadto our contribution to environmental protection in each local community. In accordance with ISO14001, we identify
the laws and ordinances of individual regions that are related to our business activities, and watch for any amendments to ensure full compliance.

Promotion of environmental targets plan
Meiko conducts an assessment of the environmental impact of our corporate activities. As a result, we foundthat the types of energy that have a significant impact on the environment are electricity, heavy oil, gas, and gasoline. Also closely related to environmental impact are resources such as raw materials, water, and paper, andwastes, including plastic waste, sludge, waste acid, and waste alkali. In Fiscal 2019, we reset the benchmark andtargets and continued action toward the new targets. We will continue to improve production efficiency andconduct further energy-saving initiatives to achieve steady reductions in per production volume metrics.

Prevention of Global Warming
Meiko views the issue of greenhouse gases as a significant
threat to our precious earth. Efforts to prevent global warming constitute energy saving activities to reduce the amountof CO2 emissions generated from energy consumption.
We have formulated and promoted the annual plans andthe medium-to-long term plan to reduce the amount of CO2
emissions in accordance with laws and regulations not onlyin Japan but also in overseas plants, through which we
promote global activities to prevent global warming.
In Fiscal 2019, we conducted further energy saving activities at Plant and Administration Divisions. While someindividual improvements were achieved, we could notachieve the target for reduction in energy per production
volume as a whole, due to fluctuation in production volume.
We will continue our efforts to reach the goal of energy
saving.

21

Energy Saving Committee

Environmental Report●Changes in the amount of our CO 2 emissions●Changes in our electricity consumption■Total amount of emissions (1,000 tons of CO 2 )■Total consumption (Million kWh)

(Based on the figure for Fiscal 2015 set to 1.0)

Rate of consumption per
production volume(Based on the figure for Fiscal 2015 set to 1.0)

Rate of consumption per
production volume

600

2.0

600

2.0

450

1.5

450

1.5

300

1.0

300

1.0

150

0.5

150

0.5

0.0

0

0

2015

2016

2017

2018

2019

2015

2016

2017

2018

2019

●Changes in our fuel oil consumption●Changes in our natural gas consumption■Total consumption (1,000L)■Total consumption (1,000 m3)(Based on the figure for Fiscal 2015 set to 1.0)

Rate of consumption per
production volume

6,000

0.0

(Based on the figure for Fiscal 2015 set to 1.0)

Rate of consumption per
production volume

2.0

12,000

4,500

1.5

9,000

1.5

3,000

1.0

6,000

1.0

1,500

0.5

3,000

0.5

0.0

0

0

2015

2016

2017

2018

2019

●Changes in our gasoline consumption(Based on the figure for Fiscal 2015 set to 1.0)

■Total consumption (1,000L)

Rate of consumption per
production volume

200

2.0

150

1.5

100

1.0

50

0.5

0

2015

2016

2017

2018

2019

2.0

2015

2016

2017

2018

2019

0.0

* Results of the Vietnam Plant are included in the data since Fiscal 2012, I
shinomaki Plant since Fiscal 2013, and Thang Long Plant since Fiscal 2016, respectively.
* Although the volume of energy consumption has recently increased due to growth inproduction volume, the rate of consumption per production volume remains unchanged.

0.0

Examples of energy saving improvements
Improvement example at Advanced PCB Center
The Advanced PCB Center used to use
steam boilers (Bunker A) as thermal sources
for humidifying lamination press machinesand clean rooms, but we switched to gas
boilers in January 2020.
By changing fuel from heavy oil to city gas,
we reduced the emissions of NOx (nitrogenoxides) and curbed the emissions of CO2,
contributing to the reduction of environmental burdens.

Results

Reduction amount of CO2 emissions per year: 75 tons (reducing CO2 emissions by 15%)CCSR Report 202022

Environmental Report

Cyclical Use of Resources
Water consumption●Changes in our water consumption

A large amount of water is used in the manufacture of PCBs
for cleaning. We have reduced the amount of water used bymanaging the amount used at each facility and using reverse
osmosis (RO) water*.
We continue to carry out efforts to use the minimum amountof water required to maintain product quality in each process
and to use discharged water through the introduction of a RO
concentrated water system. These efforts have proven effective in achieving reductions.

■Total consumption (1,000 m3)(Based on the figure for Fiscal 2015 set to 1.0)

Rate of consumption per
production volume

14,0002.0

10,500

1.5

7,000

1.0

3,500

0.5

0

*RO water refers to water purified using reverse osmosis. It is used for cleaning the PCBs.

2015

2016

2017

2018

2019

●Changes in our photocopying paper consumption(Based on the figure for Fiscal 2015 set to 1.0)

Paper consumption

Rate of consumption per
production volume■Total consumption (1,000 m3)

We have been making comprehensive efforts by employing
electronic media for all company data, eliminating unnecessary copying, introducing electronic certification system, etc.,
to help protect forest resources.

20,0002.0

15,000

1.5

10,000

1.0

5,000

0.5

*From Fiscal 2018, the figures of Vietnam Plant and Thang Long Plant are added.

0

Reduction and recycling of waste

2015

2016

2017

2018

2019

We have been reducing waste based on the 3R strategy(reuse, reduce, and recycle). Continuing on from Fiscal 2018,
efforts were actively made to recycle waste into valuable
resources. The recycling rate of waste, the percentage of
waste that was used for purposes other than landfill, exceeded 99% at our plants in Japan in Fiscal 2019.
*“Recycling” above includes thermal recycling*The recycling rates at our plants in China (Guangzhou and Wuhan) and Vietnam(Vietnam and Thang Long) are excluded.

Examples of waste reduction efforts
Internal resource recovery
We collect resources from some industrial wastes generated in ourplants through treatment plants and facilities established within thepremises of the Company.
1. Collecting gold from gold plating waste liquid
２．Collecting copper from soft etching waste liquid
３．Collecting copper carbonate and copper sulfate generated
from copper collected from etching waste liquid

The cyclical use of resources prevents the exhaustion of natural
resources and contributes to the protection of the global environment.

23

0.0

Photo: Soft etching waste liquid processing
equipment in Guangzhou Plant.

0.0Environmental Report

Prevention of Contaminating the Ecosystem
Measures for reducing environmental burdens
Meiko is aware of the significance of the impact of its plant operations on the local environment and believes it
has a duty to reduce these burdens. Specifically, we comply strictly with laws and ordinances for preventing pollution and the standards agreed on with local communities. We are also striving to reduce the total emissions, water
consumption, and paper consumption confirmed in accordance with the PRTR Act.

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 bymeasuring them on a regular basis to help maintain the local environment. The table below shows the levels of thesubstances we have emitted from our plants, all of which are below the standard.
Water quality

Plant
name

Advanced
PCB
CenterFukushima
Factory

Yamagata
Factory

Ishinomaki
Factory

Guangzhou
Plant

Wuhan
Plant

Vietnam
Plant

Thang Long
Plant

Atmosphere

pH

BOD

COD

SS

Measurement
unit

-

mg/L

mg/L

mg/L

Actual value

7.22

10.1

16.3

-

Substance

Soot and
dust
concentration

Nitrogenoxide
concentration(NOx)

Measurementunit

g/m 3 Nv/v ppm

Actual value

0.002

54

Equipment

Steam boiler

1800.3Standard value
Air Pollution Control Act Air Pollution Control Act
Measurement
v/v ppmg/m 3 N
unit

Standard value

5.7 〜 8.6

25

25

70

Measurement
unit

-

mg/L

mg/L

mg/L

Actual value

7.3

10.7

7.8

1.1

Standard value

5.8 〜 8.6

25

25

70

Standard value

Measurement
unit

-

mg/L

mg/L

mg/L

Measurement
unit

Actual value

7.4

8.2

15.1

15.7

Steam boiler

Steam boiler

Actual value

Actual value

5.8 〜 8.6

25

160

60

Measurement
unit

-

mg/L

mg/L

mg/L

Actual value

7.3

16.1

16.8

4.3

Standard value

5.8 〜 8.625(20)

160(120)60(50)

Standard value

Measurement
unit

-

mg/L

mg/L

mg/L

Measurement
unit

Actual value

7.65

5.9

71.0

19.5

6〜 9

300

500

400

Measurement
unit

-

mg/L

mg/L

mg/L

Actual value

7.78

6.6

24.8

17.2

Standard value

6〜 9

20

80

57

180
0.3
Air Pollution Control Act Air Pollution Control Act
g/m 3 Nv/v ppm

0.005

66

180
0.3
Standard value
Air Pollution Control Act Air Pollution Control Act
Measurement
v/v ppmg/m 3 N
unit

Standard valueStandard value

0.005

Steam boiler

BoilerActual value

Actual value

0.023

49

180
0.3
Air Pollution Control Act Air Pollution Control Act
mg/m 3 N

mg/m 3 N

16.43

135.28

Standard value National Std:100
Local Std:80
Measurementmg/m 3 N
unit

400
mg/m 3 N

Actual value

19.5

14

50

Standard value

50

400

Measurement
unit

mg/m N

mg/m 3 N

Actual value

41.9

62.40

Steam boiler

Measurement
unit

-

mg/L

mg/L

mg/L

Actual value

7.58

8.8

15.9

5.5

Standard value

6〜 9

30

75

50

Standard value

200

850

Measurement
unit

-

mg/L

mg/L

mg/L

Measurement
unit

mg/m 3 N

mg/m 3 N

Actual value

7.23

9.4

28.3

6.3

Actual value

40.82

63.64

Standard value

6〜 9

30

48.6

50

Standard value

200

850

BoilerBoiler3* The water quality measurement items are partial disclosures of the living environment items of the Water Pollution Control Act.
* The water quality measurement values are average values.

CSR Report 202024

Environmental Report

Table showing environmental burdens
At Meiko, we take measures to gain an understanding of the full scope of our environmental burdens. The tablebelow shows our environmental burdens for Fiscal 2019. 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.

Environmental burdens of our business activities
Scope: Headquarters and the 8 major plants. Period: Fiscal 2019 (April 1, 2019-March 31, 2020) Outline of business: Manufacture of PCBs
Energy input

In putElectricity
Heavy oil
Natural gas
Light oil
Gasoline

Out put

（kt）
（ｔ）
（ｔ）
（ｔ）

Water
（k㎥）
10,063
Photocopying paper (thousand sheets) 15,196

PRTR substances

Water discharge

Atmospheric release
CO2 emissions
NOx emissions
Soot and dust
PRTR substances

Chemical substances

Resources（1000kWh) 586,459
（kℓ）
4,935
（k㎥）
9,501
（kℓ）
3
（kℓ）
70

554
139
9.5
4.8

PRTR substances

（ｔ）

（ｔ）

375

Chemical substances
Amount of waste generated （ｔ）
PRTR substances
（ｔ）

0.27

3,925
20

(only in Japan)

Management of Chemical Substances Contained in Products
In accordance with our Environmental Action Guideline, we strictly manage our production process in accordance with our chemical substance control rules that stipulate prohibited substances to ensure that our products do not contain hazardous substances prohibited by the RoHS Directive and other laws and regulations.
We request that our business partners submit environmental data such as Guarantee of Non-Use of Environmentally Hazardous Substances and analysis reports, so that we can properly communicate this informationin response to our customers’ requests for research.

●Management system for chemical substances contained in product
Meiko
Environmental contract• Chemical substance control forpurchased goods
Business(Green procurement standard)partners
Environmental data
• Environmental assessment ofbusiness partners
Guarantee of non-use• Environmental data management
Tables of ingredients Analysis reports• Product environmental survey
Environmental audit

Environmental demands
Communication of information

Customers

Management of Chemical Substances Contained in Products＊RoHS Directive: Restriction by EU on use of speciﬁc hazardous materials found in electrical and electronic products＊ELV Directive: Directive implemented in EU to reduce the environmental burden caused by the end-of-life vehicles＊REACH Regulation: EU law to protect human health and the environment

Employees

VOICE

A variety of wastewater is discharged from production processes to thewastewater processing plant in the Advanced PCB Center.
Chemical substances are added to the discharged wastewater, andappropriate management is conducted, to reduce environmental burdens.
These days, it is difficult to entrust outside organizations with waste andEnvironmental Protection
Section,
Advanced PCB Center

Yoshiyuki Seki

25

valuable substances, so we will promote the reduction and recycling ofwaste, to contribute to environmental protection.
We will keep our environmental policies and carry out our business.

Environmental Report

TOPICSMEIKO Solar Park Fukushima
Operation of the Power Plant No. 2
After the Great East Japan Earthquake, our Fukushima Plant started photovoltaic power generation in June 2015 at “MEIKO Solar Park Fukushima” using the unused land within its
premises located in Hirono-Cho, Fukushima Prefecture. Through solar power generation, we
contribute to the diffusion of renewable energy which is promoted by Fukushima Prefectureand Hirono-cho, as well as to the realization of a sustainable society.
The Power Plant No. 2 was additionally built in 2017. Generation capacity is 3MW (megawatt)and the annual generation is 3,200,000kWh, equivalent to the annual power consumption of 880
typical households. This covers the power source for more than one third of the total households
at Hirono-cho, which is a step towards a sustainable society, in addition to restoration and development of the local Fukushima area. In the future, we will promote the use of the generated
power within our company’s facility.
●Overview of MEIKO Solar Park Fukushima
Installation area

41,454㎡

Number of solar
panels installed

11,788Generating capacity

3,026KW

Estimated annual
power generation

3,200MWh(Annual power consumption of 880 typical households)

Power generation
start dateJune 10, 2015

●Photovoltaic power generation capacity
10,000kWh
350
300
250
200
150
100
50
0

2009/9 2010/9 2011/9 2012/9 2013/9 2014/9 2015/9 2016/9 2017/9 2018/9

MEIKO Solar Park Fukushima

CSR Report 2020

26

MANAGEMENT REPORTTo ensure that operations are efficient and appropriate,
Meiko has improved its transparency and established amanagement framework that will earn the trust of its
stakeholders, establishing a system that allows audits
and internal control to function appropriately.

MANAGEMENT REPORT

Corporate Governanceside auditors who are highly independent from and haveno special stake in our management, and reinforce our

Corporate governance system

audit and supervision functions towards the management.

Meiko is a company with the Board of Auditors, along

The Board of Directors consists of 8 Directors, 3 of whomwith the Board of Directors and accounting auditors. As forare outside directors. Out of the 3 auditors, 2 are from out-

Directors and auditors, we invite outside directors and out-side. (As of June 24, 2020)● Corporate Governance System at Meiko
Shareholders’ Meeting
Appointment/Dismissal

Appointment/
Dismissal

Board of Directors<Audit Function>

Risk Management andCompliance Committee

ReportPresident & CEO
ReportInstruction

Executive Officers and Division Heads

Risk Management and Compliance Office
Contact Point for Whistle-Blowing

NotifyDivisions, affiliated companies,
employees

Instruction

Internal Audit Office

Supervision

Board of Auditors

Cooperation

ReportSupervision

Accounting Auditor

Internal Audit
Internal Control and Audit

Internal Audit
Internal Control and Audit

Outside Law Office

New Director’s Message

Outside Director

Yosuke Nishiyama

27

Appointed at the Shareholders’ Meeting in June 2019, I currently serve as an
outside director.
As it is now essential for enterprises to establish corporate governance, I give
objective opinions and proposals actively as an independent outside director, inorder to enhance corporate value for the benefits of stakeholders, including shareholders, customers, and business partners, based on my humble long-term experiences of manufacturing, technology, and business administration.
The changes in the environment surrounding us are always dynamic and sometimes go beyond our imagination like COVID-19. In this situation, I will make every
possible effort to improve our company while keeping in mind “continuous
improvement in productivity” and “maximization of competitiveness,” which would
boost growth, and “minimization of risks,” which is the most important under unfavorable conditions. I would appreciate your continued support.

Management Report

Internal Control
Major Activities in 2019
Updated and evaluated internal control based on
Financial Instruments and Exchange Act (J-SOX)(Subsidiaries in China, Vietnam and U.S.A. were
subject to internal control)
Audit by Internal Audit Division and correction

Future Plans
Evaluate internal control based on Financial Instruments and Exchange Act
Implement internal audit and correction
Appropriate cooperation among auditors,
accounting auditors and Internal Audit Division toensure eﬀectiveness of internal control

Meiko’ s corporate governance system includes external directors, auditors as corporate monitoring
function, accounting auditors, and the Internal Audit Division for ensuring fair management and highlevel of transparency. These coordinate with each other to establish corporate governance. Internal control, as part of corporate governance, is essential for ensuring increased management efficiency and thefairness of all company activities. The effectiveness of Meiko’ s internal control is evaluated, and theresults of these evaluations are used to make further management improvements. This is our mission to
fulfill our corporate social responsibility and we, as the Meiko Group, will promote these activities.

Internal control system

Internal control concerning financial reporting

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

Under its Basic Policy on Internal Control System
and according to the Practice Standards for Management Assessment and Audit concerning Internal
Control over Financial Reporting set by the Financial
Services Agency, Meiko developed policies and plansconcerning the policy, procedures and methods forevaluating our internal control, the framework of evaluations, the scope of evaluations, evaluation schedules and recording and storage of evaluation results,
and we have set a framework for evaluations led bymanagement. In line with these policies and plans,following Fiscal 2018, we evaluated the effectivenessof our company-wide internal controls (including
account settlement and financial reporting processes)that could have a substantial effect on our consolidated financial reporting once again in Fiscal 2019.
As a result of this evaluation, we stated that “Ourinternal control over financial reporting has beeneffective” in our internal control report for Fiscal 2019and received appropriate opinions from our auditors.

● “Basic Policy on Internal Control System” for Fiscal 2020

1. A system for ensuring compliance within MeikoGroup

2. A system for storage and management of information concerning the execution of duties by
our Directors

3. A system regarding risk management within
Meiko Group

4. A system for ensuring that the duties of MeikoGroup Directors are executed eﬃciently

5. A system for ensuring proper operations by the
Meiko Group

6. A system relating to employees who will assist
the auditors with their duties

7. A system for reporting to auditors● Internal Control of the Meiko Group in Fiscal 2019
Internal Audit Division●

8. A system for ensuring the eﬀective execution ofaudits by auditors

Assistance inimproving internal
control,
preparations forevaluations andcreation ofreports

Board of Directors
Passing resolutions
on internal control
policies● Passing resolutions on the
improvement/promotion ofinternal control●

Board of Auditors●

Audit and validationof the effectivenessof internal control

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

Group companies’ departments responsible for implementing internal control
CSR Report 202028

Management ReportCompliance
Major Activities in 2019
Distributed monthly compliance e-mail newsletter
Put up posters about compliance
Compliance awareness survey

Future Plans
Response to the “Power Harassment Prevention
Act,” which was enforced in June 2020
Education of managers and leaders about harassment
Revision of Compliance Handbook

Meiko positions compliance as a critical aspect of management. Our corporate activities
comply with laws and ordinances, social norms and corporate ethics. To promote compliance,
our activity standards are codi¬ed in the Corporate Charter of the Meiko Group and the Codeof Conduct of the Meiko Group, and the framework of our activities is explained in our Risk
and Compliance Regulations.
Compliance posters

Compliance Handbook

To further raise the consciousness of compliance,
we put up posters.

In order to raise awareness of compliance, theCompany’s own unique Compliance Handbook is
distributed to all executives and employees. The
contents are also posted to the in-house website todisseminate the information.

Compliance e-mail newsletter
Monthly newsletter is distributed electronically.

Compliance Handbook

Compliance awareness survey

Posting compliance cases to the in-house website
Every month, an example of compliance case isintroduced and explained with illustrations on
in-house website.

29

By utilizing the results of “an anonymous awareness survey” conducted by a research firm, we carried out “a compliance awareness survey” in November 2019, for the purposes of “conducting objective,
quantitative measurement” and “finding underlying
problems.”

Management ReportCompliance education through e-learning
Contents to prevent harassment at workplace,etc. are provided through e-learning. The aim is toensure good working environment and to raiseawareness within the company.

ICE hargeVOrson in Cfrom Pe

Deputy General Manager of theGeneral Affairs Group
Human Resources &General Affairs Department

Naoki Saito

Eliminating antisocial forces
It is stated in the Corporate Charter that Meikorefuses to have anything to do with any antisocial
forces including gangsters. We work in close cooperation with external dedicated institutions such as
the police and the National Center for Removal of
Criminal Organizations to resolutely eliminate antisocial forces.

The business environment for companies is changing
and growing more complex. Compliance activities are
essential for a corporation to survive in this era. MeikoGroup has large-scale manufacturing sites in China andVietnam, as well as sales bases in the Americas,
Europe, and ASEAN countries, with over 10,000 employees working around the world. To ensure compliance with laws and ordinances throughout the company as an organization, awareness and actions of eachand every member are important. We aim to convey
the philosophy adopted in the Corporate Charter andBusiness Principles to all employees in a readily understandable manner.
In Fiscal 2019, in addition to initiatives implemented
so far, we also grasped employees’ awareness of compliance at their workplaces, their working environment,
etc., systematically gauged the factors in organizational
climate and morals, and surveyed the awareness ofcompliance for specifying the guidelines for future compliance measures. We will keep responding to thediversifying social environment and foster corporate
climate based on compliance.

Introduction of the helpline
We set an internal desk and an external desk (law office) for receiving whistle-blowing. Upon receiving a
notification or the like, we will investigate the case and facts, and if we confirm an act that is subject towhistle-blowing, we will immediately implement corrective measures and recurrence prevention measures.
We also formulated whistle-blowing regulations, so that none of whistle-blowers, cooperative employees,
and others will suffer detrimental treatment, and if there is anyone who has unfairly treated or harassed
whistle-blowers or the like or anyone who is involved with whistle-blowing or who obtained information onwhistle-blowing discloses information on whistle-blowing without any reasonable grounds, disciplinary
action will be taken in accordance with in-house rules.
●Helpline Flow
Whistleblower

Internal Reporting Contact 1

External Reporting Contact

Internal Reporting Contact 2(Available in English, Chinese, Vietnamese, etc.)

Administrative Section Chief

AuditorCommittee Chair

Risk Management and Compliance Committee(Including Directors and Auditors)

CSR Report 202030

Management Report

Information Security
Major Activities in 2019
Maintenance of ISO27001 certification

Future Plans
Update of ISO27001 certification

Our business is the manufacture and sales of electronic PCBs. To continue our business, we believe that it is essential that our customers have faith that we properly manage customers’ important
information. As a company-wide initiative on information security, we have obtained ISO27001
certi¬fication in Information Security Management System (ISMS), with which we will establish,
maintain and strengthen information management systems with our customers.
● Information Security Policy
Based on our Business Principles, we implement measures tostrengthen our information security system in order to protect ourcustomer information and information assets from threats including fraudulent access, disasters, criminal acts and cyberattacks.
We also take steps to raise awareness about information security
amongst the management and employees. Considering that theabove-mentioned information security risks as one of the risks we
may face, we have set out the following policies on information
security and declare that, in line with our Business Principles, allmanagement and employees should devote concerted efforts toimplementing these policies.
1. We pursue continuous improvement in our information security system.
2. We provide every protection for our information assets andcontinuously enhance the information management function.
3. We comply with laws, ordinances, and norms and fulfill social responsibilities.
4. We conduct continuous education and training for the management and employees.
5. We swiftly respond to a problem as soon as it occurs andconduct risk management practices.

Protection of customer information
We take comprehensive measures to protect theconfidential information of our customers in accordance with our Information Security Policy.

To comply with the Act on the Protection of Personal Information and to handle personal information
appropriately, Meiko has adopted the “Personal
Information Protection Regulations.” Based on theseregulations, we handle information with particularcare.

Information security initiatives
At Meiko, we receive important information from
customers. We therefore recognize the importanceof information security. Since the initial certification in
2006, we have been extending the coverage of certification step by step to reinforce the information
management system.
January 2006

The Information System Division of our Headquarters
obtained BS7799-2 certification.

October 2009

Four applicable departments at Wuhan Plant in China
obtained the certification.

December 2010
December 2016
September 2017

Six applicable departments at the Guangzhou Plant in
China obtained the certification.
Coverage in Japan extended.
Three applicable departments at Vietnam Plant obtained
the certification.

Information security education

November 2018

At Meiko, we hold an annual training program on
information security through e-learning and group
lectures so as to ensure that internal rules are thoroughly complied with.

Drill against targeted e-mail attack

Information security lecture

31

Protection of personal information

Coverage in Japan extended.

To raise the risk consciousness of information
security, a drill has been implemented every year
since Fiscal 2017 as a simulation for targeted e-mailattack by sending a sample e-mail to all e-mail users
based in Japan. We plan to practice this type of drill
in the future on a regular basis.

Management Report

Risk Management
Major Activities in 2019

Future Plans

Preparation and increase of emergency stock

Consideration of BCP to deal with all kinds of risks

Safety Confirmation Service drill(practiced every year)

Renewal of BCP materials
Safety Confirmation Service drill(practiced every year)

Meiko has created a set of Risk and Compliance Regulations, and also BCP Basic Policy andEmergency Manual thereunder, which assume a variety of risks associated with environments,
disasters, quality and information security. We have also created a Business Continuity Plan (BCP)
for each of our plants to minimize impact on the customer’s production plan in preparation for emergencies. As a measure to prevent information-related risks, we constantly back up our data at
Headquarters and data centers outside the company.
In the event of a disaster or accident, we will immediately set up an Emergency Headquarters led by
the President & CEO, and we have prepared an organization to identify the cause, assess the situation and take comprehensive future measures, to quickly cope with risks and prevent reoccurrence.
Types of crises and risks

Construction of Group BCP

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 at overseas bases relating to politics, economy, and infrastructure. Meiko has created
the Business Continuity Plan (BCP) for each site inpreparation for emergencies. These plans describe
various measures against relevant risk factors, ranging from a consideration of risk prevention measures
to post-disaster recovery work. We also reinforce
our risk management system through ERM (Enterprise Risk Management) activities.

Meiko conducts business impact analyses of various risk factors, and creates manuals for each sitesetting the recovery time objective (RTO) and simulating initial emergency response systems. We willcontinue to regularly perform BCP reviews as well as
simulation drills, prepare equipment and supplies,
and raise the awareness of employees in order toensure that BCP can be carried out smoothly.

Assistant Chief
Risk Management andCompliance Committee
Administrative Section

Local response headquarters

Group in charge of recovery

Group in charge of operations measures

Group in charge of general affairs and human resources

We introduced a safety confirmation system for all
employees in Group companies in Japan, as well as
employees stationed overseas, in order to confirm
the safety of employees and convey information in
the event of an earthquake with a seismic intensity of
5 lower or higher, or other disasters or accidents.
We periodically perform company-wide educational
training to ensure effective use of the system in theevent of disasters.

Chief of Emergency Headquarters (President & CEO)Group in charge of collection of company-wide information

Introduction of employee safety confirmation system● Emergency Headquarters

Division in charge of individual risks

CSR Report 202032

Corporate Profile (as of September 30, 2020)
Headquarters

Established November 25, 1975

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

CapitalProduction Sites ● Advanced PCB Center
5-14-15, Ogami, Ayase, Kanagawa, Japan 252-1104

12,888 million yen

Executives（as of November 1, 2020）● Fukushima Factory

1-2, Iwasawa, Kamikitaba, Hirono-cho, Futaba-gun, Fukushima, Japan 979-0401● Yamagata Factory

250, Maki, Yachi, Kahoku-cho, Nishimurayama-gun, Yamagata, Japan 999-3511● Ishinomaki Factory

8-5, Shigeyoshi-cho, Ishinomaki, Miyagi, Japan 986-0844● MEIKO Research and Development Center

3-35-6, Sugikubo-minami, Ebina, Kanagawa, Japan 243-0427● China 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● China Wuhan Plant (Meiko Electronics (Wuhan) Co., Ltd.)No. 9 Shenlong Road, Wuhan Economic and Technological Development Zone, Hubei Province, P. R. China● Vietnam Plant（Meiko Electronics Vietnam Co. ,Ltd.）

Lot LD4, Thach That -Quoc Oai Industrial Zone, Hanoi City

● Thang Long Plant（Meiko Electronics Thang Long Co., Ltd.）

Lot J1-J2, Thang Long Industrial Park,Vong La Commune,
Dong Anh district, Hanoi City

President & CEO

Yuichiro Naya

Director and Senior Managing
Executive Officer

Masakuni Shinozaki

Director and Managing
Executive Officer

Takahiro Matsuda

Director and Managing
Executive Officer

Junya Wada

Director

Yoon Ho, Shin

Director

Nao Tsuchiya

Director

Yosuke Nishiyama

Director

Takashi Harada

Director

Toshifumi Kobayashi

Senior Corporate Auditor

Toyohiko Tsuyuki

Audit & Supervisory Board
MemberTakayuki Sato

Audit & Supervisory Board
MemberHiroshi Miyauchi

No. of Employees 12,232 (consolidated)● Meiko Towada Vietnam Co., Ltd.

(Japan: 854; Overseas: 11,378)

Plot C1+C2, Phuc Dien Industrial Zone,Cam Phunc Commune,
Cam Giang District, Hai Duong Province, Viet Nam

Main Business● Meiko Techno Co., Ltd.

1-14-1, Daikan, Yamato, Kanagawa, Japan 242-0025

Design, manufacturing and sales of
PCBs, associated electronics-related
businesses

Consolidated Financial Highlights
2016

2020

2019

Sales (100 Million yen)

952

959

1,085

1,189

1,155

Operating income (100 Million yen)

33

57

74

89

52

Ordinary income (100 Million yen)

△4

29

47

86

48

Net income (loss) (100 Million yen)

△112

17

43

67

26

Net income (loss) per share（yen）△429.8354.14

160.34257.65

98.81

Net Sales

Ordinary Income(100 Million yen)
1,000

952

959

1,085

1,189

1,155

(100 Million yen)

60

600

40

0
2016

2017

2018

Sales by product application (FY 2020)

2019

2020

29
△4
2016

2017

Double-sided PCB 5.6%

Other than PCB 15.1％

Other than PCB 10.7%

Office equipment 3.5％
Storage 4.8％
Amusement 2.3％
IoT/AI appliances 5.2％
Smartphones and tablets 21.6％

2018

Sales by product specification (FY 2020)

Automobiles 46.2％

Digital home appliance 1.3%

48

47

20

200
0

86

80

800

400

33

2018

2017

Flexible PCB 1.3%
Heat dissipation board 1.2%
HDI PCB 39.1%
Six-layer PCB or more 19.2%
Four-layer PCB 22.9%

2019

2020

New electronics connecting people
Our printed circuit board technology harnessing electronics will contributeto the creation of a safe and secure social infrastructure.